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Thursday 9 April 2020
U.S. Attorney Dunavant Sends Letter to Hospital Executives in West Tennessee Promoting Partnership in Combatting Hoarding and Price-Gouging of Critical Medical SuppliesRead the Press Release
Memphis, TN – U.S. Attorney D. Michael Dunavant of the Western District of Tennessee today sent the following letter to all Hospital Leaders and Executives in West Tennessee, requesting assistance and information regarding hoarding and price-gouging of critical medical supplies:
Dear Hospital Leaders and Executives:
As the United States Attorney for the Western District of Tennessee, I am the chief federal law enforcement officer in the area encompassing all of West Tennessee. My office’s primary responsibility is to enforce the laws of the United States on behalf of the citizens we serve. In light of the COVID-19 pandemic, our office is prioritizing the deterrence, investigation, and prosecution of wrongdoing related to the COVID-19 pandemic – including those engaged in hoarding and/or price-gouging with regard to critical medical supplies. These practices are not only morally repugnant in light of the pandemic we are facing, but also, if left unchecked, can inhibit hospitals, physicians and other health care professionals, governmental agencies, and the public from fully implementing measures designed to save lives and mitigate the spread of the novel coronavirus.
By Executive Order dated March 23, 2020, President Trump delegated to the Secretary of Health and Human Services (HHS) the authority to designate materials critical to our the fight against COVID-19 as "scarce" pursuant to the Defense Production Act of 1950. On March 25, 2020, the HHS Secretary designated 15 categories of health and medical supplies as "scarce," thus triggering both criminal prohibitions and civil enforcement remedies that my office will aggressively enforce. These categories currently include:
• N-95 Filtering Facepiece Respirators;
• Other Filtering Facepiece Respirators (e.g., those designated as N99, N100, R95, R99, R100, or P95, P99, P100);
• Elastomeric, air-purifying respirators and appropriate particulate filters/cartridges;
• Powered Air Purifying Respirator (PAPR);
• Portable Ventilators;
• Chloroquine phosphate or hydroxychloroquine HCl;
• Sterilization services for certain medical devices and certain sterilizers;
• Disinfecting devices and other sanitizing and disinfecting products suitable for use in a clinical setting;
• Medical gowns or apparel, e.g., surgical gowns or isolation gowns;
• Personal protective equipment (PPE) coveralls, e.g., Tyvek Suits;
• PPE face masks;
• PPE surgical masks;
• PPE face shields;
• PPE gloves or surgical gloves;
• Ventilators, anesthesia gas machines modified for use as ventilators, and positive pressure breathing devices modified for use as ventilators, ventilator tubing connectors, and ventilator accessories.In this time of critical shortage, we are asking for your assistance in identifying individuals and companies that may have acquired vital medical supplies in excess of what they would reasonably use, or for the purpose of charging exorbitant prices. My office is committed to investigating and prosecuting any such incidents as well as any other fraudulent conduct designed to benefit from this pandemic (e.g., false treatments, tests, and/or vaccinations for COVID-19). In furtherance of this goal, I have created a federal COVID-19 Task Force, led by Assistant United States Attorney (AUSA) Tony Arvin, to investigate and prosecute these crimes. If you have any information related to this topic, I ask that you please contact AUSA Arvin at 901-601-0599 or [email protected].
With help from institutions like yours, the Department of Justice is using every available measure to ensure that these scarce materials are available to treat those affected by the coronavirus. I am very thankful for the vital work that you do on a daily basis and for your institution’s commitment to the people of Tennessee. I look forward to collaborating with you to protect the citizens of our community and enforce the laws of the United States during this time of national emergency.
Respectfully,
D. Michael Dunavant
United States Attorney
Western District of TennesseeThe public is also urged to report suspected fraud schemes related to COVID-19 (the Coronavirus) by calling the National Center for Disaster Fraud (NCDC) hotline (1-866-720-5721) or to the NCDF e-mail [email protected].
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Two Phoenix Women Sentenced for Drug Trafficking and Money LaunderingRead the Press Release
PHOENIX, Ariz. – On March 9, Consuelo Stephanee Pena, 29, and on March 16, Dulce Avilene Gonzalez-Rosillo, 24, both of Phoenix, Ariz., were sentenced by U.S. District Judge Diane J. Humetewa and U.S. District Judge Douglas L. Rayes, respectively, for their participation in multiple drug and money laundering offenses.
Pena was charged with multiple offenses related to drug trafficking and laundering drug proceeds between November 2015 and March 2018. Pena pleaded guilty to one count of Possession with Intent to Distribute Heroin and one count of Aiding and Abetting Money Laundering. Pena was sentenced to concurrent terms of 51 months in prison.
On April 17, 2017, Phoenix Police Officers came to the residence Pena shared with her boyfriend in Phoenix, Arizona. While she was speaking to officers in front of the residence, she sent a text message to her boyfriend, warning him that officers were in front of the residence and that he should escape out the back. Pena wanted him to hide drugs that were located in the residence so they would not be found by law enforcement. Pena’s boyfriend responded to Pena’s text by advising he had thrown a bag over the fence. Officers later located that bag, which contained two kilograms of cocaine, nine kilograms of heroin, and 84 grams of fentanyl.
On December 7, 2016, Pena provided Gonzalez-Rosillo with her debit card so that Gonzalez-Rosillo could withdraw drug proceeds from Pena’s bank account and transport the cash to Mexico. Pena admitted she and Gonzalez-Rosillo were being paid to engage in this illegal activity and were splitting the fee. On that same date, Gonzalez-Rosillo was searched by Customs and Border Protection Officers as she was attempting to drive outbound into Mexico with the cash. Officers found $7,802 on her person and in her vehicle.
Gonzalez-Rosillo pleaded guilty to one count of Possession with Intent to Distribute Heroin and one count of Possession with Intent to Distribute Marijuana. In July 2017, Gonzalez-Rosillo was stopped in Nevada while driving two kilograms of heroin from Arizona to Washington state. She was subsequently released from custody. Later, in June 2018, she was arrested for transporting 33 kilograms of marijuana near the United States-Mexico border. Gonzalez-Rosillo was sentenced to 12 months and one day of imprisonment on each count, to run concurrently, and her vehicle was forfeited.
Homeland Security Investigations and Internal Revenue Service Criminal Investigation investigated these cases, with assistance from Customs and Border Protection Office of Field Operations, United States Border Patrol, the Phoenix Police Department, the Drug Enforcement Administration, the Federal Bureau of Investigation, the Nevada Department of Public Safety, and the White Pine County District Attorney’s Office. Assistant U.S. Attorney Lacy Cooper, District of Arizona, Phoenix, handled the prosecutions.
CASE NUMBERS: CR-18-1253-PHX-DLR/CR-18-1257-PHX-DLR/CR-19-0296-PHX-DJH
RELEASE NUMBER: 2020-045_Pena and Gonzalez-Rosillo
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Three People Charged with Drug Trafficking in Newark’s Pilgrim Baptist Village Housing ComplexRead the Press Release
NEWARK, N.J. – Three people have been charged in connection with their roles in the distribution of heroin – some of which contained fentanyl – and cocaine base (crack) in an affordable housing complex and a nearby senior living community in Newark, U.S. Attorney Craig Carpenito announced today.
Charged by complaint with one count each of conspiring to distribute cocaine base are: Sherrod Richardson, a/k/a “Drama,” 19; Yusef Ellis, a/k/a “Tweeze,” 39; and Reuben Howard, a/k/a “Ahmeer,” 38, all of Newark. Richardson is also charged with possession of heroin and cocaine base on Dec. 5, 2019, with intent to distribute. Richardson and Ellis were arrested today; Howard was arrested April 8, 2020. All three defendants appeared today by telephone conference before U.S. Magistrate Judge James B. Clark III.
According to the documents filed in this case and statements made in court:
The charges and arrests resulted from an investigation by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the U.S. Attorney’s Office, in conjunction with numerous federal, state, and local law enforcement partners. Pilgrim Baptist Village Housing Complex, Site II (Pilgrim Village), is a privately owned, affordable housing complex in the vicinity of Avon and Jelliff avenues in Newark. It consists of 46 buildings, each with four units, which are accessible via exterior entrances as well as an interior stairwell leading from each apartment to a common hallway that connects multiple buildings and semi-subterranean garages for those buildings. The buildings are clustered around internal courtyards and pedestrian walkways, and the complex is accessible on foot from Avon Avenue or Jelliff Avenue and by car from one of four driveways leading to the semi-subterranean garages. Because its location and layout make it difficult for law enforcement to surveil, Pilgrim Village is the site of an open-air illegal market. Since at least November 2018, law enforcement has been investigating the organization that controls this market.
Through numerous controlled purchases of narcotics, consensually recorded telephone calls and text messages, physical and electronic surveillance, and analysis of telephone call detail records, law enforcement officials determined that the defendants distributed or conspired to distribute cocaine base in an around Pilgrim Village from at least June 2019 through April 2020.
The counts of conspiracy to distribute at least 28 grams of cocaine base each carry a minimum penalty of five years in prison, a maximum penalty of 40 years in prison, and a fine of at least $5 million. The counts of distribution and possession with intent to distribute heroin and cocaine base each carry a maximum penalty of 20 years in prison and a fine of $1 million.
U.S. Attorney Carpenito credited special agents and task force officers of ATF, under the direction of Special Agent in Charge Charlie J. Patterson in Newark; and members of the Newark Department of Public Safety, under the direction of Director Anthony F. Ambrose, with the investigation leading to the charges.
He also thanked the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson; the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie; the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Theodore N. Stephens II; the Essex County Sheriff’s Office, under the direction of Sheriff Armando B. Fontoura; and the U.S. Marshals Service, under the direction of Marshal Juan Mattos Jr. He also thanked the Belleville Police Department; the Nutley Police Department; the Bloomfield Police Department; the Verona Police Department; and the Orange Police Department for their assistance with this case.
The investigation is part of the Newark Violent Crime Initiative (VCI), through which the U.S. Attorney’s Office has partnered with state, federal, county, and local law enforcement to investigate violent crime in Newark and surrounding cities.
The charges and allegations contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Three Men Charged with Violent Robbery of Stamford JewelerRead the Press Release
United States Attorney John H. Durham, Chief State’s Attorney Richard J. Colangelo, Jr., FBI Special Agent in Charge David Sundberg, Stamford Acting Police Chief Thomas Wuennemann and Greenwich Police Chief James J. Heavey today announced that ROBERT RALLO, 56, of Brooklyn, New York, THOMAS LIBERATORE, 62, of White Plains, New York, and PAUL PROSANO, also known as “Tony Pro,” 59, of Brooklyn, have been charged with federal robbery offenses in connection with the March 28 robbery of Marco Jewelers in Stamford, Connecticut. During the robbery, the owner of Marco Jewelers was shot and killed.
As alleged in court documents, on March 28, 2020, at approximately 2:48 p.m., Stamford Police Officers responded to Marco Jewelers, located at 16 Sixth Street in Stamford. When officers arrived, they found evidence of a robbery and encountered the storeowner, Mark Vuono, lying on the ground in front of an open safe. Emergency medical personnel arrived and pronounced Vuono deceased.
It is further alleged that investigators collected and analyzed surveillance video from Marco Jewelers, surrounding businesses and Stamford city cameras. Video obtained from Marco Jewelers revealed that, on March 28, Prosano drove Rallo and Liberatore in a black Jaguar to Marco Jewelers. Rallo and Liberatore then entered the store. Rallo, armed with a handgun, engaged in a physical altercation with Vuono, while Liberatore stole items from the display cases. Vuono, who also possessed a firearm, and Rallo struggled next to a large open safe. During the struggle, Rallo reached into the safe and pulled out a third firearm, a .357 Magnum revolver. Rallo subsequently shot and killed Vuono with the .357 revolver.
It is further alleged that, following the robbery, law enforcement located the black Jaguar in Staten Island and maintained surveillance on the vehicle. On March 30, at approximately 5:30 p.m., a black BMW X3, driven by Prosano, pulled up beside the black Jaguar. Rallo exited the rear door of the BMW and entered the driver’s door of a black Jaguar. The two vehicles then left the area and rapidly accelerated. The Jaguar crashed on Tompkins Street. Rallo attempted to flee on foot, but was quickly apprehended. The BMW crashed into a tree and parked car at the intersection of Daniel Low Terrace and Corson Avenue. Prosano also attempted to flee and was apprehended.
A search of the BMW revealed 63 rings, eight bracelets, two tie pins, an earring and a cufflink, and a search of Prosano’s residence revealed 23 pairs of earrings and three rings. It is alleged that these items were stolen from Marco Jewelers on March 28.
Liberatore also was arrested on March 30. It is alleged that prior to the Marco Jewelers robbery, on March 18, 2020, Liberatore drove a Honda Civic he had stolen from a car dealer in Yonkers, New York, to Byram Jewelers in Greenwich, Connecticut. He entered the store at approximately 4:45 p.m. and asked a store employee to show him engagement rings. He then pointed a pistol at the employee, stole several rings, smashed a display case with his pistol and stole other items before exiting the store.
The federal criminal complaints charge Rallo, Liberatore and Prosano with Hobbs Act Robbery, an offense that carries a maximum term of imprisonment of 20 years. The defendants have been detained in New York on state parole violation charges, and the arrest warrants issued in this case have been lodged as detainers.
The complaints allege that each defendant has an extensive criminal history and the three men met while serving their respective sentences within the New York State Department of Corrections.
“These three defendants are alleged to have committed a brazen, violent robbery that left an innocent victim dead,” said U.S. Attorney Durham. “The FBI, Stamford Police, Greenwich Police and our other law enforcement partners have conducted an extraordinary investigation that resulted in the quick apprehension of these three men before they could wreak any additional havoc. I thank them for their efforts during what has been, due to this pandemic, an especially challenging time for law enforcement. This investigation is ongoing and, in coordination with our state counterparts, additional charges are expected.”
“This investigation and resulting prosecution is a great example of cooperation between the U.S. Attorney’s Office, Stamford/Norwalk State’s Attorney’s Office, FBI and the Stamford and Greenwich Police Departments,” said Chief State’s Attorney Colangelo. “We could not have moved as quickly as we did to apprehend the individuals alleged to be responsible for these offenses without the cooperation of all parties working together.”
“Our hearts go out to the victim’s family and our praise to the men and women of the Greenwich and Stamford Police Departments, as well as the NYPD and New York Office of the FBI, for their skill and professionalism throughout this investigation,” said FBI Special Agent in Charge Sundberg. “It is our expectation that justice will be served through the arrest of these three individuals.”
“We want to acknowledge the cooperation and teamwork of all of the law enforcement agencies involved in this investigation that made these arrests possible,” said Stamford Police Captain Richard Conklin. “During this crisis within a crisis, which created many logistical obstacles, federal and local agencies worked hand in hand and got this job done.”
“The Greenwich Police Department is pleased that its investigation of a jewelry store robbery in Greenwich, involving one of the three suspects in the Marco Jewelers robbery/homicide, was able to assist Stamford Police and the FBI in bringing to justice the suspects in these heinous crimes,” said Greenwich Police Chief Heavey. “We continue to emphasize collaboration in our law enforcement efforts and are proud of all of the detectives and investigators involved in this case. Our sincerest condolences go out to the family of Mark Vuono, owner of Marco Jewelers.”
U.S. Attorney Durham stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the Federal Bureau of Investigation, Stamford Police Department and Greenwich Police Department, with the assistance of the New York Police Department, Yonkers (N.Y.) Police Department and New Rochelle (N.Y.) Police Department. The case is being prosecuted by Assistant U.S. Attorneys Jocelyn Courtney Kaoutzanis and Rahul Kale.
Taxpayers warned of scams in relation to COVID-19 economic payment checksRead the Press Release
HOUSTON – Federal authorities are cautioning taxpayers that criminals could steal economic impact payments through various means of deception, announced U.S. Attorney Ryan K. Patrick along with Acting Special Agent in Charge Rodrick Benton of IRS – Criminal Investigation (CI).
Everyone receiving a COVID-19 related economic impact payment from the government is at risk.
“Disasters create openings for crooks and scam artists,” said Patrick. “From phony door-to-door solicitations to complex computer and phone scams, I want people to be alert. Do not give out personal information to people who claim they are with the government. The scum that take advantage at a time like this will find the weight of federal law enforcement on them.”
“While the nation deals with the COVID-19 pandemic, criminals see an opportunity to enrich themselves through fraudulent schemes,” warned Benton. “With the public’s awareness, we can combat these scammers and cease their exploitation of the American taxpayer during these trying times.”
COVID-19 economic impact payment checks will be on their way from the IRS in a matter of weeks. For most Americans, this will be a direct deposit into their bank accounts. Those that did not identify a bank account on their tax returns, elderly individuals or others who have traditionally received tax refunds via paper check will receive their payments in that manner.
Criminals have already begun deceiving taxpayers through unsolicited phone calls, emails, text messages or other communications purporting to be from the IRS in attempts to steal these payments. Authorities warn taxpayers to be vigilant and on alert to this potential fraud.
- The IRS will deposit your check into the direct deposit account you previously provided on your tax return (or, in the alternative, send you a paper check).
- The IRS will NOT CALL and ask you to verify your payment details. Do NOT give out your bank account, debit account or PayPal account information – even if someone claims it’s necessary to get your check. IT’S A SCAM!
- If you receive a call, do NOT engage with scammers or thieves, even if you want to tell them that you know it’s a scam or you think that you can beat them. Just HANG UP.
- If you receive texts or emails claiming you can get your money faster by sending personal information or clicking on links, DELETE them. Do NOT click on any links in those emails or texts.
- Bogus checks are also being distributed. If you receive a “check” in the mail now, IT’S A FRAUD – it will take the Department of Treasury a few weeks to mail the legitimate checks to taxpayers. If you receive a “check” for an odd amount (especially one with cents), a check that requires that you verify the check online or by calling a number, IT’S A FRAUD.
For more information about coronavirus tax relief and economic impact payments, visit the IRS website.For more information about coronavirus fraud overall and related details, go to the DOJ website.
Salt Lake County Man Charged in Schemes to Defraud Health Care Benefit ProgramsRead the Press Release
SALT LAKE CITY – A Salt Lake County man, who managed and operated Eco Apothecary and Eco Pharmacy in South Jordan from early 2016 to Feb. 26, 2020, is facing federal criminal and civil cases related to an alleged scheme to defraud health care benefit programs.
James Vaughn Ammon aka James Vaughn Soto, age 56, is charged with four counts of health care fraud and one count of aggravated identity theft in the criminal case. A grand jury returned a five-count indictment in late February. According to the indictment, Eco Apothecary and Eco Pharmacy’s primary business was providing prescriptions to patients. The indictment alleges that Ammon devised a scheme to defraud Medicare and Medicaid.
According to the indictment, the businesses were enrolled as pharmaceutical providers with Medicaid and Medicare. To receive reimbursement for a covered service, the businesses were required to submit a claim with the required information identifying the patient and services rendered.
The indictment alleges Ammon unlawfully enriched himself by, among other things, submitting and causing the submission of false claims to Medicare and Medicaid. In furtherance of the scheme, the indictment alleges Ammon filed claims for drugs that were not dispensed to patients, filed claims for larger quantities of drugs than were actually dispensed, filed claims for dispensing drugs even though he did not have a valid prescription from a physician, and fabricated and forged State of Utah pharmacy licensing documents.
Each count of health care fraud carries a potential maximum penalty of 10 years in prison and a fine of $250,000. The potential penalty for aggravated identity theft is a two-year mandatory minimum sentence. The court has issued a summons to Ammon to appear on the charges.
Indictments are not findings of guilt. Individuals charged in an indictment are presumed innocent unless or until proven guilty in court.
A parallel civil action filed by the U.S. Attorney’s Office alleges Eco Pharmacy, Eco Apothecary and Ammon violated the Controlled Substances Act and the False Claims Act by filling and billing Medicare for prescriptions after Eco Apothecary lost its state-issued license; billing for medications, including controlled substances, for which there was not a proper prescription or authorization; billing for medications not dispensed and delivered to patients or billing for quantities larger than what were actually dispensed to patients; forging licensing documents from the State of Utah; and failing to keep proper records of controlled substances.
Many of the medications not delivered were important life-saving medications of elderly patients. One patient, a recent organ transplant recipient, did not receive scheduled anti-rejection medication. This patient was then unable to fill the prescription at another pharmacy because Medicare showed that it had paid for the medications.
According to the civil complaint, from 2018 through 2019, Eco Apothecary and Ammon caused Medicare Part D sponsors to pay at least $1,662,077 for prescriptions they dispensed. During the same time period, Eco Pharmacy and Ammon caused Medicare to pay at least $1,895.264 for prescriptions they dispensed. The civil complaint alleges Eco Apothecary and Ammon caused Medicare and Medicaid plan sponsors to pay at least $274,129 and Medicaid at least $11,013 for at least 2,576 prescriptions after it was no longer licensed by the State of Utah to operate as a pharmacy and dispense medication.
The civil complaint seeks damages and injunctive relief against Ammon and the two businesses. It asks the court to impose a civil penalty of $64,820 for each individual prescription that was filled in violation of the Controlled Substance Act and a civil penalty of $15,050 for each violation of the Controlled Substances Act’s record-keeping provisions.
As required by law, civil violations of the False Claims Act subject violators to treble damages.
The U.S. Attorney’s office is also seeking an order stopping the defendants and their employees or representatives from directly or indirectly distributing, dispensing, or processing with intent to distribute any controlled substances.
Rapid City Man Sentenced for Discharging Firearm During Crime of ViolenceRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man convicted of Discharging a Firearm During the Commission of a Crime of Violence was sentenced by Jeffrey L. Viken, U.S. District Judge.
Carl Shockey, age 19, was sentenced on April 3, 2020, to 10 years in federal prison, followed by 3 years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
The conviction stems from Shockey and another person entering an occupied residence on April 23, 2019. Shockey wore a blue bandana to conceal his identity and was armed with a shotgun. After unlawfully entering the home in Pine Ridge, Shockey roused the sleeping occupants by loudly demanding they surrender their money and possessions. Shockey discharged one round inside the home before he and his accomplice fled the residence in a vehicle that had been stolen from Rapid City. The pair later abandoned the vehicle and were apprehended by Oglala Sioux Tribe Department of Public Safety officers.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Bureau of Indian Affairs - Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Megan Poppen prosecuted the case.
Shockey was immediately remanded to the custody of the U.S. Marshals Service.
Pierre Woman Sentenced for Methamphetamine TraffickingRead the Press Release
United States Attorney Ron Parsons announced that a Pierre, South Dakota, woman convicted of Conspiracy to Distribute Methamphetamine was sentenced on April 6, 2020, by Chief Judge Roberto A. Lange, U.S. District Court.
Melissa Jean Scull, age 39, was sentenced to 77 months in federal prison, followed by 4 years of supervised release, a $1,000 fine, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Scull was indicted by a federal grand jury on July 16, 2019. She pled guilty on December 5, 2019.
The conviction stemmed from a conspiracy that occurred between February 1, 2019, and July 16, 2019, in which Scull, knowingly and intentionally, conspired and agreed with others to knowingly and intentionally distribute and possess with intent to distribute methamphetamine in and around the Pierre and Ft. Pierre Communities. As part of the conspiracy, Scull and her co-defendants traveled to Denver, Colorado, to pick up methamphetamine. On June 23, 2019, law enforcement conducted a traffic stop of co-defendant Frank Miller’s vehicle, of which Scull was a passenger, wherein 236 grams of methamphetamine, a scale, pipes, and other items of distribution were found.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force, the Pierre Police Department, and the South Dakota Highway Patrol. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Scull was immediately turned over to the custody of the U.S. Marshals Service.
Lake Charles Man Pleads Guilty to Two Counts of Production of Child PornographyRead the Press Release
LAKE CHARLES, La. – United States Attorney David C. Joseph announced that Damon Lechtenberg, 46, of Lake Charles, Louisiana, pleaded guilty today before U.S. Magistrate Judge Kathleen Kay, for production of child pornography.
According to his guilty plea, Lechtenberg admitted to filming a minor female using hidden cameras that he had placed in the minor’s bedroom and bathroom. In December of 2019, authorities learned of Lechtenberg’s activities and obtained a search warrant. Law enforcement officers located multiple hidden cameras that had previously been hidden in the child’s bedroom and bathroom. Lechtenberg told officers that he placed the cameras in the bedroom and bathroom and filmed the minor while the minor was nude. A subsequent forensics review of the electronic devices seized from Lechtenberg revealed approximately 200 videos of the nude minor. Lechtenberg will remain in custody until sentencing.
At sentencing on July 16, 2020, Damon Lechtenberg faces up to 60 years in prison, five years to life of supervised release, registration as a sex offender and a $250,000 fine.
Homeland Security Investigations and the Calcasieu Parish Sheriff’s Office conducted the investigation. Assistant U.S. Attorney John Luke Walker is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States 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 individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
The U.S. Department of Homeland Security and U.S. Immigration & Customs Enforcement (ICE) also encourage the public to report suspected child predators and any suspicious activity through its toll-free hotline at (866) 347-2423. Investigators are available at all hours to answer hotline calls. Tips or other information can also be submitted to ICE online by visiting their website at www.ice.gov/exec/forms/hsi-tips/tips.asp or through the Operation Predator smartphone application www.ice.gov/predator/smartphone-app. Tips may be submitted anonymously.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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Honduran National Pleads Guilty and is Sentenced for Returning to U.S. after RemovalRead the Press Release
PORTLAND, Maine: A Honduran national was sentenced today in federal court in Portland for being found in the United States after removal, U.S. Attorney Halsey B. Frank announced.
Following the acceptance of his plea, U.S. District Judge D. Brock Hornby sentenced Angel Isaula, 67, to time served (approximately three months).
According to court records, on January 7, 2020, U.S. Border Patrol agents stopped a van in Turner, Maine. Isaula, who was inside the van, told the agents that he was in the U.S. illegally, after having been removed on two prior occasions. Immigration records showed that he had been removed from the U.S. in September 2013 and again in June 2014.
The U.S. Border Patrol investigated the case.
Georgia resident arrested for selling illegal products claiming to protect against virusesRead the Press Release
ATLANTA - Rong Sun, a/k/a Vicky Sun made her initial appearance on federal charges of illegally selling an unregistered pesticide, illegally importing the unregistered pesticide, and mailing a prohibited article. Sun was charged with a criminal complaint filed by the U.S. Attorney’s Office on April 8, 2020.
“The defendant took advantage of the current worldwide crisis to sell an illegal product with the claim that it protects individuals from viruses,” said U.S. Attorney Byung J. “BJay” Pak. “We will take quick action through the Georgia COVID-19 Task Force to put a stop to criminals preying on the public with Coronavirus-related fraud schemes.”
“In an event of this magnitude, the public needs facts, not fiction, on the best ways to protect themselves from viruses,” said Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division. “We must all remain vigilant against unsubstantiated or false claims that products ward off viruses. Those marketing such illegal products should beware they may end up on the radar of federal investigators, and be vigorously prosecuted.”
“Reliance on fraudulent products may increase the spread of COVID-19 and exacerbate the current public health emergency,” said Environmental Protection Agency (EPA) Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine. “EPA and our law enforcement partners are working hard to keep these illegal products off the shelves, off the internet, and out of this country. We ask American consumers to help by checking the list of approved products found at epa.gov/coronavirus before making any purchases.”
“The sale of this product not only violates several federal laws, it also gives people a false hope. During a global crisis, like we are experiencing right now, it is incredibly dangerous and reckless to exploit people’s fear for profit,” said acting Special Agent in Charge Robert Hammer, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “HSI Atlanta, in conjunction with our law enforcement partners, will continue to prioritize our efforts to protect Americans from COVID-19 fraud.”
“The U.S. Postal Inspection Service will pursue those individuals that are illegally utilizing the mail system to defraud victims during this coronavirus pandemic,” said Tommy D. Coke, Inspector in Charge of the Atlanta Division. “With the collaborative investigative efforts of our law enforcement partners, we remain resolute to pursue and bring to justice any criminals involved in these deceptive schemes.”
According to U.S. Attorney Pak, the charges, and other information presented in court: The defendant allegedly sold an unregistered pesticide, Toamit Virus Shut Out, through eBay, claiming that it would help protect individuals from viruses. The pesticide was marketed as “Virus Shut Out” and “Stop The Virus.” As shown below, the eBay listing depicted the removal of viruses by wearing the “Virus Shut Out” and “Stop The Virus” product.
Additionally, the listing stated that “its main ingredient is ClO2, which is a new generation of widely effective and powerful fungicide recognized internationally at present. Bacteria and viruses can be lifted up within one meter of the wearer’s body, just like a portable air cleaner with its own protective cover.” It also stated that “In extraordinary times, access to public places and confined spaces will be protected by one more layer and have one more layer of safety protection effect, thus reducing the risks and probability of infection and transmission.”
The listing further claimed that Toamit is “office and home essential during viral infections reduce transmission risk by 90%.”
The Federal Insecticide, Fungicide and Rodenticide Act, FIFRA, regulates the production, sale, distribution and use of pesticides in the United States. A pesticide is any substance intended for preventing, destroying, repelling, or mitigating any pest. The term “pest” includes viruses. Pesticides are required to be registered with the EPA. Toamit Virus Shut Out was not registered and it is illegal to distribute or sell unregistered pesticides. In addition, Sun allegedly imported the pesticide from Japan, violating the anti-smuggling law and then sent it via U.S. Postal Service priority mail.
The EPA has taken steps to block importing of Toamit Virus Shut Out and its sale within the United States: https://www.epa.gov/newsreleases/epa-administrator-wheeler-talks-retailers-and-third-party-marketplace-platforms-discuss and https://www.epa.gov/newsreleases/us-epa-acts-protect-public-unregistered-virus-shut-out-product-imported-honolulu-and.
Rong Sun, a/k/a Vicky Sun, 34, of Fayetteville, Georgia, made her initial appearance before U.S. Magistrate Judge Alan J. Baverman. Members of the public are reminded that the complaint only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The Environmental Protection Agency-Criminal Investigation Division, Homeland Security Investigations, and U.S. Postal Inspection Service are investigating this case.
Assistant U.S. Attorney Christopher J. Huber, Deputy Chief Complex Frauds, and Senior Counsel Krishna Dighe of the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division are prosecuting the case.
The public is urged to report suspected fraud schemes related to COVID-19 (the Coronavirus) by calling the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or by e-mailing the NCDF at [email protected].
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Georgia Resident Arrested for Selling Illegal Products Claiming to Protect Against VirusesRead the Press Release
A Georgia resident made her initial appearance on federal charges of illegally importing and selling an unregistered pesticide, Toamit Virus Shut Out, through eBay, claiming that it would help protect individuals from viruses.
Rong Sun, aka Vicky Sun, 34, of Fayetteville, Georgia, was charged with a criminal complaint filed by the U.S. Attorney’s Office on April 8, 2020, and made her initial appearance today before U.S. Magistrate Judge Alan J. Baverman.
“In an event of this magnitude, the public needs facts, not fiction, on the best ways to protect themselves from viruses,” said Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division. “We must all remain vigilant against unsubstantiated or false claims that products ward off viruses. Those marketing such illegal products should beware they may end up on the radar of federal investigators, and be vigorously prosecuted.”
“The defendant took advantage of the current worldwide crisis to sell an illegal product with the claim that it protects individuals from viruses,” said U.S. Attorney Byung J. “BJay” Pak of the Northern District of Georgia. “We will take quick action through the Georgia COVID-19 Task Force to put a stop to criminals preying on the public with Coronavirus-related fraud schemes.”
“Reliance on fraudulent products may increase the spread of COVID-19 and exacerbate the current public health emergency,” said Environmental Protection Agency (EPA) Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine. “EPA and our law enforcement partners are working hard to keep these illegal products off the shelves, off the internet, and out of this country. We ask American consumers to help by checking the list of approved products found at epa.gov/coronavirus before making any purchases.”
“The sale of this product not only violates several federal laws, it also gives people a false hope. During a global crisis, like we are experiencing right now, it is incredibly dangerous and reckless to exploit people’s fear for profit,” said U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) acting Special Agent in Charge Robert Hammer, who oversees operations in Georgia and Alabama. “HSI Atlanta, in conjunction with our law enforcement partners, will continue to prioritize our efforts to protect Americans from COVID-19 fraud.”
“The U.S. Postal Inspection Service will pursue those individuals that are illegally utilizing the mail system to defraud victims during this coronavirus pandemic,” said Tommy D. Coke, Inspector in Charge of the Atlanta Division. “With the collaborative investigative efforts of our law enforcement partners, we remain resolute to pursue and bring to justice any criminals involved in these deceptive schemes.”
According to the charges, the defendant sold an unregistered pesticide, Toamit Virus Shut Out, through eBay, claiming that it would help protect individuals from viruses. The pesticide was marketed as “Virus Shut Out” and “Stop The Virus.”
Additionally, the listing stated that “its main ingredient is ClO2, which is a new generation of widely effective and powerful fungicide recognized internationally at present. Bacteria and viruses can be lifted up within one meter of the wearer’s body, just like a portable air cleaner with its own protective cover.” It also stated that “In extraordinary times, access to public places and confined spaces will be protected by one more layer and have one more layer of safety protection effect, thus reducing the risks and probability of infection and transmission.”
The listing further claimed that Toamit is “office and home essential during viral infections reduce transmission risk by 90%.”
The Federal Insecticide, Fungicide and Rodenticide Act, FIFRA, regulates the production, sale, distribution and use of pesticides in the United States. A pesticide is any substance intended for preventing, destroying, repelling, or mitigating any pest. The term “pest” includes viruses. Pesticides are required to be registered with the EPA. Toamit Virus Shut Out was not registered and it is illegal to distribute or sell unregistered pesticides. In addition, Sun allegedly imported the pesticide from Japan, violating the anti-smuggling law and then sent it via U.S. Postal Service priority mail.
The EPA has taken steps to block importing of Toamit Virus Shut Out and its sale within the United States: https://www.epa.gov/newsreleases/epa-administrator-wheeler-talks-retailers-and-third-party-marketplace-platforms-discuss and https://www.epa.gov/newsreleases/us-epa-acts-protect-public-unregistered-virus-shut-out-product-imported-honolulu-and.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The EPA-Criminal Investigation Division, HSI, and U.S. Postal Inspection Service are investigating this case.
Senior Counsel Krishna Dighe of the Environment and Natural Resources Division’s Environmental Crimes Section and Assistant U.S. Attorney Christopher J. Huber, Deputy Chief Complex Frauds are prosecuting the case.
The public is urged to report suspected fraud schemes related to COVID-19 (the Coronavirus) by calling the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or by e-mailing the NCDF at [email protected].
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Executive Branch Agencies Recommend the FCC Revoke and Terminate China Telecom’s Authorizations to Provide International Telecommunications Services in the United StatesRead the Press Release
Today, interested Executive Branch agencies[1] unanimously recommended that the Federal Communications Commission (FCC) revoke and terminate China Telecom (Americas) Corp.’s authorizations to provide international telecommunications services to and from the United States. China Telecom is the U.S. subsidiary of a People’s Republic of China (PRC) state-owned telecommunications company.
The Department of Justice led the review of China Telecom’s authorizations, and it based the recommendation on developments since the authorizations were last transferred in 2007, including China Telecom’s failure to comply with the terms of an existing agreement with the Department.
“Today, more than ever, the life of the nation and its people runs on our telecommunications networks,” said John C. Demers, Assistant Attorney General for National Security. “The security of our government and professional communications, as well as of our most private data, depends on our use of trusted partners from nations that share our values and our aspirations for humanity. Today’s action is but our next step in ensuring the integrity of America’s telecommunications systems.”
In its recommendation, the Executive Branch agencies identified substantial and unacceptable national security and law enforcement risks associated with China Telecom’s operations, which render the FCC authorizations inconsistent with the public interest. More specifically the recommendation was based on:
- the evolving national security environment since 2007 and increased knowledge of the PRC’s role in malicious cyber activity targeting the United States;
- concerns that China Telecom is vulnerable to exploitation, influence, and control by the PRC government;
- inaccurate statements by China Telecom to U.S. government authorities about where China Telecom stored its U.S. records, raising questions about who has access to those records;
- inaccurate public representations by China Telecom concerning its cybersecurity practices, which raise questions about China Telecom’s compliance with federal and state cybersecurity and privacy laws; and
- the nature of China Telecom’s U.S. operations, which provide opportunities for PRC state-actors to engage in malicious cyber activity enabling economic espionage and disruption and misrouting of U.S. communications.
Some of the foregoing relate to China Telecom’s failure to comply with a 2007 Letter of Assurance, which was a basis for the existing FCC authorizations. The Department’s National Security Division, Foreign Investment Review Section, identified those compliance issues through its mitigation monitoring program. As a result, the Executive Branch agencies concluded that the national security and law enforcement risks associated with China Telecom’s international Section 214 authorizations could not be mitigated by additional mitigation terms.
More information concerning the Executive Branch agencies’ recommendation is available on the FCC’s International Bureau Filing System (IBFS), under Docket Number ITC-T/C-20070725-00285. The Department of Commerce’s National Telecommunications and Information Administration filed the recommendation on behalf of the Executive Branch agencies.
The Department is committed to working with industry to ensure that critical business needs are considered and addressed in a manner that is consistent with the United States’ national security and law enforcement interests. This action was taken under the legacy, ad hoc arrangement of the Departments of Justice, Defense, and Homeland Security, formerly known as Team Telecom, the operation of which was recently formalized by Executive Order dated April 4, 2020, establishing the Committee for the Assessment of Foreign Participation in the United States Telecommunications Services Sector. Applications referred by the FCC after the date of the Executive Order will be handled under the process outlined therein.
[1] For purposes of the recommendation, the Executive Branch agencies included the Departments of Justice, Homeland Security, Defense, State, Commerce, and the United States Trade Representative.
Darknet Vendor Arrested on Distribution and Money Laundering ChargesRead the Press Release
ALEXANDRIA, Va. – A Maryland man was arrested today on charges related to his alleged unlawful distribution of medications through the Darknet, and money laundering involving Bitcoin.
According to court documents, William Anderson Burgamy IV, 32, of Hanover, recently posted on his Darknet market vendor page: “Even with Corona Virus [sic] the shop is running at full speed.”
“I want to offer thanks and praise to our local law enforcement partners for moving forward with this public safety investigation amidst the COVID-19 pandemic,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The selflessness and bravery being exercised by our law enforcement partners every day, but especially now, deserves broad public recognition and thanks.”
Burgamy, who is not a pharmacist, has allegedly illegally operated as the Darknet vendor NeverPressedRX (NPRX) since at least August 2019. The NPRX vendor store claimed to sell authentic medications, including prescription opioids, sourced from United States pharmacies. NPRX had thousands of recorded sales on a major Darknet market. Burgamy allegedly laundered the proceeds of his criminal activity by cashing out his Bitcoin cryptocurrency drug payments into United States dollars and moving the funds through a variety of accounts, including his business bank accounts, in an effort to conceal and disguise the nature and source of his illicit proceeds.
According to court documents, law enforcement, in coordination with the U.S. Attorney’s Office, conducted online undercover operations targeting NPRX. Since January, undercover federal agents made numerous purchases of medications, including prescription opioids, from Burgamy’s NPRX Darknet account. After identifying Burgamy, investigators surveilled him as he conducted numerous trips to local post offices, where he allegedly mailed prescription drugs to various Darknet buyers, including to the undercover federal agents in the Eastern District of Virginia.
During the execution of a search warrant inside Burgamy’s residence, law enforcement discovered what appeared to be thousands of prescription opioid pills and at least eight firearms, including two loaded AR-15 assault rifles.
Burgamy is charged with distribution of controlled substances and money laundering, and faces a maximum penalty of 40 years in prison if convicted. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kevin Vorndran, Acting Special Agent in Charge of the FBI's Washington Field Criminal Division; Mark S. McCormack, Special Agent in Charge, FDA Office of Criminal Investigations, Metro Washington Field Office; Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement. The FBI's Baltimore Field Office and the Anne Arundel County Police Department assisted in executing the arrest. Assistant U.S. Attorney Raj Parekh is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-mj-130.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.
Criminal Street Gang Prosecutor Joins U.S. Attorney's OfficeRead the Press Release
MACON, Ga. – The former Gwinnett County Managing Assistant District Attorney (ADA), Michael Morrison, was sworn-in as an Assistant U.S. Attorney (AUSA) for the Middle District of Georgia, said Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia. The swearing-in occurred on Monday, April 6, 2020 and was conducted remotely by phone due to social distancing restrictions in place since the outbreak of Coronavirus (COVID-19).
Mr. Morrison earned both his undergraduate and juris doctorate degrees from Georgia State University. Since 2008, he has served as a prosecutor in the Gwinnett County District Attorney’s Office, supervising the Gwinnett Drug & Gang Task Force. Mr. Morrison has a strong track record trying complex, large-scale drug trafficking and violent criminal street gang cases. Most recently, Mr. Morrison was nominated, along with members of the FBI-Atlanta Gang Unit, for a 2019 FBI Director’s Award for his role as the lead prosecutor in the state murder trial of Nine Trey Gangster Bloods leader Gordon Evans, and was nominated for a separate award, along with members of the Atlanta-Carolinas High Intensity Drug Trafficking Areas (HIDTA) drug task force, for his role as the lead prosecutor in a lengthy wiretap investigation targeting an Atlanta-based cell of the notorious Cartel De Jalisco Nueva Generacion, better known as CJNG.
“Mike is one of the most effective criminal street gang and drug trafficking prosecutors in the state, known for his expertise handling complex cases against dangerous individuals,” said U.S. Attorney Charlie Peeler. “We are working tirelessly alongside our law enforcement partners to crack down on violent gang and drug activity across the Middle District. Mike strengthens this effort, and we are extremely pleased to have him on our team.”
Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Cortland County Man Pleads Guilty to Child Sexual Exploitation CrimesRead the Press Release
SYRACUSE, NEW YORK – Christopher M. Perry, 36, of Cortland, New York, pled guilty today to a two-count information charging that he, together with Sarah R. Gates, conspired to sexually exploit, and sexually exploited, a child under five years of age for the purpose of producing images of the abuse.
The announcement was made by the United States Attorney Grant C. Jaquith and Kevin M. Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
As part of his guilty plea, Perry admitted that on several occasions in 2017, he and Sarah R. Gates performed sexual acts on the child while taking photographs of the abuse, using two cell phones.
Sarah R. Gates is charged by complaint with the same offenses, which are merely accusations, and she is presumed innocent unless and until proven guilty.
Senior United States District Judge Thomas J. McAvoy will sentence Perry on August 18, 2020. Each of the three crimes to which Christopher M. Perry pled guilty carries a mandatory minimum sentence of 15 years, and a maximum sentence of 30 years in prison, a fine of up to $250,000.00, and a term of post-imprisonment supervised release of at least 5 years and up to life. He will also be required to register as a sex offender. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. Sentences of imprisonment may be concurrent or consecutive at the discretion of the Court.
This case is being investigated by the U.S. Department of Homeland Security, Homeland Security Investigations (HSI), the City of Cortland Police Department, and the New York State Police-Computer Crimes Unit, and is being prosecuted by Assistant U.S. Attorney Sahar L. Amandolare.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Wednesday 8 April 2020
We’re Americans. We’ll beat this.Read the Press Release
It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness….” This is not just the first line of the novel, Tale of Two Cities by Charles Dickens, it is a good description of our current times.
The “worst” of times is easily understood. Anytime the word “pandemic” is used in everyday conversation, it is a concern. Disbelief remains the most common reaction to what we have all been going through. The current pandemic is a generational changing event that we won’t forget but from which we will hopefully learn a great deal and be better and more prepared in the future because of it.
The “best” of times can also be seen, if you choose to look. Families are spending more time together. We are concerned for each other. We are helping each other. We are learning to appreciate the little things, and even more importantly, we are appreciating people who we often overlook during other “normal” times.
We now see how critically we depend on our health care workers. They are devoted, brave and inspirational people. I expect we will have a new appreciation for them if we don’t already. In my role as the chief federal law enforcement officer for the Northern District of West Virginia, I get the privilege of working with first responders, particularly law enforcement. Those individuals are still out there every day, every hour, and every minute. Our heroes are not on television shows or sporting events. Our heroes are in our communities protecting us, feeding and teaching our kids, stocking our grocery shelves, and assuring our basic services remain intact.
I live in Berkeley County, which is one of the more heavily affected counties in our state. Yet, on my few trips to my grocery store, there was no panic. People were staying apart. There was genuine concern and kindness being exhibited. I was encouraged by what I saw.
I am blessed to work with amazing professionals. There will still be prosecutions, arrests, and court proceedings, albeit under different conditions. We are on the lookout for those trying to take advantage of the public through fraud. We are seeing evidence of fraud in West Virginia and we have joined forces with our state and federal colleagues to find it, stop it, and prosecute it. Crisis always attracts those who prey on the anxiety and fear of others. But, we need your help. The public needs to report individuals trying to price gouge, those promising early government checks or the “magical” cure for the virus to law enforcement.
If you think you are a victim of a scam or attempted fraud involving COVID-19, contact the National Center for Disaster Fraud Hotline at 866-720-5721 or via email at [email protected]
I am confident that we will come through this crisis stronger than we were, more appreciative than we were, and closer than we were. We live in the greatest of countries and our history has demonstrated time and again that we will rise to the occasion and be better for it.
-U.S. Attorney Bill Powell, Northern District of West Virginia
United States Attorney Michael Bailey and Arizona Attorney General Mark Brnovich Launch Covid-19 Fraud Task ForceRead the Press Release
PHOENIX, Ariz. – United States Attorney Michael Bailey and Arizona Attorney General Mark Brnovich today launched a joint federal, state, and local task force to combat coronavirus-related fraud.
The COVID-19 Fraud Task Force brings together a dozen partners from across the state, with the goal of combining resources and information to better investigate and prosecute wrongdoers that seek to profit from the public health crisis. The mission of the Task Force is to streamline the government’s response to reports of fraud related to COVID-19 in Arizona. By working together across all levels of government, the Task Force will ensure that cases are investigated promptly and brought to the appropriate prosecuting entity. In the midst of the current crisis, members of the Task Force will work together, share information, and better protect Arizona citizens by ensuring that all scams are investigated and those responsible are held to account.
“In times of crisis, the best of humanity is often evident as people support one another and unite together to fight a common enemy. We see that in today’s stories about our health care workers, our first responders, and our communities sacrificing safety and comfort to protect one another,” said United States Attorney Michael Bailey. “Unfortunately crisis can also be a time when the worst parts of humanity surface. This Task Force will seek out and punish scam artists who prey on the fear and uncertainty of our citizens during this public health crisis.”
Assistant United States Attorney Jim Knapp, recently appointed as the United States Attorney’s Office COVID-19 Fraud Coordinator, and Joseph Sciarrotta, Civil Division Chief for the Attorney General’s Office, are leading the Arizona COVID-19 Fraud Task Force. Other members include: Maricopa County Attorney’s Office, the Federal Bureau of Investigation, the Food and Drug Administration, the Internal Revenue Service Investigation Division, Health and Human Services, the United States Postal Inspection Service, the Treasury Inspector General for Tax Administration, the United States Secret Service, the United States Army Criminal Investigation Division, and the Defense Criminal Investigative Services.
"It’s not surprising con artists are taking advantage of headlines and exploiting COVID-19 concerns and anxieties of consumers," said Attorney General Mark Brnovich. "The Attorney General’s Office is here to serve Arizonans and is working around the clock to combat fraud, but we can't do it alone. The launch of this new COVID-19 Task Force with our federal and local partners will maximize our resources and help ensure we are prepared to combat new and evolving consumer threats."
"The FBI is proud to be a member of Arizona's COVID-19 Fraud Task Force," said Sean Kaul, Special Agent in Charge of the FBI Phoenix Field Office. "We are committed to aggressively pursuing bad actors who are utilizing the COVID-19 pandemic to commit cyber, financial, and healthcare fraud, including withholding critical supplies from our citizens, healthcare workers, and first responders."
In recent weeks, stories of fraud related to the coronavirus have increased across the nation. In times of uncertainty, consumers are often more vulnerable to scams as they seek answers and a sense of security. Fake texts, emails, and social media posts that might normally be ignored may now be enticing if they offer COVID-19 tests, miracle cures, medical products, or financial windfall.
On April 6, the Federal Trade Commission reported that it had received almost 12,000 consumer complaints related to COVID-19 in just three months. Well over half of those complaints were fraud-related, with a total loss to consumers of $8.39 million.
The Arizona Attorney General’s Office has also experienced a spike in COVID-19-related consumer fraud complaints. The office already sent cease-and-desist letters to local businesses (YiLo Superstore Dispensary and Prepper’s Discount) that were offering COVID-19-related products alleged to be in violation of the Arizona Consumer Fraud Act. To help keep Arizonans informed of the latest scams and to provide tips to consumers, the Attorney General’s Office recently launched a COVID-19 scam information page: www.AZAG.gov/COVID-19.
In light of these reports, United States Attorney Bailey and Attorney General Brnovich urge all Arizonans to be on alert for scam artists. Be smart and consider the following to protect yourself from COVID-19 fraud:
- Do not respond to texts, emails, or calls requesting your personal information in exchange for a COVID-19 stimulus check. If you receive one of these requests, immediately report it to the hotline. COVID-19 economic impact checks will be delivered based on 2018 or 2019 tax return information, so no action is required for most people.
- Ignore offers for a COVID-19 vaccine, cure, or treatment. Remember, if there is a medical breakthrough, you won’t hear about it for the first time through an email, online ad, or unsolicited sales pitch.
- Research any charities or crowdfunding sites soliciting donations in connection with COVID-19 before giving. An organization may not be legitimate even if it uses words like “CDC” or “government” in its name.
- Be cautious of purchasing personal protective equipment (PPE) from unknown third party vendors. Verify that the company is legitimate before ordering their products or sending money.
- Never click on a link or open an email attachment from an unknown or unverified source. Links and attachments may be embedded with a virus that will infect your computer or mobile device. To better protect yourself against malware, make sure your anti-virus software is operating and up-to-date.
- Do not be convinced by sales pitches for COVID-19 tests that promise to give results in as little as 24 hours. If an effective, quick-results test becomes widely available, you will find out through news sources and government reporting, not a sales pitch.
If you believe you have been a target of a coronavirus-related scam, or know someone else who has been, please report the fraud. Reports can be made to the Task Force at:
- National Center for Disaster Fraud Hotline: 1-800-720-5721 or [email protected]
- Arizona Attorney General’s Office: www.AZAG.gov/complaints/consumer
- FBI’s IC3 (for internet related scams): www.IC3.gov
RELEASE NUMBER: 2020-044_Coronavirus Task Force Launch
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.- Do not respond to texts, emails, or calls requesting your personal information in exchange for a COVID-19 stimulus check. If you receive one of these requests, immediately report it to the hotline. COVID-19 economic impact checks will be delivered based on 2018 or 2019 tax return information, so no action is required for most people.
U.S. Attorney seeks help from hospitals to report hoarding and price-gouging of medical suppliesRead the Press Release
U.S. Attorney Justin Herdman sent a letter to Northern Ohio hospitals today encouraging employees and medical professionals to report individuals and companies that may be acquiring or selling medical supplies for the purpose of price-gouging or hoarding.
“Our office is prioritizing the deterrence, investigation, and prosecution of wrongdoing related to the COVID-19 pandemic—including those engaged in hoarding and/or price-gouging critical medical supplies,” said U.S. Attorney Herdman. “We are asking for your assistance in identifying individuals and companies that may have acquired vital medical supplies in excess of what they would reasonably use, or for the purpose of charging exorbitant prices. These practices are not only morally repugnant in light of the pandemic we are facing, but also, if left unchecked, can inhibit hospitals, physicians and other health care professionals, governmental agencies, and the public from fully implementing measures designed to save lives and mitigate the spread of the novel coronavirus.”
The letter was sent to various hospitals and healthcare systems in Northern Ohio as part of a coordinated, nationwide effort to combat COVID-19 related fraud. On March 20, Attorney General William Barr directed all 93 U.S. Attorneys to prioritize the investigation and prosecution of COVID-19 fraud.
The U.S. Attorney’s Office encourages the public to report COVID-19 related fraud to the National Center for Disaster Fraud (NCDF) hotline at 1-866-720-5721 or email tips to the Northern District office at [email protected].
Read U.S. Attorney Herdman's letter to hospital leadership below.
US Attorney Herdman's letter to hospital systems.pdfU.S. Attorney and IRS Warn of Potential Fraud and Schemes in Wake of Economic Impact PaymentsRead the Press Release
U.S. Attorney Brandon J. Fremin of the Middle District of Louisiana, who also serves as the Executive Director of the National Center for Disaster Fraud (NCDF), again urges the public to be vigilant of potential fraud and schemes relating to the Internal Revenue Service COVID-19 economic impact payments, which will soon be disbursed.
U.S. Attorney Fremin stated, “Criminals constantly look for opportunities to take advantage of unsuspecting victims and this pandemic is a perfect example of such opportunity. My office, along with the IRS, urge the public to continue using extreme caution when responding to unsolicited phone calls, emails, and text messages that appear to come from the IRS attempting to elicit your personal identifying information or financial information. I strongly encourage the public to report suspected coronavirus-related waste, fraud, abuse or allegations of criminal conduct by contacting the NCDF.”
The IRS recently reminded taxpayers of approaches scammers may use:
- Emphasize the words “Stimulus Check” or “Stimulus Payment.” The official term is economic impact payment.
- Ask the taxpayer to sign over their economic impact payment check to them.
- Ask by phone, email, text or social media for verification of personal and/or banking information saying that the information is needed to receive or speed up their economic impact payment.
- Suggest that they can get a tax refund or economic impact payment faster by working on the taxpayer’s behalf. This scam could be conducted by social media or even in person.
- Mail the taxpayer a bogus check, perhaps in an odd amount, then tell the taxpayer to call a number or verify information online in order to cash it.
For more information, visit the IRS website at www.irs.gov/coronavirus.
To report suspected fraud related to COVID-19, please contact the National Center for Disaster Fraud by calling 1-866-720-5721 or sending an e-mail to [email protected].
Two Aliens Indicted on Illegal Reentry ChargesRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina announces that a federal grand jury in Raleigh has returned indictments charging JEOVANY AMILCAR RIBAS-NAVARETE, age 40, of El Salvador, and LEONEL AGUIRRE-GIRON, age 36, of Mexico, with Illegal Reentry of a Deported Alien.
If convicted of illegal reentry, RIBAS-NAVARETE, previously deported and found in Wake County, would face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
AGUIRRE-GIRON, previously deported twice and found in Sampson County, is alleged to have been previously deported subsequent to a felony conviction for illegal reentry of a deported alien in the Southern District of Texas. Therefore, if convicted, he would face maximum penalties of ten years imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
ICE’s Enforcement and Removal Operations and Homeland Security Investigations are investigating the cases.
***
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Three Men Sentenced to Two Years’ Federal Prison Apiece for Parking Lot Beating and TheftRead the Press Release
Three men who assaulted two other men in February 2020 were sentenced on April 6, 2020, to two years apiece in federal prison.
Lashaun Perry, age 43, Maurice Bivens, age 40, both of Cedar Rapids, Iowa, and Montrivel Woods, age 42, from Ely, Iowa, received the prison terms on April 6, 2020, after an evidentiary hearing held on February 25, 2020.
Evidence at the hearing showed that in the early morning hours of February 2, 2020, Perry, Bivens, and Woods got into an altercation with some other men outside The Lumberyard, a strip club in Cedar Rapids. The altercation was broken up and the other men drove from the scene to a nearby parking lot. There, one of the men got out of their car and retrieved a propane tank from a gas grill in the parking lot. That individual took the propane tank to the street where the car in which Perry, Bivens, Woods, and Brian Turner was driving by. Surveillance video showed the man running back into the parking lot without the propane tank, followed shortly by Bivens, Turner, Woods, and Perry. A brawl then ensued with Bivens, Woods, Perry, and Turner fighting the man who took the propane tank and another man. During the melee, one of the other men was knocked to the ground, at which time Perry stomped and kicked his head while Bivens was holding him. Perry, Bivens, and Woods then pursued the other man to a corner of the parking lot, where Perry punched him twice in the head, knocking him unconscious. That man suffered a concussion and significant bleeding from the back of his head.
After the man was unconscious on the ground, Bivens approached the man, took his cell phone from his pocket, and smashed it on the ground. Woods and Turner then approached the man and took his cash, cigarettes, and shoes.
At the time of the fight, Perry, Woods, and Bivens were all on supervised release for prior federal convictions. Woods was convicted in 2007 of conspiring to distribute crack cocaine. Bivens was convicted in 2008 of possession with intent to distribute crack cocaine. Perry was convicted in 2013 of being a felon in possession of a firearm.
Perry, Bivens, and Woods were sentenced in Cedar Rapids by United States District Court Judge Linda R. Reade. Each man was sentenced to 24 months’ imprisonment. There is no parole in the federal system. Each man is being held in the United States Marshal’s custody until he can be transported to a federal prison.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number for Bivens is 07-CR-00095-LRR. The case file number for Woods is 06-CR-00141-LRR. The case file number for Perry is 12-CR-00050-LRR.
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Statement from Assistant Attorney General Makan Delrahim on District Court Decision in U.S. v. Sabre Corp. and Farelogix Inc.Read the Press Release
"At trial, the Antitrust Division argued that Sabre’s acquisition of Farelogix would extinguish a crucial constraint on Sabre’s market power and would result in higher prices and less innovation. While we are disappointed with the court’s decision, we appreciate the court’s thoughtful consideration of this important case. We will closely review the court’s opinion and consider next steps in light of our commitment to preserving competition for the benefit of the American consumer."
St. Petersburg Man Who Threatened to Spread Covid-19 Virus by Spitting and Coughing on Police Officers Charged with Biological Weapons HoaxRead the Press Release
Tampa, Florida– United States Attorney Maria Chapa Lopez announces the filing of a criminal complaint charging James Jamal Curry (31, St. Petersburg) with perpetrating a biological weapons hoax. If convicted, Curry faces up to five years in federal prison.
According to the
complaint , on March 27, 2020, officers from the St. Petersburg Police Department responded to a domestic violence call involving Curry. During Curry’s arrest, he turned to an officer, declared that he was infected with the Coronavirus, and coughed on the officer’s arm.The next day, Curry bonded out of the Pinellas County Jail. On the evening of March 28, 2020, police were again called to the same residence where they encountered Curry and arrested him a second time. During his arrest, Curry spit on an arresting officer multiple times—hitting the officer’s face, nose, and inside her mouth with blood-filled saliva. Curry again claimed to have the Coronavirus, laughed, and announced that he was spreading the virus around.
Law enforcement officers subsequently obtained and executed a search warrant to test Curry for COVID-19. Curry tested negative. Individuals close to Curry and jail personnel reported that Curry had not shown any symptoms of COVID-19.
A criminal complaint is merely a 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.
This case is being investigated by the Federal Bureau of Investigation, with assistance from the St. Petersburg Police Department, the Florida Department of Health, the State Attorney’s Office (Sixth Judicial Circuit), and the Pinellas County Jail. It will be prosecuted by Assistant United States Attorney Frank Murray.
South Florida U.S. Attorney’s Office and IRS-CI Warn Taxpayers Against Fraud Schemes Related to COVID-19 Economic Impact PaymentsRead the Press Release
MIAMI, Florida -- The United States Attorney’s Office for the Southern District of Florida and Internal Revenue Service-Criminal Investigations (IRS-CI), Miami Field Office, are warning taxpayers to be alert about possible scams relating to COVID-19 economic impact payments.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, and Michael J. De Palma, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Miami Field Office, made the announcement today in an effort to prevent taxpayers from falling victim to criminals using the recently approved payments as an opportunity to commit a crime.
COVID-19 economic impact payments are scheduled to be on their way in a matter of weeks. For most Americans, this will be a direct deposit into their bank accounts. For others, it will be through a check that they receive in the mail. Scammers may try to get you to sign over your check to them or get you to “verify” your filing information in order to steal your money. Your personal information could then be used to file false tax returns in an identity theft scheme. Because of this, everyone receiving a COVID-19 economic impact payment is at risk.
Michael J. De Palma, Special Agent in Charge of the IRS-CI Miami Field Office warned, “Even as our Nation is enduring a State of Emergency, criminals will continue to engage in heinous acts to further enrich themselves demonstrating no sympathy by exploiting you during your most difficult circumstance.”
Special Agent in Charge De Palma offers the following information and tips to spot a scam and understand how the COVID-19 related economic impact payments will be issued.
- The IRS will deposit your check into the direct deposit account you previously provided on your tax return (or, in the alternative, send you a paper check).
- The IRS will not call and ask you to verify your payment details. Do not give out your bank account, debit account, or PayPal account information – even if someone claims it’s necessary to get your check. It’s a scam.
- If you receive a call, don’t engage with scammers or thieves, even if you want to tell them that you know it’s a scam, or you think that you can beat them. Just hang up.
- If you receive texts or emails claiming that you can get your money faster by sending personal information or clicking on links, delete them. Don’t click on any links in those emails or texts.
- Reports are also swirling about bogus checks. If you receive a “check” in the mail now, it’s a fraud – it will take the Treasury a few weeks to mail those out. If you receive a “check” for an odd amount (especially one with cents), or a check that requires that you verify the check online or by calling a number, it’s a fraud.
During these unprecedented and uncertain times, our community needs to come together and fight with a purpose. Don’t allow these criminals to victimize you by exploiting your emotions during this crisis. Stay connected and inform your loved ones including your family, friends and neighbors about these scams.
“Fraudsters are constantly on the lookout for new opportunities to swindle innocent people out of their hard-earned money. My Office and other law enforcers are on the lookout too -- for them. We will not tolerate fraudsters taking advantage of South Floridians during the COVID-19 crisis,” said Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida.
“IRS Criminal Investigation will continue to pursue criminals who violate the law and attack our community. IRS-CI will work diligently alongside the Department of Justice and our law enforcement counterparts to identify scams, stop the con-artists in their tracks and bring them to justice.” said Special Agent in Charge De Palma.
For more information, visit the IRS website at www.irs.gov/coronavirus.
To report a COVID-19 fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or sending an email to [email protected].
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls.
Rite Aid to Pay $4.75 Million to Resolve Allegations that it Violated Federal Law in the Sale of Pseudoephedrine TabletsRead the Press Release
ALBANY, NEW YORK – Retail drugstore chain Rite Aid, which operates more than 2,000 pharmacies in 18 states, will pay the United States a $4.75 million penalty to resolve allegations that its employees, in violation of the Controlled Substances Act, recorded false or incomplete information about customers who purchased tens of thousands of products containing pseudoephedrine. Pseudoephedrine, an ingredient found in many cough and cold medicines, is used by some to illegally manufacture the drug methamphetamine.
Grant C. Jaquith, United States Attorney for the Northern District of New York, Richard P. Donoghue, United States Attorney for the Eastern District of New York, Ray Donovan, Special Agent-in-Charge, U.S. Drug Enforcement Administration (DEA), New York Division, and Todd Scott, Special Agent-in-Charge, DEA, Louisville Division, made the announcement.
In order to prevent the illicit use of pseudoephedrine, the Controlled Substances Act requires Rite Aid and other retail sellers to create and maintain a logbook that contains, among other things, the name and address of each customer who makes a purchase of a pseudoephedrine product. In the settlement agreement, Rite Aid admitted that, between August 2009 and January 2014, certain Rite Aid employees entered into Rite Aid’s logbook inaccurate or incomplete name and address information for customers. The United States alleged that this misconduct occurred in connection with tens of thousands of sales during that time period. Shortly after the United States brought these violations to Rite Aid’s attention, the company voluntarily devised and implemented a number of enhancements to its process for sales of pseudoephedrine products to better ensure Rite Aid’s compliance with federal law.
“Rite Aid had a moral and a legal obligation to keep track of its pseudoephedrine sales to help ensure that the regulated drug was purchased for legitimate reasons, and not for the illegal manufacture of methamphetamine,” stated United States Attorney Jaquith. “We are committed to enforcing that obligation with aggressive action and appropriate penalties that also reflect acceptance of responsibility, implementation of compliance measures, and ability to pay.”
“Pseudoephedrine products are regulated under federal law because they have been used in the production of a highly addictive and highly dangerous drug, methamphetamine,” stated United States Attorney Donoghue. “The settlement with Rite Aid sends a clear message to all those engaged in the manufacture, distribution and sale of those products: you must comply with federal laws enacted to prevent the illegal use of your products.”
“Companies that do not comply with the Controlled Substances Act are violating the law,” stated DEA Special Agent-in-Charge Donovan. “Regulatory laws are put in place for a reason – to ensure public health and safety. Companies that turn a blind eye to regulations concerning the purchase of products containing pseudoephedrine enable illicit methamphetamine production. Rite Aid’s disregard to compliance made it personal to us – whose job it is to save lives.”
“What Rite Aid learned today is that no one is above the law, not even large companies,” stated DEA Special Agent-in-Charge Scott. “It is vitally important that pharmacies meet their record-keeping obligations to account for the safe flow of medications, to include pseudoephedrine, which carries the potential for methamphetamine abuse.”
The investigation and settlement were the result of a coordinated effort among the U.S. Attorney’s Office for the Northern District of New York, the U.S. Attorney’s Office for the Eastern District of New York, and DEA. The United States was represented by Assistant U.S. Attorneys Adam J. Katz of the Northern District of New York and Elliot M. Schachner of the Eastern District of New York.
Rite Aid to Pay $4.75 Million to Resolve Allegations That It Violated Federal Law in the Sale of Pseudoephedrine Tablets, Which Can Be Used in the Manufacture of MethamphetamineRead the Press Release
Retail drugstore chain Rite Aid, which operates more than 2,000 pharmacies in 18 states, will pay the United States a $4.75 million penalty to resolve allegations that its employees, in violation of the Controlled Substances Act, recorded false or incomplete information about customers who purchased tens of thousands of products containing pseudoephedrine. Pseudoephedrine, an ingredient found in many cough and cold medicines, is used by some to illegally manufacture the drug methamphetamine.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, Grant C. Jaquith, United States Attorney for the Northern District of New York, Ray Donovan, Special Agent-in-Charge, U.S. Drug Enforcement Administration, New York Division (DEA), and Todd Scott, Special Agent-in-Charge, DEA, Louisville Division, made the announcement.
In order to prevent the illicit use of pseudoephedrine, the Controlled Substances Act requires Rite Aid and other retail sellers to create and maintain a logbook that contains, among other things, the name and address of each the customer who makes a purchase of a pseudoephedrine product. In the settlement agreement, Rite Aid admitted that, between August 2009 and January 2014, certain Rite Aid employees entered into Rite Aid’s logbook inaccurate or incomplete name and address information for customers. The United States alleged that this misconduct occurred in connection with tens of thousands of sales during that time period. Shortly after the United States brought these violations to Rite Aid’s attention, the company voluntarily devised and implemented a number of enhancements to its process for sales of pseudoephedrine products to better ensure Rite Aid’s compliance with federal law.
“Pseudoephedrine products are regulated under federal law because they have been used in the production of a highly addictive and highly dangerous drug, methamphetamine,” stated United States Attorney Donoghue. “The settlement with Rite Aid sends a clear message to all those engaged in the manufacture, distribution and sale of those products: you must comply with federal laws enacted to prevent the illegal use of your products.”
“Rite Aid had a moral and a legal obligation to keep track of its pseudoephedrine sales to help ensure that the regulated drug was purchased for legitimate reasons, and not for the illegal manufacture of methamphetamine,” said United States Attorney Jaquith. “We are committed to enforcing that obligation with aggressive action and appropriate penalties that also reflect acceptance of responsibility, implementation of compliance measures, and ability to pay.”
“Companies that do not comply with the Controlled Substances Act are violating the law,” stated DEA Special Agent-in-Charge Donovan. “Regulatory laws are put in place for a reason – to ensure public health and safety. Companies that turn a blind eye to regulations concerning the purchase of products containing pseudoephedrine enable illicit methamphetamine production. Rite Aid’s disregard to compliance made it personal to us – whose job it is to save lives.”
“What Rite Aid learned today is that no one is above the law, not even large companies,” stated DEA Special Agent-in-Charge Scott. “It is vitally important that pharmacies meet their record-keeping obligations to account for the safe flow of medications, to include pseudoephedrine, which carries the potential for methamphetamine abuse.”
The investigation and settlement were the result of a coordinated effort among the U.S. Attorney’s Office for the Eastern District of New York, the U.S. Attorney’s Office for the Northern District of New York, and DEA. The United States was represented by Assistant U.S. Attorneys Elliot M. Schachner of the Eastern District of New York and Adam J. Katz of the Northern District of New York.
Rapid City Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on April 6, 2020, by Chief Judge Roberto A. Lange, U.S. District Court.
Dwight Black Spotted Horse, age 35, was sentenced to 21 months in federal prison, followed by 5 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Black Spotted Horse was indicted by a federal grand jury on September 10, 2019. He pled guilty on January 28, 2020.
Black Spotted Horse was convicted of Sexual Abuse of a Minor in October 2006. As a result of this conviction, he is required to register as a sex offender for his natural lifetime. Between June 16, 2019, and September 10, 2019, Black Spotted Horse failed to properly register and update his registration.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Michael J. Elmore prosecuted the case.
Black Spotted Horse was immediately turned over to the custody of the U.S. Marshals Service.
Parmelee Man Sentenced for Habitual Domestic AssaultRead the Press Release
United States Attorney Ron Parsons announced that a Parmelee, South Dakota, man convicted of Domestic Assault by an Habitual Offender was sentenced on April 6, 2020, by Chief Judge Roberto A. Lange, U.S. District Court.
Adrian Hawkman, age 35, was sentenced to 18 months in federal prison, followed by 3 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Hawkman was indicted by a federal grand jury on June 11, 2019. He pled guilty on January 15, 2020.
The conviction stemmed from an incident that occurred on February 23, 2019, wherein Hawkman assaulted his domestic partner at their home in Parmelee. At the time of this incident, Hawkman had two prior convictions in Rosebud Sioux Tribal Court for Domestic Abuse.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Hawkman was immediately turned over to the custody of the U.S. Marshals Service.
Public Repository of Documents Relating to Practice Fusion, Inc.’s Resolution of Conspiracy and Kickback Charges in Connection with Pharma Co. X Now Available On-LineRead the Press Release
Christina E. Nolan, the United States Attorney for the District of Vermont, announced today that the public document repository required by the January 27, 2020, Deferred Prosecution Agreement (“DPA”) between her office and electronic medical record vendor Practice Fusion, Inc. is now live. The DPA provisionally resolved Practice Fusion’s criminal conspiracy and violation of the Anti-Kickback Statute in connection with soliciting and receiving remuneration from an opioid company (“Pharma Co. X”) in exchange for creating and embedding clinical decision support alerts in Practice Fusion’s health record’s software to influence physician ordering of extended release opioids. Under the terms of the DPA, Practice Fusion is required to host a website containing documents underlying the criminal conduct.
“This first-of-its-kind public document repository is an important component of our resolution with Practice Fusion and provides transparency as to the conduct underlying this resolution,” said Christina E. Nolan, United States Attorney for the District of Vermont. “The public has a right to understand how Practice Fusion promised to use its medical technology in ways commercially favorable to itself and an opioid company.”
The website containing links to over four hundred (400) documents is available at:
https://www.pfdatabasedistrictofvermontsettlement.net/.
Information about the Government’s January 27, 2020 resolution with Practice Fusion, including links to the Government’s Information, DPA, and other court filings, is available at:
https://www.justice.gov/usao-vt/pr/electronic-health-records-vendor-pay-largest-criminal-fine-vermont-history-and-total-145
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150YearsMiddle School Teacher Charged with Exploiting Children on KikRead the Press Release
A Fort Worth middle school teacher has been charged with child exploitation after using a popular chat app to share child pornography, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Stephen Travis Corkill, an 35-year-old seventh grade teacher at Marine Creek Middle School in Fort Worth, was charged via criminal complaint with transporting a depiction of a minor engaged in sexually explicit conduct via interstate commerce. He made his initial appearance before U.S. Magistrate Judge Jeffrey Cureton Wednesday morning.
According to charging documents, Mr. Corkill allegedly used Kik, a messaging app popular among teenagers, to share an explicit image of a young girl.
Kik automatically flagged the image as having a hash value associated with known child pornography, and, after verifying the image was indeed pornography, reported it to law enforcement. Agents then subpoenaed the subscriber information for the IP address associated with the upload, and traced it back to Mr. Corkill.
A search of Mr. Corkill’s residence revealed an iPhone with Kik installed. Under questioning, Mr. Corkill allegedly acknowledged he was the sole owner of the Kik account, which he said he used to view child pornography.
A criminal complaint is merely an allegation of criminal conduct, not evidence. Like all defendants, Mr. Corkill is presumed innocent unless and until proven guilty in a court of law.
If convicted, he faces up to 20 years in federal prison.
Homeland Security Investigations (HSI) conducted the investigation with the assistance of the Flower Mound Police Department, Fort Worth Police Department, and Cedar Hill Police Department. Assistant U.S. Attorney A. Saleem is prosecuting the case.
Mexican man convicted of smuggling half a million dollarsRead the Press Release
McALLEN, Texas – A 35-year-old resident of Mexico City, Mexico, has entered a guilty plea to bulk cash smuggling, announced U.S. Attorney Ryan K. Patrick.
Jorge Alberto Ruiz-Periban evaded a currency reporting requirement in his attempt to conceal $570,247 while trying to take the money into Mexico.
On Jan. 8, Ruiz-Periban entered the southbound inspection lanes in a vehicle at the Anzalduas Port of Entry. Authorities referred him to secondary inspection, at which time he denied possession of $10,000 or more in U.S. currency. However, they located an abnormality in the spare tire of Ruiz-Periban’s vehicle and subsequently discovered $570,247 concealed in it.
At his plea today, Ruiz-Periban admitted he intended to evade the currency reporting requirement and intended to transport the money he hid in the tire from Mission to Mexico.
As part of the terms of the plea agreement, the $570,247 will be forfeited to the United States.
U.S. District Judge Randy Crane will impose sentencing June 16. At that time, Ruiz-Periban faces up to five years in prison and a maximum $250,000 possible fine. He has been and will remain in custody pending that hearing.
Customs and Border Protection and Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Matthew Redavid is prosecuting the case.
Mexican Citizen Sentenced for Illegal Re-entryRead the Press Release
ALBANY, NEW YORK – Simon Pedro Vilchis-Rosas, age 46, who resided in Elmsford, New York, was sentenced today to time served (41 days in jail), for illegal re-entry into the United States.
The announcement was made by United States Attorney Grant C. Jaquith and Thomas E. Feeley, Director of the Buffalo Field Office of Immigration and Customs Enforcement (ICE), Enforcement and Removal Operations (ERO).
As part of his guilty plea, Vilchis-Rosas, a citizen of Mexico, admitted that he was removed from the United States to Mexico on May 6, 2011. Vilchis-Rosas admitted that he returned to the United States following the removal without the necessary government permission. On February 28, 2020, ICE Officers arrested Vilchis-Rosas in Albany.
Vilchis-Rosas was remanded to the custody of the Department of Homeland Security, for removal proceedings.
This case was investigated by ICE-ERO and prosecuted by Assistant U.S. Attorney Edward P. Grogan.
Hundreds of Surgical Masks Stolen by Reno Man from Veterans' Affairs Medical CenterRead the Press Release
RENO, Nev. – Peter Lucas, 35, of Reno, was arrested yesterday and appeared in court today for allegedly stealing hundreds of surgical masks from a supply cart at the Ioannis A. Lougaris VA Medical Center (VA Medical Center) in Reno, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
“Our military veterans served on the front lines to protect our country, and now our health professionals are doing the same in our fight against COVID-19,” said U.S. Attorney Trutanich. “We will not allow the theft of personal protective equipment to go undeterred, endangering the safety of doctors, nurses, and other health professionals protecting our communities.”
Lucas is charged with one count of theft of health care property. He made his initial appearance today before U.S. Magistrate Judge Carla L. Baldwin.
According to the complaint and affidavit, police surveillance cameras at the VA Medical Center depicted that, between March 19 and March 23, 2020, Lucas stole at least four boxes of surgical masks from supply carts in his care, then concealed the boxes under his jacket before exiting the hospital. Each box contained 50 masks.
If convicted, the maximum statutory penalty is one year in prison and a $100,000 fine. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes only. If convicted of any offense, the sentencing of a defendant will be determined by the Court, based on the advisory Sentencing Guidelines and other statutory factors.
A criminal complaint is a formal accusation of criminal conduct for purposes of establishing probable cause, not evidence of guilt. The defendant is presumed innocent unless and until proven guilty in a court of law.
The case is a product of an investigation by the VA Police Department. Assistant U.S. Attorney Peter Walkingshaw is prosecuting this case.
The public is urged to report suspected fraud schemes related to COVID-19 by calling the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or by e-mailing the NCDF at [email protected] or directly to the U.S. Attorney’s Office at [email protected]. For information about the Department of Justice’s efforts to stop COVID-19 fraud, visit www.justice.gov/coronavirus.
For the most up-to-date information on COVID-19, you may visit the Centers for Disease Control and Prevention (CDC) and WHO websites.
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Hartford Men Charged with Selling Fentanyl, CrackRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, and Hartford Police Chief Jason Thody announced that four Hartford residents were arrested today on federal criminal complaints charging them with narcotics distribution offenses. During today’s joint operation, investigators also found and seized 12 firearms.
The following individuals were arrested today:
ANTHONY DONES, also known as “Ant,” 38
JUAN LAUREANO, also known as “Pito,” 40
EDIL RAMOS, also known as “E,” 38
ELIAS GUZMAN, also known as “Bebo” and “Fat Boy,” 28As alleged in court documents and statements made in court, the FBI’s Northern Connecticut Gang Task Force and Hartford Police Department have been investigating drug trafficking and related criminal acts being committed by members and associates of the Los Solidos and Latin Kings street gangs in Hartford’s South End. In recent months, investigators have conducted multiple controlled purchases of fentanyl from Dones and his associate, Laureano, in the vicinity of Dones’ Montrose Street residence; fentanyl and crack cocaine from Ramos at his Wethersfield Avenue residence, and fentanyl and crack cocaine from Guzman on Benton Street.
Dones and Laureano were arrested at Dones’ residence. A search of the residence revealed a loaded .45 caliber pistol and drug packaging material.
A search of Ramos’ residence revealed a loaded 9mm firearm, approximately 1,200 bags of fentanyl, a distribution quantity of crack cocaine and approximately $33,000 in cash.
Guzman was arrested at his residence on Flatbush Avenue.
As part of today’s operation, investigators conducted a court-authorized search of a residence on Franklin Avenue and seized an additional 10 handguns, including several that had been reported stolen.
Dones and Laureano are charged with possession with intent to distribute, and distribution of, fentanyl, and conspiracy to possess with intent to distribute, and distribution, of fentanyl. Ramos and Guzman are charged with possession with intent to distribute, and distribution of, fentanyl and cocaine base (“crack cocaine”).
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the defendants were presented in court via videoconference and were ordered detained pending detention hearings that are scheduled for next week.
“These are difficult times for all of us, and I want to commend the FBI Task Force, Hartford Police Department and all members of law enforcement who, at increased personal risk, are working to keep us safe,” said U.S. Attorney Durham. “In recent months, shootings and fentanyl-related overdose deaths have been on the rise in our capitol city. Disrupting fentanyl trafficking networks and removing illegal guns from the street saves lives and, despite the significant obstacles posed by the COVID-19 pandemic, we continue to actively investigate and intend to aggressively prosecute those whose criminal activities endanger life in our communities.”
“During these challenging times, we continue to work around the clock seven days a week,” said FBI Special Agent in Charge Sundberg.” Today’s arrest and confiscation of guns and narcotics is a direct result of the hard work of local and federal law enforcement working together to reduce gun violence in our communities.”
“I would like to commend the extraordinary work of everyone involved in today’s arrests and seizures,” said Chief Thody. “These law enforcement officers were clearly at an elevated risk today, but still put themselves in harm’s way to make our city a safer place. Along with our federal, state and local partners, we will continue to focus our efforts on those that perpetuate violent behavior.”
U.S. Attorney Durham stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
The FBI’s Northern Connecticut Gang Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.
This case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
Former Navy Civilian Employee Charged with False Statements to Obtain Workers’ CompensationRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, DAVID BURLEY, 67, Bayboro, Nc was named in a Criminal Information filed on April 6, 2020 charging him with False Statement or Fraud to Obtain Federal Employee’s Compensation. If convicted, he faces up to one-year imprisonment, a $100,000 fine, and up to one year supervised release.
The Criminal Information charges BURLEY with failing to report income from 2015-2018 for work he performed in that time.
The Federal Employees Compensation Act (FECA) is part of the Department of Labor (DOL), Office of Workers’ Compensation Programs (OWCP). OWCP monitors the program by mailing an annual self-certification form to a FECA beneficiary that requests information about the beneficiary’s work activities during the past 15 months. The beneficiary is required to certify that the beneficiary’s responses are true, complete and correct. The beneficiary is required to report all employment for which the beneficiary received a salary, wages, income, or payment of any kind. The beneficiary is also required to report all volunteer work, self-employment or involvement in business enterprises, and to report any work or ownership interest in any business enterprise even if the business lost money or profits or income were paid to others.
OWCP uses the employee’s responses to reevaluate, confirm the amount of, or entitlement to, benefits. Recipients of workers’ compensation benefits have an obligation to immediately report any change in employment to OWCP.
The Naval Criminal Investigative Service (NCIS), in conjunction with the Marine Corps Eastern Area Counsel Office and the Department of Labor Office of Inspector General conducted the investigation in this matter.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Federal Complaint Filed Against San Antonio Man for COVID-19-Related HoaxRead the Press Release
In San Antonio, 39-year-old Christopher Charles Perez is charged with allegedly perpetrating a COVID-19-related hoax, announced U.S. Attorney John F. Bash and FBI San Antonio Division Special Agent in Charge Christopher Combs, San Antonio Division.
A federal criminal complaint unsealed today charges Perez with one count of violating 18 U.S.C. § 1038, which criminalizes false information and hoaxes related to weapons of mass destruction. According to the complaint, Perez allegedly posted a threat on Facebook in which he claimed to have paid someone to spread coronavirus at grocery stores in the San Antonio area because he was trying to deter people from visiting the stores, purportedly in order to prevent the spread of the virus. A screenshot of that posted threat was sent by an online tip to the Southwest Texas Fusion Center (SWTFC) on Sunday. The SWTFC contacted the FBI office in San Antonio for further investigation. To be clear, the alleged threat was false; no one spread coronavirus at grocery stores, according to investigators.
Perez, whom FBI agents arrested late yesterday afternoon without incident, faces up to five years in federal prison upon conviction. He remains in federal custody at this time.
The FBI’s Weapons of Mass Destruction Squad and the Joint Terrorism Task Force are investigating this case. Assistant U.S. Attorney Mark Roomberg is prosecuting the case on behalf of the government.
It is important to note that a criminal complaint is merely a charge and should not be considered as evidence of guilt. The defendant is presumed innocent until proven guilty in a court of law.
If you think that you or your family are the victims of a scam or attempted fraud involving coronavirus, you can report it without leaving your home. Please contact the National Center for Disaster Fraud Hotline at 866-720-5721 or by email at [email protected]. If it’s a cyber scam, you may also submit your complaint at www.ic3.gov.
Learn more about coronavirus-related frauds, as well as combatting and reporting the hoarding and price gouging of critical supplies, from the Department of Justice: https://www.justice.gov/coronavirus.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Eagle Butte Man Sentenced for Being a Drug User in Possession of FirearmsRead the Press Release
United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, man convicted of Possession of Firearms by a Drug User was sentenced on April 6, 2020, by Chief Judge Roberto A. Lange, U.S. District Court.
Jason Farlee, age 31, was sentenced to 83 days time served, 2 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100. Four of his firearms were also forfeited due to their involvement in the offense.
Farlee was indicted by a federal grand jury on February 13, 2019. He pled guilty on January 15, 2020.
The conviction stemmed from an incident that occurred on October 8, 2018, in Eagle Butte, wherein Farlee was driving a vehicle which was stopped by the Cheyenne River Sioux Tribe Law Enforcement Services. Farlee advised an officer that he had firearms in the vehicle and later consented to a search. Officers found three rifles, a handgun, and multiple items of drug paraphernalia within reach of the driver’s seat. Farlee’s blood was drawn pursuant to a warrant and found to contain methamphetamine.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Cameron J. Cook prosecuted the case.
Dominican National Sentenced for Aggravated Identity TheftRead the Press Release
BOSTON – A Dominican national previously residing in Lawrence was sentenced today for aggravated identify theft and falsely using a Social Security Number.
Moices Santilit, 63, was sentenced by U.S. District Court Judge Indira Talwani to two years and one day in prison and two years of supervised release. In March 2020, he pleaded guilty to one count of aggravated identity theft and one count of using a Social Security number that is not assigned to him.
In February 2016, Santilit used the Social Security number of a U.S. citizen in order to fraudulently obtain a valid Massachusetts Asbestos Worker Identification card under the victim’s name.
United States Attorney Andrew E. Lelling and Jason Molina, Acting Special Agent in Charge of Homeland Security Investigations in Boston made the announcement today. Assistant U.S. Attorney Eugenia M. Carris of Lelling’s Public Corruption & Special Prosecutions Unit prosecuted the case.
Do Not Fall Victim to a COVID-19 ScamRead the Press Release
The Internal Revenue Service (IRS) will begin to distribute COVID-19 Economic Impact Payments in a matter of weeks. For most Americans, this will be a direct deposit into your bank account. For the unbanked, elderly or other groups that have traditionally received tax refunds via paper check, they will receive their economic impact payments in this manner as well.
With any good news story from the IRS, comes an opportunity for criminals and scammers to take advantage of the American public.
• Scammers may try to get you to sign over your check to them.
• Scammers may use this as an opportunity to get you to “verify” your filing information in order to receive your money, using your personal information to file false tax returns in an identity theft scheme.
Between these two schemes, everyone receiving an economic impact payment is at risk.
The Internal Revenue Service – Criminal Investigation (IRS-CI) is working tirelessly alongside our civil counterparts and law enforcement partners to identify scams and halt wrongdoers from taking advantage of the American people. “Taxpayers should be extra vigilant for unsolicited phone calls or emails concerning their economic impact payments,” said Justin Campbell, Special Agent in Charge of the Seattle Field Office for IRS-CI. “The IRS will not call or email you about your payment. IRS-Criminal Investigation is stepping up our efforts in coordination with the Department of Justice to aggressively investigate anyone that seeks to defraud our community members during this crisis.”
United States Attorney William D. Hyslop stated, “Everyone should be aware and be on alert against people preying on others with these types of fraudulent schemes. Don’t let someone take advantage of you. Report it when they try. The United States Attorney’s Office for the Eastern District of Washington will work closely with IRS-CI and other federal, state, local and tribal law enforcement partners in investigating and prosecuting COVID-19 fraud schemes.”
Top Line Message from the Internal Revenue Service
The IRS will deposit your economic impact payment into the direct deposit account your previously provide on your tax return (or, in the alternative, send you a paper check). The IRS will not call and ask you to verify your payment details. Do not give out your bank account, debit account, or PayPal account information – even if someone claims it is necessary to get your economic impact payment. Beware of this scam.
If you receive a call, do not engage with scammers or thieves. Just hang up. If you receive texts or emails claiming that you can get your money faster by sending personal information or clicking on links, delete them. Do not click on any links in those emails.
Reports are also swirling about bogus checks. If you receive a “check” in the mail now, it’s fraud – it will take the Treasury Department a few weeks to distribute the payments. If you receive a “check” for an odd amount (especially one with cents), or a check that requires that you verify the check online or by calling a number, it’s fraud.
Beware of Scams and Schemes
IRS-Impersonation Telephone Scams
An aggressive and sophisticated phone scam targeting taxpayers, including recent immigrants, have been making the rounds throughout the country. Callers claim to be employees of the IRS, but are not. Victims are told they owe money to the IRS and it must be paid promptly through a pre-loaded debit card or wire transfer. If the victim refuses to cooperate, they are then threatened with arrest, deportation or suspension of a business or driver’s license. Or, victims may be told they have a refund due to try to trick them into sharing private information.
With COVID-19 scams, they may urge you to pay this fake “debt” with your economic impact check. For those who receive an actual check, they may ask you to endorse it and forward to them for “payment of past debts.”
Remember: Scammer Change Tactics – Variations of the IRS impersonation scam continue year-round and they tend to peak when scammers find prime opportunities to strike – like the new economic impact check being sent.
Surge in Email, Phishing and Malware Schemes
Scam emails are designed to trick taxpayers into thinking these are official communications from the IRS, tax industry professionals or tax software companies. These phishing emails ask taxpayers about a wide range of topics – related to refunds, filing status, ordering transcripts, and verifying PIN information – in order to steal your personal information or file tax returns.
When people click on links from these phishing emails, they are taken to sites designed to imitate an official-looking website, such as IRS.gov. The sites may also carry malware, which can infect people’s computers to steal their files or record their keystrokes. Also be aware of email phishing scams that appear to be from the IRS and include a link to a bogus web site intended to mirror the official IRS web site. These emails contain the direction “you are to update your IRS e-file immediately.” The emails mention USA.gov and IRSgov (without a dot between “IRS” and “gov”). Don’t get scammed. These emails are not from the IRS.
Don’t be a victim! Visit www.irs.gov or www.irs.gov/coronavirus
Department of Justice Clears on Google’s Application to the Federal Communications Commission to Operate a Portion of the Pacific Light Cable Network SystemRead the Press Release
Today, the Department of Justice filed a petition with the Federal Communications Commission (FCC) concerning Google LLC’s application to operate a subsea cable.
On behalf of itself as well as the Departments of Homeland Security and Defense, the department advised the FCC that those agencies do not oppose Google LLC’s application (through its subsidiary GU Holdings Inc.) to operate the segment of the Pacific Light Cable Network System connecting the United States to Taiwan for the next six months, pending a final disposition of the license application, so long as that temporary authority is conditioned on certain obligations. Those obligations are set forth in a Provisional National Security Agreement that was executed by GU Holdings Inc. and the foregoing agencies on April 8, 2020. Google applied to the FCC for this operating authority in a Special Temporary Authority on April 2, 2020 (the “STA”).
In its application for the STA, Google emphasized “an immediate need to meet internal demand for capacity between the U.S. and Taiwan” and that without the sought temporary authority Google would likely have to seek alternative capacity at “significantly higher prices.” After discussions with Google representatives, the departments concluded that the obligations undertaken by Google in the Provisional National Security agreement would be sufficient to preserve their abilities to enforce the law, protect national security, and preserve public safety.
Under the terms of the Provisional National Security Agreement, Google has agreed to a range of operational requirements, notice obligations, access and security guarantees, as well as auditing and reporting duties, among others.
The Provisional National Security Agreement also includes a commitment by Google to “pursue diversification of interconnection points in Asia,” as well as to establish network facilities that deliver traffic “as close as practicable” to its ultimate destination. This term reflects the views of the Executive Branch that a direct cable connection between the United States and Hong Kong would pose an unacceptable risk to the national security and law enforcement interests of the United States.
More information concerning the license application and the departments’ response is available here.
The department is committed to working with industry to ensure that critical business needs are considered and addressed in a manner that is consistent with the United States’ national security and law enforcement interests. This action was taken under the legacy, ad hoc arrangement of the departments formerly known as Team Telecom, the operation of which was recently formalized by Executive Order (April 4, 2020), establishing the Committee for the Assessment of Foreign Participation in the United States Telecommunications Services Sector. Applications referred by the FCC after the date of the Executive Order will be handled under the process outlined therein.
Dallas Woman Sentenced via VTC for $1.4 Million Wire FraudRead the Press Release
A Dallas woman was sentenced via video teleconference to 46 months in federal prison for her role in a $1.4 million real estate title insurance scheme, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Hers was the first VTC sentencing hearing in federal court in Dallas since the COVID-19 pandemic broke out.
Constance Marie Kelly, 56, pleaded guilty in November to conspiracy to commit wire fraud. She was sentenced Monday morning by Chief U.S. District Judge Barbara M.G. Lynn, who held the hearing via VTC.
“This defendant, who defrauded her employer out of more than a million dollars, was sentenced via video teleconference,” said U.S. Attorney Erin Nealy Cox. “We are gratified the Court is working with our office to ensure justice marches on, even amidst a pandemic.”
According to plea papers, Ms. Kelly, a former employee of real estate title company American Title, admitted that she and codefendant Leonard James McMorris fraudulently transferred more than $1.4 million from American Title’s escrow accounts into bank accounts belonging to Mr. McMorris. Between 2002 and 2007, Ms. Kelly admitted, she initiated at least 51 wire transfers and wrote 11 checks to fraudulently disburse the money from an American Title account at Compass Bank in Alabama.
Mr. McMorris had previously pleaded guilty to conspiracy to commit wire fraud and was sentenced in November 2016 to 30 months in federal prison.
The defendants are jointly and severally liable for more than $1.4 million in restitution.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. Assistant U.S. Attorney David Jarvis prosecuted the case.
DOJ Agrees to Civil Settlement with Additional Firm Involved in Bid Rigging and Fraud Targeting Defense Department Fuel Supply Contracts for U.S. Military Bases in South KoreaRead the Press Release
South Korea-based company Jier Shin Korea Co. Ltd., and its president, Sang Joo Lee, have agreed to pay $2 million to the United States for civil antitrust and False Claims Act violations for their involvement in a bid-rigging conspiracy that targeted contracts to supply fuel to U.S. military bases in South Korea, the Department of Justice announced today.
The United States previously reached civil settlements totaling over $205 million relating to the conspiracy with GS Caltex Corporation, Hanjin Transportation Co. Ltd., Hyundai Oilbank Co. Ltd., SK Energy Co. Ltd., and S-Oil Corporation. As with the prior civil settlements, this settlement reflects the important role of both Section 4A of the Clayton Act and the False Claims Act to ensure that the United States is compensated when it is the victim of anticompetitive conduct.
“Today’s settlement represents the final chapter of our efforts to use Section 4A of the Clayton Act to ensure that the companies involved in this conspiracy compensate American taxpayers for their anticompetitive activity,” said Assistant Attorney General Makan Delrahim of the Antitrust Division. “Together, these are the largest Section 4A settlements in American history, and we will continue to use this important enforcement tool when taxpayers are harmed by cartels.”
“This is the sixth False Claims Act settlement arising from the bid rigging of contracts to supply fuel to U.S. military bases in South Korea,” said Assistant Attorney General Jody Hunt of the Civil Division. “We will pursue and hold accountable those who seek to defraud the American taxpayers, including those who conspire with others to do so.”
“You will pay the price if you rig bids and especially if you target our military bases while doing so,” said U.S. Attorney David M. DeVillers for the Southern District of Ohio. “Today’s settlement shows that we will not stop until we hold accountable all responsible parties.”
The Department’s Antitrust Division today filed a civil antitrust complaint in the U.S. District Court for the Southern District of Ohio and, at the same time, filed a proposed settlement that, if approved by the court, would resolve the lawsuit against Jier Shin Korea and Mr. Lee for their anticompetitive conduct targeting the U.S. military in South Korea. The proposed settlement requires that Jier Shin Korea and Mr. Lee pay $2 million to the United States to resolve the civil antitrust violations. In addition, Jier Shin Korea and Mr. Lee have agreed to continue to cooperate with the United States’ civil investigations and to abide by an antitrust compliance program. The amount to be paid by Jier Shin Korea and Mr. Lee reflects the value of their cooperation, limitations on their ability to pay, and cost savings realized by avoiding extended litigation. The settlement further provides that the United States, if it discovers any material misrepresentations in the financial statements provided by Jier Shin Korea and Mr. Lee regarding their ability to pay, may recover the full amount by which Jier Shin Korea or Mr. Lee understated that ability.
The payment will also resolve civil claims that the United States has under the False Claims Act against Jier Shin Korea and Mr. Lee for making false statements to the government in connection with their agreement not to compete. The Civil Division has entered into a separate settlement agreement with Jier Shin Korea and Mr. Lee to resolve these claims.
The civil settlement was handled by the Antitrust Division’s Transportation, Energy, and Agriculture Section, by the Civil Division, and by the Civil Fraud Section of the United States Attorney’s Office in the Southern District of Ohio.
The United States’ civil investigation resulted from a whistleblower lawsuit filed under the qui tam provisions of the False Claims Act. Those provisions allow for private parties to sue on behalf of the United States and to share in any recovery.
The proposed civil antitrust settlement, along with the Antitrust Division’s competitive impact statement, will be published in the Federal Register, as required by the Antitrust Procedures and Penalties Act. Any person may submit written comments concerning the proposed settlement within 60 days of its publication to Robert Lepore, Chief, Transportation, Energy, and Agriculture Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street, N.W., Suite 8000, Washington, D.C. 20530. At the conclusion of the 60-day comment period, the court may enter the civil antitrust settlement upon a finding that it serves the public interest.
Tuesday 7 April 2020
Virginia Man Charged with Filing False Loan Application Using Stolen IdentityRead the Press Release
BOSTON – A Virginia man currently on federal supervised release for a previous conviction was charged yesterday in federal court in Worcester in connection with making a false statement on a loan application and aggravated identity theft.
Rashad Al-Terek Walker, 39, of Hampton, Va., was charged with making a false statement on a loan application and aggravated identity theft. Walker was detained following an initial appearance via videoconference.
According to the charging documents, in November 2019, Walker applied for a personal loan in the amount of $16,500 at a Worcester-area credit union using a stolen identity. As part of the loan application, Walker presented a utility bill, paystub and Massachusetts driver’s license using a stolen identity. At the time of the alleged offense, Walker was on supervised release following a conviction in the Eastern District of Virginia for conspiracy to commit bank fraud.
The charge of false information on a loan application provides for a sentence of up to 30 years in prison, three years of supervised release and a fine of $1 million. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutive to any other sentence imposed and one year of supervised release. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of Federal Bureau of Investigation, Boston Field Division; and Worcester Police Chief Steven M. Sargent made the announcement. Assistant U.S. Attorney John T. Mulcahy of Lelling’s Worcester Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
United States Sues Philadelphia Food Distributor for Allegedly Selling Uninspected and Misbranded PoultryRead the Press Release
PHILADELPHIA, PA – United States Attorney William M. McSwain announced today that his office has filed a lawsuit to stop Philadelphia food distributor Kawa Trading, Inc. (“Kawa”), and its president Chui Xun Liu, from continuing to violate federal food safety laws. Kawa’s most recent alleged violations include selling uninspected and misbranded poultry to two restaurants in Delaware and New Jersey.
The Food Safety and Inspection Service (“FSIS”) of the United States Department of Agriculture (“USDA”), is responsible for ensuring that meat, poultry, and egg products in commerce are wholesome, not adulterated, and properly marked, labeled, and packaged. The Poultry Products Inspection Act (“PPIA”) prohibits companies and individuals from selling, transporting, offering for sale or transportation, or receiving for transportation misbranded or uninspected poultry that is capable of use as human food. The Complaint alleges that Kawa received and sold multiple unlabeled and uninspected cases of poultry products in December 2017 and January 2018.
Kawa has a long history of violating the PPIA as well as another federal food safety law—the Federal Meat Inspection Act (“FMIA”), which similarly prohibits the sale or transportation of misbranded or uninspected meat products. Kawa’s violations of both the PPIA and the FMIA date back to 2013, and the USDA has warned Kawa numerous times about its violations.
“Food safety is a critical component of public health,” said U.S. Attorney McSwain. “We will not tolerate violations of federal food safety laws and will work with our partner agency, the USDA, to do all that we can to ensure that businesses safely handle the food we eat.”
“We allege that, despite numerous warnings, the company continued to violate food safety laws,” said FSIS Administrator, Paul Kiecker. “Today’s action shows that FSIS investigators are upholding the Agency’s mission to protect public health and ensure a safe food supply.”
The United States’ lawsuit seeks to permanently enjoin Kawa from committing any further violations of the PPIA or FMIA.
The Complaint filed in this matter contains allegations only; there has been no determination of civil liability.
The case is being litigated by Assistant United States Attorney Stacey L. B. Smith, with assistance from Tracy McGowan, USDA Trial Attorney.
U.S. Attorney’s Office and IRS-Criminal Investigation Warns of Possible Covid-19/Economic Impact Payment ScamsRead the Press Release
New Orleans, Louisiana – The U.S. Attorney’s Office, Eastern District of Louisiana and the Internal Revenue Service –Criminal Investigation (IRS-CI) warned Louisiana taxpayers today to be alert about possible scams relating to COVID-19 economic impact payments.
U.S. Attorney Peter G. Strasser and Demetrius Hardeman, Assistant Special Agent in Charge of the IRS-CI Atlanta Field Office, jointly made the announcement today to prevent taxpayers in need from being victimized by criminals using the recently approved payments as an opportunity to commit a crime.
“During a crisis, criminals do not scale back their efforts to take advantage of unsuspecting citizens; rather, criminals relish the opportunity. The upcoming COVID-19 economic impact payments offers a perfect scenario for scammers to conduct schemes designed to separate personal information -- such as a Social Security number or bank account information -- from members of our community. Scammers will prey on our vulnerabilities. We are strongly encouraging everyone to be wary of potential fraudulent schemes, both before and after the payments arrive, and contact law enforcement to report illicit any activity,” said U.S. Attorney for the Eastern District of Louisiana, Peter G. Strasser.
“This is a time when ruthless criminals might seek to take advantage of this opportunity to prey upon unsuspecting individuals in an effort to line their own pockets by stealing your money or your personal information,” said Demetrius Hardeman, Assistant Special Agent in Charge of the IRS-CI Atlanta Field Office
COVID-19 economic impact payments will be on their way to taxpayers in a matter of weeks. For most Americans, the payment will come in the form of a direct deposit into your bank account. For the unbanked, elderly or other groups who have traditionally received tax refunds via paper check, they will receive their economic impact payment in the same manner as they have received their income tax refund.
Scammers may try to get you to sign over your check to them or use this as an opportunity to get you to “verify” your filing information as a ploy to steal your identity, and then use your personal information at a later date to file fraudulent tax returns. Because of this, everyone receiving money from the government as a result of the COVID-19 economic impact payment is potentially at risk. United States Attorney Peter G. Strasser and Assistant Special Agent in Charge Demetrius Hardeman offer the following information to help taxpayers understand how the COVID-19 related economic impact payments will be issued, as well as offer some helpful tips to arm taxpayers against possible scams and fraud:
- The IRS will deposit your check into the direct deposit account you previously provided on your tax return (or, in the alternative, send you a paper check).
- The IRS will not call and ask you to verify your payment details. Do not give out your bank account, debit account, or PayPal account information - even if someone claims it's necessary to get your check. It's a scam.
- If you receive a call, don't engage with callers/potential scammers or thieves. Just hang up.
- If you receive texts or emails claiming that you can get your money faster by sending personal information or clicking on links, delete them. Don't click on any links in those emails or texts.
Reports are also circulating about bogus checks. If you receive a “check” in the mail now, it’s a fraud - it will take the Treasury a few weeks to get the payment process underway. If you receive a “check” for an odd amount (especially one with cents), or a check that requires that you verify the check online or by calling a number, it’s a fraud.
In these uncertain and trying times, we need to stand together united with purpose. Don’t become a victim by allowing criminals to exploit the current need for economic assistance. Be vigilant about protecting your tax dollars! Stay strong, America; and tell your family, friends and neighbors about these scams.
Report fraud related to the COVID-19 crisis to the National Center for Disaster Fraud (NCDF) hotline at 1-866-720-5721 or email tips to the United States Attorney’s Office at [email protected].
For more information, visit the IRS website at www.irs.gov/coronavirus.
U.S. Attorney Scott Brady and Pennsylvania Attorney General Josh Shapiro Warn Against Zoom-Bombing and Hacking Teleconferences During Coronavirus PandemicRead the Press Release
PITTSBURGH - Scott W. Brady, United States Attorney for the Western District of Pennsylvania, and Pennsylvania Attorney General Josh Shapiro today warned against hacking teleconferences during the coronavirus pandemic. The Western Pennsylvania COVID-19 Task Force will investigate, disrupt and prosecute such hacking.
Many Pennsylvania residents have turned to video-teleconferencing platforms, such as Zoom, to stay connected during the COVID-19 pandemic. Unfortunately, as the FBI has reported, there has been a rise in so-called "Zoom-bombing," or video hacking across the United States, where uninvited hackers disrupt conferences and online classrooms with pornographic images, hate images and/or threatening language. These attacks have also targeted religious communities, minority groups, and vulnerable populations, such as Alcoholics Anonymous meetings. Some hackers have planned coordinated attacks through websites and social media, including Discord and Instagram, in violation of the terms of use. Pennsylvanians have seen several instances of such hacking within the past week.
Western Pennsylvania’s chief federal, state, and local law enforcement officials are joining together to warn that anyone who hacks into a teleconference can be charged with state or federal crimes. Charges may include: disrupting a public meeting, computer intrusion, using a computer to commit a crime, hate crimes, fraud, or transmitting threatening communications. When hackers work together on coordinated attacks, they can also be charged with conspiracy. All of these charges are punishable by fines and imprisonment.
U.S. Attorney Brady said, "Hackers are disrupting business and community meetings for sport and targeting specific groups, including addiction recovery meetings, in order to mock, harass and interfere with treatment. This is another low point in this crisis. We are better than this. DOJ will use all of our resources to find, expose and prosecute these low-lifes."
"At a time when people need internet conferencing technology to do essential business or to connect with loved ones, it’s vital that we make these platforms safe from hackers," Attorney General Josh Shapiro said. "People need confidence in the services they are relying upon during this emergency. Through my Office’s partnership with the Western Pennsylvania COVID-19 Fraud Task Force, we will be able to investigate and prosecute hackers."
"The COVID-19 pandemic has led to a spike in businesses and employees teleworking to communicate and share information over the internet," said Acting FBI Pittsburgh Special Agent in Charge Eugene Kowel. "Cyber criminals see this as an easy way to take advantage of vulnerable members of our community and to exploit telework software vulnerabilities to obtain sensitive information. The FBI encourages users to safeguard their user information and prevent these malicious cyber actors from eavesdropping or stealing sensitive information. We ask anyone with information about criminal activities, especially those exploiting the disruptions caused by the Coronavirus, to contact us."
"Over the course of the next several weeks, the United States Secret Service’s primary investigative priorities will be to mitigate any efforts by criminals that target citizens for cyber-enabled crimes and identity theft as it relates to COVID-19 scams," said Tim Burke, Special Agent in Charge, United States Secret Service Pittsburgh Field Office. "In doing so, we at the Secret Service are grateful to be joining our fellow law enforcement partners on the COVID-19 Fraud Task Force. Together, the COVID-19 Task Force will enable us to focus our resources to uncover, investigate, and prevent these crimes more effectively in a unified front."
"Every community and their leadership are appreciative of the efforts that all of the Federal agencies are putting forth in addressing the issues of Zoom-bombing," added Bruce A. Fromlak, West View Borough Chief of Police and President of the Western Pennsylvania Chiefs of Police Association. "As we conduct business each and every day we are presented with new challenges. This is clearly a new challenge however this too will be dealt with in cooperation with all of our law enforcement partners and professional law enforcement organizations. We will approach and address all malicious attacks in an expeditious and professional manner in order to bring any and all unscrupulous individuals to justice."
As individuals continue the transition to online lessons and meetings, law enforcement recommends exercising due diligence and caution in your cybersecurity efforts. The following steps can be taken to mitigate teleconferencing threats:
• Do not make the meeting or classroom public. In Zoom, there are two options to make a meeting private: require a meeting password or use the waiting room feature and control which guests are admitted.
• Do not share a link to a teleconference or classroom on an unrestricted publicly available social media post. Provide the link directly to specific people.
• Manage screen sharing options. In Zoom, change screen sharing to "Host Only."
• Ensure users are using the updated version of remote access/meeting applications. In January 2020, Zoom updated their software. In their security update, the teleconference software provider added passwords by default for meetings and disabled the ability to randomly scan for meetings to join.
• Understand the features of your specific teleconference platform, including how to close a conference call in the middle and how to kick out people who are disrupting. Zoom has posted these steps on their blog.
• Lastly, ensure that your organization’s telework policy or guide addresses requirements for physical and information security.
If you were a victim of a teleconference hijacking, or any cyber-crime for that matter, report it to the FBI’s Internet Crime Complaint Center at https://www.ic3.gov/default.aspx. Click here for more information regarding teleconference hijacking: https://www.ic3.gov/media/2020/200401.aspx.
Additionally, if you receive a specific threat during a teleconference, please report it to the FBI at https://tips.fbi.gov/ or call the FBI Pittsburgh Division at (412) 432-4000.
To contact Secret Service directly call (412) 281-7825.
If you believe you have been a target or victim of any COVID-19-related frauds, please report them the Western Pennsylvania COVID-19 Fraud Task Force’s Toll Free Hotline: 1-888-C19-WDPA or 1-888-219-9372, or email the Task Force at [email protected] or the Pennsylvania Attorney General at [email protected].
U.S. Attorney DeVillers sends letter to hospital executives promoting partnership in thwarting hoarding, price-gouging of essential medical itemsRead the Press Release
Dear Hospital Executives:
As the United States Attorney for the Southern District of Ohio, I am the chief federal law enforcement officer in approximately half of Ohio’s counties. My office’s primary responsibility is to enforce the laws of the United States on behalf of the citizens we serve. In light of the COVID-19 pandemic, our office is prioritizing the deterrence, investigation, and prosecution of wrongdoing related to the coronavirus – including those engaged in hoarding and/or price-gouging with regard to critical medical supplies. These practices are not only morally repugnant in light of the pandemic we are facing, but also, if left unchecked, can inhibit hospitals, physicians and other health care professionals, governmental agencies, and the public from fully implementing measures designed to save lives and mitigate the spread of the novel coronavirus.
By Executive Order dated March 23, 2020, President Trump delegated to the Secretary of Health and Human Services (HHS) the authority to designate materials critical to our the fight against COVID-19 as “scarce” pursuant to the Defense Production Act of 1950. On March 25, 2020, the HHS Secretary designated 15 categories of health and medical supplies as “scarce,” thus triggering both criminal prohibitions and civil enforcement remedies that my office will aggressively enforce. These categories currently include:
- N-95 Filtering Facepiece Respirators;
- Other Filtering Facepiece Respirators (e.g., those designated as N99, N100, R95, R99, R100, or P95, P99, P100);
- Elastomeric, air-purifying respirators and appropriate particulate filters/cartridges;
- Powered Air Purifying Respirator (PAPR);
- Portable Ventilators;
- Chloroquine phosphate or hydroxychloroquine HCl;
- Sterilization services for certain medical devices and certain sterilizers;
- Disinfecting devices and other sanitizing and disinfecting products suitable for use in a clinical setting;
- Medical gowns or apparel, e.g., surgical gowns or isolation gowns;
- Personal protective equipment (PPE) coveralls, e.g., Tyvek Suits;
- PPE face masks;
- PPE surgical masks;
- PPE face shields;
- PPE gloves or surgical gloves;
- Ventilators, anesthesia gas machines modified for use as ventilators, and positive pressure breathing devices modified for use as ventilators, ventilator tubing connectors, and ventilator accessories.
In this time of critical shortage, we are asking for your assistance in identifying individuals and companies that may have acquired vital medical supplies in excess of what they would reasonably use, or for the purpose of charging exorbitant prices. My office is committed to investigating and prosecuting any such incidents as well as any other fraudulent conduct designed to benefit from this pandemic (e.g., false treatments, tests, and/or vaccinations for COVID-19). In furtherance of this goal, I have created a federal COVID-19 Task Force, led by Assistant United States Attorneys (AUSA) Peter Glenn-Applegate and Brenda Shoemaker, to investigate and prosecute these crimes. If you have any information related to price-gouging and/or hoarding, I ask that you please contact AUSA Shoemaker at 614-255-1588. If you have information related to coronavirus fraud, I ask that you please contact AUSA Glenn-Applegate at 614-255-1604.
With help from institutions like yours, the Department of Justice is using every available measure to ensure that these scarce materials are available to treat those affected by the coronavirus. I am very thankful for the vital work that you do on a daily basis and for your institution’s commitment to the people of Ohio. I look forward to collaborating with you to protect the citizens of our community and enforce the laws of the United States during this time of national emergency.
With gratitute,
David M. DeVillers
United States Attorney
Top federal, state prosecutors form Georgia COVID-19 Fraud Task ForceRead the Press Release
SAVANNAH, Ga. – Georgia’s leading state and federal prosecutors are announcing a new Coronavirus (COVID-19) Fraud Task Force, aimed at better protecting the citizens of Georgia from criminal fraud arising as a result of the pandemic.
The task force will enhance communication between partner agencies and more rapidly share information about COVID-19 fraud, while ensuring each fraud complaint is reported to the appropriate prosecuting agency. Task force member agencies include the Office of the Governor of Georgia, the Office of the Attorney General of Georgia, the U.S. Attorney’s Office for the Northern District of Georgia, the U.S. Attorney’s Office for the Middle District of Georgia and the U.S. Attorney’s Office for the Southern District of Georgia. Georgia’s three U.S. Attorneys, the Attorney General of Georgia and the Executive Counsel for the Governor’s Office serve on the task force.
“My office is honored to work with this task force in our state’s fight against the spread of COVID-19. As a team, we are committed to putting Georgians first to ensure their safety and well-being as we address this public health state of emergency,” said Gov. Brian P. Kemp.
“Our office has received hundreds of complaints regarding scams, price gouging and other issues related to the COVID19 pandemic, and we won’t tolerate those who are taking advantage of consumers and interfering with our frontline workers’ response to the crisis,” said Attorney General Chris Carr. “This partnership between the State of Georgia and our U.S. Attorneys will enable us to work together to investigate and, as appropriate, prosecute those who violate our laws. We will leave no stone unturned as we protect all Georgians.”
“Opportunistic criminals are targeting the most vulnerable among us with COVID-19 scams, but our office and law enforcement and prosecutorial partners remain vigilant,” said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. “We strive to detect, investigate and prosecute criminal conduct, and reassure our law-abiding citizens that their safety and security is our primary focus.”
“Thieves never stop searching for ways to take advantage of unsuspecting people,” said Byung J. “BJay” Pak, U.S. Attorney for the Northern District of Georgia. “Citizens can rest assured that we will bring every asset to bear against fraudsters and those who use this crisis as an opportunity to commit fraud. Also, we encourage anyone who believes they are the victim of a scam, or may have been contacted by someone stating they represent a government agency, to contact this task force immediately.”
“To all would-be scammers: Anyone who uses this pandemic to defraud Georgians will be investigated and prosecuted to the fullest extent of the law,” said Charlie Peeler, U.S. Attorney for the Middle District of Georgia. “The creation of this unified task force better prepares us to investigate and prosecute criminal acts of fraud related to the COVID-19 pandemic. The law enforcement community is strong in our state. I want to thank our partners at the local, state and federal level dedicated to protecting our citizens from fraudsters.”
Within each task force member agency, an appointed fraud complaint coordinator will oversee the cases and remain in regular contact with partner law enforcement agencies. The appointed coordinators are: Jim Crane, Assistant U.S. Attorney, U.S. Attorney’s Office for the Middle District of Georgia; David Dove, Executive Counsel, Office of the Governor of Georgia; Anne Infinger, Deputy Attorney General, Consumer Protection Division, Office of the Attorney General of Georgia; Russell Phillips, Assistant U.S. Attorney, U.S. Attorney’s Office for the Northern District of Georgia; and Patrick Schwedler, Assistant U.S. Attorney, U.S. Attorney’s Office for the Southern District of Georgia.
The public is urged to be on the lookout for any of these COVID-19 scams, which can be reported to the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or to the NCDF e-mail address [email protected]:
- Treatment scams: Scammers are selling fake vaccines, medicines and cures for COVID-19.
- Supply scams: Scammers are claiming they have in-demand products, like cleaning, household, health and medical supplies, but when an order is placed, the scammer takes the money and never delivers the order.
- Charity scams: Scammers are fraudulently soliciting donations for non-existent charities to help people affected by the COVID-19 crisis. Scammers often use names that are similar to the names of real charities.
- Phishing scams: Scammers, posing as national and global health authorities, such as the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending fake emails or texts to trick the recipient into sharing their personal information like account numbers, Social Security numbers, or login IDs and passwords.
- App scams: Scammers are creating COVID-19 related apps that contain malware designed to steal the user’s personal information after it is downloaded.
- Provider scams: Scammers pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demand payment for that treatment.
- Investment scams: Scammers are promoting the stock of small companies, which have limited publicly available information, using false or misleading claims that the companies’ stock will increase dramatically due to the COVID-19 outbreak, such as claims that a company can prevent, detect or cure COVID-19.
The Consumer Protection Division (CPD) of the Office of the Attorney General of Georgia has received more than 600 complaints of price gouging or scams related to COVID-19, the majority regarding food, toilet paper, water and hand sanitizer. The public can file complaints with the CPD by calling 800-869-1123 or https://consumer.georgia.gov/.
Top federal and state prosecutors form Georgia COVID-19 Fraud Task ForceRead the Press Release
ATLANTA - Georgia’s leading state and federal prosecutors announce a new Coronavirus (COVID-19) Fraud Task Force, aimed at better protecting the citizens of Georgia from criminal fraud arising from the pandemic.
The task force will enhance communication between partner agencies and more rapidly share information about COVID-19 fraud, while ensuring each fraud complaint is reported to the appropriate prosecuting agency. Task force member agencies include the Office of the Governor of Georgia, the Office of the Attorney General of Georgia, the U.S. Attorney’s Office for the Northern District of Georgia, the U.S. Attorney’s Office for the Middle District of Georgia and the U.S. Attorney’s Office for the Southern District of Georgia. Georgia’s three U.S. Attorneys, the Attorney General of Georgia and the Executive Counsel for the Governor’s Office serve on the task force.
“My office is honored to work with this task force in our state’s fight against the spread of COVID-19. As a team, we are committed to putting Georgians first to ensure their safety and well-being as we address this public health state of emergency,” said Governor Brian P. Kemp.
“Thieves never stop searching for ways to take advantage of unsuspecting people,” said Byung J. “BJay” Pak, U.S. Attorney for the Northern District of Georgia. “Citizens can rest assured that we will bring every asset to bear against fraudsters and those who use this crisis as an opportunity to commit fraud. Also, we encourage anyone who believes they are the victim of a scam, or may have been contacted by someone stating they represent a government agency, to contact this task force immediately.”
“Our office has received hundreds of complaints regarding scams, price gouging and other issues related to the COVID19 pandemic, and we won’t tolerate those who are taking advantage of consumers and interfering with our frontline workers’ response to the crisis,” said Attorney General Chris Carr. “This partnership between the State of Georgia and our U.S. Attorneys will enable us to work together to investigate and, as appropriate, prosecute those who violate our laws. We will leave no stone unturned as we protect all Georgians.”
“Opportunistic criminals are targeting the most vulnerable among us with COVID-19 scams, but our office and law enforcement and prosecutorial partners remain vigilant,” said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. “We continue to detect, investigate and prosecute criminal conduct, and reassure our law-abiding citizens that their safety and security is our primary focus.”
“To all would-be scammers: Anyone who uses this pandemic to defraud Georgians will be investigated and prosecuted to the fullest extent of the law,” said Charlie Peeler, U.S. Attorney for the Middle District of Georgia. “The creation of this unified task force better prepares us to investigate and prosecute criminal acts of fraud related to the COVID-19 pandemic. The law enforcement community is strong in our state. I want to thank our partners at the local, state and federal level dedicated to protecting our citizens from fraudsters.”
Within each task force member agency, an appointed fraud complaint coordinator will oversee the cases and remain in regular contact with partner law enforcement agencies. The appointed coordinators are: Russell Phillips, Assistant U.S. Attorney, U.S. Attorney’s Office for the Northern District of Georgia , Jim Crane, Assistant U.S. Attorney, U.S. Attorney’s Office for the Middle District of Georgia; David Dove, Executive Counsel, Office of the Governor of Georgia; Anne Infinger, Deputy Attorney General, Consumer Protection Division, Office of the Attorney General of Georgia; and Patrick Schwedler, Assistant U.S. Attorney, U.S. Attorney’s Office for the Southern District of Georgia.
The public is urged to be on the lookout for any of these COVID-19 scams, which can be reported to the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or to the NCDF e-mail address [email protected]:
- Treatment scams: Scammers are selling fake vaccines, medicines, and cures for COVID-19.
- Supply scams: Scammers are claiming they have in-demand products, like cleaning and household supplies, and medical supplies, but when an order is placed, the scammer takes the money and never delivers the order.
- Charity scams: Scammers are fraudulently soliciting donations for non-existent charities to help people affected by the COVID-19 crisis. Scammers often use names that are similar to the names of real charities.
- Phishing scams: Scammers, posing as national and global health authorities, such as the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending fake emails and texts to trick the recipient into sharing personal information like account numbers, Social Security numbers, and login IDs and passwords.
- App scams: Scammers are creating COVID-19 related apps that contain malware designed to steal the user’s personal information.
- Provider scams: Scammers pretending to be doctors and hospitals demand payment for COVID-19 treatment allegedly provided to a friend or family member of the victim.
- Investment scams: To promote the sale of stock in certain companies—particularly small companies, about which there is little publicly available information—scammers are making false and misleading claims that those companies can prevent, detect or cure COVID-19.
The Consumer Protection Division (CPD) of the Office of the Attorney General of Georgia has received more than 600 complaints of price gouging or scams related to COVID-19, the majority regarding food, toilet paper, water and hand sanitizer. The public can file complaints with the CPD by calling 800-869-1123 (toll-free) or at www.consumer.ga.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.