Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Wednesday 29 June 2022
Sioux City Man Pleads Guilty to Meth ConspiracyRead the Press Release
Jesse Chavez, 43, from Sioux City, Iowa, pled guilty June 28, 2022, in federal court in Sioux City, to conspiracy to distribute methamphetamine and possession with intent to distribute methamphetamine. In 2015, Chavez was convicted of possession with intent to deliver a controlled substance in Iowa District Court.
At the plea hearing, Chavez admitted that between September 2021 and December 2021, he was involved in a conspiracy that distributed over a pound of meth in the Sioux City area. On December 14, 2021, Sioux City Police officers observed suspicious conduct by Chavez in the Walgreens parking lot and inside the store. Officers confronted Chavez, obtained consent to search his vehicle, and seized three ounces of methamphetamine. Chavez would obtain multiple ounce quantities of methamphetamine from his sources of supply and then sell lesser quantities of the methamphetamine to others.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Chavez remains in custody of the United States Marshal pending sentencing. On Count 1, Chavez faces a mandatory minimum sentence of 15 years’ imprisonment and on Count 2, he faces a mandatory minimum sentence of 10 years’ imprisonment. Chavez faces a possible maximum sentence of life imprisonment, a $28,000,000 fine, and at least ten years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-4009.
Follow us on Twitter @USAO_NDIA.
Schenectady Felon Pleads Guilty to Illegally Possessing Loaded PistolRead the Press Release
ALBANY, NEW YORK – Leonard Samuels, age 39, of Schenectady, New York, pled guilty today to illegally possessing a firearm as a convicted felon.
The announcement was made by United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
As part of his plea, Samuels admitted to possessing a loaded semi-automatic pistol, which FBI agents and Schenectady Police Department officers recovered in his apartment during a search warrant executed on April 8, 2021. Samuels also agreed to forfeit a loaded “ghost gun” pistol that was recovered from the apartment, as well as a quantity of ammunition for both pistols. A prior felony conviction for criminal possession of a firearm prevented Samuels from legally possessing a firearm in New York.
Samuels faces up to 10 years in prison, a fine of up to $250,000, and a term of post-imprisonment supervised release of up to 3 years when he is sentenced on October 28, 2022, by United States District Judge Mae A. D’Agostino.
A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the FBI and the Schenectady Police Department. This case is being prosecuted by Assistant U.S. Attorney Emmet O’Hanlon.
Sandy Springs man sentenced for Tricare and Medicare fraud schemeRead the Press Release
ATLANTA - Brett Sabado has been sentenced for his role in a scheme to defraud Tricare and Medicare by submitting fraudulent claims for compound medications and durable medical equipment (DME). Sabado also agreed to pay $950,000 as part of an “ability to pay” civil settlement in order to resolve violations of the False Claims Act for causing false claims for DME to be submitted to the Medicare Program. This resolution is the result of a global investigation involving the criminal and civil divisions of the Northern District of Georgia and the Southern District of California.
“Instead of putting patient care first, the defendants decided their best interests were more important,” said U.S. Attorney Ryan K. Buchanan. “Healthcare providers and pharmacies who use their positions of trust to game the system, specifically designed to maximize their profits, put their patients at risk and divert scarce government resources.”
“Through federal healthcare programs like Medicare and TRICARE, the United States provides essential medical care for the elderly and disabled, and to service members and their families,” said U.S. Attorney Randy Grossman of the Southern District of California. “It is crucial that the American people know that taxpayer funds are being used for these important purposes and not diverted through the schemes of fraudsters. I am proud of the coordination and cooperation among districts and agencies reflected in this outcome,” he added, commending the work of the attorneys and agents in the SDCA and NDGA U.S. Attorneys’ Offices, and at DCIS, FBI, and HHS-OIG, in employing the range of criminal and civil remedies to reach this resolution.”
“This sentence will hold Sabado accountable for the damage he caused to Medicare and every taxpayer in this country,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “Government subsidized programs like Medicare help protect the healthcare needs of deserving Americans and the FBI is determined to work with our partners to prevent people from illegally profiting off of them.”
“HHS-OIG is committed to protecting beneficiaries of federal health care programs from fraud and safeguarding valuable taxpayer dollars,” said Tamala E. Miles, Special Agent in Charge with the Department of Health and Human Services, Office of Inspector General (HHS-OIG). “We will continue to investigate and hold accountable any providers who egregiously take advantage of their patients for illegitimate financial gain.”
“Compounding pharmacy fraud bilked the Defense Health Agency of over a billion dollars and exploited not only the military, but all citizens,” said DoD Inspector General's Defense Criminal Investigative Service (DCIS) Southeast Field Office Special Agent in Charge Cynthia A. Bruce. “I thank the U.S. Attorney's Office and our investigative team for their tireless effort to untangle this web of crime, trace the assets, and hold these individuals accountable.”
According to U.S. Attorney Buchanan, the charges, and other information presented in court: Sabado and his co-conspirators received illegal kickbacks for Tricare referrals and prescriptions of compound medication formulations including pain creams, scar creams, and multi-vitamins that they specifically devised to maximize profits.
Sabado operated NHS, a pharmaceutical company that caused compounding pharmacies to submit false claims for these prescriptions to Tricare. The compounding pharmacies paid NHS a portion of the Tricare reimbursement, and NHS paid a portion of its proceeds to healthcare marketing companies that pushed providers into prescribing these unnecessary compound medications.
Sabado further executed the scheme by creating an online portal database used by NHS to facilitate the referral of prescriptions through NHS to the compounding pharmacies. Sabado and others at NHS used claims data to track the referrals made to compounding pharmacies and to invoice those pharmacies for the illegal kickbacks owed to NHS for the referrals. Sabado ultimately caused a loss of $4.5 million to Tricare.
Sabado also conspired with the owners of DME supply companies to submit false and fraudulent claims for medically unnecessary DME such as arm, leg, back, wrist, and neck braces to Medicare. Specifically, Sabado warehoused, packaged, and shipped thousands of fraudulent DME orders to Medicare beneficiaries. Sabado knew that the DME orders were supported by sham prescriptions written by telemedicine physicians who, in many instances, never spoke with or examined the Medicare beneficiaries for whom the physicians ordered DME. Nonetheless, Sabado continued to package and ship DME that Medicare beneficiaries neither requested nor needed.
For his part in this scheme, Sabado received between $5 and $15 for each medically unnecessary brace he shipped. Sabado also received a percentage of all Medicare reimbursement for the braces. Sabado ultimately caused a loss of almost $70 million to Medicare.
Sabado further engaged in similar conduct involving the submission of false and fraudulent claims to Tricare, the New Jersey State Health Benefits Program, and private health care benefits programs for expensive and medically unnecessary compounded medication in other states.
Brett Sabado, 34, of Sandy Springs, Georgia, was sentenced by U.S. District Judge Thomas W. Thrash, Jr., to five years in prison to be followed by three years of supervised release.
This case was investigated by the U.S. Attorney’s Office for the Northern District of Georgia, the U.S. Department of Health and Human Services - Office of Inspector General, the Federal Bureau of Investigation, and the Defense Criminal Investigative Service.
The civil resolution was reached by Assistant U.S. Attorney Mellori Lumpkin-Dawson. The criminal case was prosecuted by Assistant U.S. Attorneys Angela Adams and Bernita Malloy in the Northern District of Georgia. A related case in the Southern District of California, United States v. Charles Ronald Green and Melinda Elizabeth Green, Case No. 3:20-cr-01566-DMS, SDCA (San Diego)), was prosecuted by Assistant U.S. Attorneys Valerie Chu and Kevin Larsen.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
St. Thomas Man Charged with Illegally Possessing an Ar-15 FirearmRead the Press Release
ST. THOMAS – U.S. Attorney Delia L. Smith announced today that Desi Henry, Jr., 29, of St. Thomas, was detained by U.S. Magistrate Ruth Miller following his arrest on June 28, 2022, on felon in possession of a firearm charges.
According to court documents, Henry is currently on home confinement for a criminal matter pending trial in the Virgin Islands Superior Court. On May 16, 2022, Superior Court Marshals conducted a routine inspection of Henry’s home during which they discovered a lower receiver of an AR-15 firearm, a high-capacity drum magazine and two optical rifle sights in Henry’s bedroom. Henry is legally prohibited from possessing a firearm based on his 2015 firearm conviction on possession of a firearm with an obliterated serial number. Henry told Superior Court Marshals that an unknown female brought the firearm to him because he is known to "be good with his hands." If convicted, Henry faces up to 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The case is being investigated by the Federal Bureau of Investigations and is being prosecuted by Assistant United States Attorney Kyle Payne. United States Attorney Delia L Smith reminds the public that a criminal complaint is merely an allegation, and that all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Russian Elites, Proxies, and Oligarchs Task Force Joint StatementRead the Press Release
The Russian Elites, Proxies, and Oligarchs (REPO) Task Force has leveraged extensive multilateral coordination to block or freeze more than $30 billion worth of sanctioned Russians’ assets, freeze or seize sanctioned persons’ high-value goods, and heavily restrict sanctioned Russians’ access to the international financial system. REPO members have achieved these successes through close and extensive national and international coordination and collaboration.
In the 100 days since the Finance, Justice, Home Affairs, and Trade Ministers and European Commissioners committed to prioritizing resources and working together to isolate sanctioned Russians from the international financial system, REPO members have:
- Blocked or frozen more than $30 billion worth of sanctioned Russians’ assets in financial accounts and economic resources.
- Immobilized about $300 billion worth of Russian Central Bank assets.
- Seized, frozen, or detained yachts and other vessels owned, held, or controlled by sanctioned Russians, including the Amadea, the Tango, the Amore Vero, the Rahil, and the Phi.
- Seized or frozen luxury real estate owned, held, or controlled by sanctioned Russians.
- Restricted Russia’s access to the global financial system, making it more difficult for Russia to procure technology necessary to sustain its unjust war in Ukraine.
Where appropriate and possible, REPO members are undertaking efforts to update or expand and implement their respective legal frameworks that enable the freezing, seizure, forfeiture and/or disposal of assets, for example within criminal law. These efforts better position members to achieve REPO’s objectives.
REPO is working collaboratively with the private sector to promote effective sanctions implementation. Financial institutions and other entities required to comply with both sanctions and anti-money laundering/countering the financing of terrorism regulations have helped to identify and immobilize assets subject to sanctions and worked to prevent Russia from evading sanctions. Where available, REPO members have relied on the use of registries, such as bank account and beneficial ownership registries. In addition, REPO members deeply appreciate the cooperation that countries outside the REPO Task Force have provided.
REPO’s work is not yet complete. In the coming months, REPO members will continue to track Russian sanctioned assets and prevent sanctioned Russians from undermining the measures that REPO members have jointly imposed. Together, we will ensure that our sanctions continue to impose costs on Russia for its unprovoked and continuing aggression in Ukraine and to prevent funds and economic resources from being provided to or for the benefit of designated persons. As we undertake this work, we are seeking to maximize the impact of sanctions on designated persons and entities while guarding against spillover that affects global commodities markets and food supplies, which Russia has disrupted by choosing and continuing to wage war.
As we undertake REPO’s work, we underscore our shared commitment to our determined and coordinated sanctions response to Russia's war of aggression and to carry on with our efforts in ever closer cooperation, including with the European Commission’s Freeze and Seize Task Force. We continue to increase Russia’s cost of its war. We remain committed to fully implementing and enforcing our economic and financial sanctions and remain vigilant against sanctions evasion and circumvention.
Rosebud Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rosebud, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on June 27, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Francis Kills In Sight, age 28, was sentenced to 26 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Kills In Sight was indicted by a federal grand jury on February 8, 2022. He pled guilty on March 28, 2022.
Kills In Sight was convicted of Sexual Contact in November 2014. As a result of this conviction, he is required to register as a sex offender and to update his registration within three business days of relocation or changing employment. Between December 22, 2021, and January 4, 2022, Kills In Sight failed to properly register as a sex offender and update his registration.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Abby Roesler prosecuted the case.
Kills In Sight was immediately turned over to the custody of the U.S. Marshals Service.
Rhode Island Man Sentenced in Insider Trading SchemeRead the Press Release
BOSTON – A Rhode Island man was sentenced today in federal court in Boston for trading on inside information about a Massachusetts company’s planned acquisition of a California semiconductor company.
John Younis, 59, of Bristol, R.I., was sentenced by U.S. Senior District Court Judge Rya W. Zobel to one month of home detention and two years of probation. The government recommended a sentence of six months in prison and six months of home detention. On March 23, 2022, Younis pleaded guilty to one count of conspiracy to commit securities fraud and one count of securities fraud.
In January 2022, Younis was charged with co-defendants David Forte and Gregory Manning.
According to the charging documents, Younis was a close friend of co-conspirator David Forte, whose relative was a senior executive at Analog Devices, Inc. (ADI), a Norwood-based semiconductor company. Beginning in or around June 2016, Forte allegedly obtained material non-public information from his relative about ADI’s planned acquisition of Linear Technology Corp. (Linear), a semiconductor company based in Milpitas, Calif. Forte allegedly passed the information to Younis, who purchased over 1,100 shares of Linear stock and call options (bets that the price of a stock will increase prior to the expiration of the option) in the week leading up to the public announcement of the acquisition on July 26, 2016. Younis also tipped a business associate who allegedly purchased 1,000 Linear shares. After the deal was announced, Younis and his associate sold their Linear securities at a profit. In total, Younis profited nearly $52,000 from the scheme.
Forte and Manning have pleaded not guilty and are awaiting trial.
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. The Securities & Exchange Commission provided valuable assistance. Assistant U.S. Attorney David M. Holcomb of Rollins’ Securities, Financial & Cyber Fraud Unit prosecuted the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Philadelphia man admits to role in drug trafficking enterpriseRead the Press Release
MARTINSBURG, WEST VIRGINIA – Anthony Peterson, of Philadelphia, Pennsylvania, has admitted to his role in a multi-state organized drug trafficking enterprise dubbed the “19th Street Enterprise,” United States Attorney William Ihlenfeld announced.
Peterson also known as “Ant Man,” 36, pleaded guilty today to one count of “RICO Conspiracy.” Peterson admitted to working with others as a member of the “19th Street Enterprise,” a criminal organization that engaged in acts of violence, robbery, money laundering, mail and wire fraud, providing and selling false identification documents, and drug trafficking. The enterprise operated in West Virginia, Pennsylvania, Maryland, Delaware, and Puerto Rico.
Peterson faces up to 20 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The FBI; the Department of Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the U.S. Marshals Service; the West Virginia State Police; the Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative; and the West Virginia Air National Guard investigated. The Eastern District of Pennsylvania U.S. Attorney’s Office and the Kent County Sheriff’s Office assisted.
These charges are the result of investigations supported by the Organized Crime Drug Enforcement Task Force (OCDETF) under the Attorney General-led Synthetic Opioid Surge (SOS)/Special Operations Division (SOD) Project Clean Sweep. This initiative seeks to reduce the supply of synthetic opioids in “hot spot” areas previously identified by the Attorney General of the United States, thereby reducing drug overdoses and drug overdose deaths, and identify wholesale distribution networks and sources of supply operating nationally and internationally. 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.
U.S. Magistrate Judge Robert W. Trumble presided.
Find the related case here: https://www.justice.gov/usao-ndwv/pr/22-people-indicted-drug-trafficking-enterprise-spanned-several-states
Philadelphia Man Sentenced to Seven Years for over 30 Counts of Narcotics Offenses Connected to PA-NJ Prescription Forgery RingRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Marques Russell, 37, of Philadelphia, PA, was sentenced to seven years in prison, three years of supervised release, and was ordered to pay a $3,100 special assessment and forfeiture of $129,600 by United States District Judge C. Darnell Jones, II, for his role in an inter-state prescription forgery ring.
In October 2021, the defendant pleaded guilty to 31 counts of possession with intent to distribute oxycodone. The charges stem from Russell’s participation in a forged prescription ring, in which he and others presented fake prescriptions, forging doctors’ signatures, to pharmacies in order to obtain large amounts of oxycodone for illegal resale. The defendant admitted to presenting such prescriptions on 31 occasions to pharmacies in Drexel Hill and Kennett Square, PA. Over a roughly two-year period from about February 2017 through May 2019, Russell obtained 4,320 oxycodone tablets totaling 129,600 milligrams. The defendant was charged by Indictment in 2019, along with eleven others who presented forged prescriptions, and one complicit pharmacist in New Jersey.
“Pharmacies and pharmacists have a responsibility to serve as gatekeepers of a closed system of prescription drug distribution. This defendant and his co-conspirators took advantage of that system to flood the streets of our region with dangerous opioid drugs, no doubt exacerbating the epidemic,” said U.S. Attorney Romero. “Our Office will continue to investigate and prosecute healthcare fraud crimes like this in an effort to deter such conduct and keep our communities safe.”
The case was investigated by the U.S. Drug Enforcement Administration and the Easttown Township Police Department, and is being prosecuted by Assistant United States Attorney David E. Troyer.
Parkersburg Man Sentenced to 10 Years in Prison for Role in Drug ConspiracyRead the Press Release
CHARLESTON, W.Va. – John Michael Wells, II, 33, of Parkersburg, was sentenced today to 10 years in prison, to be followed by five years of supervised release, for conspiring to distribute methamphetamine and marijuana.
According to court documents and statements made in court, Wells was responsible for approximately 20 pounds of methamphetamine being shipped from California to Parkersburg and distributed in the Parkersburg area. Wells admitted to paying and arranging for methamphetamine and marijuana to be shipped through the mail from California in October and November 2021. The methamphetamine and marijuana were subsequently distributed for sale by other individuals, who provided Wells with the cash proceeds. Wells used this cash to order more methamphetamine and marijuana from his suppliers.
United States Attorney Will Thompson made the announcement and commended the excellent investigative work of the Federal Bureau of Investigation (FBI), the Parkersburg Police Department, the Vienna Police Department, the Wood County Sheriff’s Office, and the Parkersburg Violent Crimes and Narcotics Task Force.
United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorney Jeremy B. Wolfe prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-266.
###
Palmyra Man Sentenced to 12+ Years for Accessing Child Sexual Abuse MaterialsRead the Press Release
BANGOR, Maine: A Palmyra man was sentenced in federal court today for one count of access with intent to view child pornography, U.S. Attorney Darcie N. McElwee announced.
U.S. District Judge Lance E. Walker sentenced Jason Colcord, 44, to 145 months in prison and five years of supervised release. He was also ordered to pay $8,000 in restitution. Colcord pleaded guilty on November 19, 2021.
According to court records, between December 2019 and February 2020, Colcord knowingly accessed with intent to view a phone that contained images of child pornography. Many of the images involved prepubescent minors who had not attained the age of 12. He downloaded multiple images using an online peer-to-peer file sharing network and viewed the images on his phone.
To report an incident involving the possession, distribution, receipt or production of child pornography: "Child pornography" captures the sexual abuse and exploitation of children. These images document victims’ exploitation and abuse, and they suffer re-victimization each time the images are viewed. File a report with the National Center for Missing & Exploited Children at www.cybertipline.com or 1-800-843-5678. Your report will be forwarded to a law enforcement agency for investigation and action. If you have an emergency that requires an immediate law enforcement response, call 911 or contact your local police or sheriff’s department.
Project Safe Childhood: 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 Department’s 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.
# # #
Owner of Technology Companies Arrested for Alleged $45 Million Investment Fraud Scheme Involving over 10,000 VictimsRead the Press Release
A Nevada man was arrested today in Los Angeles for an alleged investment fraud scheme that defrauded more than 10,000 victims of over $45 million. A federal grand jury in the District of Nebraska previously returned an indictment on June 14 charging the man, which was unsealed today in Omaha.
According to the indictment, Neil Chandran, 50, of Las Vegas, owned a group of technology companies that he used in a scheme to defraud investors by falsely promising extremely high returns on the premise that one or more of his companies, operated under the banner of “ViRSE,” was about to be acquired by a consortium of wealthy buyers. Chandran’s companies — which included Free Vi Lab, Studio Vi Inc., ViDelivery Inc., ViMarket Inc., and Skalex USA Inc., among others — developed virtual-world technologies, including their own cryptocurrency, for use in the companies’ own metaverse. The indictment alleges that Chandran caused other individuals to make various materially false and misleading representations to investors, including that (a) investors in Chandran’s companies would soon receive extremely high returns when one or more of those companies was purchased by a group of wealthy buyers, (b) investor funds would be used for normal expenses to keep the companies operating until they were purchased, and (c) prominent business figures, including two billionaires, were involved in the purchase. In fact, according to the indictment, there was no such buyer group that was about to purchase the companies for the claimed returns; a substantial portion of the funds were misappropriated for other business ventures and the personal benefit of Chandran and others, including the purchase of luxury cars and real estate; and there were no prominent billionaires involved in purchasing Chandran’s companies.
Chandran is charged with three counts of wire fraud and two counts of engaging in monetary transactions in criminally derived property. If convicted, Chandran faces up to 20 years in prison for each of the wire fraud counts and up to 10 years in prison for each count of engaging in unlawful monetary transactions. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The indictment also alleges that 100 different assets — bank accounts, real estate, and luxury vehicles, including 39 Tesla vehicles — are subject to forfeiture as proceeds of the fraud. U.S. Marshals and the FBI are seizing most of the assets pending resolution of the criminal case.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, and Assistant Director in Charge Steven D’Antuono of the FBI Washington Field Office made the announcement.
The FBI Washington Field Office is investigating the case. Significant assistance was also provided by the FBI’s Las Vegas, Los Angeles, Miami, and Omaha field offices.
Assistant Chief William E. Johnston and Trial Attorney Tian Huang of the Criminal Division’s Fraud Section are prosecuting the case. Senior Policy Advisor Darrin McCullough and Trial Attorney Sarah Roessler of the Criminal Division’s Money Laundering and Asset Recovery Section are handling forfeiture. The U.S. Attorney’s Offices for the Districts of Nebraska, Nevada, and the Central District of California provided valuable assistance.
All investor victims of this fraud are encouraged to visit the webpage https://www.justice.gov/criminal-vns/united-states-v-chandran to identify themselves as potential victims and obtain more information on their rights as victims, including the opportunity to submit a victim impact statement.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Ohio Man Sentenced to Prison for Threatening Reproductive Health Services Facility and an Individual PatientRead the Press Release
An Ohio man was sentenced in federal court today to one year and one day in prison and three years of supervised release for interstate threats; and concurrently to 10 months in prison and one year of supervised release for Freedom of Access to Clinic Entrances (FACE) Act charges, for threatening to bring a bomb to a local reproductive health services facility.
Carlos Manuel Rodriguez Brime, 26, of Columbus, also threatened to kill a patient whom he believed was seeking reproductive health services, specifically an abortion, at the clinic.
On April 11, 2021, Brime made two separate telephone calls to the local reproductive health care clinic. In the first, he made a death threat relating to the prospective patient and in the second, he made a bomb threat directly to the clinic, telling the clinic staff “my organization will be bringing a bomb to your facility. I suggest you close your doors.”
Specifically, Brime admitted to violating the FACE Act – which makes it a federal crime to threaten the use of force to intimidate anyone receiving or providing reproductive health services – and to transmitting a threat in interstate commerce.
“Reproductive health providers and people seeking access to these services must be able to do so free from violence and threats of violence,” said Assistant Attorney General Kristen Clarke. “This sentencing should send a strong message that the Justice Department will continue to aggressively enforce the FACE Act and hold those accountable who violate the law. We stand ready to ensure that health care providers and people seeking reproductive health services are safe, secure and free from violence and threats of violence.”
“Threatening the life of anyone who seeks any type of health service is a heinous act that should not be tolerated,” said U.S. Attorney Kenneth L. Parker. “People must handle their disagreements to positions that are contrary to theirs in a more civil way than using the threat of force or any kind of intimidation.”
Brime was indicted by a grand jury and arrested in September 2021. He pleaded guilty in February 2022.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division; U.S. Attorney Kenneth L. Parker for the Southern District of Ohio; Special Agent in Charge J. William Rivers of the FBI Cincinnati Field Office; and Columbus Police Chief Elaine Bryant announced the sentence imposed today by U.S. District Judge Edmund A. Sargus Jr. Assistant U.S. Attorneys Emily Czerniejewski and S. Courter Shimeall and Civil Rights Division Trial Attorney Sanjay Patel are representing the United States in this case.
If you or someone you know has experienced or witnessed a civil rights violation, please report this matter to the FBI at https://www.fbi.gov/investigate/civil-rights.
New York Man Admits Scheme to Deposit over $550,000 in Altered Checks Stolen from MailRead the Press Release
NEWARK, N.J.– A New York man today admitted his role in a scheme to alter and deposit hundreds of checks stolen from mailboxes across New Jersey, U.S. Attorney Philip R. Sellinger announced.
Nigel Lynch, 21, of Yonkers, New York, pleaded guilty by videoconference before U.S. District Judge Katharine S. Hayden to an information charging him with one count of bank fraud conspiracy and one count of conspiracy to receive and possess stolen mail.
According to documents filed in the case and statements made in court:
From February to November 2020, Lynch and two conspirators stole over 290 checks from New Jersey mailboxes in Morris, Essex, Somerset, and Passaic counties. They then altered the stolen checks and deposited them into bank accounts controlled by Lynch and his conspirators. After the stolen checks were deposited, Lynch and his conspirators withdrew cash from the accounts totaling over $550,000.
The bank fraud charge conspiracy charge carries a maximum penalty of 30 years in prison and a $1 million fine; and the conspiracy to receive and possess stole mail carries a maximum sentence of five years in prison and a $250,000 fine. Sentencing is scheduled for Nov. 8, 2022.
U.S. Attorney Sellinger credited postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Inspector in Charge Damon Wood, Philadelphia Division, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Blake Coppotelli of the U.S. Attorney’s Office Economic Crimes Unit.
New York Doctor Admits Health Care Fraud Targeting Amtrak, Drug Distribution, and Unlawful Possession of FirearmRead the Press Release
NEWARK, N.J. – A New York doctor today admitted participating in a health care fraud scheme to defraud Amtrak, distribution of a controlled substance in furtherance of that scheme, and the unlawful possession of a firearm, U.S. Attorney Philip R. Sellinger announced.
Michael DeNicola, 59, pleaded guilty before U.S. District Judge Madeline Cox Arleo in Newark federal court to an information charging him with conspiracy to commit health care fraud, distribution of a controlled substance, and unlawful possession of a firearm.
According to documents filed in this case and statements made in court:
From 2019 to August 2021, DeNicola and his conspirators agreed to engage in a scheme to bill the Amtrak health care plan for fraudulent claims for services that either were never provided or were medically unnecessary. They would recruit Amtrak employees to participate in the scheme by paying them to allow the conspirators to use their patient and insurance information to submit false and fraudulent claims. DeNicola and his conspirators submitted false and fraudulent claims that caused Amtrak losses of more than $1.6 million.
DeNicola also provided oxycodone prescriptions to an individual in return for the individual’s agreement to allow his patient and insurance information to be used for the submission of fraudulent insurance claims. DeNicola provided oxycodone prescription to others at the direction of this individual and did so outside of the usual course of professional treatment and without legitimate medical purpose. From April 2017 through February 2018, DeNicola issued 64 oxycodone prescriptions in this manner.
DeNicola also unlawfully possessed a firearm on Sept. 1, 2019, after previously having been convicted in a court of a crime punishable by a term of imprisonment exceeding one year.
The conspiracy to commit health care fraud and unlawful possession of a firearm charges each carry a maximum potential penalty of 10 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense, whichever is greatest. The distribution of a controlled substance charge carries a maximum potential penalty of 20 years in prison and a $1million fine, or twice the gross gain or loss from the offense, whichever is greatest. Sentencing is scheduled for Nov. 22, 2022.
U.S. Attorney Sellinger credited special agents of the Amtrak Office of Inspector General, under the direction of Special Agent in Charge Michael J. Waters; special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Frank A. Tarentino III in New York; special agents of the FBI, under the direction of Assistant Director in Charge Michael J. Driscoll in New York; the U.S. Food and Drug Administration Office of Criminal Investigations, under the direction of Acting Special Agent in Charge Bradley Greenberg; postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Damon Wood, Philadelphia Division; and the Amtrak Police Department, under the direction of Chief of Police Samuel Dotson, with the investigation, leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Katherine Romano of the Health Care Fraud Unit in Newark and Daniel V. Shapiro, Deputy Chief of the Criminal Division.
New Orleans Man Pleads Guilty to Conspiracy to Possess a Firearm and Misprision of FelonyRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that WARREN PICARD, age 26, of New Orleans, pled guilty to conspiracy to possess a firearm by a felon and misprision of felony.
Specifically, on June 29, 2022, PICARD pled guilty to one count of conspiracy to possess a firearm by a felon, in violation of 18 U.S.C. § 371, and one count of misprision of felony, in violation of 18 U.S.C. 4.
According to the court documents, PICARD and others conspired to possess a Glock Model 19, nine-millimeter caliber pistol on or about July 21, 2020.
For conspiracy to possess a firearm by a felon, PICARD faces a maximum sentence of 5 years imprisonment, a fine of up to $250,000, up to 3 years of supervised release, and a $100 mandatory special assessment fee. For misprision of a felony, PICARD faces a maximum sentence of 3 years imprisonment, a fine of up to $250,000, up to 1 year of supervised release, and a $100 mandatory special assessment fee.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and re-entry programs for lasting reductions in crime.
United States Attorney Evans praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the New Orleans Police Department in investigating this matter. Assistant United States Attorney Jonathan L. Shih is in charge of the prosecution.
Moriarty man found guilty in fraud schemeRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that a federal jury returned a guilty verdict on Milton Boutte, 77, of Moriarty, New Mexico, on June 27. The jury convicted Boutte of conspiracy to defraud the United States and conspiracy to commit wire fraud. Boutte will remain on conditions of release pending sentencing, which has not been scheduled.
Boutte and three other men were charged by indictment with exploiting the now defunct Big Crow Program Office at Kirtland Air Force Base to perpetuate a scheme to defraud the United States. Boutte, along with George Lowe, 60, of Fort Washington, Maryland, Jose Diaz, 63, of El Paso, Texas, and Arturo Vargas, 59, also of El Paso, conspired to submit fraudulent invoices to federal agencies. Beginning in 2004, Boutte, who was then the Director of the Big Crow Program Office, and Lowe, a lobbyist, schemed with Diaz and Vargas, owners of minority-owned small businesses that had sole-source contracts with the Big Crow Program Office, to pay lobbyists, consultants and contractors with funds fraudulently obtained from the United States. The conspirators disguised the nature of the claims for lobbying services provided by Lowe as well as other unauthorized subcontracts and expenditures. The Big Crow Program Office was not authorized to lobby or to expend appropriated funds for lobbying activities under the contracts.
On April 4, 2018, Diaz pleaded guilty to one count of conspiracy to defraud the United States and two counts of fraud against the United States. In his plea agreement, Diaz admitted that over the course of the conspiracy Miratek and Vartek received approximately $8.4 million from the government, of which Boutte required those small businesses to pay nearly $4.1 million to lobbyists, consultants and contractors that Boutte had retained. Of that sum, Miratek and Vartek diverted more than $900,000 to Lowe, and another government contractor paid Lowe an additional $300,000. Diaz faces up to ten years in prison for each count.
On Sept. 12, 2018, Vargas pleaded guilty to conspiracy to defraud the United States and faces up to 21 months in prison. On March 5, 2020, Lowe pleaded guilty to conspiracy to defraud the United States and faces up to 10 years in prison.
Boutte faces up to 10 years in prison for conspiracy to defraud the United States and up to 20 years in prison for conspiracy to commit wire fraud.
All four men are awaiting sentencing.
The case was investigated by the Major Procurement Fraud Unit of the U.S. Army Criminal Investigations Command, Defense Criminal Investigations Services, Defense Contract Audit Agency – Investigative Support, U.S. Small Business Administration Office – Office of Inspector General, and General Services Administration – Office of Inspector General. Assistant U.S. Attorneys Timothy S. Vasquez and Jeremy Peña are prosecuting the case.
# # #
Mission Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Mission, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on June 27, 2022, by U.S. District Judge Karen E. Schreier.
Jeffery Leo Larvie, age 39, was sentenced to five months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Larvie was indicted by a federal grand jury on February 1, 2022. He pled guilty on April 4, 2022.
The conviction stems from Larvie failing to register as a sex offender as required by federal law between September 22, 2021, and February 1, 2022. Larvie had previously been convicted of a sex offense in federal court which requires him to register for the rest of his life.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Larvie was immediately turned over to the custody of the U.S. Marshals Service.
Minneapolis Man Charged for Violent Carjacking Outside a Northeast Minneapolis RestaurantRead the Press Release
MINNEAPOLIS – A Minneapolis man has been charged in a federal criminal complaint for the armed carjacking of a woman outside her place of work in northeast Minneapolis, announced U.S. Attorney Andrew M. Luger.
According to court documents, on June 9, 2022, Shamir Nathann Black, 18, approached a woman outside of her place of work and demanded her car keys. Black proceeded to push the victim to the ground and hit her on the head with a firearm. A bystander attempted to assist the victim but was also assaulted by Black. Black pointed his firearm at the bystander and pulled the trigger, but the gun did not discharge a bullet. Black and an accomplice got into the victim’s vehicle, but surrounding witnesses pulled Black from the driver’s seat and put him on the ground. Black and his accomplice fled the scene on foot.
After arriving at the scene, officers with the Minneapolis Police Department located a Shadow Systems 9mm semiautomatic pistol wrapped in a gray sweatshirt. The firearm had been reported stolen in Prior Lake in April 2022. Investigators reviewed a social media video that showed Black waving around a handgun that matched the firearm recovered at the crime scene. Further investigation revealed that a Volkswagen Jetta had been taken in a Prior Lake home burglary on the same night the firearm was stolen. Law enforcement later recovered the stolen Jetta from Black’s Minneapolis residence. On June 24, 2022, Black was taken into custody.
Black is charged with one count of carjacking. He made his initial appearance yesterday in U.S. District Court before Magistrate Judge Becky R. Thorson and was ordered temporarily detained pending a formal detention hearing on June 30, 2022.
This case is the result of an investigation conducted by the FBI, the Minneapolis Police Department, and the Hennepin County Sheriff’s Office.
Assistant U.S. Attorney Lauren Roso is prosecuting the case.
A complaint is merely an allegation and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Miami Man Pleads Guilty to Multiple Drug and Firearms ViolationsRead the Press Release
A man who was arrested three times since 2019 for methamphetamine and firearms violations pleaded guilty Monday in federal court, announced U.S. Attorney Clint Johnson.
Richard Alan Stewart, 50, of Miami, pleaded guilty to three counts of Felon in Possession of Firearms and Ammunition; three counts of Possession of Methamphetamine with Intent to Distribute; Carrying a Firearm During and in Relation to a Drug Trafficking Crime; Carrying, Using, and Brandishing a Firearm During and in Relation to a Drug Trafficking Crime; and Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Stewart, a convicted felon, brandished or possessed firearms on at least three different occasions along with methamphetamine that he intended to sell.
On Nov. 13, 2019, an Oklahoma Highway Patrol trooper stopped Stewart for a traffic violation. The trooper conducted a search of the car which revealed zip-lock bags of methamphetamine and pills along with a Spike’s Tactical multi-caliber semi-automatic rifle, which is an AR 15. Later, a search was conducted at Stewart’s home where law enforcement discovered 92 grams of methamphetamine.
On March 18, 2021, task force officers conducted a search of Stewart’s residence based on a tip that Stewart continued to traffic large quantities of methamphetamine. When officers confronted Stewart in the home, he drew a stolen Smith & Wesson .380 caliber pistol and pointed it at them. Officers forcibly removed the gun from Stewart’s hand and arrested him. During the search, officers found the following items:
-one black bag containing a large amount of methamphetamine, a loaded Smith
& Wesson .45 caliber revolver, digital scales, and a baggie with yellow pills;
-one black bag with bundles of U.S. Currency totaling $39,350;
-one Heritage .22 caliber revolver
-two additional bags of methamphetamine
-glass pipes
-additional U.S. currency
In total, officers located 1.4 kilograms of methamphetamine.
Finally, on May 17, 2021, Grove City Police officer pulled Stewart over for a traffic violation and conducted a search of the vehicle, which revealed 670 grams of methamphetamine, a glass pipe, a Ruger EC9s 9mm caliber pistol, and seven rounds of ammunition.
In total, law enforcement recovered five illegally-obtained firearms, ammunition, more than 2 kilograms of methamphetamine, and more than $40,000 from the investigation.
Stewart did not cooperate with law enforcement during the investigations. Stewart faces a 17-year sentence for the possession and brandishing of firearms charges and an additional 10 year sentence for distribution of controlled substances. Once sentenced, Stewart will serve a minimum of 27 years in federal prison.
This case was prosecuted as part of Operation Pullin Chains, an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The Bureau of Indian Affairs, Drug Enforcement Administration, Oklahoma Highway Patrol, 13th District Drug and Violent Crimes Task Force, and Grove City Police Department conducted the investigation. Assistant U.S. Attorney Kyle M. McWaters is prosecuting the case.
Mexican National Sentenced to 10 Years in Prison for Conspiracy to Distribute MethamphetamineRead the Press Release
SACRAMENTO, Calif. — U.S. District Judge John A. Mendez sentenced Juan Zamora Torres, 61, of Mexico, on Tuesday to 10 years in prison for his role in a conspiracy to distribute methamphetamine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, from approximately July 29, 2019, to June 2, 2021, Torres conspired to distribute methamphetamine, including distributing over 4 pounds of methamphetamine on or about July 29, 2019. Additionally, from April 2019 to July 2019, Torres distributed over 8 pounds of methamphetamine and over a pound of heroin to a confidential source. On March 29, 2022, Torres pleaded guilty to the charges.
This case was the product of an investigation by the Federal Bureau of Investigation and the Drug Enforcement Administration. Assistant U.S. Attorneys Aaron D. Pennekamp and Angela L. Scott prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Mexican National & Tax Fraud Fugitive Arrested After Six YearsRead the Press Release
NASHVILLE – A Oaxaca, Mexico, man was arrested this morning, after being sought for the past six years, following his indictment in a conspiracy to file fraudulent federal income tax returns, announced U.S. Attorney Mark H. Wildasin for the Middle District of Tennessee.
Claudio Juarez, 40, was arrested at his residence in Bowling Green, Kentucky, this morning and transported to the Middle District of Tennessee. He will appear before a U.S. Magistrate Judge later this afternoon.
Juarez and others were charged in 2016 with conspiracy to file false claims against the United States, wire fraud, and theft of more than $1,000 of public money.
The investigation began in April 2015, when 10 federal search warrants were executed at various residences and tax return preparation businesses throughout middle Tennessee, including Soto Services with locations in Madison, Hermitage, Springfield, and Gallatin; and S Income Tax Services in Nashville. As a result of this investigation, agents subsequently determined that part of the tax fraud scheme dated back to 2011 and 46 persons were ultimately charged and convicted of federal offenses.
During the investigation, more than $1 million in cash was seized, as well as several late model, luxury automobiles and 11 Nashville-area properties. Many of the individuals charged, including Juarez, were in the United States illegally.
Juarez’s role in the scheme was crucial to its success as he cashed fraudulent checks and dealt in fake documents such as W-2’s and other fraudulent identification documents. In 2016, when agents attempted to arrest Juarez and others, he evaded arrest, and efforts to locate him in the interim were fruitless until earlier this month, when agents learned that Juarez had filed at least two suspected fraudulent tax returns with the IRS. Further investigation led the agents to a Bowling Green tax preparer and then to Juarez.
If convicted, Juarez faces up to 5 years in prison and a $250,000 fine.
This case was investigated by the Internal Revenue Service-Criminal Investigation and Homeland Security Investigations, with arrest assistance by the Bowling Green Police Department. Assistant U.S. Attorney Tom Jaworski is prosecuting the case.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
# # # # #
Mexican Man Sentenced to Prison for Document FraudRead the Press Release
A man who used a false identification document and someone else’s social security number was sentenced today to ten months in federal prison.
Alvaro Ortiz-Camarillo, age 25, a citizen of Mexico illegally present in the United States and residing in Postville, Iowa, received the prison term after an April 13, 2022, guilty plea to one count of unlawful use of an identification document and one count of misuse of a social security number.
At the guilty plea, Ortiz-Camarillo admitted he used a fraudulent Social Security card bearing someone else’s name and Social Security number when he completed employment and tax forms in July 2021 at a business in Lime Springs, Iowa. On the employment application, Ortiz-Camarillo falsely claimed to be a United States citizen. However, Ortiz-Camarillo has been deported to Mexico in April 2014, January 2019, April 2020, two times in July 2020, and October 2020 and illegally reentered the United States without the permission of the United States government after each removal. Ortiz-Camarillo was also convicted in the Northern District of Iowa in April 2020 of illegal reentry into the United States after deportation and sentenced to 104 days’ imprisonment.
Ortiz-Camarillo was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Ortiz-Camarillo was sentenced to ten months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Ortiz-Camarillo is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-2071.
Follow us on Twitter @USAO_NDIA.
Metro Atlanta man charged with money laundering related to COVID-19 Unemployment Insurance benefit fraudRead the Press Release
ATLANTA - Oluwagbemiga Otufale has been arraigned on federal charges of conspiracy and money laundering. Otufale was indicted by a federal grand jury on June 21, 2022
“Money launderers function as the financiers of criminal organizations, enabling the victimization of our communities while hiding behind a shield of anonymity built through a maze of aliases, bank accounts, and business transactions,” said U.S. Attorney Ryan K. Buchanan. “We will continue to bring sophisticated money launderers to justice, especially the criminals who exploited the pandemic to steal from those in need.”
“It is disheartening to see the lengths that some individuals will go to take advantage of people in need during a national and world crisis,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “No matter how elaborate or complicated the fraud scheme, the FBI and our partners will work to uncover it and bring those responsible to justice.”
“An important mission of the Office of Inspector General is to investigate allegations of fraud related to unemployment insurance benefit programs. We will continue to work with our law enforcement partners to investigate these types of allegations,” stated Mathew Broadhurst, Special Agent-in-Charge, Atlanta Region, U.S. Department of Labor, Office of Inspector General.
According to U.S. Attorney Buchanan, the charges, and other information presented in court: The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act created a temporary federal program that provided up to 39 weeks of unemployment benefits for those unemployed as a result of the pandemic and included a provision to provide temporary benefits to individuals who had exhausted their entitlement to regular benefits or were otherwise not eligible. That temporary federal program was administered by state employment agencies.
Oluwagbemiga Otufale allegedly laundered money procured from fraudulent unemployment claims submitted to state employment agencies in Washington, Illinois, and Massachusetts. These claims were filed using stolen personally identifiable information of over a hundred individuals. Otufale also allegedly laundered proceeds from a business email compromise scheme targeting two Georgia businesses. Additionally, Otufale allegedly created multiple aliases and sham business entities to open financial accounts in which he deposited the fraudulent proceeds.
Oluwagbemiga Otufale, a/k/a Joseph Perrone, a/k/a Kelvin Benjamin, a/k/a Abraham Young, 44, of Riverdale, Georgia, who was arraigned before U.S. Magistrate Judge J. Elizabeth McBath, was charged with money laundering conspiracy and concealment money laundering as a result of these activities. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation and the U.S. Department of Labor, Office of Inspector General.
Assistant U.S. Attorneys Sarah E. Klapman and Tracia King are prosecuting the case.
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
The U.S. Attorney’s Office for the Northern District of Georgia is part of the Georgia Unemployment Insurance Task Force. The Task Force is comprised of federal and state agencies throughout Georgia that are dedicated to combat COVID-related Unemployment Insurance Benefit Fraud.
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.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Merrill Man Sentenced to More Than 16 Years for Producing Child PornographyRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Jason D. Ridolfi, 42, Merrill, Wisconsin, was sentenced today by U.S. District Judge William M. Conley to 16 ½ years in prison for using a minor to engage in sexually explicit conduct for the purpose of producing child pornography. This term of imprisonment is to be followed by 20 years of supervised release. The defendant pleaded guilty to this charge on March 21, 2022.
In November 2020, the Wisconsin Department of Justice Division of Criminal Investigation received a tip from the National Center for Missing and Exploited Children that sexually explicit images of children had been uploaded to Google the month prior. Based on this tip, law enforcement agents executed a search warrant at Ridolfi’s home and found more than 25,000 images of child pornography, including some the defendant produced, on devices belonging to the defendant.
Judge Conley stated that Ridolfi needed to address his alcoholism and mental health needs to ensure he did not offend again. Judge Conley was also concerned that the defendant’s behavior had escalated from possession of child pornography created by others, to creating it on his own.
The charge against Ridolfi was the result of an investigation conducted by the Wisconsin Department of Justice Division of Criminal Investigation, Lincoln County Sheriff’s Office, and the Kenosha Police Department. Assistant U.S. Attorney Elizabeth Altman prosecuted this case.
Memphis Man Pled Guilty to Calling in Bomb Threat and for Being a Convicted Felon in Possession of a Firearm, Sentenced to 7 YearsRead the Press Release
Memphis, TN – Christopher Cobb, 33, has been sentenced to 84 months in federal prison for
being a felon in possession of a firearm. Joseph C. Murphy Jr., United States Attorney, announced
the guilty plea today.According to information presented in court, on the afternoon of April 22, 2021,
Christopher Cobb called the United States Social Security Administration (“SSA”) office in Memphis,
Tennessee to inquire about the status of his claim. Cobb became irate when the official informed
him that his claim had been denied and he would need to file an appeal. The call was terminated
by the SSA when Cobb became irate and began using profanity. Several minutes later, Cobb called
back and threatened to "blow up" the Social Security building the next day.A search of the defendant’s home revealed a M-1 rifle and ammunition. After being advised
of and waiving his Miranda rights, Cobb admitted to making the threat and to also possessing the
M-1 rifle and ammunition.Cobb was previously convicted for aggravated assault, convicted felon in possession of a firearm,
failure to appear in a felony case and robbery. As a result of his prior felony
convictions, Cobb is prohibited by federal law from possessing firearms and ammunition.On March 2, 2022, Cobb pled guilty to communicating a threat and to being a felon in possession
of a firearm.On June 9, 2022, United States District Judge Thomas L. Parker sentenced Cobb to 84 months in
federal prison to be followed by three years’ supervised release. There is no
parole in the federal system.“The safety of our citizens and communities is a top priority for Homeland Security
Investigations (HSI) and threats against government facilities and employees must be taken
seriously,” said HSI Nashville Special Agent in Charge Jerry C. Templet Jr. “The investigative
efforts of our special agents, working with their law enforcement partners, is reflected in the
sentencing of this previously convicted felon.”“This sentence reflects the severity of Mr. Cobb’s actions and should stand as a warning to anyone
who threatens any SSA official who is simply carrying out their duties. This behavior will not be
tolerated and will be prosecuted to the fullest extent of the law,” said Gail S. Ennis, Inspector
General for the Social Security Administration. “I thank the U.S. Attorney’s Office for
prosecuting this case.”This case was investigated by the Social Security Administration Office of the Inspector General
and Homeland Security Investigations.Assistant United States Attorneys Greg Wagner and Steven Hall prosecuted this case on behalf of the
government.
###
Marcus Burrage Sentenced to More Than 31 Years in Federal PrisonRead the Press Release
DES MOINES, IOWA – On Tuesday, June 28, 2022, Marcus Andrew Burrage, age 36, originally of Chicago, Illinois, was sentenced to a total of 375 months in prison. In two separate jury trials, Burrage was convicted of conspiracy to distribute heroin, possession with intent to distribute heroin, and assaulting a correctional officer.
According to evidence presented at the drug trafficking trial, shortly after his 2017 release from prison on a prior federal heroin distribution conviction, Burrage began selling heroin to numerous customers in the Ames and Nevada, Iowa areas.
During this time, Burrage regularly traveled to Chicago to purchase his supply of heroin. On April 9, 2018, while in Chicago, police officers stopped Burrage’s car, which had been reported stolen. Burrage was the front seat passenger. Officers asked all occupants to exit the car. Burrage refused to get out of the car and told officers they could not search him. Officers ultimately removed Burrage from the car and searched his person. Officers found 18 grams of heroin and over $6,000 cash in Burrage’s pockets.
At the time of his arrest in Chicago, Burrage was already the subject of an investigation by officers with the Central Iowa Drug Task Force. That investigation involved multiple controlled buys of marijuana from Burrage. On April 10, 2018—the day after Burrage’s arrest in Chicago—officers executed a search warrant at Burrage’s apartment in Nevada, Iowa. During the search, officers located a locked safe in a bedroom. Inside the safe officers found 21 grams of heroin, a half-ounce of marijuana, three digital scales, and other drug trafficking paraphernalia. Elsewhere in the apartment, officers found plastic baggies and drug notes. On April 11, 2018, a federal arrest warrant was issued for Burrage. Burrage was taken into custody in May 2019 after the United States Marshals Service tracked Burrage to a motel in West Des Moines. Officers found Burrage hiding in the room’s bathtub.
While awaiting trial on his drug trafficking charges, Burrage assaulted a correctional officer at the Polk County Jail. According to evidence presented at trial on that charge, Burrage punched a correctional officer in the back of the head causing serious injury and then bragged about it.
At sentencing, Chief United States District Court Judge Stephanie M. Rose found that Burrage used violence in his drug trafficking, obstructed justice by attempting to influence a witness to lie, utilized fear and affection to further his drug trafficking, and maintained a residence for drug trafficking. As a result, Burrage was sentenced to 324 months in prison on the drug charges and a consecutive 51 months in prison for assault on a correctional officer, for a total of 375 months in prison.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The investigation was conducted by the Central Iowa Drug Task Force, Federal Bureau of Investigation, Polk County Sheriff’s Office, and United States Marshals Service. Assistant United States Attorneys Mallory Weiser and Kyle Essley prosecuted the case with the assistance of Victim Witness Specialist Charlotte Kovacs.
Man from El Guique, New Mexico, sentenced to five years in prisonRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced today that Julian Lucas Garcia was sentenced to five years in prison. Following a five-day trial, a federal jury convicted Garcia, 33, of El Guique, New Mexico, on Sept. 17, 2021, of one count of assault resulting in serious bodily injury, one count of operating an off-highway vehicle while under the influence of intoxicating liquor or drugs resulting in bodily injury, and one count of operating an off-highway vehicle on a paved road resulting in bodily injury.
On July 4, 2019, on the Ohkay Owingeh Pueblo, Garcia, a non-Indian, was recklessly driving an ATV without headlights in dark conditions through an area crowded with people waiting to watch a Fourth of July fireworks celebration at the Ohkay Owingeh Casino. The victim, identified as Jane Doe, an enrolled member of the San Ildefonso Pueblo, was crossing the road when Garcia accelerated and struck her. The collisions threw her into the air and 69 feet down the road. Doe was seriously injured and suffered traumatic brain injury, broken ribs, and a knee injury requiring a skin graft.
Jane Doe was initially transported to Presbyterian Española Hospital, then immediately flown to the University of New Mexico Hospital’s Trauma Center for emergency treatment. She underwent multiple surgeries and months of treatment in intensive care units and rehabilitation centers. However, after battling the injuries she suffered in the crash for over two years, Jane Doe passed away on Nov. 9, 2021.
Witnesses, including responding law enforcement, emergency medical personnel and hospital staff testified that Garcia smelled and appeared intoxicated. During questioning by law enforcement, Garcia refused his consent to provide a blood alcohol sample.
“As we approach the Fourth of July holiday, today’s sentence brings our collective accountability into sharp relief,” said U.S. Attorney Uballez. “Three years ago, Julian Garcia’s recklessness forever took a treasured member of our community, and in doing so Garcia’s family also lost of member of theirs to five years in federal prison. What began as a celebration ended in tragedy, all in one moment of careless self-indulgence. This is a sobering reminder that we are each members of a larger community and, as such, that we have a responsibility to keep one another safe.”
“The Bureau of Indian Affairs, Office of Justice Services Northern Pueblos Agency and the Ohkay Owingeh Tribal Police Department share the sorrow the San Ildefonso Pueblo has experienced as a result of this tragedy,” said Brenda Gonzales, BIA-OJS Special Agent in Charge. “While nothing can be done to bring Jane Doe back, the family now has closure to allow them to begin healing.”
Upon his release from prison, Garcia will be subject to three years of supervised release. Garcia was also ordered to pay a $1,000 fine and must pay $7,570 in restitution.
The Northern Pueblos Agency of the Bureau of Indian Affairs, the Office of Justice Services, the Ohkay Owingeh Tribal Police Department, and the New Mexico State Police investigated the case. Assistant U.S. Attorneys Alexander F. Flores and Kyle T. Nayback prosecuted the case.
# # #
Man Who Illegally Possessed Handgun on Chicago Sidewalk Sentenced to Nearly 7 Years in Federal PrisonRead the Press Release
CHICAGO — A man who illegally possessed a loaded handgun on a Chicago sidewalk and tried to flee from police has been sentenced to nearly seven years in federal prison.
LAMONT HAGGARD illegally possessed the firearm on the evening of Jan. 4, 2019. Chicago Police tactical officers observed Haggard reach for an object in his waistband while walking on a sidewalk in the West Garfield Park neighborhood on the city’s West Side. Haggard ran from the officers and discarded the gun in a vacant lot before he was arrested in an outdoor stairwell in the rear of a nearby apartment building.
Haggard, 32, of Chicago, pleaded guilty earlier this year to a federal charge of illegal possession of a firearm. Haggard had previously been convicted of multiple state felonies and was prohibited by federal law from possessing a firearm.
U.S. District Judge Charles R. Norgle on June 24, 2022, imposed an 80-month prison sentence.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Kristen de Tineo, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives; and David Brown, Superintendent of the Chicago Police Department. Valuable assistance was provided by the Cook County State’s Attorney’s Office.
“The possession of a firearm by a convicted felon is serious in nature,” Assistant U.S. Attorney Aaron R. Bond argued in the government’s sentencing memorandum. “The presence of this loaded firearm in the hands of defendant, and his actions when he possessed it, were a recipe for potential disaster.”
Lev Parnas Sentenced to 20 Months in Prison for Campaign Finance, Wire Fraud, and False Statements OffensesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that LEV PARNAS was sentenced today in Manhattan federal court by United States District Judge J. Paul Oetken to 20 months in prison for conspiring to make political contributions by a foreign national along with solicitation and aiding and abetting the making of the same, conspiring to make straw donations, participating in a wire fraud conspiracy, and making false statements and falsifying records. PARNAS was previously found guilty on October 22, 2021 following a two-week jury trial on campaign finance and false statements offenses, and pled guilty to participating in a wire fraud conspiracy on March 25, 2022.
U.S. Attorney Damian Williams said: “Parnas will now serve time in prison for his many crimes. Not content to defraud investors in his business, Fraud Guarantee, out of more than $2 million dollars, Parnas also defrauded the American public by pumping Russian money into U.S. elections and lying about the source of funds for political contributions. My office will continue to aggressively prosecute those who put their personal and financial gain above their country and their investors.”
According to the allegations in the Indictment, court documents, and evidence presented at trial:
The Foreign Donor Scheme
In the spring of 2018, PARNAS, Igor Fruman, Andrey Kukushkin and Andrey Muraviev, a Russian oligarch, decided to launch a business aimed at acquiring retail cannabis licenses in the United States. As part of that plan, Muraviev agreed to wire $1 million, through a series of bank accounts, to Fruman and PARNAS to fund hundreds of thousands of dollars in political contributions they had made or promised to make before the election in November 2018. The purpose of the donations was to curry favor with candidates that might be able to help PARNAS and his co-conspirators obtain cannabis and marijuana licenses. To obscure the fact that Muraviev was the true donor of the money, the funds were sent to a business bank account controlled by Fruman’s brother, and then the donations were made in PARNAS’s and Fruman’s names.
The Straw Donor and False Statements Scheme
In March 2018, PARNAS and Fruman began attending political fundraising events in connection with federal elections and making substantial contributions to candidates, joint fundraising committees, and independent expenditure committees with the purpose of enhancing their influence in political circles and gaining access to politicians.
In May 2018, to obtain access to exclusive political events and gain influence with politicians, PARNAS and Fruman made a $325,000 contribution to an independent expenditure committee. PARNAS and Fruman also made thousands of dollars in contributions to a federal candidate and a joint fundraising committee. Despite the fact that the Federal Election Commission (“FEC”) forms for these contributions required PARNAS and Fruman to disclose the true donor of the funds, they falsely reported that the $325,000 contribution came from Global Energy Producers, a purported liquefied natural gas import-export business that was incorporated by PARNAS and Fruman around the time the contributions were made. PARNAS also falsely stated on contribution forms that contributions to the federal candidate and joint fundraising committee were paid for by him. In truth and in fact, the donations did not come from Parnas or GEP funds. Rather, the contributions were all straw donations paid for by Fruman.
In response to a complaint filed with the FEC regarding the $325,000 contribution to the independent expenditure committee, and to further conceal the true source of the funds used to make certain of their donations, in or about October 2018, PARNAS and Fruman submitted sworn affidavits to the FEC that contained false statements, including that the $325,000 contribution “was made with GEP funds for GEP purposes” and that “GEP is a real business enterprise funded with substantial bona fide capital investment; its major purpose is energy trading, not political activity.”
The Fraud Guarantee Scheme
Between in or about late 2012 and in or about mid-2019, PARNAS and David Corriea conspired to defraud multiple victims by inducing them to invest in their company, known as “Fraud Guarantee,” based on materially false and misleading representations. Among other things, PARNAS and Correia falsely claimed that the investors’ funds would be used solely for legitimate business expenses of Fraud Guarantee, when in fact the funds were largely withdrawn as cash, transferred to personal accounts, and used for various apparently personal expenditures. PARNAS and Correia also made materially false representations concerning, among other things, how much money PARNAS had contributed to the company and how much money the company had raised overall. At least seven victims invested in Fraud Guarantee based at least in part on PARNAS’s and Correia’s false and misleading representations, with each victim being fraudulently induced to pay hundreds of thousands of dollars, for a total of more than $2 million.
* * *
PARNAS, 50, of Boca Raton, Florida, was sentenced to 20 months in prison, three years of supervised release, as well as $2,322,500 restitution. Igor Fruman was sentenced to 366 days in prison on January 21, 2022 for solicitation of a contribution by a foreign national. Andrey Kukushkin was sentenced to 366 days in prison on March 15, 2022 for conspiring to make and aiding and abetting the making of a contribution by a foreign national. David Correia was sentenced to 366 days in prison on February 8, 2021 for making false statements and conspiracy to commit wire fraud. Andrey Muraviev is believed to be in Russia and remains at large.
Mr. Williams praised the outstanding investigative work of the FBI and its New York Field Office.
This case is being handled by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Rebekah Donaleski, Aline R. Flodr, Hagan Scotten, and Nicolas Roos are in charge of the prosecution.
Killeen Man Sentenced to over 35 Years for Carjacking and Armed RobberiesRead the Press Release
WACO – Today Darius Letrayal King, 29, of Killeen was sentenced to 427 months for carjacking and armed robberies of local stores.
According to court documents and evidence presented at trial, King, along with his codefendant Corey Labon Jackson, 51, also of Killeen, committed armed robberies of a 7-Eleven and a Family Dollar store in January 2020. King drove Jackson to the stores and provided him a firearm while Jackson robbed the stores at gun point. On January 3, 2020, King also committed a carjacking, taking a vehicle at gunpoint from an acquaintance.
On March 10, 2022, King was found guilty by a federal jury sitting in Waco of one count of Carjacking; three counts of Brandishing a Firearm During the Commission of a Crime of Violence; two counts of Interference with Commerce by Robbery; and one count of Possession of a Firearm by a Convicted Felon. King has remained in federal custody since his arrest on January 8, 2020.
On February 22, 2022, Jackson pleaded guilty to one count of Interference with Commerce by Robbery and one count of Brandishing a Firearm During the Commission of a Crime of Violence. On May 18, 2022, Jackson was sentenced to a total of 144 months in prison. Jackson has remained in federal custody since his arrest on January 8, 2020.
“Those who perpetrate violence among us forfeit their freedom,” said Executive Assistant U.S. Attorney Kristy Callahan. “Mr. King’s prison sentence reflects that very notion and is appropriate given his crimes. Our law enforcement partners are to be commended for acting quickly to protect our communities.”
“Today’s sentencing sends a clear message that violent criminal acts will not be tolerated,” said Special Agent in Charge Oliver E. Rich Jr., FBI, San Antonio Division. “We maintain our steadfast commitment to work with our federal, state and local partners to address violent crime in our communities."
The FBI and the Killeen Police Department’s Violent Crime Unit, with invaluable assistance from the Temple Police Department, investigated the case.
Assistant U.S. Attorney Mark Frazier prosecuted the case.
This case is being prosecuted as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
###
Kansas Man Sentenced for Violent Racially-Motivated Hate Crime Targeting Black ManRead the Press Release
A Kansas man was sentenced today to 27 months in federal prison and 18 months of supervised release for threatening a Black man with a knife because of the man’s race, in order to intimidate and interfere with the man’s right to fair housing. Assistant Attorney General Kristen Clarke of the Department of Justice’s Civil Rights Division, U.S. Attorney Duston Slinkard for the District of Kansas and Special Agent in Charge Charles Dayoub for the FBI Kansas City Field Office made the announcement.
According to the court documents, on Sept. 11, 2019, Colton Donner, 27, was driving through a residential area of Paola, Kansas, when he saw the victim, a Black man, walking on the sidewalk. Donner stopped, got out of the car, and approached the victim while brandishing a knife. Donner threatened the victim, yelled racial slurs, and told the victim that Paola is a “white town.”
“Racially-motivated threats and violence have no place in our society today,” said Assistant Attorney General Clarke. “This sentence should send a strong message to perpetrators of violent hate-fueled acts that they will be held accountable for their crimes. Everyone deserves to feel safe and secure living in their communities, without being subject to racially-motivated crimes seeking to drive them from their homes or neighborhoods.”
“All Americans have the freedom to decide where they want to live, and to do so without fear of being threatened because of their race,” said U.S. Attorney Slinkard. “Hopefully this prison sentence will deter those who would commit acts of racial discrimination and violence by illustrating the Justice Department’s steadfast resolve to prosecute these crimes.”
“Every individual has the right to occupy a home free from racial discrimination, yet the defendant targeted the victim for no other reason than the victim’s race,” said Special Agent in Charge Dayoub. “The defendant’s actions, directly undermined the victim’s right to reside in a community in Paola, and to enjoy the protections afforded under the federal civil rights act. The FBI, along with our law enforcement partners, have no tolerance for this type of fear and intimidation and are committed to protecting residents regardless of their race, color, religion, gender, national origin or familial status.”
This case was investigated by the Paola Police Department and the Kansas City Field Office of the FBI. The case was prosecuted by Assistant U.S. Attorney Tristam Hunt of the District of Kansas and Trial Attorney Anita Channapati of the Civil Rights Division’s Criminal Section.
Justice Department’s Criminal Division Creates New England Prescription Opioid Strike Force to Focus on Illegal Opioid PrescriptionsRead the Press Release
WATCH THE ANNOUNCEMENTAssistant Attorney General Kenneth A. Polite, Jr., of the Justice Department’s Criminal Division today announced the formation of the New England Prescription Opioid (NEPO) Strike Force, a joint law enforcement effort that brings together the resources and expertise of the Health Care Fraud Unit in the Criminal Division’s Fraud Section, the U.S. Attorneys’ Offices for three federal districts, as well as law enforcement partners at the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG), U.S. Drug Enforcement Administration (DEA), and the FBI. The mission of the NEPO Strike Force is to identify and investigate health care fraud schemes in the New England region, and to effectively and efficiently prosecute individuals involved in the illegal distribution of prescription opioids and other prescribed controlled substances. The NEPO Strike Force will primarily target criminal conduct by physicians, pharmacists, and other medical professionals, focusing upon both health care fraud and drug diversion offenses, as relevant based upon the facts of the particular case.
“This NEPO Strike Force expands and sharpens the Justice Department’s response to the nation’s opioid epidemic,” said Assistant Attorney General Kenneth A. Polite, Jr., of the Justice Department’s Criminal Division. “In the last year, more than 75,000 people in the United States lost their lives due to overdose. Since 2018, some of the greatest spikes in the drug overdose death rate have occurred in New England. The NEPO Strike Force will help to address one of the root causes of the epidemic: unlawful prescription and diversion of opioids. Together with our partners, we will fulfill the department’s solemn promise to deploy critical resources to address the opioid crisis.”
Assistant Attorney General Polite was joined in the announcement in Concord, New Hampshire, by U.S. Attorney Jane E. Young for the District of New Hampshire; U.S. Attorney Darcie N. McElwee for the District of Maine; U.S. Attorney Nikolas P. Kerest for the District of Vermont; Deputy Inspector General for Investigations Christian J. Schrank of HHS-OIG; Assistant Administrator Kristi N. O’Malley of the DEA Diversion Control Division; and Acting Deputy Assistant Director Aaron Tapp of the FBI’s Criminal Investigative Division.
“The formation of NEPO presents a tremendous opportunity for our three Northern New England states to disrupt the illegal prescription and distribution of opioids,” said U.S. Attorney Jane E. Young for the District of New Hampshire. “As a state, we are grateful to the Department of Justice to be part of this initiative and excited that it will be based here in New Hampshire.”
“Maine’s opioid overdose death rate has skyrocketed, and law enforcement has identified the opioid epidemic as the number one issue officers face,” said U.S. Attorney Darcie N. McElwee for the District of Maine. “While the trafficking of illegal drugs, in particular fentanyl, is well publicized, 23% of overdose deaths in Maine are the result of pharmaceutical opioids, and many of those who died from illicit substances very likely first tried pharmaceuticals, either their own or those of a friend or family member. This Strike Force will provide vital resources to help fight a growing epidemic, and along with our partners, we will pursue any medical personnel who misuse their position to endanger lives through the overprescribing of opioids for their own financial gain.”
“The announcement of the New England Prescription Opioid Strike Force demonstrates the Department of Justice’s commitment to working with our law enforcement partners in Vermont and elsewhere to hold accountable health care providers who exploit the opioid epidemic for personal gain,” said U.S. Attorney Nikolas P. Kerest for the District of Vermont. “Health care providers who issue illegal opioid prescriptions undermine important efforts to address the epidemic while putting patients at risk of overdose and physical harm.”
“HHS-OIG is unwavering in our commitment to hold accountable providers who illegally prescribe opioids for personal profit while neglecting the safety and wellbeing of their patients,” said Inspector General Christi A. Grimm of the U.S. Department of Health and Human Services. “Along with our law enforcement partners, HHS-OIG is proud to support the New England Prescription Opioid Strike Force in a collaborative effort to assist communities plagued by the opioid epidemic.”
“At a time when the United States is losing tens of thousands of Americans to opioid overdoses every year, it has never been more critical to ensure doctors and health care practitioners are prioritizing the safety and health of their patients,” said DEA Administrator Anne Milgram. “The creation of the New England Prescription Opioid Strike Force further strengthens our important cooperation with partners in the region to hold accountable any practitioner who recklessly distributes opioid medications.”
“The formation of the New England Prescription Opioid Strike Force provides the FBI and our law enforcement partners with important collective resources to combat health care fraud and drug diversion schemes within the region,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI will not tolerate those medical professionals willing to sacrifice patients’ health for their personal profit and will work tirelessly to root out and bring to justice those individuals who illegally distribute prescription opioids and other controlled substances.”
The NEPO Strike Force will operate as a partnership between prosecutors and data analysts with the Fraud Section’s Health Care Fraud Unit, prosecutors with the U.S. Attorneys’ Offices in New Hampshire, Maine, and Vermont, and special agents with HHS-OIG, DEA, and the FBI. It will operate out of the Concord, New Hampshire, area, supporting the three districts that make up the NEPO Strike Force region. In addition, the NEPO Strike Force will work closely with other federal and state law enforcement agencies, including the State Medicaid Fraud Control Units.
Today’s NEPO Strike Force announcement builds on the demonstrated success of the Health Care Fraud Unit’s Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past three years, ARPO has charged 111 defendants, collectively responsible for issuing prescriptions for over 115 million controlled substance pills. To date, more than 60 ARPO defendants have been convicted.
*********
Information about available treatment programs is available as follows:
New Hampshire: For a referral to addiction treatment services, please call 211. If you or a loved one is in a substance use crisis please call/text the New Hampshire Rapid Response Access Point at 1-833-710-6477. New Hampshire residents can call and speak to trained and caring clinical staff 24 hours a day, seven days a week.
Maine: The Overdose Prevention Through Intensive Outreach Naloxone and Safety (OPTIONS) initiative is a coordinated effort of the Maine Office of Behavioral Health (OBH) and other state agencies to improve the health of Mainers using substances through harm reduction strategies, helping them on the road to recovery, and dramatically reducing the number of fatal and non-fatal drug overdoses. Go to https://knowyouroptions.me. If you or a loved one are struggling with opiate addiction, please contact 211 to receive help and find information about local treatment programs.
Vermont: No matter where in Vermont you are, there are resources to help. Vermont 211 (https://vermont211.org/) is available. To speak to someone about substance use resources including treatment options, call VT Helplink 802-565-LINK (toll free at 833-565-LINK) or visit online at VTHelplink.org, and Vermont Alcohol and Abuse Programs (802-651-1550). All information and referral services are free and confidential.
For individuals seeking help in other states, please call the Substance Abuse and Mental Health Services Administration National Helpline at 1-800-662-HELP (4357) or TTY: 1-800-487-4889. This service provides referrals to local treatment facilities, support groups, and community-based organizations.
Justice Department’s Criminal Division Creates New England Prescription Opioid Strike Force to Focus on Illegal Opioid PrescriptionsRead the Press Release
Assistant Attorney General Kenneth A. Polite, Jr., of the Justice Department’s Criminal Division today announced the formation of the New England Prescription Opioid (NEPO) Strike Force, a joint law enforcement effort that brings together the resources and expertise of the Health Care Fraud Unit in the Criminal Division’s Fraud Section, the U.S. Attorneys’ Offices for three federal districts, as well as law enforcement partners at the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG), U.S. Drug Enforcement Administration (DEA), and the FBI. The mission of the NEPO Strike Force is to identify and investigate health care fraud schemes in the New England region, and to effectively and efficiently prosecute individuals involved in the illegal distribution of prescription opioids and other prescribed controlled substances. The NEPO Strike Force will primarily target criminal conduct by physicians, pharmacists, and other medical professionals, focusing upon both health care fraud and drug diversion offenses, as relevant based upon the facts of the particular case.
“This NEPO Strike Force expands and sharpens the Justice Department’s response to the nation’s opioid epidemic,” said Assistant Attorney General Kenneth A. Polite, Jr., of the Justice Department’s Criminal Division. “In the last year, more than 75,000 people in the United States lost their lives due to overdose. Since 2018, some of the greatest spikes in the drug overdose death rate have occurred in New England. The NEPO Strike Force will help to address one of the root causes of the epidemic: unlawful prescription and diversion of opioids. Together with our partners, we will fulfill the department’s solemn promise to deploy critical resources to address the opioid crisis.”
Assistant Attorney General Polite was joined in the announcement in Concord, New Hampshire, by U.S. Attorney Jane E. Young for the District of New Hampshire; U.S. Attorney Darcie N. McElwee for the District of Maine; U.S. Attorney Nikolas P. Kerest for the District of Vermont; Deputy Inspector General for Investigations Christian J. Schrank of HHS-OIG; Assistant Administrator Kristi N. O’Malley of the DEA Diversion Control Division; and Acting Deputy Assistant Director Aaron Tapp of the FBI’s Criminal Investigative Division.
“The formation of NEPO presents a tremendous opportunity for our three Northern New England states to disrupt the illegal prescription and distribution of opioids,” said U.S. Attorney Jane E. Young for the District of New Hampshire. “As a state, we are grateful to the Department of Justice to be part of this initiative and excited that it will be based here in New Hampshire.”
“Maine’s opioid overdose death rate has skyrocketed, and law enforcement has identified the opioid epidemic as the number one issue officers face,” said U.S. Attorney Darcie N. McElwee for the District of Maine. “While the trafficking of illegal drugs, in particular fentanyl, is well publicized, 23% of overdose deaths in Maine are the result of pharmaceutical opioids, and many of those who died from illicit substances very likely first tried pharmaceuticals, either their own or those of a friend or family member. This Strike Force will provide vital resources to help fight a growing epidemic, and along with our partners, we will pursue any medical personnel who misuse their position to endanger lives through the overprescribing of opioids for their own financial gain.”
“The announcement of the New England Prescription Opioid Strike Force demonstrates the Department of Justice’s commitment to working with our law enforcement partners in Vermont and elsewhere to hold accountable health care providers who exploit the opioid epidemic for personal gain,” said U.S. Attorney Nikolas P. Kerest for the District of Vermont. “Health care providers who issue illegal opioid prescriptions undermine important efforts to address the epidemic while putting patients at risk of overdose and physical harm.”
“HHS-OIG is unwavering in our commitment to hold accountable providers who illegally prescribe opioids for personal profit while neglecting the safety and wellbeing of their patients,” said Inspector General Christi A. Grimm of the U.S. Department of Health and Human Services. “Along with our law enforcement partners, HHS-OIG is proud to support the New England Prescription Opioid Strike Force in a collaborative effort to assist communities plagued by the opioid epidemic.”
“At a time when the United States is losing tens of thousands of Americans to opioid overdoses every year, it has never been more critical to ensure doctors and health care practitioners are prioritizing the safety and health of their patients,” said DEA Administrator Anne Milgram. “The creation of the New England Prescription Opioid Strike Force further strengthens our important cooperation with partners in the region to hold accountable any practitioner who recklessly distributes opioid medications.”
“The formation of the New England Prescription Opioid Strike Force provides the FBI and our law enforcement partners with important collective resources to combat health care fraud and drug diversion schemes within the region,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI will not tolerate those medical professionals willing to sacrifice patients’ health for their personal profit and will work tirelessly to root out and bring to justice those individuals who illegally distribute prescription opioids and other controlled substances.”
The NEPO Strike Force will operate as a partnership between prosecutors and data analysts with the Fraud Section’s Health Care Fraud Unit, prosecutors with the U.S. Attorneys’ Offices in New Hampshire, Maine, and Vermont, and special agents with HHS-OIG, DEA, and the FBI. It will operate out of the Concord, New Hampshire, area, supporting the three districts that make up the NEPO Strike Force region. In addition, the NEPO Strike Force will work closely with other federal and state law enforcement agencies, including the State Medicaid Fraud Control Units.
Today’s NEPO Strike Force announcement builds on the demonstrated success of the Health Care Fraud Unit’s Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past three years, ARPO has charged 111 defendants, collectively responsible for issuing prescriptions for over 115 million controlled substance pills. To date, more than 60 ARPO defendants have been convicted.
*********
Information about available treatment programs is available as follows:
New Hampshire: For a referral to addiction treatment services, please call 211. If you or a loved one is in a substance use crisis please call/text the New Hampshire Rapid Response Access Point at 1-833-710-6477. New Hampshire residents can call and speak to trained and caring clinical staff 24 hours a day, seven days a week.
Maine: The Overdose Prevention Through Intensive Outreach Naloxone and Safety (OPTIONS) initiative is a coordinated effort of the Maine Office of Behavioral Health (OBH) and other state agencies to improve the health of Mainers using substances through harm reduction strategies, helping them on the road to recovery, and dramatically reducing the number of fatal and non-fatal drug overdoses. Go to https://knowyouroptions.me. If you or a loved one are struggling with opiate addiction, please contact 211 to receive help and find information about local treatment programs.
Vermont: No matter where in Vermont you are, there are resources to help. Vermont 211 (https://vermont211.org/) is available. To speak to someone about substance use resources including treatment options, call VT Helplink 802-565-LINK (toll free at 833-565-LINK) or visit online at VTHelplink.org, and Vermont Alcohol and Abuse Programs (802-651-1550). All information and referral services are free and confidential.
For individuals seeking help in other states, please call the Substance Abuse and Mental Health Services Administration National Helpline at 1-800-662-HELP (4357) or TTY: 1-800-487-4889. This service provides referrals to local treatment facilities, support groups, and community-based organizations.
Justice Department’s Criminal Division Creates New England Prescription Opioid Strike Force to Focus on Illegal Opioid PrescriptionsRead the Press Release
CONCORD, N.H. – Assistant Attorney General Kenneth A. Polite, Jr., of the Justice Department’s Criminal Division today announced the formation of the New England Prescription Opioid (NEPO) Strike Force, a joint law enforcement effort that brings together the resources and expertise of the Health Care Fraud Unit in the Criminal Division’s Fraud Section, the U.S. Attorneys’ Offices for three federal districts, as well as law enforcement partners at the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG), U.S. Drug Enforcement Administration (DEA), and the FBI. The mission of the NEPO Strike Force is to identify and investigate health care fraud schemes in the New England region, and to effectively and efficiently prosecute individuals involved in the illegal distribution of prescription opioids and other prescribed controlled substances. The NEPO Strike Force will primarily target criminal conduct by physicians, pharmacists, and other medical professionals, focusing upon both health care fraud and drug diversion offenses, as relevant based upon the facts of the particular case.
“This NEPO Strike Force expands and sharpens the Justice Department’s response to the nation’s opioid epidemic,” said Assistant Attorney General Kenneth A. Polite, Jr., of the Justice Department’s Criminal Division. “In the last year, more than 75,000 people in the United States lost their lives due to overdose. Since 2018, some of the greatest spikes in the drug overdose death rate have occurred in New England. The NEPO Strike Force will help to address one of the root causes of the epidemic: unlawful prescription and diversion of opioids. Together with our partners, we will fulfill the department’s solemn promise to deploy critical resources to address the opioid crisis.”
Assistant Attorney General Polite was joined in the announcement in Concord, New Hampshire, by U.S. Attorney Jane E. Young for the District of New Hampshire; U.S. Attorney Darcie N. McElwee for the District of Maine; U.S. Attorney Nikolas P. Kerest for the District of Vermont; Deputy Inspector General for Investigations Christian J. Schrank of HHS-OIG; Assistant Administrator Kristi N. O’Malley of the DEA Diversion Control Division; and Acting Deputy Assistant Director Aaron Tapp of the FBI’s Criminal Investigative Division.
“The formation of NEPO presents a tremendous opportunity for our three Northern New England states to disrupt the illegal prescription and distribution of opioids,” said U.S. Attorney Jane E. Young for the District of New Hampshire. “As a state, we are grateful to the Department of Justice to be part of this initiative and excited that it will be based here in New Hampshire.”
“Maine’s opioid overdose death rate has skyrocketed, and law enforcement has identified the opioid epidemic as the number one issue officers face,” said U.S. Attorney Darcie N. McElwee for the District of Maine. “While the trafficking of illegal drugs, in particular fentanyl, is well publicized, 23% of overdose deaths in Maine are the result of pharmaceutical opioids, and many of those who died from illicit substances very likely first tried pharmaceuticals, either their own or those of a friend or family member. This Strike Force will provide vital resources to help fight a growing epidemic, and along with our partners, we will pursue any medical personnel who misuse their position to endanger lives through the overprescribing of opioids for their own financial gain.”
“The announcement of the New England Prescription Opioid Strike Force demonstrates the Department of Justice’s commitment to working with our law enforcement partners in Vermont and elsewhere to hold accountable health care providers who exploit the opioid epidemic for personal gain,” said U.S. Attorney Nikolas P. Kerest for the District of Vermont. “Health care providers who issue illegal opioid prescriptions undermine important efforts to address the epidemic while putting patients at risk of overdose and physical harm.”
“HHS-OIG is unwavering in our commitment to hold accountable providers who illegally prescribe opioids for personal profit while neglecting the safety and wellbeing of their patients,” said Inspector General Christi A. Grimm of the U.S. Department of Health and Human Services. “Along with our law enforcement partners, HHS-OIG is proud to support the New England Prescription Opioid Strike Force in a collaborative effort to assist communities plagued by the opioid epidemic.”
“At a time when the United States is losing tens of thousands of Americans to opioid overdoses every year, it has never been more critical to ensure doctors and health care practitioners are prioritizing the safety and health of their patients,” said DEA Administrator Anne Milgram. “The creation of the New England Prescription Opioid Strike Force further strengthens our important cooperation with partners in the region to hold accountable any practitioner who recklessly distributes opioid medications.”
“The formation of the New England Prescription Opioid Strike Force provides the FBI and our law enforcement partners with important collective resources to combat health care fraud and drug diversion schemes within the region,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI will not tolerate those medical professionals willing to sacrifice patients’ health for their personal profit and will work tirelessly to root out and bring to justice those individuals who illegally distribute prescription opioids and other controlled substances.”
The NEPO Strike Force will operate as a partnership between prosecutors and data analysts with the Fraud Section’s Health Care Fraud Unit, prosecutors with the U.S. Attorneys’ Offices in New Hampshire, Maine, and Vermont, and special agents with HHS-OIG, DEA, and the FBI. It will operate out of the Concord, New Hampshire, area, supporting the three districts that make up the NEPO Strike Force region. In addition, the NEPO Strike Force will work closely with other federal and state law enforcement agencies, including the State Medicaid Fraud Control Units.
Today’s NEPO Strike Force announcement builds on the demonstrated success of the Health Care Fraud Unit’s Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past three years, ARPO has charged 111 defendants, collectively responsible for issuing prescriptions for over 115 million controlled substance pills. To date, more than 60 ARPO defendants have been convicted.
*********
Information about available treatment programs is available as follows:
New Hampshire: For a referral to addiction treatment services, please call 211. If you or a loved one is in a substance use crisis please call/text the New Hampshire Rapid Response Access Point at 1-833-710-6477. New Hampshire residents can call and speak to trained and caring clinical staff 24 hours a day, seven days a week.
Maine: The Overdose Prevention Through Intensive Outreach Naloxone and Safety (OPTIONS) initiative is a coordinated effort of the Maine Office of Behavioral Health (OBH) and other state agencies to improve the health of Mainers using substances through harm reduction strategies, helping them on the road to recovery, and dramatically reducing the number of fatal and non-fatal drug overdoses. Go to https://knowyouroptions.me. If you or a loved one are struggling with opiate addiction, please contact 211 to receive help and find information about local treatment programs.
Vermont: No matter where in Vermont you are, there are resources to help. Vermont 211 (https://vermont211.org/) is available. To speak to someone about substance use resources including treatment options, call VT Helplink 802-565-LINK (toll free at 833-565-LINK) or visit online at VTHelplink.org, and Vermont Alcohol and Abuse Programs (802-651-1550). All information and referral services are free and confidential.
For individuals seeking help in other states, please call the Substance Abuse and Mental Health Services Administration National Helpline at 1-800-662-HELP(4357) or TTY: 1-800-487-4889. This service provides referrals to local treatment facilities, support groups, and community-based organizations.Justice Department's Criminal Division Creates New England Prescription Opioid Strike Force to Focus on Illegal Opioid PrescriptionsRead the Press Release
New England Prescription Opioid Strike Force to Combat Unlawful Prescribing Amidst Continuing Opioid Epidemic
CONCORD, N.H. – Assistant Attorney General Kenneth A. Polite, Jr., of the Justice Department’s Criminal Division today announced the formation of the New England Prescription Opioid (NEPO) Strike Force, a joint law enforcement effort that brings together the resources and expertise of the Health Care Fraud Unit in the Criminal Division’s Fraud Section, the U.S. Attorneys’ Offices for three federal districts, as well as law enforcement partners at the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG), U.S. Drug Enforcement Administration (DEA), and the FBI. The mission of the NEPO Strike Force is to identify and investigate health care fraud schemes in the New England region, and to effectively and efficiently prosecute individuals involved in the illegal distribution of prescription opioids and other prescribed controlled substances. The NEPO Strike Force will primarily target criminal conduct by physicians, pharmacists, and other medical professionals, focusing upon both health care fraud and drug diversion offenses, as relevant based upon the facts of the particular case.
“This NEPO Strike Force expands and sharpens the Justice Department’s response to the nation’s opioid epidemic,” said Assistant Attorney General Kenneth A. Polite, Jr., of the Justice Department’s Criminal Division. “In the last year, more than 75,000 people in the United States lost their lives due to overdose. Since 2018, some of the greatest spikes in the drug overdose death rate have occurred in New England. The NEPO Strike Force will help to address one of the root causes of the epidemic: unlawful prescription and diversion of opioids. Together with our partners, we will fulfill the department’s solemn promise to deploy critical resources to address the opioid crisis.”
Assistant Attorney General Polite was joined in the announcement in Concord, New Hampshire, by U.S. Attorney Jane E. Young for the District of New Hampshire; U.S. Attorney Darcie N. McElwee for the District of Maine; U.S. Attorney Nikolas P. Kerest for the District of Vermont; Deputy Inspector General for Investigations Christian J. Schrank of HHS-OIG; Assistant Administrator Kristi N. O’Malley of the DEA Diversion Control Division; and Acting Deputy Assistant Director Aaron Tapp of the FBI’s Criminal Investigative Division.
“The formation of NEPO presents a tremendous opportunity for our three Northern New England states to disrupt the illegal prescription and distribution of opioids,” said U.S. Attorney Jane E. Young for the District of New Hampshire. “As a state, we are grateful to the Department of Justice to be part of this initiative and excited that it will be based here in New Hampshire.”
“Maine’s opioid overdose death rate has skyrocketed, and law enforcement has identified the opioid epidemic as the number one issue officers face,” said U.S. Attorney Darcie N. McElwee for the District of Maine. “While the trafficking of illegal drugs, in particular fentanyl, is well publicized, 23% of overdose deaths in Maine are the result of pharmaceutical opioids, and many of those who died from illicit substances very likely first tried pharmaceuticals, either their own or those of a friend or family member. This Strike Force will provide vital resources to help fight a growing epidemic, and along with our partners, we will pursue any medical personnel who misuse their position to endanger lives through the overprescribing of opioids for their own financial gain.”
“The announcement of the New England Prescription Opioid Strike Force demonstrates the Department of Justice’s commitment to working with our law enforcement partners in Vermont and elsewhere to hold accountable health care providers who exploit the opioid epidemic for personal gain,” said U.S. Attorney Nikolas P. Kerest for the District of Vermont. “Health care providers who issue illegal opioid prescriptions undermine important efforts to address the epidemic while putting patients at risk of overdose and physical harm.”
“HHS-OIG is unwavering in our commitment to hold accountable providers who illegally prescribe opioids for personal profit while neglecting the safety and wellbeing of their patients,” said Inspector General Christi A. Grimm of the U.S. Department of Health and Human Services. “Along with our law enforcement partners, HHS-OIG is proud to support the New England Prescription Opioid Strike Force in a collaborative effort to assist communities plagued by the opioid epidemic.”
“At a time when the United States is losing tens of thousands of Americans to opioid overdoses every year, it has never been more critical to ensure doctors and healthcare practitioners are prioritizing the safety and health of their patients,” said DEA Administrator Anne Milgram. “The creation of the New England Prescription Opioid Strike Force further strengthens our important cooperation with partners in the region to hold accountable any practitioner who recklessly distributes opioid medications.”
“The formation of the New England Prescription Opioid Strike Force provides the FBI and our law enforcement partners with important collective resources to combat health care fraud and drug diversion schemes within the region,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI will not tolerate those medical professionals willing to sacrifice patients’ health for their personal profit and will work tirelessly to root out and bring to justice those individuals who illegally distribute prescription opioids and other controlled substances.”
The NEPO Strike Force will operate as a partnership between prosecutors and data analysts with the Fraud Section’s Health Care Fraud Unit, prosecutors with the U.S. Attorneys’ Offices in New Hampshire, Maine, and Vermont, and special agents with HHS-OIG, DEA, and the FBI. It will operate out of the Concord, New Hampshire, area, supporting the three districts that make up the NEPO Strike Force region. In addition, the NEPO Strike Force will work closely with other federal and state law enforcement agencies, including the State Medicaid Fraud Control Units.
Today’s NEPO Strike Force announcement builds on the demonstrated success of the Health Care Fraud Unit’s Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past three years, ARPO has charged 111 defendants, collectively responsible for issuing prescriptions for over 115,000,000 controlled substance pills. To date, more than 60 ARPO defendants have been convicted.
*********
For anyone needing information about available treatment programs, it is available as follows:
New Hampshire: For a referral to addiction treatment services, please call 211. If you or a loved one is in a substance use crisis please call/text the New Hampshire Rapid Response Access Point at 1-833-710-6477. New Hampshire residents can call and speak to trained and caring clinical staff 24 hours a day, seven days a week.
Maine: The Overdose Prevention Through Intensive Outreach Naloxone and Safety (OPTIONS) initiative is a coordinated effort of the Maine Office of Behavioral Health (OBH) and other state agencies to improve the health of Mainers using substances through harm reduction strategies, helping them on the road to recovery, and dramatically reducing the number of fatal and non-fatal drug overdoses. Go to https://knowyouroptions.me. If you or a loved one are struggling with opiate addiction, please contact 211, where Maine residents can receive help and find information about local treatment programs.
Vermont: No matter where in Vermont you are, there are resources to help. Vermont 2-1-1(https://vermont211.org/) is available. To speak to someone about substance use resources including treatment options, call VT Helplink 802-565-LINK (toll free at 833-565-LINK) or visit online at VTHelplink.org, and Vermont Alcohol and Abuse Programs (802-651-1550). All information and referral services are free and confidential.
For individuals seeking help in other states, please call the Substance Abuse and Mental Health Services Administration National Helpline at 1-800-662-HELP(4357) or TTY: 1-800-487-4889. This service provides referrals to local treatment facilities, support groups, and community-based organizations.
###
22-
Justice Department Sues to Block Booz Allen Hamilton’s Proposed Acquisition of EverWatchRead the Press Release
The Department of Justice filed a civil antitrust lawsuit today to block Booz Allen Hamilton Holding Corporation’s (Booz Allen) proposed acquisition of EverWatch Corp. (EverWatch), a subsidiary of EC Defense Holdings LLC. The complaint, filed in the U.S. District Court for the District of Maryland, alleges that the merger agreement threatens imminent competition for a government contract to provide operational modeling and simulation services to the National Security Agency (NSA). Unless enjoined, the transaction would eliminate competition for this defense contract, leaving NSA to face a monopoly bidder.
“Booz Allen’s agreement to acquire EverWatch imperils competition in a market that is vital to our national security,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “Both the acquisition agreement and the underlying transaction violate federal antitrust law.”
NSA periodically issues a contract for the provision of operational modeling and simulation services to support its signals intelligence data missions. As part of the procurement process, it plans to issue requests for proposals for the next iteration of this contract imminently. Prior to the merger agreement, Booz Allen and EverWatch competed head-to-head to win this NSA contract. Shortly before NSA was scheduled to release the requests for proposal, however, Booz Allen decided to buy its only rival instead. The complaint alleges that the merger agreement violates Section 1 of the Sherman Act because it immediately reduced each company’s incentive to bid aggressively. The complaint further alleges that the proposed transaction substantially lessens competition, in violation of Section 7 of the Clayton Act.
As alleged in the complaint, NSA is a leading defense intelligence agency, specializing in cryptology, signals intelligence, and cybersecurity, and is responsible for providing signals intelligence to our nation’s policymakers and armed forces. Signals intelligence, which is derived from electronic signals and emissions in communications systems, plays a vital role in our national security by providing America’s leaders with critical information needed to defend the United States and to advance the country’s goals and alliances globally.
Booz Allen is a publicly traded professional services company that provides a broad range of services and solutions in management, technology, consulting and engineering. Booz Allen is incorporated in the State of Delaware. It is headquartered in McLean, Virginia, and has an office in Annapolis Junction, Maryland.
EverWatch is a subsidiary of EC Defense Holdings LLC, which is itself owned by the private equity firm Enlightenment Capital. EverWatch provides a range of services to the defense and intelligence community focused on data science, intelligence and cybersecurity. EverWatch is headquartered in Reston, Virginia, and has an office in Annapolis Junction, Maryland.
Justice Department Secures Relief for U.S. Navy Reservist Against Florida Manufacturer Tapesouth Inc.Read the Press Release
The Justice Department announced that it had resolved a claim that Tapesouth Inc. violated the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA) by failing to promptly reemploy U.S. Navy Reservist James Radtke following his leave for a military service obligation. Radtke is a Lieutenant Commander in the U.S. Navy Reserve assigned to Unmanned Patrol Squadron 19 at the Naval Air Station in Jacksonville, Florida.
“Given the sacrifices that servicemembers already make every day, and the uncertainties they face during their military service obligations, it is simply inexcusable when employers violate USERRA by failing to promptly reemploy them in their proper positions upon the completion of their service obligations,” said Assistant Attorney General Kristen Clarke of the Civil Rights Division. “We honor all servicemembers for their service to our nation, and this settlement signals the Justice Department’s ongoing commitment to protecting and enforcing their rights under federal law.”
In March 2020, Lt. Cdr. Radtke notified Tapesouth Inc. that he would be away on a full-time active-duty military service obligation from April through July 2020. Radtke alleged that after contacting Tapesouth Inc. in July 2020, to return to his previous position as the company’s Vice President of Operations, Tapesouth Inc. terminated his employment in violation of USERRA. Under the terms of the settlement, Tapesouth Inc. has agreed to compensate Radtke for lost income in the amount of $2,500 and provide USERRA training to all its employees.
Congress enacted USERRA to encourage non-career service in the uniformed services by reducing employment disadvantages; to minimize the disruption to the lives of persons performing military service, their employers and others, by providing for the prompt reemployment of such persons upon their completion of such service; and to prohibit discrimination against persons because of their service in the uniformed services or if they pursue a claim under USERRA.
The Department of Labor (DOL) referred this matter following an investigation by their Veterans’ Employment and Training Service. The Employment Litigation Section of the Department of Justice’s Civil Rights Division handled the case and continues to work collaboratively with the DOL to protect the jobs and benefits of military members. The Justice Department gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.justice.gov/crt-military/employment-rights-userra and www.justice.gov/servicemembers, as well as on the Department of Labor’s website at www.dol.gov/vets/programs/userra.
Inmate at Federal Correctional Institution Sentenced for Committing Voluntary ManslaughterRead the Press Release
ALEXANDRIA, La. – A federal prisoner housed at the Federal Correctional Institution in Pollock, Louisiana (FCI-Pollock) has been sentenced for voluntary manslaughter, announced United States Attorney Brandon B. Brown. Jose G. Mercado-Gonzalez, 27, has been sentenced by United States District Judge David C. Joseph to spend an additional 135 months in prison, followed by 3 years of supervised release, for this offense.
On October 16, 2021, Mercado-Gonzalez was an inmate at the Bureau of Prisons, FCI-Pollock. On that date, Mercado-Gonzalez was moved to a cell in the Special Housing Unit at FCI-Pollock where he had an altercation which ended in him killing his cellmate. When the victim was found by officers at the prison, he had sustained injuries which caused him to lose his life.
A federal grand jury charged Mercado-Gonzalez on March 24, 2021 and he pleaded guilty to the charge of voluntary manslaughter on March 17, 2022. At the time of this offense, Mercado-Gonzalez was serving a federal sentence for re-entry of a removed alien.
The case was investigated by the Federal Bureau of Investigation and the Bureau of Prisons and prosecuted by Assistant U.S. Attorney Seth D. Reeg.
# # #
Inmate admits to assaulting another inmate, sentencedRead the Press Release
CLARKSBURG, WEST VIRGINIA – Mark Justin Daniels, an inmate at Federal Corrections Institution Hazelton in Bruceton Mills, West Virginia, was sentenced today to 24 months of incarceration after admitting to an assault charge, United States Attorney William Ihlenfeld announced.
Daniels, 36, pleaded guilty today to one count of “Assault with a Dangerous Weapon with Intent to do Bodily Harm.” Daniels admitted to assaulting another inmate in January 2021.
His sentence will run consecutively to any sentence he is currently serving.
Assistant U.S. Attorney Christopher L. Bauer prosecuted the case on behalf of the government. The Bureau of Prisons investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
Indictment Charges New Haven Man with Robbery and Firearm OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that a federal grand jury in New Haven has returned an indictment charging JERMAINE CANNON, 19, of New Haven, with charges stemming from two gunpoint robberies of a New Haven business in November 2021.
The indictment was returned on June 7, 2022. On June 24, Cannon appeared before U.S. Magistrate Judge S. Dave Vatti in Bridgeport and entered a plea of not guilty to the charges. He has been detained since his arrest on state charges on November 11, 2021.
The indictment alleges that on November 10, 2021, and again on November 11, 2021, Cannon, brandishing a firearm, robbed Howard Mini Mart & Deli, located on Howard Avenue in New Haven.
The indictment charges Cannon with two counts of interference with commerce by robbery, an offense that carries a maximum term imprisonment of 20 years, and two counts of carrying, using and brandishing a firearm during and in relation to a crime of violence, an offense that carries mandatory minimum term of imprisonment of at least seven years.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the New Haven Police Department. The case is being prosecuted by Assistant U.S. Attorneys Nathaniel J. Gentile and Jocelyn Courtney Kaoutzanis.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Hickory Man Is Sentenced to Nearly 20 Years in Prison on Drug and Gun ChargesRead the Press Release
CHARLOTTE, N.C. – Today, U.S. District Judge Kenneth D. Bell sentenced Koby Dale Tevepaugh, 32, of Hickory, N.C., to 235 months in prison followed by five years of supervised release for drug trafficking and firearm offenses, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
According to filed documents and court proceedings, between September and November 2021, Tevepaugh trafficked large amounts of methamphetamine in and around Catawba County. On November 10, 2021, Tevepaugh shot a firearm at a neighbor and proceeded to barricade himself in his home. Court records show that Tevepaugh eventually surrendered to law enforcement. Upon his surrender, law enforcement seized from Tevepaugh’s residence four kilograms of methamphetamine, $189,270 in cash, and five firearms. Over the course of the investigation, law enforcement seized an additional $22,465 in drug proceeds. Tevepaugh has multiple prior convictions for Breaking and Entering, First Degree Burglary, and felony drug offenses, which resulted in an increased sentence.
Tevepaugh previously pleaded guilty to three counts of distribution of, and possession with intent to distribute, methamphetamine and possession of firearms by a convicted felon. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
This case is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation which has led to the federal prosecution of more than 60 individuals for drug trafficking. Law enforcement have also seized more than 27 kilograms of cocaine, 3.5 kilograms of heroin, 29 kilograms of fentanyl, 49 kilograms of methamphetamine, 70 firearms, more than $385,000 in cash, and over $800,000 in other property.
OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
In making today’s announcement, U.S. Attorney King commended the Homeland Security Investigations; the Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the North Carolina State Bureau of Investigations; the Catawba County Sheriff’s Office; Burke County Sheriff’s Office; the Hickory Police Department; the Morganton Department of Public Safety; the Longview Police Department; the Huntersville Police Department, and the Gastonia Police Department for their coordination and investigation of the case.
Assistant United States Attorney Steven Kaufman, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Hanover Paving Company Owner Sentenced for Million-Dollar Tax Evasion SchemeRead the Press Release
BOSTON – The owner of a commercial and residential paving business in Hanover was sentenced today for a tax evasion scheme in which he failed to report nearly $1.7 million in income.
William E. Dyer, 57, was sentenced by U.S. Senior District Court Judge William G. Young to one year and one day in prison and one year of supervised release. Dyer was also ordered to pay restitution to the Internal Revenue Service in the amount of $597,881. On Nov. 18, 2021, Dyer pleaded guilty to one count of tax evasion.
Dyer owned and operated Pilgrim Paving. From 2014 through 2018, Dyer diverted payments from Pilgrim Paving customers by directing customers to write checks to him and then cashing those checks. Dyer failed to report over $1.7 million in diverted receipts and additional business deposits on the tax returns that he filed or that he directed a tax preparer to file on his behalf. As a result of this conduct, Dyer underreported his personal income tax obligations, causing a loss to the Internal Revenue Service of nearly $600,000.
United States Attorney Rachael S. Rollins and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement. Assistant U.S. Attorney David M. Holcomb of Rollins’ Securities, Financial & Cyber Fraud Unit prosecuted the case.
Hagerstown, Maryland Drug Dealer Pleads Guilty to Federal Fentanyl and Heroin Drug ChargesRead the Press Release
Baltimore, Maryland – Thamar Smith, age 48, of Hagerstown, Maryland, pleaded guilty today to conspiracy to possess with intent to distribute heroin and fentanyl.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration - Washington Division; and Sheriff Douglas Mullendore of the Washington County Narcotics Task Force.
According to his guilty plea, on March 18, 2019, law enforcement received an anonymous tip from a Hagerstown, Maryland storage facility customer reporting that an individual driving a large SUV and a storage unit conducted a suspected drug deal at the facility. Law enforcement determined that the reported vehicle was registered to Smith and that the unit had been rented to Smith under a fraudulent New York State driver’s license that bore Smith’s photograph and the alias “Michael Silver”.
From March 20 to April 24, 2019, law enforcement surveilled activity at the suspected unit on a daily basis and observed Smith opening the storage unit to weigh and process suspected narcotics for distribution. Smith accessed the storage unit on 39 separate occasions and obtained at least 250 grams of narcotics during his visits.
Through further investigation, law enforcement determined that Smith supplied narcotics to Tyler and Eddie Ware, Hagerstown, Maryland heroin and fentanyl drug dealers. On at least 30 separate occasions between April 8 and May 8, 2019, Smith visited Tyler Ware’s residence. Additionally, in Through further investigation, law enforcement determined that Smith supplied narcotics to Tyler and Eddie Ware, who were Hagerstown, Maryland heroin and fentanyl drug dealers. On at least 30 separate occasions between April 8 and May 8, 2019, Smith visited Tyler Ware’s residence. Additionally, in less than one month, Smith and Tyler contacted each other 714 times by cell phone.
As stated in his plea agreement, on August 9, 2019, law enforcement executed a search warrant at Smith’s Hagerstown, Maryland residence. During the execution of the search warrant, Smith informed law enforcement that he had a storage unit in Hagerstown, Maryland and told officers where he kept the keys to the unit.
As a result of the executed search warrant at Smith’s storage unit, law enforcement located 15.4 grams of heroin, 8.9 grams of a mixture of fentanyl and heroin, digital scales with suspected heroin residue, numerous small plastic baggies, and a glass jar containing a suspected cutting agent.
Tyler and Eddie Ware pleaded guilty to conspiracy to distribute 40 grams or more of fentanyl on October 28, 2020, and January 11, 2021; respectively.
Smith and the government have agreed that, if the Court accepts the plea agreement, Smith will be sentenced to 92 months in federal prison followed by 4 years of supervised release. U.S. District Judge Deborah K. Chasanow has scheduled sentencing for October 7, 2022, at 9:30 a.m.
This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Erek L. Barron commended the DEA and the Washington County Narcotics Task Force for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Christina A. Hoffman and Joan Mathias, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
# # #
Habitual Armed Felon Sentenced to 4 Years in Federal Prison for Third Illegal Firearm Possession OffenseRead the Press Release
EVANSVILLE – Rodney Allen Cannon, Jr., 36, of Indianapolis, was sentenced to 4 years in federal prison for being a felon in possession of a firearm and for violating the conditions of his federal supervised release.
According to court documents, on February 13, 2021, officers with the Evansville Police Department stopped Cannon for committing multiple traffic violations. Further investigation led to a search of the vehicle where officers located a loaded pistol belonging to Cannon underneath the driver’s seat. Cannon is prohibited from lawfully possessing firearms or ammunition due to multiple prior felony convictions, including dealing in cocaine in Marion County, Indiana, and unlawful possession of a firearm by a serious violent felon, also in Marion County. Cannon was also previously convicted of a felony in federal court for possession of a firearm and ammunition by a felon. Cannon was still on federal supervised release for that conviction at the time of his arrest.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Evansville Police Chief Billy Bolin made the announcement.
The Evansville Police Department investigated the case. The Vanderburgh County Prosecuting Attorney’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives also provided valuable assistance. The sentence was imposed by U.S. District Judge Richard L. Young following the defendant’s guilty plea. As part of the sentence, Judge Young ordered that the defendant be supervised by the U.S. Probation Office for 3 years following his release from prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Kristian R. Mukoski who prosecuted this case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
Gulfport Man Sentenced to More Than 11 Years in Federal Prison for Armed Drug TraffickingRead the Press Release
Tampa, Florida – U.S. District Judge Steven D. Merryday today sentenced Calfus W. Drummond (37, Gulfport) to 11 years and 6 months in federal prison for possession with the intent to distribute 400 grams or more of fentanyl; 500 grams or more of methamphetamine; cocaine and marijuana; and possession of a firearm in furtherance of a drug trafficking crime. Drummond had pleaded guilty on December 7, 2021. This federal sentence is to run consecutive to a 7-year prison sentence that a state court previously imposed on Drummond for possession of cocaine with the intent to distribute. The court also ordered Drummond to forfeit a Glock 19 pistol, Romrarm/Cuigar Draco pistol, Iver Johnson revolver, FIE E22 pistol, Glock 17 pistol, Ruger P90 pistol and 177 rounds of ammunition.
According to court documents, on October 9, 2018, Drummond pleaded nolo contendere to a 10-count Information in state court in Manatee County. The state charges that Drummond had pleaded to include possession of cocaine with the intent to distribute. Drummond was on bond when he pleaded guilty and later failed to appear for his sentencing, becoming a fugitive.
On February 4, 2021, law enforcement officers located Drummond at a hotel in Manatee County. The officers detained Drummond as he was getting into his car. The officers recovered a loaded firearm from the passenger seat of the car. The firearm was located underneath a backpack that officers had observed Drummond carrying. The officers searched the backpack and discovered 15 grams of fentanyl, 13.8 grams of methamphetamine, and 57 grams of cocaine. The officers also recovered four pounds of marijuana from inside Drummond’s car. More than $6,700.00 was seized from Drummond’s person during a search incident to arrest.
On that same day, subsequent to Drummond’s arrest, law enforcement officers executed a search warrant at Drummond’s residence and located two bags near Drummond’s front door. One bag contained three firearms, 35 grams of cocaine, 2 grams of fentanyl, and 210 grams of methamphetamine. The second bag contained nearly 1,890 grams of fentanyl and 115 grams of marijuana. Officers also officer recovered $9,836, a Ruger 45, and ammunition from Drummond’s bedroom, an additional 29 grams of fentanyl, 349 grams of methamphetamine, and 116 grams of marijuana were located inside the home. Two firearms and assorted ammunition were recovered from a shed located the back of the residence.
This case was investigated by the Manatee County Sheriff’s Office and the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Charlie D. Connally.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Guatemalan Citizen Sentenced for Assaulting a Federal OfficerRead the Press Release
ALPINE – Robinson Mendoza-Gomez, 22, a Guatemalan citizen, was sentenced on Monday to 21 months for assaulting a federal officer.
According to court documents, on December 14, 2021, Border Patrol agents near Van Horn attempted to apprehend a group of suspected undocumented noncitizens. Mendoza demanded one of the agents release a person in the group. Mendoza then charged and struck the agent injuring the agent’s face.
“An assault on a federal officer is detrimental to a peaceful society and impacts us all,” said Executive Assistant U.S. Attorney Kristy Callahan. “The United States Attorney’s Office takes such violations seriously and will vigorously prosecute them.”
“The men and women of the United States Border Patrol work tirelessly to keep our borders safe every day,” said FBI El Paso Special Agent in Charge Jeffrey R. Downey. “Assaults on Border Patrol agents or any other law enforcement officer will not be tolerated and will be investigated swiftly by our office so they can continue to carry out their sworn duty to protect our community and nation.”
On March 2, 2022, Mendoza pleaded guilty to one count of Forcibly Assaulting a Federal Officer. Mendoza has remained in federal custody since his arrest on December 14, 2021.
The FBI investigated the case.
Assistant U.S. Attorney Scott V. Greenbaum prosecuted the case.
###
Greene County man who shot ODNR officer sentenced to nearly 10 years in prison for illegal gun possessionRead the Press Release
CINCINNATI – A Greene County man was sentenced in U.S. District Court today to nine years and 364 days in prison for illegally possessing the gun he used to shoot an Ohio wildlife officer.
Brian R. Liming, 45, of Jamestown, Ohio, was indicted by a federal grand jury and arrested by ATF agents in April 2021. He pleaded guilty in August 2021.
According to court documents, on Dec. 20, 2020, Liming illegally possessed a loaded 20-gauge shotgun. On that date, an officer with the Ohio Department of Natural Resources was shot while investigating illegal deer hunting near Martinsville, Ohio.
Liming was previously convicted of a misdemeanor crime of domestic violence, which prohibited him from possessing a firearm or ammunition.
Liming was convicted locally in Clinton County Common Pleas Court of felony assault and misdemeanor hunting charges related to the shooting and sentenced to 54 months of incarceration. Liming’s federal sentence will run consecutively to his local one.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio, and Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), announced the sentence imposed today by Senior U.S. District Judge Susan J. Dlott. Assistant United States Attorney Ashley N. Brucato and Adam Cullman, Department of Justice Trial Attorney from the Environment and Natural Resources Division are representing the United States in this case.
# # #
Georgia Couple Sentenced to Combined 90 Years in Prison for Producing Child Sexual Assault MaterialRead the Press Release
ALBANY, Ga. – A Valdosta, Georgia, couple who admitted to producing child sexual assault material involving multiple minor victims was sentenced to the maximum prison term allowed by law today for their crimes.
Jayson E. Wright, 36, was sentenced to serve the maximum 360 months in prison per count consecutively for a total of 720 months in prison to be followed by a lifetime of supervised release and $625,000 in restitution to four victims after he previously pleaded guilty to two counts of production of child pornography. Kara Wright, 33, was sentenced to serve 360 months in prison to be followed by a lifetime of supervised release and $415,000 in restitution to four victims after she previously pleaded guilty to one count of production of child pornography. Both defendants will have to register as sex offenders for life upon their release from federal prison. The sentences were handed down by U.S. District Judge Louis Sands at the C.B. King U.S. Courthouse in Albany. There is no parole in the federal system.
“The Wrights have justifiably received the maximum prison sentences allowed under law for their unconscionable and heinous acts against children,” said U.S. Attorney Peter D. Leary. “The U.S. Attorney’s Office and our law enforcement partners will do everything in our power to protect children from predators such as the Wrights who deviously take advantage of a child’s vulnerability.”
“The defendants’ heinous predatory behavior is deserving of a lengthy prison sentence to ensure they cannot inflict further harm on other victims,” said Special Agent in Charge Katrina Berger, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “We are very appreciative of the invaluable assistance and teamwork we receive from our law enforcement partners on cases like this.”
“The close working relationship between the Lowndes County Sheriff’s Office and our state and federal partners is crucial to capturing child predators like the Wrights and holding them accountable so they will never harm another innocent child,” said Lowndes County Sheriff Ashley Paulk.
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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the U.S. Department of Homeland Security and the Lowndes County Sheriff’s Office.
Assistant U.S. Attorney Katelyn Semales prosecuted the case with support from Assistant U.S. Attorney Alex Kalim.
Gang Members and Others Who Used Violence to Take Control of New York Fire Mitigation Industry Charged with Racketeering and ExtortionRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Michael J. Driscoll, Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), Ricky J. Patel, Acting Special Agent-in-Charge of the New York Office of Homeland Security Investigations (“HSI”), Keechant L. Sewell, the Commissioner of the New York City Police Department (“NYPD”), and Jocelyn Strauber, Commissioner of the New York City Department of Investigation (“DOI”), announced the unsealing of a two-count Indictment charging nine defendants with racketeering conspiracy and extortion conspiracy. Eight of the defendants were arrested yesterday and presented before U.S. Magistrate Judge Stewart D. Aaron in federal court in Manhattan. Defendant JATIEK SMITH was arrested and presented in the District of Puerto Rico. The case has been assigned to U.S. District Judge Jed S. Rakoff.
The defendants, who include members of the violent Bloods street gang, took control of First Response Cleaning Corp. (“First Response”), a Brooklyn-based company which provides clean-up services to properties damaged by fire. The defendants used First Response as a vehicle to extort other participants in the fire mitigation industry and to assert control over the industry using violence and threats of violence.
U.S. Attorney Damian Williams said: “We are smoking out corruption and violence in the fire mitigation industry with today’s charges. As alleged, the defendants used threats and violence to take over a company and then an industry. Thanks to our law enforcement partners’ work, today’s arrests bring an end to the defendants’ violent scheme.
FBI Assistant Director Michael J. Driscoll said: “We allege gang members deployed mob-like tactics, using extortion and violence in their attempts to take over an entire industry designed to help victims after a fire. They employed violence to force other companies and vendors to do their bidding. Thanks to the incredible work by the FBI and our law enforcement partners, this crew can no longer threaten to kill people's families, retaliate against potential witnesses, and profit off of someone else's loss.”
HSI Acting Special Agent-in-Charge Ricky J. Patel said: “Members of the Bloods allegedly infiltrated the First Response Cleaning Corporation and utilized violence to command dominance and compliance over their competitors within the insurance industry. This criminal organization took advantage of people in time of personal and professional turmoil to enrich themselves at others expense. HSI will continue to work alongside our partners to disrupt and dismantle complex criminal organizations who seek to exploit legitimate businesses to further their violent agendas.”
NYPD Police Commissioner Keechant L. Sewell said: “This indictment is a clear demonstration that those who use violence, force and threats of force to inflict harm on New Yorkers – will be prosecuted to the fullest extent of the law. Due to the relentless efforts of the NYPD, the U.S. Attorney for the Southern District, and all of our law enforcement partners, these defendants are now forced to answer for their alleged gang-motivated crimes. I thank everyone who worked on this important case.”
DOI Commissioner Jocelyn Strauber said: “As alleged, the defendants used violence and threats of violence to seize control of the fire restoration industry in New York City, and submitted false claims to insurance companies in a scheme to ensure insurance coverage for defective restoration work. DOI is proud to work alongside our law enforcement partners in the U.S. Attorney's Office for the Southern District of New York, the Federal Bureau of Investigation, Homeland Security Investigations and the NYPD to dismantle this charged criminal enterprise and to hold its members accountable for their illegal and violent charged conduct.”
As alleged in the Indictment unsealed yesterday in Manhattan federal court and statements made in court filings[1]:
First Response is an emergency mitigation services (or “EMS”) company which provides clean-up services to properties damaged by fire. When properties suffer fire damage, property owners often hire an EMS company to clean up the damaged property. Property owners also often rely upon adjusters—either a “public adjuster” or an “independent adjuster”—to investigate, process, and submit the insurance claims to their insurer. A public adjuster is paid by the property owner with a percentage of the settlement paid out by the insurer on the insurance claim, while an independent adjuster works for and is paid by the insurer.
Beginning in 2019, defendants JATIEK SMITH, a/k/a “Tiek,” SEQUAN JACKSON, a/k/a “Supa,” ANTHONY MCGEE, a/k/a “Touch,” KAHEEN SMALL, a/k/a “Biz,” DAMON DORE, a/k/a “Demo,” HASIM SMITH, a/k/a “Hoodie,” RAHMIEK LACEWELL, a/k/a “Ready,” and MANUEL PEREIRA, a/k/a “Manny,” many of whom are members of the Bloods street gang,worked together to take control of First Response. JATIEK SMITH was the leader of the crew. After taking control of First Response, SMITH and the others then used force and threats of force against other EMS companies and public adjusters to exert control over the entire fire mitigation industry. Defendant OCTAVIO PERALTA was a public adjuster who participated in the enterprise’s efforts to defraud and who helped the conspirators solidify their control over the industry. The enterprise’s threats included threats to kill or shoot their victims and members of the victims’ families. With the backing of these threats of force, they imposed a system of rules upon other EMS companies and on public adjusters, including a strict rotation system in which the defendants dictated which companies got which losses. The enterprise also extorted money from EMS companies and public adjusters and required these other companies to pay if they wanted to continue to work without being attacked. On multiple occasions, the enterprise used force against other EMS companies and public adjusters to ensure that they submitted to the rules, including physically assaulting victims. They sometimes created video recordings of this violence and distributed the recordings within the industry to threaten other victims. The enterprise also helped submit false insurance claims for damaged properties and threatened violence or retaliation against potential witnesses who were believed to be cooperating with the federal investigation into the enterprise’s crimes.
* * *
JATIEK SMITH, 37, of Staten Island, New York; JACKSON, 33, of Staten Island, New York; MCGEE, 32, of Staten Island, New York; SMALL, 35, of Brooklyn, New York; DORE, 36, of Staten Island, New York; HASIM SMITH, 29, of Staten Island, New York; LACEWELL, 37, of Staten Island, New York; PEREIRA 38, of Brooklyn, New York; and OCTAVIO PERALTA, 42, of Staten Island, New York, are each charged with one count of conspiracy to commit racketeering and one count of conspiracy to commit extortion. Each count carries a statutory maximum of 20 years in prison, for a combined statutory maximum of 40 years in prison.
The statutory maximum sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Williams praised the outstanding investigative work of the FBI, HSI, NYPD, and DOI. Mr. Williams also thanked the HSI Puerto Rico Gang Unit and the National Insurance Crime Bureau for their assistance with this investigation.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Mollie Bracewell, Rushmi Bhaskaran, and Adam S. Hobson, are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment constitutes only allegations, and every fact described herein should be treated as an allegation.