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Tuesday 11 August 2026
Grand Jury Returns Indictment Charging Interstate Drug Trafficking and Money Laundering ConspiracyRead the Press Release
GRAND RAPIDS, MICHIGAN – U.S. Attorney for the Western District of Michigan Timothy VerHey today announced that Lakento Brian Smith, 54, of Houston, Texas; Javon Drevelle Brewer, 58, of Muskegon Heights, Michigan; and Fletcher Lee Salazar, 40, of Muskegon Heights, Michigan, were indicted on criminal charges related to alleged drug trafficking and money laundering conspiracies.
Smith, Brewer, and Salazar are charged with conspiracy to distribute and possess with intent to distribute controlled substances, including 400 grams or more of fentanyl, heroin, and cocaine. Smith and Brewer are also charged with money laundering conspiracy. Brewer and Salazar are charged with possession with intent to distribute 400 grams or more of fentanyl and heroin.
“Today’s indictment highlights our office’s unwavering commitment to protecting our communities from those who traffic in deadly narcotics and attempt to conceal their illicit profits through money laundering,” said U.S. Attorney VerHey. “The charges allege that these individuals conspired to distribute dangerous controlled substances, including more than 400 grams of fentanyl—a poison that continues to drive overdoses across our district—and then sought to hide the proceeds. We will continue to work closely with our law enforcement partners to ensure that those who endanger our communities are held accountable.”
If convicted, Smith faces a mandatory minimum penalty of 15 years and up to life in prison, and Brewer and Salazar face a mandatory minimum penalty of 10 years and up to life in prison.
“These indictments demonstrate our commitment to protecting communities across west Michigan from those who profit from the illegal drug trade,” said DEA Detroit Division Special Agent in Charge Joseph O. Dixon. By targeting both the drugs and the money behind them, we are sending a clear message: drug traffickers will be identified, their operations will be dismantled, and they will be held accountable in a court of law for their actions.”
“The U.S. Postal Inspection Service remains steadfast in our mission to protect communities from lethal narcotics, including those trafficked through the U.S. Mail,” said Inspector in Charge Felicia B. George of the Detroit Division of the U.S. Postal Inspection Service. “This indictment highlights the impact of our Homeland Security Task Force partnership. The Postal Inspection Service is proud to stand with our federal, state, and local law enforcement partners in identifying, disrupting, and dismantling these criminal operations that endanger our communities and holding the individuals who run them accountable.”
“Today’s indictment underscores our unwavering commitment to safeguarding communities from the devastating impact of drug trafficking and illicit financial schemes. By targeting those who distribute dangerous narcotics and attempt to conceal their profits, we send a clear message: law enforcement agencies across our district will continue to collaborate and pursue justice for those affected by these crimes. We remain steadfast in our efforts to hold accountable anyone who threatens the safety and well-being of our neighborhoods,” said Robert Kuszynski, Acting Special Agent in Charge for IRS-CI Detroit.
“Drug traffickers and money launderers threaten the safety of our communities across Michigan, and this indictment is another example of the work FBI Detroit does every day in coordination with our partners to keep Michigan safe,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “I commend the outstanding efforts of our Grand Rapids Resident Agency, whose dedicated efforts and collaboration were critical to advancing this investigation.”
“The trafficking of fentanyl, heroin, and other dangerous narcotics has a devastating impact that reaches far beyond those directly involved—it affects families, neighborhoods, and entire communities,” said Michigan State Police Sixth District Commander Capt. Jason Nemecek. “This indictment demonstrates what can be accomplished when federal, state, and local law enforcement agencies combine their resources, expertise, and determination toward a common mission. The Michigan State Police and our partners at WEMET remain committed to aggressively disrupting the criminal organizations responsible for bringing these deadly drugs into West Michigan. Those who profit from poisoning our communities should know that we will continue working together, across jurisdictions and agency lines, to identify them, dismantle their operations, and hold them accountable.”
DEA, FBI, IRS-CI, USPIS, MSP, GRPD, and KCSO are investigating this case, and Assistant U.S. Attorney Dan McGraw is prosecuting it.
This prosecution is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. HSTF Detroit comprises agents and officers from over twenty federal agencies, and state, local, and international partners, with the prosecution being led by the United States Attorney’s Office for the Western District of Michigan.
The charges in an indictment are merely accusations, and a defendant is presumed innocent until proven guilty.
Gibson County Man Sentenced to 10 Years in Federal Prison for Distribution of Child PornographyRead the Press Release
Jackson, TN – Travis Ray Baird, 40, of Dyer, Tennessee, was sentenced to 120 months’ imprisonment for distributing child pornography in December 2024. United States Attorney D. Michael Dunavant, of the Western District of Tennessee, announced the sentence today.
The investigation in this case revealed that Baird was distributing child sexual abuse material on the BitTorrent network using his home computer. A forensic examination of Baird’s computer revealed that he distributed over 2,000 child pornographic images.
On August 7, 2026, United States District Judge S. Thomas Anderson sentenced Baird to 120 months’ imprisonment and five years of supervised release. There is no parole in the federal system.
Following his release from prison, Baird will have to register as a sex offender under the Sex Offender Registration & Notification Act (SORNA).
U.S. Attorney D. Michael Dunavant said, “Distribution of child pornography is an abhorrent and disturbing crime that endangers and harms real child victims forever. Because demand drives supply for such images, Baird has contributed to both the past victimization and future harm done to children. The internet can be a dark place, but so can a federal prison.”
“HSI is committed to identifying, investigating, and bringing to justice those who exploit children and distribute child sexual abuse material. Working alongside our federal, state, and local partners, we will continue to pursue those who victimize children and use every available investigative tool to hold offenders accountable,” said HSI Nashville Special Agent in Charge Dennis M. Fetting.
This case was investigated by members of United States Department of Homeland Security.
Assistant United States Attorney Caroline Parish prosecuted this case on behalf of the government.
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For more information, please contact the media relations team at [email protected]. Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates.
Georgia Man Admits to Conspiring to Distribute Fentanyl and to Bank Fraud CrimesRead the Press Release
CAMDEN, N.J. – A Georgia man admitted to conspiring to distribute fentanyl, conspiring to defraud banks by negotiating stolen U.S. Treasury checks, and obtaining a fraudulent Paycheck Protection Program loan, U.S. Attorney Robert Frazer announced.
Elvis Sonson, 51, of Atlanta, Georgia, pleaded guilty before Chief U.S. District Judge Renée Marie Bumb to an information charging him with conspiring to distribute fentanyl, conspiring to commit bank fraud, and bank fraud.
According to documents filed in this case and statements made in court:
Over the course of several months in 2024, Sonson distributed pills containing fentanyl. Sonson admitted that he distributed pills in person in Camden, New Jersey, distributed pills by mail to Camden, and directed a co-conspirator to distribute pills. In total, Sonson admitted to distributing more than 2,000 pills that collectively weighed more than 730 grams.
During the same period, Sonson also worked with others to sell and attempt to sell U.S. Treasury checks that were stolen from the U.S. mail. The goal of their bank fraud conspiracy was to negotiate the stolen checks at banks. As part of this conspiracy, Sonson offered to sell stolen checks valued at more than $1,200,000.
Sonson also admitted to obtaining a $325,215 loan from the Paycheck Protection Program (PPP), a federal program that provided forgivable loans to small businesses for job retention and certain other expenses. The loan was approved based on a fraudulent application submitted by Sonson stating that a company he owned in Piscataway, New Jersey, had 21 employees and a monthly payroll of $130,086. The application also contained a fake tax return. In fact, Sonson’s business had no employees other than himself and no payroll.
The fentanyl conspiracy count carries a maximum potential penalty of 20 years in prison. The bank fraud and bank fraud conspiracy counts each carry a maximum potential penalty of 30 years in prison. Each count carries a maximum $1 million fine. Sentencing is scheduled for December 16, 2026.
U.S. Attorney Frazer credited special agents of the Federal Bureau of Investigation, Philadelphia Division, under the direction of Special Agent-in-Charge Wayne Jacobs, and agents of the Internal Revenue Service – Criminal Investigation, Newark Field Office, under the direction of Special Agent in Charge Jenifer L. Piovesan, with the investigation leading to the guilty plea.
On April 7, 2026, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.
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Defense counsel:
Maggie Moy, Assistant Federal Public Defender.
sonson.information.pdfGeneva County Insurance Agent Sentenced for Falsifying Federal Crop Insurance ApplicationRead the Press Release
A Slocomb, Alabama, man has been sentenced for providing false information in connection with a federal crop insurance application.
On August 11, 2026, Jonathan Lawrence Eubanks, 46, was sentenced to 18 months in federal prison for making a false statement to the Federal Crop Insurance Corporation (FCIC) or a company insured by the FCIC. Following his prison term, Eubanks will serve two years of supervised release. There is no parole in the federal system. The court also ordered Eubanks to pay a $1000 fine and $30,164.14 in restitution.
United States Attorney Thomas Govan and U.S. Department of Agriculture Inspector General John Walk made the announcement.
“Federal crop insurance provides a critical safety net for farmers, but that safety net is built on honesty and integrity,” said U.S. Attorney Govan. “Forging a farmer’s signature and fabricating an email to obtain federal crop insurance is not a simple paperwork mistake, it is fraud. We will hold accountable those who intentionally falsify information to manipulate federally supported programs.”
“Crop Insurance fraud directly harms taxpayers who subsidize insurance premiums and undermines public trust,” said USDA Inspector General Walk. “It will not be tolerated. Our law enforcement agents will vigorously pursue those who cheat the crop insurance program that supports honest, hardworking American farmers and bring the fraudsters to justice.”
According to court documents and statements made in court, Eubanks obtained a license to sell insurance in 2017 and subsequently sold policies covered by the Federal Crop Insurance Program (FCIP) for an insurance group based in Hartford, Alabama.
The FCIP provides federally supported crop insurance to help protect farmers against certain losses to their crops, including losses caused by adverse weather, natural disasters, and other covered events. The program is designed to provide farmers with financial protection and stability when covered crop losses occur.
For a particular crop to be eligible for federal crop insurance coverage, policy documents must be submitted to the insurance company by specified deadlines. When an insurance company requests documentation showing that policy documents had been properly signed by the farmer and insurance agent, the agent is required to provide documentation accurately reflecting when the documents were signed.
In 2024, Eubanks forged a farmer’s signature on a federal crop insurance application. He then falsified an email purporting to show that the farmer had signed the application on Tuesday, February 10, 2024. In fact, February 10, 2024, was a Saturday.
On November 12, 2024, Eubanks submitted the falsified email to an insurance company with the intent of influencing the company to provide federal crop insurance coverage for the farmer’s 2024 crop in Covington County.
On April 14, 2026, Eubanks pleaded guilty to making a false statement to the FCIC or a company insured by the FCIC.
The U.S. Department of Agriculture Office of Inspector General and the USDA Risk Management Agency (RMA) investigated this case, which Assistant U.S. Attorney Megan A. Kirkpatrick prosecuted.
Genesee County man sentenced for possession of machinegunsRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Michael DiGiacomo announced today that Peter Celentano, 37, of Bergen, NY, who was convicted of illegal possession of machineguns, was sentenced to serve 41 months in prison by U.S. District Judge Lawrence J. Vilardo.
On September 29, 2024, the New York State Police, Genesee County Sheriff’s Office, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, executed a search warrant at Celentano’s residence in Bergen. During the search, law enforcement recovered numerous items, including 3D printed pistol frames, firearm parts and accessories, ammunition reloading equipment, tools for constructing privately made firearms, a drill press, and two 3D printed machinegun conversion devices. Law enforcement also conducted additional searches at properties in Lyndonville and Medina, NY, during which they seized numerous AR-style lower receivers, 3D printed handguns, and additional firearm parts and accessories. In total, law enforcement seized over 200 firearms tied to Celentano.
During the investigation, law enforcement learned that Celentano provided another individual with nine lower receivers, two of which contained the “third pin hole,” qualifying them as machineguns. An individual known by defendant had subsequently discarded these firearms off the Beals Road Bridge into the Erie Canal. A New York State Police dive team searched the Erie Canal beneath the bridge in Medina, NY, and recovered a cardboard box containing 10 AR-style receivers, an unmarked handgun, ammunition magazines, and additional firearm parts.
The case was prosecuted by Assistant U.S. Attorney Michael J. Adler. The sentencing is the result of an investigation by the New York State Police, under the direction of Major Kevin Sucher, the Genesee County Sheriff’s Office, under the direction of Sheriff Joseph M. Graff, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Bryan DiGirolamo, New York Field Division.
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Former Williams-Sonoma Executive Pleads Guilty to Fraud and Money Laundering Conspiracies That Caused over $16 Million in LossesRead the Press Release
SAN FRANCISCO – Eric Marsiglia pleaded guilty today in federal court to one count of conspiracy to commit wire fraud, one count of conspiracy to commit wire fraud and honest services wire fraud, and one count of conspiracy to commit money laundering.
In his plea agreement, Marsiglia, 52, of Olive Branch, Mississippi, admitted that from approximately 2018 through 2022, he conspired to defraud Williams-Sonoma, Inc. (WSI). During that time, Marsiglia served as WSI’s Vice President of Engineering, Projects, Planning, Facilities, and Real Estate, with authority to enter vendor contracts and a fiduciary duty to WSI. Marsiglia oversaw the selection and leasing of warehouse space throughout the United States as well as the purchase of steel racking, forklifts, and related warehouse logistics services.
Starting in 2018, Marsiglia accepted kickbacks from co-conspirators in exchange for steering WSI business to three New Jersey companies that supplied forklifts, racking systems, and machinery for warehouses. Marsiglia set up a shell company, REM Group, to receive and conceal the kickbacks. In total, Marsiglia received over $12.2 million in warehouse kickbacks, which he concealed from WSI.
From 2020 through 2022, Marsiglia also conspired to divert real estate broker commissions associated with WSI warehouses. Marsiglia directed these payments to accounts held by REM Group. He then distributed portions of those proceeds to himself and co-conspirators. Marsiglia concealed from WSI that he was causing broker commission payments to be diverted to accounts he controlled, rather than to the firm that was entitled to receive them. This scheme resulted in the misappropriation of over $4.1 million in broker commissions.
Marsiglia further admitted that he conspired to launder proceeds of the wire fraud scheme by conducting financial transactions designed to conceal and disguise the nature, source, ownership, and control of those funds.
A federal grand jury indicted Marsiglia on April 11, 2023, along with Kourosh Mirmehdi, Augusto Alizo, and Michael Podhurst, on charges arising from the kickback scheme and broker commission diversion scheme. Co-conspirator Domenick Nardone was later charged in a superseding indictment on March 12, 2024. All defendants charged in the indictment have pleaded guilty to federal offenses.
United States Attorney Craig H. Missakian and IRS Criminal Investigation San Francisco Field Office Acting Special Agent in Charge David Lowe made the announcement.
Marsiglia is scheduled to be sentenced on November 3, 2026, by U.S. District Judge Richard G. Seeborg. The defendant faces a maximum statutory penalty of 20 years in prison and a $250,000 fine for each of the wire fraud conspiracy counts, in violation of 18 U.S.C. § 1349, and a maximum statutory penalty of 20 years in prison and a $500,000 fine for conspiracy to commit money laundering, in violation of 18 U.S.C. § 1956(h). However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The case is being prosecuted by the Corporate and Securities Fraud Section of the U.S. Attorney’s Office. Assistant U.S. Attorneys Christiaan Highsmith and Ben Wolinsky are prosecuting the case, with the assistance of Elizabeth Kim. The prosecution is the result of an investigation by IRS-CI.
Former New York City Real Estate Developer Sentenced to Four Years for Defrauding InvestorsRead the Press Release
United States Attorney for the Southern District of New York, Jamie McDonald, announced today that Joshua Schuster was sentenced to four years in prison for his role in a scheme to defraud investors in large real estate development projects located in New York City. SCHUSTER pled guilty on February 27, 2026, before U.S. District Judge Valerie E. Caproni, who imposed today’s sentence.
“To preserve the integrity of and confidence in our financial markets, this Office will work tirelessly to prosecute fraud and protect investors in these markets,” said U.S. Attorney Jamie McDonald. “Joshua Schuster betrayed the trust of investors who believed their money would fund real estate projects throughout New York. Instead, he stole more than $13 million to finance his own lifestyle and repay earlier investors in a Ponzi-like scheme. As a result of his lies and deception at his investors’ expense, Schuster has been sentenced to a term in federal prison.”
According to the Indictment, plea agreement, and statements made in Court:
Over a five-year period, SCHUSTER engaged in a scheme to defraud investors who had entrusted him with millions of dollars to finance real estate development projects in New York City. SCHUSTER induced investors to contribute capital to his projects by promising them equity in high-end real estate developments, and by representing that investor funds would be used exclusively for the acquisition and development of specific New York-based projects. Instead, SCHUSTER misappropriated in excess of $13 million dollars in investor money to fund his lifestyle, including over $1 million in personal credit card payments and hundreds of thousands of dollars in gambling losses; to repay earlier investors in a Ponzi-like fashion; and to cover unrelated business obligations and payroll.
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In addition to the prison term, SCHUSTER, 42, of Boca Raton, Florida, was sentenced to three years of supervised release and will be required to pay more than $13,830,665 in forfeiture. SCHUSTER will also be required to pay restitution, which will be determined at a later date.
Mr. McDonald praised the outstanding work of the Federal Bureau of Investigation. Mr. McDonald also thanked the U.S. Securities and Exchange Commission, which has filed a separate civil action against SCHUSTER, for its assistance and cooperation in the investigation.
This prosecution is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Daniel G. Nessim is in charge of the prosecution.
Former Department of Labor Employee Sentenced for Fraudulently Obtaining over $40,000 in Pandemic Unemployment Assistance BenefitsRead the Press Release
BOSTON – A former employee of the U.S. Department of Labor (DOL) was sentenced today in federal court in Boston for fraudulently obtaining over $40,000 in pandemic unemployment assistance (PUA) benefits.
Mo Yuong Kang, 51, formerly of Woburn and Dracut, Mass., was sentenced by U.S. District Court Judge Brian E. Murphy to one year of probation. The defendant was also ordered to pay restitution in the amount of $45,868 and forfeiture in the amount of $45,868. In May 2026, Kang pleaded guilty to four counts of wire fraud after being indicted by a federal grand jury in August 2025.
Kang worked as an Industrial Hygienist with the Occupational Safety and Health Administration, an agency of the DOL, from June 2016 until July 2023. In 2020 and 2021, Kang was a full-time employee of the DOL and earned over $85,000 annually.
In April 2020, Kang submitted a false PUA application to the Division of Unemployment Assistance (DUA). In the application, Kang claimed under the penalty of perjury that he was “self-employed, an independent contractor, or a gig worker and COVID-19 had severely limited [his] ability to perform [his] normal work,” and that he had not earned more than $89 a week since March 8, 2020. The DUA approved Kang’s claim, and through September 2021 Kang subsequently submitted weekly certifications to the DUA claiming that he did not work and did not receive any income during those weekly periods. Based upon his application and weekly certifications, Kang received $45,868 in PUA benefits to which he was not entitled.
United States Attorney Leah B. Foley; Anthony P. D’Esposito, Inspector General, U.S. Department of Labor, Office of Inspector General; and Christopher Silvestro, Special Agent in Charge of the Defense Criminal Investigative Service, Northeast Field Office made the announcement today. Assistant U.S. Attorney Kristina E. Barclay of the Public Corruption & Special Prosecutions Unit prosecuted the case.
On March 26, 2026, United States Attorney Leah B. Foley announced the creation of the Benefit & Voter Fraud Team, a district-wide initiative established in response to the rampant fraud being uncovered across Massachusetts. The Team is led by two senior federal prosecutors serving as Fraud Coordinators, whose mission it is to aggressively investigate and prosecute misuse of taxpayer-funded benefits in Massachusetts.
Members of the public are encouraged to report suspected benefit fraud in Massachusetts by calling 1-855-SCAM-MA-1 (855-722-6621).
On April 7, 2026, the Department of Justice announced the creation of the National Fraud Enforcement Division. The Fraud Division is investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted in March 2020 and designed to provide emergency financial assistance to the millions of Americans who were suffering the economic effects caused by the COVID-19 pandemic. The CARES Act created a new temporary federal unemployment insurance program called pandemic unemployment assistance (PUA), which provided unemployment benefits for individuals who were not eligible for standard unemployment benefits. To receive PUA benefits, Massachusetts claimants were required to certify in an initial registration and in weekly certifications whether or not they worked or received any income during the relevant time period. The PUA program was administered in Massachusetts by the Division of Unemployment Assistance (DUA).
Former Coast Guard Rescue Swimmer Sentenced to 5 Years in Prison for Possessing Child PornographyRead the Press Release
MOBILE, AL – Bradford Simmons, 51, was sentenced to five years in prison after pleading guilty to one count of possession of child pornography. Simmons entered his guilty plea on April 27, 2026.
According to court documents, from March 2023 through March 2024, law enforcement identified Simmons as a possible distributor of child pornography. Investigators obtained a search warrant for Simmons’ residence and seized several electronic devices, which were subsequently examined.
Forensic examinations of the devices revealed hundreds of images and videos depicting the sexual abuse of children. The investigation also determined that, in March 2024, Simmons used a program called File Shredder to forensically wipe his computer every few days. As part of his plea agreement, Simmons admitted that he possessed more than 600 images of child pornography depicting prepubescent children engaged in sexual activity. He also admitted that he used File Shredder with the intent to impede the administration of justice and thereby obstructed justice.
United States District Chief Judge Beaverstock sentenced Simmons to 60 months in prison, followed by 15 years of supervised release. As conditions of supervised release, Simmons must participate in sex offender treatment, submit to substance abuse testing and treatment, and participate in mental health treatment. He must also register as a sex offender and is prohibited from having contact with minors.
“Mr. Simmons’ possession of hundreds of images of child pornography is reprehensible. This sentencing demonstrates the FBI’s resolve to pursue child exploitation cases aggressively. Under Project Safe Childhood, our national effort to identify, investigate, and prosecute offenders, we will continue working with our partners to ensure those who harm children face justice,” said Christopher Flowers, Special Agent‑in‑Charge of the Federal Bureau of Investigation’s Mobile Office.
In addition to the prison sentence, the court ordered Simmons to pay a $100 special assessment and $17,500 in restitution to victims.
The Mobile County Sheriff’s Office and the Federal Bureau of Investigation investigated the case. Assistant U.S. Attorney Kacey Chappelear prosecuted the case on behalf of the United States.
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 https://www.justice.gov/psc/publications-resources
Former Cherokee County employee guilty of embezzling over $400k from Tax Assessor-Collector’s OfficeRead the Press Release
TYLER, Texas – A former Cherokee County employee has pleaded guilty to a federal violation related to embezzling over $400,000 in funds in the Eastern District of Texas, announced U.S. Attorney Jay R. Combs.
Gina Upshaw, 65, of Jacksonville, pleaded guilty to federal program theft before U.S. Magistrate Judge John D. Love on August 11, 2026.
According to information presented in court, Upshaw was a bookkeeper for the Cherokee County Tax Assessor-Collector’s Office from 2008 through January 2022. The Tax Assessor-Collector’s Office collects both property taxes and motor vehicle sales taxes, as well as registration fees, from Cherokee County residents, for both Cherokee County and the State of Texas. The office receives these payments in the form of both cash and checks. During her employment as a bookkeeper for the office, Upshaw was responsible for making daily deposits of the cash payments at a local bank. Instead of doing so, Upshaw stole cash payments totaling $431,375.91.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Upshaw faces up to 10 years in federal prison, a potential fine, and restitution at sentencing. The maximum statutory sentence is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. Sentencing hearings will be scheduled after the completion of presentence investigations by the U.S. Probation Office.
This case is being investigated by the Internal Revenue Service-Criminal Investigation and the Texas Department of Public Safety Texas Rangers and prosecuted by Assistant U.S. Attorney Jim Noble.
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Former CFO Charged and Pleads Guilty to Defrauding Hedge Fund of More Than $3 MillionRead the Press Release
United States Attorney for the Southern District of New York, Jamie McDonald, and Inspector in Charge of the New York Division of the U.S. Postal Inspection Service (“USPIS”), Ketty Larco-Ward, announced today the filing of an Information charging THEODORE WOO, the former CFO of a hedge fund, with securities fraud. The charge results from WOO’s yearslong scheme to steal from the fund by submitting and approving falsified invoices, causing the fund to transfer money directly into accounts controlled by WOO, and incurring unauthorized personal expenses on credit cards paid by the fund. WOO pled guilty today before U.S. Magistrate Judge Valerie Figueredo and is scheduled to be sentenced by U.S. District Judge Lewis A. Kaplan on November 18, 2026.
“For years, Theodore Woo flagrantly abused his position of trust and brazenly stole from his employer to line his own pockets,” said U.S. Attorney Jamie McDonald. “To do so, Woo took advantage of his position as CFO, misled his employer, and falsified documents. Lies and deception are not worth the risk of criminal prosecution. Today’s charge and plea are indicative of this Office’s commitment to holding C-suite executives accountable when they engage in fraud.”
“Woo’s arrest shows that greed and deceptive tactics do not pay,” said USPIS Inspector in Charge Ketty Larco-Ward. “For years Woo allegedly cheated this company out of millions and used this money as his own personal piggy bank. The United States Postal Service will continue to investigate and prosecute this type of illegal activity, as we seek to protect the public from financial fraudsters.”
According to the Information:
Beginning shortly after he began working for the fund and continuing until his termination in March 2026, WOO embezzled millions of dollars from the fund through a series of fraudulent transactions, including making millions of dollars in fraudulent payments to entities controlled by WOO and spending thousands of dollars on unauthorized personal expenses using credit cards paid by the fund.
As the CFO, WOO handled back-office tasks for the fund and had the authority to authorize the fund’s administrator to process reimbursement requests. In that capacity, WOO instructed the fund administrator to make millions of dollars in payments to two entities, TWDRR LLC and MGTW LLC, for claimed “Research Consulting Services.” WOO also sent invoices from those two entities that falsely represented that they had rendered services for the fund. In actuality, WOO controlled both entities, and neither entity had performed any service for the fund. To further conceal his theft, WOO falsely claimed to the fund’s external auditor that MGTW LLC was an independent research consulting firm engaged by the fund to develop short investment ideas on a project-by-project basis.
WOO also had the authority to effectuate transfers of cash from the fund to third parties, as the CFO. Over the course of his employment with the fund, WOO caused over 100 fraudulent transfers from the fund to a corporate entity controlled by WOO and to bank accounts in WOO’s name.
Finally, while serving as CFO, WOO opened and controlled multiple credit cards in the name of the fund, and charged unauthorized personal expenses to those cards, including thousands of dollars in charges to adult entertainment establishments and international vacations.
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WOO, 49, of Miami, Florida, pled guilty to one count of securities fraud, which carries a maximum sentence of 20 years in prison.
The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. McDonald thanked the USPIS for its outstanding work. Mr. McDonald also expressed appreciation for the assistance of the U.S. Securities and Exchange Commission.
This case is being handled by the Office’s Securities and Commodities Task Force. Assistant U.S. Attorneys Sarah Mortazavi and Christy Slavik are in charge of the prosecution.
Former Bridgestone Americas Assistant Treasurer Pleads Guilty to Nearly $15 Million Wire Fraud SchemeRead the Press Release
NASHVILLE – Sajju Khatiwada, 45, of Franklin, Tennessee, pleaded guilty today to two counts of wire fraud for carrying out a scheme that caused his former employer, Bridgestone Americas, Inc., to pay nearly $15 million in fraudulent invoices submitted through a fictitious vendor he created, announced United States Attorney for the Middle District of Tennessee Braden H. Boucek.
“This defendant abused a position of extraordinary trust to steal nearly $15 million from his employer and then used those stolen funds to generate millions more in investment gains,” said U.S. Attorney Boucek. “Corporate position and financial sophistication are not shields from accountability. Our office and our law enforcement partners will continue to pursue those who use positions of trust to enrich themselves through fraud.”
According to court documents, Khatiwada worked at Bridgestone’s corporate headquarters in Nashville from April 2016 until April 2024, most recently as Assistant Treasurer, Capital Planning and Funding. As part of his work in Bridgestone’s Treasury Operations Department, Khatiwada managed the company’s relationships with banks that provided credit card processing services for Bridgestone retail locations across the United States.
In July 2020, Khatiwada created a fictitious vendor, named Paymt-Tech, LLC, registered the company in Nevada under the name of an acquaintance, and opened bank accounts in the fictitious vendor’s name. On a monthly basis spanning nearly four years from August 2020 to April 2024, Khatiwada sent fraudulent invoices via email to other Bridgestone employees, falsely representing that Bridgestone owed Paymt-Tech money for purported “service charges.” But Paymt-Tech performed no services for Bridgestone, and Khatiwada was not entitled to any of the money.
Relying on the fraudulent invoices, Bridgestone paid a total of $14,923,978.57 into Paymt-Tech accounts controlled by Khatiwada. Khatiwada transferred the fraud proceeds into financial and investment accounts under his control, where the money generated more than $6.1 million in interest, dividends, and other gains. In his plea agreement, Khatiwada admitted that the scheme generated approximately $21 million in total unlawful proceeds and agreed to forfeit that amount to the United States. He also owes restitution to Bridgestone totaling $14,923,978.57, plus interest, with the final amount to be determined by the court.
Khatiwada was arrested in November 2024 and indicted by a federal grand jury in December 2024. He faces up to 20 years in federal prison on each count. U.S. District Judge Aleta A. Trauger scheduled Khatiwada’s sentencing for December 22, 2026.
The Federal Bureau of Investigation’s Nashville Field Office investigated the case. Assistant U.S. Attorney Chris Suedekum is prosecuting the case.
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First Operation Wolf Pack defendant sentenced to 30 years in prison for distribution of child pornographyRead the Press Release
FORT WORTH, Texas — United States Attorney for the Northern District of Texas, Ryan Raybould, announced that Jeffrey Don Gesford, 47, was sentenced to 30 years in prison on Aug. 7 for distribution of child pornography.
On April 22, Gesford pleaded guilty to an indictment charging him with two counts of distribution of child pornography. Chief U.S. District Judge Reed O’Connor imposed a sentence of 360 months per count to run concurrently followed by a life term of supervised release.
“This sentence sends an unmistakable message: those who trade in the exploitation of children will face the full force of federal prosecution,” said U.S. Attorney Ryan Raybould. “Every image traded represents a real child who has been victimized, and this office will not tolerate offenders who perpetuate that harm. Our commitment to protecting children is absolute, and we will use every resource at our disposal to bring these predators to justice.”
“This sentence reaffirms our commitment to identify and hold accountable those who prey on and exploit our children,” said FBI Dallas Special Agent in Charge R. Joseph Rothrock. “Operation Wolf Pack is another example of how the FBI works together with our law enforcement partners to protect the most vulnerable members of our communities.”
According to court documents, from 2025 to 2026, Gesford admitted to trading thousands of images of child pornography while he was living in a transitional center following his prior release from state prison for a possession of child pornography conviction.
Gesford was arrested as part of Operation Wolf Pack, a joint law enforcement initiative carried out by the FBI’s Fort Worth Resident Agency and the Fort Worth Police Department, targeting individuals involved in the distribution of child sexual abuse material. Assistant U.S. Attorney Aisha Saleem from the Fort Worth Division prosecuted the case.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit justice.gov/psc.
The Department partners with and oversees funding grants for the National Center for Missing and Exploited Children, which receives and shares tips about possible child sexual exploitation received through its 24/7 hotline at 1-800-THE-LOST and on missingkids.org.
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Felon Sentenced for Possessing Two Firearms within 35 DaysRead the Press Release
TULSA, Okla. – A transient man living in Tulsa was sentenced today after being arrested with a firearm on two separate occasions within 35 days, announced U.S. Attorney Clint Johnson.
U.S. District Judge William P. Johnson sentenced Matthew Champ Henry Dick, 32, for two counts of being a Felon in Possession of a Firearm. Dick was ordered to serve 96 months imprisonment, followed by three years of supervised release.
In June 2025, Tulsa Police officers were dispatched to the scene of a one-car accident. Officers found Dick trying to leave the scene of the accident and believed he was under the influence of a controlled substance. When officers searched Dick, they found a loaded handgun in his waistband. After officers arrested Dick, they searched his vehicle and found cocaine, drug paraphernalia, a cash counter, a facemask, a spotting scope, a lockpick set, and credit cards not in Dick’s name. He was booked into State custody.
While Dick was out on bond, he cut off his monitoring device, and a state bench warrant was issued. In August 2025, U.S. Marshals with the Northern Oklahoma Violent Crimes Task Force found and arrested Dick and located another loaded firearm on his person.
Court dockets show that Dick has a lengthy criminal history, including multiple prior state convictions for being a felon unlawfully in possession of a firearm.
Dick will remain in custody pending transfer to the U.S. Bureau of Prisons.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshal Service, and the Tulsa Police Department investigated the case. Assistant U.S. Attorney Nathan E. Michel prosecuted the case.
Project Safe Neighborhoods (PSN) is the Department of Justice’s nationwide initiative that brings federal, state, local, and tribal law enforcement, prosecutors, and other public safety partners together to coordinate efforts to combat violent crime and make communities safe. Coordinated by U.S. Attorneys’ offices in each of the 94 federal districts, PSN is tailored to particular communities to strategically address specific violent crime and public safety challenges. As a key component of Operation Take Back America, PSN serves a central role in the Department’s commitment to make our country safe. PSN emphasizes three core principles: rapid federal response to violent crime and criminal offenders; strong, strategic partnerships among law enforcement at all levels; and accountability and deterrence through the prosecution of the most serious, readily provable offenses and other strategies. These efforts complement and strengthen President Trump’s Homeland Security Task Forces, ensuring a comprehensive federal response to the most pressing public safety issues facing communities.
Evansville Man Lands Back in Federal Prison for Dealing Meth and Heroin While on Supervised ReleaseRead the Press Release
EVANSVILLE- Deon Dickerson, 45, of Evansville, has been sentenced to 23 years and two months in federal prison, followed by 10 years of supervised release, after pleading guilty to distribution of 50 grams or more of methamphetamine, possession with intent to distribute and distribution of 50 grams or more of methamphetamine, and possession with intent to distribute 100 grams or more of heroin.
According to court documents, Dickerson was previously sentenced in December 2021 to four years in federal prison for possession with intent to distribute heroin and possession of a firearm by a convicted felon. He was released in 2025 and was serving a term of federal supervised release when Drug Enforcement Administration (DEA) agents learned he was continuing to distribute cocaine and crystal methamphetamine.
Between September and October 2025, DEA agents observed Dickerson conduct four separate drug transactions, selling a total of 535 grams of methamphetamine. On October 29, 2025, investigators executed a federal search warrant at Dickerson’s residence and recovered 821 grams of heroin containing trace amounts of fentanyl, 170 grams of methamphetamine, digital scales, and multiple cell phones.
Dickerson was sentenced to 260 months for the new offenses, with an additional 18 months for violating the terms of his federal supervised release.
“Deon Dickerson continued trafficking dangerous drugs into our community even after serving a federal prison sentence, and today’s sentence reflects the serious consequences of that choice,” said Tom Wheeler, United States Attorney for the Southern District of Indiana. “Our law enforcement partners closely monitored this offender from the moment he was released, and their sustained efforts underscore their steadfast commitment to protecting the Evansville community.”
“Deon Dickerson’s sentencing reflects DEA’s continued vigilance to work with our federal and state partners to protect the citizens of Evansville from repeat offenders who choose to continue to traffic drugs into our community,” said Gerald C. Dooley, DEA Indianapolis Assistant Special Agent in Charge.
The Drug Enforcement Administration’s Evansville Resident Office Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Evansville-Vanderburgh County Drug Task Force investigated this case. The sentence was imposed by U.S. District Judge Richard L. Young.
U.S. Attorney Wheeler thanked Assistant U.S. Attorney Lauren Wheatley, who prosecuted this case.
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Eight Individuals Plead to Roles in $11 Million Bank Fraud ConspiracyRead the Press Release
TRENTON, N.J. – Eight defendants admitted to their roles in a conspiracy to defraud banks by depositing stolen checks and withdrawing the funds, U.S. Attorney Robert Frazer announced.
The following individuals each pleaded guilty before U.S. District Judge Michael A. Shipp in Trenton federal court to a one-count Information charging them with conspiracy to commit bank fraud:
- Britany Brown, 39, of Philadelphia, Pennsylvania, pleaded guilty on July 21, 2026. Sentencing is scheduled for December 8, 2026.
- Clarence Semmon, 42, of Trenton, New Jersey, pleaded guilty on July 21, 2026. Sentencing is scheduled for December 9, 2026.
- Joseph Graves-Carmichael, 43, of Trenton, New Jersey, pleaded guilty on July 22, 2026. Sentencing is scheduled for December 9, 2026.
- Andrew Hooper, 38, of New Brunswick, New Jersey, pleaded guilty on July 22, 2026. Sentencing is scheduled for December 7, 2026.
- Thomas Lee, 56, of Beverly, New Jersey, pleaded guilty on July 22, 2026. Sentencing is scheduled for December 16, 2026.
- Patricia Kearse, 47, of Philadelphia, Pennsylvania, pleaded guilty on July 22, 2026. Sentencing is scheduled for December 7, 2026.
- Shabazz Rouzard, 34, of Ewing, New Jersey, pleaded guilty on July 22, 2026. Sentencing is scheduled for December 16, 2026.
- John Gerard Ebert, 42, of Hamilton, New Jersey, pleaded guilty on August 4, 2026. Sentencing is scheduled for December 17, 2026.
According to documents filed in this case and statements made in court:
From March 2023 through June 2025, the Defendants conspired to deposit stolen checks—including U.S. Department of Treasury checks—at various banks in New Jersey and Pennsylvania. The conspirators impersonated the businesses or individuals listed as payees on the stolen checks, often by acquiring business documents in the names of the payees. Once the conspirators acquired fraudulent business documents or opened fraudulent bank accounts, they deposited the stolen checks and split the proceeds. In total, the conspirators deposited or attempted to deposit over 100 Treasury and commercial checks totaling over $11 million. Many of the Treasury checks were refunds issued as Employee Retention Credits, a program the Internal Revenue Service created during the COVID-19 pandemic to encourage businesses to retain employees.
The bank fraud conspiracy charge is punishable by a maximum potential penalty of 30 years in prison and also carries a fine of up to $1,000,000, twice the gross amount of any pecuniary gain that any persons derived from the offense, or twice the gross amount of any pecuniary loss sustained by any victims of the offense.
U.S. Attorney Frazer credited special agents with the Federal Bureau of Investigation, Newark-Trenton Resident Agency under the direction of Special Assistant in Charge Stefanie Roddy; special agents with Homeland Security Investigations, Cherry Hill, under the direction of Acting Special Agent in Charge Spiros Karabinas; special agents with the Internal Revenue Service – Criminal Investigation, Newark Field Office, under the direction of Jenifer L. Piovesan; special agents with Treasury Inspector General for Tax Administration, Northeast Field Division, under the direction of Special Agent in Charge Michael Carpenter; special agents with the Defense Criminal Investigative Service, Northeast Field Office, under the direction of Acting Special Agent in Charge Jessica Herrington; special agents with the U.S. Air Force – Office of Special Investigations, Detachment 307, Joint Base McGuire-Dix-Lakehurst, New Jersey, under the direction of Special Agent in Charge Rebecca B. Bates; and postal inspectors of the U.S. Postal Inspection Service, Philadelphia Division, under the direction of Inspector in Charge, Christopher Nielson, with the investigation leading to the guilty pleas.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The government is represented by Assistant U.S. Attorney Benjamin D. Bleiberg of the Economic Crimes Unit in Newark.
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Defense counsel:
Brown: Vincent J. LaPaglia, Esq.
Ebert: Maximillian Novel, Esq.
Graves-Carmichael: Kevin Buchan, Esq.
Hooper: Jacqueline E. Cistaro, Esq.
Kearse: William Strazza, Esq.
Lee: Terrell A. Ratliff, Esq.
Semmon: Tara Breslow-Testa, Esq.
Rouzard: Kathleen Theurer-Platts, Esq.
brown.information.pdf ebert.information.pdf graves-carmichael.information.pdf hooper.information.pdf kearse.information.pdf lee.information.pdf rouzard.information.pdf semmon.information.pdfDulce Man Pleads Guilty to Violent AssaultRead the Press Release
ALBUQUERQUE – A Dulce man pleaded guilty to a violent assault that left the victim with serious injuries.
According to court documents, on December 31, 2025, Dennison Billy, Jr., 36, an enrolled member of the Navajo Nation, struck an adult victim in the face with his fists while the victim was driving a vehicle in Dulce, New Mexico. Responding officers found Billy highly intoxicated in the passenger seat and the victim nearby with visible blood and multiple injuries. The victim reported exiting the vehicle to avoid further assault and was transported to a local hospital for treatment. Billy told law enforcement that he had consumed a large amount of alcohol, blacked out, and did not remember the incident.
The victim sustained serious injuries, including fractures to the orbital wall and nasal bones.
Billy pleaded guilty to assault resulting in serious bodily injury. At sentencing, he faces up to 10 years in prison followed by three years of supervised release.
First Assistant U.S. Attorney Ryan Ellison and Justin A. Garris, Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, made the announcement today.
The Farmington Resident Agency of the Federal Bureau of Investigation’s Albuquerque Field Office investigated this case with assistance from the Jicarilla Apache Police Department. Assistant U.S. Attorney Aaron O. Jordan is prosecuting the case.
Drug-Dealing Marine Sentenced to 7-Years in Federal PrisonRead the Press Release
Raleigh, N.C. – A federal judge sentenced Alexander Jules Pawluk, 29, to seven years in federal prison for trafficking large quantities of meth and firearms throughout the Eastern District of North Carolina. On May 10, 2026, Pawluk pleaded guilty to conspiracy to distribute 50 or more grams of meth, distribution of 50 grams or more of meth, and possession of a firearm in furtherance of a drug trafficking crime.
“While it is tragic to see a Marine betraying his oath to protect and serve his country, nobody gets away with crime in Eastern North Carolina. Drugs kill families and communities,” said U.S. Attorney Ellis Boyle. “Marines should not dishonor themselves by hurting Americans. Simple Lesson; drugs kill, prison awaits, do better.”
In 2024, investigators identified Pawluk—then an active-duty Marine—as a drug dealer operating in the greater Jacksonville area. That December, federal and local law enforcement conducted three controlled meth purchases from him. During two of those transactions, he also sold firearms. After completing the controlled buys, law enforcement arrested Pawluk and placed him in state custody.
Following his arrest and subsequent discharge from the Marine Corps, a state judge released Pawluk from custody. Unfortunately, he returned to his drug dealing ways. In June 2025, investigators conducted another controlled meth purchase from him. After that transaction, they searched Pawluk’s home and found more meth and firearms.
“Mr. Pawluk’s relentless distribution of lethal drugs and firearms despite devastating outcomes demonstrates his complete and callous disregard for human life and the safety of our community,” said Special Agent in Charge Kelly Parrish of the NCIS Carolinas Field Office. “NCIS and our law enforcement partners remain unwavering in our mission to protect our Navy and Marine Corps communities. We will continue to conduct thorough investigations to ensure individuals complicit in crimes are held accountable for the grave consequences of their actions.”
This prosecution is part of Operation Moral Turpitude, a component of the Homeland Security Task Force (HSTF) established under Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole‑of‑government initiative committed to dismantling criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking networks operating in the United States and abroad. Through unprecedented interagency coordination, HSTF directs federal law enforcement resources to investigate and prosecute the broad spectrum of crimes committed by these organizations. The HSTF places a particular emphasis on targeting offenders involved in crimes against children and uses all available legal authorities to identify, prosecute, and remove violent criminal aliens from the United States.
W. Ellis Boyle, U.S. Attorney for the Eastern District of North Carolina, made the announcement following sentencing by U.S. District Judge James C. Dever III. NCIS, ATF, and the Jacksonville Police Department, and the Onslow County Sheriff’s Office investigated the case.
A copy of this press release is located on our website. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:25-CR-63-D-BM-1.
Dominican National and Leader of Drug Trafficking Conspiracy Sentenced to 15 Years in PrisonRead the Press Release
CONCORD –Alexander Aguasvivas-Pena, 32, a citizen of the Dominican Republic who is currently unlawfully present in the United States, was sentenced today by U.S. District Judge Joseph Laplante to 15 years in prison after pleading guilty to one count of Conspiracy to Distribute and Possess with Intent to Distribute a Controlled Substance.
“Mr. Aguasvivas-Pena led an organization moving huge quantities of illicit narcotics into New Hampshire. He must be held accountable. This sentence imposes that accountability,” said U.S. Attorney Erin Creegan. “Through the Homeland Security Task Force, we are targeting and disrupting drug trafficking across international and state borders, trafficking that has caused such damage to our state, and we will continue to do so.”
“Alexander Aguasvivas-Pena and other members of this drug organization pumped huge quantities of methamphetamine and other dangerous drugs into our communities,” said Ted E. Docks, Special Agent in Charge of the FBI’s Boston Division. “Today’s sentence puts him out of business and behind bars. The FBI and our partners are committed to taking down and locking up prolific drug traffickers like him who have zero regard for the incredible damage they inflict on people’s lives and quality of life.”
According to court documents and statements, in late 2023, law enforcement agencies began investigating a drug-trafficking organization (DTO) operating in New Hampshire and Massachusetts. Investigators utilized cooperating witnesses and an undercover officer to conduct controlled purchases of narcotics from various DTO members. Aguasvivas-Pena was the leader of that DTO which was responsible for distributing over 10 kilograms of methamphetamine, along with other drugs.
The Federal Bureau of Investigation Major Offender Task Force led the investigation with valuable assistance from the Drug Enforcement Administration, New Hampshire State Police, Strafford County Sheriff’s Office, and Boston Police Department. Assistant U.S. Attorney Yasir Sadat and former Assistant U.S. Attorney Heather Cherniske prosecuted the case.
This prosecution is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. HSTF New Hampshire comprises agents and officers from FBI, HSI, IRS, DEA, ATF, USMS, and DSS with the prosecution being led by the United States Attorney’s Office for the District of New Hampshire.
Dominican National Sentenced to Five Years in Prison for Trafficking Tens of Thousands of Fentanyl PillsRead the Press Release
BOSTON – A Dominican national unlawfully residing in Dorchester, Mass. was sentenced yesterday in federal court in Boston for his role in a large-scale fentanyl trafficking conspiracy.
Anderson Ernesto Andujar Echavarria, 28, was sentenced by U.S. District Court Judge Indira Talwani to five years in prison, to be followed by six years of supervised release. The defendant is subject to deportation upon completion of the imposed sentence. In December 2025, Andujar pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl; three counts of distribution of 40 grams or more of fentanyl; one count of distribution of 40 grams or more of fentanyl and methamphetamine; and one count of possession with intent to distribute 400 grams or more of fentanyl. Andujar was arrested and charged in September 2024 along with three co-conspirators Waner Bernabel Presinal, Carlos Fabal and Freddy Artemio Guerrero Soto.
In November 2023, law enforcement identified Andujar as a large-scale drug trafficker distributing various narcotics. Over the course of the investigation, Andujar distributed tens of thousands of press fentanyl tablets as well as powdered fentanyl, cocaine and crystal methamphetamine to undercover law enforcement.
Bernabel was identified as a co-conspirator who worked with Andujar to distribute fentanyl pills and Fabal was identified as a fentanyl pill supplier to Andujar. Fabal was previously convicted in 2007 in federal court in Boston of conspiracy to distribute cocaine, for which he was sentenced to 67 months in prison and five years of supervised release.
At the time of the arrests, 30,000 blue pressed fentanyl pills were seized along with and 500 grams of powder fentanyl from Andujar and Guerrero Soto.
Fabal pleaded guilty in October 2025 and is awaiting sentencing. Bernabel was sentenced in June 2026 to five years in prison, to be followed by four years of supervised release. Guerrero Soto pleaded guilty in February 2025 and, in May 2025, was sentenced to 30 months in prison.
United States Attorney Leah B. Foley and Jarod A. Forget, Special Agent in Charge of the Drug Enforcement Administration in New England made the announcement. Valuable assistance in the investigation was provided by the Massachusetts State Police and Boston Police Department. Assistant U.S. Attorney Christopher Pohl of the Criminal Division is prosecuted the case.
Delaware Drug Dealer Receives 12-Year Federal Prison Sentence for Trafficking MethRead the Press Release
Raleigh, N.C. – A federal judge sentenced James Nadel Taylor, 31, to 12 and half years in federal prison for trafficking large quantities of meth along the east coast. On May 5, 2026, Taylor pleaded guilty to conspiracy to distribute 50 grams or more of meth and possession with intent to distribute 50 grams or more of meth.
“Here is another fine example of law enforcement protecting and serving the citizens of Eastern North Carolina. Through one officer’s keen eye for discerning criminal activity, law enforcement sniffed out the drug mule and his Big Shark Bad Boy co-conspirator.” said U.S. Attorney Ellis Boyle. “To those who think they can bring their venomous drugs into Eastern North Carolina: you are dead wrong! Will we find you; we will prosecute you; and we will throw you under the jail.”
On January 14, 2025, a Selma Police Department detective stopped a Kia Optima for following a tractor trailer too closely. The detective questioned the driver, Erminio Ferri, about his travel plans and noticed a nervous Ferri gave an implausible story. Taylor, the owner of the car, sat next to him as a passenger. Detectives searched the car and found over four pounds of meth. They later learned that Ferri and Taylor had driven from Delaware to South Carolina the previous day to pick this meth and were returning to Delaware when police stopped the car.
"This sentence reflects the outstanding work and dedication of our detectives, whose attention to detail during a routine traffic stop led to the seizure of a significant quantity of methamphetamine and ultimately the dismantling of a drug trafficking operation,” said Justin R. Vause, Selma Police Chief. “Cases like this demonstrate that proactive policing and strong partnerships with our federal law enforcement partners continue to play a critical role in keeping dangerous narcotics out of our communities. Having firsthand knowledge of this investigation from its inception, I can say this outcome sends a clear message to those who seek to traffic illegal drugs through our town and across North Carolina: law enforcement agencies are committed to identifying, investigating, and holding offenders accountable. Protecting our residents and preventing dangerous substances from reaching our neighborhoods, families, and especially our children remain a top priority for the Selma Police Department. I am proud of the work conducted by our detectives and grateful for the collaborative efforts of the ATF and the United States Attorney's Office in bringing this case to a successful conclusion."
W. Ellis Boyle, U.S. Attorney for the Eastern District of North Carolina, made the announcement following sentencing by U.S. District Judge James C. Dever III. The ATF and the Selma Police Department investigated the case.
A copy of this press release is located on our website. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:25-CR-202-D-BM-2.
DOJ Invests Nearly $30 Million in the USAO Eastern District of North Carolina to Support Law Enforcement and Strengthen Community SafetyRead the Press Release
RALEIGH, N.C. – The United States Attorney’s Office for the Eastern District of North Carolina is proud to announce that the Department of Justice (DOJ) distributed nearly $30 million in grant funding across the district to strengthen public safety efforts. Our partners will use these funds to support state and local law enforcement agencies and community organizations that put in the hard work and long hours every day to reduce violence, prevent crime, and build safer neighborhoods.
“Our district remains committed to giving our local law enforcement partners the tools they need to protect Eastern North Carolina communities, get criminals off the streets, and reduce violence,” said U.S. Attorney Ellis Boyle. “These grants directly support the folks who are out there facing danger, boots on the ground, doing the work each and every day. They give us a chance to team with these critical local agencies and community‑based groups who keep our neighborhoods safe from criminals”
This new funding strengthens the district’s ongoing partnerships and expands the resources available to the agencies and organizations. Building on this commitment, DOJ will send grant funding to the following:
- NC Conf. of DAs: $11,640,892
- Pitt County: $55,520
- Cumberland County: $225,590
- Robeson County: $125,443
- Harnett County: $22,230
- Sampson County: $10,781
- Johnston County: $11,561
- Vance County: $21,868
- Lenoir County: $14,570
- Wake County: $221,272
- Nash County: $40,867
- Wayne County: $50,144
- New Hanover County: $64,657
- Wilson County: $22,147
- Onslow County: $34,572
- NCDPS: $17,366,761
Local law enforcement agencies and community‑based organizations invest this funding by implementing crime‑reduction efforts, upgrading technology and training, supporting victims, and building programs that strengthen trust between law enforcement and the neighborhoods they serve.
The Eastern District of North Carolina covers 44 counties and includes big and small cities, rural communities, beaches and waterways, and major military installations. The United States Attorney’s Office serves as the coordinating hub of federal, state, and local law enforcement, enforces federal law, prosecutes criminal offenses, defends the United States in civil matters, and advances community‑focused crime‑prevention efforts. The office works closely with federal, state, and local agencies across the district to promote public safety, protect the Constitution, uphold the rule of law, and support programs that address the causes of crime and strengthen long‑term community well‑being.
A copy of this press release may be found on our website.
Crestview Man Indicted for Distributing MethamphetamineRead the Press Release
Pensacola, Florida –John Martin Elmore, 37, of Crestview, Florida, has been indicted in federal court for one count of conspiracy to distribute more than 50 grams of methamphetamine or 500 grams of a mixture and substance containing methamphetamine and one count of possession of more than 50 grams of methamphetamine or 500 grams of a mixture and substance containing methamphetamine. John P. Heekin, United States Attorney for the Northern District of Florida announced the charges.
Elmore appeared in federal court for his arraignment before Chief United States Magistrate Judge Michael J. Frank. Trial is scheduled for September 21, 2026, at 9:00 a.m. before District Court Judge T. Kent Wetherell, II in Pensacola, Florida.
If convicted, Elmore faces a mandatory minimum of 10 years’ imprisonment, and up to life imprisonment, on each count.
The case is being investigated by the Drug Enforcement Administration, the Crestview Police Department, and the Okaloosa County Sheriff’s Office. The case is being prosecuted by Assistant United States Attorneys Jessica S. Etherton and Thomas S.P. Geeker.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit https://www.justice.gov/usao-ndfl.
Concord Man Pleads Guilty to Possession of Child Sexual Abuse MaterialRead the Press Release
CONCORD – A Concord man pleaded guilty today in federal court to a one-count indictment charging him with possession of child sexual abuse material (CSAM), U.S. Attorney Erin Creegan announces. David Dolloff, age 50, was indicted by a federal grand jury in January 2026.
According to court documents, in July 2025, federal officials began investigating Dolloff after learning he had subscribed to a “Netflix-style” website dedicated to streaming CSAM over the darknet. Local authorities then searched Dolloff’s home last August and found a thumb drive containing nearly 500 files depicting CSAM. Also saved on that thumb drive was a digital business card with Dolloff’s picture and a document listing his name. Dolloff was previously convicted in Hillsborough County Superior Court for possession of CSAM in 2015.
The charging statutes provide a minimum term of imprisonment of 10 years for possession of CSAM. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes that govern the determination of a sentence in a criminal case.
This investigation was led by the Department of Homeland Security’s Homeland Security Investigations, with valuable assistance from the Concord Police Department. Assistant U.S. Attorney Mike Shannon 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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Columbia County man pleads guilty in district court to child pornography chargesRead the Press Release
AUGUSTA, Georgia: An Evans, Georgia man awaits sentencing after pleading guilty in federal court to child pornography charges.
Ryan Thomas Manley, 44, of Evans, pled guilty to six counts of Production with Intent to Distribute Child Pornography and one count of Possession of Child Pornography, said Margaret E. “Meg” Heap, U.S. Attorney for the Southern District of Georgia.
As described in the plea agreement, from January to February 2025, Manley produced morphed images of real minor victims with intent to distribute sexually explicit conduct through electronic means.
The guilty plea subjects Manley to a statutory penalty of up to 15 years imprisonment for the six counts of Production with Intent to Distribute Child Pornography and up to 20 years imprisonment for the guilty plea of Possession of Child Pornography. Additional penalties include substantial fines, registration as a sex offender, and a maximum life term of supervised release upon completion of any prison term.
There is no parole in the federal system.
“The children depicted in this CSAM case are not anonymous victims; they are real children whose suffering will continue long after this defendant is incarcerated,” said U.S. Attorney Heap. “Today’s guilty plea is a reminder that every child deserves justice, dignity, and protection. This office along with our law enforcement partners, are committed to investigate and prosecute those who possess or produce CSAM.”
If you are or have information about victims of child exploitation, contact the National Center for Missing and Exploited Children Cyber Tipline at report.cybertip.org or 1-800-THE-LOST (1-800-843-5678).
“By receiving and intending to distribute these images, Manley participated in the continuing abuse and exploitation of children,” said Supervisory Senior Special Agent Matt Ploskunak of FBI Atlanta’s Augusta Resident Agency. “Children must be protected from sexual exploitation, and we remain committed to investigating the possession and distribution of child pornography.”
This case was investigated by the FBI, Columbia County Sheriff’s Office, and prosecuted for the United States by Southern District of Georgia Assistant U.S. Attorney Tara M. Lyons.
Chinese-Owned Company to Pay More Than $11M to Resolve False Claims Act Allegations Relating to Paycheck Protection Program LoanRead the Press Release
MOBILE, AL — Continental Aerospace Technologies Inc. has agreed to pay $11,772,680.14 to resolve allegations that it violated the False Claims Act by submitting false claims to obtain a Paycheck Protection Program (PPP) loan for which it was not eligible.
“This settlement demonstrates our office’s steadfast commitment to relentlessly investigating and resolving fraud against American taxpayers,” said U.S. Attorney Sean P. Costello for the Southern District of Alabama. “It also reflects the effectiveness of our collaborative False Claims Act investigations in holding companies and individuals accountable for fraudulent conduct and returning unlawfully obtained taxpayer funds to the United States, together with significant financial penalties.”
“PPP loans were intended to help small businesses in the United States,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “The Department remains committed to pursuing those who violated the requirements of this taxpayer funded program.”
“PPP loans were meant to help small American businesses survive the economic turmoil caused by the pandemic. Continental, however, was part of a large Chinese-owned corporation and allegedly provided false information to the SBA to obtain taxpayer funds to which it was not entitled,” said First Assistant U.S. Attorney Brad Schimel for the Eastern District of Wisconsin. “This matter is just one of many cases in which our office continues to hold corporations, particularly those owned by a foreign government, accountable when they submit false claims to obtain American taxpayer money.”
“The SBA is committed to rooting out every dollar of PPP fraud,” said SBA General Counsel Wendell Davis. “Alongside the Department of Justice Civil Fraud Section, U.S. Attorney’s Offices in the Eastern District of Wisconsin and Southern District of Alabama, and our other law enforcement partners, the agency will aggressively pursue bad actors to hold them accountable and recover pandemic relief funds improperly obtained from the program.”
Congress created the PPP in March 2020 to provide emergency financial assistance to Americans suffering from the economic effects of the COVID-19 pandemic. Under the PPP, eligible businesses could receive forgivable loans guaranteed by the Small Business Administration (SBA). Regulations provide various eligibility requirements for the PPP, including limitations on the number of individuals the borrower and its affiliated entities employed. In their loan applications, borrowers were required to certify that they were eligible for the PPP and that the information they provided was accurate.
Continental designs and manufactures aircraft engines and parts. At the time it applied for its PPP loan, it was part of a large multinational corporation partially owned by Aviation Industry Corporation of China (AVIC). AVIC is wholly owned by the State-Owned Assets Supervision and Administration Commission of the State Council (SASAC), an arm of the People’s Republic of China.
In applying for its PPP loan, Continental certified that it was eligible for the PPP. The United States alleges that Continental was not eligible because it was affiliated with other companies in the United States and China, and together with its affiliates across the globe, Continental employed more individuals than permitted by SBA’s size standard for its industry. The United States also contends that Continental was not eligible because it was ultimately owned by a government entity in violation of SBA rules.
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act, which permit private parties to file an action on behalf of the United States and receive a portion of any recovery. The lawsuits were filed by GNGH2 Inc. in the Eastern District of Wisconsin and Andrew McCarley in the Southern District of Alabama. In connection with the settlement, GNGH2 Inc. will receive $1,765,902.02.
This year the Administration launched the Task Force to Eliminate Fraud and the National Fraud Enforcement Division to enhance the Administration’s war on fraud, waste, and abuse in federal programs. When unscrupulous actors exploit these programs for their own financial gain, they defraud the government, harm the people these programs are designed to aid and protect, and undermine American businesses that play by the rules. The Civil Division’s FCA enforcement plays a critical role in combatting such fraudulent schemes, recovering billions of dollars for the American taxpayers, and holding wrongdoers accountable. FCA matters will continue to be on the forefront of the battle against fraud, and the Civil Division’s FCA work will support and advance the mission of the Task Force to Eliminate Fraud and the National Fraud Enforcement Division.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, the United States Attorney’s Office for the Eastern District of Wisconsin, and the United States Attorney’s Office for the Southern District of Alabama, with assistance from the SBA’s Office of General Counsel and Office of the Inspector General.
Trial Attorney Lindsey Roberts of the Civil Division, Assistant U.S. Attorney Michael Carter for the Eastern District of Wisconsin, and Assistant U.S. Attorney Nina Herring for the Southern District of Alabama handled the matter.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
Chinese-Owned Company to Pay More Than $11M to Resolve False Claims Act Allegations Relating to Paycheck Protection Program LoanRead the Press Release
Continental Aerospace Technologies Inc. has agreed to pay $11,772,680.14 to resolve allegations that it violated the False Claims Act by submitting false claims to obtain a Paycheck Protection Program (PPP) loan for which it was not eligible.
“PPP loans were intended to help small businesses in the United States,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “The Department remains committed to pursuing those who violated the requirements of this taxpayer funded program.”
“PPP loans were meant to help small American businesses survive the economic turmoil caused by the pandemic. Continental, however, was part of a large Chinese-owned corporation and allegedly provided false information to the SBA to obtain taxpayer funds to which it was not entitled,” said First Assistant U.S. Attorney Brad Schimel for the Eastern District of Wisconsin. “This matter is just one of many cases in which our office continues to hold corporations, particularly those owned by a foreign government, accountable when they submit false claims to obtain American taxpayer money.”
“This settlement demonstrates our office’s steadfast commitment to relentlessly investigating and resolving fraud against American taxpayers,” said U.S. Attorney Sean P. Costello for the Southern District of Alabama. “It also reflects the effectiveness of our collaborative False Claims Act investigations in holding companies and individuals accountable for fraudulent conduct and returning unlawfully obtained taxpayer funds to the United States, together with significant financial penalties.”
“The SBA is committed to rooting out every dollar of PPP fraud,” said SBA General Counsel Wendell Davis. “Alongside the Department of Justice Civil Fraud Section, U.S. Attorney’s Offices in the Eastern District of Wisconsin and Southern District of Alabama, and our other law enforcement partners, the agency will aggressively pursue bad actors to hold them accountable and recover pandemic relief funds improperly obtained from the program.”
Congress created the PPP in March 2020 to provide emergency financial assistance to Americans suffering from the economic effects of the COVID-19 pandemic. Under the PPP, eligible businesses could receive forgivable loans guaranteed by the Small Business Administration (SBA). Regulations provide various eligibility requirements for the PPP, including limitations on the number of individuals the borrower and its affiliated entities employed. In their loan applications, borrowers were required to certify that they were eligible for the PPP and that the information they provided was accurate.
Continental designs and manufactures aircraft engines and parts. At the time it applied for its PPP loan, it was part of a large multinational corporation partially owned by Aviation Industry Corporation of China (AVIC). AVIC is wholly owned by the State-Owned Assets Supervision and Administration Commission of the State Council (SASAC), an arm of the People’s Republic of China.
In applying for its PPP loan, Continental certified that it was eligible for the PPP. The United States alleges that Continental was not eligible because it was affiliated with other companies in the United States and China, and together with its affiliates across the globe, Continental employed more individuals than permitted by SBA’s size standard for its industry. The United States also contends that Continental was not eligible because it was ultimately owned by a government entity in violation of SBA rules.
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act, which permit private parties to file an action on behalf of the United States and receive a portion of any recovery. The lawsuits were filed by GNGH2 Inc. in the Eastern District of Wisconsin and Andrew McCarley in the Southern District of Alabama. In connection with the settlement, GNGH2 Inc. will receive $1,765,902.02.
This year the Administration launched the Task Force to Eliminate Fraud and the National Fraud Enforcement Division to enhance the Administration’s war on fraud, waste, and abuse in federal programs. When unscrupulous actors exploit these programs for their own financial gain, they defraud the government, harm the people these programs are designed to aid and protect, and undermine American businesses that play by the rules. The Civil Division’s FCA enforcement plays a critical role in combatting such fraudulent schemes, recovering billions of dollars for the American taxpayers, and holding wrongdoers accountable. FCA matters will continue to be on the forefront of the battle against fraud, and the Civil Division’s FCA work will support and advance the mission of the Task Force to Eliminate Fraud and the National Fraud Enforcement Division.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, the United States Attorney’s Office for the Eastern District of Wisconsin, and the United States Attorney’s Office for the Southern District of Alabama, with assistance from the SBA’s Office of General Counsel and Office of the Inspector General.
Trial Attorney Lindsey Roberts of the Civil Division, Assistant U.S. Attorney Michael Carter for the Eastern District of Wisconsin, and Assistant U.S. Attorney Nina Herring for the Southern District of Alabama handled the matter.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
Charlotte Man Sentenced to Prison for Using U.S. Postal Service Arrow Keys to Steal $963,000Read the Press Release
CHARLOTTE, N.C. – Tidarian Williams, 32, of Charlotte, was sentenced today to 42 months in prison and two years of supervised release for unlawful possession of a USPS arrow key and theft of mail matter, announced Russ Ferguson, U.S. Attorney for the Western District of North Carolina. Williams pleaded guilty to these offenses on October 24, 2025.
“Stealing mail causes financial strain and stress on a large number of victims and my office is committed to aggressively prosecuting it,” said U.S. Attorney Russ Ferguson. “Williams not only stole mail from all over the city, he fled, hit a federal officer, and nearly struck an innocent pedestrian. His brazen conduct and disregard for the law put lives at risk just so he could enrich himself by stealing mail.”
“This sentencing holds Williams accountable for his actions and sends a clear message that mail theft and the unlawful use of USPS arrow keys will not be tolerated,” said Rodney M. Hopkins, Inspector in Charge of the Atlanta Division for the Postal Inspection Service. “The Postal Inspection Service remains committed to protecting the safety and security of our personnel and the mail, and we will continue working alongside our law enforcement partners to hold accountable those who victimize postal customers. “
According to court documents, between October 2024 and May 2025, Williams used arrow keys, which are master keys used by the U.S. Postal Service, to unlawfully access cluster mailboxes and steal mail in and around Charlotte. Williams specifically sought after pieces of mail that contained checks, credit cards, or other financial instruments, which he then used to enrich himself or sell to others. During his crime spree, Williams became increasingly brazen, as he transitioned from breaking into outdoor mailboxes at night to walking into businesses and residential buildings in the middle of the day and breaking into cluster mailboxes located in the lobbies.
U.S. v. Williams – Video Stills Capturing the Defendant Stealing Mail
Court documents show that Williams’ thefts victimized businesses and residents across the Charlotte area, and at least one property targeted by Williams hired a guard to physically monitor its mailroom. The total loss associated with Williams’s scheme is approximately $963,000 and involved at least 10 victims.
Court documents show that Williams used stolen credit cards and other financial instruments to purchase luxury goods, jewelry, and other items. In addition, Williams sold or offered to sell to other individuals the “keys to the city,” meaning arrow keys, as well as stolen checks.
U.S. v. Williams – Williams’s Custom Diamond Necklace in the Shape of a U.S. Postal Service Arrow Key (Top); Williams Posing with Custom Arrow Key Necklace (Middle) and Outside a Post Office (Bottom)
According to court records, in April 2025, law enforcement responded to a mail theft in progress. When postal inspectors arrived on the scene, they observed Williams driving away in his vehicle. The postal inspectors blocked Williams’s vehicle and attempted to stop him, but when a postal inspector exited his car to approach the defendant, Williams fled by driving on the sidewalk, striking the postal inspector with his vehicle and causing him to sustain minor injuries. Williams then drove recklessly at high rate of speed and nearly struck a pedestrian.
In making today’s announcement, U.S. Attorney Ferguson thanked the U.S. Postal Inspection Service, the U.S. Postal Inspection Service Office of the Inspector General, and the Charlotte Mecklenburg Police Department for their investigation of the case.
Assistant U.S. Attorney Sara Kinlaw and Special Assistant U.S. Attorney Eric Frick with the U.S. Attorney’s Office in Charlotte handled the prosecution.
To report suspected mail theft, tips, or other mail-related crimes, go to https://mailtheft.uspis.gov/ or call USPIS at 1-877-876-2455. Call 911 to report an active crime in progress.
Atlanta Man Sentenced to 15 Years for Dealing Fentanyl While Armed with Fully Automatic MachinegunRead the Press Release
ATLANTA - Reginald Pierce, a twice-convicted felon, was sentenced to 15 years in federal prison on federal drug and weapons charges after possessing a fully automatic machine-gun while dealing fentanyl and other drugs.
“Pierce is a violent repeat offender who trafficked lethal fentanyl while armed with a machinegun,” said U.S. Attorney Theodore S. Hertzberg. “Thanks to the efforts of federal and local law enforcement, he will serve a significant sentence equal to more than half his lifetime thus far, and our community is safer for it.”
“Machine gun conversion devices transform firearms into exceptionally dangerous weapons that have no place in our communities,” said Benjamin Gibbons, Special Agent in Charge of ATF’s Atlanta Field Division. “Through NIBIN intelligence and strong investigative partnerships, we connected this firearm to a prior shooting and helped bring this repeat offender to justice.”
“This outcome demonstrates the importance of strong partnerships and collaborations between local and federal agencies,” said Fulton County Sheriff Patrick “Pat” Labat. “Apprehending dangerous criminals is a vital part of our mission at the Fulton County Sheriff's Office to keep the members of our community safe.”
According to U.S. Attorney Hertzberg, the charges, and other information presented in court: On May 30, 2023, a Fulton County Sheriff’s Office (FCSO) investigator stopped a vehicle in which Pierce was a passenger. Pierce attempted to flee from the vehicle and tackled the FCSO investigator, but his efforts to evade arrest failed. From Pierce’s pants pocket, FCSO investigators recovered an illegally converted, fully automatic pistol that law enforcement later linked to a drive-by shooting in East Point, Georgia a week earlier. Law enforcement also recovered 469 fentanyl pills, $10,020 in cash, and oxycodone and methamphetamine pills in and near the vehicle.
Pierce’s criminal history includes convictions for armed robbery and a gang-related aggravated assault that involved the stabbing of five victims. As a twice-convicted felon, Pierce was prohibited from possessing any firearm, let alone a fully automatic machinegun.
On July 30, 2026, Reginald Pierce, 28, of Atlanta, Georgia, was sentenced by U.S. District Judge J.P. Boulee to 15 years in prison to be followed by five years of supervised release. Pierce pled guilty on March 17, 2026, to one count of possession with intent to distribute fentanyl, one count of unlawful possession of a machinegun, and one count of possession of a firearm by a convicted felon.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and Fulton County Sheriff’s Office.
Assistant United States Attorney Lauren E. Renaud prosecuted the case.
This case is part of Project Safe Neighborhoods and Operation Take Back America. Operation Take Back America is a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations, and protect our communities from the perpetrators of violent crime.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6185. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Arlington man faces federal prison after pleading guilty to wire fraud, identity theft and reckless drone violationsRead the Press Release
FORT WORTH, Texas — United States Attorney for the Northern District of Texas, Ryan Raybould, announced that Melvin Leonard Mitchell III, from Arlington, pleaded guilty on Aug. 5 to conspiring to commit wire fraud, unlawfully using another’s identity, and piloting a drone in flight-restricted airspace without a license.
“Mitchell didn’t just steal identities and money, he repeatedly flouted the law,” said U.S. Attorney Ryan Raybould. “Those who exploit victims, jeopardize public safety and ignore clear warnings from federal authorities will face decisive consequences in the Northern District of Texas.”
“The FBI is committed to working with our partners to identify perpetrators that violate federal laws meant to protect our communities, said FBI Dallas Special Agent in Charge R. Joseph Rothrock. “The safety and security of our community remain our top priority.”
In plea papers, Mitchell admitted that between January 2022 and May 2026, he, along with several co-conspirators, procured counterfeit driver’s licenses bearing the names, dates of birth and addresses of real persons. He then used those false identities and stolen credit card information to make luxury purchases for personal gain. Mitchell’s illicit purchases included a four-wheeler ATV, a Rolex watch, and original artwork by Pablo Picasso, among other goods and services.
Mitchell further admitted in plea documents to knowingly and willfully serving or attempting to serve as an airman without a valid license—a felony under federal law—when he piloted his drone while a temporary flight restriction was in effect during the 2026 Grand Prix Race in Arlington. Plea documents show that Mitchell had been warned in August 2023 of the federal requirement to obtain an airman’s certificate with the Federal Aviation Administration before operating a drone in flight-restricted airspace.
Mitchell faces up to ten years in federal prison and a fine of up to $250,000 on each count. His sentencing hearing has been set for Nov. 13 before Chief U.S. District Judge Reed O’Connor.
The FBI–Dallas Division conducted the investigation, with assistance from the Federal Air Marshal Service, Arlington Police Department and Coppell Police Department. Assistant U.S. Attorney Eric B. Chen from the Fort Worth Division is prosecuting the case.
Alexandria Man Indicted for Concealing Assets and Making False Statements in Bankruptcy CaseRead the Press Release
ALEXANDRIA – On August 5, 2026, a federal grand jury returned an indictment charging Edward Joseph Sieja, 47, of Alexandria, with multiple counts of Concealing Assets in Bankruptcy Filings, Making False Statements Under Penalty of Perjury, and Perjury. Sieja faces up to 35 years in federal prison if convicted on all counts.
“Bankruptcy laws are meant to provide honest, good-faith debtors a fresh start—not to be exploited by those who seek to hide assets and deceive the court,” said United States Attorney Zachary A. Keller. “We will aggressively pursue individuals who attempt to abuse and manipulate our bankruptcy system for personal gain.”
According to court documents, Sieja filed a Chapter 7 bankruptcy petition on August 24, 2021, seeking a discharge of more than $3.5 million in debt. The indictment alleges that before and during the bankruptcy process, Sieja concealed the transfer and purchase of multiple properties in Alexandria using undisclosed commission income from construction contracts he performed for Louisiana companies. These properties were purchased in the name of another individual, but Sieja allegedly arranged the transactions, provided the funds, and did not disclose any of them to the bankruptcy court. The indictment further alleges that Sieja failed to disclose significant assets and income, including bank accounts at two financial institutions, over $1 million in gross income, various other business interests, and the donation of a vehicle valued at $28,000.
Despite these omissions, Sieja allegedly declared under penalty of perjury that his filings were true and correct and then reaffirmed those statements under oath. The indictment charges that these actions demonstrate a deliberate effort to deceive the bankruptcy trustee, conceal assets from creditors, and unlawfully obtain a bankruptcy discharge.
U.S. Attorney Zachary A. Keller for the Western District of Louisiana made the announcement.
Federal Bureau of Investigation (FBI), U.S. Trustee Program (USTP), and IRS – Criminal Investigation (IRS-CI) investigated the case. It is being prosecuted by Assistant U.S. Attorneys Earl M. Campbell and Amy J. Miller with assistance from Legal Assistant Stephanie Stewart.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Western District of Louisiana at www.justice.gov/usao-wdla.
Related court documents and information may be found at www.lawd.uscourts.gov or https://www.lawd.uscourts.gov/cmecf-pacer. The case number for this matter is 1:26‑cr‑00313‑01.
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CONTACT: Public Affairs
[email protected]
United States Attorney’s Office
www.justice.gov/usao-wdla
Western District of Louisiana
Twitter @USAO_WDLA$5,000 Reward Offered and New FBI Tip Line Launched to Catch Los Angeles Animal AbusersRead the Press Release
LOS ANGELES – Federal law enforcement today announced a $5,000 reward and a new FBI tip line, for information leading to the successful prosecution of criminals who violate the Preventing Animal Cruelty and Torture (PACT) Act, a federal law that carries penalties of up to seven years in prison.
This statute, which President Trump signed into law in November 2019, criminalizes engaging in animal abuse in or affecting interstate or foreign commerce and making “animal crushing” videos that depict obscene animal abuse.
Those who have evidence against anyone suspected of breaking this law is encouraged to email the FBI at [email protected].
Successful tips include specific evidence: photographs, videos, dates, times, locations, and a description of who is committing these crimes.
This dedicated email account will be reviewed by the Animal Abuse Task Force which was created last year and is led by federal prosecutors in the U.S. Attorney’s Office’s Environmental Crimes and Consumer Protection Section working in partnership with the FBI, the United States Department of Agriculture Office of Inspector General, the Los Angeles County District Attorney’s Office, the Los Angeles Police Department, Los Angeles City Animal Control, and other state and local law enforcement officers.
This task force focuses on charging serious animal abuse crimes throughout the Central District of California, the most populous federal district in the country. The seven-county district is home to nearly 20 million residents and is comprised of the counties of Los Angeles, Orange, Riverside, San Bernardino, San Luis Obispo, Santa Barbara, and Ventura.
Monday 10 August 2026
Wyoming County man going to prison for transportation of child pornographyRead the Press Release
BUFFALO, N.Y. - U.S. Attorney Michael DiGiacomo announced today that Shayne M. Hildreth, 46, of Bliss, NY, who was convicted of transportation of child pornography, was sentenced to serve 117 months in prison by U.S. District Judge Richard J. Arcara. 60 months of his federal sentence will be served consecutive to a sentence he received in New York State Court after being convicted in Wyoming County following a jury trial of use of a child in a sexual performance as a sexually motivated felony, unlawful surveillance in the second degree, criminal sexual act in the second degree and endangering the welfare of a child.
On February 24, 2018, a 15-year-old minor victim disclosed that she had been sexually abused by Hildreth and that she had seen child pornography on his cell phone. She reported that Hildreth was traveling from the Western District of New York to Aurora, MO. During an encounter with Hildreth later that day, law enforcement seized his cell phone. A search of the cell phone located 12 images of child pornography. Hildreth had engaged in a pattern of activity involving the sexual abuse or exploitation of a minor, which involved sexual contact on two separate occasions.
The case was prosecuted by Assistant U.S. Attorneys Aaron J. Mango and Douglas A. C. Penrose. The sentencing is the result of an investigation by the Aurora-Marionville Police Department, under the direction of Chief Wes Coatney, Homeland Security investigations, under the direction of Acting Special Agent-in-Charge Anthony Patrone, and the New York State Police, under the direction of Major Amie Feroleto. Additional assistance was provided by the Southwest Missouri Cyber Crimes Task Force and the Wyoming County District Attorney’s Office.
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West Virginia Convicted Felony Sex Offender Pleads Guilty to Receipt of over 50 Gigabytes of Child Sexual Abuse MaterialRead the Press Release
Justin L. Wiegand, 34, of Kenova, West Virginia, pleaded guilty today to receipt of child pornography.
“Sexual exploitation of children is one of the worst and most damaging crimes in our country,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “Those who participate in these crimes damage lives, rob innocence, and create emotional wounds that last a lifetime. Whether you produce child sexual abuse material (CSAM), distribute it, or access it via subscriptions to messaging apps, we will find and prosecute you subject to mandatory minimum penalties, as in the case of this repeat offender.”
“This predator admitted to continuing his horrific crimes against children even while serving a sentence for statutory rape,” said U.S. Attorney Moore Capito for the Southern District of West Virginia. “Our office remains steadfast and unrelenting, working closely with our law enforcement partners to protect our children and communities from such heinous and abhorrent offenses.”
“This case demonstrates how DSS leverages its global footprint to protect vulnerable victims and works with law enforcement partners on complex, multi-jurisdictional investigations,” said Deputy Assistant Director William Ferrari of the Office of Investigations for the U.S. Department of State’s Diplomatic Security Service (DSS). “Every day, DSS works alongside U.S. and international partners to investigate cases like this, protect victims, and safeguard U.S. interests at home and abroad.”
According to court documents and statements made in court, in December 2023, Wiegand contacted a user on an instant messaging app who provided Wiegand with options for purchasing videos and links to files depicting CSAM. The options included “Cp,” “Kids,” and “Young Girls.” As part of his guilty plea, Wiegand admitted that he ordered a package from the Young Girls and Kids options that included approximately 160 videos and links to four folders on an online file hosting service containing over 50 gigabytes of CSAM. Wiegand further admitted that the videos sent to him depicted minors engaged in sexually explicit conduct, including adult males having sexual intercourse with prepubescent females. Wiegand paid the messaging app user $25 for the package via an online payments system. At the user’s direction, Wiegand messaged a different messaging app account that provided Wiegand with the videos and online links he purchased.
Wiegand purchased CSAM from the same and other messaging app users on at least eight other occasions between December 2023 and January 2025. Wiegand requested such content as “young girls cp” and asked if the user had rape videos during these transactions. Wiegand also set up a hidden camera in a bathroom at his residence and recorded a video of an approximately 10-year-old girl undressing until she was nude and taking a shower. The video was saved on one of Wiegand’s cell phones no later than July 29, 2025. Wiegand possessed numerous images and videos of CSAM on his cell phones, including depictions of prepubescent minors engaged in sexual intercourse and oral sex with adults. Wiegand saved some of these images and videos using a private cloud storage service, including at least two images depicting an approximately 14-year-old girl displaying her nude genital area.
Wiegand was previously convicted of two counts of third-degree sexual assault in Wayne County Circuit Court on May 5, 2023. As part of today’s guilty plea, Wiegand admitted that his victim in that case is the approximately 14-year-old girl depicted in the CSAM on the private cloud storage service. Wiegard also admitted that he was serving a term of home confinement for those convictions at the time of his current offense.
Wiegand is scheduled to be sentenced on Nov. 23 and faces a minimum penalty of 15 years in prison and a maximum penalty of 40 years in prison, at least five years and up to a lifetime of supervised release, and a fine of up to $250,000.
DSS investigated the case with the assistance of U.S. Immigration and Customs Enforcement Homeland Security Investigations (HSI) and the West Virginia State Police.
Trial Attorney Kaylynn Foulon of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Jennifer Rada Herrald for the Southern District of West Virginia are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and 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, visit www.justice.gov/psc.
Wayne County Sex Offender Pleads Guilty to Child Pornography CrimeRead the Press Release
HUNTINGTON, W.Va. – Justin L. Wiegand, 34, of Kenova, pleaded guilty today to receipt of child pornography.
According to court documents and statements made in court, in December 2023, Wiegand contacted a user on an instant messaging app who provided Wiegand with options for purchasing videos and links to files depicting child pornography. The options included “Cp,” “Kids,” and “Young Girls.” As part of his guilty plea, Wiegand admitted that he ordered a package from the Young Girls and Kids options that included approximately 160 videos and links to four folders on an online file hosting service containing over 50 gigabytes of child pornography. Wiegand further admitted that the videos sent to him depict minors engaged in sexually explicit conduct, including adult males having sexual intercourse with prepubescent females. Wiegand paid the messaging app user $25 for the package via an online payments system. At the user’s direction, Wiegand messaged a different messaging app account that provided Wiegand with the videos and online links he purchased.
Wiegand also admitted to additional criminal conduct as part of his guilty plea. Wiegand purchased child pornography from the same and other messaging app users on at least eight other occasions between December 2023 and January 2025. Wiegand requested such content as “young girls cp” and asked if the user had rape videos during these transactions. Wiegand also set up a hidden camera in a bathroom at his residence and recorded a video of an approximately 10-year-old girl undressing until she was nude and taking a shower. The video was saved on one of Wiegand’s cell phones no later than July 29, 2025. Wiegand possessed numerous images and videos of child pornography on his cell phones, including depictions of prepubescent minors engaged in sexual intercourse and oral sex with adults. Wiegand saved some of these images and videos using a private cloud storage service, including at least two images depicting an approximately 14-year-old girl displaying her nude genital area.
Wiegand was previously convicted of two counts of third-degree sexual assault in Wayne County Circuit Court on May 5, 2023. As part of today’s guilty plea, Wiegand admitted that his victim in that case is the approximately 14-year-old girl depicted in the child pornography on the private cloud storage service. Wiegard also admitted that he was serving a term of home confinement for those convictions at the time of his current offense.
Wiegand is scheduled to be sentenced on November 23, 2026, and faces a mandatory minimum of 17 years and up to 40 years in prison, at least five years and up to a lifetime of supervised release, and a fine of up to $250,000.
Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division and United States Attorney Moore Capito made the announcement. The U.S. Department of State’s Diplomatic Security Service (DSS) investigated the case with assistance provided by the U.S. Department of Homeland Security-Homeland Security Investigations (HSI) and the West Virginia State Police.
“Sexual exploitation of children is one of the worst and most damaging crimes in our country,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “Those who participate in these crimes damage lives, rob innocence, and create emotional wounds that last a lifetime. Whether you produce child sexual abuse material (CSAM), distribute it, or access it via subscriptions to messaging apps, we will find and prosecute you subject to mandatory minimum penalties, as in the case of this repeat offender.”
“This predator admitted to continuing his horrific crimes against children even while serving a sentence for statutory rape,” said United States Attorney Moore Capito. “Our office remains steadfast and unrelenting, working closely with our law enforcement partners to protect our children and communities from such heinous and abhorrent offenses.”
“This case demonstrates how DSS leverages its global footprint to protect vulnerable victims and work with law enforcement partners on complex, multi-jurisdictional investigations,” said William Ferrari, Deputy Assistant Director of the Office of Investigations for the U.S. Department of State’s Diplomatic Security Service (DSS). “Every day, DSS works alongside U.S. and international partners to investigate cases like this, protect victims, and safeguard U.S. interests at home and abroad.”
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Jennifer Rada Herrald and Trial Attorney Kaylynn Foulon of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) are prosecuting the case.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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. 3:25-cr-197.
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Wasilla man charged with making threats, stalking Michigan public officialRead the Press Release
ANCHORAGE, Alaska – A federal grand jury in Alaska returned an indictment last month charging a Wasilla man with making threats in interstate commerce and stalking.
According to court documents, between Sept. 18 and 23, 2025, James Lawhorn, 54, allegedly sent communications on Facebook to multiple accounts, on a city website, and by telephone that contained threats to injure and murder the mayor of a city in Michigan. Some messages included:
- “We must get this scum out of our country now. Put a bullet in this mf’s head now.”
- “This mayor needs to be killed now…. Hang him and all his family now. He is not safe on the streets anymore.”
- “All Muslims must now die in America because of this fucking fag. No sleep until he is in the dirt along with all his scum family and friends and Muslims.”
In total, Lawhorn sent more than 20 threatening messages. The messages contained violent rhetoric and threats of assassination, including via hanging and firing squad.
Lawhorn is charged with seven counts of making threats in interstate commerce and one count of stalking. The defendant made his initial court appearance today before U.S. Magistrate Judge Matthew M. Scoble of the U.S. District Court for the District of Alaska. If convicted, he faces up to five years in prison and a $250,000 fine. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Michael J. Heyman for the District of Alaska and Special Agent in Charge Matthew Schlegel of the FBI Anchorage Field Office made the announcement.
The FBI Anchorage Field Office is investigating the case.
Assistant U.S. Attorney Andrea Steward 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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Veloxis Pharmaceuticals Agrees to Pay over $46M to Resolve Criminal and Civil Liability for Kickback SchemesRead the Press Release
Veloxis Pharmaceuticals Inc. (Veloxis), a drug manufacturer based in Cary, North Carolina, has agreed to pay over $46 million to resolve criminal and civil allegations that it paid kickbacks to induce prescriptions and purchases of Envarsus XR (Envarsus), a kidney transplant immunosuppression drug.
As part of the government’s resolution with Veloxis, the company entered into a deferred prosecution agreement (DPA) in connection with a criminal information filed today in the District of Massachusetts charging Veloxis with conspiracy to commit violations of the federal Anti-Kickback Statute by paying for, among other things, lavish meals, alcohol, and luxury resort stays, to induce healthcare providers to recommend or prescribe Envarsus. As part of the DPA, Veloxis has agreed to pay a criminal penalty of more than $10 million.
“Today’s resolution should serve as a warning to any healthcare company that tries to improperly influence the decisions of healthcare providers,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “Kickbacks can erode medical decision-making, result in unnecessary prescriptions of branded drugs, and waste federal healthcare funds.”
“Attempting to improperly influence medical decision-making for financial gain is dangerous, yet it is exactly what Veloxis was doing. Instead of prioritizing patient safety, they were prioritizing profits,” said U.S. Attorney Leah B. Foley for the District of Massachusetts. “Treatment decisions need to be based on what’s best for the patient, not what’s best for the drug manufacturer’s bottom line, or what lavish meal or resort stay they can offer. We remain committed to protecting the integrity of taxpayer-funded health care programs. Drug manufacturers should know that the federal government will use all available enforcement mechanisms to stop the payment of illegal health care kickbacks.”
“Today’s settlement resolves allegations that Veloxis operated with a principal focus on sales, providing kickbacks in the form of luxury resort stays, lavish meals, and payments to induce health care professionals to recommend and prescribe its kidney transplant immunosuppression drug,” said Special Agent in Charge Ted E. Docks of the FBI Boston Field Office. “It’s harmful when pharmaceutical companies prioritize profits over patients. Just know that the FBI and our partners are committed to fighting health care offenses, one case at a time, and seeing perpetrators held accountable.”
“Kickbacks that distort medical decision making put patients at risk and undermine trust in our health care system,” said Acting Deputy Inspector General for Investigations Miranda L. Bennett of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “Veloxis used lavish perks and concealed payments to push its drug, and today’s resolution makes clear that this conduct will not be tolerated. HHS OIG will continue working with our law enforcement partners to protect patients, uphold the integrity of federal health care programs, and hold companies accountable when they violate the law.”
Today’s resolution also includes a civil settlement of allegations that Veloxis caused the submission of false claims to federal healthcare programs by paying kickbacks to hospital personnel and specialty pharmacies, in violation of the False Claims Act. Veloxis has agreed to pay $34.45 million to the United States and certain states to resolve those civil allegations. In addition, Veloxis agreed to pay a $1.55 million civil penalty to the Centers for Medicare & Medicaid Services (CMS) to resolve allegations that Veloxis knowingly failed to report to CMS certain payments to physicians under the Open Payments Program (also known as the “Sunshine Act”). This is the largest Sunshine Act recovery since the law was passed in 2010.
As part of the criminal resolution and the Corporate Integrity Agreement with the U.S. Department of Health and Human Services Office of Inspector General, Veloxis has agreed to implement a significant corporate compliance program, including adoption of an enhanced system of policies, procedures, and internal controls designed to deter and detect violations of the Anti-Kickback Statute, and implementation of enhanced oversight, reporting, and enforcement mechanisms.
The Anti-Kickback Statute prohibits offering, paying, soliciting, or receiving remuneration to induce referrals of items or services covered by Medicare, Medicaid, and other federally funded healthcare programs. It seeks to ensure that medical providers’ judgments are not compromised by improper financial incentives and are instead based on the best interests of their patients. Similarly, Congress created the Open Payments Program to provide greater transparency and protection to consumers by requiring drug manufacturers and others to publicly disclose certain payments and other transfers of value to physicians, with the goal of discouraging the development of inappropriate relationships and potentially unnecessary healthcare costs that can arise from such conflicts.
Veloxis’ Criminal Liability for Conspiring to Pay Kickbacks
According to admissions and court documents filed in the District of Massachusetts, from October 2016 and continuing through in or around June 2023, Veloxis and its employees engaged in a scheme to pay kickbacks to transplant health care providers (HCPs) to induce them to prescribe, order, or recommend or arrange for prescribing or ordering Envarsus for kidney transplant recipients. During the relevant time, Veloxis manufactured and sold a single drug, Envarsus, for use as an immunosuppressant in adult kidney transplant recipients. Envarsus, a drug taken once a day for the life of the kidney transplant recipient, competed against the generic form of the same drug, which was taken only once a day. To gain market share for Envarsus against a cheaper generic drug, Veloxis engaged in an aggressive marketing strategy pursuant to which it promoted Envarsus to HCPs at and tied to transplant centers and hospitals who could influence the placement of Envarsus on the formulary and/or protocol of their respective facilities.
These marketing efforts included various tactics that violated the federal Anti-Kickback Statute, including but not limited to: taking HCPs and at times, their spouses or guests, to lavish dinners and on expensive trips and retreats under the guise of “advisory boards,” providing gifts and expensive alcohol to HCPs, and making purported consulting payments to HCPs for work that was not actually performed. In many of these instances, Veloxis employees submitted falsified company expense reports to conceal their illegal marketing efforts, including by falsely adding names to the list of attendees at dinners and events (to decrease the apparent cost per attendee of the meals) and omitting the names of physicians who attended the meals (to avoid Sunshine Act reporting requirements). This false reporting resulted in Veloxis’ failure to properly report the sums it paid to physicians, which further obscured its illegal activities.
Veloxis admitted that it intended the improper remuneration it provided to HCPs to result in increased Envarsus prescriptions, as demonstrated, in part, by communications between Veloxis employees and certain HCPs. For example, in connection with a surgeon’s request to attend a speaker program, a Veloxis employee told the surgeon that the Veloxis employee “need[ed] scripts. Lots of them.” Several months earlier, the Veloxis employee had told the surgeon that he was “over Sales” and needed the surgeon “more than ever,” and instructed the surgeon that it was “[t]ime to open your Rolodex and make things happen.” The statement of facts filed with the DPA today details additional examples of Veloxis’ kickbacks and related efforts to disguise and conceal its unlawful conduct.
Veloxis’ Civil Liability for False Claims to Federal Healthcare Programs
The resolution announced today also resolves allegations that Veloxis violated the False Claims Act by knowingly causing the submission of claims to Medicare, Medicaid, and TRICARE for Envarsus prescriptions written by HCPs or filled by pharmacies to which Veloxis had knowingly and willfully paid kickbacks in violation of the Anti-Kickback Statute. In connection with the civil settlement agreement, Veloxis admitted that from 2016 to 2023, it paid kickbacks to HCPs in the form of lavish meals, alcoholic beverages, expensive trips, resort stays, gifts, and purported consulting fees to induce prescriptions of Envarsus. Veloxis admitted that it concealed those kickbacks by falsifying company expense reports and business records as to the recipients, amounts, and purpose of the payments; and creating consulting agreements for purported consulting work that was not actually performed.
With respect to Veloxis’ obligation to report physician payments under CMS’s Open Payments Program, Veloxis admitted that because its reports to CMS were based on falsified expense reports, Veloxis underreported, or failed to report, the true amounts of its payments or transfers of value to those physicians.
In addition, Veloxis admitted that from 2017 to 2023, it paid kickbacks to specialty pharmacies in the form of per-patient and per-month payments to induce those pharmacies to begin or continue purchasing Envarsus instead of competitor drugs, including a cheaper generic drug. Veloxis admitted that it disguised the unlawful purpose of the kickback payments to the pharmacies by falsely describing the payments in written contracts as being for “enhanced services” such as data collection or adherence services. In fact, Veloxis admitted that it paid the pharmacies regardless of whether they provided any data, provided the specified data fields, or provided the data in the specified format, and without confirming whether any adherence services were provided.
Under the civil settlement agreement, Veloxis will pay $21,211,251 to the United States to resolve the False Claims Act allegations and an additional $13,238,749 to certain States for claims settled by certain State Medicaid programs. Veloxis also agreed to pay a civil penalty of $1.55 million to resolve allegations that it knowingly failed to report the amounts of its payments to physicians under the CMS’s Open Payments Program. In connection with the civil settlement, Veloxis entered into a five-year Corporate Integrity Agreement (CIA) with the HHS-OIG. The CIA requires, among other compliance provisions, that Veloxis implement a compliance program to identify and address the Anti-Kickback Statute risks associated with other financial arrangements and retain an independent compliance expert to perform a review of the effectiveness of the compliance program.
Veloxis received credit under the Department of Justice’s guidelines for accounting for disclosure, cooperation, and remediation in False Claims Act cases. Among other things, Veloxis admitted liability and accepted responsibility for the misconduct, proactively disclosed inculpatory evidence not known to the government, and facilitated interviews with current and former employees and the collection of evidence from third parties. Veloxis also received credit for taking timely and remedial measures, including terminating employees responsible for the misconduct, updating and revising policies and procedures related to the Anti-Kickback Statute, adopting enhanced training, reporting, compliance, disciplinary, and internal investigations programs, and terminating agreements and relationships with third parties involved in the offense conduct.
The claims resolved in today’s settlement include certain claims that were brought under the qui tam or whistleblower provisions of the False Claims Act. The qui tam case is captioned United States ex rel. Toulsor1, Inc. v. Veloxis Pharmaceuticals A/S, et al., No. 1:20-cv-11575 (D. Mass.).
The government’s pursuit of this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 1-800-HHS-TIPS (800-447-8477).
This year the Administration launched the Task Force to Eliminate Fraud and the National Fraud Enforcement Division to enhance the Administration’s war on fraud, waste, and abuse in federal programs. When unscrupulous actors exploit these programs for their own financial gain, they defraud the government, harm the people these programs are designed to aid and protect, and undermine American businesses that play by the rules. The Civil Division’s FCA enforcement plays a critical role in combatting such fraudulent schemes, recovering billions of dollars for the American taxpayers, and holding wrongdoers accountable. FCA matters will continue to be on the forefront of the battle against fraud, and the Civil Division’s FCA work will support and advance the mission of the Task Force to Eliminate Fraud and the National Fraud Enforcement Division.
The criminal case is being prosecuted by Assistant U.S. Attorneys Leslie A. Wright and Christopher R. Looney for the District of Massachusetts. The civil investigation and resolution were handled by Assistant Director Christopher Terranova of the Civil Division’s Commercial Litigation Branch, Fraud Section, and Assistant U.S. Attorneys Steven T. Sharobem and Lindsey E. Weinstein for the District of Massachusetts. The FBI, HHS-OIG, DCIS, Office of Personnel Management Office of Inspector General, Department of Veterans Affairs Office of Inspector General, and U.S. Postal Service Office of Inspector General investigated the case.
Veloxis Pharmaceuticals Agrees to Pay $46 Million to Resolve Criminal and Civil Liability for Kickback SchemeRead the Press Release
BOSTON – Veloxis Pharmaceuticals, Inc. (Veloxis), a drug manufacturer based in Cary, N.C., has agreed to pay over $46 million to resolve criminal and civil allegations that it paid kickbacks to induce prescriptions and purchases of Envarsus XR (Envarsus), the company’s kidney transplant immunosuppression drug.
As part of the government’s resolution with Veloxis, the company entered into a three-year deferred prosecution agreement (DPA) in connection with a criminal information filed today in the District of Massachusetts charging Veloxis with conspiracy to commit violations of the federal Anti-Kickback Statute by paying for, among other things, lavish meals, alcohol and luxury resort stays, to induce health care professionals to recommend or prescribe Envarsus. As part of the DPA, Veloxis has agreed to pay a criminal penalty of $10.04 million. Today’s resolution also includes a civil settlement to resolve allegations that Veloxis caused the submission of false claims to federal health care programs by paying kickbacks to hospital personnel and specialty pharmacies, in violation of the False Claims Act. Veloxis has agreed to pay $34.45 million to the United States and certain States as part of the civil settlement. In addition, Veloxis has agreed to pay a $1.55 million civil penalty to the Centers for Medicare & Medicaid Services (CMS) to resolve allegations that Veloxis knowingly failed to report to CMS certain payments to physicians under the Open Payments Program (a/k/a the “Sunshine Act”). This is the largest Sunshine Act recovery since the law was passed in 2010.
“Attempting to improperly influence medical decision-making for financial gain is dangerous, yet it is exactly what Veloxis was doing. Instead of prioritizing patient safety, they were prioritizing profits,” said United States Attorney Leah B. Foley. “Treatment decisions need to be based on what’s best for the patient, not what’s best for the drug manufacturer’s bottom line, or what lavish meal or resort stay they can offer. We remain committed to protecting the integrity of taxpayer-funded health care programs. Drug manufacturers should know that the federal government will use all available enforcement mechanisms to stop the payment of illegal health care kickbacks.”
“Today’s resolution should serve as a warning to any healthcare company that tries to improperly influence the decisions of healthcare providers,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “Kickbacks can erode medical decision making, result in unnecessary prescriptions of branded drugs, and waste federal healthcare funds.”
“Today’s settlement resolves allegations that Veloxis operated with a principal focus on sales, providing kickbacks in the form of luxury resort stays, lavish meals, and payments to induce health care professionals to recommend and prescribe its kidney transplant immunosuppression drug,” said Ted E. Docks, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “It’s harmful when pharmaceutical companies prioritize profits over patients. Just know that the FBI and our partners are committed to fighting health care offenses, one case at a time, and seeing perpetrators held accountable.”
“Kickbacks that distort medical decision making put patients at risk and undermine trust in our health care system,” said Acting Deputy Inspector General for Investigations Miranda L. Bennett of the U.S. Department of Health and Human Services Office of Inspector General (HHS OIG). “Veloxis used lavish perks and concealed payments to push its drug, and today’s resolution makes clear that this conduct will not be tolerated. HHS OIG will continue working with our law enforcement partners to protect patients, uphold the integrity of federal health care programs, and hold companies accountable when they violate the law.”
Veloxis’s Criminal Liability for Conspiring to Pay Kickbacks
According to court documents filed in the District of Massachusetts, from approximately October 2016 to June 2023, Veloxis and its employees engaged in a scheme to pay kickbacks to transplant health care professionals (HCPs) to induce them to prescribe, order, or recommend prescribing or ordering Envarsus for kidney transplant recipients. These kickbacks took several forms. Veloxis provided improper remuneration to transplant HCPs in the form of lavish meals, expensive resort stays and personal gifts and also made large payments to HCPs under the guise of consulting agreements, often for purported consulting work that was not actually performed. In many of these instances, Veloxis employees submitted falsified company expense reports to conceal their illegal conduct (and to avoid Sunshine Act reporting requirements). Veloxis admitted that it intended the improper remuneration it provided to HCPs to induce prescriptions/orders of Envarsus and thereby increase the company’s net profits.
Veloxis’s Civil Liability for False Claims to Federal Health Care Programs
In addition, the resolution announced today resolves allegations that Veloxis violated the False Claims Act by knowingly causing the submission of claims to Medicare, Medicaid and TRICARE for Envarsus prescriptions written by HCPs or filled by pharmacies to which Veloxis had knowingly and willfully paid kickbacks. In connection with the civil settlement agreement, Veloxis admitted that, in addition to providing improper remuneration to HCPs and concealing the kickbacks by falsifying company expense reports, Veloxis failed to properly report the remuneration under CMS’s Open Payments Program. Veloxis admitted that because its reports to CMS were based on falsified company expense reports, Veloxis underreported, or failed to report, the true amounts of its payments or transfers of value to physicians.
Veloxis also admitted that from 2017 to 2023, it paid kickbacks to specialty pharmacies in the form of per-patient and per-month payments to induce the pharmacies to begin or continue purchasing Envarsus instead of competitor drugs, including a cheaper generic drug. Veloxis admitted that it disguised the unlawful purpose of these payments by falsely describing them in written contracts as being for “enhanced services” such as data collection or adherence services. In fact, Veloxis admitted that it paid the pharmacies regardless of whether they provided any data and without confirming whether any adherence services were actually provided.
Under the civil settlement agreement, Veloxis will pay $21,211,251 to the United States to resolve the False Claims Act allegations and an additional $13,238,749 to certain States for claims settled by those States’ Medicaid programs. Veloxis also agreed to pay a civil penalty of $1,550,000 to resolve allegations that it knowingly failed to report the amounts of its payments to physicians under CMS’s Open Payments Program. In connection with the civil settlement, Veloxis entered into a five-year Corporate Integrity Agreement (CIA) with HHS-OIG. The CIA requires, among other things, that Veloxis implement a compliance program to identify and address Anti-Kickback Statute-related risks and retain an independent compliance expert to review the effectiveness of its compliance program.
Veloxis cooperated with the government’s investigation.
The claims resolved in today’s settlement include certain claims that were brought under the qui tam or whistleblower provisions of the False Claims Act. Under the Act, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. Toulsor1, Inc. v. Veloxis Pharmaceuticals A/S, et al., No. 1:20-cv-11575 (D. Mass.).
U.S. Attorney Foley; AAG Shumate; FBI SAC Docks; HHS-OIG Acting Deputy IG Bennett; Christopher Silvestro, Special Agent in Charge of the Defense Criminal Investigative Service, Northeast Field Office; Special Agent in Charge Christopher Algieri, Veterans Affairs Office of Inspector General; Derek M. Holt, Special Agent in Charge of the Office of Personnel Management, Office of Inspector General; and Justin Page, Acting Inspector in Charge of the U.S. Postal Inspection Service’s Boston Division made the announcement today. The case was handled by Assistant U.S. Attorneys Steven T. Sharobem and Lindsey E. Weinstein of the Affirmative Civil Enforcement Division and Assistant U.S. Attorneys Christopher R. Looney and Leslie A. Wright of the Criminal Division, along with Assistant Director Christopher Terranova in the Department of Justice’s Civil Division’s Commercial Litigation Branch, Fraud Section.
Unlicensed Tour Operator Charged for Causing Deaths of Five-Month-Old Infant and 27-Year-Old Woman in New York Harbor Boat CapsizingRead the Press Release
United States Attorney for the Southern District of New York, Jamie McDonald, Assistant Director in Charge of the Coast Guard Investigative Service (“CGIS”), Josh Packer, and Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch, announced today that MANUEL HERNANDEZ has been charged with negligently causing the death of a five-month-old infant and a 27-year-old woman, after the vessel HERNANDEZ was piloting capsized in New York Harbor. HERNANDEZ was presented today before U.S. Magistrate Judge Valerie Figueredo.
“Federal regulations and maritime safety protocols exist to protect the lives and wellbeing of passengers on commercial vessels,” said U.S. Attorney Jamie McDonald. “The defendant allegedly flouted those regulations when he transported paying customers on a commercial vessel without appropriate licenses, overcrowded the vessel, and took on a five-month-old infant passenger, with no infant life vests onboard. We mourn the tragic drowning deaths of the infant and her mother and urge would-be tour operators and the public to observe all safety protocols for commercial vessels.”
“Illegal charter operations gamble with human life, and in this case, the alleged conduct led to an unthinkable tragedy,” said Coast Guard Investigative Service Assistant Director Josh Packer. “As the Coast Guard’s criminal investigative agency, CGIS brings unmatched maritime subject-matter expertise coupled with federal law enforcement authority. Working with our federal, state, and local partners, we will continue to investigate those who ignore passenger vessel safety laws and put the public in danger.”
“As alleged in the complaint, Manuel Hernandez showed a complete disregard for the safety of his passengers when he piloted an over-capacity boat without a license that capsized in the New York Harbor,” said NYPD Commissioner Jessica S. Tisch. “This tragedy could have been prevented, and now a family is left to grieve the unimaginable loss of a mother and her five-month-old daughter because of his negligence. I am grateful to our NYPD Harbor and Aviation Units for their swift response and to the U.S. Attorney’s Office for the Southern District of New York for bringing these charges.”
According to the allegations contained in the Complaint:(1)
On or about August 8, 2026, HERNANDEZ was piloting a Yamaha AR210 (the “Vessel”) when it capsized in New York Harbor, resulting in the deaths of a five-month-old infant (“Victim-1”) and a 27-year-old woman (“Victim-2”). At the time of the capsizing, HERNANDEZ was the pilot and operator of the Vessel and conducting a tour for paying customers that had been arranged through a tour operations company.
HERNANDEZ’s negligent actions and omissions caused the capsizing and deaths of Victim-1 and Victim-2. At the time of the capsizing, among other things: (i) HERNANDEZ operated the Vessel with 14 people onboard, exceeding the Vessel’s maximum allowable capacity of 10 people; (ii) HERNANDEZ knowingly operated the Vessel with an infant onboard, knowing that the infant was not wearing a personal flotation device (“PFD”) and that the Vessel was not equipped with any child- or infant-sized PFDs; (iii) HERNANDEZ had not obtained a Merchant Mariner Credential, a required USCG certification to operate the Vessel with paying customers onboard; (iv) HERNANDEZ operated the Vessel without a valid USCG Certificate of Inspection, which is required for a vessel to operate with paying customers onboard, and, in fact, the Vessel was of a type and size that made it ineligible to receive a COI for the type of operation conducted by HERNANDEZ.
All 14 people onboard the Vessel were thrown overboard during the capsizing. Shortly after the capsizing, other boats, including commercial vessels and vessels operated by the NYPD, the USCG, and the New York City Fire Department, responded to the scene to render emergency assistance. 11 passengers and HERNANDEZ were recovered in varying medical conditions and survived the capsizing. The bodies of Victim-1 and Victim-2 were recovered in the water by members of the NYPD and USCG. Both Victim-1 and Victim-2 were unresponsive, received CPR from emergency responders, and were immediately transported to a hospital in Brooklyn. Upon arrival at the hospital, both Victim-1 and Victim-2 were pronounced deceased by medical personnel. A photo of the capsized Vessel being recovered from the water is below:
Please report any illegal passenger charters to the USCG at https://www.p3tips.com/878.
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HERNANDEZ, 46, of Manville, New Jersey, is charged with two counts of misconduct and neglect of a ship officer resulting in death, each of which carries a maximum sentence of 10 years in prison.
The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. McDonald praised the outstanding work of the CGIS and the NYPD.
This case is being handled by the Office’s General Crimes Unit. Special Assistant U.S. Attorney Andrew Stahl is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described therein should be treated as an allegation.
United States Intervenes in False Claims Act Lawsuit Against Colorado Medical CompaniesRead the Press Release
The United States Attorney’s Office for the District of Colorado announces that the United States has intervened in a whistleblower lawsuit in the United States District Court for the District of Colorado. The United States alleges in its complaint that three Colorado healthcare companies—Front Range Urgent Care, Inc., Comfort Care Family Practice, Inc., and QwikCareMD, LLC (together, QwikCare)—and two individuals, Anita Weiscamp, and Steven L. Wenrich, M.D., engaged in a scheme for nearly a decade to submit fraudulent claims for payment under federal health insurance programs. Specifically, the complaint alleges that the defendants submitted inflated claims for payments using Dr. Wenrich’s provider number even when Dr. Wenrich did not provide nor supervise any services for which the claims were submitted.
The complaint names Front Range Urgent Care, an urgent care medical practice, Comfort Care Family Practice, a family care medical practice, both of which have their primary places of business in Colorado Springs, Colorado. Both entities were established by a doctor, Dr. Steven Wenrich, who later passed away. The complaint also names QwikCareMD, a company that provided medical management services to Front Range Urgent Care and Comfort Care Family Practice. QwikCareMD was established by Dr. Wenrich’s spouse, Anita Wiescamp.
The case involves payments by Medicare and TRICARE, which are federal healthcare programs. Medicare provides health benefits to individuals ages 65 and older as well as to certain other individuals with qualifying conditions. Medicare has several parts, including Part B, which provides benefits to Medicare participants to cover the costs of services provided by physicians and other practitioners, among other things. TRICARE provides health benefits to U.S. Armed Forces civilian personnel, military retirees, and their dependents. Under Medicare Part B and TRICARE, the federal government pays healthcare providers for covered services on a fee-for-service basis. In particular, the federal government pays more for physicians to provide services than for nurse practitioners or physician assistants to provide those same services.
The complaint alleges that defendants violated the False Claims Act by knowingly submitting false claims under Dr. Wenrich’s physician provider number when Dr. Wenrich did not provide or supervise services for which the claims were submitted. Instead, the services were actually provided by nurse practitioners or physician assistants. The complaint alleges that the defendants fraudulently submitted tens of thousands of these inflated requests for payments. These false claims caused the federal government to pay significantly more for the services that were provided by defendants than Medicare and TRICARE otherwise should have paid.
“Our federal healthcare system relies on honest billing,” said U.S. Attorney Peter McNeilly for the District of Colorado. “When companies overbill Medicare and TRICARE by fraudulently submitting inflated requests for payments, they jeopardize important benefits for others under those programs. We will not tolerate such conduct.”
“Fraudulent billing that exploits Medicare is not an error, but deliberate misconduct that steals from a program that millions of Americans depend on,” said Special Agent in Charge Linda T. Hanley with the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Schemes that knowingly misrepresent who provided care in order to obtain higher reimbursement — as alleged in this case — are a direct attack on the integrity of federal health care programs, including Medicare. HHS‑OIG will continue to pursue allegations of fraud aggressively, working relentlessly with our law enforcement partners to ensure those who commit health care fraud are held fully accountable.”
“Healthcare fraud committed against TRICARE, our military’s healthcare benefit program – including schemes in which services are billed at a higher level than what was actually provided – undermines military readiness by diverting critical resources away from beneficiaries who genuinely need medical care,” said Chad Gosch, Special Agent in Charge of the Defense Criminal Investigative Service’s (DCIS) Southwest Field Office. “As the investigative arm of the Department of Defense’s Office of Inspector General, DCIS remains steadfast in our commitment to holding accountable those who illegally compromise the integrity and effectiveness of TRICARE for personal gain.”
The lawsuit was originally filed by former employees of QwikCare under the qui tam, or whistleblower, provisions of the False Claims Act. Those whistleblower provisions permit private parties to sue on behalf of the United States based on the submission of false claims to the government. The False Claims Act authorizes the United States to investigate the allegations made by such private parties and, if it elects to do so, to intervene in a whistleblower lawsuit and take over primary responsibility for litigating it, as the United States has done here. The Act permits the government to recover three times its damages, plus civil penalties. The private plaintiffs are then entitled to receive a share of any funds recovered through the United States’s lawsuit.
This matter was investigated by the U.S. Attorney’s Office for the District of Colorado, the Department of Health and Human Services’ Office of Inspector General, and the Defense Criminal Investigative Service. The claims asserted against defendants are allegations only, and there has been no determination of liability.
The lawsuit is captioned United States ex rels. Young, M.D. and Perez v. Anita Weiscamp., et al., No. 20-cv-02514-DDD-MDB (D. Colo.).
USAO-KS files denaturalization case against man ordered deported then used a false identity to become a U.S. citizenRead the Press Release
WICHITA, KAN. — The U.S. Attorney’s Office for the District of Kansas announced filing a denaturalization action against a man born in India who allegedly became a United States citizen under a false identity.
Under the Immigration and Nationality Act, a naturalized U.S. citizen’s citizenship may be revoked, and certificate of naturalization canceled, if the naturalization was illegally procured or procured by concealment of a material fact or by willful misrepresentation.
On August 7, 2026, the United States of America filed a civil action in the District of Kansas against Harinder Singh, a.k.a. Harinder Singh Sanghera a.k.a. Rushpal Singh of Olathe to revoke his naturalized U.S. citizenship. The U.S. government alleges Singh procured his naturalization unlawfully, and that he willfully misrepresented and concealed material facts in applying to naturalize.
When the Immigration and Naturalization Service (INS) initially encountered the defendant in 1991 at JFK International Airport, he identified himself as Rushpal Singh. In August 1995, an immigration judge ordered him to be deported, a decision which was subsequently upheld by the Board of Immigration Appeals. The government has no record Singh ever left the U.S. pursuant to his exclusion and deportation order.
In June1996, Singh filed an application with INS for an immigration benefit under the name Harinder Singh. He also changed his date of birth, date of entry into the U.S., and the factual basis for his claim. INS granted the application. In October 2000, the INS approved Singh’s application for adjustment of status to a lawful permanent resident under the identity Harinder Singh. Eight years later he naturalized under the identity and immigration history of Harinder Singh. He did not disclose his prior immigration history under a different name.
The U.S. government brings this civil action to revoke and set aside the order admitting the defendant’s citizenship and to cancel his certificate of naturalization. Since Jan. 20, 2025, the Justice Department has filed approximately 123 civil denaturalization complaints, the most in recorded history.
The claims made in the complaints are allegations only, and there has been no determination of liability.
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Two Charged After Alleged Meth Delivery Attempt During Prison Visitation at FCI HazeltonRead the Press Release
CLARKSBURG, WEST VIRGINIA – A South Carolina woman and an inmate at federal Corrections Institution (FCI) Hazelton have been indicted on prison contraband charges involving methamphetamine, announced U.S. Attorney Matthew L. Harvey.
“Crimes inside our federal prisons will not be tolerated,” said U.S. Attorney Matthew L. Harvey. “Introducing contraband to our prisons not only perpetuates addiction during what should be rehabilitation, it also threatens the safety of those who work inside.”
Shaquana Gary, 40, of Greenville, South Carolina, was indicted on one count of providing a prohibited object to a prison inmate. Robert Polk, 47, an inmate at FCI Hazelton, was indicted on one count of possession of a prohibited object by an inmate. According to the indictment, Gary attempted to deliver methamphetamine to Polk during visitation at the prison.
“Every attempt to introduce contraband into a Federal Bureau of Prisons (BOP) facility is a direct threat to the safety of our employees and the secure operation of our institutions,” said BOP Director William K. Marshall III. “We will continue our strong partnerships with our law enforcement partners to detect, investigate, and prosecute those who seek to undermine our mission.”
"Contraband inside a prison is not a victimless crime. It fuels violence, addiction, and danger for everyone, including the employees who work there. The FBI and our partners stand committed to protecting all Americans regardless of whether they're in public or behind a prison fence," said FBI Pittsburgh Special Agent in Charge Richard Evanchec.
Gary and Polk each face up to 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorney Andrew Cogar is prosecuting the case on behalf of the government.
The Federal Bureau of Investigation and the Bureau of Prisons investigated.
An indictment is merely an allegation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Thomaston Resident Sentenced for Border Patrol AssaultRead the Press Release
PORTLAND, Maine: A Thomaston resident was sentenced today in U.S. District Court in Portland for assaulting a U.S. Border Patrol agent engaged in his official duties.
Chief U.S. District Judge Lance E. Walker sentenced Olivia Wilkins, 24, to nine months in prison. Wilkins pleaded guilty in March 2026.
According to court records, in August 2025, a United States Border Patrol agent responded to a one-vehicle crash in Washington, Maine. As law enforcement conducted a roadside investigation, Wilkins came upon the scene in an automobile and parked close to officers. Wilkins voiced concerns regarding Border Patrol’s presence in the area, but was permitted to move the vehicle further back from the crash to continue observing law enforcement. As the Border Patrol agent took an individual on scene into custody and began moving the individual to a nearby Border Patrol vehicle, Wilkins quickly accelerated toward the agent, who pulled the individual off the roadside away from the oncoming vehicle. Wilkins stopped the vehicle without striking either the agent or the individual in custody before swerving back into the lane of travel and fleeing the scene. Maine State Police troopers were able to arrest Wilkins a short distance away.
In imposing sentence, Chief Judge Walker noted that one of the law enforcement officers on the scene had understandably drawn his service weapon and pointed it at Wilkins when Wilkins drove toward the Border Patrol agent. The judge told Wilkins that she was very lucky that the officer had not fired his weapon in response.
The FBI investigated the case.
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Thirteen Jacksonville Gang Members and Associates Indicted for Racketeering and Drug Trafficking Conspiracy, Murder-For-Hire, and Retaliation Against a WitnessRead the Press Release
Jacksonville, Florida – United States Attorney Gregory W. Kehoe announces the unsealing of an indictment charging 13 individuals—all alleged members and associates of the Slime gang—with crimes including racketeering conspiracy, drug trafficking conspiracy, murder-for-hire, conspiracy to commit murder-for-hire, and retaliating against a witness. Slime was primarily active in the Northside and Oceanway neighborhoods of the greater Jacksonville area.
If convicted, the penalties range from 20 years up to life in federal prison. Some of the defendants face the death penalty for murder-for-hire, conspiracy to commit murder for hire, and/or use of a firearm in furtherance of a violent crime resulting in death.
The indictment also notifies the defendants that the United States intends to forfeit certain assets, which are alleged to be traceable to proceeds of the offense.
According to the indictment, the Slime organization has existed under various names, including Pearl World, BB4L (Block Burners for Life), K4T (Killers for Telly), and finally, Slime World. At all times relevant to the indictment, Slime was led by Brian Gregory Brightman and generated income through drug trafficking. Slime used violence and intimidation to establish the group’s dominance in the greater Jacksonville area, to protect its territory, to encroach on rivals’ territory and trap houses, and to maintain its drug trafficking operation. The violence and intimidation included assaults, shootings, attempted murders, and murder.
The indictment alleges that, from approximately 2019 and continuing until August 5, 2026, the defendants conspired to distribute and possess with intent to distribute controlled substances including marijuana, crack cocaine, and methamphetamine, and maintained multiple trap houses to distribute the same, often arming themselves with firearms to protect their controlled substances and territory.
Additionally, the indictment alleges that in August 2021, Brightman, Raymond Cash, and Devin McFadden solicited the murder of a rival gang member. On October 13, 2022, Brightman solicited a Slime member and a Slime associate to murder a different rival gang member. Between November 30, 2022, and continuing through December 1, 2022, Brightman transported approximately 70 pounds of marijuana from California to Florida. On December 19, 2022, Brightman directed an individual to go to one of the trap houses under the ruse that he would be facilitating a drug deal. When the individual arrived at the home with others, Cash and Gary Harris robbed them of marijuana at gunpoint.
On January 29, 2024, it is alleged that Brightman and another Slime member assaulted a lower-level drug dealer and user to enforce a debt owed to Slime. On a different occasion, Blake Baker entered the home of a drug dealer and Slime associate, threatened her with a firearm, and assaulted her domestic partner to enforce a drug debt owed to Slime. On December 11, 2024, Devonne Rivers and Terrance Williams shot and attempted to kill another individual, in part, to intimidate any rival groups and gangs on behalf of Slime. Further, Andre Drinks solicited a physical attack on an individual that Drinks perceived to be proving evidence against Slime, causing injury to that individual.
Members of Slime are also charged in several substantive counts with committing violence to intimidate rivals and get revenge against opposing groups. It is alleged that beginning on an unknown date no later than on November 27, 2023, and continuing through December 2023, Brightman and Jacob Goodman conspired to commit, and did commit, the murder-for-hire of D.S.S. on November 29, 2023. It is further alleged that Brightman, Rivers, and Tarvares Watson Jr. conspired to commit and did commit the murder of A.B. and T.W. on or about April 7, 2024.
In addition to the individuals named above, Roderick Leon, Rashawn Rankin, and Da’Veon Smith have also been charged in the indictment.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
The Drug Enforcement Administration, the Jacksonville Sherriff’s Office, the Nassau County Sherriff’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the North Florida High Intensity Drug Trafficking Area are investigating the case with valuable assistance from the State Attorney’s Office for the Fourth Judicial Circuit, the Federal Bureau of Investigation, the Internal Revenue Service – Criminal Investigation, the United States Marshals Service, the United States Postal Inspection Service, the Naval Criminal Investigative Service, Department of Homeland Security, U.S. Customs and Border Protection, the Florida National Guard Counter Drug Program, the Florida Department of Law Enforcement, the Florida Highway Patrol, the Baker County Sheriff’s Office, the St. Johns County Sheriff’s Office, the Clay County Sheriff’s Office, the Putnam County Sheriff’s Office, the Neptune Beach Police Department, the Jacksonville Beach Police Department, and the Green Cove Springs Police Department.
Assistant United States Attorneys Rachel Lasry and Kelli A. Swaney for the Middle District of Florida are prosecuting the case.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
The Department of Justice Files Complaints Against New York, Connecticut, and Vermont Challenging State Laws that Provide In-State Tuition to Illegal AliensRead the Press Release
Today, the Department of Justice filed lawsuits against three states that seek to undermine our Nation by placing aliens over citizens in clear defiance of Congress’s commands. The Department filed complaints against New York, Connecticut, and Vermont, challenging state laws that provide in-state tuition and financial assistance for illegal aliens. These laws unconstitutionally discriminate against U.S. citizens who are not afforded the same reduced tuition rates or scholarships, create incentives for illegal immigration, and reward illegal aliens with benefits that U.S. citizens are not eligible for, all in direct conflict with federal law.
“Congress long ago made clear that States cannot put illegal aliens over our Nation’s own citizens,” said Associate Attorney General Stanley Woodward. “By granting illegal aliens in-state tuition, New York, Vermont, and Connecticut are doing just that. No more. As of today, we have now sued every state in the Second Circuit that seeks to thwart Congress’s clear prohibition by placing alien over citizen. And our efforts will not cease until President Trump’s promise is fulfilled: illegal aliens will not receive benefits denied to our Nation’s own citizens.”
“This is a simple matter of federal law: colleges cannot provide benefits to illegal aliens that they do not provide to U.S. citizens,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “This Department of Justice will not tolerate American students being treated like second-class citizens in their own country.”
In the complaints, the United States seeks to enjoin enforcement of New York, Connecticut, and Vermont laws, regulations, and policies that require colleges and universities to provide in-state tuition rates for all aliens who maintain in-state residency, regardless of whether those aliens are lawfully present in the United States. Additionally, the complaints seek to enjoin New York, Connecticut, and Vermont from enforcing state laws, regulations, and policies that afford financial assistance and scholarships to illegal aliens.
Today’s lawsuits mark 17 lawsuits challenging in-state tuition for illegal aliens. Under the leadership of Attorney General Todd Blanche, the Department’s efforts have already delivered wins for the American people, as five similar lawsuits in Texas, Kentucky, Oklahoma, and Nebraska, and Illinois have resulted favorable orders permanently enjoining and declaring unconstitutional analogous laws that gave reduced tuition to illegal aliens, including an order from the Fifth Circuit. Lawsuits against other states that similarly put illegal aliens ahead of U.S. citizens are pending across the across the country in Minnesota, Virginia, California, New Jersey, Kansas, Massachusetts, Rhode Island, Maryland, and Colorado.
St. Lawrence County Man Sentenced for Distribution of Child PornographyRead the Press Release
ALBANY, NEW YORK – Defendant Michael St. Denny, age 37, of Lisbon, New York, was sentenced on July 24, 2026 by United States District Judge Mae A. D’Agostino to 120 months in federal prison to be followed by a term of fifteen years of supervised release. The announcement was made by First Assistant United States Attorney John A. Sarcone III and Acting Special Agent in Charge Anthony Patrone Homeland Security Investigations Buffalo (HSI).
The sentence stems from his conviction of distribution of child pornography. St. Denny previously admitted to distributing child pornography to other individuals between July 2024 and January 2025 using the social media application KIK. A search warrant conducted on defendant’s residence on January 14, 2025, revealed he was in possession of 220 videos and 421 images of child pornography.
First Assistant United States Attorney John A. Sarcone III stated: “This sentence reflects the gravity of this defendant’s crimes. As established through his guilty plea, Mr. St. Denny distributed child pornography over several months and a search of his residence uncovered hundreds of images of child sexual exploitation material. He will now serve 10 years in federal prison, followed by strict supervision upon his release. I commend our partners at HSI for their unwavering efforts throughout this investigation.”
HSI Buffalo Acting Special Agent in Charge Anthony Patrone said, “Michael St. Denny’s crimes represent a depraved exploitation of innocent children, and this sentence reflects the gravity of the harm he caused by trading in the suffering of the most vulnerable. HSI Massena will pursue these offenders with unwavering resolve and relentless determination, using every lawful tool available to protect our communities and bring predators to justice.”
This case was investigated by Homeland Security Investigations. Assistant United States Attorney Paul DerOhannesian handled the prosecution.
South Bend Felon Sentenced to a Decade in Federal Prison for Armed Robbery of Noblesville BankRead the Press Release
INDIANAPOLIS- Terry Reed, 66, of South Bend, has been sentenced to 10 years in federal prison, followed by five years of supervised release after pleading guilty to bank robbery and brandishing a firearm during and in relation to a crime of violence.
According to court documents, on June 12, 2023, at 10:08 a.m., Reed entered the Chase Bank located at 198 Logan Street in Noblesville, Indiana, brandishing a long-barreled revolver. Reed demanded cash and fled with $3,796 cash.
A Westfield Police Department detective located Reed’s vehicle a short time after the robbery and engaged in a vehicle pursuit, during which time Reed drove recklessly, including leaving the roadway, until the pursuing officer lost sight of the vehicle.
On June 16, 2023, Reed was located by Mishawaka Police Department officers in South Bend, Indiana in the same vehicle he fled from the robbery in. Reed fled from the police on foot and tossed several items as he ran, including the .38 caliber Colt revolver he used during the bank robbery.
Reed is a convicted felon, with prior felonies for armed robbery in Fulton County, Georgia and St. Joseph County, Indiana, as well as aggravated battery in Cook County, Illinois.
The Federal Bureau of Investigation, Indianapolis investigated this case. The sentence was imposed by U.S. District Judge James P. Hanlon.
“This violent criminal didn’t just rob a bank of customer deposits, he robbed everyone inside the bank of their sense security and peace,” said Tom Wheeler, United States Attorney for the Southern District of Indiana. “Gun crimes have a negative impact on our entire community, and the sentence imposed today demonstrates that this conduct will simply not be tolerated. The people of Noblesville and South Bend are safer with this defendant off our streets, thanks to the hard work of the FBI, the Westfield and Mishawaka police departments, and our federal prosecutors.”
“The quick response by our law enforcement partners helped prevent this dangerous offender from causing further harm,” said FBI Indianapolis Special Agent in Charge Timothy J. O’Malley. “Armed robberies endanger bank employees, customers, responding officers, and everyone in the surrounding community. This sentence demonstrates that individuals who commit violent crimes and illegally possess firearms will be held accountable. The FBI is proud to work alongside our federal, state, and local partners to protect our communities and bring violent offenders to justice.”
U.S. Attorney Wheeler thanked Assistant U.S. Attorney Pam Domash, who prosecuted this case.
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Sharpsburg Resident Charged with Distribution, Receipt, and Possession of Child Sexual Abuse MaterialRead the Press Release
PITTSBURGH, Pa. – A resident of Sharpsburg, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of distributing, receiving, and possessing material depicting the sexual exploitation of minors, United States Attorney Troy Rivetti announced today.
The three-count indictment named Drew Michael Kozlowski, 45, as the sole defendant.
According to the Indictment, on or about March 27, 2026, Kozlowski received and attempted to receive material depicting the sexual exploitation of a minor, with the Indictment also charging Kozlowski with distributing and attempting to distribute material depicting the sexual exploitation of a minor on or about March 28, 2026. The Indictment further alleges that, in June of 2026, Kozlowski possessed material which depicted prepubescent minors or minors who had not attained 12 years of age engaging in sexually explicit conduct.
As to the receipt and distribution charges, the law provides for a sentence of not less than five years and up to 20 years in prison, a fine of up to $250,000, or both. As to the possession charge, the law provides for a sentence of up to 20 years in prison, a fine of up to $250,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney V. Joseph Sonson prosecuted this case on behalf of the United States.
Homeland Security Investigations conducted the investigation leading to the Indictment.
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.justice.gov/psc.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Senate Confirms Timothy VerHey as United States Attorney for the Western District of MichiganRead the Press Release
GRAND RAPIDS, MICHIGAN – On August 7, 2026, the U.S. Senate voted to confirm Timothy VerHey as U.S. Attorney for the Western District of Michigan. VerHey assumed that position on July 21, 2025, after being appointed by former Attorney General Bondi. President Trump nominated VerHey for confirmation by the Senate on April 13, 2026. VerHey was confirmed as part of a block of nominees submitted for a roll call vote that occurred on August 7, 2026.
U.S. Attorney VerHey said, “I consider this one of the great honors of my life. I am proud to represent the United States as it seeks justice in all its civil and criminal legal matters in this district. As long as I hold this position, my goal will be to see to it that all our citizens receive justice and fair treatment.”
Rio Grande City man sentenced for soliciting sexually explicit images of minorsRead the Press Release
McALLEN, Texas – A 32-year-old man has been ordered to federal prison for sexual exploitation of minors.
Jorge Alberto Bazan pleaded guilty May 27.
Chief U.S. District Judge Randy Crane has now ordered Bazan to serve 60 months in federal prison. He must also serve five years of supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. Bazan will also be ordered to register as a sex offender.
Authorities identified Bazan in 2025 when conducting investigations via social media.
From Sept. 12 to Sept. 24, 2025, Bazan had been communicating with someone he believed to be a 13-year-old minor. In those conversations, he expressed interest in engaging in sexual activities with the child.
Bazan also solicited photos of the minor’s genitals and instructed her on how to receive a picture and then delete them.
He has been and will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.
FBI McAllen conducted the investigation. Assistant U.S. Attorney Alexa D. Parcell prosecuted the case, which was brought as part of Project Safe Childhood, a nationwide initiative the Department of Justice launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section leads PSC, which marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.