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27 September 2019
Shreveport Felon Sentenced to 70 Months in Federal Prison for Illegally Possessing PistolRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that Matthew Matthews, 26, of Shreveport, was sentenced September 24 by U.S. District Judge Donald E. Walter, to 70 months in prison followed by three years of supervised release for possession of a firearm by a convicted felon. Matthews pleaded guilty on April 25, 2019.
On February 17, 2018, Shreveport police officers responded to a call of an armed individual who had pointed a handgun at an employee in a McDonald’s drive-through window. Police later located a vehicle matching the description of the one in the drive-through and attempted to make contact when the vehicle sped away. After the vehicle came to a stop, Matthews exited and was placed in a police unit while the officers questioned the passenger. The passenger told police that Matthews pointed the gun at the employee and that the gun was in the center console of the vehicle. The passenger also gave the police 6.4 grams of marijuana and 3.1 grams of crack cocaine, which she said Matthews told her to hide. When the officers searched the vehicle, they found a Smith and Wesson, Model SW40VE, .40-caliber pistol and 15 rounds in the center console.
Matthews is a felon who was convicted in Caddo Parish on October 12, 2012, for possession with intent to distribute marijuana, and on December 12, 2016, for illegal possession of stolen things. Under federal law, those convicted of felonies are not allowed to possess firearms or ammunition.
The ATF and the Shreveport Police Department conducted the investigation. Assistant U.S. Attorney J. Aaron Crawford prosecuted the case.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. Project Safe Neighborhoods is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Shreveport Felon Sentenced to 110 Months in Federal Prison for Illegal Possession of PistolRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that Brandon Lars Reed, 30, of Shreveport, was sentenced September 24 by Chief U.S. District Judge S. Maurice Hicks Jr., to 110 months in prison followed by three years of supervised release for possession of a firearm by a convicted felon. Reed pleaded guilty on March 11, 2019.
On July 31, 2017, a Shreveport police officer responded to a complaint at a hotel on Monkhouse Drive that individuals were smoking marijuana. When the officer entered the hotel room, he found Reed with other occupants. During a search of the hotel room, a Glock, Model 27, .40-caliber pistol, located on one of the beds, and five Xanax bars, located in the bathroom, were found, all of which Reed admitted to possessing.
Reed is a felon who was convicted in Caddo Parish on November 9, 2009, of possession of a firearm with a controlled dangerous substance, and on April 15, 2014, of possession of a Schedule III drug. Under federal law, as a convicted felon, Reed is not allowed to possess a firearm or ammunition.
The ATF and Shreveport Police Department conducted the investigation. Assistant U.S. Attorney J. Aaron Crawford prosecuted the case.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. Project Safe Neighborhoods is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Serial Fraudster Sentenced for Card-Cracking SchemeRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to over five years in prison for conspiring to defraud several banks and identity theft.
According to court documents, Troy Murchison, 23, conspired with several others for more than three-and-a-half years to defraud at least five different banks by depositing counterfeit payroll checks and other worthless financial instruments into dozens of compromised bank accounts and then quickly withdrawing the credited funds. Murchison used social media to recruit at least 40 accountholders of different financial institutions to provide their debit cards and PINs in exchange for promised payment. Murchison then created counterfeit payroll checks purportedly issued by more than a dozen local businesses, which he and others acting on his instruction then deposited into the compromised accounts.
These deposits fraudulently induced the targeted financial institutions to credit thousands of dollars to those accounts, which Murchison and others immediately withdrew. Between 2014 and 2017, Murchison and others deposited over 100 worthless checks and money orders totaling more than $95,000 into at least 40 compromised accounts and successfully withdrew nearly $40,000 of the credited proceeds. During that same period, Murchison was charged in three separate state cases for conduct related to this conspiracy. Murchison was on probation, awaiting trial, and a fugitive in these cases when he was ultimately arrested in November 2017.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Kaitlin G. Cooke prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-122.
Second Employee in Cash Flow Partners Bank Fraud Conspiracy Charged in Multimillion-Dollar Loan SchemeRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, woman has been charged for her role in a conspiracy that involved the creation of false documentation to secure over $4 million dollars in bank loans, U.S. Attorney Craig Carpenito announced.
Jennie Frias, a/k/a “Jennie Castillo,” 36, of Englewood, New Jersey, was charged by complaint with one count of conspiracy to commit bank fraud. Frias had her initial appearance Sept. 25, 2019, before U.S. Magistrate Judge James B. Clark III in Newark federal court and was released on a $100,000 unsecured bond.
According to documents filed in this case and statements made in court:
Between March 2016 and May 2018, Cash Flow Partners LLC, a business consulting firm with offices in New York and New Jersey, released internet advertisements and held seminars offering to assist customers in obtaining bank loans, including loans insured by the Federal Deposit Insurance Corporation (FDIC). When customers submitted documentation supporting their bank loan applications to Cash Flow Partners, Frias and others created false documentation to make customers’ loan applications appear more financially viable than they actually were. Employees in Cash Flow’s “File Building Department” falsified payroll records by including fictitious financial and employment information, such as fake jobs, on template payroll forms and IRS tax forms. Then, employees in Cash Flow’s “Funding Department,” of which Frias became director, took steps to pose as the loan applicants when communicating with the victim banks. For example, Funding Department employees remotely controlled computers located at the homes of the loan applicants to submit documents to the banks. Funding Department employees also took possession of the loan applicants’ cell phones and communicated with the banks posing as the loan applicants. The victim banks sustained losses of over $4 million.
One of Frias’ conspirators, Raymundo Torres, pleaded guilty Sept. 24, 2019, to charges relating to his role in the Cash Flow bank fraud conspiracy.
The conspiracy to commit bank fraud charge carries a maximum potential penalty of 30 years in prison and a $1 million fine.
Individuals who believe they may have information about this case may contact the FBI at 1-800-CALL-FBI (225-5324).
U.S. Attorney Carpenito credited special agents of the FDIC-Office of the Inspector General (FDIC-OIG), under the direction of Special Agent in Charge Patricia Tarasca in New York, and special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorneys Ari B. Fontecchio of the Economic Crimes Unit and J. Stephen Ferketic of the U.S. Attorney’s Office Opioids Unit in Newark.
The charge and allegations against Frias are merely accusations, and she is presumed innocent unless and until proven guilty.
Defense counsel: John D. Arseneault Esq. and John J. Roberts Esq., Chatham, New Jersey
Rockford Man Sentenced to More Than 12 Years in Prison for Distributing Heroin in RockfordRead the Press Release
ROCKFORD — A Rockford man was sentenced today by U.S. District Judge Philip G. Reinhard on a federal drug trafficking charge.
MAURICE D. NEAL (also known as “Moe”), 37, was sentenced to 12 years and seven months in federal prison, to be followed by three years of supervised release. Neal pleaded guilty on June 25, 2019, to distributing heroin.
In a written plea agreement, Neal admitted that between October 2015 and September 2016, he operated a heroin trafficking business in the Rockford area, and maintained two cellphone lines as hotlines for customers to order and purchase heroin. Neal typically sold user-quantity amounts of heroin, such as a gram or a half gram, but occasionally did larger transactions. Neal admitted he engaged in a large number of transactions each day, selling at least ten to 15 grams of heroin a day, resulting in sales of at least 4,500 grams of heroin during the time period that he operated his heroin trafficking business.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Brian M. McKnight, Special Agent-in-Charge of the Chicago office of the U.S. Drug Enforcement Administration; and Brendan F. Kelly, Acting Director of the Illinois State Police. The case was investigated by the Rockford Resident Agency of the DEA's Chicago Field Office, and the Stateline Area Narcotics Team (“SLANT”), a task force led by the Illinois State Police. The U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives, the Federal Bureau of Investigation, the Winnebago County Sheriff’s Department, and the Rockford Police Department assisted in the investigation. The government was represented by Assistant U.S. Attorney Margaret J. Schneider.
A co-defendant, QUINCY L. ATMORE (also known as “Q”), 47, of Rockford, pleaded guilty on Jan. 17, 2018, to distributing heroin. Atmore was sentenced on May 9, 2018, to 17 years in federal prison.
Repeat Offender Sentenced to 21 Years in Prison for Distributing Child Pornography While on Federal Supervised ReleaseRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, man was sentenced to 252 months in prison for distributing images of child sexual abuse and violating the conditions of his supervised release imposed in connection with a previous child pornography conviction, U.S. Attorney Craig Carpenito announced today.
Barnaby Hewsen, 45, formerly of Pennsauken, New Jersey, previously pleaded guilty before U.S. District Judge Noel L. Hillman to an information charging him with one count of distributing child pornography as well as a petition charging him with violating the conditions of federal supervised release by committing another crime while under supervision. Judge Hillman imposed the sentence Sept. 26, 2019, in Camden federal court.
According to documents filed in this case and statements made in court:
In May 2017, Hewsen uploaded to a website three images that showed infants being sexually abused. On June 2, 2017, law enforcement officers conducted a search of Hewsen’s residence and discovered seven videos and 373 images on his computer, many of which depicted prepubescent children, some as young as newborns, being sexually abused and in some instances bound and assaulted. During the investigation that followed, officers also discovered stories on Hewsen’s computer that carefully detailed fantasies about kidnapping, molesting, and defiling young babies and infants. Some of the stories appeared to be authored by Hewsen himself. Hewsen took these actions while on federal supervised release for his previous federal conviction for possessing child pornography.
In addition to the prison term, Judge Hillman sentenced Hewsen to lifetime supervised release
U.S. Attorney Carpenito credited special agents of U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI), under the direction of Special Agent in Charge Brian A. Michael; and the Camden County Prosecutor’s Office, under the direction of Prosecutor Mary Eva Colalillo, with the investigation leading to today’s sentencing.The government is represented by Assistant U.S. Attorney Gabriel J. Vidoni of the U.S. Attorney’s Office’s Criminal Division in Camden.
Defense counsel: Richard Sparaco Esq., Cherry Hill, New Jersey
Queens Woman Indicted for Causing Overdose Death of Victim in Motel RoomRead the Press Release
An indictment was unsealed today in federal court in Brooklyn charging Angelina Barini with distributing and possessing with intent to distribute fentanyl that resulted in the fatal overdose of a Queens man on July 11, 2019. Barini was arrested on a criminal complaint on August 25, 2019, and was arraigned on the indictment this morning before United States Magistrate Judge Steven M. Gold. Barini was ordered detained pending trial.
Richard P. Donoghue, United States Attorney for the Eastern District of New York; Peter Fitzhugh, Special Agent-in-Charge, Homeland Security Investigations, New York Field Office (HSI), and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the charges.
“As alleged, without regard for the potentially lethal consequences of her actions and despite the enormous body count attributed to dangerous opioids, the defendant provided fentanyl to the victim, causing his death,” stated United States Attorney Donoghue. “This Office will continue working tirelessly with our law enforcement partners to hold accountable those like the defendant who contribute to the opioid epidemic.”
“In her course of business as a prostitute, it is alleged that Barini gave her client a fatal dose of fentanyl resulting in his death,” stated HSI Special Agent-in-Charge Fitzhugh. “It is well known that the opiod epidemic is very real and present in the New York City area, and with the hope of preventing future opioid related deaths, law enforcement at all levels continue to collaborate, investigate and arrest the dealers and traffickers who bring these deadly drugs into our area.”
As alleged in court filings, on July 11, 2019, the victim was found dead in a motel room in Woodside, Queens. Video surveillance from earlier that day captured a female, who appeared to be Barini, and the victim, entering the motel together. Subsequent to her arrest, Barini was interviewed by law enforcement authorities and admitted supplying the drugs to the victim.
The Office of the Chief Medical Examiner determined the victim’s cause of death was fentanyl intoxication. The investigation is continuing.
The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, she faces a mandatory minimum of 20 years’ imprisonment, and a maximum of life imprisonment.
Assistant United States Attorneys Soumya Dayananda, Andrew Grubin and Andrew Wang are in charge of the prosecution.
The Defendant:
ANGELINA BARINI
Age: 41
Queens, New YorkE.D.N.Y. Docket No. 19-CR-428 (BMC)
Previously Convicted Sex Trafficker Sentenced to 21 Months’ Imprisonment for Repeat CrimeRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Dawan “Finesse” Oliver, age 36, currently an inmate at Dauphin County Prison, was sentenced to 21 months’ imprisonment and ordered to pay an assessment of $5,000 under the Justice for Victims of Trafficking Act by Senior United States District Judge Yvette Kane for interstate travel in aid of prostitution.
According to United States Attorney David J. Freed, Oliver was sentenced by Judge Kane in 2008 for his participation in a large conspiracy involving trafficking of minor girls and women from Toledo, Ohio, to the Harrisburg area to engage in prostitution. He was sentenced to serve nine years in federal prison at that time. Law enforcement authorities in Lower Paxton Township became aware of Oliver engaging in similar conduct in 2018, this time with adult women only. Upon receiving the information that Oliver had transported a young woman from Toledo to Harrisburg for prostitution, Oliver was arrested and charged federally. He entered a guilty plea to a one-count indictment charging interstate travel in aid of prostitution in June 2019. The 21-month sentence imposed by Judge Kane was at the top of the advisory Sentencing Guideline range.
This case was investigated by the Lower Paxton Township Police Department with assistance from the Federal Bureau of Investigation. Assistant United States Attorney James T. Clancy prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
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Previously Convicted Sex Offender Pleads Guilty to Federal Charge for Possession of Child PornographyRead the Press Release
Greenbelt, Maryland – Santos Nicolas Obando-Flores, age 46, of Brentwood, Maryland, pleaded guilty today to possession of child pornography. In 2015, Obando-Flores was convicted of a sex offense after engaging in sexual contact with a nine-year-old minor and was sentenced to 20 years in prison with all but six years suspended.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge John Eisert of Homeland Security Investigations (HSI); and Colonel William M. Pallozzi, Superintendent of the Maryland State Police (MSP).
According to his guilty plea, on September 13, 2018, Obando-Flores was being administered a routine polygraph examination by a Maryland State Police polygraph examiner. The routine polygraph was required because Obando-Flores was a registered sex offender. During the post-polygraph interview, Obando-Flores admitted to the polygraph examiner that he had viewed child pornography on his cellphone and that the pornography was still on the cellphone. Obando-Flores also admitted to having as many as one hundred videos containing child pornography on his phone.
The polygraph examiner stopped the interview and read Obando-Flores his Miranda Rights, which Obando-Flores acknowledged that he understood. Obando-Flores agreed to speak with law enforcement without an attorney present and again admitted to the MSP polygraph examiner that there was child pornography on his cellphone. He explained to the polygraph examiner that he got it from a Facebook page and that he received multiple videos of child pornography through a “group chat” from an application on his phone. Obando-Flores was able to describe some videos depicting prepubescent minors engaged in sex acts or provocatively posed. Obando-Flores admitted that he started getting the videos approximately six to eight months ago.
The polygraph examiner confiscated Obando-Flores’s cellphone, which Obando-Flores had brought with him to the scheduled meeting and Obando-Flores consented to the search of his phone. An MSP trooper previewed the phone and found numerous files of suspected child pornography. Obando-Flores was arrested and a federal search warrant was obtained from the phone. Forensic analysts identified approximately 359 videos and 200 images documenting the sexual abuse of minors.
As part of his plea agreement, Obando-Flores will be required to continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
“Combatting the exploitation of children is a team effort and thanks to our collaboration with our local law enforcement partners, we have one less offender on the streets,” said HSI Baltimore Special Agent in Charge John Eisert. “HSI is committed to continuing to work with our local law enforcement partners to pursue our goals of identifying and rescuing the victims of exploitation.”
Obando-Flores faces a minimum mandatory sentence of 10 years and a maximum of 20 years in federal prison followed by up to lifetime supervised release. U.S. District Judge Peter J. Messitte has scheduled sentencing for February 18, 2020 at 9:30 a.m.
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.
United States Attorney Robert K. Hur commended HSI-Baltimore and the Maryland State Police for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Jennifer R. Sykes, who is prosecuting the federal case.
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Pittsburg Man Sentenced to 27 Years for Producing Child PornRead the Press Release
WICHITA, KAN. – A southeast Kansas man was sentenced Thursday to 27 years in Federal prison for producing child pornography, U.S. Attorney Stephen McAllister said.
Michael Paul Murphy, 41, Pittsburg, Kan., pleaded guilty to two counts of producing child pornography. In his plea, Murphy admitted using an iPhone to surreptitiously record minor victims in various stages of undress. He edited the recordings to focus on the victims’ genitals. He emailed the images to his workplace.
McAllister commended the Pittsburg Police Department, the FBI and Assistant U.S. Attorney Jason Hart for their work on the case.
Physician Sentenced to 15 Months in Federal Prison for Passport FraudRead the Press Release
Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow today sentenced Michael Nana Baako, age 50, a native of Ghana residing in Fulton, Maryland, to 15 months in federal prison, followed by three years of supervised release, for the federal charge of passport fraud. Baako was a physician who practiced in hospitals in Maryland and maintained his own clinic, Biazo Healthcare.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Edwin Guard of the U.S. Department of State’s Diplomatic Security Service (DSS) Washington Field Office.
According to Baako’s plea agreement, since at least 2001, Baako and R.A.A. have lived together in Howard County, Maryland and are the parents of two minor children. Baako and R.A.A. married in Ghana in 1995. Months later, Baako entered the United States legally after obtaining a visitor’s visa. In 1996, Baako applied for certification of his Ghanian medical education in the United States. In 1998, Baako married a U.S. citizen in Virginia, who filed a petition for Baako to become a naturalized United States citizen three weeks later. The petition was denied in 2000 after immigration officials concluded that Baako’s marriage was a “sham” marriage entered into for the sole purpose of obtaining immigration benefits. In 2001, Baako was licensed to practice in Maryland as a physician.
On November 29, 2005, Baako registered to vote in Maryland, swearing that he was a United States citizen, and subsequently voted in 10 federal elections between November 7, 2006 and November 6, 2018.
On December 15, 2006, Baako obtained a new Ghanaian passport in Accra, Ghana, as a Ghanaian national. On April 17, 2007, and September 16, 2009, respectively, Baako and R.A.A. submitted passport applications on behalf of their minor children, in which Baako falsely claimed that he was a citizen of the United States, born in Hillsborough, North Carolina. On April 22, 2008, Baako submitted an application for a United States passport for himself in which he falsely claimed that he was born in North Carolina, as were both of his parents. As part of his passport application, Baako provided an affidavit purporting to be from a family friend, falsely stating that this person was one of the first people to see Baako after his birth and was present at a subsequent naming and baptism ceremony for Baako at a Hillsborough, North Carolina church. Baako was issued a U.S. passport on April 29, 2008, which he used for international travel on several occasions. That passport included the false information that Baako was a citizen of the United States born in North Carolina. On July 31, 2012, Baako and R.A.A. submitted a passport renewal application on behalf of their first child, in which Baako falsely stated that he was a citizen of the United States. On February 20, 2018, Baako filed a passport renewal application for his own passport, again falsely stating that he was a U.S. citizen born in North Carolina. Baako was interviewed by Department of State officials on April 22, 2010, and on June 12, 2018. In both interviews Baako falsely stated that he was born in Hillsborough, North Carolina.
On May 8, 2019, law enforcement officers executed a search warrant at Baako’s home and located his Ghanaian passport and plans for the three-bedroom home Baako purchased in Accra, Ghana in August 2012. Investigators also obtained a number of documents related to Baako’s ongoing efforts to fraudulently obtain documentation establishing that he was a U.S. citizen born in North Carolina, including: a false affidavit purporting to be sworn by the Baako’s mother, claiming that he was born in North Carolina; a page from the family Bible falsely stating it had been presented to Baako at his birth in North Carolina; a falsified baptism certificate purporting to be from a North Carolina church, certifying that Baako was born in North Carolina; and several draft petitions to the Circuit Court for Howard County seeking to fraudulently establish the fact of his birth in North Carolina.
Baako has been detained since his arrest on May 8, 2019. As stated at today’s hearing, the Department of Homeland Security has initiated removal proceedings against Baako.
United States Attorney Robert K. Hur commended DSS for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Zachary A. Myers and Daniel A. Loveland, who prosecuted the case.
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Philadelphia Middle School Teacher Charged with Child Sexual ExploitationRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Christopher O’Sullivan, 31, of Philadelphia, was charged by Indictment with one count of using a facility of interstate commerce to entice a minor to engage in sexual activity, and one count of manufacturing child pornography.
The indictment alleges that between June 21 and July 23, 2019, O’Sullivan enticed a minor to engage in criminal sexual activity and manufactured child pornography. Court documents allege that O’Sullivan, a middle school teacher, coerced a 12-year-old minor boy to take a sexually explicit photograph and text it to O’Sullivan, and that O’Sullivan discussed sexual activity with the minor over text messaging. O’Sullivan was arrested by criminal complaint on August 30, 2019, in Plattsburgh, New York, and he has been detained since that time.
Anyone with additional information regarding O’Sullivan related to the sexual abuse of minors is encouraged to contact the FBI – Philadelphia at (215)418-4000.
“The defendant’s alleged abuse of his position of trust in our community for his perverse gratification is over,” said First Assistant U.S. Attorney Williams. “Child sexual exploitation is appallingly pervasive, exacerbated by the easy availability of digital media and communications, and it demands an aggressive response. We stand ready with our federal partners to identify and prosecute individuals that perpetuate this abuse.”
“Rather than live up to a teacher’s commitment to care for his students, O’Sullivan robbed this young boy of his innocence and childhood. Although today’s indictment cannot repair the damage O’Sullivan caused, it sends the message that the FBI and our partners, like the Philadelphia Police Department’s Special Victims Unit, remain committed to hunting down child predators,” said Michael T. Harpster, Special Agent in Charge of the Philadelphia Division of the FBI.
If convicted, the defendant faces a mandatory minimum term of imprisonment of 15 years, a maximum possible sentence of lifetime imprisonment, a mandatory minimum term of 5 years up to a lifetime of supervised release, a $500,000 fine, a $200 special assessment, and a $10,000 additional assessment.
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Michelle L. Morgan. An indictment, information, or criminal complaint is an accusation.
A defendant is presumed innocent unless and until proven guilty.
Pearl River County Man Sentenced to over 6 Years in Federal Prison for being a Felon in Possession of a FirearmRead the Press Release
Gulfport, Miss. – Michael Wayne Dossett, 38, or Carriere, was sentenced today by U.S. District Judge Sul Ozerden to 78 months in prison, followed by three years of supervised release, for being a felon in possession of a firearm, announced U.S. Attorney Mike Hurst and Special Agent in Charge Kurt Thielhorn with the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Dossett was also ordered to pay a $3,000 fine and forfeit six firearms, including a stolen SKS 7.62 caliber rifle with an extended magazine. Dossett has previous felony convictions for robbery and possession of cash in a correctional facility.
An investigation by the Bureau of Alcohol Tobacco Firearms and Explosives into the Simon City Royals criminal street gang activity in Pearl River County resulted in the April 17, 2019, execution of a search warrant at the home of Dossett, where firearms, 152 rounds of assorted ammunition, a ballistic vest, and various gang paraphernalia was seized.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. It was prosecuted by Assistant United States Attorney Annette Williams.
Paterson Felon Arrested for Trafficking and Unlawfully Possessing FirearmsRead the Press Release
NEWARK, N.J. – A Paterson, New Jersey, man with a prior felony conviction has been arrested for illegally selling 11 firearms for over $8,000, U.S. Attorney Craig Carpenito announced.
Floyd Henry, a/k/a “HK,” 34, was arrested Sept. 25, 2019, on a complaint charging him with one count of illegally engaging in the business of dealing in firearms and three counts of possession of firearms by a convicted felon. Henry had his initial appearance Sept. 26, 2019, before U.S. Magistrate Judge James B. Clark III in Newark federal court and was detained without bail.
According to documents filed in this case and statements made in court:
From July 15, 2019, through Sept. 20, 2019, Henry engaged in the business of dealing firearms while not being a federally licensed importer, licensed manufacturer, or licensed dealer. On at least three occasions, Henry sold a total of two semi-automatic rifles, two revolvers, and seven semi-automatic pistols for over $8,000.
Each of the three counts of being a felon in possession of a firearm carries a maximum potential penalty of up to 10 years in prison. The charge of engaging in the business of dealing firearms, while not being a federally licensed importer, licensed manufacturer, or licensed dealer carries a maximum potential penalty of up to five years in prison.
U.S. Attorney Carpenito credited special agents of the ATF under the direction of Special Agent in Charge Charlie J. Patterson; officers with the Passaic County Sherriff’s Office, under the direction of Sheriff Richard H. Berdnik; the Passaic County Prosecutor’s Office under the direction of Prosecutor Camelia Valdes; and the N.J. State Police under the direction of Col. Patrick J. Callahan, with the investigation leading to Henry’s arrest.
ATF’s National Tracing Center (NTC) supported this case. The NTC is the country’s only crime gun tracing center, and functions to provide accurate and timely trace information about the purchaser of a recovered firearm. ATF special agents and intelligence research specialists analyze this information to identify individuals engaged in unlicensed dealing of firearms, to include those who straw purchase firearms, which are often later recovered from the hands of convicted felons.
The government is represented by Assistant U.S. Attorney Christopher D. Amore of the Organized Crime and Gangs Unit in the U.S. Attorney’s Office in Newark.
Defense counsel: Peter Carter Esq., Assistant Federal Public Defender, Newark
Passaic County Private Jet Pilot Sentenced to 13 Years in Prison for Cocaine Trafficking, Money Laundering, and StructuringRead the Press Release
TRENTON, N.J. – A Passaic County, New Jersey, man was sentenced today to 156 months in prison for trafficking hundreds of kilograms of cocaine into New Jersey and New York and then laundering over $10.2 million in cash drug proceeds, U.S. Attorney Craig Carpenito announced.
Khamraj Lall, 52, of Ringwood, New Jersey, was found guilty previously by a federal jury in Trenton of all eight counts of a superseding indictment, including counts charging him with conspiracy to distribute cocaine, money laundering, structuring monetary instruments, and conspiracy to commit money laundering and structuring. U.S. District Judge Anne E. Thompson imposed the sentence today in Trenton federal court.
According to documents filed in the case and the evidence at trial:
From April 2011 through November 2014, Lall, a private pilot, smuggled hundreds of kilograms of cocaine from Guyana to New Jersey and New York on his privately owned jet aircraft and then laundered the proceeds.
Lall, who owed a private jet charter business called Exec Jet Club based in Gainesville, Florida, used the proceeds of his cocaine empire to purchase jet planes, houses, and cars. He also paid over $2 million in cash stuffed into suitcases to a Florida contractor to build an airplane hangar in Guyana.Over a 3-½ year period, Lall also made (or had others make) 1,287 cash deposits totaling approximately $7.5 million into more than 20 different bank accounts in New Jersey and New York, much of it in $20 bills. In order to avoid detection and circumvent bank reporting laws, all 1,287 deposits were for amounts less than $10,000.
In November 2014, Lall was flying one of his jets from the U.S. to Guyana and stopped in Puerto Rico to refuel. An outbound search of the plane uncovered $470,000 in cash stuffed into a suitcase hidden in the tail of the plane, and another $150,000 in cash hidden under a seat.
In addition to the prison term, Judge Thompson sentenced Lall to five years of supervised release. The Court previously ordered Lall to forfeit his interest in two jet airplanes, two airplane hangars, multiple properties, a Lexus SUV, among other property traceable to his crimes. The Court also entered a money judgment against Lall for $9.3 million.
U.S. Attorney Carpenito credited special agents and task force officers of IRS-Criminal Investigation, under the direction of Special Agent in Charge John R. Tafur; the Morristown, New Jersey, police department, under the direction of Chief Peter Demnitz; special agents and staff of U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) under the direction of Special Agent in Charge Brian Michael; the Drug Enforcement Administration-Rochester, New York, under the direction of Special Agent in Charge James J. Hunt; the Federal Aviation Administration, Law Enforcement Assistance Program; and U.S. Customs and Border Protection Air and Marine Operations Center under the direction of Richard T. Booth, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Jonathan M. Peck and Thomas S. Kearney of the Criminal Division in Newark.
Defense counsel: Jason J. Leboeuf Esq., Livingston, New Jersey
Park Ridge Man Sentenced to 14 Years in Prison for Conspiring to Commit ExtortionRead the Press Release
ROCKFORD — A Park Ridge man was sentenced today by U.S. District Judge Philip G. Reinhard to 14 years in federal prison, to be followed by three years of supervised release, for conspiring to commit extortion.
ROBERT PANOZZO, 59, pleaded guilty to the charge on June 19, 2019. According to a written plea agreement, from Jan. 1, 2005, through Dec. 20, 2009, Panozzo conspired with JOSEPH D. ABBOTT, 40, formerly of Park City, and others, to extort money from an individual by actual and threatened force, violence, and fear.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois. The case was investigated by the Chicago office of the FBI. The government is represented by Assistant U.S. Attorney Scott R. Paccagnini.
In 2005, Panozzo loaned money to the individual. In 2006, the individual paid Panozzo in cash, which the individual believed was the last in a series of payments that satisfied his loans from Panozzo. However, Panozzo told the individual that $100,000 was still owed as interest from the previous loans. Panozzo admitted in the plea agreement that he recruited Abbott and others to cause harm to the individual and his property in order to coerce the individual to repay the loans from Panozzo. On Oct. 5, 2006, Panozzo, Abbott and others confronted the individual at his place of business in McHenry County and demanded payment of the outstanding loans. When the individual said he could not do so, Panozzo, Abbott and others struck the individual, causing injuries to his head and arms that required medical treatment.
Panozzo was incarcerated in the Illinois Department of Corrections from Nov. 3, 2006, to Sept. 25, 2008. Panozzo admitted that after his release from IDOC and throughout 2009, he repeatedly called and left voicemail messages for the victim, demanding that he either pay off his loans or meet with Panozzo to discuss repayment. On Feb. 8 and 11, 2009, Abbott left a note at the victim’s residence in McHenry County, demanding repayment of the $100,000. Later that month, Abbott used a flammable liquid to set fire to a Dodge Caravan that was parked in the driveway of the victim’s residence. Panozzo admitted that he had paid Abbott to set fire to the victim’s van. On March 3, 2009, Panozzo called the victim’s residence and left a voicemail message that announced Panozzo intended to arrive at the victim’s residence within one hour. In April 2009, Panozzo and the victim engaged in a series of conversations in which Panozzo demanded repayment. On April 8, 2009, Abbott used an incendiary device to set fire to the contents of several trash cans and the garage located at the victim’s residence. Panozzo also admitted that he had paid Abbott to “blow up” the victim’s residence.
Abbott was sentenced on July 26, 2019, to six and a half years in federal prison, to be followed by three years of supervised release, for conspiring to commit extortion.
Operation “Bird Dog” Results in Guilty PleasRead the Press Release
Jackson, TN – A joint investigation conducted by the Tennessee Wildlife Resources Agency (TWRA) and United States Fish and Wildlife Service Office of Law Enforcement into violations of the Migratory Bird Treaty Act (MBTA), known as Operation "Bird Dog," has resulted in multiple defendants pleading guilty to federal hunting violations. U.S. Attorney D. Michael Dunavant announced the guilty pleas today.
According to information presented in court, Hunter Rainwaters, 20, Cody Brown, 20, Peyton Mayberry, 20, and Jay Maiden, 20, committed violations involving the illegal placement of bait to attract waterfowl and taking or attempting to take waterfowl over a baited area. The area the subjects illegally baited is a TWRA owned and managed Wildlife Management Area in Benton County, TN. The effects of this baiting on a public waterfowl hunting area resulted in the closure of a portion of the Wildlife Management Area and the subsequent loss of hunting opportunity for other hunters in the affected area for the first ten (10) days of the 2017-2018 waterfowl hunting season.
On September 23, 2019, U.S. Magistrate Court Judge Jon A. York sentenced Rainwaters to loss of hunting privileges for two years along with $1,000 fine; Mayberry, Brown and Maiden were each sentenced to loss of hunting privileges for one year along with a $1,000 fine. Additionally, other defendants cited in the case paid a total of $17,680.00 in fines.
U.S. Attorney D. Michael Dunavant said, "The U.S. Attorney’s Office is a full-service federal prosecution office, and we have the ability and intention to charge any violations of federal law, no matter where they occur in the Western District of Tennessee. These prosecutions demonstrate our commitment to upholding the rule of law, and to pursuing any cases that harm and impact our rural communities. We commend the TWRA and U.S. Fish and Wildlife Service on this successful operation, and appreciate our partnerships with them."
This case was investigated by the Tennessee Wildlife Resources Agency and the United States Fish and Wildlife Service.
Assistant U.S. Attorney Matthew J. Wilson prosecuted this case on behalf of the government.
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North Reading Woman Arrested for Assaulting Federal OfficerRead the Press Release
BOSTON – A North Reading woman was arrested this morning and charged in federal court in Boston with assaulting a federal officer.
Francesca Elliott, 24, was charged in a criminal complaint with one count with assaulting a federal officer. Elliott was released on conditions following an initial appearance.
According to the charging documents, on Aug. 17, 2019, at approximately 10:30 p.m., two individuals exited an event at TD Garden and entered the grounds of the Thomas P. O’Neill Federal Building on Causeway Street in Boston. A uniformed member of the Federal Protective Service noted that both of the individuals were speaking in loud, aggressive tones and appeared to be intoxicated. As the individuals approached the uniformed officer, one of the individuals appeared to become more aggressive and started charging at the officer, who ordered the individual to stop. The individual continued rushing towards the officer, becoming more aggressive, balling his fists, and shouting at the officer to “Do you job.” At this point, fearing that the individual was about to assault him, the officer informed the individual that he was being arrested for disorderly conduct and to place his hands behind his back.
As the officer was attempting to secure this individual, the other individual – Elliott –allegedly struck the officer in the face with her cellphone, causing a laceration on his right eye. The officer released the first individual, and after a brief struggle, was able to secure Elliott in handcuffs.
The charging statute provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences imposed by a federal district court judge based upon the US Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Jason Molina, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Timothy Bane, Regional Director of the Department of Homeland Security, Federal Protective Service made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit 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.
Nineteen defendants charged in largest healthcare fraud scheme in Southern District historyRead the Press Release
SAVANNAH, GA: More than a dozen defendants, including 10 physicians and other medical professionals, have been charged for their alleged participation in a massive healthcare fraud scheme responsible for – in the Southern District of Georgia alone – more than $400 million in losses to Medicare.
The charges against 19 defendants in the Southern District of Georgia were announced Sept. 27 as part of a nationwide Department of Justice operation into a scheme that involved trafficking orders and prescriptions for genetic testing, orthotic braces and pain creams. The charges were part of Operation Double Helix, which focused on fraudulent billing of genetic testing, and the charges announced today involve tens of millions of dollars billed to Medicare and generating more than $7 million in fraudulent genetic testing charges to the Georgia Medicaid Program, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia.
The healthcare fraud scheme charged is the largest in the history of the Southern District of Georgia. The Medicare and Medicaid beneficiaries whose identities were used as part of the scheme are located throughout the Southern District of Georgia, including the Augusta, Brunswick, Dublin, Savannah, Statesboro, and Waycross Divisions, as well as elsewhere in the United States.
“The scope and sophistication of the health care fraud detected in Operation Double Helix and the related Operation Brace Yourself is nearly unprecedented. But the citizens of the Southern District of Georgia should know that we put together an unprecedented response,” said U.S. Attorney Christine. “Our office charged more defendants, responsible for more health care fraud losses, than ever before in this office’s history. While these charges might be some of the first, they won’t be the last.”
The charges filed in the Southern District of Georgia were part of a nationwide operation, unveiled today by the U.S. Department of Justice, into individuals and entities that trafficked in patient information and prescriptions for genetic testing, orthotic braces, and pain creams. Nationwide, the DOJ announced charges against 35 defendants connected with the scheme, which is estimated to have resulted in more than $1.7 billion in fraudulent billing to the Medicare Program.
“These defendants allegedly duped Medicare beneficiaries into signing up for unnecessary genetic tests, costing Medicare billions of dollars,” Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Together with our law enforcement partners, the Department will continue to protect the public fisc and prosecute those who steal our taxpayer dollars.”
As part of this national enforcement action, U.S. Attorney Christine announced the following actions in the Southern District of Georgia:
- A federal grand jury in Savannah indicted Dr. Anthony Securo of Columbus, Ga., on five counts of health care fraud and five counts of false statements relating to health care. The indictment alleges that that Securo ordered more than 25,000 items of durable medical equipment for Medicare beneficiaries he claimed to be “treating,” but in fact never even met. These thousands of items were billed to Medicare for more than $23 million. According to the indictment, Securo ordered these medically unnecessary items after having short telephone conversations with the patients, but then signed medical records stating that Securo had performed examinations or physical tests of the patients that were never actually performed.
- The United States charged owners of two “telemedicine” physician recruiting companies who, according to court documents, operated companies that identified medical practitioners to write orders in exchange for payments, and facilitated such payments. Court documents allege that the two charged individuals, who were charged by criminal information with single counts of conspiracy, facilitated physician orders that ultimately were billed to Medicare for a combined $170 million.
- The United States charged nine medical professionals in addition to Securo for their roles in the healthcare fraud scheme, in which, according to court documents, the physicians and nurse practitioners ordered orthotic braces for Medicare beneficiaries they did not examine. Each were charged by criminal information with single counts of conspiracy for generating orders for orthotics, creams and laboratory tests that were billed to Medicare and the Georgia Medicaid Program for a combined $185 million.
Others charged in the Southern District of Georgia in the investigation included:
- The United States charged two individuals by criminal information with single counts of conspiracy for operating companies that bought and sold Medicare beneficiary information, and for operating companies that submitted claims for orthotic braces to the Medicare Program. Court documents allege that the two charged individuals brokered the sale of physician orders that ultimately were billed to Medicare for more than $10 million.
- The United States charged one company by criminal information with one count of conspiracy. According to court documents, the company brokered the sale of physician orders that ultimately were billed to Medicare for more than $10 million.
- The United States also charged by criminal information four companies that were created for the specific purpose of billing related to this scheme and billed no less than $8 million.
Indictments or criminal informations contain only charges; defendants are presumed innocent unless and until proven guilty.
“Through the dedicated work of U.S. Attorney Christine’s office, the FBI, HHS-OIG and our Medicaid Fraud Division, those who attempt to bilk government programs will be held accountable,” said Georgia Attorney General Chris Carr. “We are proud of this collaborative effort to stop the architects and implementers of these sophisticated healthcare schemes in their tracks.”
“The FBI and its Savannah Resident Agency are proud to have participated in this nationwide effort to help protect the much-needed federal funds that Medicare provides,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “When providers are driven by greed and abuse the Medicare program, every taxpaying citizen is a victim, especially those who use the federal funds for their health care needs. Improper billing inflates costs, and the FBI and its law enforcement partners are determined to hold those who do it accountable.”
“Being a healthcare professional in the Medicare program is a privilege, not a right. When physicians and other healthcare providers put their own financial gain above patient well-being and honest billing of government health programs, they violate the basic trust that taxpayers extend to healthcare professionals,” said Special Agent in Charge Derrick L. Jackson, with the Department of Health and Human Services Office of Inspector General. “These charges put corrupt medical professionals on alert that law enforcement will do everything possible to root out all forms of waste, fraud and abuse in our federal health care programs.”
“This type of corruption involving health care fraud against Medicare and Medicaid has managed to defraud American taxpayers of millions upon millions of dollars,” said Resident Agent in Charge Glen M. Kessler of the U.S. Secret Service. “The U.S. Secret Service is always willing to take prompt and coordinated actions to hold these telemarketers and medical professionals responsible for placing personal greed above the good of the public.”
This investigation is ongoing. Any doctors or medical professionals who have been involved with alleged fraudulent telemedicine and medical equipment marketing schemes should report this conduct to the FBI hotline at 1-800-CALL-FBI. Any beneficiaries who believe their identity may have been used fraudulently also should contact the FBI hotline.
U.S. Attorney Christine acclaimed the hard work of the investigatory team, led by the FBI, the Department of Health and Human Services Office of Inspector General, the United States Secret Service and the office of the Attorney General of Georgia.
Assistant U.S. Attorneys J. Thomas Clarkson and Jonathan A. Porter are prosecuting these cases on behalf of the United States, and Assistant Attorney General James P. Mooney is prosecuting cases on behalf of the Georgia Medicaid Fraud Control Unit.
New York Man Pleads Guilty to Assault Aboard Cruise ShipRead the Press Release
BOSTON – A New York man pleaded guilty today in federal court in Boston for assaulting a woman aboard a cruise ship.
Adam Damian Panetta, 45, of Farmingville, N.Y., pleaded guilty to one count of assault resulting in substantial bodily injury. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for Jan. 8, 2020. Panetta was arrested and charged in April 2019.
On April 25, 2019, while aboard the Norwegian Cruise Line’s Gem, Panetta was observed on surveillance video pulling a woman by her hair down the full length of a hallway. The two were then observed outside of one of the cabins. While Panetta attempted to open the cabin door, the woman stuck Panetta in the face with an open hand. Panetta then turned toward the woman and punched her twice in the side of her head with a closed fist. The woman fell to the ground and appeared to be unconscious. Panetta entered the cabin and left the woman on the floor in the hallway. After about one minute, Panetta came out of the cabin and leaned down to the woman, who was unresponsive. Eventually, the woman began to crawl into the room. Panetta did not appear to assist her, and as she began to crawl, Panetta kicked her twice in the buttocks. He then followed her into the room.
The two left the room a short while later and the woman was holding a white towel over her head, which appeared to be stained with blood. The two arrived at the ship’s medical center where the woman was treated for her injuries, which included approximately 8cm of swelling on the right side of her head as well as a 2.5 cm laceration that required five stiches.
At the time of the alleged assault, the ship was approximately 200 miles off the coast of Massachusetts. Panetta was taken into custody when the ship arrived into the port of Boston.
The charge of assault resulting in substantial bodily injury provides a sentence of up to five years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Lelling’s Major Crimes Unit is prosecuting the case.
New York Man Charged with Armed Bank RobberyRead the Press Release
BOSTON – A New York man was arrested today and charged in federal court in Boston with the Aug. 19, 2019, armed robbery of a branch of the Bank of America in Revere.
David J. Hattersly, 45, was charged by criminal complaint with one count of armed bank robbery. Hattersley was detained on conditions following an initial appearance today.
According to the charging documents, on Aug. 19, 2019, at approximately 1:30 p.m., an individual entered a branch of the Bank of America in Revere. The individual approached a teller’s station, passed a threatening demand note, and pointed what appeared to be a black semi-automatic pistol at the teller. The teller handed the individual cash from her drawer and the individual exited the bank. Bank surveillance cameras captured images of the bank robber as a 6’ tall, heavily tattooed, white male, wearing a white tank top, and pointing a black semi-automatic handgun at the teller. A post-robbery audit revealed that the individual stole over $13,000 during the robbery.
Police who interviewed the bank employees, learned that the individual had escaped the area on an MBTA bus. A short time later, a person matching the individual’s description was located in a residential neighborhood. According to court documents, the individual, later determined to be Hattersly, was in possession of a large sum of cash and a black pistol, which was later was later determined to be a BB gun. Hattersly was arrested without incident. Police also discovered that Hattersly was the subject of outstanding warrants in New York.
The charging statute provides for a sentence of up to 25 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences imposed by a federal district court judge based upon the US Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigations, Boston Field Division; and Revere Police Chief James Guido made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Nepalese Citizen Arrested and Charged with Attempting to Entice and Meet A 12-Year-Old Child to Engage in Sexual ActivityRead the Press Release
Jacksonville, Florida – Sanjay Lama (29, Jacksonville) has been arrested and charged with using the internet to attempt to entice a 12-year-old child to engage in sexual activity. Lama is a citizen of Nepal who is legally residing in Jacksonville. If convicted, he faces a mandatory minimum penalty of 10 years, and up to life, in federal prison and a potential life term of supervised release. Lama has been detained pending a detention hearing scheduled for October 1, 2019.
According to court documents, on September 25, 2019, an undercover FBI agent, who was posing online as a 12-year-old child, was contacted by the user “Awesome_Jack,” who was later identified as Lama. On that day, during an online conversation between Lama and the undercover agent, Lama expressed his desire to meet the “child” to engage in sexual activity. Lama further provided the undercover agent with details about the sexual acts that he wished to perform on the “child.” Later that day, Lama rode his motorcycle to a prearranged location in Jacksonville to meet the “child” and was arrested by FBI agents.
This case was investigated by the Federal Bureau of Investigation in Jacksonville. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Murray, Kentucky Child Predator Found Guilty by JuryRead the Press Release
PADUCAH, Ky. – A Calloway County, Kentucky, man, has been convicted today on 25 counts of production of child pornography, one count of receipt of child pornography, and one count of sex trafficking children. The jury convicted Jeffrey Desmond Carter, age 40, following a five-day jury trial after 2.5 hours of deliberation.
“When I talk about the feds being good partners to state and local law enforcement, this outcome is where words translated into a result with our kids as the beneficiaries,” said U.S. Attorney Russell Coleman. “What began with Murray PD, Calloway County SO, and the KY State Police was then ably-prosecuted by a talented federal prosecutor supported by a team of dedicated support professionals. More to come; we are committed to being good partners in serving all 53 counties of our district.”
Carter, of Murray, Kentucky, was charged on October 18, 2016, by a federal grand jury with 25 counts of production of child pornography, one count of receipt of child pornography, and one count of sex trafficking children.
According to a pretrial memo, on February 5, 2015, the Calloway County Sheriff’s Department was notified that a 15 year-old female had sent sexually explicit photos and videos of herself to Carter, through a Facebook messenger account under the name of Adam Bryan. The investigation soon merged with an investigation by the Murray Police Department.
At the same time the Calloway County report was made, another report was being made to the Murray Police Department that a 14-year old girl sent nude images to Carter. Through investigative techniques, Carter was identified and a search warrant was obtained for his Murray, Kentucky, apartment.
A search warrant for Carter’s apartment was executed on February 10, 2015, by law enforcement agents from the Murray Police Department, Calloway County Sheriff’s Department, and Kentucky State Police. A number of items were seized from the residence including electronic devices. Carter was present when the warrant was executed and was taken to the Murray Police Department for questioning. After waiving his Miranda rights, Carter admitted to using the “Adam Bryan” Facebook account and to contacting girls under the age of 18 and requesting nude images and videos from them. Further, Carter admitted to engaging in sexual acts with a number of minor females and to recording those encounters. Carter stated that he would pay money or provide gifts to the minor females in exchange for participating in the sex acts or for sending nude images or videos. In addition to his verbal confession Carter wrote out a confession; in this written confession, Carter specifically names six of the victims listed in the indictment, and provides a description of a seventh.
The Kentucky Regional Computer Forensics Laboratory performed an analysis on the devices seized during the search warrant; in reviewing the reports and data an FBI special agent and other authorities were able to identify at least 12 victims, including those already known to law enforcement.
Sentencing in this case is set for 11:00 AM Central time, on January 14, 2020, in Paducah, before Senior United States District Judge Thomas B. Russell. Carter faces a mandatory prison term of no less than 15 years and a maximum of 30 years for counts 1-22, 24, 25, & 27; no less than 5 years and a maximum of 20 years for count 23; no less than 10 years and a maximum of life imprisonment for count 26; and up to and including a lifetime period of supervised release. There is no parole in the federal system.
The case is being prosecuted by Assistant United States Attorney Seth A. Hancock and was investigated by the Federal Bureau of Investigation. In addition to the original investigative agencies including the Murray Police Department, Calloway County Sheriff’s Department, and the Kentucky State Police, assistance in the federal investigation was received from the Marshall County Sheriff’s Department; McCracken County Sheriff’s Department; Metropolis, Illinois Police Department; Murray State University Police Department; and the Purchase Area Sexual Assault and Child Advocacy Center.
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This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.
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Montgomery Man Sentenced to 77 Months in Prison for Being a Felon in Possession of a FirearmRead the Press Release
MONTGOMERY, ALABAMA – On Friday, September 27, 2019, Darrell Gamble, 52, of Montgomery, Alabama, was sentenced to 77 months in prison for possession of a firearm by a convicted felon, announced United States Attorney Louis V. Franklin, Sr. There is no parole in the federal system. In addition to the nearly six and a half year sentence, he will be subject to five years of supervised release.
On February 10, 2018, the Montgomery Police Department received report of shots being fired near the Fairview Avenue and I-65 interchange. When officers arrived on the scene, they saw Gamble fleeing the area and noticed that he matched the description of one of those involved. After a brief foot chase, officers apprehended Gamble and found a handgun in his jacket pocket. Gamble has previous felony convictions and is prohibited from possessing a firearm. Court records indicate that Gamble was on supervised release from a previous federal drug conviction at the time of this incident.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and Montgomery Police Department investigated the case, with assistance from the Montgomery County Sheriff’s Office and the Alabama Department of Forensic Sciences. Assistant United States Attorneys Thomas Govan and Bradley Bodiford prosecuted the case.
Midwest Health Care Fraud Law Enforcement Action Results in Charges Against 53 Individuals Alleging $250 Million in LossRead the Press Release
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division announced today a health care fraud law enforcement action in Detroit, Chicago and Minnesota. Charges were filed against 20 individuals in the Eastern District of Michigan for their alleged involvement in Medicare fraud schemes resulting in $144.8 million in illegitimate billings. In the Northern District of Illinois, charges were filed against 12 individuals for their alleged involvement in Medicare fraud schemes resulting in over $103 million in illegitimate billings. Of those charged in the two federal districts, seven were doctors or licensed medical professionals. In addition, in the state of Minnesota, 21 defendants, including two licensed medical professionals, have been charged with defrauding Medicaid for almost $3 million. Minnesota’s Medicaid Fraud Control Unit (MFCU) investigated these cases.
Today’s enforcement actions were led and coordinated by the Health Care Fraud Unit of the Criminal Division’s Fraud Section in conjunction with its Medicare Fraud Strike Force (MFSF) partners, a partnership among the Criminal Division, U.S. Attorney’s Offices, the FBI and U.S. Health and Human Services-Office of Inspector General (HHS-OIG).
The charges announced today aggressively target schemes billing Medicare, Medicaid and private insurance companies for medically unnecessary procedures, medical procedures that were never provided and prescription medications that often were never purchased and/or distributed to beneficiaries.
“Health care fraud robs taxpaying Americans and corrupts the relationship between doctors and patients,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Today’s actions in the Midwest are further proof of the Department’s steadfast commitment to investigating and prosecuting those who put their personal greed above the public good.”
“I applaud the actions taken by our law enforcement partners to seek out and hold accountable those who choose to defraud our health care programs,” said U.S. Attorney Matthew Schneider of the Eastern District of Michigan. “These charges should send a strong message to health care professionals that theft from these vital programs will be met with serious consequences.”
“The abuse of our healthcare programs affects all taxpayers, who foot the bill to make coverage available,” said Special Agent in Charge Steven M. D’Antuono of the FBI’s Detroit Field Office. “These offenders stole American taxpayers' hard-earned money to line their own pockets. We thank our federal and state partners for their collaborative efforts to stop this systemic fraud.”
“As we pursue these cases, our focus is always on the beneficiaries and taxpayers who rely on us to protect the integrity of Medicare programs,” said Special Agent in Charge Lamont Pugh III of the HHS-OIG Chicago Region. “We will continue to work with our law enforcement partners to hold accountable anyone who steals taxpayer dollars and threatens the integrity of this vital benefit.”
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Among those charged in cases handled by Strike Force attorneys in the Eastern District of Michigan are the following:
James Letko, 46, of Pittstown, New Jersey; Steven King, 41, of Pembroke Pines, Florida; Patricia Flannery, 40, of Hellertown, Pennsylvania; Katherine Peterson, 33, of Millford, New Jersey; and Rami Lazeki, 40, of Plymouth, Michigan, were charged in an indictment filed Sept. 26 with one count of conspiracy to commit health care fraud and five counts of health care fraud. The charges stem from an alleged $80 million, multi-prong health care fraud scheme run by Letko, the CEO of A1C Holdings; King, its chief compliance officer; Flannery and Peterson, members of its management team; and Lazeki, pharmacist in charge at All American Medical Pharmacy. All five allegedly conspired to direct employees of multiple subsidiary pharmacies under A1C Holdings to conceal Letko’s ownership in the subsidiary pharmacies; falsify contracts with pharmacy benefit managers to conceal Letko’s ownership interest; classify subsidiary pharmacies as mail order when in fact they were retail pharmacies; authorize refills without patient consent and fail to collect co-pays to induce patients to accept refills of medically unnecessary medications and diabetic testing supplies. The FBI and HHS-OIG investigated the case. Assistant Chief Malisa Dubal of the Criminal Division’s Fraud Section is prosecuting the case.
Regina Black, 50, of Shelby Township, Michigan, owner of Rehabilitative Counseling and Behavior Services of America of Clinton Township, Michigan, was charged in an indictment filed Sept. 17 and unsealed today with five counts of health care fraud and three counts of wire fraud. The charges stem from Black’s alleged role in a $4.9 million health care fraud scheme, in which she advertised and offered services, such as dancing, field trips and other social activities for Medicare enrollees at senior residential buildings. Using the enrollees’ Medicare numbers, Black allegedly caused Medicare to be billed for individual and group psychotherapy services that were not medically necessary, not rendered and/or not otherwise eligible for reimbursement through Medicare. The FBI and HHS-OIG investigated the case. Trial Attorneys Steven Scott and Claire Sobczak of the Fraud Section are prosecuting the case.
Robert Cornfield, D.P.M., 55, of Rochester, Michigan, a podiatrist and owner of Robert H. Cornfield, DPM PC of Rochester, Michigan, was charged in an indictment filed Sept. 17 and unsealed today with five counts of health care fraud. The charges stem from Cornfield’s alleged role in a $1.7 million health care fraud scheme in which Cornfield submitted or caused the submission of claims to Medicare for podiatric services he never provided. Specifically, Cornfield allegedly defrauded Medicare by submitting claims for nail avulsions without actually performing the service. From January 2010 through July 2019, Cornfield allegedly billed Medicare for more than 17,000 nail avulsion procedures, ranking him among the highest in the country for that procedure. The FBI and HHS-OIG investigated the case. Trial Attorneys Steven Scott and Jay McCormack of the Fraud Section are prosecuting the case.
Anthony Weinert, D.P.M., 48, of Oakland, Michigan, owner of Anthony Weinert DPM P.C. in Warren, Michigan, and Troy Surgicare in Troy, Michigan, was charged in an indictment filed Sept. 24 and unsealed yesterday with eight counts of health care fraud. The charges stem from Weinert’s alleged role in a $1.7 million health care fraud scheme, in which Weinert submitted or caused the submission of claims to Medicare for podiatric services he did not provide. Specifically, Weinert allegedly defrauded Medicare by submitting claims for nail avulsions, capsulotomies and mass removals without actually providing the services. The FBI and HHS-OIG investigated the case. Trial Attorneys Jay McCormack and Steven Scott of the Fraud Section are prosecuting the case.
Christopher Fratine, 52, of West Branch, Michigan, owner of Unity Home Health Care LLC of West Branch, Michigan, was charged in an indictment filed Sept. 26 with nine counts of health care fraud and three counts of wire fraud. The charges stem from Fratine’s alleged role in an $18.2 million home health care fraud scheme in which he submitted or caused the submission of claims for home health episodes that were not provided. The FBI, HHS-OIG, and Michigan State Police investigated the case. Trial Attorney Steven Scott of the Fraud Section is prosecuting the case.
Sharon King, 66, of Bloomfield Hills, Michigan, was charged in a superseding indictment filed Sept. 19 and unsealed today with three counts of conspiracy to pay and receive health care kickbacks. One of the counts alleges that King engaged in these acts while on supervised release. These charges come in addition to her original charge for conspiracy to commit health care fraud, which was originally filed in June 2018 and which remains pending. The charges stem from King’s alleged role in a scheme to fraudulently bill Medicare in excess of $2.5 million for physician and home health services that were medically unnecessary, never provided and induced by kickbacks. As part of the scheme, King allegedly provided kickbacks, including prescriptions for controlled substances, to Medicare beneficiaries who agreed to accept physician services from Thomas Mays, M.D. and referrals for home health services provided by Personal Touch, Inij Home Healthcare and other home health agencies. These purported home health and physician services were allegedly often medically unnecessary, not actually provided and/or induced by health care kickbacks. The FBI and HHS-OIG investigated the case. Trial Attorney Jay McCormack is prosecuting the case, which Trial Attorney Tom Tynan of the Fraud Section initially handled.
Farzana Haris, 59, of Canton, Michigan, owner and operator of Inij Home Health Care, was charged in an information filed Sept. 26 with one count of conspiracy to commit health care fraud. The charge stems from Haris’ alleged role in a scheme with co-conspirators Sharon King and Dr. Thomas Mays, M.D. to fraudulently bill Medicare approximately $1.1 million for home health services that were medically unnecessary, never provided and induced by kickbacks. The FBI and HHS-OIG investigated the case. Trial Attorney Jay McCormack is prosecuting the case, which Trial Attorney Tom Tynan initially handled.
Charles Hobson Sr., 78 of Southfield, Michigan, co-owner and operator of Personal Touch Home Health Care, and Charles Hobson, Jr., 50, of Lathrup Village, Michigan, co-owner and operator of Personal Touch Home Health Care were charged in an information filed Aug. 23 with one count of conspiracy to pay and receive kickbacks and bribes in connection with a federal health care program. The charge stems from the Hobsons’ alleged role in a scheme with co-conspirator Sharon King, in which the Hobsons paid kickbacks to King and other patient recruiters in exchange for recruiting Medicare beneficiaries to Personal Touch. The FBI and HHS-OIG investigated the case. Trial Attorney Jay McCormack is prosecuting the case, which Trial Attorney Tom Tynan initially handled.
Mohamed Gomaa, 28, of Dearborn Heights, Michigan, a licensed pharmacist and owner of MedlifeRx Pharmacy of Auburn Hills, Michigan, was charged in an indictment filed Sept. 26 with four counts of mail fraud. The charges stem from Gomaa’s alleged role in a $3.48 million scheme that dispensed expensive and medically unnecessary medications, using forged or fraudulent prescriptions, and sent them by mail to Medicare, Medicaid, BCBS and other private insurance beneficiaries who did not want or need them. Gomaa then allegedly billed Medicare and the other various insurance programs and insurers for the high-cost drugs. The FBI and HHS-OIG investigated the case. Trial Attorney Patrick Suter of the Fraud Section is prosecuting the case.
Yogesh Pancholi, 40, of Northville, Michigan, owner of Shring Home Health Care (Shring) of Livonia, Michigan, was charged in an indictment filed Sept. 24 and unsealed yesterday with one count of conspiracy to commit health care fraud and wire fraud, two counts of health care fraud and two counts of money laundering. The charges stem from Pancholi’s alleged role in a $2.8 million home health “bust out” scheme for the submission of request for advance payments or RAPs. Pancholi allegedly submitted RAP claims through Shring for services not prescribed or rendered to Medicare. The FBI and HHS-OIG investigated the case. Trial Attorney Patrick Suter is prosecuting the case.
Kenneth Mitchell, D.P.M., 57, of Southfield, Michigan, a licensed podiatrist and minority owner of Urban Health Care Group LLC of Southfield, Michigan, was charged in a superseding indictment filed Sept. 17 and unsealed yesterday with one count of falsification of records in a federal investigation. These charges come in addition to Mitchell’s original charges filed Sept. 17 consisting of one count of conspiracy to commit health care fraud and wire fraud and three counts of health care fraud. The charges stem from Mitchell’s alleged role in a $1.8 million scheme by which he and co-conspirators submitted false and fraudulent claims for medically unnecessary podiatry and other services on behalf of Urban Health Care Group LLC. HHS-OIG investigated the case. Trial Attorney Patrick Suter of the Fraud Section is prosecuting the case.
Among those charged in cases handled by Strike Force attorneys in the Northern District of Illinois are the following:
Mark Sorensen, 50, of Chicago, Illinois, and Paulina Goncharova, 30, of Minneapolis, Minnesota, were indicted on Sept. 24 on one count of conspiracy to pay kickbacks and three counts of kickbacks. Sorensen was the owner and Goncharova was the Vice President of Finance for Symed, a Medicare-enrolled durable medical equipment (DME) pharmacy in Chicago, Illinois. The charges stem from Sorensen and Goncharova’s roles in a scheme to fraudulently obtain money from Medicare for braces including paying kickbacks to purchase signed doctors’ prescriptions and falsification of business records. Between April 2015 and April 2018, Symed billed Medicare approximately $87 million, and was paid $25 million for DME claims. Trial Attorney Leslie S. Garthwaite of the Fraud Section is prosecuting the case.
Altamash Mir, 43, formerly of Oak Brook, Illinois and Palos Hills, Illinois, owner of a home health “consulting” business and concealed owner of home health agencies; Muhammad Ateeq, 31, of Rawalpindi, Pakistan, a biller and concealed owner of home health agencies; Nadir Mir, 31, of Las Vegas, Nevada, manager of a home health agency; Tasneem Jamal, 66, formerly of Oak Brook, Illinois and Palos Hills, Illinois, administrator and nominee owner of a home health agency; Hamdeh Chatat, 37 of Highland, Indiana, administrator of a home health agency and a home health “consultant”; Bilal Malik, 41, of Palos Hills, Illinois, Las Vegas, Nevada, and San Bernadino, California, nominee owner of a home health agency; Kendria Cochran, 28, Chicago, Illinois, manager of multiple home health agencies; and Luis Ramos, 28, of Chicago Heights, Illinois, manager of multiple home health agencies, were charged on Sept. 26, 2019, in a 35-count indictment that alleges health care fraud, conspiracy to commit money laundering, concealment of money laundering, false statements relating to health care matters, and engaging in monetary transactions in criminally derived property of greater than $10,000 in value. The charges stem from the defendants’ alleged roles in at least approximately a $40 million fraud scheme in which home health agencies were acquired using fake aliases and/or nominee owners and used to submit fraudulent claims for home health services that were never rendered. Trial Attorney Patrick Mott and Assistant U.S. Attorney Jeremy Daniel are prosecuting the case.
Renato Duarte, Psy.D., 60, of Chicago, Illinois, was charged in an indictment filed Sept. 19 and unsealed today with six counts of health care fraud. The charges stem from Duarte’s billing for providing psychological counseling services to patients who he did not see, including while he was traveling outside of the Chicago area. This caused at least approximately $1.07 million in loss between June 2016 and April 2019. Trial Attorney Leslie S. Garthwaite of the Fraud Section is prosecuting the case.
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The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The Fraud Section leads the Medicare Fraud Strike Force (MFSF), which is part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, MFSF maintains 15 strike forces operating in 24 districts and has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Midwest Health Care Fraud Law Enforcement Action Results in Charges Against 53 Individuals Alleging $250 Million in LossRead the Press Release
WASHINGTON – Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division announced today a health care fraud law enforcement action in Detroit, Chicago and Minnesota. Charges were filed against 20 individuals in the Eastern District of Michigan for their alleged involvement in Medicare fraud schemes resulting in $144.8 million in illegitimate billings. In the Northern District of Illinois, charges were filed against 12 individuals for their alleged involvement in Medicare fraud schemes resulting in over $103 million in illegitimate billings. Of those charged in the two federal districts, seven were doctors or licensed medical professionals. In addition, in the state of Minnesota, 21 defendants, including two licensed medical professionals, have been charged with defrauding Medicaid for almost $3 million. Minnesota’s Medicaid Fraud Control Unit (MFCU) investigated these cases.
Today’s enforcement actions were led and coordinated by the Health Care Fraud Unit of the Criminal Division’s Fraud Section in conjunction with its Medicare Fraud Strike Force (MFSF) partners, a partnership among the Criminal Division, U.S. Attorney’s Offices, the FBI and U.S. Health and Human Services-Office of Inspector General (HHS-OIG).
The charges announced today aggressively target schemes billing Medicare, Medicaid and private insurance companies for medically unnecessary procedures, medical procedures that were never provided and prescription medications that often were never purchased and/or distributed to beneficiaries.
“Health care fraud robs taxpaying Americans and corrupts the relationship between doctors and patients,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Today’s actions in the Midwest are further proof of the Department’s steadfast commitment to investigating and prosecuting those who put their personal greed above the public good.”
“I applaud the actions taken by our law enforcement partners to seek out and hold accountable those who choose to defraud our health care programs”, said U.S. Attorney Matthew Schneider of the Eastern District of Michigan. “These charges should send a strong message to health care professionals that theft from these vital programs will be met with serious consequences.”
“The abuse of our healthcare programs affects all taxpayers, who foot the bill to make coverage available,” said Special Agent in Charge Steven M. D’Antuono of the FBI’s Detroit Field Office. “These offenders stole American taxpayers' hard-earned money to line their own pockets. We thank our federal and state partners for their collaborative efforts to stop this systemic fraud.”
“As we pursue these cases, our focus is always on the beneficiaries and taxpayers who rely on us to protect the integrity of Medicare programs,” said Special Agent in Charge Lamont Pugh III of the HHS-OIG Chicago Region. “We will continue to work with our law enforcement partners to hold accountable anyone who steals taxpayer dollars and threatens the integrity of this vital benefit.”
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Among those charged in cases handled by Strike Force attorneys in the Eastern District of Michigan are the following:
James Letko, 46, of Pittstown, New Jersey; Steven King, 41, of Pembroke Pines, Florida; Patricia Flannery, 40, of Hellertown, Pennsylvania; Katherine Peterson, 33, of Millford, New Jersey; and Rami Lazeki, 40, of Plymouth, Michigan, were charged in an indictment filed Sept. 26 with one count of conspiracy to commit health care fraud and five counts of health care fraud. The charges stem from an alleged $80 million, multi-prong health care fraud scheme run by Letko, the CEO of A1C Holdings; King, its chief compliance officer; Flannery and Peterson, members of its management team; and Lazeki, pharmacist in charge at All American Medical Pharmacy. All five allegedly conspired to direct employees of multiple subsidiary pharmacies under A1C Holdings to conceal Letko’s ownership in the subsidiary pharmacies; falsify contracts with pharmacy benefit managers to conceal Letko’s ownership interest; classify subsidiary pharmacies as mail order when in fact they were retail pharmacies; authorize refills without patient consent and fail to collect co-pays to induce patients to accept refills of medically unnecessary medications and diabetic testing supplies. The FBI and HHS-OIG investigated the case. Assistant Chief Malisa Dubal of the Criminal Division’s Fraud Section is prosecuting the case.
Regina Black, 50, of Shelby Township, Michigan, owner of Rehabilitative Counseling and Behavior Services of America of Clinton Township, Michigan, was charged in an indictment filed Sept. 17 and unsealed today with five counts of health care fraud and three counts of wire fraud. The charges stem from Black’s alleged role in a $4.9 million health care fraud scheme, in which she advertised and offered services, such as dancing, field trips and other social activities, for Medicare enrollees at senior residential buildings. Using the enrollees’ Medicare numbers, Black allegedly caused Medicare to be billed for individual and group psychotherapy services that were not medically necessary, not rendered and/or not otherwise eligible for reimbursement through Medicare. The FBI and HHS-OIG investigated the case. Trial Attorneys Steven Scott and Claire Sobczak of the Fraud Section are prosecuting the case.
Robert Cornfield, D.P.M., 55, of Rochester, Michigan, a podiatrist and owner of Robert H. Cornfield, DPM PC of Rochester, Michigan, was charged in an indictment filed Sept. 17 and unsealed today with five counts of health care fraud. The charges stem from Cornfield’s alleged role in a $1.7 million health care fraud scheme, in which Cornfield submitted or caused the submission of claims to Medicare for podiatric services he never provided. Specifically, Cornfield allegedly defrauded Medicare by submitting claims for nail avulsions without actually performing the service. From January 2010 through July 2019, Cornfield allegedly billed Medicare for more than 17,000 nail avulsion procedures, ranking him among the highest in the country for that procedure. The FBI and HHS-OIG investigated the case. Trial Attorneys Steven Scott and Jay McCormack of the Fraud Section are prosecuting the case.
Anthony Weinert, D.P.M., 48, of Oakland, Michigan, owner of Anthony Weinert DPM P.C. in Warren, Michigan, and Troy Surgicare in Troy, Michigan, was charged in an indictment filed Sept. 24 and unsealed yesterday with eight counts of health care fraud. The charges stem from Weinert’s alleged role in a $1.7 million health care fraud scheme, in which Weinert submitted or caused the submission of claims to Medicare for podiatric services he did not provide. Specifically, Weinert allegedly defrauded Medicare by submitting claims for nail avulsions, capsulotomies and mass removals without actually providing the services. The FBI and HHS-OIG investigated the case. Trial Attorneys Jay McCormack and Steven Scott of the Fraud Section are prosecuting the case.
Christopher Fratine, 52, of West Branch, Michigan, owner of Unity Home Health Care LLC of West Branch, Michigan, was charged in an indictment filed Sept. 26 with nine counts of health care fraud and three counts of wire fraud. The charges stem from Fratine’s alleged role in an $18.2 million home health care fraud scheme, in which he submitted or caused the submission of claims for home health episodes that were not provided. The FBI, HHS-OIG, and Michigan State Police investigated the case. Trial Attorney Steven Scott of the Fraud Section is prosecuting the case.
Sharon King, 66, of Bloomfield Hills, Michigan, was charged in a superseding indictment filed Sept. 19 and unsealed today with three counts of conspiracy to pay and receive health care kickbacks. One of the counts alleges that King engaged in these acts while on supervised release. These charges come in addition to her original charge for conspiracy to commit health care fraud, which was originally filed in June 2018 and which remains pending. The charges stem from King’s alleged role in a scheme to fraudulently bill Medicare in excess of $2.5 million for physician and home health services that were medically unnecessary, never provided and induced by kickbacks. As part of the scheme, King allegedly provided kickbacks, including prescriptions for controlled substances, to Medicare beneficiaries who agreed to accept physician services from Thomas Mays, M.D. and referrals for home health services provided by Personal Touch, Inij Home Healthcare and other home health agencies. These purported home health and physician services were allegedly often medically unnecessary, not actually provided and/or induced by health care kickbacks. The FBI and HHS-OIG investigated the case. Trial Attorney Jay McCormack is prosecuting the case, which Trial Attorney Tom Tynan of the Fraud Section initially handled.
Farzana Haris, 59, of Canton, Michigan, owner and operator of Inij Home Health Care, was charged in an information filed Sept. 26 with one count of conspiracy to commit health care fraud. The charge stems from Haris’ alleged role in a scheme with co-conspirators Sharon King and Dr. Thomas Mays, M.D. to fraudulently bill Medicare approximately $1.1 million for home health services that were medically unnecessary, never provided and induced by kickbacks. The FBI and HHS-OIG investigated the case. Trial Attorney Jay McCormack is prosecuting the case, which Trial Attorney Tom Tynan initially handled.
Charles Hobson Sr., 78 of Southfield, Michigan, co-owner and operator of Personal Touch Home Health Care, and Charles Hobson, Jr., 50, of Lathrup Village, Michigan, co-owner and operator of Personal Touch Home Health Care were charged in an information filed Aug. 23 with one count of conspiracy to pay and receive kickbacks and bribes in connection with a federal health care program. The charge stems from the Hobsons’ alleged role in a scheme with co-conspirator Sharon King, in which the Hobsons paid kickbacks to King and other patient recruiters in exchange for recruiting Medicare beneficiaries to Personal Touch. The FBI and HHS-OIG investigated the case. Trial Attorney Jay McCormack is prosecuting the case, which Trial Attorney Tom Tynan initially handled.
Mohamed Gomaa, 28, of Dearborn Heights, Michigan, a licensed pharmacist and owner of MedlifeRx Pharmacy of Auburn Hills, Michigan, was charged in an indictment filed Sept. 26 with four counts of mail fraud. The charges stem from Gomaa’s alleged role in a $3.48 million scheme that dispensed expensive and medically unnecessary medications, using forged or fraudulent prescriptions, and sent them by mail to Medicare, Medicaid, BCBS and other private insurance beneficiaries who did not want or need them. Gomaa then allegedly billed Medicare and the other various insurance programs and insurers for the high-cost drugs. The FBI and HHS-OIG investigated the case. Trial Attorney Patrick Suter of the Fraud Section is prosecuting the case.
Yogesh Pancholi, 40, of Northville, Michigan, owner of Shring Home Health Care (Shring) of Livonia, Michigan, was charged in an indictment filed Sept. 24 and unsealed yesterday with one count of conspiracy to commit health care fraud and wire fraud, two counts of health care fraud and two counts of money laundering. The charges stem from Pancholi’s alleged role in a $2.8 million home health “bust out” scheme for the submission of request for advance payments or RAPs. Pancholi allegedly submitted RAP claims through Shring for services not prescribed or rendered to Medicare. The FBI and HHS-OIG investigated the case. Trial Attorney Patrick Suter is prosecuting the case.
Kenneth Mitchell, D.P.M., 57, of Southfield, Michigan, a licensed podiatrist and minority owner of Urban Health Care Group LLC of Southfield, Michigan, was charged in a superseding indictment filed Sept. 17 and unsealed yesterday with one count of falsification of records in a federal investigation. These charges come in addition to Mitchell’s original charges filed Sept. 17 consisting of one count of conspiracy to commit health care fraud and wire fraud and three counts of health care fraud. The charges stem from Mitchell’s alleged role in a $1.8 million scheme by which he and co-conspirators submitted false and fraudulent claims for medically unnecessary podiatry and other services on behalf of Urban Health Care Group LLC. HHS-OIG investigated the case. Trial Attorney Patrick Suter of the Fraud Section is prosecuting the case.
Among those charged in cases handled by Strike Force attorneys in the Northern District of Illinois are the following:
Mark Sorensen, 50, of Chicago, Illinois, and Paulina Goncharova, 30, of Minneapolis, Minnesota, were indicted on Sept. 24 on one count of conspiracy to pay kickbacks and three counts of kickbacks. Sorensen was the owner and Goncharova was the Vice President of Finance for Symed, a Medicare-enrolled durable medical equipment (DME) pharmacy in Chicago, Illinois. The charges stem from Sorensen and Goncharova’s roles in a scheme to fraudulently obtain money from Medicare for braces including paying kickbacks to purchase signed doctors’ prescriptions and falsification of business records. Between April 2015 and April 2018, Symed billed Medicare approximately $87 million, and was paid $25 million for DME claims. Trial Attorney Leslie S. Garthwaite of the Fraud Section is prosecuting the case.
Altamash Mir, 43, formerly of Oakbrook, Illinois and Palos Hills, Illinois, owner of a home health “consulting” business and concealed owner of home health agencies; Muhammad Ateeq, 31, of Rawalpindi, Pakistan, a biller and concealed owner of home health agencies; Nadir Mir, 31, of Las Vegas, Nevada, manager of a home health agency; Tasneem Jamal, 66, formerly of Oakbrook, Illinois and Palos Hills, Illinois, administrator and nominee owner of a home health agency; Hamdeh Chatat, 37 of Highland, Indiana, administrator of a home health agency and a home health “consultant”; Bilal Malik, 41, of Palos Hills, Illinois, Las Vegas, Nevada, and San Bernadino, California, nominee owner of a home health agency; Kendria Cochran, 28, Chicago, Illinois, manager of multiple home health agencies; and Luis Ramos, 28, of Chicago Heights, Illinois, manager of multiple home health agencies, were charged on Sept. 26, 2019, in a 35-count indictment that alleges health care fraud, conspiracy to commit money laundering, concealment of money laundering, false statements relating to health care matters, and engaging in monetary transactions in criminally derived property of greater than $10,000 in value. The charges stem from the defendants’ alleged roles in at least approximately a $40 million fraud scheme in which home health agencies were acquired using fake aliases and/or nominee owners and used to submit fraudulent claims for home health services that were never rendered. Trial Attorney Patrick Mott and Assistant U.S. Attorney Jeremy Daniel are prosecuting the case.
Renato Duarte, Psy.D., 60, of Chicago, Illinois, was charged in an indictment filed Sept. 19 and unsealed today with six counts of health care fraud. The charges stem from Duarte’s billing for providing psychological counseling services to patients who he did not see, including while he was traveling outside of the Chicago area. This caused at least approximately $1.07 million in loss between June 2016 and April 2019. Trial Attorney Leslie S. Garthwaite of the Fraud Section is prosecuting the case.
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The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The Fraud Section leads the Medicare Fraud Strike Force (MFSF), which is part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, MFSF maintains 15 strike forces operating in 24 districts and has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Men Charged for Selling Stolen Military PropertyRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal criminal information has been filed charging JARED KENT NUCCI, age 28, of Fayetteville, NC, with one count of shipping stolen property belonging to the United States military overseas in violation of the International Traffic in Arms Regulations (ITAR). In a separately filed criminal information, JOSE MANUEL ORTIZ-RIVERA, age 32, of Fayetteville, NC, was charged with one count of conspiracy to steal government property.
NUCCI AND ORTIZ-RIVERA conspired with other individuals to steal and illegally sell government property and military equipment. ORTIZ-RIVERA stole military equipment from the United States Army at Ft. Bragg and sold it to others. NUCCI utilized an eBay account to sell and export stolen military equipment to Japan without having first obtained from the Department of State a license for such export or written authorization for such export.
These cases are related to a previous filed indictment charging SCOTT DOUGLAS BROWNING, age 42, of Fayetteville, NC, and a criminal information filed charging Victor Manuel Cortijo, age 39, of Fayetteville, NC. BROWNING was sentenced on August 9, 2019, before Chief Judge Terrance W. Boyle after pleading guilty to two counts including theft of government property and violation of the International Traffic in Arms Regulations. In his plea agreement, BROWNING agreed to make restitution to the U.S. Army in the amount of $1,854,000. On September 16, 2019, CORTIJO pled guilty before Chief Judge Terrance W. Boyle to one count of conspiracy to receive stolen government property. CORTIJO’s plea agreement includes making restitution of $67,500 to the U.S. Army.
If convicted of these charges NUCCI faces maximum penalties of twenty years imprisonment, a fine of $1,000,000 and a term of supervised release following any term of imprisonment. ORTIZ-RIVERA faces maximum penalties of five years imprisonment, a fine of $250,000, and a term of supervised release following any term of imprisonment.
Both NUCCI and ORTIZ-RIVERA are expected to enter guilty pleas in federal court. Their arraignments have not yet been set. The charges and allegations contained in the criminal information’s are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The Defense Criminal Investigative Service, Army Criminal Investigation Division, and the Department of Homeland Security are investigating the case. Assistant United States Attorney Gabriel J. Diaz is prosecuting this case on behalf of the government.
Medina Husband and Wife Indicted by A Federal Grand Jury on Multiple Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned an indictment charging Anthony Allee, 28, and Tashira Allee, 36, both of Medina, NY, with maintaining a drug-involved premises, possession of firearms in furtherance of drug trafficking, unlawful possession of a short-barreled shotgun, and unlawful possession of a short-barreled rifle. The charges carry a mandatory minimum penalty of 10 years in prison and a maximum of life. In addition, Anthony Allee is charged with possession with intent to distribute, and distribution of, marijuana, hydrocodone, and cocaine, unlawful possession of a machinegun, and unlawful possession of a stolen firearm, which carry a mandatory minimum penalty of 30 years in prison and a maximum of life.
Assistant U.S. Attorney Justin G. Bish, who is handling the case, stated that according to the indictment and a previously filed complaint, on July 22, 2019, a search warrant was executed at the defendants’ residence on Ridge Road in Medina. Investigators seized 11 firearms, numerous articles of property reported as stolen, marijuana, pills believed to be controlled substances, ammunition, scales, bags, and other items of evidence including Tashira Allee's cell phone. The firearms included a Taurus Judge pistol that had been reported stolen in the Town of Tonawanda.
Investigators also searched a barn located behind the main house. Inside, a safe was located. Within the safe, officers recovered prescription pill bottles containing pills, and a loaded Colt .45 ACP pistol. Also seized from the barn were digital scales with white powder residue, plastic bags, ammunition, an SKS rifle and magazine, a Ruger model 10-22 carbine, and marijuana.
The defendants were arraigned before U.S. Magistrate Judge H. Kenneth Schroeder, Jr. Tashira Alee was released on conditions. Anthony Allee continues to be detained.
“Under federal law, individuals engaged in drug trafficking activities may not lawfully possess firearms,” stated U.S. Attorney Kennedy. “When they do, however, and when the firearms possessed include stolen guns, machine guns, and sawed-off shotguns and rifles, it suggests that not only are such firearms possessed for an unlawful purpose but for a nefarious and extremely dangerous one as well.”
“Drug trafficking and gun violence are a menace on our communities and will not be tolerated,” said HSI Special Agent-in-Charge Kevin Kelly. “The dismantling of a drug-trafficking operation and seizure of high-powered weapons have a direct, immediate, and positive impact on the quality of life here in Buffalo.”
The indictment is the result of an investigation by the Orleans County Sheriff’s Office, under the direction of Sheriff Randy Bower; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Niagara County Drug Task Force, under the direction of Sheriff James Voutour; the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge James B. Devito; the New York State Police, under the direction of Major Edward Kennedy; and the Orleans County District Attorney’s Office, under the direction of District Attorney Joseph Cardone.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Maryland Man Sentenced to Life in Prison for Murder of Corrina MehielRead the Press Release
WASHINGTON – El Hadji Toure, 30, formerly of Laurel, Md., was sentenced today to life in prison for murder and other charges stemming from the March 2017 murder of artist Corrina Mehiel, whose body was found in a rowhouse in Northeast Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
In March 2019 Toure was found guilty by a jury of a total of 13 charges, including first-degree murder while armed (premeditated and felony), with aggravating circumstances; first-degree sexual abuse while armed, also with aggravating circumstances; kidnapping while armed; first-degree burglary while armed; robbery while armed; first-degree theft; unauthorized use of a vehicle; credit card fraud, and first-degree identity theft. The verdict followed a trial in the Superior Court of the District of Columbia. The Honorable Juliet McKenna sentenced Toure to life in prison without the possibility of release.
According to the government’s evidence, on March 21, 2017, at approximately 4:34 p.m., officers with the Metropolitan Police Department (MPD) found Ms. Mehiel’s body in a rowhouse in the 600 block of 14th Street NE. Ms. Mehiel’s body, which had been bound, showed multiple stab wounds to her neck and side. Ms. Mehiel, 34, of Burnsville, N.C., had been staying in the sublet basement apartment while in Washington for a couple of weeks while working on an art show at the Corcoran Gallery at George Washington University.
On the morning of Monday, March 20, 2017, Ms. Mehiel was packing up her few belongings from the apartment. Toure broke into the residence, kidnapping and sexually assaulting her, stabbing her, and stealing her belongings, including her car and her debit card. Toure later used her debit card to withdraw cash at several ATMs in nearby Maryland and Virginia from March 20 through March 24, 2017.
On the afternoon of March 21, 2017, when no one had heard from Ms. Mehiel, her co-workers entered her apartment and found her body, face down in her bedroom.
The defendant, who was a stranger to Ms. Mehiel, was arrested on March 27, 2017, in Northeast Washington, and has been in custody ever since.
The government’s evidence in the case included surveillance video showing Toure using Ms. Mehiel’s debit card at ATMs; he is also visible on surveillance video on Ms. Mehiel’s block shortly before the attack. Additionally, DNA evidence linked him to the crime.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham commended the work of those investigating the case from the Metropolitan Police Department (MPD). They also expressed appreciation for the assistance provided by the Metro Transit Police Department, the District of Columbia Department of Forensic Sciences, and Signature Science LLC. They acknowledged the efforts of those worked on the case from the U.S. Attorney’s Office, including Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation; Elizabeth Trosman, Chief of the Appellate Division; Chrisellen Kolb, Deputy Chief of the Appellate Division; Stephen R. Prest, Special Counsel for Discovery Policy and Litigation; Assistant U.S. Attorneys Julianne Johnston, Silvia Gonzalez Roman, and Lauren Bates; Victim/Witness Advocate Jennifer Clark; Victim/Witness Services Coordinator LaJune Thames; Supervisory Victim/Witness Services Coordinator Katina Adams-Washington; Supervisory Paralegal Specialists Sharon Newman; Paralegal Specialists Tijuana McPhail and Richard Cheatham; Senior Paralegal Specialist Kathryn Hoey; Litigation Technology Specialist Leif Hickling; Investigative Analyst Zachary McMenamin; Criminal Investigator John Marsh, and Forensic Operation/Program Specialist Elizabeth Marrero.
Finally, they commended the work of Assistant U.S. Attorneys Jeffrey Nestler and Jessi Brooks, who investigated and prosecuted the case.
Maryland Man Pleads Guilty to Federal Wire Fraud Charges in Connection with a Scheme to Defraud Trucking Companies and Brokers of More Than $1 MillionRead the Press Release
Baltimore, Maryland – William Francis Hickey III, age 43, of Elkton, Maryland, pleaded guilty to federal charges of conspiracy to commit wire fraud and wire fraud in connection with a scheme to defraud trucking companies and logistical brokers of more than $1 million. The guilty plea was entered on September 26, 2019.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division; and Special Agent in Charge Jamie Mazzone of the U.S. Department of Transportation Office of Inspector General.
According to his plea agreement, Hickey was the managing member of Hickey Consulting LLC and president of Latino Consulting LLC, both headquartered in Baltimore. Hickey maintained bank accounts in the names of both companies, which he used to deposit checks fraudulently obtained by his co-conspirators.
Specifically, from May 2016 through January 31, 2019, Hickey conspired with others, including a co-conspirator in Pakistan, to devise and execute a scheme to defraud trucking companies and logistical brokers hired by shippers to arrange for trucking companies to transport their loads. As detailed in the plea agreement, logistical brokers are hired by shippers of goods to arrange for transportation of the goods by trucking companies. Brokers pay trucking companies for transporting loads through “truck industry checks,” by providing a numerical code, referred to in the trucking industry as an “express code,” which the trucking company uses to populate a blank check from its book of truck industry checks. The broker typically makes two payments to the trucking company—a fuel advance, which is made after the company has picked up its load, and the final payment after the load has been delivered. Truck industry checks can be deposited into a bank account or cashed at a truck stop or check-cashing establishment.
Hickey admitted that he and his co-conspirators obtained truck industry checks from brokers by posing as legitimate trucking companies; entering into agreements with brokers to transport loads; re-brokering, or “double brokering,” the same load to an actual trucking company; and then seeking payment from the brokers for transportation services that the members of the conspiracy did not provide. After the legitimate trucking company picked up the load, the conspirators requested an express code from the broker for the fuel advance payment, then used the express code to populate and subsequently cash or deposit a truck industry check. In some cases, the conspirators also requested a second express code from the original broker after the load was delivered, to deposit a second truck industry check. The conspirators did not pay the trucking company that actually transported the goods.
Hickey deposited over 1,000 truck industry checks worth $1,171,314.11 into his business bank accounts, knowing that they were obtained as part of the fraud scheme.
Hickey faces a maximum sentence of 20 years in federal prison for the conspiracy and for the wire fraud. U.S. District Judge George L. Russell, III has scheduled sentencing for December 20, 2019 at 9:30 a.m.
United States Attorney Robert K. Hur commended the U.S. Postal Inspection Service and the U.S. Department of Transportation Office of Inspector General for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Peter J. Martinez and Kathleen O. Gavin, who are prosecuting the case.
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Man from Albuquerque Sentenced to 15 Years in Federal Prison for Drug Trafficking and Weapon PossessionRead the Press Release
ALBUQUERQUE, N.M. – Omil Cotto, 33, of Albuquerque, New Mexico, was sentenced in federal court yesterday to 15 years (180 months) in prison for possession with intent to distribute 50 grams or more of methamphetamine and possession of a firearm in furtherance of a drug trafficking crime.
Cotto previously pleaded guilty to these offenses on June 10, 2019. According to public court records, Cotto was involved in a car crash with another motorist in Albuquerque while driving to distribute methamphetamine on May 31, 2018. Cotto got out of his car holding a gun. Cotto then fired several shots at the other vehicle as it drove away.
Law enforcement officers located Cotto at his residence soon after the shooting. They obtained a warrant to search his home and found a backpack containing a pistol of the same caliber used in the shooting. Officers also found about 877.1 grams of methamphetamine in the backpack. Cotto possessed the pistol to protect his methamphetamine, according to his plea agreement.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated this case with the Drug Enforcement Administration and the Bernalillo County Sheriff’s Office. Assistant U.S. Attorney Peter J. Eicker prosecuted the case as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program. OCDETF is a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations.
Man Sentenced to Prison for Cyber SabotageRead the Press Release
ALEXANDRIA, Va. – A Maryland man was sentenced today to two years in prison for illegally accessing his former employer’s network systems, stealing critical servers and information, and causing a loss of over $1.1 million.
According to court documents, Barrence Anthony, 40, of Waldorf, was a systems engineer for Federated IT, a federal contractor that was providing technology services for the U.S. Army Chaplain Corps. After being tipped that his employment was going to be terminated, Anthony engaged in a scheme to sabotage Federated IT’s contract with the U.S. Army Chaplain Corps including by deleting all user and administrator accounts except his to give him sole access to network systems, changing domain name registration information, deleting numerous files belonging to Federated IT, and unlawfully sharing proprietary information belonging to Federated IT with his personal accounts.
Anthony was an insider who intimately knew the victim company’s network and infrastructure. He specifically targeted his actions to do harm to one of the company’s most lucrative contracts with the U.S. Army Chaplain Corps. The proprietary information that Anthony took was specifically built for the U.S. Army Chaplain Corps and the victim company assigned it a value of over $1 million. The cyber sabotage also disrupted a Chaplaincy Resource Management Course in Jackson, South Carolina, impacting 19 chaplain corps students.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Edward LaBarge, Director of the U.S. Army Criminal Investigation Command’s Major Cybercrime Unit, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema. Assistant U.S. Attorney Nathaniel Smith III prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-166.
Mahoning County man indicted for using a firearm while making threats against a Jewish community center in YoungstownRead the Press Release
A Mahoning County man was indicted in federal court for using a firearm while making threats against a Jewish community center in Youngstown.
James P. Reardon, 20, of New Middletown, was indicted in U.S. District Court with one count of transmitting an interstate communication threat and one count of possession of a firearm in furtherance of a crime of violence.
According to the court documents:
New Middletown police contacted the FBI on August 16, 2019, after being made aware of a video posted on Instagram page by user “ira_seamus.” The video depicted Reardon holding an assault rifle. It began with Reardon stating “(expletive) a life.” He then held the rifle in multiple firing positions with audio of gunshots and sound effects of sirens and people screaming added into the background, according to the complaint.
The video also had a caption that stated: “ira_seamus Police identified the Youngstown Jewish Family Community shooter as local white nationalist Seamus O'Rearedon". The video is shown to be tagged at the Jewish Community Center of Youngstown, according to the complaint.
New Middletown police officers showed federal agents on August 16, 2019, other videos in which Reardon was depicted, including: a National Geographic documentary in which Reardon was at the "Unite the Right" rally in Charlottesville, Virginia in August 2017 and an Instagram video posted by Reardon in which he discharges two rounds of ammunition into a cover of a video while making a remark about “Jewish media.”
Members of law enforcement executed a search warrant at Reardon’s residence later that day. Upon entering the basement, investigators observed several firearms and clothing articles that were observed in Reardon’s Instagram video postings, including: an MP-40 sub-machine gun like the one depicted in the video; an AR-15 assault rifle; numerous Nazi World War II propaganda posters; a rifle bayonet; a Hitler Youth Knife; and vintage U.S. military equipment, according to the complaint.
Reardon pulled up to the residence while officers were executing the search warrant and was arrested without incident.
“This defendant used a firearm to threaten people who simply want to worship as they choose, as guaranteed by our Constitution,” U.S. Attorney Justin Herdman said. “Law enforcement will not stand by and allow someone to intimidate others with threats of violence.”
"In today's environment, shootings in public places, churches and schools have occurred too often,” said FBI Special Agent in Charge Eric B. Smith. “Law enforcement must react swiftly to threats of violence. This defendant’s video demonstrated that he had access to weapons and he posed a threat to a Jewish community center. Law enforcement cannot wait to see if a shooting is going to occur, law enforcement must act quickly within the confines of the law to disrupt any potential violent act. The public is reminded -- if you see something, say something.”
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The Federal Bureau of Investigation, the Mahoning Valley Violent Crimes Task Force and the New Middletown Police Department investigated the case. Assistant U.S. Attorneys David Toepfer and Yasmine Makridis are prosecuting the case.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Madison Man Indicted for Conspiracy to Distribute Fentanyl That Resulted in DeathRead the Press Release
BIRMINGHAM –A federal jury on Thursday indicted a Madison man for conspiracy to distribute fentanyl, a potent synthetic opioid painkiller, which resulted in a person’s death, announced U.S. Attorney Jay E. Town and Drug Enforcement Administration Assistant Special Agent in Charge Clay Morris.
A one-count indictment charges JONATHAN RYAN MILLER, 38, with conspiring to distribute and possession with the intent to distribute fentanyl that resulted in a person’s death in December 2017.
“Opioids, especially Fentanyl, are deadly and are responsible for too many overdoses in the Northern District,” Town said. “The safety and well-being of our communities remains my top priority and we will continue to counter the distribution of opioids by aggressively bringing these dealers to justice.”
“Today and once again, DEA provided a measure of justice to a family who lost a loved one. The scourge of opioid abuse is ravaging our country and we continue to see evil people kill others by selling heroin laced with fentanyl. We will continue to provide a voice for those who have been killed by greedy, unscrupulous individuals. The same individuals who care nothing about the lives of those who they continue fueling their addictions even to the point of death. DEA is as steadfast as every in our fight.”
The penalty for distributing a controlled substance that results in death is 20 years to life in prison and a maximum $1 million fine.
DEA investigated the case, which Assistant U.S. Attorney Robert J. Becher Sr. is prosecuting.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Lincoln Couple Sentenced for Transporting and Selling Fish in Violation of Federal LawRead the Press Release
United States Attorney Joe Kelly announced that Phong T. Duong, age 49, and Oanh T. Pham, age 46, both of Lincoln, Nebraska, were sentenced today in federal court in Omaha, Nebraska, for violations of the federal Lacey Act. United States District Court Judge Robert F. Rossiter, Jr., sentenced Duong to two years’ probation for conspiring to traffic wildlife, a felony. Judge Rossiter sentenced Pham to two years’ probation for the illegal taking, transport, and selling of fish, a misdemeanor. Both were ordered to pay restitution in the amount of $16,000.
A joint investigation conducted by the U.S. Fish and Wildlife Service, Nebraska Game and Parks Commission, and Kansas Department of Wildlife, Parks and Tourism determined that Duong, and his spouse, Pham operated a business out of their Lincoln, Nebraska, residence that sold wildlife and fish to customers located in Nebraska.
At various times between May 2013 and July 2016, Duong and Pham obtained fish, typically consisting of crappie, white bass, and wiper, from the Kirwin National Wildlife Refuge, and other reservoirs, located in the State of Kansas, in violation of Kansas wildlife laws. To avoid detection and evade law enforcement, Duong and Pham would routinely change fishing locations upon the Kirwin National Wildlife Refuge, and other reservoirs, stash fish at off-site locations, and utilized “straw fishermen” including minor children and others to conceal fish taken in excess of the established possession limits. Duong and Pham regularly transported the illegally taken fish from the State of Kansas to the State of Nebraska. Upon arrival in the State of Nebraska, the fish would be cleaned and bagged at Duong and Pham’s residence. Duong and Pham would then sell the fish to customers located in Nebraska for a profit.
“The U.S. Fish and Wildlife Service is committed to protecting native species and their habitats for the continuing benefit of the American people," said Edward Grace, Assistant Director of the U.S. Fish and Wildlife Service, Office of Law Enforcement. “Overfishing impacts local economies and fish populations. It also deprives law abiding citizens and others who enjoy outdoor recreation activities related to these resources. We will continue to work with our partners to vigorously investigate and apprehend those involved with the unlawful acquisition, sale, and exploitation of our nation's natural resources. Together, we will ensure that our country's wildlife and wild places are protected for generations to come.”
This case was investigated by the U.S. Fish and Wildlife Service, Nebraska Game and Parks Commission, and Kansas Department of Wildlife, Parks and Tourism.
Last of "Operation Gunsmoke" Defendants Plead Guilty to Federal Drug and Gun CrimesRead the Press Release
Columbia, South Carolina --- United States Attorney Sherri A. Lydon announced today that the last of 15 South Carolina defendants with pending charges from the Aiken County investigation dubbed “Operation Gunsmoke” have pleaded guilty in federal court to offenses involving narcotics and firearms.
“Because of the excellent work of the ATF RAGE Unit in this case, over 150 guns have been taken away from criminals and off the streets of Aiken County,” said U.S. Attorney Lydon. “Federal, state, and local law enforcement are working in lockstep to make our neighborhoods safer. I am proud to stand with our partners in South Carolina and Georgia as we fight to take back our communities from dangerous individuals who mix violence and illegal drug distribution.”
The specific guilty pleas before United States District Judge J. Michelle Childs were as follows:
- Christopher Johnson pleaded guilty to distribution of cocaine base and being a felon in possession of a firearm. He faces a maximum penalty of 30 years in federal prison.
- Quinton White pleaded guilty to distribution of methamphetamine and illegally dealing in firearms. White faces a maximum penalty of 25 years in federal prison.
- Kevin Sheppard pleaded guilty to distribution of methamphetamine, being a felon in possession of a firearm, and two counts of carrying a firearm during a drug trafficking crime. Sheppard faces a minimum mandatory penalty of 10 years and a maximum of life in prison.
- Keith Williams pleaded guilty to distribution of methamphetamine and carrying a firearm during a drug trafficking crime. Williams faces a minimum mandatory penalty of 10 years and a maximum of life in prison.
- Larry Thomas pleaded guilty to distribution of methamphetamine and carrying a firearm during a drug trafficking crime. Thomas faces a minimum mandatory penalty of five years and a maximum of life in prison.
- Jerome Simmons pleaded guilty to felon in possession of a firearm and carrying a firearm during a drug trafficking offense. Simmons faces a minimum mandatory term of five years imprisonment and a maximum of life.
- Reihn Jennings pleaded guilty to distribution of cocaine base and carrying a firearm during a drug trafficking offense. Jennings faces a minimum mandatory term of five years imprisonment and a maximum of life.
- Ronnie Gartrell pleaded guilty to conspiracy to distribute cocaine base and being a felon in possession of a firearm. Gartrell faces a minimum mandatory term of five years imprisonment and a maximum of 50 years.
- Heather Collins pleaded guilty to conspiracy to distribute cocaine base, cocaine, and methamphetamine. Collins faces a minimum mandatory term of five years imprisonment and a maximum of 40 years.
- Charlie Carter pleaded guilty to distribution of methamphetamine and felon in possession of a firearm. Carter faces a maximum term of imprisonment of 30 years.
- Cornelius McKie pleaded guilty to possession with intent to distribute cocaine base, cocaine, and methamphetamine. McKie faces a maximum term of imprisonment of 20 years.
- Rashad Lundy, Xavier Mathaney, Ray Baughman, and Benjamin Roper all pleaded guilty to felon in possession of firearms charges, and each faces a maximum term of imprisonment of 10 years.
These guilty pleas are the result of the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Regional Anti-Gang Enforcement (RAGE) Unit, a joint gang/violent crime task force with the Aiken County Sheriff’s Office, North Augusta Department of Public Safety, Aiken Department of Public Safety, Richmond County, Georgia Sheriff’s Office, South Carolina Law Enforcement Division, and ATF. Assistance was also provided by the United States Marshals Service, the South Carolina Department of Probation, Parole and Pardon Services, and the Wheeling, West Virginia Police Department.
Court testimony revealed that the case first started as a result of increasing violence in Aiken County. During the course of the investigation, over 150 guns were seized – most from the hands of felons. Methamphetamine, cocaine, and crack cocaine were also seized during the case, including over 4 pounds of methamphetamine in one seizure.
ATF Assistant Special in Charge Brian Mein stated, “The ATF Regional Anti-Gang Enforcement Unit (RAGE), was an idea that became a reality because law enforcement agencies realized we could better serve and protect our communities from violent criminals, firearm traffickers and drug traffickers by working together. The guilty pleas and convictions of individuals associated with the investigation are a great testament to our collaborative efforts. ATF will continue to support the RAGE Unit and offer any and all resources to ensure our communities stay safe. I want to thank the Aiken County Sheriff’s Office, North Augusta Department of Public Safety, Aiken Department of Public Safety, Richmond County Sheriff’s Office, South Carolina Law Enforcement Division and our ATF Agents for dedication and their outstanding work in this investigation.”
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant United States Attorneys Charlie Bourne of the Charleston office and Brook Andrews of the Columbia office are prosecuting the cases.
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Justice Department Files Statement of Interest in Indiana Lawsuit Brought by Former Teacher Against ArchdioceseRead the Press Release
The Justice Department today filed a Statement of Interest explaining that the First Amendment protects the right of the Roman Catholic Archdiocese of Indianapolis to interpret and apply Catholic doctrine. The lawsuit was brought against the Archdiocese by a former teacher who was fired from a Catholic high school within the diocese because he was in a same-sex marriage in contradiction to Catholic teaching on marriage. The Archdiocese indicated that the school had to terminate the teacher, or the school would forfeit its Catholic identity, which would have led to several repercussions for the school.
“The First Amendment to the United States Constitution protects the right of religious institutions and people to decide what their beliefs are, to teach their faith, and to associate with others who share their faith,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “The First Amendment rightly protects the free exercise of religion.”
“If the First Amendment’s Religion Clauses stand for anything, it is that secular courts cannot entangle themselves in questions of religious law,” said United States Attorney Josh Minkler.
This case stems from a directive issued by the Archdiocese to Cathedral High School, a Catholic school in Indianapolis. The Archdiocese told Cathedral that the school’s continued employment of a teacher in a public, same-sex marriage in contradiction to Catholic teachings on marriage would result in Cathedral’s forfeiture of its Catholic identity. After much deliberation, the school terminated the teacher. The teacher then filed suit against the Archdiocese, claiming the directive to Cathedral interfered with his employment and his contractual relationship with the school.
The government explains in the Statement of Interest that the First Amendment prevents courts from impairing the constitutional rights of religious institutions. The former teacher’s lawsuit attempts to penalize the Archdiocese for determining that schools within its diocese cannot employ teachers in public, same-sex marriages, and simultaneously identify as Catholic. Supreme Court precedent clearly holds that the First Amendment protects the Archdiocese’s right to this form of expressive association, and courts cannot interfere with that right.
The Statement of Interest also makes clear that courts cannot second-guess how religious institutions interpret and apply their own religious laws. Supreme Court precedent explains that the First Amendment forbids courts from engaging in “quintessentially religious controversies.” Instead, as the Statement of Interest explains, “the legitimacy of the Archdiocese’s decision as a matter of Catholic law” is committed exclusively “to the judgment of the Archdiocese.”
In July 2018, the Department of Justice announced the formation of the Religious Liberty Task Force. The Task Force brings together Department components to coordinate their work on religious liberty litigation and policy, and to implement the Attorney General’s 2017 Religious Liberty Guidance.
Jury convicts former Custom Carbon Processing president of Clean Air Act violations stemming from explosion of Wibaux oil processing plantRead the Press Release
BILLINGS – After a five day trial, a jury today convicted the former president and director of Custom Carbon Processing, Inc. of multiple violations of the federal Clean Air Act after a 2012 explosion at the company’s oil processing plant in Wibaux injured three employees and caused extensive damage to the plant, U.S. Attorney Kurt Alme said.
The jury found Peter Margiotta, 62, of Edmonton, Alberta, Canada, guilty of all three counts in an indictment, including conspiracy, Clean Air Act—general duty and Clean Air Act-knowing endangerment. Margiotta faces a maximum 15 years in prison, a $250,000 fine for an individual, a $1 million fine for an organization and three years of supervised release on the knowing endangerment crime.
The jury trial began on Sept. 23.
U.S. District Judge Susan P. Watters did not immediately set a sentencing date and continued Margiotta’s release.
“Cutting corners in the construction and operation of the oil processing plant violated the Clean Air Act, compromised the safety of employees and resulted in an explosion that injured three workers. Mr. Margiotta’s conviction should send the message that compliance with environmental regulations is required and that we will prosecute violators,” U.S. Attorney Alme said. “I also want to thank Assistant U.S. Attorney Bryan Dake, Special Assistant U.S. Attorney Eric E. Nelson, the Environmental Protection Agency and the U.S. Department of Transportation Office of Inspector General for their work in prosecuting and investigating this case.”
“We believe today’s conviction sends a strong message to those responsible for properly handling hazardous material,” said Jeffrey Dubsick, Regional Special Agent in Charge for the U.S. Department of Transportation Office of Inspector General. “Working with our law enforcement and prosecutorial partners, we will continue our vigorous efforts to protect against those who would risk the safety of the public and the environment for personal gain.”
"The defendant ignored warnings and knowingly put his employees and the public at risk by constructing and operating his facility without appropriate safeguards," said Jeff Martinez, Special Agent in Charge of the Environmental Protection Agency's criminal enforcement program. "This case highlights the importance of a risk management program that protects public health and the safety of our communities," Martinez said.
The prosecution presented evidence at trial of the following:
Margiotta was president and director of Custom Carbon Processing, Inc., a Wyoming company, which constructed the Michels Disposal Well and Oil Reclamation Facility in Wibaux in 2012. The construction was done in ways that allowed hydrocarbon vapors, extremely hazardous substances and hazardous air pollutants to be released into the air.
On July 4, 2012, Margiotta directed the opening of the plant before the implementation of appropriate electrical wiring, ventilation and other safety measures. On that date, the project manager emailed Margiotta, “The control panels must be moved asap with the explosion proof wiring. We also run the risk of killing someone, not only our operators but also customers.”
Margiotta also directed employees to accept shipments of highly volatile and flammable “natural gas condensate” or “drip gas” into the operations in a purported effort to help thin and process the slop oil at the plant.
Beginning in October 2012, Margiotta disregarded repeated warnings from the plant’s foreman that the natural gas condensate was not effective in thinning the slop oil and instead was creating a dangerous situation because of its highly volatile and flammable nature.
On Dec. 29, 2012, the plant accepted a delivery of natural gas condensate. During the offloading of the material at the plant, hazardous and flammable vapors from the natural gas condensate filled the plant building and spread out the open bay doors where the truck delivering the condensate was located. The vapors reached an ignition source, causing an explosion that injured three employees and extensive damage to the plant, the truck and trailer involved in the delivery.
AUSA Bryan Dake and SAUSA Eric Nelson prosecuted the case, which was investigated by the Environmental Protection Agency and the U.S. Department of Transportation Office of Inspector General.
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Jacksonville Woman Sentenced to over 13 Years for Committing Aggravated Identity Theft and Fraud While on Federal Supervised ReleaseRead the Press Release
Jacksonville, Florida – United States District Judge Timothy J. Corrigan has sentenced Jaceta Anya Streeter (39, Jacksonville) to 13 years and 4 months in federal prison for committing aggravated identity theft and wire fraud while on federal supervised release. Streeter, a 19-time convicted felon, was also ordered to pay restitution to the victims she defrauded.
According to court documents, in 2006, after being found guilty at trial for participating in a scheme involving the passing of counterfeit checks, Streeter was sentenced to seven years in federal prison, followed by three years of supervised release. Following her release from prison, and while on federal supervised release, the court issued a warrant for Streeter, as her whereabouts were unknown and she was considered a fugitive. When the U.S. Marshals Service eventually located and arrested Streeter in Orlando, she had multiple counterfeit forms of identification in her possession.
Further investigation determined that Streeter had engaged in a scheme involving credit card fraud and identity theft. She had obtained credit card account numbers for various victims, along with the victims’ personal identifiable information. Using this information, Streeter then went to various merchants, including home improvement and clothing stores, and fraudulently purchased large quantities of merchandise.
This case was investigated by the Jacksonville Sheriff’s Office, the U.S. Department of Treasury – Office of Inspector General (Jacksonville Field Office), the U.S. Marshals Service, and the United States Secret Service (Jacksonville Field Office). It was prosecuted by Assistant United States Attorney Kevin C. Frein.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Sept. 25 was:
Lloyd Wallace Youpee, 92, of Poplar, on charges of aggravated sexual abuse and abusive sexual contact. If convicted of the most serious crime, Youpee faces a minimum mandatory 30 years to life in prison, a $250,000 fine and five years of supervised release. The FBI and Fort Peck Law Enforcement investigated the case. Pacer case reference. 19-70.
Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto on a criminal complaint on Sept. 25 was:
Max Richard Arthur, 43, of Anaconda, on charges of prohibited person in possession of firearms and possession of an unregistered firearm. If convicted of the most serious crime, Arthur faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Arthur was detained pending further proceedings. The Anaconda Deer Lodge County Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Pacer case reference. 19-03.
Appearing on Sept. 24 and pleading not guilty was:
Brandon Richmond Turner, 29, of Missoula, on charges of felon in possession of firearms. If convicted of the most serious crime, Turner faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Turner was released pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Pacer case reference. 19-36.
Appearing on Sept. 24 on a criminal complaint was:
Adrian Hernandez Altamirano, 42, of Mexico, on charges of illegal reentry. If convicted of the most serious crime, Altamirano faces a maximum two years in prison, a $250,000 fine and three years of supervised release. Altamirano was detained pending further proceedings. The Bozeman Police Department, Gallatin County Sheriff’s Office and Department of Homeland Security, Immigration and Customs Enforcement investigated the case. Pacer case reference. 19-07.
Appearing on Sept. 23 and pleading not guilty was:
Carly Deann Halcro, 35, of Columbia Falls, on charges of possession with intent to distribute methamphetamine. If convicted of the most serious crime, Halcro faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Halcro was released pending further proceedings. The Lincoln County Sheriff’s Office, Bureau of Alcohol, Tobacco, Firearms and Explosives and the Drug Enforcement Administration investigated the case. Pacer case reference. 19-15.
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan on Sept. 26 and pleading not guilty was:
Joshua A. Stops, 35, of Lodge Grass, on charges of assault by strangulation and suffocation. If convicted of the most serious crime, Stops faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Stops was released pending further proceedings. The Bureau of Indian Affairs and FBI investigated the case. Pacer case reference. 19-120.
Matthew Stephen Hays, 31, of Baker, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Hays faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Hays was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Pacer case reference. 19-67.
Donald Raymond Foote, Jr., 49, of Cody, Wyo., on charges of stalking and interstate violation of a protective order. If convicted of the most serious crime, Foote faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Foote was released pending further proceedings. The FBI investigated the case. Pacer case reference. 19-95.
Appearing on Sept. 24 was:
Dominique Sebastian Paris, 32, of Billings, on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute meth, distribution of meth and possession of a firearm during a drug trafficking crime. If convicted of the most serious crime, Paris faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Paris was detained pending further proceedings. The FBI-West task force and Eastern Montana High Intensity Drug Trafficking Area Task Force investigated the case. Pacer case reference. 19-119.
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case through the U.S. District Court calendar and the PACER system.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Individuals Sentenced to Prison for Destruction of EvidenceRead the Press Release
SAN JUAN, P.R. – The Honorable Gustavo A. Gelpí, US District Court Chief Judge, sentenced Juan Batista Johnson-Debel and Noel De León-De La Rosa, who were convicted after a jury trial of destroying controlled substances while on board a boat subject to U.S. jurisdiction, in violation of Title 46, United States Code, Section 70503(a)(2), announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The defendants were found guilty on June 24, 2019.
According to witness statements during trial, U.S. Customs and Border Protection spotted the two defendants with bales of suspected cocaine on board their boat traveling from the Dominican Republic into Puerto Rico. However, before U.S Customs and Border Protection were able to seize the vessel and defendants, the bales were thrown overboard and destroyed.
At sentencing, Judge Gelpí found that the evidence showed that defendants were engaged in drug trafficking and destroyed that evidence. Defendant Johnson received a sentence of 60 months’ imprisonment, while Defendant De León received a sentence of 72 months’ imprisonment for destroying the evidence and entering Puerto Rico illegally. The Judge imposed an additional 6-month term of imprisonment on Defendant De León for illegally re-entering Puerto Rico, which was a violation of his terms of supervised release on a previous federal case.
“We congratulate the prosecution team for taking on this challenging case and securing convictions against these two defendants,” said U.S. Attorney Rosa Emilia Rodríguez-Vélez. “We will continue to secure our borders from drug traffickers.”
The case was tried by AUSA David T. Henek and Senior Litigation Counsel José Ruiz-Santiago.
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Indiana Man Sentenced to 14 Years for Armed Pharmacy RobberyRead the Press Release
JEFFERSON CITY, Mo. – A Speedway, Indiana, man was sentenced in federal court today for his role in the armed robbery of a Walgreens pharmacy in Jefferson City, Missouri.
Jerome Scott King, 20, was sentenced by U.S. District Judge Roseann Ketchmark to 14 years in federal prison without parole.
On Feb. 28, 2019, King pleaded guilty to armed robbery and to brandishing a firearm during a crime of violence. King admitted that he and three other men robbed the Walgreens at 2002 Missouri Boulevard at gunpoint shortly after midnight on July 25, 2018. Co-defendant Raymond Allen Craig, 21, of Indianapolis, Indiana, has also pleaded guilty and awaits sentencing. A third co-defendant has not been convicted and the fourth man has not been identified.
Police officers arrived as the robbers were running from the business. They fled in a vehicle driven by King. As officers followed in pursuit, occupants of the vehicle began throwing items from the vehicle, including more than 4,000 tablets of various controlled substances taken during the robbery with an aggregate value of $9,264.
Multiple officers pursued the vehicle eastbound on U.S. Highway 54 into Callaway County. The Missouri State Highway Patrol deployed spike strips at the U.S. 54-AA/OO interchange. King’s vehicle began to slow, left the highway, crossed the outer road and crashed near Jazel Lane in Holts Summit, Missouri. King and Craig were apprehended; an unidentified man escaped. Officers recovered the loaded Smith & Wesson 9mm handgun used in the pharmacy robbery. The firearm had been stolen from Indianapolis, Indiana.
King admitted he entered the Walgreens to conduct surveillance and then reported the number of persons inside to Craig. Craig and others entered the pharmacy wearing medical masks over their faces and medical style gloves on their hands. The unidentified man displayed a firearm and confronted the store clerk. One of the suspects, whose identity could not be determined from the surveillance video, zip-tied the clerk’s hands behind his back while a firearm was pointed at his head, led him to the rear of the business near the pharmacy area, and forced him down on the floor. Craig jumped over the counter and confronted the pharmacist, brandishing a firearm in a threatening manner, and removed controlled substances from the pharmacy.
According to court documents, this armed robbery was part of a larger scheme of violence perpetuated by King across the United States during the spring and summer of 2018. On June 7, 2018, King participated in the robbery of a CVS pharmacy in Hot Springs, Arkansas, during which a firearm was brandished and an employee was physically restrained. On June 15, 2018, King participated in the robbery of a CVS pharmacy in Metairie, Louisiana, during which a firearm was brandished. King also faces criminal charges in those states. According to court documents, King is associated with members of The Mob, an Indianapolis street gang.
Although King and his co-defendants are aware of the identity of the fourth participant in this crime, according to court documents, none of them have identified that individual.
This case is being prosecuted by Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Jefferson City, Mo., Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the FBI.
Illinois Man Sentenced to 10 Years in Prison for Methamphetamine and Firearms OffensesRead the Press Release
DAVENPORT, Iowa- On September 25, 2019, Michael Lee Davis, age 26, of New Boston, Illinois, was sentenced by United States District Court Chief Judge John A. Jarvey to 120 months in prison for possession of methamphetamine with intent to distribute and 120 months in prison for felon in possession of a firearm, announced United States Attorney Marc Krickbaum. The two terms of imprisonment were ordered to run concurrently. Davis was ordered to serve five years of supervised release following his prison term and to pay $200 to the Crime Victims’ Fund.
On May 20, 2019, Davis pleaded guilty to the offenses and admitted on May 18, 2018, he was driving a vehicle in Burlington, Iowa, and was in possession of a 55.75 grams of actual methamphetamine, a loaded 12-gauge shotgun, drug packaging material, and a digital scale. He further admitted at the time, he intended to distribute some or all of that methamphetamine to other people. Additionally, he admitted he had previously been convicted of two felony offenses in Mercer County, Illinois, in 2010 and 2015.
This matter was investigated by the Burlington Police Department and the case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa. 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.
Hultgren Construction, L.L.C. Pleads Guilty in Federal Court for Willful Violations Related to Building Collapse & Death of EmployeeRead the Press Release
Acting United States Attorney Dennis R. Holmes announced today that Hultgren Construction, L.L.C., of Sioux Falls, SD, appeared in federal court and pleaded guilty to Willful Violation of the Occupational, Safety, and Health Act Causing Death to an Employee. U.S. District Judge Karen E. Schreier presided over the plea hearing.
According to court documents, on December 2, 2016, Hultgren Construction, L.L.C., an employer under the provisions of the Occupational Safety and Health Act, willfully violated the standards and regulations relating to instruction and training on proper demolition methods promulgated and prescribed under the Act and said violation caused the death of Ethan McMahon.
At times relevant to this case, Hultgren Construction, L.L.C., was a company providing residential and commercial construction services throughout South Dakota, and the company employed approximately eleven (11) employees in South Dakota. On or about and at times prior to December 2, 2016, Hultgren Construction, L.L.C., the controlling and exposing employer, did not sufficiently instruct employees in the recognition and avoidance of unsafe conditions related to temporary shoring supporting a multi-story building. Employees were tasked to remove two adjoining exterior load bearing walls between the ground level and first floor. Employees were not sufficiently instructed in the means and methods for building and installing a temporary shoring system to transfer the building loads from the foundation to the shoring system. In the morning hours of December 2, 2016, an employee was fatally injured as a result of removing the last segment of the load bearing wall, thereby causing the structure to collapse.
Hultgren Construction’s acts and omissions exhibited a plain indifference to a known and obvious hazard. Hultgren Construction knowingly permitted employees to engage in demolition activities without sufficient training to ensure that a licensed engineering professional first prepared an engineering analysis to assess the structural stability of the building, including the planned temporary shoring systems.
The maximum penalties are five (5) years of probation, a $500,000 fine, or both, $50 to the Federal Crime Victims Fund, restitution, and forfeiture. This case was investigated by the Department of Labor – Office of the Solicitor, and the United States Attorney's Office. The case is being prosecuted by Assistant U.S. Attorney Jeremy R. Jehangiri.
The sentencing hearing will be held on Monday, December 16, 2019.
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Heroin and Methamphetamine Trafficker Sentenced to 210 Months in PrisonRead the Press Release
SAN FRANCISCO – Jesus Guadalupe Salazar was sentenced yesterday to 17.5 years in prison for engaging in a conspiracy to commit drug trafficking, announced United States Attorney David L. Anderson, Drug Enforcement Administration Special Agent in Charge Chris Nielsen, and Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Rayfield Roundtree.
Salazar, age 33, of San Mateo, California, was indicted by a federal grand jury on June 12, 2018, with engaging in a conspiracy to distribute and possess with intent to distribute methamphetamine, in violation of 21 U.S.C. §§ 846 and 841(a)(1) and (b)(1)(A)(viii). He pleaded guilty in an open plea before the Court on June 9, 2019.
Salazar, who was the target of a federal wiretap operation, initially was arrested after being found with approximately 20 pounds of methamphetamine and nearly 5 pounds of heroin in his car. Agents also seized multiple firearms, magazines, and ammunition from his home. After his arrest and initial pretrial release, Salazar attempted to deliver an additional 17 pounds of methamphetamine to an individual in Seattle, Washington, where he was arrested again and has remained in continuous federal custody.
The sentence was handed down by The Honorable William H. Orrick, III, U.S. District Court Judge, following Salazar’s open plea application. Judge Orrick also sentenced the defendant to a 5 year period of supervised release.
AUSA Sheila Armbrust is the Assistant U.S. Attorney who is prosecuting the case with the assistance of Linda Love. The prosecution is the result of a year-long investigation by the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, the San Mateo County Sheriff’s Office Gang Intelligence Unit, and the San Mateo County Narcotics Task Force.
Habitual Offender Sentenced to 5 Years in Federal Prison for Stabbing His Girlfriend in Nespelem, WashingtonRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Tommie Joe Flett, age 47, of Spokane, Washington, and an enrolled member of the Confederated Tribes of the Colville Reservation, was sentenced today after having pleaded guilty on July 18, 2019, to Domestic Assault by a Habitual Offender in Indian Country. United States District Judge Salvador Mendoza, Jr., sentenced Flett to a five-year term of imprisonment, to be followed by a three-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, on the evening of July 11, 2018, Flett traveled with his girlfriend to Owhi Lake in Okanogan County, Washington. While there, Flett became upset with his girlfriend, pulled her out of a car, and hit her several times in the face. Flett’s girlfriend was able to get away and walked several miles to Nespelem, Washington, where Flett found her and again began striking her in the face. Flett then brandished a knife and stabbed his girlfriend multiple times in her leg and hands. Fortunately, a third-party intervened, protecting the girlfriend from further physical harm. At the time of the assault, Flett had multiple prior convictions for assault against a spouse or intimate partner, making Flett a habitual offender under federal law.
United States Attorney Hyslop said, “The sentence imposed by the Court removes a serial abuser from our streets and sends a clear message to others who may choose to engage in such criminal activity. The United States Attorney’s Office for the Eastern District of Washington, the FBI and the Confederated Tribes of the Colville Reservation Police are committed to investigating and prosecuting violent crimes occurring in the exterior boundaries of the Colville Indian Reservation.”
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation and the Confederated Tribes of the Colville Reservation Police. This case was prosecuted by Richard R. Barker and Alison L. Gregoire, Assistant United States Attorneys for the Eastern District of Washington.
Fourth Defendant Pleads Guilty to Federal Charges in Commercial Sex Trafficking RingRead the Press Release
ALBUQUERQUE, N.M. – Keron Eugene Lucious, 22, of Albuquerque, New Mexico, pleaded guilty in federal court today to conspiracy to commit sex trafficking of a minor.
Lucious was one of eight defendants charged in a superseding indictment returned by a federal grand jury on April 10, 2018. The indictment charged the defendants with various crimes, including conspiracy to recruit and force minors to engage in commercial sex acts in New Mexico and Arizona. In Lucious’s plea agreement, he admitted participating in a conspiracy involving the prostitution of a child under 18 years old. Lucious transported the child in interstate commerce for purposes of prostitution. He paid for hotel rooms for the child to engage in commercial sex acts. Lucious shared the money earned from this prostitution with his co-conspirators. He also facilitated his criminal activity using a wireless telephone and social media.
Lucious is in custody awaiting sentencing. He faces from 10 years to life in prison. Three of the other defendants in the case have also pleaded guilty and await sentencing. Jason Jackson, 25, of Albuquerque, pleaded guilty on March 8, 2019. He is currently in custody and faces from 11 to 15 years in prison under the terms of his plea agreement. Devin Perkins, 23, of Albuquerque, pleaded guilty on May 9, 2019. Perkins is also in custody. He has agreed to a sentence of 10 years in prison. Chante Bickham, 26, of Albuquerque, pleaded guilty on August 9, 2019. She is out of custody awaiting sentencing where she faces up to six years in prison.
Charges are still pending against Camara Cherry-Amos, 25, Breeauna Langton, 21, and Andrew Wyatt, 30, all of Albuquerque, and John Dompierre, 46, of Phoenix, Arizona. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
The charges is this case arose from a joint investigation involving the FBI, Homeland Security Investigations, the Bernalillo County Sheriff’s Office, the New Mexico Office of the Attorney General, and the Bernalillo County District Attorney’s Office. Assistant U.S. Attorney George C. Kraehe is prosecuting the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Four people indicted for a conspiracy involving hundreds of pounds of marijuana as well as marijuana vape cartridgesRead the Press Release
Four people were indicted in federal court for their roles in a conspiracy involving hundreds of pounds of marijuana as well as marijuana vape cartridges.
Named in the five-count indictment are: Robert Berman, 33, of North Hollywood, California; Todd Brown, Jr., 31, of Canton; Dakota Walters, 27, of Lexington, Ohio, and Salim Womack, 25, of Toledo.
All four are charged with conspiracy to possess with intent to distribute controlled substances and possession with intent to distribute controlled substances. Womack is additionally charged with possessing a firearm with an obliterated serial number.
According to court documents:
Homeland Security Investigations agents on September 3 observed a man, later determined to be Berman, load boxes from a truck to a unit at Life Storage facility on West 130th Street in Cleveland.
Two men, later determined to be Walters and Womack, then loaded several boxes they received from Berman into the bed of their pickup truck. A subsequent search of the truck revealed the 18 boxes containing suspected marijuana vape cartridges. Womack also possessed a Ruger 9 mm pistol with an obliterated serial number, according to court documents.
Berman then met with a man driving a minivan, later determined to be Brown. Brown and Berman made an exchange, and Brown drove away in the minivan and Berman drove off in a Budget rental box truck. Following a stop, investigators recovered approximately nine boxes of suspected marijuana plants from the minivan.
A search of the box truck resulted in the seizure of two bags of cash, totaling approximately $211,755. A search of the storage garage resulted in the seizure of approximately 19 boxes of suspected marijuana, according to court documents.
“Groups like this, who are allegedly trafficking vape cartridges containing the active ingredient in marijuana, clearly pose a threat to the health and safety of our community,” U.S. Attorney Justin Herdman said. “This case also involves lots of cash and a firearm – which we see all too often with drug traffickers.”
"We stand ready to provide evidence that this alleged drug trafficking organization conspired to move hundreds of thousands in cash and drugs throughout northern Ohio," said Vance Callender, special agent in charge of HSI Detroit, which covers Michigan and Ohio. "Many are under the false perception that trafficking in narcotics and taking advantage others is a path to a quick profit, without repercussion. These charges demonstrate the serious consequences that await those who engage in these illegal acts.”
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The Homeland Securities Investigations, with assistance from the Cuyahoga County Sheriff’s Department, investigated this case. Assistant U.S. Attorney Brian Deckert is prosecuting the case.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Former Soldier Sentenced on Firearm OffenseRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, Senior United States District Judge W. Earl Britt sentenced JOSEPH RUSSEL GRAFF, 39, of Newport, North Carolina to 52 months imprisonment, followed by 3 years of supervised release.
“The success of our overseas war and reconstruction efforts is tied directly to the trust and respect established with the local populace,” said U.S. Attorney Higdon. “Corruption in our military operations undermines those efforts and cannot be tolerated.”
GRAFF was named in a Superseding Indictment filed on April 10, 2018 charging him with several offenses, including his unlawful possession of machineguns. On November 19, 2018, GRAFF pled guilty to that firearm offense.
According to Superseding Indictment and information in the public record, GRAFF was a Sergeant First Class (E-7) in the United States Department of the Army assigned to the 1st Battalion, 3rd Special Forces Group, based at Fort Bragg. GRAFF was a Special Forces Operator assigned to Operational Detachment - Bravo (“ODB”). His military occupational specialty was a weapons sergeant.
During a search of his residence in North Carolina, law enforcement recovered 8 firearms, six of which were machineguns. GRAFF told law enforcement that he brought the weapons back from Afghanistan, but falsely claimed that he had cleared all the firearms through his Command and U.S. Customs. GRAFF did not have any permits to possess any National Firearms Act (NFA) firearms. GRAFF never obtained a permit to import weapons.
During the ensuing investigation, law enforcement also uncovered evidence that GRAFF participated in a scheme to steal government property and have it sold on the black market by Afghan nationals. GRAFF sent the money from the scheme back to the United States in a storage container. GRAFF then used the money to make a down payment on a new home, install an indoor pool, and to buy vehicles for himself and his family. GRAFF agreed to the forfeiture of $151,906.11 in connection with the fraud.
“This sentencing is the product of a thorough investigation and demonstrates the effectiveness of joint investigations by the Defense Criminal Investigative Service (DCIS) and our law enforcement partners,” said Special Agent in Charge Robert E. Craig, Jr., DCIS Mid-Atlantic Field Office. “DCIS will continue to vigorously pursue corrupt actors whose actions subvert the mission of our brave service members putting their lives on the line each day.”
“This crime involves a serious breach of trust," said Inspector General John F. Sopko. “SIGAR investigators will tirelessly pursue any crimes involving the abuse of the public trust and misuse of American taxpayer dollars in Afghanistan.”
“Today’s sentencing is a clear example that illegal actions such as this will not be tolerated,” said Frank Robey, director of the U.S. Army Criminal Investigation Command's Major Procurement Fraud Unit. “Our special agents, who are strategically stationed throughout the world, will continue to aggressively investigate criminal allegations that ultimately affect the readiness of our Army.”
Investigation of this case was conducted by the Defense Criminal Investigative Service, the Special Inspector General for Afghanistan Reconstruction, U.S. Army Criminal Investigation Command - Major Procurement Fraud Unit, and the Federal Bureau of Investigation. Senior Litigation Counsel Banumathi Rangarajan handled the prosecution on behalf of the United States Attorney for the Eastern District of North Carolina.
Former Pharmacy Owner Sentenced for Prescription Medication FraudRead the Press Release
ALEXANDRIA, Va. – A former pharmacy owner was sentenced today to four years in prison for fraudulently filling and dispensing thousands of prescription medications, including opioids, outside the usual course of professional practice.
“Chowdhury blithely violated his position of trust,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Chowdhury’s warped business philosophy led him to illegally distribute a significant number of prescription medications, including dangerous, addictive opioids. Moreover, his reckless actions add to the financial cost of health care as he fraudulently billed at least $500,000 to health insurance programs for prescriptions that were never filled.”
According to court documents, Latif Mohamed Chowdhury, aka Gulam Latif Chaudhury, 29, operated and controlled two now-defunct pharmacies known as Alexandria Care Pharmacy LLC (ACP-1) and Alexandria Care Pharmacy Store #2 LLC (ACP-2). Chowdhury has never been a licensed pharmacist and has no medical qualifications. Nonetheless, between August 2015 and February 2016, Chowdhury fraudulently operated ACP-1 and ACP-2 by personally filling and dispensing thousands of dosage units of medications, including opioids, without a licensed pharmacist on-site. Chowdhury used the identities of licensed pharmacists, without their permission, to carry out his scheme.
“Chowdhury used his trusted position to enrich himself at the expense of others," said Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office. “Today's sentencing makes it clear that the illegal distribution of opioids will not be tolerated. The FBI will work closely with our partners to continue to investigate allegations of healthcare fraud.”
Chowdhury admitted to fraudulently billing health insurance benefit programs, including Medicare and Medicaid, for refills of prescription medications that were not delivered to customers even though his pharmacies received payment for these prescriptions. Chowdhury also submitted fraudulent health insurance claims in the names of pharmacy customers for medications that were not authorized by any physician, and were not dispensed to any of the customers, in order to enrich himself through illicit profits generated by ACP-1 and ACP-2.
“We are committed to protecting the public and the people of Virginia,” said Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division. “We will continue to track down and bring to justice criminals who are fueling the opiate crisis at every level including pill writers, pill fillers, and drug dealers in the area.”
In addition, Chowdhury dispensed Schedule II controlled substances in the names of minors, including children as young as 7 and 8-years-old, outside the usual course of professional practice. During the execution of a search warrant, a loaded Colt .38-caliber firearm that belonged to Chowdhury was located in plain view on the pharmacy department shelves.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office, Maureen Dixon, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Colonel Gary T. Settle, Superintendent of Virginia State Police, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema. Assistant U.S. Attorneys Raj Parekh and Monika Moore prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-203.