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Wednesday 10 November 2021
Acting U.S. Attorney Honig and Acting Attorney General Bruck Announce Joint Federal-State Civil Rights Criminal Enforcement InitiativeRead the Press Release
NEWARK, N.J. – Acting U.S. Attorney Rachael A. Honig and Acting Attorney General Andrew J. Bruck today announced the creation of a joint federal-state Civil Rights Criminal Enforcement Initiative to enhance coordination in the investigation and prosecution of federal, state, and local cases involving civil rights violations by law enforcement officers and others acting under color of law.
The Civil Rights Criminal Enforcement Initiative will combine resources from the U.S. Attorney’s Office, the Attorney General’s Office of Public Integrity and Accountability, and the FBI in a cooperative approach to criminal civil rights enforcement.
“Our experience tackling violent crime with our state and local partners has taught us well that when it comes to areas of mutual concern – and the unconstitutional use of force and other violations of public trust by members of law enforcement is certainly one of those areas – we accomplish more when we work cooperatively than we do when we go it alone,” Acting U.S. Attorney Honig said. “The initiative that we announce today with the New Jersey Attorney General’s Office will ensure that we use all tools available to us to bring worthy cases in the appropriate jurisdiction and to hold accountable all those who would abuse their authority and deprive New Jerseyans of their civil rights.”
“Today’s message is clear: at all levels of government, we’re committed to holding accountable those who abuse their power and violate the civil rights of others,” said Acting New Jersey Attorney General Bruck. “By working together, we can more effectively deploy our resources to ensure that allegations of civil rights violations are investigated and, where appropriate, prosecuted. We can and must do more to build trust with the communities we serve, and I’m grateful for an excellent working relationship with Acting U.S. Attorney Honig and my former colleagues at the U.S. Attorney’s Office as we tackle this challenge.”
In recent years, the U.S. Attorney’s Office for the District of New Jersey and the New Jersey Attorney General’s Office have identified the criminal enforcement of federal and state civil rights laws as a significant priority. The creation of the Civil Rights Criminal Enforcement Initiative underscores and advances that priority. The initiative will ensure open lines of communication among federal, state, and local partners; permit the simultaneous, rather than sequential, review of evidence by its members; facilitate rapid and efficient decision-making as to the allocation of resources; and foster cooperative decisions regarding the appropriate jurisdiction in which to charge a particular case. Once those decisions have been made, federal, state, and local partners will continue to share case-related information with one another where permissible and provide advice about investigative strategy and best practices. As a result, every case that meets the threshold for prosecution will be brought in the jurisdiction in which that prosecution will have the biggest impact, with the full cooperation and support of all members of the Initiative.
“Our duty to protect American citizens and uphold the Constitution is colorblind,” FBI Special Agent in Charge George M. Crouch Jr. said. “It doesn’t matter if you wear a blue uniform, a black robe, or street clothes when you go to work; every citizen is entitled to fair and equal treatment under the law. This initiative will further enable the FBI and our state and local law enforcement partners to work together in reviewing and evaluating cases. It should signal to anyone who carries a badge that we are even more committed to earning and keeping the trust instilled in us.”
Complaints of civil rights violations may be made by contacting the United States Attorney’s Office for the District of New Jersey at (855) 281-3339 or by filing a complaint online. Complaints may also be made by calling the New Jersey Attorney General’s Office of Public Integrity and Accountability at 1-844-OPIA-TIP (1-844-674-2847).
20 Charged in Superseding Indictment with Trafficking Significant Quantities of Multiple DrugsRead the Press Release
PITTSBURGH – A federal grand jury returned a five-count Superseding Indictment charging 20 members of a drug trafficking organization with trafficking significant quantities of cocaine, crack cocaine, heroin, and fentanyl, Acting United States Attorney Stephen R. Kaufman announced today.
The Superseding Indictment charges the following individuals at Count One with conspiring to distribute and possess with intent to distribute five kilograms or more of cocaine, in the Western District of Pennsylvania and elsewhere, from in and around April of 2020 and continuing until on or about November 19, 2020:
Marcus Brown, age 33, of Washington, PA
Brandon Boone, age 38, of Washington, PA
Kenneth Brooks, Jr., age 27, of Washington, PA
Kevin Bush, age 51, of Washington, PA
Marc Cain, age 57, of Washington, PA
Brian Householder, age 57, of Greensburg, PA
Steve Law, IV, age 29, of Washington, PA
Princess Makokele, age 40, of Washington, PA
David McComb, age 32, of Coraopolis, PA
Steve Miller, age 48, of Allegheny, PA
Andrew Molinaro, age 42, of Canonsburg, PA
Johnnita Richardson, age 33, of Washington, PA
Warren Sadler, age 56, of Washington, PA
Matthew Spicer, age 50, of Canonsburg, PA
Patrick Ellis, age 47, of Washington, PAThe Superseding Indictment also charges the following individuals at Count Two with conspiring to distribute and possess with intent to distribute 280 grams or more of crack cocaine, in the Western District of Pennsylvania and elsewhere, from in and around June of 2020 and continuing until on or about October 27, 2020:
Marcus Brown, age 33, of Washington, PA
Brandon Boone, age 38, of Washington, PA
Kenneth Brooks, Jr., age 27, of Washington, PA
Michael Brown, age 56, of Brownsville, PA
Steve Law, IV, age 29, of Washington, PA
Princess Makokele, age 40, of Washington, PA
Michael Pusateri, age 39, of Washington, PA
Warren Sadler, age 56, of Washington, PAAt Count Three, the Superseding Indictment charges the following individuals with conspiring to distribute and possess with intent to distribute a quantity of cocaine, in the Western District of Pennsylvania, from in and around June of 2020 and continuing until in and around August of 2020:
Walter Brunson, Jr., age 51, of Pittsburgh, PA
Shawn McFarland, age 51, of Lawrence, PA
Matthew Spicer, age 50, of Canonsburg, PA
Bradley Stopperich, age 49, of Washington, PAAt Count Four, the Superseding Indictment charges the following individuals with conspiring to distribute and possess with intent to distribute quantities of heroin and fentanyl, in the Western District of Pennsylvania and elsewhere, from in and around August of 2020 and continuing until on or about October 27, 2020:
Marcus Brown, age 33, of Washington, PA
Kenneth Brooks, Jr., age 27, of Washington, PA
Steve Law, IV, age 29, of Washington, PAFinally, at Count Five, the Superseding Indictment charges Patrick Ellis, age 47, of Washington, PA, with possession with intent to distribute 500 grams or more of cocaine, in the Western District of Pennsylvania, on or about November 19, 2020.
As to Counts One and Two, the law provides for a maximum total sentence of not less than ten years to a maximum of life imprisonment, a fine of up to $10,000,000, or both, as to each charged Defendant. As to Counts Three and Four, the law provides for a maximum total sentence of not more than twenty years, a fine up to $1,000,000, or both, as to each charged Defendant. As to Count Five, the law provides for a maximum total sentence of not less than five years to a maximum of forty years imprisonment, a fine of up to $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentences imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendants.
Assistant United States Attorneys Mark V. Gurzo and Jerome A. Moschetta are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation (“FBI”) in Pittsburgh, PA led the multi-agency investigation that included members of the Pennsylvania State Police, United States Postal Inspection Service, Allegheny County Police Department, Allegheny County Port Authority Police Department, Allegheny County Sherriff’s Office, Pittsburgh Bureau of Police, Stowe Township Police Department, and North Versailles Police Department.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
"Operation Hartbreak Kid" Results in Thirteen ArrestsRead the Press Release
LITTLE ROCK—Thirteen people will appear in federal court today after being arrested Tuesday morning as part of “Operation Hartbreak Kid.” Named after lead defendant Derrick Hart, 27, of North Little Rock, this operation targeted drug distribution in the North Little Rock area.
In December 2020, the Drug Enforcement Administration (DEA) began an investigation into a methamphetamine and cocaine distribution ring based in the McAlmont neighborhood of North Little Rock. During the investigation, Hart and Tetus Jenkins, 43, of North Little Rock, were identified as the sources of supply to more than eight other individuals. During the investigation, DEA covertly purchased approximately two pounds of methamphetamine from various co-conspirators and seized more than a pound of methamphetamine and several firearms during the execution of search warrants. During Tuesday’s arrests, officers recovered an additional AR-15 rifle.
The distribution ring operated from a parking lot at the corner of Zinnia Street and Cotton Road in McAlmont, as well as a local McAlmont club at 410 Mimosa Street. Local authorities reported receiving citizen complaints about drug trafficking and gunshots at these locations.
The defendants arrested include Hart, Jenkins, Justin Cross, 29, of North Little Rock; Jonathan Dunigan, 23, of Austin; Andre Graves, 44, of Little Rock; Bianca Lavonda, 33, of North Little Rock; Prince Strong, 37, of Jacksonville; Steven Taylor, 64, of Jacksonville; Daniel White, 34, of North Little Rock; and Dayton Wiggins, Jr., 47, of Jacksonville. In addition to those arrested on Tuesday, seven others have been charged and arrested in separate indictments in connection with this operation.
“Drug trafficking brings violence and fear to our communities, and we will do everything we can to protect our streets from these crimes,” stated Jonathan D. Ross, Acting United States Attorney for the Eastern District of Arkansas. “We appreciate the dedication and commitment of our local, state, and federal law enforcement partners who conducted this investigation and made these arrests.”
“Methamphetamine, cocaine, and fentanyl are insidious, addictive drugs that consume all who abuse them,” said DEA Assistant Special Agent in Charge Jarad Harper. “With this investigation, DEA, working with our federal, state, and local law enforcement partners, has taken down a drug trafficking organization responsible for bringing significant amounts of these illegal dangerous drugs into Arkansas through the U.S. Postal Service. This organization used the mail system to evade detection in order to facilitate their operation. These arrests are indicative of our commitment to rid our communities of these criminals determined to profit on the backs of addiction. DEA is committed to its partnerships with all of our law enforcement allies in our ongoing efforts to make our communities safer and a better place for our families and children. “
“These arrests represent the commitment of the U.S. Postal Inspection Service (USPIS) to find and dismantle groups who misuse the U.S. Mail,” said Thomas Noyes, Inspector in Charge of the Fort Worth Division of the USPIS. “This investigation involved the seizure of various illegal drugs ranging from marijuana to fentanyl, along with several firearms. This achievement was made possible by a collaborative effort with our many local and federal law enforcement agencies. We will continue to identify and bring to justice offenders like these to protect our communities and the U.S. Mail.”
Operation Hartbreak Kid was conducted by the DEA with assistance from the USPIS, United States Marshals Service, Arkansas State Police, North Little Rock Police Department, Arkansas Community Corrections, Lonoke County Sheriff’s Office, Lonoke Police Department, Little Rock Police Department, Pulaski County Sheriff’s Office, and Jacksonville Police Department. The case is being prosecuted by Assistant United States Attorney Anne Gardner.
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 https://www.justice.gov/OCDETF.
An indictment contains only allegations. Defendants are presumed innocent unless and until proven guilty.
# # #
This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
Tuesday 9 November 2021
법무부, 앨라배마 공중 보건부와 론데스 카운티 보건부에 대한 환경 정의 조사 발표Read the Press Release
미국 법무부는 오늘 앨라배마주 공중보건부와 론데스 카운티 보건부의 폐수 처리, 전염병 및 발병 프로그램에 대한 환경 정의 조사를 시작했다고 발표했습니다. 오늘의 조사는 표제 VI에 따른 법무부의 최초의 환경 정의 조사입니다.
민권부가 실시할 조사는 앨라배마 공중보건부와 론데스 카운티 보건부가 현장 폐수 처리 프로그램과 전염병 및 발병 프로그램이 1964년 민권법 표제 VI를 위반하는 론데스 카운티의 흑인 주민을 차별하는 방식으로 운영되었는지 여부를 조사할 것입니다. 해당 조사는 또한 보건 부서의 정책 및 관행으로 인해 론데스 카운티의 흑인 주민의 적절한 위생 시스템에 대한 접근성이 감소되고 구충 감염과 같은 부적절한 폐수 처리와 관련하여 건강에 악영향을 미칠 위험이 과도하게 및 부당하게 부담되게 되었는지 여부를 조사할 것입니다.
크리스틴 클라크 법무부 민권 담당 차관보는 "위생은 인간의 기본적인 욕구이며, 미국의 어느 누구도 안전하고 효과적인 하수 관리에 대한 부적절한 접근성으로 인해 질병 및 기타 심각한 피해에 노출되어서는 안 된다"고 말했습니다. "주 및 지역 보건 공무원은 연방 민권법에 따라 모든 거주자의 건강과 안전을 보호할 의무가 있습니다. 우리는 이러한 환경 정의 문제와 앨라배마주 론데스 카운티 전역의 사람들의 건강, 생명 및 안전에 미치는 영향에 대해 공정하고 철저한 조사를 수행할 것입니다."
법무부는 이 문제의 혐의에 대한 결론에 도달하지 못했습니다. 법무부는 1964년 민권법 표제 VI에 따라 이 조사를 수행할 것입니다. 표제 VI는 연방 재정 지원을 받는 사람을 인종, 피부색 또는 출신 국가를 근거로 차별하는 것을 금지합니다. 표제 VI에 따라 법무부는 보건부 자금 수혜자가 불법적인 차별 행위에 참여했는지 여부를 조사할 권한이 있습니다.
민권국의 연방 조정 및 규정 준수 부서는 앨라배마 중부에 위치한 미국 검찰청의 지원을 받아 이 조사를 수행하고 있습니다. 관련 정보가 있는 개인은 이메일을 통해 연방 조정 및 규정 준수 부서에 [email protected] 또는 833-739-2103으로 연락할 것을 권장합니다.
국가의 민권법 시행을 통해 차별적인 환경 및 건강 영향을 해결하는 것은 민권과의 최우선 과제입니다. 민권과에 대한 추가 정보는 웹사이트, www.justice.gov/crt 에서 확인할 수 있습니다
법무부, 앨라배마 공중 보건부와 론데스 카운티 보건부에 대한 환경 정의 조사 발표Read the Press Release
미국 법무부는 오늘 앨라배마주 공중보건부와 론데스 카운티 보건부의 폐수 처리, 전염병 및 발병 프로그램에 대한 환경 정의 조사를 시작했다고 발표했습니다. 오늘의 조사는 표제 VI에 따른 법무부의 최초의 환경 정의 조사입니다.
민권부가 실시할 조사는 앨라배마 공중보건부와 론데스 카운티 보건부가 현장 폐수 처리 프로그램과 전염병 및 발병 프로그램이 1964년 민권법 표제 VI를 위반하는 론데스 카운티의 흑인 주민을 차별하는 방식으로 운영되었는지 여부를 조사할 것입니다. 해당 조사는 또한 보건 부서의 정책 및 관행으로 인해 론데스 카운티의 흑인 주민의 적절한 위생 시스템에 대한 접근성이 감소되고 구충 감염과 같은 부적절한 폐수 처리와 관련하여 건강에 악영향을 미칠 위험이 과도하게 및 부당하게 부담되게 되었는지 여부를 조사할 것입니다.
크리스틴 클라크 법무부 민권 담당 차관보는 "위생은 인간의 기본적인 욕구이며, 미국의 어느 누구도 안전하고 효과적인 하수 관리에 대한 부적절한 접근성으로 인해 질병 및 기타 심각한 피해에 노출되어서는 안 된다"고 말했습니다. "주 및 지역 보건 공무원은 연방 민권법에 따라 모든 거주자의 건강과 안전을 보호할 의무가 있습니다. 우리는 이러한 환경 정의 문제와 앨라배마주 론데스 카운티 전역의 사람들의 건강, 생명 및 안전에 미치는 영향에 대해 공정하고 철저한 조사를 수행할 것입니다."
법무부는 이 문제의 혐의에 대한 결론에 도달하지 못했습니다. 법무부는 1964년 민권법 표제 VI에 따라 이 조사를 수행할 것입니다. 표제 VI는 연방 재정 지원을 받는 사람을 인종, 피부색 또는 출신 국가를 근거로 차별하는 것을 금지합니다. 표제 VI에 따라 법무부는 보건부 자금 수혜자가 불법적인 차별 행위에 참여했는지 여부를 조사할 권한이 있습니다.
민권국의 연방 조정 및 규정 준수 부서는 앨라배마 중부에 위치한 미국 검찰청의 지원을 받아 이 조사를 수행하고 있습니다. 관련 정보가 있는 개인은 이메일을 통해 연방 조정 및규정 준수 부서에 [email protected] 또는 833-739-2103으로 연락할 것을 권장합니다.
국가의 민권법 시행을 통해 차별적인 환경 및 건강 영향을 해결하는 것은 민권과의 최우선 과제입니다. 민권과에 대한 추가 정보는 웹사이트, www.justice.gov/crt에서 확인할 수 있습니다.
법무부, 앨라배마 공중 보건부와 론데스 카운티 보건부에 대한 환경 정의 조사 발표Read the Press Release
미국 법무부는 오늘 앨라배마주 공중보건부와 론데스 카운티 보건부의 폐수 처리, 전염병 및 발병 프로그램에 대한 환경 정의 조사를 시작했다고 발표했습니다. 오늘의 조사는 표제 VI에 따른 법무부의 최초의 환경 정의 조사입니다.
민권부가 실시할 조사는 앨라배마 공중보건부와 론데스 카운티 보건부가 현장 폐수 처리 프로그램과 전염병 및 발병 프로그램이 1964년 민권법 표제 VI를 위반하는 론데스 카운티의 흑인 주민을 차별하는 방식으로 운영되었는지 여부를 조사할 것입니다. 해당 조사는 또한 보건 부서의 정책 및 관행으로 인해 론데스 카운티의 흑인 주민의 적절한 위생 시스템에 대한 접근성이 감소되고 구충 감염과 같은 부적절한 폐수 처리와 관련하여 건강에 악영향을 미칠 위험이 과도하게 및 부당하게 부담되게 되었는지 여부를 조사할 것입니다.
크리스틴 클라크 법무부 민권 담당 차관보는 "위생은 인간의 기본적인 욕구이며, 미국의 어느 누구도 안전하고 효과적인 하수 관리에 대한 부적절한 접근성으로 인해 질병 및 기타 심각한 피해에 노출되어서는 안 된다"고 말했습니다. "주 및 지역 보건 공무원은 연방 민권법에 따라 모든 거주자의 건강과 안전을 보호할 의무가 있습니다. 우리는 이러한 환경 정의 문제와 앨라배마주 론데스 카운티 전역의 사람들의 건강, 생명 및 안전에 미치는 영향에 대해 공정하고 철저한 조사를 수행할 것입니다."
법무부는 이 문제의 혐의에 대한 결론에 도달하지 못했습니다. 법무부는 1964년 민권법 표제 VI에 따라 이 조사를 수행할 것입니다. 표제 VI는 연방 재정 지원을 받는 사람을 인종, 피부색 또는 출신 국가를 근거로 차별하는 것을 금지합니다. 표제 VI에 따라 법무부는 보건부 자금 수혜자가 불법적인 차별 행위에 참여했는지 여부를 조사할 권한이 있습니다.
민권국의 연방 조정 및 규정 준수 부서는 앨라배마 중부에 위치한 미국 검찰청의 지원을 받아 이 조사를 수행하고 있습니다. 관련 정보가 있는 개인은 이메일을 통해 연방 조정 및 규정 준수 부서에 [email protected]로 연락할 것을 권장합니다.
국가의 민권법 시행을 통해 차별적인 환경 및 건강 영향을 해결하는 것은 민권과의 최우선 과제입니다. 민권과에 대한 추가 정보는 웹사이트, www.justice.gov/crt에서 확인할 수 있습니다.
司法部宣布對阿拉巴馬州公共衛生部和朗德茲郡衛生局進行環境司法調查Read the Press Release
美國司法部今天宣布，它已對阿拉巴馬州公共衛生部和朗德茲郡 (Lowndes County) 衛生 局的廢水處理計劃和傳染病與病情爆發計劃展開環境司法調查。這項調查是司法部有史以 來根據《民權法案》第六章進行的首次環境司法調查。
調查由民權司進行，將會審查阿拉巴馬州公共衛生部和朗德茲郡衛生局實施其廢水就地處 理計劃及傳染病與病情爆發計劃的方式，是否構成對朗德茲郡黑人居民的歧視，因而違反 1964 年《民權法案》第六章（以下簡稱“第六章”）。調查還將審查兩個衛生部門的政 策和做法是否減少了朗德茲郡黑人居民獲得適當衛生系統服務的機會，並且使他們不成比 例和不合理地承擔由於廢水處理不當而受到有害健康影響的風險，例如遭到鉤蟲感染。
“衛生是人類的基本需求之一，在美國，任何人都不應因為欠缺安全有效的污水管理而面 臨患病和其他嚴重傷害的風險，”司法部民權司助理檢察長克里斯汀•克拉克 (Kristen Clarke) 說。“根據聯邦民權法律，州和地方衛生官員都有義務保護所有居民的健康和安 全。我們將對這些引起關切的環境公平問題及其對阿拉巴馬州整個朗德茲郡人民的健康、 生活和安全的影響進行公平、徹底的調查。”
司法部尚未就在這件事上的各種指控達成任何結論。司法部將根據 1964 年《民權法案》 第六章進行這項調查。第六章禁止聯邦財政援助的接受者實行基於種族、膚色或原國籍的 歧視。第六章授權司法部調查司法部資助金的接受者是否有非法歧視行為。
民權司的聯邦協調與合規科正在設在阿拉巴馬州中區的美國檢察官辦公室的支持下進行這 項調查。司法部鼓勵擁有相關資訊的個人發電子郵件給 [email protected] 或者致 電 833-739-2103 與聯邦協調與合規科聯繫。
通過執行國家民權法律消除歧視性的環境與健康影響，是民權司的一項首要任務。有關民 權司的更多資訊，請造訪其網站，網址是 www.justice.gov/crt。
司法部宣布对亚拉巴马州公共卫生部和朗德兹郡卫生局进行环境司法调查Read the Press Release
美国司法部今天宣布，它已对亚拉巴马州公共卫生部和朗德兹郡 (Lowndes County) 卫生 局的废水处理计划和传染病与病情爆发计划展开环境司法调查。这项调查是司法部有史以 来根据《民权法案》第六章进行的首次环境司法调查。
调查由民权司进行，将会审查亚拉巴马州公共卫生部和朗德兹郡卫生局实施其废水就地处 理计划及传染病与病情爆发计划的方式，是否构成对朗德兹郡黑人居民的歧视，因而违反 1964 年《民权法案》第六章（以下简称“第六章”）。调查还将审查两个卫生部门的政 策和做法是否减少了朗德兹郡黑人居民获得适当卫生系统服务的机会，并且使他们不成比 例和不合理地承担由于废水处理不当而受到有害健康影响的风险，例如遭到钩虫感染。
“卫生是人类的基本需求之一，在美国，任何人都不应因为欠缺安全有效的污水管理而面 临患病和其他严重伤害的风险，”司法部民权司助理检察长克里斯汀•克拉克 (Kristen Clarke) 说。“根据联邦民权法律，州和地方卫生官员都有义务保护所有居民的健康和安 全。我们将对这些引起关切的环境公平问题及其对亚拉巴马州整个朗德兹郡人民的健康、 生活和安全的影响进行公平、彻底的调查。”
司法部尚未就在这件事上的各种指控达成任何结论。司法部将根据 1964 年《民权法案》 第六章进行这项调查。第六章禁止联邦财政援助的接受者实行基于种族、肤色或原国籍的 歧视。第六章授权司法部调查司法部资助金的接受者是否有非法歧视行为。
民权司的联邦协调与合规科正在设在亚拉巴马州中区的美国检察官办公室的支持下进行这 项调查。司法部鼓励拥有相关信息的个人发电子邮件给 [email protected] 或者致 电 833-739-2103 与联邦协调与合规科联系。
通过执行国家民权法律消除歧视性的环境与健康影响，是民权司的一项首要任务。有关民 权司的更多信息，请访问其网站，网址是 www.justice.gov/crt。
York County Man Sentenced for Distributing Heroin to Women Who Died from Drug OverdosesRead the Press Release
NEWPORT NEWS, Va. – A York County man was sentenced today to 17 years in prison for distributing heroin to two women who died from overdoses at his Seaford home and for possessing firearms and ammunition as an unlawful drug user who maintained a drug-involved premises.
According to court documents, Michael Kerlin, 53, owned a Newport News business, Dixie Fuel Company, which primarily sold propane gas to customers. Kerlin used funds derived from his business sales to purchase cocaine, cocaine base, prescription drugs, and heroin. In November 2015, Kerlin distributed heroin to a young woman at his home who subsequently died in the hospital after he called 911 and reported a person down. In May 2016, he distributed heroin to another young woman who died at his house. Rather than calling 911, he put her body into a garbage can which he transported to and left at his business.
During the investigation, it was determined that Kerlin possessed firearms and ammunition at his home where he also stored heroin and cocaine as well as other drugs.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s Washington Division, made the announcement after sentencing by U.S. District Judge Roderick C. Young.
Assistant U.S. Attorneys Lisa McKeel and Brian Samuels along with former Managing Assistant U.S. Attorney Howard J. Zlotnick prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-07.
Wadesboro, N.C. Man Is Sentenced to More Than Eight Years for Federal Fireams OffenseRead the Press Release
CHARLOTTE, N.C. – Acting U.S. Attorney William T. Stetzer announced today that Dallas Devon Leak, 28, of Wadesboro, N.C. was sentenced to 100 months in prison and two years of supervised release for a federal firearms offense.
Vincent C. Pallozzi, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Thedis Spencer of the Wadesboro Police Department (Wadesboro PD) join Acting U.S. Attorney Stetzer in making today’s announcement.
According to court documents and today’s sentencing hearing, on April 8, 2020, at approximately 10:17 p.m., the Wadesboro Police Department received a 911 call regarding a burglary and shooting at a residence in Anson County. The officers who responded to the scene found a male victim inside the residence with an apparent gunshot wound to his leg. Officers located Leak during a subsequent search of a wooded area behind the victim’s home. When the officers found Leak, he was lying face down on top of a firearm, which was loaded with a large capacity magazine and one round in the chamber. Over the course of the investigation, law enforcement determined that Leak’s firearm had previously been reported stolen.
On January 13, 2021, Leak pleaded guilty to possession of a firearm by a convicted felon. He is currently in federal custody and will be transferred to custody of the federal Bureau of Prisons upon designation of a federal facility. In making today’s announcement, Acting U.S. Attorney Stetzer thanked the ATF and the Wadesboro Police Department for their investigation of the case.
Assistant United States Attorney Regina Pack, of the U.S. Attorney’s Office in Charlotte, 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. 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.
Upper Skagit tribal member sentenced to 15 years in prison for assaultRead the Press Release
Seattle – A 44–year-old member of the Upper Skagit Indian Tribe was sentenced today in U.S. District Court in Seattle to 15 years in prison for three federal felonies in connection with a February 6, 2019, shooting on the Tulalip Indian Reservation, announced U.S. Attorney Nick Brown. Joseph Sam a/k/a William Earlystar Clark was convicted of conspiracy to commit robbery, robbery, and assault resulting in serious bodily injury following a four-day jury trial. U.S. District Judge John C. Coughenour imposed 3 years of supervised release to follow the prison term.
According to records filed in the case and testimony at trial, Sam participated in a conspiracy to rob the victim of an ounce of heroin. The co-conspirators’ plan was for one of them to pose as a buyer of the heroin and for Sam to then show up and rob the victim. Sam arrived at a residence where the other two co-conspirators were waiting with the victim. His face was covered to hide his identity and he had a gun. When the victim fought back, Sam shot him in the back, paralyzing him from the waist down. Following the robbery and shooting, law enforcement was able to piece together the gunman’s identity by reviewing social media posts and obtaining warrants for Facebook accounts and other electronic information. Sam was arrested on May 15, 2019, and has been in custody since his arrest.
In asking for the 15-year sentence, prosecutors noted the suffering of the victim in this case. “He is no longer self-sufficient and is forced to rely on family to assist with his basic needs…. He is in constant and severe pain. The pain medication impacts his memory and focus, making it hard to participate in classes or perform even the most routine tasks,” prosecutors wrote in their sentencing memo.
The case was investigated by the Tulalip Tribal Police Department and the FBI.
The case was prosecuted by Assistant United States Attorneys Rebecca Cohen and Cecelia Gregson.
United States Attorney’s Office and U.S. Postal Inspection Service recognize the Operation Protect Veterans ProgramRead the Press Release
ST. LOUIS – As you know, Veterans Day (November 11) is right around the corner. The United States Attorney’s Office and the U.S. Postal Inspection Service, has teamed up with AARP for the Operation Protect Veterans program, which is working to educate veterans, their families and loved ones on scams targeting them.
Scammers are creating schemes specifically targeting veterans. An AARP survey shows veterans are twice as likely as the general public to be the victim of a scam. 78% of our retired military men and women have been targeted by schemes specifically crafted to exploit their military service.
There are a variety of scams specifically targeting our veteran community, including the following:
-VA Loan Scam: Offers to refinance VA loans at extremely low rates
-Pension Poaching Scam: Scammers will offer veterans lump sum payments up front, in exchange for signing over all their future monthly benefit checks.
-Update Your File Scam: An imposter, claiming to be from a government agency, attempts to get a veteran’s personal information to “update their file” so they can maintain their benefits.
These are just a few examples of the many scams out there targeting veterans.
“Operation Protect Veterans,” https://www.uspis.gov/veterans, was created by the United States Postal Inspection Service and the AARP as a means of providing valuable information and resources to veterans and their loved ones and friends about these scams and many more.
These additional links provide more details on the fraud aimed at veterans and the general public.
https://blogs.va.gov/VAntage/81832/partnership-postal-inspection-service-helps-veterans-avoid-scams/
https://link.usps.com/2021/05/03/defensive-measures/
For further information on this important program and our partnership with the U. S. Postal Inspection Service to investigate and prosecute such egregious crimes against our veteran community please contact:
Inspector Matthew Villicana or Assistant United States Attorney Tracy Berry
Mail Fraud/Money Laundering United States Attorney’s Office
United States Postal Inspection Service Eastern District of Missouri
1106 Walnut Street 111 S. 10th Street
St. Louis, MO 63199 St. Louis, MO 63102
(314) 539-9347 (Office) (314) 539-2550
Two Members of the Nine Trey Gangster Bloods Gang Plead Guilty to RICO ConspiracyRead the Press Release
Yesterday, two Georgia men and members of the Nine Trey Gangster national criminal organization pleaded guilty to Racketeer Influenced Corrupt Organization (RICO) conspiracy.
The Nine Trey Gangsters (NTG) are a national gang that started in the prisons of New York as a subset of the United Bloods Nation and has since spread throughout the East Coast and Southeast. The NTG’s members and associates engage in acts of violence, including murder, assaults, robbery, firearms possession, witness tampering, obstruction of justice, drug trafficking, extortion, and other criminal activities. The NTG have a hierarchical structure and members throughout the country are subdivided into separate groups or “lines,” usually named after the gang’s leaders. Each NTG member has a specific rank within the gang or a specific line, and this rank comes with specific duties and responsibilities. Both of the defendants who pleaded guilty yesterday were part of the gang’s “fire” line and were responsible for planning attacks on rival gangs.
According to court documents, Khajavius Mitchell, aka KJ, 28, of Atlanta, held the rank of “fourth floor” in the gang’s hierarchy, and was responsible for assisting the superiors known as “fifth floors” in running the gang’s activity on a daily basis.
Devonta Marshall, aka Street Monsta, 27, of Atlanta, held the rank of “first floor” in the gang’s hierarchy and was responsible for overseeing the gang members without rank within a certain area.
Both pleaded guilty to count 1 of the second superseding indictment, charging them and nine others with RICO conspiracy for their involvement in planning, facilitating, and executing multiple acts of violence and participating in the gang’s drug trafficking activities. Mitchell and Marshall will be sentenced at a later date by U.S. District Court Judge Amy Totenberg and face a statutory maximum term of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division, Acting U.S. Attorney Kurt R. Erskine for the Northern District of Georgia, and Special Agent in Charge JC (Chris) Hacker of the FBI’s Atlanta Field Office made the announcement.
The FBI is investigating the case.
Twenty-one facing multiple drug and firearms chargesRead the Press Release
ELKINS, WEST VIRGINIA – Twenty-one people are facing charges involving drug trafficking and firearms in Barbour and Randolph Counties, United States Attorney William J. Ihlenfeld, II announced.
“Methamphetamine continues to be a serious problem in our district. When you combine methamphetamine dealers with firearms, it’s a dangerous combination. I commend all of our law enforcement partners for their hard work on these cases, and their continued partnership to make our communities safer places to live and work,” said Ihlenfeld.
Law enforcement conducted an operation today to arrest those charged in separate indictments handed down in October and November by Grand Juries sitting in Elkins and Clarksburg. Those facing charges are:
• Caleb Andrew Beverly, 23, of Philippi, West Virginia
• Nicholas Joseph Buono, 34, of Philippi, West Virginia
• Kayla Lynn Jenkins, 27, of Philippi, West Virginia
• Calvin Crocket Mullins, 29, of Philippi, West Virginia
• Katrina Ann Sears, 42, of Belington, West Virginia
• Wendell Dean Beverly, 58, of Philippi, West Virginia
• Christopher Columbus Mayle, 42, of Philippi, West Virginia
• Kyle Richard Lantz, II, 38, of Philippi, West Virginia
• John C. Holliday, 31, Mill Creek, West Virginia
• Jenny Lynn Wood, 30, of Beverly, West Virginia
• Matthew Scott Mayle, 35, of Philippi, West Virginia
• James Richard Cutright, also known as “Jimmy,” 34, of Philippi, West Virginia
• Noah Jacob Graham, 20, of Philippi, West Virginia
• Austin Jay Robinson, 22, of Belington, West Virginia
• Dustin Allen Summerfield, 29, of Beverly, West Virginia
• Jonathan Andrew Swiger, 33, of Belington, West Virginia
• Cameron K. Shreve, 43, of Mill Creek, West Virginia
• Albert Perry Shreve, III, 42, of Elkins, West Virginia
• Gary Roudolph Loy, Jr., 48, of Clarksburg, West Virginia
• Cheyenne Mary Katherine Winning, 29, of Montrose, West Virginia
• Joshua Dewayne Simmons, 28, of Elkins, West VirginiaThe twenty-one are facing charges that range from distribution of 50 grams or more of methamphetamine to unlawful possession of a firearm. The crimes are alleged to have occurred in Barbour and Randolph Counties.
Today’s operation also included the arrests of more than 20 others on state charges. Law enforcement seized approximately 35 firearms during the arrests.
Assistant U.S. Attorney Brandon S. Flower and Stephen D. Warner are prosecuting the cases on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, & Explosives, West Virginia State Police, the Mountain Region Drug Task Force, the Barbour County Sheriff’s Office, and the Randolph County Sheriff’s Office investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Twenty-Year Old Sentenced to 9 Years in Federal Prison for Attempted Carjacking and Brandishing a Firearm During a Crime of ViolenceRead the Press Release
Memphis, TN – Terrion Jones, 20, has been sentenced to 111 months in federal prison for attempted carjacking and brandishing a firearm during a crime of violence. Acting U.S. Attorney Joseph C. Murphy Jr., announced the sentence today.
According to information presented in court, on December 28, 2019, co-defendant Demetrius Williams and Terrion Jones contacted a third-party to take them to the mall. As the vehicle arrived, Jones got in the back seat of the vehicle. Williams asked the victim to pick up an additional female passenger behind the apartment building. Upon arriving to the back of the building, Jones got out of the car under the guise of getting another passenger.
As Jones opened the door, Williams brandished a handgun and told the victim "Get out of the car, so I don't have to shoot you." The victim resisted and Jones punched her. Williams eventually gave Jones the gun and told Jones to shoot the victim. Jones pointed the gun at the victim, and she ran away. An armed citizen intervened, and the suspects fled the scene. Jones and Williams were identified as the suspects and placed in custody several days later.
Jones pled guilty to attempted carjacking and brandishing a firearm in relation to a crime of violence on August 5, 2021.
On September 15, 2021, Williams pled guilty to attempted carjacking and brandishing a firearm in relation to a crime of violence. Sentencing is set for December 15, 2021.
On November 3, 2021, U.S. Senior District Judge Jon P. McCalla sentenced Jones to 111 months in federal prison to be followed by three years’ supervised release, and a $2,000 fine. There is no parole in the federal system.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Assistant U.S. Attorneys Elizabeth Rogers and Gregory Wagner are prosecuting this case on behalf of the government.
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Three men guilty for their roles in multimillion-dollar COVID-relief fraud conspiracyRead the Press Release
HOUSTON – Three individuals have admitted to their participation in a scheme to fraudulently obtain and launder millions of dollars in forgivable Paycheck Protection Program (PPP) loans. The Small Business Administration (SBA) guarantees PPP loans under the Coronavirus Aid, Relief, and Economic Security Act.
Richard Reuth, 58, Spring, entered his plea today, while Raheel Malik, 41, Sugar Land, and Siddiq Azeemuddin, 42, Naperville, Illinois, pleaded guilty yesterday. During their respective pleas, they admitted to engaging in a conspiracy to defraud the SBA and certain SBA-approved PPP lenders by submitting false and fraudulent PPP loan applications. Azeemuddin and Malik also conspired to launder over $3 million in PPP loan funds through Azeemuddin’s business, Fascare International Inc. dba Almeda Discount Store.
As part of the scheme, Azeemuddin instructed Malik to fill out blank checks from companies that received PPP loans by putting the names of fake employees in the payee line. At Azeemuddin’s direction, Malik then cashed the checks at a financial institution and transported the cash to other members of the conspiracy. In exchange for laundering the funds, Azeemuddin received 1 to 2% of each check cashed.
For his part, Reuth admitted to conspiring to submit PPP loan applications on behalf of companies that he knew were inactive and did not have any employees. In exchange for each false and fraudulent PPP loan application, Reuth received approximately $50,000.
Azeemuddin pleaded guilty to one count of conspiracy to commit wire fraud and one count of money laundering, while Malik admitted to one count of conspiracy to commit wire fraud and money laundering. Azeemuddin and Malik face up to 40 and five years in federal prison, respectively. Reuth entered his plea to one count of conspiracy to commit wire fraud and could receive a maximum of 20 years in prison. All are set for sentencing March 7, 2022.
SBA–Office of Inspector General (OIG), , Federal Housing Finance Agency–OIG, Homeland Security Investigations, Federal Deposit Insurance Corporation–OIG, and the Treasury Inspector General for Tax Administration conducted the investigation.
Assistant U.S. Attorneys Rodolfo Ramirez and Kristine Rollinson are prosecuting the case along with Trial Attorneys Louis Manzo and Della Sentilles of the Criminal Division’s Fraud Section.
On May 17, 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 the Combatting Coronavirus Fraud page.
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.
Three Sentenced in Overdose Causing Death CaseRead the Press Release
Charleston, South Carolina --- Acting United States Attorney M. Rhett DeHart announced today that Darryl Blunt, 59, Ayla Courvoisie, 31, and Teresa Cooper, 60, all of Charleston, were sentenced for their respective roles in a case involving fentanyl that caused the death of a victim. Specifically, Blunt was sentenced to 20 years in prison for distributing fentanyl that caused a death, Courvoisie was sentenced to 12 years in prison for distributing fentanyl that caused a death and wire fraud, and Cooper was sentenced to probation for being a felon in possession of a firearm.
Evidence presented to the Court showed that Blunt distributed fentanyl to Courvoisie, and Courvoisie, in turn, distributed the drugs to the victim, who died from the drugs. Courvoisie then contacted Blunt, who provided Courvoisie with other individuals who eventually helped Courvoisie move the victim’s body. Courvoisie stole the victim’s bank cards and used them around Charleston. After the overdose, and while Blunt was in jail, Blunt directed Cooper to obtain his gun for him, which they both were prohibited from possessing. Additional evidence presented at the sentencing showed that Blunt had a significant criminal history.
United States District Judge David C. Norton sentenced Blunt to 240 months in federal prison, and Courvoisie to 144 months, both to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system. Cooper was sentenced to 24-months probation.
The case was investigated by the Drug Enforcement Administration (DEA) Task Force, North Charleston Police Department, and Charleston County Sheriff’s Office.
Assistant United States Attorney Jamie Schoen prosecuted the case.
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Three Men Admit Roles in $50 Million Health Care Fraud and Kickback SchemeRead the Press Release
NEWARK, N.J. – Three men today admitted their roles in a health care fraud and kickback schemes, U.S. Attorney Rachael A. Honig announced.
Nicholas Defonte, 73, and Christopher Cirri, 63, both of Toms River, New Jersey, and Pat Truglia, 53, of Parkland, Florida, each pleaded guilty before U.S. district Judge Kevin McNulty in Newark federal court to conspiracy to commit health care fraud.
According to documents filed in these cases and statements made in court:
Each defendant played a role in defrauding health care benefit programs by offering, paying, soliciting, and receiving kickbacks and bribes in exchange for completed doctors’ orders for durable medical equipment, namely orthotic braces (DME orders):
- Truglia and his conspirators had financial interests in multiple DME companies. The DME companies paid kickbacks to suppliers of DME orders, including Cirri, Defonte, and Truglia, in exchange for DME orders, which the DME companies subsequently fraudulently billed to Medicare, TRICARE, CHAMPVA, and other health care benefit programs. Truglia and his conspirators concealed their ownership of the DME companies by using straw owners who were falsely reported to Medicare as the owners of the companies.
- Truglia, Cirri, Defonte, and their conspirators owned and operated multiple call centers through which they obtained DME orders for beneficiaries of Medicare and other federal health care programs. The call centers paid illegal kickbacks and bribes to telemedicine companies to obtain DME orders for these beneficiaries. The telemedicine companies then paid physicians to write medically unnecessary DME orders. The DME orders were provided to DME supply companies owned by Truglia and others in exchange for bribes. The DME supply companies in turn provided the braces to beneficiaries and fraudulently billed the health care programs.
- Cirri, Defonte, and their conspirators had business relationships with call centers through which they obtained prescriptions for compounded medications and other medical products reimbursable by federal and private health care benefit programs. Cirri and Defonte provided these prescriptions for compounded medical prescriptions and other medical products in exchange for kickbacks and bribes from companies that fraudulently billed them to health care programs.
The defendants caused losses to Medicare, TRICARE, and CHAMPVA of approximately $50 million.
The charge of conspiracy to commit health care fraud is punishable by a maximum potential penalty of 10 years in prison and a fine of $250,000, or twice the gross profit or loss caused by the offense, whichever is greatest. Sentencing for all three defendants is scheduled for March 22, 2022.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; the Department of Health and Human Services-Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; the U.S. Department of Defense, Office of the Inspector General, Defense Criminal Investigative Service, under the direction of Special Agent in Charge Patrick J. Hegarty; and the U.S. Department of Veterans Affairs, Office of Inspector General, under the direction of Special Agent in Charge Christopher F. Algieri, with the investigation leading to the guilty pleas.
The government is represented by Assistant U.S. Attorneys Sean M. Sherman and Ryan L. O’Neill of the Opioid Abuse Prevention & Enforcement and Health Care Fraud Units in Newark, Senior Trial Counsel Barbara Ward of the Asset Recovery and Money Laundering Unit in Newark, and Trial Attorney Darren Halverson of the Criminal Division’s Fraud Section.
Ten Defendants Indicted for Human Smuggling OperationRead the Press Release
DEL RIO – Federal agents arrested nine of the 10 defendants charged in an 11-count indictment involving human smuggling. The following are charged with one count of conspiracy to transport undocumented noncitizens: Sebastian Tovar, 25, of Toledo, Ohio; Nicolas Mondragon-Gonzalez, aka “Chayo” and “Flaco,” 33, of Austin; Veronica Torres-Mendez, 34, of Austin; Jennifer Oralia Davis, aka “Paypa,” 40, of San Antonio; Ruben Junior Rodriguez-Jaimes, 19, of Bastrop; Lauren Michelle Malmquist, aka “Mama” and “Lala,” 32, of Round Rock; Eduardo Rivera Benitez, aka “Lalo” and “Casper,” 23, of Bastrop; Marco Antonio Hernandez, aka “Temo,” 19, of Paige; and Jose Eli Rodriguez, 21, of Austin.
According to court documents, on March 15, 2021, Tovar was driving a Dodge Ram near Del Rio when a Texas Department of Public Safety (DPS) trooper attempted to stop the vehicle. Tovar tried to evade law enforcement and eventually crashed the vehicle into oncoming traffic. Eight people, who were in the truck, died from injuries sustained from the crash as well as one person who was seriously injured. All nine were undocumented noncitizens and illegally present in the U.S. In addition, two U.S. citizens were seriously injured in the head-on collision when Tovar struck their vehicle.
After the crash, U.S. Border Patrol (USBP) agents encountered a Ford F-150 stopped in traffic near the crash site. USBP agents directed the Ford to turn around and subsequently all occupants of the Ford fled the vehicle, absconding into nearby brush. USBP agents were able to locate 12 undocumented noncitizens who bolted from the Ford. After interviewing two of the undocumented noncitizens, USBP agents determined that the occupants of the Dodge and Ford were part of a human smuggling operation that was illegally transporting 20 undocumented noncitizens in the U.S.
Hernandez is pending arrest.
Tovar, Mondragon, Torres, Davis, Rodriguez-Jaimes, Malmquist and Benitez are also charged with one count of transporting undocumented noncitizens resulting in death. Tovar is also charged with one count of conspiracy to transport undocumented noncitizens resulting in serious bodily injury and one count of illegal transportation of undocumented noncitizens resulting in serious bodily injury. Mondragon, Davis and Rodriguez-Jaimes are additionally charged with two counts of transportation of undocumented noncitizens. Torres is additionally charged with four counts of transportation of undocumented noncitizens. Hernandez, Jose Rodriguez, and Luna are additional charged with one count of transportation of undocumented noncitizens.
All defendants face a maximum sentence of 10 years in prison for the conspiracy to transport undocumented noncitizens. Tovar, Mondragon, Torres, Davis, Rodriguez-Jaimes, Malmquist and Benitez face a maximum of life in prison for the transportation of undocumented resulting in death charge. Tovar faces a maximum 20 years in prison on each of the conspiracy to transport and the transportation of undocumented noncitizens resulting in serious bodily injury charges. Mondragon, Torres, Davis, Rodriguez-Jaimes, Hernandez, Jose Rodriguez and Luna face up to 10 years in prison for each count of transportation charged. If convictions result, a federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Ashley C. Hoff of the Western District of Texas and HSI Special Agent in Charge Shane Folden made the announcement.
HSI, USBP and DPS are investigating the case.
Assistant U.S. Attorney Joshua Banister is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Staten Island Businessman Operating in Bucks County Sentenced to One Year in Prison for Tobacco SmugglingRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Ramzi Al Najar, 43, of Staten Island, NY, was sentenced to one year and one day in prison, three years of supervised release, and ordered to pay over $7.8 million in restitution by United States District Court Judge Petrese B. Tucker for smuggling smokeless tobacco products across state lines to avoid paying the associated taxes.
The defendant operated Capital Trade, Inc., a tobacco wholesaler based in Bristol, PA. During the charged conduct, Al Najar and his associates transported almost $40 million worth of tobacco from Pennsylvania to New York, while failing to pay millions of dollars in New York state excise taxes on that tobacco. In order to hide his scheme, the defendant and his associates created false invoices and filed false documents with Pennsylvania and New York regulators which substantially underreported the amount of tobacco sold. Al Najar also failed to register and report as an interstate seller of smokeless tobacco as required by the Prevent All Cigarette Smuggling Act (PACT Act).
“The defendant thought he found a loophole to fast money, by cheating both Pennsylvania and New York out of substantial taxes owed for the sale of tobacco products,” said Acting U.S. Attorney Williams. “But now he is the one paying the price. Everyone has to follow the law, and our Office is here with our federal, state, and local level partners to enforce that standard.”
“The FDA closely monitors retailer, manufacturer, importer, and distributor compliance with Federal tobacco laws and regulations and takes enforcement action when violations occur, as in this case of trafficking in contraband tobacco,” said Special Agent in Charge Mark S. McCormack, FDA Office of Criminal Investigations Metro Washington Field Office. “We will continue to monitor the tobacco environment, investigate violations and bring perpetrators to justice.”
The case was investigated by the Department of Homeland Security, Homeland Security Investigations, the Food and Drug Administration, Office of Criminal Investigation, and the Pennsylvania Attorney General’s Office, Criminal Division, with assistance from: the Bureau of Alcohol, Tobacco, Firearms, & Explosives, the New York State Department of Tax and Finance, Criminal Investigations Division, and the Pennsylvania Department of Revenue, Criminal Investigation Division. The case was prosecuted by Assistant United States Attorneys Robert J. Livermore and Frank A. Weber.
Spokane Naturopath Agrees to Pay $47,700 Civil Penalty for Improper Prescription of Controlled SubstancesRead the Press Release
Spokane, Washington – Christopher M. Valley, N.D., a Spokane-based naturopathic doctor, has agreed to pay $47,700 to resolve allegations under the Controlled Substances Act that he improperly prescribed controlled substances between December 2015 and December 2020. The Controlled Substances Act regulates certain drugs deemed to pose a risk of abuse and dependence. To protect public safety and prevent misuse and diversion, the Act requires practitioners to register with the Drug Enforcement Administration (“DEA”) to prescribe these controlled substances.
During the relevant time period, Dr. Valley was a naturopathic doctor licensed in the State of Washington. Under state and federal law, as a naturopathic doctor, Dr. Valley was only authorized to prescribe two types of controlled substances: codeine and testosterone products. In the settlement agreement between the United States and Dr. Valley, Dr. Valley acknowledged prescribing at least 318 controlled substances that he was not authorized to prescribe, including stimulants such as modafinil (typically prescribed for narcolepsy and sleep apnea); the sedative pregabalin (sold by Pfizer under the brand name Lyrica); the diet drug phentermine; the sleep aid zopidem (often sold under the brand name Ambien), and one prescription for ketamine, a Schedule III anesthetic that is commonly abused recreationally.
The settlement agreement also further sets forth that Dr. Valley ceased his improper prescribing practices in September 2020 when pharmacists contacted him regarding his improper prescribing, and that he cooperated with the United States’ investigation, including acknowledging his prior improper prescribing and voluntarily surrendering his DEA registration. Additionally, the settlement agreement sets forth that Dr. Valley has implemented additional controls and procedures to ensure that this conduct does not recur.
“I am relieved that it does not appear anyone was seriously harmed by any medications prescribed by Dr. Valley, and I am heartened by Dr. Valley’s acknowledgment of his conduct and commitment to strict compliance going forward. But when a healthcare practitioner prescribes controlled substances that he is not qualified or authorized to prescribe, the public is placed at risk of potentially dangerous side effects, drug interactions, and contraindications,” said Vanessa R. Waldref, United States Attorney for the Eastern District of Washington. “This resolution demonstrates our strong commitment to protecting public health and to keeping our communities strong and safe. In particular, I commend the excellent investigative work conducted by DEA’s Diversion Group and the Department of Health and Human Services. We will continue to partner with DEA, HHS, and other law enforcement agencies to hold health care practitioners accountable.”
“Dr. Valley’s careless and irresponsible prescribing habits violated federal law and constituted a serious breach of his naturopathic license, which presented a clear and present danger to the health and safety of our communities,” said Frank A. Tarentino III, Special Agent in Charge of DEA’s Seattle Field Division. “We will continue to work with our federal, state, local, and tribal partners in the relentless pursuit of all those involved in the trafficking of opioids and other controlled substances.”
The settlement was the result of a joint investigation conducted by DEA’s Seattle Field Office, Diversion Group, and the U.S. Attorney’s Office for the Eastern District of Washington, with support and assistance from the U.S. Department of Health and Human Services, Office of Inspector General, Seattle Field Office. Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene handled this matter on behalf of the United States.
Second Metro East Man Pleads Guilty in Bank Fraud ScamRead the Press Release
EAST ST. LOUIS, Ill. – Aijeigh McShan, 20, of Fairview Heights, Illinois, pled guilty today to
conspiracy and bank fraud charges in federal court in East St. Louis, Illinois. McShan is the
second of three men charged in the indictment to plead guilty. Lagardo Wright, 20,
also of Fairview Heights, pled guilty to the same offenses on September 21, 2021.According to court documents, Wright and McShan used other people’s bank accounts to deposit
counterfeit checks at multiple banks. They obtained access to those accounts by
recruiting individuals on social media and elsewhere, promising money in exchange for personal
banking information, including online usernames, passwords, and PIN numbers. Whenever they
found someone willing to participate, they checked the person’s account balances and withdrawal
limits, and deposited counterfeit checks into the person’s account at ATMs or through mobile
deposits. Then they quickly withdrew funds before the bank could determine the checks were
counterfeit and closed the account for fraud.Conspiracy to commit bank fraud and brank fraud carry maximum sentences of thirty years in prison,
fines of up to $1,000,000, and restitution.Wright’s sentencing is scheduled for January 12, 2022. McShan will be sentenced on March 9, 2022.
The third defendant, Cedric Sheard, Jr., 21, of Belleville, Illinois, is scheduled to plead guilty
on November 16, 2021.The investigation was conducted by the United States Postal Inspection Service.
The case is being prosecuted by Assistant United States Attorney Luke J. Weissler.
Sanford Man Sentenced for Fentanyl Trafficking Resulting in DeathRead the Press Release
PORTLAND, Maine—A Sanford man was sentenced today in federal court for conspiring to distribute fentanyl resulting in death and serious bodily injury, U.S. Attorney Darcie N. McElwee announced.
U.S. District Judge D. Brock Hornby sentenced Scott Adams, 45, to 20 years in prison and four years of supervised release. Adams was also ordered to pay restitution to the victims of the offense in the amount of $5,511.33 and a fine of $4,388.67. Adams pleaded guilty on June 6, 2020.
According to court records, between August 2017 and April 2018, Adams and others acquired fentanyl in Massachusetts for distribution in York County. Two people who received fentanyl from members of the conspiracy died and another person suffered serious bodily injury.
On April 11, 2018, law enforcement officers seized approximately 150 grams of fentanyl from members of the conspiracy. A later search of Adams’ residence resulted in the seizure of fentanyl, a digital scale, approximately $2,500 in cash and a “finger press” designed to compress fentanyl for further distribution.
The U.S. Drug Enforcement Administration and the Maine Drug Enforcement Agency investigated the case, with assistance from the Biddeford and Sanford police departments.
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.
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San Antonio Man Posing as a Young Girl Sentenced for Possession of Child PornographyRead the Press Release
SAN ANTONIO – A San Antonio man was sentenced today to 20 years in prison for possession of child pornography.
According to court documents, Enrique Roman Martinez Jr., 35, pretended to be a young girl on a social media chat platform who befriended a 10-year-old minor in another state. Martinez also pretended to be a police officer to intimidate the minor. Through manipulation and coercion, Martinez convinced the child to create sexually explicit images and to send those images to Martinez.
“Child predators will go to extraordinary lengths to exploit and manipulate our children,” said U.S. Attorney Ashley C. Hoff. “They belong behind bars, and we will continue to work to put them there.”
“The FBI is committed to protecting children, as they the most vulnerable members of our society,” said Special Agent in Charge Christopher Combs, FBI San Antonio Division. “Those who would harm them will face serious consequences and will be held accountable for their actions.”
On April 26, 2021, Martinez pleaded guilty to one count of possession of child pornography.
Martinez has remained in federal custody since his arrest on July 2, 2018.
The FBI investigated the case.
Assistant U.S. Attorney Tracy Thompson prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Rome Man Pleads Guilty to Receipt and Possession of Child PornographyRead the Press Release
SYRACUSE, NEW YORK - Michael Mayhew, age 56, of Rome, New York, pled guilty today to one count of receipt of child pornography and three counts of possession of child pornography.
The announcement was made by United States Attorney Carla B. Freedman, Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), and New York State Police (NYSP) Superintendent Kevin P. Bruen.
Mayhew, who remains detained pending his sentencing scheduled for March 9, 2022, before Chief United States District Judge Glenn T. Suddaby in Syracuse, New York, faces at least 5 years and up to 20 years in prison, and a term of supervised release of between 5 years and life. A defendant’s sentence is imposed by a judge based on the statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. Mayhew will also be required to register as a sex offender.
As part of his guilty plea, Mayhew admitted that in December of 2018 he took photographs of a 6 year old child naked in his bathroom using his cellular telephone, including images that captured the child’s genitals. He also admitted that in 1993 and 1994 he secretly video recorded 3 children under the age of 12 in his home, again capturing videos of them naked and in two instances with their genitals visible He further admitted that from 2010 to 2015 he downloaded numerous graphic video files of minors engaged in sexually explicit conduct from the internet. Finally, Mayhew admitted that in March of 2019 he possessed 184 images of child pornography on an electronic storage device in his home as well as the videos he took in 1993 and 1994 on two separate VHS tapes.
This case is being investigated by the Federal Bureau of Investigation (FBI), Oneida County Sherriff’s Office, Rome Police Department, Oneida County District Attorney’s Office, Oneida County Child Advocacy Center, New York State Police, United States Air Force Office of Special Investigations and is being prosecuted by Assistant U.S. Attorney Geoffrey J. L. Brown as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Romanian Man Pleads Guilty to Bank Fraud and Identity TheftRead the Press Release
CONCORD - Stefan Catalin Bereanda, 45, a Romanian citizen unlawfully present in the United States, pleaded guilty in federal court on Monday to bank fraud and identity theft, Acting United States Attorney John J. Farley announced today.
According to court documents and statements made in court, in November of 2019, Bereanda and his co-defendant, Adrian Redenciuc, devised a scheme to defraud a New Hampshire bank by obtaining account information belonging to the bank’s customers, re-encoding the information onto new cards, and using those cards to withdraw funds from customer accounts. Surveillance footage revealed that on or about November 9, 2019, Redenciuc installed skimming devices on several ATMs in Claremont. He also installed small hidden cameras designed to record the PIN number entered by the customer during an ATM transaction. On November 10, 2019, surveillance footage captured Redenciuc removing the devices. Over the next few days, the two men visited several ATM locations around Claremont and made unauthorized withdrawals totaling over $30,000 using the information obtained through the skimming devices.
Bereanda is scheduled to be sentenced on March 1, 2022. Redenciuc has not yet been taken into custody.
“Identity theft and bank fraud offenses are significant crimes that cause serious financial and emotional harm to victims,” said Acting U.S. Attorney Farley. “This defendant’s scheme used skimming devices and hidden cameras to steal information from innocent bank customers. Thanks to the work of the Secret Service, this disturbing criminal scheme was stopped and this defendant has been held accountable for his unlawful conduct.”
This matter was investigated by the United States Secret Service and Claremont Police Department. The case is being prosecuted by Assistant U.S. Attorney Kasey Weiland.
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Prince George’s County Man Sentenced to Seven Years in Federal Prison for a Heroin Distribution Conspiracy Conducted over the Dark WebRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Russell Ramseur, age 44, of Largo, Maryland, to seven years in federal prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute at least one kilogram of heroin and for possession with intent to distribute heroin.
The sentence was announced by Acting United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; Postal Inspector in Charge Daniel A. Adame of the U.S. Postal Inspection Service - Washington Division; and Special Agent in Charge Jarod Forget of the Drug Enforcement Administration - Washington Division.
According to Ramseur’s plea agreement, from at least April 2014 through December 2015, Ramseur was registered as a vendor on a Darknet marketplace where he advertised the sale of heroin to the general public under the username "BESTMAN365." On the Darknet marketplace, Ramseur accepted orders for heroin and received payments from customers in Bitcoin. Ramseur and his co-conspirators packaged and shipped heroin from Capitol Heights, Maryland, to customers throughout the United States.
Throughout the course of the investigation, law enforcement intercepted or received through the mail at least nine packages containing heroin.
On December 14, 2015, law enforcement executed a federal search warrant at the residence of one of Ramseur's associates in Greenbelt, Maryland. During the search, law enforcement seized $13,000 in cash from a safe, which Ramseur admits was the proceeds of his heroin distribution.
The Darknet marketplace where Ramseur advertised the sale of heroin allowed customers to rate vendors. In 2015, investigators compared listings for heroin by BESTMAN365 with subsequent customer reviews. Based on that comparison and the length of the drug trafficking conspiracy, Ramseur admitted that it was reasonably foreseeable that Ramseur and his co-conspirators distributed between one kilogram and three kilograms of heroin through the Darknet marketplace.
This case was prosecuted utilizing resources from the Dark Market and Digital Currency Crimes (DMDCC) Task Force. The DMDCC Task Force is a joint effort between the U.S. Attorney’s Office, HSI – Baltimore, the U.S. Secret Service, the U.S. Postal Inspection Service; the Food and Drug Administration, the Internal Revenue Service – Criminal Investigation, the Drug Enforcement Administration, the Defense Criminal Investigative Service, the Baltimore Police Department, and the Baltimore County Police Department, targeting the use of dark net marketplaces and digital currencies to facilitate criminal activities. The past several years have witnessed a significant increase in the use of the internet (both the clear net and dark net) and digital currencies to facilitate, for example, the illegal sale and distribution of narcotics and firearms, computer technologies (including hacking tools), and Personal Identifiable Information (PII). In response to this rising threat, the U.S. Attorney’s Office, HSI, and their partners formed the DMDCC Task Force to facilitate stronger collaboration among law enforcement partners combatting these crimes.
This case is also 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.
Acting United States Attorney Erek L. Barron praised the FBI, USPIS, and DEA for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Adam K. Ake and Kristi N. O’Malley who prosecuted 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.
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Pittsburgh Physician Pleads Guilty to Drug Diversion and Health Care Fraud ChargesRead the Press Release
PITTSBURGH - A physician pleaded guilty in federal court to charges of drug diversion and health care fraud, Acting United States Attorney Stephen R. Kaufman announced today.
Yee Chung Ho, age 72, of Murrysville, Pennsylvania, pleaded guilty to four counts of unlawful dispensing and distributing Schedule II controlled substances and one count of health care fraud before Senior United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the court was advised that Dr. Ho is a licensed medical doctor who owns and operates a family medicine practice located in Pittsburgh, Pennsylvania. The court was further advised that, on several dates in May and June 2019, Dr. Ho knowingly dispensed and distributed Schedule II drugs, specifically, Oxycodone, outside the usual course of professional practice and not for a legitimate medical purpose. The court was further advised that from April 2018 through June 2019, Dr. Ho committed health care fraud by causing fraudulent claims to be submitted to Medicare for payments to cover the costs of unlawfully prescribed drugs.
Judge Fischer scheduled sentencing for February 4, 2022. The law provides for a maximum per count sentence of 20 years in prison, a fine of $1,000,000.00, or both, for the controlled substances offenses. Dr. Ho faces an additional maximum per count sentence of 10 years and fine of $250,000.00 for the health care fraud charges. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorneys Robert Cessar and Karen Gal-Or and Special Assistant United States Attorney Edward Song are prosecuting this case on behalf of the government.
The Drug Enforcement Administration, Federal Bureau of Investigation, Department of Health and Human Services, and the Pennsylvania State Attorney General’s Office conducted the investigation leading to the charges in this case.
Pikeville Man Convicted of Wire Fraud and Healthcare FraudRead the Press Release
PIKEVILLE, Ky.- A Pikeville man was convicted on Monday by a federal jury in Pikeville for wire fraud and health care fraud.
After two hours of deliberation, following a five-day trial, the jury convicted 36-year-old Eugene Sisco III of one count of wire fraud and one count of health care fraud.
According to the evidence at trial, Sisco operated several medication assisted treatment (“MAT”) clinics in Pike, Floyd, and Harlan Counties that offered treatment to patients suffering from opioid addiction. These clinics were enrolled as providers in the Kentucky Medicaid program, and under Kentucky law were required to bill that insurance program for MAT services rendered to Medicaid patients. The evidence demonstrated that Sisco deceived patients into paying $200-$300 per month in cash for treatment at his clinics, despite having Medicaid insurance, by falsely claiming his clinics were not eligible to bill Medicaid for the counseling services they provided. The evidence at trial showed that the cash payments from patients totaled around $5 million between May 2016 and October 2019. At the same time, Sisco caused his clinics to bill Medicaid for MAT services, receiving around $5 million in reimbursements from that program as well.
The jury also found that Sisco engaged in a health care fraud scheme, by causing his laboratory, Toxperts, LLC, to bill for medically unnecessary urine drug testing of samples collected from patients at his clinics. The physician witnesses at trial testified that they did not order this urine drug testing, and that some of it was done at Sisco’s direction for billing purposes, as opposed to any medical reason. Sisco is not a doctor or medical professional.
Sisco was indicted in November 2020.
Carlton S. Shier, IV, Acting United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office; Daniel Cameron, Attorney General of Kentucky; and Col. Phillip Burnett, Jr., Commissioner, Kentucky State Police; announced the conviction.
The investigation was conducted by FBI, KSP, and the Office of the Attorney General, Office of Medicaid Fraud and Abuse. The United States was represented in the case by Assistant U.S. Attorney Paul McCaffrey.
Sisco will appear for sentencing on March 8, 2022 at 11 a.m. He faces a maximum of 20 years for the wire fraud charge and 10 years maximum for the health care fraud. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal sentencing statutes before imposing a sentence.
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Philadelphia Woman Convicted at Trial of Straw Purchasing Firearms in Bucks County for her BoyfriendRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Brihany Baker, 25, of Philadelphia, PA, was convicted today at trial of illegally purchasing three semi-automatic firearms for her romantic partner.
In November 2020, the defendant was charged by Indictment with criminal conspiracy to knowingly make false statements to a federal firearms licensee, and making a false statement to a federal firearms licensee. The charges stem an investigation into straw purchasers of firearms at a gun dealer in Horsham, PA in June 2020. Investigators were conducting surveillance of that store when they observed the defendant and another individual, who was prohibited from purchasing firearms, enter the store. The investigators then proactively delayed any sale of firearms to the defendant and while obtaining video from inside the store, which showed the prohibited purchaser, who was also the defendant’s boyfriend, Donte Maxwell, place a $200 deposit on three semi-automatic firearms, handle the firearms, and take pictures of the firearms.
Then, in July 2020, the defendant returned to the store and purchased the three semi-automatic firearms, stating on a federal form 4473 that she was buying them for herself and not another person. The defendant subsequently confessed that she lied on the form and actually bought the firearms for her boyfriend. At the time of the purchase, Mr. Maxwell faced a felony charge and was prohibited from buying firearms.
“The purpose of our ‘All Hands On Deck’ initiative is, first and foremost, to prevent violent crime, which includes targeting for prosecution straw firearms purchasers,” said Acting U.S. Attorney Williams. “By charging crimes like straw purchasing of firearms, where firearms are purchased in order to turn them over to people who are prohibited from legally buying or possessing them, we can cut off the supply of illegal weapons at the source. Now, this defendant will face the consequences of her actions.”
“ATF is committed to keeping firearms out of the hands of individuals prohibited from legally possessing them,” said Matthew Varisco, Special Agent in charge of ATF’s Philadelphia Field Division. “Straw purchasing is a serious offense in which ATF along with our law enforcement partners and the U.S. Attorney’s Office, will continue to investigate and prosecute those responsible. This conviction ensures this defendant can no longer purchase firearms for others.”
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.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and is being prosecuted by Assistant United States Attorney Michael Miller.
Philadelphia Man Convicted for ’98 Palestra Murder Charged with Fraudulently Obtaining Pandemic Relief Funds Shortly After Prison ReleaseRead the Press Release
PHILADELPHIA –Acting United States Attorney Jennifer Arbittier Williams announced that Kyle McLemore, 44, of Philadelphia, PA, was arrested and charged by Indictment with one count of mail fraud and two counts of theft of public money. In February 1999, the defendant was convicted on state charges of murdering an individual and shooting three others on the University of Pennsylvania’s campus after a high school basketball game. As alleged in the Indictment, shortly after he was released on parole from prison last year after serving 21 years for the murder charges, the defendant fraudulently applied for and obtained emergency unemployment benefits and loan funds related to the COVID-19 pandemic.
On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law. The CARES Act created the Pandemic Unemployment Assistance (PUA) program, which provides unemployment benefits to individuals not eligible for regular unemployment compensation or extended unemployment benefits, including individuals, families, and businesses affected by COVID-19. The CARES Act also created the Economic Injury Disaster Loan (EIDL) program, which provides low-rate emergency loan options for struggling businesses.
The Indictment alleges that McLemore took advantage of both programs, securing pandemic relief funds to which he was not entitled by filling out fraudulent applications. Specifically, in May 2020, less than a week after he was released from prison, the defendant is alleged to have submitted or caused another to submit a PUA application, falsely stating that he had lost his job due to the COVID-19 pandemic, and claiming a last day of work that actually fell during a time when he was still incarcerated. According to the Indictment, the defendant subsequently submitted or caused another to submit weekly PUA certifications, falsely reporting that he was ready and able to accept a job if offered during a period when he was actually in prison and unable to accept employment. As a result of his fraudulent application and weekly certifications, the defendant obtained $14,555 in PUA benefits.
The Indictment further charges that in June 2020, the defendant submitted an EIDL program application to the Small Business Administration (SBA), providing false information about an alleged tobacco business that he claimed to own during a time when he was still in prison, and denying that he had been on probation or parole within the last five years. To verify his application, the defendant submitted a forged business license from the City of Philadelphia. As a result of his fraudulent EIDL application, the defendant received funds amounting to nearly $125,000 from the SBA, before the SBA reversed a large portion of the ill-gotten loan proceeds.
“The PUA and EIDL programs established under the CARES Act are intended to help struggling Americans and small businesses stay afloat during the pandemic,” said Acting U.S. Attorney Williams. “Fraudsters who try to steal these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the programs. My Office will do everything in its power to ensure that coronavirus fraud scams are stopped and punished.”
“The COVID-19 pandemic brought massive economic upheaval for so many,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “Defrauding the federal government programs created to mitigate that harm is despicable. Every dollar diverted to a scammer is a dollar not available for legitimate applicants in need. The FBI is committed to identifying, investigating, and bringing to justice anyone who thinks stealing taxpayer funds is the way to an easy payday.”
If convicted of all charges, the defendant faces a maximum possible sentence of 40 years in prison, three years of supervised release, a $750,000 fine, restitution, and a $300 special assessment.
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorneys Timothy Lanni and Eileen Castilla Zelek.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Persons 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 Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Oklahoma Man Pleads Guilty to Trafficking Firearms Parts Through Arkansas to MexicoRead the Press Release
LITTLE ROCK—An Oklahoma man has pleaded guilty to his role in a conspiracy that resulted in the trafficking of firearms to Mexican cartels as part of “Operation Thor’s Hammer,” an effort to disrupt cartels’ access to firearms. Andrew Scott Pierson, 47, of Jay, Oklahoma, entered his guilty plea today before United States District Judge Brian S. Miller, who will sentence Pierson at a later date.
In May 2017, an Arkansas resident received a shipment of firearm components that had been sent to him for cerakoting, a process in which a polymer-ceramic coating is added to a firearm or its parts to improve durability. The parts were 80% Colt lower receivers, and this individual recognized these firearm parts as counterfeit. He contacted law enforcement. The counterfeit receivers were traced to an organization in Laredo, Texas, which was transporting firearm parts to Pierson in Nuevo Laredo, Mexico. Peirson assembled the parts into functioning automatic weapons for the Cartel Del Noreste (CDN) and Cartel Jalisco Nueva Generacion (CJNG).
Pierson self-surrendered at the port of entry to United States authorities on December 10, 2018. Pierson admitted to ordering and receiving firearm parts from the United States and manufacturing automatic weapons in Mexico for the CDN and CJNG cartels. Law enforcement later confirmed cartel firearm availability was impaired following Pierson’s arrest.
On September 3, 2019, a federal grand jury indicted Pierson and seven others for their involvement conspiracies to traffic in counterfeit goods and to violate the Arms Export Control Act. Five codefendants have previously pleaded guilty, and one co-defendant remains a fugitive in Mexico. Today, Pierson pleaded guilty to Count 2 of the Fourth Superseding Indictment, conspiracy to violate the Arms Export Control Act.
“This case is the first successful prosecution in the country of the exportation and manufacturing of Mexican cartel firearms,” stated Acting United States Attorney Jonathan D. Ross. “We are proud that this investigation made it more difficult for violent cartels to obtain firearms, and we intend to prosecute any case that will help keep guns out of the hands of these criminal organizations.”
“The cooperation among local, state, and federal law enforcement agencies and the government of Mexico is the foundation for combating cross-border firearms trafficking,” said Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) New Orleans Field Division Special Agent in Charge Kurt Thielhorn. “ATF works relentlessly to keep guns out of the hands of drug trafficking organizations and their violent associates. Stemming the flow of illegal guns to Mexico remains a high priority for ATF.”
“This plea is another significant moment in an investigation highlighting the dangers facing our communities. With numerous accounts of atrocities attributed to cartels, it’s unconscionable to think someone would conspire to provide them weapons. The U.S. Postal Inspection Service (USPIS) is proud to have worked with so many fellow law enforcement agencies in helping bring this case to fruition,” said Thomas Noyes, Inspector in Charge of the Fort Worth Division. “We will vigorously pursue those who misuse the U.S. Mail, and we thank the U.S. Attorney’s Office in the Eastern District of Arkansas for their commitment in prosecuting these cases.”
Pierson’s crime is punishable by not more than 20 years imprisonment, a fine of not more than $1,000,000, and not more than three years supervised release. The case was investigated by ATF and USPIS with assistance from Homeland Security Investigations. The case is being prosecuted by Assistant United States Attorney Anne Gardner.
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 https://www.justice.gov/OCDETF.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
Oelwein Man Pleads Guilty to Conspiring to Distribute MethamphetamineRead the Press Release
David Alan Tafolla, age 54, from Oelwein, Iowa, pled guilty today in federal court in Cedar Rapids.
At the plea hearing, Tafolla admitted that he conspired to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine and 50 grams or more of actual (pure) methamphetamine. In a plea agreement, Tafolla also acknowledged that he purchased pounds of methamphetamine. He further admitted that during a search of his home, law enforcement discovered more than 400 grams of methamphetamine, three grams of marijuana, and approximately $36,000 in cash. In the plea agreement, Tafolla admitted that, in addition to the methamphetamine found in his home, he distributed another 265 grams of methamphetamine.
Sentencing before United States District Court C. J. Williams will be set after a presentence report is prepared. Tafolla remains in custody of the United States Marshal. Tafolla faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment without the possibility of parole, a $10,000,000 fine, and a term of supervised release of up to life.
The case is being prosecuted by Special Assistant United States Attorney Devra T. Hake and was investigated by the Oelwein Police Department, the Iowa Division of Narcotics Enforcement, and the Federal Bureau of Investigation.
Court file information is at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-2044.
Northeast Ohio Priest Sentenced to Life in Prison for Sex Trafficking Minors, Exploitation and Child PornographyRead the Press Release
Acting U.S. Attorney Bridget M. Brennan announced that Robert D. McWilliams, 41, of Strongsville, Ohio, was sentenced today by Judge Sara Lioi to life in prison. McWilliams, a Northeast Ohio-area Catholic Priest at the time of the offense conduct, previously pleaded guilty to two counts of sex trafficking of a minor, three counts of sexual exploitation of a child, and one count each of transportation of child pornography, receipt and distribution of visual depiction of a minor engaged in sexually explicit conduct and possession of child pornography.
“This defendant violated and exploited children in nearly every manner imaginable,” said Acting U.S. Attorney Bridget M. Brennan. “Using his role in the Church, Mr. McWilliams violated the sacrament of confession to identify potential victims, and offered religious counseling to victims he extorted under alter egos he intentionally created to conceal his own identity. He also used social media to target and entice young children into the exploitive world of juvenile sex trafficking, all after having already amassed a large collection of violent child pornography. We commend the victims and their families for the courage they have shown. We are also thankful to Homeland Security Investigations, the Geauga County Prosecutor’s Office, and the Internet Crimes Against Children Task Force for their work on this case and all cases involving perpetrators who target our children.”
“Mr. McWilliams used his position and reputation as a priest to meet and earn the trust of these children, only to betray that trust in the worst way possible for his own twisted gratification,” said HSI Detroit Special Agent in Charge Vance Callender. “HSI Detroit has several teams of agents and forensic interviewers throughout the region who work with state and local partners and the National Center for Missing and Exploited Children to identify individuals who exploit the communities’ trust.”
As set out in court documents, beginning in 2019, McWilliams used fake identities and technology to extort minors for sexually explicit images, amass a significant collection of child pornography and provide compensation to minors in exchange for sexual acts. McWilliams met some of the victims through his time in the seminary with the Catholic Diocese of Cleveland and as an appointed Parochial Vicar at a parish where the children and their families were affiliated.
According to court documents, McWilliams used the sacrament of confession to obtain information that he later exploited, by creating aliases, including posing as a minor, to seek the production of sexually explicit material from minors that he was “counseling.” Court records show that McWilliams enticed three minor victims to send sexually explicit photographs and videos, sometimes threatening to expose embarrassing information that McWilliams already knew about the victims if they did not send such images. When some victims refused to send additional images, McWilliams followed through on his threats and sent sexually explicit photographs to the victims’ mothers.
In addition, court documents state that McWilliams used the social networking website Grindr.com to make contact with a minor victim for the purpose of engaging in commercial sex. McWilliams then enticed this minor victim to identify another minor victim with whom McWilliams could engage in commercial sex acts. McWilliams met the victims on multiple occasions for the purpose of engaging in sex acts in exchange for money and alcohol.
On December 4, 2019, law enforcement officials executed a search warrant at McWilliams’ living quarters in Strongsville. During the search, officers seized a laptop and an external hard drive that contained hundreds of images and videos of child pornography. Further investigation revealed McWilliams had a Dropbox cloud storage account where he stored more than 128,000 images of child pornography. McWilliams downloaded these image files from the internet and stored them in various folders on his computer devices.
This case was investigated by the Geauga County Prosecutor’s Office with assistance from the Department of Homeland Security, Homeland Security Investigations and Ohio Internet Crimes Against Children (“ICAC”) Task Force. James Flaiz, the Geauga County Prosecutor, is an assigned Special Assistant U.S. Attorney on this matter. This case was prosecuted by Acting U.S. Attorney Bridget M. Brennan and Assistant U.S. Attorney Carol M. Skutnik.
North Carolina Family Sentenced in Multimillion Dollar South Carolina Medicaid SchemeRead the Press Release
Columbia, South Carolina – Acting United States Attorney M. Rhett DeHart announced today that Tony Lee Covington, 50, his wife Priscilla Covington, 51, and his sisters Vanessa McPhaul, 56, and Mary Moses Covington, 51, all of Raeford, North Carolina, were sentenced for conspiracy to commit wire fraud in a scheme to defraud South Carolina Medicaid of over $3.6 million.
According to evidence presented during the defendants’ guilty plea and sentencing hearings, the family members founded two companies, Preferred Care Incorporated and Saving Grace Outreach. The two companies claimed to provide rehabilitative behavioral health services to disabled, low-income individuals in South Carolina through the Medicaid program. Instead, between 2014 and 2016, the companies billed South Carolina Medicaid millions of dollars for “crisis intervention,” a service offered to individuals experiencing extreme emotional distress like suicidal thoughts or mental breakdowns.
During the hearings, the government indicated that despite the companies having fewer than 20 clients, they billed more in total for crisis intervention services than the entire South Carolina Department of Mental Health. Clients contacted by investigators indicated that while they had received some services from the companies, they never received any crisis intervention. Evidence in the case indicated that the services provided by the companies should have been billed at approximately $9.00 an hour, but by billing the services as crisis intervention, the companies were instead paid $67.88 per hour.
Although Medicaid instituted an audit of Preferred Care once the irregular billing was discovered, the family immediately started Saving Grace Outreach to continue the fraudulent billing practices.
“Stealing from agencies that serve those in distress is shameful, and illegal,” said Acting U.S. Attorney DeHart. “This office worked with our partners in the South Carolina Attorney General’s Office to not only prosecute these defendants, but to put a stop to their illegal practices.”
“This case shows the great working relationship between our office and the U.S. Attorney’s Office and illustrates how we use that cooperation to hold criminals accountable,” South Carolina Attorney General Alan Wilson said. “This Medicaid Fraud Scheme enabled providers to steal millions of dollars from taxpayers, which means there’s less money available for people who actually need medical care.”
United States District Judge Mary Lewis sentenced Tony Covington to 51 months in federal prison, Priscilla Covington to 39 months in federal prison, Mary Covington Moses to 33 months in federal prison, and Vanessa Covington McPhaul to 33 months in federal prison. There is no parole in the federal system. All defendants were given a three-year term of court-ordered supervision and ordered to repay $3,647,094.83 in restitution to South Carolina Medicaid.
The case was investigated by the United States Department of Health and Human Services (HHS) and South Carolina Attorney General’s Office.
Assistant United States Attorney T. DeWayne Pearson prosecuted the case.
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New Salem Man Pleads Guilty to Child Pornography OffenseRead the Press Release
BOSTON – A New Salem man pleaded guilty today in federal court in Springfield to a child pornography offense.
Nicholas Conkey, 35, pleaded guilty to one count of possession of child pornography. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for March 7, 2022. Conkey was charged in June 2019.
Conkey admitted that on Jan. 18, 2019, he possessed 42 images and one video of child pornography on his phone. These images and video depicted prepubescent children engaged in sex acts or the lascivious display of their genitalia. Conkey also admitted that he possessed child pornography images in his online email account.
The charge of possession of child pornography, due to the defendant’s prior military conviction for a child pornography offense, provides for a sentence of at least 10 years and up to 20 years in prison, at least five years and up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement. Assistant U.S. Attorney Alex J. Grant of Mendell’s Springfield Branch Office is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ offices and CEOS, Project Safe Childhood marshals federal, state and local resources to 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 http://www.projectsafechildhood.gov.
New Jersey woman and Berkeley County man admit to roles in drug conspiracyRead the Press Release
MARTINSBURG, WEST VIRGINIA – Ana B. Lopez, of Camden, New Jersey, and Brandon Eugene Corbin, of Inwood, West Virginia, have admitted to their roles in a drug conspiracy that spanned several states, United States Attorney William J. Ihlenfeld, II announced.
Lopez, 21, and Corbin, 35, each pleaded guilty today to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Heroin, Fentanyl, and Cocaine Base.” Lopez and Corbin admitted to working with others to distribute controlled substances from January to September 2019 in Berkeley and Jefferson Counties and elsewhere.
Lopez and Corbin each face up to 20 years of incarceration and a fine of up to $1,000,000. 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.
This case is 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.
Assistant U.S. Attorney Lara Omps-Botteicher and Special Assistant U.S. Attorney C. Lydia Lehman, also with the Berkeley County Prosecuting Attorney’s Office, are prosecuting the case on behalf of the government. The FBI; Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms & Explosives; and the Eastern Panhandle Drug and Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Muskegon Man Sentenced to 210 Months in Prison for Drug Trafficking ConspiracyRead the Press Release
GRAND RAPIDS, MICHIGAN – U.S. Attorney Andrew Birge announced that Zachary John Kennedy, a/k/a “Zeus” of Muskegon, Michigan, was sentenced to 210 months’ imprisonment, followed by five years’ supervised release, by U.S. District Judge Paul L. Maloney.
Mr. Kennedy spent years conspiring with others to sell illegal drugs, including heroin, fentanyl, crack cocaine, and methamphetamine throughout west Michigan. During the conspiracy, Kennedy personally sold large quantities of methamphetamine, which included arranging a two-ounce methamphetamine deal in November 2019 and a ten-ounce deal in December 2019.
At sentencing, Judge Maloney found that Kennedy had used firearms in furtherance of his drug trafficking activities and that Kennedy’s actions showed an utter recklessness that needed to be deterred. Judge Maloney characterized Kennedy as “a major threat to the public” who committed a serious crime conspiring to sell drugs, particularly methamphetamine and fentanyl, both of which have had a major impact on the Western District of Michigan.
“This sentence marks a significant step in our efforts to disrupt major drug traffickers in the Muskegon area” commented U.S. Attorney Andrew Birge. “Zachary Kennedy’s actions endangered his community and put innocent citizens at risk. With today’s sentence, Mr. Kennedy has been held accountable for his actions.”
“I’d like to thank our law enforcement partners for their diligence in investigating drug trafficking crimes and protecting the public from violent drug traffickers like Mr. Kennedy,” said Drug Enforcement Administration (DEA) Special Agent in Charge Keith Martin. “The illicit drugs he pushed into west-Michigan are nothing short of poison, and the DEA will continue to work this case, and others like it, to their respective sources and bring everyone involved to justice.”
“WEMET Muskegon is a multi-jurisdictional task force comprised of local, county, state and federal officers. These types of cases would not be possible without the longstanding cooperation between agencies. Criminal drug traffickers do not stop at jurisdictional borders and because of cooperative efforts like the one here, neither do we,” said Detective Lieutenant Andrew Ambrose, commander of the West Michigan Enforcement Team (WEMET), a division of the Michigan State Police and one of the lead investigative agencies on the case.
Kennedy’s sentence is the most recent in a series of sentences handed down for drug traffickers prosecuted as part of coordinated efforts to disrupt drug trafficking in the Muskegon area. The other defendants received the following sentences:
- Brent Wilkerson, a/k/a “Pay”– 144 months in prison for distribution of 50 grams or more of methamphetamine;
- Daris Jefferson, a/k/a “Smoove” – 90 months in prison for possession of heroin and cocaine base (“crack”) with the intent to distribute it and possession of a firearm in furtherance of a drug trafficking crime;
- Alezay Coleman, a/k/a “Zay” – 87 months in prison for possession of methamphetamine, fentanyl, and heroin with the intent to distribute it;
- Malik Jones-Smith, a/k/a “9” – 60 months in prison for distribution of five grams or more of methamphetamine; and
- Carl Johnson, a/k/a “Orangebone,” a/k/a “Bones”– 12 months and 1 day in prison for distribution of cocaine base (“crack”).
This case was part of Operation Interstate Zeus, an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation that began in 2019 and was led by the Drug Enforcement Administration (DEA) and members of Michigan State Police’s West Michigan Enforcement Teams (WEMET). Kennedy is the latest in nearly a dozen defendants sentenced in the investigation, which led to the overall seizure of approximately 339 grams of suspected methamphetamine, 113 grams of fentanyl, 93 grams of heroin, and quantities of cocaine and crack cocaine. Investigators also seized six handguns, jewelry worth approximately $20,000 and more than $20,000 in cash.
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. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case was prosecuted by Assistant U.S. Attorneys Stephanie M. Carowan and Vito S. Solitro.
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Miami Man Who Laundered Tax and Computer Scam Money Sentenced to Federal PrisonRead the Press Release
Miami, Florida – Fifty-one-year-old Kevin Dewayne Kirby was sentenced yesterday in federal district court in Ft. Lauderdale to 57 months in federal prison for laundering over $500,000 connected to two wire fraud scams.
The first was an IRS tax scam, which generally worked the following way: A fraudster, pretending to be from the IRS, called victims and convinced them that they owed back taxes to the IRS. The fraudster would threaten arrest and other legal action if the tax obligations were not immediately paid. Fearing the threats, victims wired their money to bank accounts that Kirby or his co-conspirators controlled.
The second scam was one involving computer services, which generally worked the following way: Fraudsters, pretending to work for a fake computer service company, called victims and told them that they had to pay a fee to fix or update their computers. Alternatively, the fraudsters told the victims that the fake computer company owned them refunds. Victims allowed the fraudsters remote access to their computers, which the fraudsters used to transfer funds from the victims’ savings accounts, brokerage accounts, or home equity accounts into the victims’ checking accounts. During this process, the fraudsters manipulated the online appearance of the victims’ accounts so that the transfers could not be seen or detected. After making the transfers, the fraudsters would contact the victims and convinced them that the fake computer company had made accidental refund payments to their checking accounts. They instructed victims on how to repay the money by wire transfer. The victims then unwittingly sent their own money (previously transferred by the fraudsters from the victims’ other accounts to their checking accounts) to bank accounts that Kirby and his co-conspirators controlled.
To execute the money laundering conspiracy, Kirby and his co-conspirators used bank accounts connected to eight different companies. After money was wired to these accounts, Kirby and his co-conspirators drained the funds from the accounts by wire transfers, cash withdrawals, money order purchases, and cashier check purchases. Kirby knew that the transactions were designed to conceal the nature of the proceeds. During the conspiracy, over half a million dollars was laundered.
On July 22, 2021, Kirby pled guilty to two counts of money laundering conspiracy and one count of money laundering. U.S. District Judge Rodney Smith imposed Kirby’s sentence.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida; Mark H. Morini, Jr., Special Agent in Charge, U.S. Treasury Inspector General for Tax Administration (TIGTA), Southern Field Division; Brian Swain, Special Agent in Charge, United States Secret Service, Miami; and Acting SAC is Matthew D. Line, Acting Special Agent in Charge, IRS-Criminal Investigation, Miami made the announcement.
Assistant U.S. Attorney Deric Zacca prosecuted the case. Assistant U.S. Attorney Daren Grove is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 21-cr-60074.
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Mexican National Sentenced for Illegal Re-EntryRead the Press Release
NEW ORLEANS – U.S. Attorney Duane Evans announced today that JUAN CARLOS SANCHEZ-ZAPATERO (“SANCHEZ-ZAPATERO”), age 36, was sentenced on November 4, 2021 to seven months in prison on a one-count indictment for illegal reentry of a removed alien in violation of Title 8, United States Code, Section 1326(a).
According to the indictment, SANCHEZ-ZAPATERO reentered the United States after he was previously deported on July 17, 2013. SANCHEZ-ZAPATERO faced a maximum term of imprisonment of two years, a maximum fine of $250,000, a maximum term of supervised release of one year, and a mandatory $100 special assessment fee.
U.S. Attorney Evans praised the work of the United States Department of Homeland Security in investigating this matter. Assistant U. S. Attorney Spiro G. Latsis is in charge of the prosecution
Massachusetts Man Sentenced for Unlawfully Possessing FirearmRead the Press Release
PORTLAND, Maine: A Massachusetts man was sentenced today in U.S. District Court in Portland for being a felon in possession of a firearm, U.S. Attorney Darcie N. McElwee announced.
U.S. District Judge George Z. Singal sentenced Emmanuel Diaz, 31, to six years and three months in prison to be followed by three years of supervised release. Diaz pleaded guilty on July 6, 2021.
According to court records, Diaz absconded from parole in Massachusetts in October 2020. He subsequently traveled to Maine, where he was observed on video engaged in target shooting. On November 11, 2020, law enforcement officers arrested Diaz and recovered the gun. Diaz was prohibited from possessing a firearm because of two prior felony convictions.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated the case with assistance from the Maine State Police and the Holyoke (Massachusetts) and Springfield (Massachusetts) police departments.
The prosecution is part of the Department of Justice’s Project Safe Neighborhoods (PSN) initiative. PSN is a nationwide initiative that brings together federal, state, local and tribal law enforcement officials, prosecutors, community leaders and other stakeholders to identify the most pressing violent crime problems in a community and develop comprehensive solutions to address them. PSN is coordinated by the U.S. Attorneys’ Offices in the 94 federal judicial districts throughout the 50 states and U.S. territories. PSN is customized to account for local violent crime problems and resources. Across all districts, PSN follows four key design elements of successful violent crime reduction initiatives: community engagement, prevention and intervention, focused and strategic enforcement, and accountability.
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Massachusetts Man Pleads Guilty to Firearm ChargesRead the Press Release
CONCORD - Ariel Toribio, 22, of Lawrence, Massachusetts, pleaded guilty in federal court on Monday to aiding and abetting the making of a false statement during the acquisition of a firearm, Acting United States Attorney John J. Farley announced today.
According to court documents and statements made in court, on five separate occasions in November and December 2019, Toribio’s co-defendant, Samantha Sicard, purchased 11 firearms for Toribio and others. Toribio solicited Sicard to buy the firearms, instructed her about which firearms to purchase and paid for the firearms. Toribio traveled with Sicard to a federally licensed firearms dealer where she would fill out the necessary paperwork and falsely state she was the actual purchaser of the firearms when she was in fact purchasing them for Toribio and others.
Toribio is scheduled to be sentenced on February 22, 2022. Charges against Sicard remain pending.
“By arranging for another person to buy guns for himself and others, this defendant committed a significant federal crime,” said Acting U.S. Attorney Farley. “In order to keep guns out of the hands of criminals, we work closely with the ATF and other law enforcement partners to identify and prosecute those who unlawfully obtain firearms.”
“Firearms trafficking remains ATF's top priority and this investigation is another example of how through the use of a straw purchaser, firearms are trafficked and end up in the hands of criminals. This case should send a clear message to straw purchasers of firearms, if you are thinking about buying a gun for someone other than yourself, you better think again.” Said James M. Ferguson, ATF Special Agent in Charge, Boston Field Division. “Together, with our law enforcement partners, we will aggressively pursue and arrest anyone who had a role in putting guns onto the streets and into the hands of individuals who cannot legally purchase them”
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being prosecuted by Assistant U.S. Attorney Debra Walsh.
The case is part of ATF’s Project Safe Neighborhoods initiative, which is a federally-funded program intended to reduce gun violence through law enforcement training, public education, and aggressive law enforcement efforts to investigate and prosecute gun-related crimes.
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Marion Man Pleads Guilty to Distributing FentanylRead the Press Release
ABINGDON, Va. – A Marion, Virginia man pleaded guilty last week to possession with the intent to distribute the deadly drug fentanyl.
Dakota Shadoe Tunnell, 21, became known to law enforcement in early 2021 when a flood of illegal pills began showing up in Smyth County, Virginia. The pills resembled a pharmaceutical preparation of oxycodone-hydrochloride pills, but were inconsistent in size, shape, and color as compared to pharmaceutical-grade pills. Pills of this type are sometimes referred to as “pressed” or “M30” pills.
During the investigation, law enforcement determined that Tunnell had been purchasing 300 to 500 pills at a time from his supplier and redistributing them in the Marion, Virginia area. On September 5, 2021, law enforcement executed a controlled purchase of approximately 100 pills from Tunnell for $1,700.
“The sale of fentanyl has grown dramatically in Southwest Virginia. People need to be aware of the dangers associated with these illegal ‘pressed pills’ because one pill can kill,” United States Attorney Christopher R. Kavanaugh said today. “The illicit use of fentanyl results in death or serious bodily injury more than any other controlled substance, and we will vigorously prosecute those who disseminate it.”
Tunnell pleaded guilty to one count of possessing with the intent to distribute 40 grams or more of fentanyl and is scheduled to be sentenced on January 25, 2022. He faces a mandatory minimum penalty of five years in prison and a maximum statutory penalty of up to 40 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Smyth County Sheriff’s Office, the U.S. Postal Inspection Service, the U.S. Postal Service Office of Inspector General, and the Federal Bureau of Investigation investigated the case.
Assistant U.S. Attorney Whit D. Pierce is prosecuting the case.
Man Traveling from Georgia to St. Croix Pleads Guilty to Federal Charges for Marijuana in LuggageRead the Press Release
ST. CROIX, USVI – U.S. Attorney Gretchen C.F. Shappert of the District of the Virgin Islands announced that a Georgia man pleaded guilty in federal court today to possession of a controlled substance with the intent to distribute.
According to court documents, Ra’Kheel Velasquez, age 24, of Georgia traveled to St. Croix on a Delta flight originating from Atlanta, Georgia with checked luggage containing approximately 1.76 kilograms (approximately 4 pounds) of marijuana in four individually wrapped packages intended for distribution.
He is scheduled to be sentenced on March 10, 2022 and faces a maximum penalty of 5 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Customs and Border Protection, and Homeland Security Investigations are investigating the case.
Assistant U.S. Attorney Melissa Ortiz is prosecuting the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Man Pleads Guilty to Escape ChargeRead the Press Release
HUNTINGTON, W.Va. – Robert Reid, 26, pleaded guilty yesterday to an escape charge.
According to court documents, on August 8, 2021, Reid left Dismas Charities, Inc., a Bureau of Prisons residential reentry facility, without permission and did not return. He had been confined at Dismas because of a previous federal conviction for theft of firearms from a licensed federal firearms dealer.
Reid faces up to five years in prison when he is sentenced on February 14, 2022.
United States Attorney William S. Thompson made the announcement and commended the investigative work of the United States Marshals Service.
United States District Judge Robert C. Chambers presided over the hearing. Assistant U.S. Attorney Patrick J. Jeffrey is prosecuting 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-00202.
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Long Island Bloods Gang Member Convicted of Racketeering and Other Charges, Including Murder, Narcotics Distribution and Sex TraffickingRead the Press Release
Earlier today, following four weeks of trial, a federal jury in Central Islip, New York, returned a guilty verdict against Bloods gang member Lawrence Lewis, also known as “L Boogs,” for the July 29, 2017 murder of John Birt, the forcible rape and sex trafficking of a Suffolk County woman, racketeering, multiple firearms offenses, narcotics possession and distribution and witness tampering. The trial was held before United States District Judge Joanna Seybert. When sentenced, Lewis faces a mandatory penalty of life in prison for the murder.
Breon Peace, United States Attorney for the Eastern District of New York, Timothy D. Sini, District Attorney, Suffolk County District Attorney’s Office, Ricky J. Patel, Acting Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Stuart Cameron, Acting Commissioner, Suffolk County Police Department (SCPD), announced the verdict.
“Lewis’s conviction today ensures that he will never again be able to terrorize our community with his senseless acts of gang-related violence,” stated United States Attorney Peace. “I commend the prosecutors in this Office, the Suffolk County District Attorney’s Office and the special agents and detectives whose hard work and persistence led to Lewis being held accountable for his long record of reprehensible crimes.”
“With extreme violence and indifference to human life, Lawrence Lewis with the Bloods street gang reigned terror over neighborhoods in Suffolk County, Long Island for over a decade. With today’s verdict finding Lewis guilty of heinous crimes to include murder, rape, and sex trafficking, a clear message has been sent to these violent gang members that they will be held accountable for their actions,” stated HSI Acting Special Agent-in-Charge Patel. “HSI New York’s Long Island Transnational Violent Gangs Task Force, working with our law enforcement and prosecutorial partners, will continue to tirelessly pursue the most dangerous offenders and bring them to justice.”
“Today’s verdict shows Mr. Lewis has very little regard for human life and demonstrates how truly detrimental his presence has been to society. He will now face the consequences of his actions. The outstanding work being done by our Long Island Gang Task Force continues to take these violent criminals of our streets and out of our communities so they can longer terrorize our neighbors,” stated FBI Assistant Director-in-Charge Driscoll.
“As a member of a violent street gang, Lewis’ involvement in illegal activity ran the gamut,” stated SCPD Acting Commissioner Cameron. “He was willing to do whatever it took to further his criminal activities and attempt to evade authorities. I applaud the hard work of all the agencies involved to hold Lewis accountable for his heinous actions.”
As proven at trial, between April 2004 and June 2019, Lewis, as a member of the Bloods street gang, distributed large quantities of cocaine base and heroin in Suffolk County. In order to protect his supply of narcotics, and secure his ability to distribute his narcotics, Lewis possessed a number of firearms, including an AR-15 assault rifle, a pistol-grip 12-gauge shotgun, a Mossberg .22 caliber rifle and a Ruger .45 caliber semi-automatic pistol.
Lewis also engaged in acts of extreme violence on behalf of the Bloods gang. For example, in 2014, as retaliation for a theft of guns, Lewis forced a woman into engaging in prostitution until she repaid her debt to him. During the same period of time, Lewis forcibly raped the woman. On July 29, 2017, Lewis shot and killed John Birt, a member of the Crips gang, at the Illusions Gentlemen’s Club in Deer Park, New York. While Birt and several friends posed for pictures inside the club, Lewis and a fellow Bloods gang member approached the group. Lewis’ associate attempted to display a Bloods hand signal and Birt began arguing with Lewis, who then shot and killed him. Later, Lewis texted a number of close acquaintances about the murder, stating that he was “sleeping good” and would “do it again.”
Prior to the trial, Lewis and others acting on his behalf made efforts to prevent witnesses from testifying against him, through the use of veiled and implicit threats of violence.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Christopher C. Caffarone, Mark E. Misorek and Anthony Bagnuola are in charge of the prosecution.
The Defendant
LAWRENCE LEWIS (also known as “L Boogs”)
Age: 38
Calverton, New YorkE.D.N.Y. Docket No. 18-CR-187 (S-1) (JS)
Leader of tree poaching ring that started massive Olympic Peninsula forest fire sentenced to 20 months in prisonRead the Press Release
Tacoma — The lead defendant in a scheme to unlawfully harvest maple trees from the Olympic National Forest that resulted in a massive 2018 forest fire was sentenced late yesterday to 20 months in prison, announced U.S. Attorney Nick Brown. Justin Andrew Wilke, 39, was convicted in July 2021 of conspiracy, theft of public property, depredation of public property, trafficking in unlawfully harvested timber, and attempting to traffic in unlawfully harvested timber.
According to records filed in the case, between April and August 2018, Wilke conducted an illegal logging operation in the Elk Lake area of the Olympic National Forest, near Hood Canal. Wilke and a crew of associates removed maple trees from the National Forest and transported it to a mill in Tumwater, Washington. Wilke used forged permits to sell the wood. The type of maple harvested by the defendants is highly prized and used to produce musical instruments.
This prosecution was the first use of tree DNA evidence in a federal criminal trial. At the trial, a Research Geneticist for the USDA Forest Service, testified that the wood Wilke sold was a genetic match to the remains of three poached maple trees investigators had discovered in the Elk Lake area. The DNA analysis was so precise that it found the probability of the match being coincidental was approximately one in one undecillion (one followed by 36 zeroes). Based on this evidence, the jury concluded that the wood Wilke sold the mill had been stolen. The DNA evidence also concluded that Wilke had unlawfully harvested and sold wood from seven additional maple trees – but the precise locations of those trees have not been determined.
On August 3, 2018, Wilke led a group of two other individuals in deciding to cut a maple tree that contained a wasp’s nest near the base of the tree. To remove the nest, the group sprayed insecticide and likely gasoline on the nest and then lit the nest on fire. The group failed to extinguish the fire, which developed into a wildfire later named the “Maple Fire.” The Maple Fire consumed more than 3,300 acres between August and November 2018 and cost approximately $4.2 million to contain. The other two members of the poaching group testified at trial that Wilke was standing next to the nest when it was lit on fire, and therefore appeared to have set the fire. However, because the fire was set at night, they were not able to see his exact actions, and testified that they did not know exactly how the fire started. The jury did not convict Wilke of the two federal counts related to the forest fire: setting timber afire and using fire in furtherance of a felony. The jury did convict Wilke of attempting to cut down the tree where the fire was set on the night of the fire.
Prosecutors recommended a 36-month sentence, noting that Wilke led the three-person tree-poaching ring that indisputably started the fire, and that Wilke likely set the fire himself based on the testimony at trial. At sentencing, Judge Benjamin H. Settle concluded that the evidence was clear and convincing that Wilke was present when the fire was set, that a member of Wilke’s poaching crew set the fire, and that Wilke more likely than not personally set or directed one of his crew to set the fire. But Judge Settle noted that Wilke had made positive strides while on pretrial release, and that prison time is more difficult during the COVID pandemic. Judge Settle therefore imposed the 20-month sentence.
Wilke was also ordered to forfeit the proceeds of his illegal poaching. He will be required to pay restitution to the United States Forest Service. The exact amount will be determined at a later hearing.
The case was prosecuted by Assistant United States Attorneys Seth Wilkinson and Will Dreher.
Laboratory Owner Sentenced to 82 Months in Prison for COVID-19 Kickback SchemeRead the Press Release
A Florida owner of multiple diagnostic testing laboratories was sentenced today in the Southern District of Florida to 82 months in prison for a scheme to defraud the United States and to pay and receive kickbacks through exploiting regulatory waivers put in place to ensure access to health care during the COVID-19 pandemic.
According to court documents, Leonel Palatnik, 42, of Aventura, as a co-owner of Panda Conservation Group LLC (Panda), conspired with other co-owners of the company and with Michael Stein, the owner of 1523 Holdings LLC, to pay illegal kickbacks to Stein in exchange for his work arranging for telemedicine providers to authorize genetic testing orders for Panda’s laboratories. 1523 Holdings and Panda then exploited temporary amendments to telehealth restrictions enacted during the pandemic, which were intended to expand access to care for Medicare recipients by making it easier for beneficiaries to receive needed medical care from home. Palatnik and his co-conspirators took advantage of these waivers by using telehealth providers to authorize thousands of medically unnecessary cancer and cardiovascular genetic testing orders. In exchange, Panda gave these providers access to beneficiary information and the opportunity to bill for purported telehealth consultations with Medicare recipients, which often did not take place. On Aug. 31, Palatnik pleaded guilty to one count of conspiracy to defraud the United States and offer kickbacks and one count of paying a kickback.
Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division; Acting Assistant Director Jay Greenberg of the FBI’s Criminal Investigative Division; and Special Agent in Charge Omar Pérez Aybar of the U.S. Department of Health and Human Services, Office of the Inspector General (HHS-OIG) made the announcement.
The FBI’s Miami and Dallas Field Offices and HHS-OIG are investigating the case, with assistance from the FBI’s Healthcare Rapid Response Team.
Trial Attorney Ligia Markman of the National Rapid Response Strike Force is prosecuting the case.
The case against Palatnik was brought as part of the COVID-19 Health Care Fraud coordinated law enforcement action on May 26 against 14 defendants in seven judicial districts. Palatnik was charged along with Stein, who is currently awaiting trial. The law enforcement action was brought in coordination with the Health Care Fraud Unit’s COVID-19 Interagency Working Group, which is chaired by the National Rapid Response Strike Force and organizes efforts to address illegal activity involving health care programs during the pandemic.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, comprised of 15 strike forces operating in 24 federal districts, has charged more than 4,200 defendants who collectively have billed the Medicare program for more than $19 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
An indictment is merely an allegation, and Stein is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Kansas Sex Offender Sentenced to 21 Years for Illicit Sex with ChildRead the Press Release
KANSAS CITY, Mo. – A registered sex offender from Kansas City, Kansas, was sentenced in federal court today for crossing state lines to engage in illicit sexual activity with a 14-year-old Missouri victim he met on Facebook.
Montoryon Harris, 45, was sentenced by U.S. District Judge Gary A. Fenner to 21 years and eight months in federal prison without parole. The court also sentenced Harris to 10 years of supervised release following incarceration.
On Jan. 13, 2021, Harris pleaded guilty to one count of traveling across state lines to engage in illicit sexual conduct with a minor and one count of committing the felony offense while he was required to register as a sex offender. Harris, who has been detained in federal custody without bond since his arrest, has a 1997 felony conviction for aggravated indecent solicitation of a minor involving a 6-year-old victim. Harris, who has four prior felony convictions and 12 misdemeanor convictions, was on felony probation at the time of this offense.
On Jan. 24, 2019, the Western Missouri Cyber Crimes Task Force received a Cybertip from the National Center for Missing and Exploited Children. Facebook reported that Harris was suspected of engaging in the sexual exploitation of a 14-year-old child victim. Harris began communicating with the child victim via Facebook on Dec. 14, 2018. Soon afterward, he told her that he wanted to see her in person. Harris’s text messages quickly became sexual in nature.
A law enforcement officer contacted the child victim, who confirmed that Harris drove to her house on Dec. 17, 2018. They engaged in sexual activity in his pickup truck while parked outside her house. Afterward, Harris continued to message the child victim for the purpose of arranging another sexual encounter.
According to court documents, law enforcement investigators discovered text messages on Harris’s cell phone in which he communicated with additional children. Harris engaged in conversations of a sexual nature or solicited sexual contact with two 15-year-old children.
This case was prosecuted by Assistant U.S. Attorney David Luna. It was investigated by Homeland Security Investigations, the Western Missouri Cyber Crimes Task Force, and the Wyandotte County, Kan., Sheriff’s Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Kaléo, Inc. Agrees to Pay $12.7 Million to Resolve Allegations of False Claims for Anti-Overdose DrugRead the Press Release
BOSTON – A Virginia-based pharmaceutical manufacturer, kaléo, Inc., has agreed to resolve allegations that it caused the submission of false claims for the drug Evzio and provided kickbacks to prescribers.
kaléo manufactured and sold Evzio, a naloxone hydrochloride product used for the rapid reversal of an opioid overdose. Evzio was the highest-priced version of naloxone on the market, and insurers frequently required the submission of prior authorization requests before they would approve coverage for Evzio.
The United States contends that, between March 14, 2017 and April 30, 2020, kaléo directed doctors prescribing Evzio to send prescriptions to certain preferred pharmacies that in turn submitted false claims for Evzio to Medicare, the TRICARE program and the Federal Employees Health Benefits Program. In particular, the pharmacies allegedly submitted false and misleading prior authorization requests for Evzio and dispensed Evzio without collecting or attempting to collect co-pays from government beneficiaries. The United States contends that kaléo knew of, or deliberately ignored, this pharmacy misconduct but nevertheless kept directing business to these pharmacies.
The settlement also resolves allegations that kaléo provided illegal remuneration in the form of kickbacks to prescribing physicians and their office staff to induce and reward their prescribing of Evzio. Specifically, the government alleges that Evzio sales representatives provided doctors’ offices with frequent deliveries of food and beverages, as well as occasional holiday gifts, even when there was no connection to any educational or other business event.
“When a pharmaceutical manufacturer knowingly engages with bad actors, they hurt the federal healthcare system — and they can expect us to see it,” said Acting United States Attorney Nathaniel R. Mendell. “Today’s settlement is our latest signal to pharmaceutical manufacturers that my office does not tolerate health care fraud and will continue to pursue enforcement.”
“Truthful and accurate documentation is essential to the integrity of federal healthcare programs,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “Today’s settlement demonstrates that the department will hold to account those who undermine these programs by causing false claims to be submitted to the government.”
“The American people, as both taxpayers and consumers, expect pharmaceutical companies like kaléo to abide by relevant laws and regulations,” said Phillip M. Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of the Inspector General. “When a pharmaceutical company participates in fraud in order to boost profits, it erodes public confidence in the health care system, can compromise the patient-physician relationship and wastes valuable government health care program funds. We will continue to investigate allegations of fraud in close cooperation with our law enforcement partners.”
“Today’s settlement resolves allegations that kaléo used gifts to incentivize and reward providers for prescribing the company’s pricey anti-overdose drug, while turning a blind eye to pharmacies' fraudulent practices that fleeced taxpayer-funded health care programs — programs that all of us pay for and depend on,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “These unsavory tactics only fuel the FBI’s and our law enforcement partners’ commitment to aggressively root out those who seek to boost their bottom line at the expense of hard-working taxpayers.”
“False claims undermine the integrity of the Federal Employees Health Benefits Program,” said Norbert E. Vint, Deputy Inspector General Performing the Duties of the Inspector General of the U.S. Office of Personnel Management, Office of the Inspector General (OPM OIG). “The OPM OIG is committed to protecting the Federal health care programs from deceptive schemes that increase the cost of medical care and waste taxpayer dollars.”
“Protecting TRICARE, the health care system for military members and their dependents, is a top priority for the Department of Defense Office of Inspector General Defense Criminal Investigative Service (DCIS),” said Patrick J. Hegarty, Special Agent in Charge of DCIS, Northeast Field Office. “When companies submit false authorizations for high-priced medical goods and services, they undermine the integrity of TRICARE and place an unnecessary financial burden on the program. The settlement agreement announced today is the result of a joint effort and demonstrates the DCIS’ ongoing commitment to work with our law enforcement partners to investigate health care fraud.”
Under the terms of the settlement agreement, kaléo will pay the government $12.743 million. The settlement resolves allegations originally brought in a lawsuit filed by a whistleblower under the qui tam provisions of the False Claims Act, which allow private parties, known as relators, to bring suit on behalf of the government and to share in any recovery.
Acting U.S. Attorney Mendell, Acting AAG Boynton, HHS OIG SAC Coyne, FBI SAC Bonavolonta, OPM OIG Deputy Inspector General Vint, DCIS SAC Hegarty, and Matthew Modafferi, Special Agent in Charge of the U.S. Postal Service, Office of Inspector General, Northeast Area Field Office, made the announcement today. Assistant U.S. Attorneys David J. Derusha and Abraham R. George of Mendell’s Affirmative Civil Enforcement Unit and Trial Attorney Sarah Arni of the Justice Department’s Civil Division handled the matter.