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4 August 2026
Houston Man Pleads Guilty to Child Sexual Exploitation ChargesRead the Press Release
Baltimore, Maryland – A Houston man pled guilty in federal court, today, to child sex abuse crimes.
Dazhon Darien, 34, formerly of Baltimore, Maryland, pled guilty to sexually exploiting a child. Darien admitted that he sexually exploited eight minor victims.
Kelly O. Hayes, U.S. Attorney for the District of Maryland, announced the guilty plea with Special Agent in Charge Jimmy Paul, FBI Baltimore Field Office, and Chief Robert McCullough, Baltimore County Police Department (BCPD).
According to his guilty plea, on five occasions, between April 2023, and June 2024, Darien persuaded, induced, enticed, and coerced Minor Victim 1, age 15 and 16, respectively, at the time, to engage in sexually explicit conduct for the purpose of producing and transmitting child sexual abuse material (CSAM). Darien then used CashApp to pay Minor Victim 1 for the production and transmission of CSAM videos. Additionally, Darien admitted to sexually exploiting seven other victims who were between ages 14 and 17. Darien stored the exploitation videos on his cellphones and in internet-based accounts. He lived in Maryland until approximately June 2024, before moving to Texas.
Darien faces a mandatory minimum sentence of 15 years and a maximum sentence of 30 years in federal prison for sexual exploitation of a minor. Sentencing is set for Tuesday, Nov. 10, at 11 a.m.
This case is 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 justice.gov/psc. For more information about Internet safety education, visit justice.gov/psc and click on the “Resources” tab on the left of the page.
U.S. Attorney Hayes commended the FBI and BCPD for their work in the investigation. Ms. Hayes also thanked Assistant U.S. Attorney Paul E. Budlow who is prosecuting the federal case.
For more information about the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit justice.gov/usao-md.
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Four Individuals Charged with Illegal Re-Entry After Being Previously DeportedRead the Press Release
SRINGFIELD, Mo. – Four individuals were indicted by a federal grand jury in separate cases this week for illegally re-entering the United States after they were previously deported.
Honduran National charged with Illegal Re-Entry After Being Previously Deported and Convicted of a Prior Aggravated Felony Offense
According to an indictment returned today, Mario Robert Mejia-Valledares, 49, was charged with illegal re-entry by a previously deported alien who had been previously convicted of an aggravated felony offense. On July 27, 2026, Mejia-Valledares was found voluntarily in the United States after being previously deported on January 29, 2010, September 23, 2011, and February 4, 2023. Further, Mejia-Valledares’ aggravated felony offense was because of his conviction in Houston, Texas for discharging a firearm at an occupied dwelling, building or vehicle.
This case is being prosecuted by Assistant U.S. Attorney Patrick. It was investigated by ICE Homeland Security Investigations (ICE-HIS) and the Christian County, Missouri Sheriff’s Department.
Honduran National Charged with Immigration Offense
Fredy Rolando Rivera-Gonzalez, 31, was indicted today with one count of illegal re-entry by an alien. The indictment alleges Rivera-Gonzalez had been previously deported from the United States on November 6, 2019, from Huntsville, Texas.
This case is being prosecuted by Assistant United States Attorney Patrick Carney. It was investigated by ICE Homeland Security Investigations (ICE-HSI), and the Pulaski County, Missouri Sheriff’s Office.
Guatemalan National Charged in Indictment with Illegal Re-Entry After Being Previously Deported and Convicted of a Prior Aggravated Felony Offense
Yalex Rodas-Rodas, 25, was indicted today by a Federal Grand Jury for illegally re-entering the United States after being previously deported and convicted of a prior aggravated felony offense. On July 3, 2026, Rodas-Rodas was discovered by law enforcement voluntarily and illegally within the United States after having been deported on October 21, 2010, on April 26, 2012, and October 21, 2020.
Rodas-Rodas has an aggravated felony conviction for forgery on August 18, 2010, in Jasper County, Missouri. Rodas-Rodas has also been previously convicted of the felony offense of illegal re-entry after being previously deported on April 1, 2012, in the Federal District Court for the Western District of Missouri.
This case is being prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by ICE Homeland Security Investigations (ICE-HSI) and the Jasper County, Missouri Sheriff’s Office.
Mexican National charged with Illegal Re-Entry After Being Previously Deported
Lorenzo Castillo-Rivera, 32, was indicted today by a Federal Grand Jury charging him with illegal re-entry into the United States by a previously deported alien. On July 20, 2026, Castillo-Rivera was found voluntarily within the United States, specifically Stone County, Missouri, after being previously deported on April 18, 2022, November 14, 2023, and September 18, 2024.
This case is being prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by ICE Homeland Security Investigations (ICE-HSI), the Stone County, Missouri Sheriff’s Office, and the Reed Springs, Missouri, police department.
The charges contained in these indictments are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
Operation Take Back America
These cases are part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
Fort Hall Man Sentenced to 17.5 Years in Federal Prison for Sexually Abusing a ChildRead the Press Release
BOISE – Shone Jem Bache, 47, of Fort Hall, was sentenced to 210 months in federal prison for Abusive Sexual Contact with a Child Under 12 Years of Age, U.S. Attorney Bart M. Davis announced today.
“I hope this outcome provides some closure and justice to the victim and her family,” said U.S. Attorney Davis. “I am grateful for the partnership between the Federal Bureau of Investigation and the Fort Hall Police Department and their dedication to identifying and investigating those who commit egregious acts of sexual abuse on the Fort Hall Indian Reservation.”
According to court records, the investigation began when a nine-year-old child victim disclosed to family members and school staff that Bache had sexually abused her. The child victim disclosed multiple instances of sexual abuse that occurred on the Fort Hall Indian Reservation. The Federal Bureau of Investigation and the Fort Hall Police Department conducted a thorough investigation and were able to corroborate aspects of the victim’s disclosure through physical evidence and witness statements.
“No punishment can ever undo the trauma inflicted on a child or erase the lifelong impact of these crimes, but we hope this offers some comfort on their journey toward healing,” stated Robert Bohls, Special Agent in Charge of the FBI Salt Lake City Field Office. “Children deserve to grow up safe. Alongside our Tribal and law enforcement partners, the FBI will never stop fighting to protect the most vulnerable and bring offenders to justice”.
U.S. District Judge David C. Nye also ordered Bache to serve five years of supervised release following his prison sentence. Bache will be required to register as a sex offender as a result of his conviction.
U.S. Attorney Davis commended the work of the Federal Bureau of Investigation and the Fort Hall Police Department, which led to the charge. Assistant U.S. Attorneys Kassandra McGrady and Justin Paskett prosecuted the case.
These cases were brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. As part of Project Safe Childhood, the U.S. Attorney’s Office for the District of Idaho and the Idaho Attorney General’s Office partner to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Former Union Officer Sentenced to Federal Prison for EmbezzlementRead the Press Release
KANSAS CITY, Mo. – A 65-year-old former financial secretary of the Brotherhood of Railroad Signalmen, Local Lodge 21, has been sentenced to prison for federal charges in the Western District of Missouri.
David Scofield of Independence, Missouri, pleaded guilty on November 24, 2025, to bank fraud, embezzlement of labor union assets, and falsification of annual financial report filed by labor union. He was sentenced to one year and one day in federal prison today by U.S. District Judge Stephen R. Bough.
According to information presented in court, for nearly nine years, Scofield used his position as the financial secretary of Local Lodge 21 to steal more than $54,000 from the union. He issued unauthorized checks, made personal payments from the union account, and conducted hundreds of online transactions for his own benefit. He then hid his fraud by falsifying records.
This case was prosecuted by Assistant U.S. Attorney Rudolph R. Rhodes IV. This case was investigated by U.S. Department of Labor, Office of Labor-Management Standards.
National Fraud Enforcement Division
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Former Employee of Lafayette Medical Clinics Sentenced for Embezzling More Than $500kRead the Press Release
LAFAYETTE – On July 31, 2026, Brooke Miller Duck (formerly “Brooke Miller Tauzin”), 31, a former resident of Arnaudville, was sentenced by United States District Judge Robert R. Summerhays to 22 months in federal prison and 3 years of supervised release. She was also ordered to pay $539,451.41 in restitution. Duck previously pled guilty on March 16, 2026, to embezzling more than $500,000 from her medical clinic employer and using the stolen funds for personal expenses and luxury items that included expensive vacations, new cars, and fancy consumer products.
“Brooke Duck has now been held fully accountable for years of abusing her position and exploiting her employers’ trust,” said United States Attorney Zachary A. Keller. “With this sentence, justice has been delivered not only for the clinics she stole from, but for all honest, hardworking small businesses across Louisiana. Our Office remains committed to protecting those businesses and prosecuting anyone who seeks to take advantage of them.”
According to court documents, Duck was employed by two medical clinics with offices in Lafayette and Baton Rouge and had access to the clinics’ credit cards and bank accounts. Between May 2020 and October 2023, Duck used the clinics’ credit cards for unauthorized personal purchases, including a $15,000 payment for a time-share vacation property. She then used funds drawn from the clinics’ bank accounts to pay the credit card balances associated with those purchases. In total, Duck caused $539,451.41 in unauthorized credit card transactions for her personal use and financial gain.
The Federal Bureau of Investigation, the United States Secret Service, and the Lafayette Police Department investigated the case. It was prosecuted by Assistant U.S. Attorney Danny Siefker with assistance from Paralegal Specialist Denise Duhon.
U.S. Attorney Zachary A. Keller for the Western District of Louisiana made the announcement.
Related court documents and information may be found on the website of the District Court for the Western District of Louisiana at www.lawd.uscourts.gov or at https://www.lawd.uscourts.gov/cmecf-pacer, under Case Number 6:26-cr-00096.
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Western District of Louisiana
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Flatwoods Woman Sentenced for Meth Trafficking Through U.S. MailRead the Press Release
CLARKSBURG, WEST VIRGINIA – A Braxton County woman was sentenced today for her role in a methamphetamine trafficking scheme that relied on the U.S. Mail to move large quantities of drugs into West Virginia, U.S. Attorney Matthew L. Harvey announced.
Kelly Marie Myers, 56, was sentenced to 12 months in prison. According to court documents, the investigation began when U.S. Postal Inspection Service personnel in Charleston, West Virginia, intercepted a suspicious USPS Priority Mail parcel. Inspectors obtained a federal search warrant later that day and discovered approximately 890 grams of methamphetamine inside. The package had been mailed from Moreno Valley, California, and was addressed to “K. Myers” at a Flatwoods residence.
Investigators removed the methamphetamine and made the parcel available for pickup at the Flatwoods Post Office. Postal Inspectors and local law enforcement kept watch as the parcel was retrieved, ultimately leading to Myers.
Assistant U.S. Attorney Andrew Cogar prosecuted the case on behalf of the government.
The U.S. Postal Inspection Service investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
Final Sentencing Completed in Multi‑Defendant Scheme to Deliver Contraband into Alabama PrisonRead the Press Release
A federal judge in Montgomery has sentenced the final defendant in a drug‑trafficking conspiracy that funneled narcotics and other contraband into a correctional facility in Elmore, Alabama. In total, five defendants have now been sentenced for their roles in the scheme.
On July 30, 2026, Lilbrian Rondarrius Ladd, 28, a former inmate at the Elmore Correctional Facility, was sentenced to 215 months in prison after pleading guilty to conspiracy to distribute controlled substances. Following his term of imprisonment, Ladd will serve five years of supervised release. There is no parole in the federal system.
United States Attorney Thomas Govan and Special Agent in Charge John P. Scott of the Drug Enforcement Administration (DEA) New Orleans Field Division made the announcement.
“Those who attempt to smuggle drugs into our prisons, whether they are inmates or individuals on the outside, must be held accountable,” said United States Attorney Govan. “This conduct endangers staff, inmates, and the public, and we will continue to work with our law enforcement partners to stop it.”
“Whether you are coordinating from behind bars or driving the drop-off from the outside, your illicit business will end in a federal courtroom,” said Special Agent in Charge Scott. “This operation is a clear win for public safety and reflects our unwavering commitment to Operation Take Back America.”
The other co‑defendants were previously sentenced as follows:
- Lawrence Alexander Dudley, 48, of Birmingham, Alabama, was sentenced to 240 months in prison followed by five years of supervised release.
- Ja’meria Quanay Snowden, 27, also from Birmingham, Alabama, received a sentence of 120 months in prison followed by five years of supervised release.
- Jarod Allen Poe, 39, another former inmate at the Elmore Correctional Facility, was sentenced to 145 months in prison followed by five years of supervised release.
- Chasity Pearl Lee Cox, 38, of Mobile, Alabama, was sentenced to 46 months in prison followed by three years of supervised release.
According to court documents and statements made during the plea hearings, the Alabama Department of Corrections Law Enforcement Services Division and DEA began investigating the conspiracy in 2024 after learning that Ladd was coordinating the delivery of narcotics into the prison. Ladd worked with Poe, while he was also incarcerated at the Elmore Correctional Facility, along with Dudley, Snowden, and Cox, three individuals outside the facility, to smuggle methamphetamine and other contraband behind prison walls.
On May 23, 2024, agents arrested Dudley near the Elmore Correctional Facility after he attempted to access the grounds to deliver contraband. Snowden and Cox also admitted to making multiple deliveries using various methods to conceal their activities.
The Drug Enforcement Administration (DEA) and the Alabama Department of Corrections Law Enforcement Services Division investigated this case. Assistant United States Attorneys Christine Levi, Eric M. Counts, and John J. Geer, III prosecuted the case.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
Felon Sent Back to Prison for Possessing a GunRead the Press Release
A convicted felon who illegally possessed a gun was sentenced yesterday to five years in federal prison.
Miykael Jolliff, age 20, from Cedar Rapids, Iowa, received the prison term after a March 19, 2026, guilty plea to being a felon in possession of a firearm.
At the guilty plea, Jolliff admitted he possessed a gun after being previously convicted of felony offenses. In 2025, Jolliff was convicted of intimidation with a dangerous weapon and possession with intent to deliver marijuana.
Jolliff was sentenced in Cedar Rapids by United States District Court Chief Judge C.J. Williams. Jolliff was sentenced to 60 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
This case is part of Operation Take Back America a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
Jolliff is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case is being prosecuted by Assistant United States Attorney Lisa C. Williams and investigated by the Cedar Rapids Safe Streets Task Force. The task force is composed of representatives from the Federal Bureau of Investigation and the Cedar Rapids Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 25-CR-0079.
Federal Inmate Sentenced to Five Years in Federal Prison for Possession of Methamphetamine with the Intent to DistributeRead the Press Release
Ocala, Florida – United States District Judge Thomas P. Barber has sentenced Billy Boortz (43, Duval Couty, Texas) to five years in federal prison for possession of five grams or more of methamphetamine with the intent to distribute. United States Attorney Gregory W. Kehoe made the announcement.
According to the court records, on July 18, 2025, Boortz was a federal inmate in the Coleman Federal Correctional Complex (FCC Coleman) in Sumter County, Florida. On that date, Federal Bureau of Prisons (BOP) corrections officers ordered Boortz to submit to a search. Instead of complying, Boortz attempted to assault the officers by throwing punches towards their heads and upper bodies. Eventually, the officers were able to gain control over Boortz, and discovered over nine grams of methamphetamine hidden in Boortz’s sock. Boortz told law enforcement that he would have made approximately $20,000 if he had been able to sell the methamphetamine inside FCC Coleman.
This case was investigated by the Drug Enforcement Administration and the Bureau of Prisons. It was prosecuted by Assistant United States Attorney Hannah Nowalk Watson and Sarah Janette Swartzberg.
The case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
Evansville Pedophile to Spend 15 Years in Federal Prison After Victim Discovers Hidden Bathroom CameraRead the Press Release
EVANSVILLE- Jason Donald Brenton, 51, of Evansville, has been sentenced to 15 years in federal prison, followed by five years of supervised release, after pleading guilty to two counts of production and attempted production of sexually explicit material involving minors.
According to court documents, on November 3, 2023, a 19-year-old female victim reported to the Evansville Police Department that she had discovered a hidden camera in her bathroom. She removed the Micro SD card from the device and viewed the files, finding videos of herself fully nude. The recordings had been made over the course of several years while she was a minor. The victim identified Brenton as the perpetrator, confronted him, and he admitted to the conduct.
Detectives executed a search of Brenton’s cell phone, laptop, and the Micro SD card. Investigators recovered more than 100 videos and 60 images of the victim in the nude, as well as sexually explicit images and videos of the victim’s underage boyfriend.
The FBI and Evansville Police Department investigated this case. The sentence was imposed by U.S. District Judge Matthew P. Brookman.
“This defendant violated the privacy and trust of vulnerable victims in the most egregious way, and today’s sentence reflects the seriousness of his crimes. We are grateful to the investigators and prosecutors who worked swiftly to uncover the truth and ensure accountability, but I especially want to commend the victim for her remarkable courage in coming forward and confronting the offender,” said Tom Wheeler, United States Attorney for the Southern District of Indiana. “I urge our community to remain vigilant; if you see signs of abuse or exploitation, report it. Your awareness and willingness to speak up can protect children and help prevent future crimes.”
"Hidden cameras, secret recordings, and other forms of covert exploitation are not victimless acts—they are calculated crimes that rob children of their privacy, dignity, and sense of security," said FBI Indianapolis Special Agent in Charge Timothy O'Malley. "The FBI remains committed to identifying those who prey on children, standing with victims, and ensuring offenders are held accountable for these devastating crimes."
U.S. Attorney Wheeler thanked Assistant U.S. Attorney Jeremy Scott Kemper, who prosecuted this 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 U.S. Attorneys’ Offices and the 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.
If you are a victim of child sexual exploitation, please contact your local police department. Resources for victims of child exploitation can be found on our website at https://www.justice.gov/usao-sdin/project-safe-childhood
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EDNC US Attorney’s Office Joins New Southeast Fraud Enforcement PartnershipRead the Press Release
RALEIGH, N.C. - Ellis Boyle, United States Attorney for the Eastern District of North Carolina, joined the Justice Department’s National Fraud Enforcement Division in announcing sweeping fraud enforcement actions alongside a new, dedicated, federal and state anti-fraud task force in North Carolina and across the Southeast. Following a major strategic roundtable emphasizing the partnerships forged amongst federal and state prosecutors, regulators, and law enforcement agencies, DAG Colin McDonald, the National Fraud Czar heading the DOJ efforts in this battle, led a press conference in Columbia, S.C. In support, 18 U.S. Attorneys' Offices, including the EDNC, seven State Attorneys General, five federal law enforcement agencies, and over 50 state officials announced their ironclad efforts in exposing and prosecuting systemic fraud. Press Conference Link: https://youtu.be/RaJJlIlaIWU
The DOJ’s National Fraud Enforcement Division established this joint taskforce to aggressively track, investigate, and prosecute regional financial fraud stealing federal taxpayer dollars. The sweeping southeast regional initiative targets 17 distinct cases currently prosecuted across seven Southeastern states, highlighting more than $350 million in attempted theft perpetrated against American taxpayers. Prosecutors prioritize systemic public program abuse involving SNAP benefits, Small Business Administration (SBA) loans, federal housing assistance, and tax fraud. Showing immediate results, federal prosecutors surged enforcement actions, charging crimes in cases that account for over $90 million in losses and indicting 12 named defendants since July 4 alone.
"This office is fully COMMITTED to protecting federal funds intended for the communities, families, and small businesses of Eastern North Carolina," said U.S. Attorney Ellis Boyle. "By combining forces with our state, local, and federal law enforcement partners and launching this new anti-fraud task force, we will ensure that those who attempt to line their pockets through deception face swift federal justice. If you steal from the American people: we are looking for you; we will find you; we will convict you; and you will hibernate behind cold steel bars. Cheaters. Never. Win."
To illustrate recent crackdown efforts in the EDNC, Mr. Boyle described a June conviction where a Robeson County woman, who owned a North Carolina tax filing franchise, pleaded guilty to a massive Covid tax fraud scheme in federal court. Nejlai Mitchell, 48, admitted to preparing false returns claiming fraudulent refunds based on COVID-19 tax credits and submitting false tax returns. The conspiracy resulted in the IRS paying out almost $14 MILLION in fraudulent tax refund claims. Mitchell faces a maximum term of eight years in prison and a $500,000 fine when a federal judge sentences her later this year. Seven other tax return preparers who worked for her have already pleaded guilty for their roles in the same multi-million-dollar fraud scheme$25M Pandemic-Relief Fraud Scheme.
Dozens Charged with Health Care Fraud in Federal and State Cases Involving $5.76 Million in Billings to Pennsylvania’s Medicaid ProgramRead the Press Release
PHILADELPHIA – United States Attorney David Metcalf announced that 12 individuals and an agency have been charged by federal indictment and additional defendants charged by the Pennsylvania Office of Attorney General with health care fraud and other offenses, for allegedly conspiring to defraud the Pennsylvania Medicaid program.
U.S. Attorney Metcalf discussed the cases at a news conference this morning, alongside Assistant Attorney General Colin McDonald of the Department of Justice’s National Fraud Enforcement Division; Pennsylvania Attorney General Dave Sunday; Scott Brady, Executive Director of the White House Task Force to Eliminate Fraud; Dr. Mehmet Oz, Administrator of the Centers for Medicare and Medicaid Services; T. March Bell, Department of Health and Human Services Inspector General; Wayne Jacobs, Special Agent in Charge of FBI Philadelphia; Stanley Rutkowski, Assistant Special Agent in Charge of Health and Human Services Office of Inspector General (“HHS-OIG”), Philadelphia Regional Office; Timothy Flaherty, Special Agent in Charge of DEA Philadelphia; and Larry Arrow, Assistant Special Agent in Charge of IRS Criminal Investigation (“IRS-CI”) in Philadelphia.
“The great fraud against the American taxpayer takes many forms,” said U.S. Attorney Metcalf. “It is outrageous and unacceptable that anyone could steal money by billing nonexistent home care services for caregivers who were, in fact, dead, in prison, or trafficking drugs.”
In addition, AAG McDonald announced a significant expansion of the Fraud Division’s Northeast Health Care Fraud Strike Force to Philadelphia, an enforcement initiative uniting the Division’s Health Care Fraud Section with the U.S. Attorney’s Office for the Eastern District of Pennsylvania. The Health Care Strike Force model has proven to be one of the most powerful tools in the federal enforcement arsenal, responsible nationally for the prosecution of over 6,200 defendants who collectively billed federal health care programs and private insurers more than $45 billion.
The Strike Force’s expansion into the Eastern District of Pennsylvania brings enhanced federal resources to a district with an established tradition of strong health care fraud enforcement. The partnership between the Fraud Division and the Eastern District of Pennsylvania will uniquely enable law enforcement to combat criminals who hide behind corporations to commit fraud. Philadelphia and its surrounding areas have vibrant and cutting-edge health care technology and insurance industries, and the Eastern District of Pennsylvania has long been a prime venue for private lawsuits that bring unlawful corporate conduct in the health care industry to the attention of law enforcement.
“Home care funding exists to assist America’s elderly and most vulnerable — not to fund schemes in which aides claim be providing care while incarcerated or vacationing in Miami and Saudi Arabia,” said Assistant Attorney General McDonald. “Today’s charges and the expansion of our Northeast Strike Force into the Eastern District of Pennsylvania send a clear message to fraudsters in the region: the Department of Justice will relentlessly pursue you and use all available tools to protect Medicaid and the programs everyday Americans rely on.”
“The magnitude of home care fraud is shocking and requires the total force of the United States government to solve,” said U.S. Attorney Metcalf. “This is why we are excited to announce the return of the Philadelphia Fraud Strike Force, partner with the National Fraud Enforcement Division, and enhance our alliance with Pennsylvania Attorney General Dave Sunday.”
The Unit’s corporate enforcement efforts align closely with the U.S. Attorney’s Office for the Eastern District of Pennsylvania and its history of successful criminal and civil actions against corporate bad actors operating in the health care industry.
Recently, the Eastern District of Pennsylvania has become the target of fraudsters seeking to take advantage of Medicaid’s home health care funds, which should be devoted to assisting elderly and ill Pennsylvanians to age in place with dignity. Today’s announcement is a result of coordinated and dedicated investigations and prosecutions at the federal and state levels.
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Three federal cases were the focus of today’s takedown; the first case involves three separate indictments charging a total of eight defendants.
The first indictment charges Joseph Pizzo, 47, and Tiziana Taormina, 52, both of Philadelphia, with conspiracy to commit health care fraud, and multiple counts of health care fraud
The indictment alleges that, from about July 2023 to April 2024, and about July 2024 to May of this year, Taormina, a personal care aide with “Agency 1,” and Pizzo, a Medicaid recipient, schemed to defraud Medicaid.
They did so through a series of false and fraudulent clock-ins, for care she purportedly provided to Pizzo — including while he was incarcerated in Bucks County, and while he was working a construction job. In total, the indictment alleges that Taormina and Pizzo’s scheme caused a payout of at least $160,000 in Medicaid claims.
The second indictment in the case charges Donna Romsteadt, 63, Alyssa Cuculino, 27, Louise Israel, 46, and Elexis Cuculino, 51, all of Philadelphia, with a similar conspiracy and health care fraud offenses.
Alyssa Cuculino is the daughter of Elexis Cuculino and the niece of Donna Romsteadt. Alyssa Cuculino and Israel were the home care aides, employed by “Agency 1,” and Romsteadt and Elexis Cuculino were the Medicaid recipients for whom the aides purportedly provided home care.
Also referenced in the indictment is Medicaid “Recipient #1,” a relative of Romsteadt’s who resided with her. Both Israel and Alyssa Cuculino purportedly provided, and billed for, services to “Recipient #1” for lengthy periods. Israel also sought payment for Romsteadt’s supposed care, and Alyssa billed for care she supposedly provided her mother Elexis.
Again, the indictment alleges no-show billing, with Alyssa Cuculino working at another job, or even hospitalized, during times she claimed that she was providing home care. Israel was, at times, incarcerated while purportedly providing care services. As alleged, Romsteadt and Elexis Cuculino actively assisted in the conspiracy, performing fraudulent clock-ins for Alyssa Cuculino and Israel. In total, these four defendants allegedly caused approximately $445,000 in fraudulent claim payouts.
Finally, the third indictment in this case charges Albert Coccia Jr., 56, and Santino Coccia, 28, both of Philadelphia, with conspiracy to commit health care fraud and multiple counts of health care fraud. Albert Coccia Jr., a Medicaid recipient, is the father of Santino Coccia, a home care aide with “Agency 1.”
The indictment alleges repeated billing for care Santino Coccia supposedly provided to his father, at times when Santino Coccia was actually behind the wheel, making hundreds of trips as a contractor for a national rideshare and food-delivery provider. The indictment alleges that the Coccias conspired to cause fraudulent claims and payouts totaling at least $211,000.
The case involving these indictments was investigated by the FBI and HHS-OIG and is being prosecuted jointly by Trial Attorneys Paul J. Koob and Carla Jordan-Detamore of DOJ’s Health Care Fraud Strike Force and Assistant United States Attorney Paul Shapiro of the Eastern District of Pennsylvania.
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The second federal case features separate indictments against Sean Murray, 58, and Charles Bowie, 53, both of Philadelphia, who both worked for “Home Care Company 1.”
Murray was indicted on one count of health care fraud and nine counts of wire fraud, arising from an alleged scheme to defraud Medicaid through fraudulent home care services. He is already awaiting trial in the Eastern District of Pennsylvania for separate narcotics trafficking and firearms charges.
The indictment alleges that most of what Murray billed for home care services occurred while he was actually at the gym, massage parlor, traveling, or even selling illegal drugs, with Murray paying kickbacks to clients to go along with the scheme. The indictment alleges $400,000 in billings by Murray, the vast majority of which were for services not rendered.
Bowie was indicted on one count of health care fraud and 13 counts of wire fraud, arising from a similar scheme. The indictment alleges that he billed for purported home care services rendered at times when, in reality, he was vacationing in Saudi Arabia, Jamaica, Colombia, and other destinations. As alleged, Bowie caused approximately $600,000 in Medicaid billings, the vast majority of which were fraudulent.
This case was investigated by the FBI, HHS-OIG, and IRS-CI and is being prosecuted by Assistant United States Attorneys Sara Solow and Angella Middleton.
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In the third federal case, Khaleelah Williams, 49, and Saleemah Davis, 29, both of Philadelphia, and the home care agency they own, Benevolent Home Health LLC, have been charged with health care fraud conspiracy, health care fraud, and 14 counts of wire fraud. In addition, Williams and Davis have each been charged with two counts of aggravated identity theft.
The indictment alleges that Williams billed Medicaid for home care services purportedly provided by her husband, both while he was allegedly trafficking narcotics and after he was detained in federal custody on drug trafficking charges. Davis and Williams also billed for home care services purportedly performed by aide who was deceased. As alleged, Williams and Davis made approximately $224,000 in fraudulent claims to Medicaid.
The case was investigated by the DEA and HHS-OIG and is being prosecuted by Assistant United States Attorney Jessica Rice and Special Assistant United States Attorney Megan Curran.
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“This criminal conduct is much more than someone ‘working the system’ — the impact is deep and wide-ranging, as every dollar diverted deprives someone in need of care,” Pennsylvania Attorney General Dave Sunday said. “In collaboration with our partners, my office last year convicted more than 100 defendants, and clawed back more than $40 million that was intended for Pennsylvanians in need.”
“Medicaid fraud robs hardworking taxpayers, deprives vulnerable Americans of the care they need, and undermines the public trust that sustains our social safety net,” said CMS Administrator Dr. Mehmet Oz. “CMS will continue partnering with law enforcement to shut down these scams while establishing new anti-fraud safeguards that flag criminal activity before the money ever leaves the building. This Administration is taking a whole-of-government approach to protecting Medicaid — ensuring the program serves the Americans who depend on it, not criminals seeking to exploit it.”
“Today’s announcement underscores the need to confront Medicaid and Medicare fraud head on,” stated Department of Health and Human Services Inspector General T. March Bell. “The schemes alleged here involved fabricated services, impossible work hours, and claims made while defendants were incarcerated, overseas, or working other jobs. Together with our federal and state partners, we remain steadfast in protecting Medicaid and Medicare by pursuing anyone who seeks to exploit these programs and the people they are designed to serve.”
“Health care fraud is not a victimless crime — it undermines public trust and diverts critical resources from patients who need them,” said FBI Philadelphia Special Agent in Charge Wayne Jacobs. “No single agency can tackle complex health care fraud schemes alone. Let today’s announcement be a warning to those engaging in similar activity: if you seek to exploit our health care systems for personal profit, you should expect the FBI and our partners to uncover your scheme and bring it to an end. Every dollar stolen through fraud is a dollar diverted from patient care, and the FBI will continue its work to safeguard the public's trust and hold accountable those who abuse these vital programs.”
“Health care fraud is not just a financial crime, it threatens public safety and victimizes the American people,” said DEA Philadelphia Special Agent in Charge Timothy Flaherty. “Our message is clear: if you are a medical provider who chooses greed over your professional responsibility, DEA will hold you accountable.”
“IRS Criminal Investigation enforces the nation’s tax laws but also takes particular interest in cases involving fraud against government health care programs,” said Yury Kruty, Special Agent in Charge of the IRS-CI Philadelphia Field Office. “With both law enforcement and financial investigation expertise, our agents are uniquely qualified to assist state, local and federal law enforcement agencies in these matters by tracing financial transactions. The success of these investigations is attributable to the collaborative efforts of our law enforcement partners.”
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The charges and allegations contained in federal indictments and state complaints are merely accusations. Every defendant is presumed to be innocent unless and until proven guilty in court.
U.S. v. Pizzo et al
U.S. v. Romsteadt et al
U.S. v. Coccia Jr et al
U.S. v. Murray
U.S. v. Bowie
U.S. v. Benevolent Home Health Care et alDowney Man Who Was Arrested with Loaded Pistol at Trump Golf Club Charged in Federal Complaint with Firearm-Related CrimeRead the Press Release
LOS ANGELES – A Downey man arrested over the weekend at Trump National Golf Club Los Angeles while possessing ammunition on his person and a loaded firearm in his pickup truck was charged today in a federal criminal complaint with a firearm offense.
Jeanine John Taele, 38, is charged with possession of an unregistered short-barreled rifle, a felony that carries a statutory maximum sentence of 10 years in federal prison.
Taele, who also faces criminal charges in Los Angeles Superior Court stemming from the same incident, is expected to make his initial appearance tomorrow in United States District Court in downtown Los Angeles.
“While we are still investigating the motives of this individual, we are thankful he was apprehended before the President’s visit,” said First Assistant United States Attorney Bill Essayli. “Federal and local law enforcement stepped in early and prevented what could have been a dangerous situation from occurring. This investigation remains ongoing.”
“Mr. Taele’s troubling behavior at the President’s public golf course merely days before the President was expected to arrive raised serious red flags for law enforcement and led to the discovery of an unregistered firearm, a loaded weapon, as well as additional items of concern,” said Patrick Grandy, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “There is no room for error, particularly in light of previous attempts on President Trump’s life, and the FBI’s Joint Terrorism Task Force, working with our partners at the U.S. Secret Service, the ATF, and the Los Angeles County Sheriff's Department, will investigate this case thoroughly.”
“The ATF was honored to offer our subject matter experience to assist this investigation,” said Kenneth R. Cooper, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Los Angeles Field Division. “A potential tragedy was averted due to the exceptional whole-of-government approach in providing the very best public safety response to all citizens in this great nation that we are proud to serve.”
“This case is a strong example of the important work our agents do to keep the individuals we protect and our protected sites safe, starting well before each and every visit,” said Armando Marquez, Special Agent in Charge of the United States Secret Service’s Los Angeles Field Office. “Since the moment our agents became aware of this individual, they’ve worked tirelessly with the Los Angeles County Sheriff’s Department and our federal partners to investigate this case. We take seriously any information that could indicate a potential threat to individuals under Secret Service protection and we’re deeply grateful for the prompt and thorough work by our agents and law enforcement partners.”
According to an affidavit filed with the complaint, on July 31, federal agents conducted a security assessment at Trump National Golf Club Los Angeles in Rancho Palos Verdes taken in advance of a visit to the club by President Donald J. Trump on August 4.
During this security assessment, federal agents saw a suspicious individual later identified as Taele at the club. Taele was seen walking throughout the golf course at Trump Golf Club, was wearing an earpiece, and took photographs and filmed videos of federal agents’ security-planning activities. Taele later left the area and drove away.
On August 2, Taele returned to Trump Golf Club. Golf course staff notified federal agents, who were continuing their security assessment. Taele approached the federal agents and stated that he was employed by the State Department and was at the location for security detail. Taele further admitted to having a loaded firearm in his car, which was parked in the Trump Golf Club parking lot.
Federal agents contacted the Los Angeles County Sheriff’s Department (LASD) and sheriff’s deputies arrived at the club. LASD deputies learned that Taele was wanted in connection with a robbery case out of El Segundo. Taele was detained and a 16-round magazine containing hollow-point ammunition was found in his pants pockets.
A search of Taele’s pickup truck led to the seizure of a loaded 9mm pistol with a loaded magazine containing hollow-point ammunition, a pair of binoculars, and a badge that read, “security protection agent.”
A search of Taele’s residence on August 3 led to the seizure of an illegally modified AR-platform rifle, other firearms, body armor, high-capacity magazines, an earpiece, two radio signal devices, and multiple notebooks containing concerning statements.
A criminal complaint contains merely allegations, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The FBI, the United States Secret Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives are investigating this matter with substantial assistance from the Los Angeles County Sheriff’s Department.
Assistant United States Attorney Jordan Patterson of the General Crimes Section is prosecuting this case.
District Man Sentenced to 114 Months in Armed Kidnapping of 14-Year-Old GirlRead the Press Release
WASHINGTON – Antoine Jones, 24, of the District of Columbia, was sentenced today in U.S. District Court to 114 months in prison in connection with the armed kidnapping of a 14-year-old girl, announced U.S. Attorney Jeanine Ferris Pirro.
“Antoine Jones held a gun to the face of a 14-year-old girl, drove her across the city, and delivered her to a man he knew would continue terrorizing her,” said U.S. Attorney Pirro. “Targeting a child is heinous under any circumstance, but pointing a gun at her head to force her compliance is uniquely cruel. My office will continue to pursue prison sentences for anyone who preys on the young people of this city.”
Jones pleaded guilty before Judge Colleen Kollar-Kotelly to one count of kidnapping while armed. In addition to the 114-month prison term, Judge Kollar-Kotelly ordered Jones to serve five years of supervised release.
According to court papers, on Sept. 26, 2024, Jones was driving a car in Northwest D.C. when he crossed paths with Keishawn Johnson, who was driving a separate vehicle. Johnson gestured for Jones to follow him, and Jones did so.
The two men drove to the 1300 block of Longfellow Street NW, where Johnson pulled over near the minor victim, who was standing on the sidewalk.
The minor victim got into Johnson's vehicle. Johnson then got out, came around to where the victim was sitting, and pointed a firearm in her face, demanding that she tell him the location of a gun he believed she had taken.
Jones joined Johnson at the vehicle, blocking the victim from getting away. Jones pointed his own firearm in the victim's face and demanded the same information.
When the minor victim said she did not have the gun, Johnson grabbed her by the arm and moved her into Jones's car. Johnson buckled her into the passenger seat and directed Jones to take her cell phone, which Jones did.
Police arrived at the scene after a bystander called 911. Johnson fled in his vehicle, and Jones followed with the minor victim still in his car.
Jones drove the minor victim to Johnson's residence in Southeast D.C., against her will and waited outside while Johnson brought her inside to continue searching for the missing firearm. Johnson later brought the minor victim back out, placed her in his vehicle, and drove off with her again. Jones left the scene at that point.
Jones has three prior adult criminal convictions and was on probation in two of those cases at the time of the offense.
Joining U.S. Attorney Pirro in the announcement was FBI Assistant Director in Charge Darren B. Cox of the Washington Field Office and Interim Chief Jeffery Carroll of the Metropolitan Police Department.
The investigation was conducted by the FBI Washington Field Office and the Metropolitan Police Department.
The matter was prosecuted by Assistant U.S. Attorney Caroline Burrell.
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Convicted Felon Sentenced to 20 Years in Prison for $50 Million Real Estate Fraud SchemeRead the Press Release
MIAMI – A convicted felon has been sentenced to federal prison for his leading role in a real estate fraud scheme that raised over $50 million from investors.
U.S. District Judge Jose E. Martinez sentenced Jean Joseph, also known as “Jon,” 55, of Boca Raton, to 240 months in prison after he pleaded guilty to wire fraud. A restitution hearing is set for September 4. Janalie Camille Bingham, his 44-year-old wife and accomplice who also goes by Janalie Camille Joseph, was sentenced to 48 months for her part in the crime.
“Jean Joseph was already serving a federal prison sentence for wire fraud when he continued directing another massive investment scheme from behind bars,” said U.S. Attorney Jason A. Reding Quiñones. “He lied about the company’s assets, diverted millions of dollars into speculative trading and personal expenses, and used new investor money to pay earlier investors. This 20-year sentence delivers serious accountability for an unrepentant fraudster who repeatedly abused the trust of his victims.”
According to court documents, Joseph and Bingham formed Wells Real Estate Investment, LLC in or around 2017 and operated the company together, with Bingham serving as the Chief Executive Officer. Beginning in approximately 2019, Joseph and Bingham concealed Joseph’s involvement in the business after he became a convicted felon.
Despite beginning to serve a prison sentence in June 2020 in an unrelated wire fraud case (19-cr-20177), Joseph continued to direct aspects of the scheme from prison. Earlier, in October 2019, Joseph and Bingham opened a bank account in the name of Wells Real Estate, with Bingham as the sole authorized signer due to Joseph’s pending criminal prosecution. Joseph nevertheless directed transactions in the account, including while incarcerated.
From approximately 2019 through 2024, Joseph and Bingham solicited investors to purchase promissory notes issued by Wells Real Estate. They falsely represented that investor funds would be used to acquire and improve residential and commercial real estate and that the notes were backed by valuable real estate holdings. In reality, only a small portion of investor funds was used for real estate. Instead, Joseph diverted approximately $28 million into speculative equities trading.
Joseph and Bingham also falsely claimed that the investment notes were secured by a real estate portfolio purportedly worth as much as $450 million. In truth, neither Wells Real Estate nor the defendants owned sufficient real estate assets to secure the investments.
Joseph and Bingham further misled investors by claiming that Wells Real Estate did not pay commissions on note sales. In fact, the company paid up to 15% in commissions, distributing approximately $8 million in investor funds to sales personnel.
To sustain the scheme, the defendants used funds from newer investors to make more than $8 million in Ponzi-style payments to earlier investors, without disclosing the source of those payments.
They also used more than $2 million in investor funds for personal expenses, including a down payment on a $1.95 million home that they used as their primary residence. Shortly after purchasing the home through a limited liability company, the property was transferred into Bingham’s name.
U.S. Attorney Reding Quiñones and Special Agent in Charge Brett D. Skiles of the FBI, Miami Field Office, made the announcement.
FBI Miami is investigating the case. The U.S. Attorney’s Office appreciates the assistance of the U.S. Securities and Exchange Commission, which previously brought a civil action against Joseph and Bingham.
Assistant U.S. Attorneys Eli S. Rubin and Roger Cruz are prosecuting the case. Assistant U.S. Attorney Nicole Grosnoff is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 25-cr-20483.
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Convicted Felon Sentenced to 10 Years for Highway Shooting that Injured Two PeopleRead the Press Release
CHARLOTTE, N.C. – Anil Dabydeen, 41, of Charlotte, was sentenced today to 10 years in prison followed by three years of supervised release for illegally possessing the stolen firearm he used to shoot at vehicles on I-485, injuring two people, announced Russ Ferguson, U.S. Attorney for the Western District of North Carolina.
“We will use federal statutes to charge federal crimes when individuals act recklessly with firearms,” said U.S. Attorney Russ Ferguson. “No one driving on the highway should be in fear they are going to be shot by a passerby. My office is diligently working to remove felons illegally possessing handguns from our streets and send them to prison where they cannot harm innocent people.”
“Taking violent and dangerous individuals off our streets is a critical effort that ATF is proud to be a part of,” said ATF Special Agent in Charge Alicia Jones. “We continue to work with our law enforcement partners to apprehend those that pose the biggest threat to our public safety.”
“Violent acts like this have no place in our city, and this case shows what can be accomplished when strong partnerships work together to protect the community. Our officers, federal partners, and prosecutors moved quickly and decisively to hold this offender accountable,” said Chief of Police Estella D. Patterson. “CMPD remains firmly committed to working with the U.S. Attorney’s Office, ATF and all of our public safety partners to address violent crime, remove dangerous individuals from our streets and ensure the safety of everyone who lives, works, and travels in Charlotte.”
According to court documents and the court hearing, on January 8, 2025, at 3:49 p.m., officers with the Charlotte Mecklenburg Police Department (CMPD) were dispatched to I-485 at the South Tryon Street exit after receiving several 911 calls reporting a male operating a white Honda sedan on the highway shooting at passing vehicles. CMPD officers arrived on the scene and located two victims who had been shot. The victims told the officers that they were traveling south on I-485 when their vehicle was struck by gunfire. Both victims were transported to the hospital, and one required surgery because of the injuries sustained. While on the scene, the officers reviewed a video recorded by a witness. The video showed a white sedan stopped on the side of the highway, and an individual, later identified as Dabydeen, walking around the vehicle, brandishing a firearm and pointing it at passing vehicles. Dabydeen had shot the victims’ car three times.
While the officers were investigating the incident, they observed a white Honda sedan driving in their direction at a high rate of speed. The vehicle swerved onto the grassy area on the right shoulder of the highway, passing close by the officers. The officers recognized the vehicle as the one observed during the shooting and began to pursue it while the driver fled. Eventually, Dabydeen stopped the vehicle, and he was taken into custody. Officers searched the vehicle and found a loaded Taurus Model G3c, 9mm pistol affixed with a loaded extended magazine. The firearm had been reported stolen. During the investigation, law enforcement determined that Dabydeen has a prior felony conviction for Attempted Murder in New York, and he is prohibited from possessing a firearm or ammunition.
Dabydeen remains in federal custody. He will be transferred to the custody of the Federal Bureau of Prisons upon designation to a federal facility.
The ATF and CMPD led the investigation.
Assistant U.S. Attorney Stephanie Spaugh of the U.S. Attorney’s Office in Charlotte handled the prosecution.
Columbus Woman Sentenced as Career Offender for Distributing MethRead the Press Release
COLUMBUS, Ga. – A Georgia woman with a lengthy criminal record and prior convictions in two states was sentenced as a career offender to serve 20 years in prison for distributing methamphetamine.
“Career offenders face significant consequences in the federal system when they repeatedly violate the law and endanger our communities,” said U.S. Attorney William R. “Will” Keyes. “By working closely with law enforcement partners at every level, our office is committed to holding these individuals accountable and ensuring justice is served.”
“Repeat drug traffickers who continue to profit from the distribution of dangerous narcotics pose a significant threat to our communities,” said Jae W. Chung, Special Agent in Charge of the DEA Atlanta Field Division. “Today’s sentence demonstrates that career offenders who repeatedly engage in methamphetamine trafficking will be held accountable. DEA remains committed to working alongside our law enforcement and prosecutorial partners to disrupt drug trafficking organizations and protect the public from the devastating impact of methamphetamine.”
“The Muscogee County Sheriff’s Office takes a very firm stance on ridding our community of illegal and dangerous drugs,” said Muscogee County Sheriff Greg Countryman. “We are proud to work with our federal partners to leverage resources for a safer Muscogee County. The MCSO remains committed to ensuring Muscogee County is a safer place to work and live for all citizens.”
Conier Long, 49, of Columbus, was sentenced as a career offender to serve 240 months in prison to be followed by five years of supervised release by U.S. District Judge Clay Land on Aug. 3. Long previously pleaded guilty to one count of distribution of methamphetamine on Jan. 20, 2026. There is no parole in the federal system.
According to court documents, DEA agents and Muscogee County Sheriff’s Office deputies used a confidential source to conduct a controlled purchase of methamphetamine from Long, who was under investigation for drug trafficking. On Jan. 25, 2023, Long agreed to meet the source to distribute methamphetamine. During this conversation, Long also stated that she had to report to her parole officer for a drug test. Later that day, Long met the confidential source at the Players Billiard Club on 54th Street in Columbus and handed over a cardboard box containing 107.81 grams of pure methamphetamine.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations, and protect our communities from the perpetrators of violent crime.
The DEA and the Muscogee County Sherrif’s Office investigated the case, and it was prosecuted by the Columbus Division of the U.S. Attorney’s Office for the Middle District of Georgia.
Clarendon County Armed Drug Dealer Sentenced to 20 Years in Federal Prison for Drug and Gun OffensesRead the Press Release
COLUMBIA, S.C. — Everett Sabb, 37, of Summerton, has been sentenced to 20 years in federal prison for conspiracy to possess with intent to distribute and distribution of 500 grams or more of cocaine and 28 grams or more of cocaine base, felon in possession of a firearm, and possession of a firearm in furtherance of drug trafficking.
Evidence obtained in the investigation revealed that Sabb was a supplier of cocaine, crack, and marijuana in the Clarendon County area. On at least one occasion, he traveled to California to meet with potential drug suppliers on behalf of his coconspirator.
Law enforcement discovered Sabb with firearms or ammunition on two occasions. Sabb was prohibited from possessing firearms and ammunition due to his prior state felony convictions, which included convictions for Possession with Intent to Distribute Cocaine Base, Distribution of Cocaine Base with the Proximality of a School or Park, and Unlawful Carrying of a Pistol.
United States District Judge Joseph F. Anderson Jr. sentenced Anderson to 240 months’ imprisonment, to be followed by a 4-year term of court-ordered supervision. There is no parole in the federal system.
This case was investigated by the Drug Enforcement Administration (DEA) and Clarendon County Sheriff’s Office. Assistant U.S. Attorney Elle E. Klein is prosecuting the case.
Civil Rights Division Secures Settlement with OpenAI for Discriminating Against U.S. WorkersRead the Press Release
The Justice Department’s Civil Rights Division announced today that it has secured a combined $3,200,000 settlement with OpenAI OpCo LLC, a San Francisco, California-based artificial intelligence company, and its subsidiary, Statsig Inc., a Bellevue, Washington-based software development company (together, OpenAI). The settlement addresses allegations that both companies violated the Immigration and Nationality Act (INA) by discriminating against U.S. workers and instead preferred workers with temporary employment visas, when the companies hired and recruited during the Permanent Labor Certification (PERM) process.
“It is illegal to discriminate against U.S. workers by preferring temporary visa holders for jobs,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “This substantial settlement ensures that OpenAI redresses harm and changes its recruitment practices so that U.S. workers receive a fair opportunity for highly sought-after technology positions.”
The Department’s investigation found that OpenAI did not advertise positions it sought to fill through the PERM program on its external job website, even though its standard practice was to do so with other jobs. OpenAI also required applicants to mail paper applications for positions advertised as part of PERM recruitment, even though the company permitted electronic applications for other positions. In addition, OpenAI took other steps to discourage U.S. workers from applying, such as advertising positions on the radio late at night. While there were fewer than ten PERM positions at issue, the resolution amount reflects the harm to U.S. workers when they are shut out of applying for lucrative technology jobs.
Under the terms of the settlement, OpenAI will pay $1,200,000 in civil penalties to the United States and establish a back-pay fund of $2,000,000 to compensate victims of the companies’ discriminatory practices. In addition, OpenAI will give U.S. workers fair opportunities to apply for jobs as part of PERM recruitment by posting the positions on its public career website and accepting electronic applications. The agreement also requires OpenAI to train its personnel on the INA’s anti-discrimination requirements, revise its employment policies, and be subject to departmental monitoring and reporting requirements, to prevent future discrimination.
The PERM program allows employers to sponsor workers for permanent resident status if the companies perform good-faith recruitment, but cannot find qualified U.S. workers. However, during this process, companies cannot illegally discriminate against U.S. workers based on their citizenship status.
This settlement is the thirteenth settlement since the Department re-launched its Protecting U.S. Workers Initiative in 2025 to enforce the INA’s prohibition on citizenship status discrimination against companies that illegally discriminate against U.S. workers in favor of those with employment visas. Under these settlements, the Department obtains civil penalties for each violation and will continue to seek the maximum penalty permitted by law. The settlements may involve awards of back pay, when warranted. They also require employers to conduct comprehensive training for relevant staff and recruiters and cease restricting consideration for job opportunities based on workers’ citizenship status without a lawful reason.
For information about additional settlements under the Protecting U.S. Workers Initiative, visit IER’s website.
For informal assistance, the public can call IER’s free hotline at 1-800-255-7688 for workers, 1-800-255-8155 for employers, or 1-800-237-2515 TTY for hearing impaired, between 9am and 5pm Eastern Time, Monday through Friday; sign up for a live webinar or watch an on-demand presentation; email [email protected]; or visit www.justice.gov/ier.
Chinese National Sentenced to Five Years in Federal Prison for Conspiracy to Commit Wire Fraud as Part of Gold ScamRead the Press Release
Ocala, Florida – Jiaan Cao (33, China) has been sentenced by U.S. District Judge Thomas P. Barber to five years in federal prison for conspiracy to commit wire fraud. Cao entered a guilty plea on January 27, 2026. U.S. Attorney Gregory W. Kehoe made the announcement.
According to court documents, beginning in at least October 2024 and continuing through December 12, 2024, Cao conspired with others to commit wire fraud by gaining access to a victim’s computer, fraudulently posing as a representative of a victim’s financial institution, and informing the victim their account had been subjected to fraudulent criminal activity. A member of the conspiracy then directed the victim to withdraw money from their account and purchase gold. Afterward, the victim was instructed to provide this gold to a “federal agent” for safekeeping. In actuality, the “federal agent” was another member of the conspiracy. Conspiracy members often exchanged electronic communications with each other, including the location details of the victims, for this purpose. On December 12, 2024, Cao was arrested at a victim’s residence in Marion County when he arrived to pick up gold that had been purchased in this manner.
This case was investigated by Homeland Security Investigations and the Marion County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Sarah Janette Swartzberg.
Chinese Manufacturing Subsidiary Settles Paycheck Protection Program Loan Fraud Allegations for over $5 MillionRead the Press Release
NEWARK, N.J. – A South Carolina corporation entered into a settlement agreement with the United States resolving allegations that the company violated the False Claims Act by applying for and receiving a Paycheck Protection Program (PPP) loan for which the company was not eligible, U.S. Attorney Robert Frazer announced today.
According to the contentions of the United States in the settlement agreement:
China Jushi USA Corp. (China Jushi USA) is a South Carolina corporation with a place of business in Columbia, South Carolina. China Jushi USA is a subsidiary of China Jushi Corp., a Chinese company that manufactures and sells fiberglass products. During the period of July 27, 2020 to June 21, 2021, China Jushi USA applied for and received a PPP loan and loan forgiveness totaling $3,590,007 (including interest).
The United States contends that China Jushi USA falsely certified eligibility to receive this first-draw PPP loan and loan forgiveness totaling $3,590,007 (including interest). The United States contends that China Jushi USA knowingly made false statements, or caused false statements to be made, when it certified in its PPP loan application that it was eligible for a PPP loan. At the time of its loan application, China Jushi USA was not eligible to participate in the PPP because, inclusive of affiliates’ employees, China Jushi USA exceeded applicable size standards. In addition, because of China Jushi USA’s false statements on its loan application, the United States paid $35,581 in lender processing fees associated with the first-draw loan for which China Jushi USA was ineligible.
In accordance with the terms of the settlement agreement, China Jushi USA paid the United States $5,075,823. The settlement resolves a lawsuit filed under the whistleblower provision of the False Claims Act, which permits private parties, called relators, to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. In this matter, the relator is receiving $507,582 as the share in the recovery.
U.S. Attorney Frazer credited the Small Business Administration (SBA)’s Office of General Counsel for their assistance in this matter.
The government is represented by Assistant U.S. Attorney Susan J. Pappy of the Health Care Fraud and Opioids Enforcement Unit in Newark, with assistance from Trial Attorney Denise Grugan of the U.S. Small Business Administration.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The qui tam case is captioned US ex rel. Aidan Forsyth v. China Jushi USA Corp., 24-cv-09959 (D.N.J.).
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
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Counsel for China Jushi USA Corp.: John J. Pease III, Esq., Steven Strauss, Esq., Morgan, Lewis & Bockius LLP.
Relator’s counsel: Eric H. Jaso, Esq., Spiro, Harrison & Nelson LLP.
chinajushiusa.agreement.pdfCabell County Man Pleads Guilty to Violating the Federal Sex Offender Registration and Notification ActRead the Press Release
HUNTINGTON, W.Va. – Johnathan Matthew Taylor, 31, of Barboursville, pleaded guilty today to failure to update his registration as required by the Sex Offender Registration and Notification Act (SORNA).
According to court documents and statements made in court, from on or about January 17, 2026, through on or about February 17, 2026, Taylor failed to update his registration after changing his employment.
Taylor is required to register as a sex offender following his conviction for traveling in interstate commerce in order to engage in illicit sexual activity with a minor in United States District Court for the Southern District of West Virginia on August 8, 2019. Taylor was serving a term of supervised release for that conviction at the time of his current offense.
Law enforcement officers arrested Taylor on April 2, 2026, following his indictment on his current offense as part of Operation Spring Sweep, a nearly month-long warrant and fugitive sweep led by the U.S. Marshals Southern District of West Virginia Cops United Felony Fugitive Enforcement Division (CUFFED) Task Force that targeted noncompliant sex offenders, individuals wanted for sex crimes, and violent fugitives.
Taylor is scheduled to be sentenced on November 16, 2026, and faces a maximum penalty of 10 years in prison, at least five years and up to a lifetime of supervised release, and a fine of up to $250,000.
United States Attorney Moore Capito made the announcement and commended the investigative work of the United States Marshals Service and the West Virginia State Police.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Jonathan T. Storage is prosecuting the case.
SORNA is part of the Adam Walsh Child Protection and Safety Act of 2006 and provides a comprehensive set of minimum standards for sex offender registration and notification in the United States. SORNA seeks to strengthen the nationwide network of sex offender registration and notification programs, in part by requiring registered sex offenders to register and keep their registration current in each jurisdiction in which they reside, work, or go to school.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:26-cr-34.
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Buffalo man pleads guilty to selling fentanyl involved in an overdose deathRead the Press Release
BUFFALO, NY — U.S. Attorney Michael DiGiacomo announced today that Stanley B. Wallace a/k/a Spitz, 36, of Buffalo, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to distribution of fentanyl, which carries a maximum penalty of 20 years, and a fine of $1,000,000.
In May 2022, three individuals drove to a Schreck Avenue residence. One of the individuals went inside and purchased a quantity of blue fentanyl pills from Spitz. That individual then gave the pills purchased from Spitz to the individual, identified as B.B., who drove to the Schreck Avenue residence. After leaving B.B., one of the other individuals consumed one of the pills and then texted B.B.: “…I honestly think are straight fent potent as (expletive) I’m high outta my mind plz don’t sniff a quarter of that strait bro don’t want u to od.” The following day, B.B. was found dead in his Lockport, NY residence.
Investigators executed a search warrant at the hotel room where the other two individuals were staying and recovered two blue pills, and two partial blue pills, that tested positive for fentanyl. A search warrant was then executed at the Schreck Avenue residence, where law enforcement recovered drug paraphernalia.
The case is being prosecuted by Assistant U.S. Attorney Louis A. Testani. The plea is the result of an investigation by Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Anthony Patrone and the Niagara County Sheriff’s Office, under the direction of Sheriff Michael Filicetti.
Sentencing is scheduled for November 30, 2026, before Judge Sinatra.
Buffalo man pleads guilty to cocaine chargeRead the Press Release
BUFFALO, NY — U.S. Attorney Michael DiGiacomo announced today that Joseph Cruz Ocasio a/k/a Joe Crack, 38, of Buffalo, NY, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to possession with intent to distribute cocaine, which carries a maximum penalty of 20 years in prison, and a fine of $1,000,000.
On October 16, 2025, investigators executed a search warrant at Ocasio’s Weiss Street residence, during which they seized drug paraphernalia, approximately $3,995 in cash, and approximately 872 grams of cocaine. During prior surveillance, multiple individuals were observed arriving at the residence for short periods of time. On one occasion, Ocasio was observed conducting a hand-to-hand transaction.
The case is being prosecuted by Assistant U.S. Attorney Louis A. Testani. The plea is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Bryan DiGirolamo, New York Field Division, and the Buffalo Police Department, under the direction of Chief Erika Shields.
Sentencing is scheduled for December 11, 2026, before Judge Vilardo.
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Bryan County Resident Pleads Guilty to Illegally Possessing Firearm and AmmunitionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Michael Dee Jamison, a/k/a Michael Holt, 54, of Durant, Oklahoma, entered a guilty plea to one count of Felon in Possession of Firearm and Ammunition, punishable by up to 15 years in prison and a $250,000 fine.
The Indictment charged Jamison with knowingly possessing one .22 long rifle caliber, bolt-action rifle and 54 rounds of .22 long rifle caliber ammunition on April 9, 2026, after having been previously convicted of a crime punishable by more than one year imprisonment.
The charge arose from an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Bryan County Sheriff’s Office.
The Honorable D. Edward Snow, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report.
A U.S. District Court Judge will determine the sentence to be imposed after considering the U.S. Sentencing Guidelines and other statutory factors.
Jamison will remain in the custody of the United States Marshals Service pending sentencing.
Assistant U.S. Attorney Chuck Sullivan represented the United States.
Brush Prairie, Washington, man charged with killing Bald EagleRead the Press Release
Tacoma – A 66-year-old resident of Brush Prairie, Clark County, Washington, was charged today by criminal information with violating federal law by killing a bald eagle, announced First Assistant U.S. Attorney Charles Neil Floyd. Benjamin G. Allen is accused of shooting and killing the bird with a shotgun on February 5, 2026. Allen is being summoned to appear in U.S. District Court in Tacoma on September 8, 2026.
According to records in the case, officers from Washington Department of Fish and Wildlife were called to a property in Brush Prairie regarding a dead eagle with blood around its head. A witness heard a gunshot earlier in the day. Allen kept chickens not far from where the dead eagle was discovered. Special Agents from the U.S. Fish and Wildlife Service interviewed Allen about the deceased eagle and his actions that day. An exam by a veterinarian revealed the eagle had two shotgun pellets in its brain, causing the death.
Allen is charged with a class A misdemeanor for violation of the Bald and Golden Eagle Protection Act. He is also charged with a class B misdemeanor for unlawfully killing a migratory bird. Class A misdemeanors are punishable by up to a year in prison and a fine of up to $500,000. A class B misdemeanor is punishable by up to six months in prison and a $5,000 fine.
The charges contained in the information are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the U.S. Fish & Wildlife Service and the Washington Department of Fish and Wildlife.
The case is being prosecuted by Assistant United States Attorney Sean H. Waite.
Bronx man going to prison for bank fraud conspiracy and ID theftRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Michael DiGiacomo announced today that Edwin Robles, 38, of the Bronx, NY, who was convicted of conspiracy to commit bank fraud and aggravated identity theft, was sentenced to serve 48 months in prison by U.S. District Judge Richard J. Arcara.
In January 2025, in Bridgeport, Connecticut, co-conspirator Vance Ashley was recruited by members of the conspiracy to pose as other persons and make unauthorized withdrawals from the other persons’ bank accounts. Ashley agreed to do this in exchange for money. Between January 28 and February 3, 2025, Ashley drove with Robles and co-conspirators Edward Richardson and Michael Herrera, to bank branches in Wilmington, Delaware, Liberty, NY, and Lock Haven, PA, where Ashely used the identifications of other individuals to make, or attempt to make, unauthorized withdrawals from the victims’ bank accounts.
On February 5, 2025, the defendants drove to a Northwest Bank branch in Lockport, within the Western District of New York. Ashley made an unauthorized withdrawal of from the account of an individual residing in Erie, PA. Ashley also purchased a bank check using funds from the account. That same day, the defendants drove to another Northwest Bank branch in Williamsville, within the Western District of New York, and again Ashley made an unauthorized withdrawal from an account and purchased a bank check using funds from the account of a victim from North East PA. Also on February 5, 2025, Robles unlawfully used the identification of another person during a felony violation.
The total loss amount, including actual loss and intended loss, is $91,300.00.
Ashley was previously convicted and is awaiting sentencing.
The case was prosecuted by Assistant U.S. Attorney Paul E. Bonanno. The sentencing is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-in-Charge Harry Chavis and Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Anthony Patrone.
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Barrington Christian Academy Teacher Charged with Federal OffensesRead the Press Release
Providence — A Barrington Christian Academy teacher and athletics coach was arrested and appeared in federal court in Rhode Island today on federal charges stemming from an investigation conducted by Homeland Security Investigations (HSI) and the Rhode Island Internet Crimes Against Children (ICAC) Task Force.
Sean Cassidy, 53, of Pawtucket, Rhode Island, appeared before U.S. District Magistrate Judge Patricia A. Sullivan and is charged by criminal complaint with coercion and enticement of a minor and false impersonation of a federal employee.
According to an affidavit filed in support of the complaint, the investigation began on May 29, 2026, after the parent of a 14‑year‑old Barrington Christian Academy student reported concerns about an inappropriate relationship between Cassidy—a physical education teacher and athletics coach—and his daughter. On May 30, 2026, the Rhode Island ICAC Task Force initiated an investigation, later joined by HSI.
As described in the affidavit, investigators interviewed the minor and several other witnesses; executed search warrants on Cassidy’s residence, vehicle, workspace, electronic devices, and online accounts; and conducted forensic review of communications and digital evidence. The affidavit alleges that beginning no later than December 2025, Cassidy cultivated a relationship of trust with the minor through his roles as her coach and teacher, engaged in extended private communications with her using personal email accounts, and falsely claimed to be an agent with a covert Federal Bureau of Investigation (FBI) program.
The affidavit further alleges that Cassidy used multiple online platforms—email, messaging services, and encrypted accounts—to engage in communications with the minor under various fictitious identities and directed her to engage in acts, including taking partially nude photographs of herself, that he told her were part of the FBI “training program.”
Cassidy was previously arrested on June 1 and July 17, 2026, on related Rhode Island state charges. The federal investigation remains ongoing, and authorities are continuing to review evidence and evaluate reports of Cassidy’s contacts with additional minors.
The matter is being prosecuted by Assistant United States Attorney Denise Barton.
The case is being investigated by Homeland Security Investigations and the Rhode Island Internet Crimes Against Children Task Force, with assistance from local law enforcement partners.
A criminal complaint is merely an accusation. The defendant is presumed innocent unless and until proven guilty in a court of law.
Armed career criminal sentenced to over 15 years in prison for federal drug trafficking and firearms chargesRead the Press Release
RICHMOND, Va. – A Nottoway County man was sentenced today to 15 years and eight months in prison for distribution of cocaine and possession of a firearm by a convicted felon.
According to court documents, in January 2025, members of the Amelia/Powhatan/Nottoway/Blackstone Drug & Gang Task Force conducted two controlled purchases of cocaine from Lionel Leo Hardy, 39, at his residence in Blackstone. On each occasion, Hardy weighed, packaged, and distributed cocaine.
On Jan. 28, 2025, task force officers searched Hardy’s residence. Inside the residence, officers encountered Hardy, Hardy’s girlfriend, and their two small children. Investigators recovered a handgun, a shotgun, loaded magazines, ammunition, $13,723, a money-counting machine, and individually wrapped plastic baggies of cocaine inside an infant formula can.
From vehicles parked on the property, investigators recovered two additional handguns, a shopping bag filled with smaller plastic bags containing cocaine and methamphetamine, and a vacuumed-sealed bag containing methamphetamine.
As a previously convicted felon, Hardy cannot legally possess firearms or ammunition.
USAO EDVA USAO EDVATheophani K. Stamos, First Assistant U.S. Attorney for the Eastern District of Virginia, and Anthony A. Spotswood, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge John A. Gibney Jr.
Assistant U.S. Attorney John C. Blanchard prosecuted the case.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations, and protect our communities from the perpetrators of violent crime.
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. 3:25-cr-169.
28 Charged with Firearms Offenses in HSTF TakedownRead the Press Release
PHOENIX, Ariz. – On July 21, following a two-year investigation, a federal grand jury in Phoenix returned a 158-count indictment against Fernando Daniel Castro, Cruz Rafael Castro, Marque J’von Rogers, Taquan Antonio M. Carter, Zaccheus Faith Baselt, Juan Manuel Torres Perez, and 15 others for Conspiracy to Unlawfully Purchase Firearms for the Purpose of Dealing in Firearms Without a License, Making False Statements During the Purchase of a Firearm, Dealing in Firearms Without a License, and Conspiracy to Traffic Firearms.
The indictment alleges that Fernando Daniel Castro of Phoenix and certain co-conspirators recruited others to purchase firearms from Federal Firearms Licensees (FFLs) in Arizona in exchange for payment. The firearms were purchased on behalf of Castro, who would then sell the firearms for profit. According to the indictment, Castro sold some of the firearms, including Glock 19 pistols and AK-style rifles, knowing or having reason to believe that they would be exported outside of the United States.
The Homeland Security Task Force (HSTF) investigation that led to this 158-count indictment developed from information gathered in four previously charged federal cases.
On March 31, 2026, Emmanual Rabena-Velderrain of Mexico, pleaded guilty to Attempted Smuggling of Goods from the United States. Rabena-Velderrain was caught trying to cross the border into Mexico on Feb. 17, 2025, with 42 AK-style rifles and 42 7.62x39 magazines in his vehicle. Rabena-Velderrain is scheduled for sentencing on August 17, 2026, before U.S. District Judge Scott H. Rash in Tucson.
On April 27, 2026, Amairany Guadalupe Armendariz Alvarez, of Mexico, was sentenced by U.S. District Judge Susan M. Brnovich to 24 months in prison. Alvarez previously pleaded guilty to Alien in Possession of a Firearm. In her plea, Alvarez admitted to entering the United States with a non-immigrant visa and traveling to Phoenix to pick up three M249 rifles and a Colt pistol. She also admitted that she knew that the firearms were going to be smuggled into Mexico.
On May 13, 2026, Alejandro Rodriguez and Maricruz Carrillo, both of Phoenix, pleaded guilty to Felon in Possession of Firearms and Ammunition. They each admitted to possessing an M249 rifle, a Barrett .50 BMG rifle, an FN SCAR rifle, 12 AK-style rifles, 6 pistols, and 57,000 rounds of ammunition at their Phoenix residence after being convicted of a felony offense. Rodriguez and Carrillo are both scheduled for sentencing on Oct. 19. 2026, before U.S. District Judge Sharad H. Desai.
On June 24, 2026, Jose Daniel Medina, of Mexico, and on July 1, 2026, Juan Jesus Estevez, of Mexico, each pleaded guilty to Conspiracy to Smuggle Firearms and Ammunition from the United States. In their pleas, Medina and Estevez admitted to conspiring to obtain firearms and ammunition in Arizona that were then smuggled across the border for buyers in Mexico. Both men are scheduled for sentencing on Sept. 11, 2026, before U.S. District Judge Krissa M. Lanham. A third co-conspirator, Christian Alberto Pereida Ramirez, of Nogales, Arizona, is scheduled for a change of plea hearing on August 12, 2026. As part of this investigation, law enforcement seized 10 pistols and 56,000 rounds of ammunition.
To date, HSTF partners have executed numerous federal search warrants on social media accounts, telephones, residences, and vehicles as part of this investigation. Law enforcement agents have also seized over 100 firearms and over 125,000 rounds of ammunition in Arizona.
A conviction for Conspiracy to Traffic Firearms and Prohibited Possessor of Firearms and/or Ammunition carries a maximum penalty of 15 years, a $250,000 fine, or both. A conviction for Smuggling Goods Outside the United States carries a maximum penalty of 10 years, a $250,000 fine, or both. A conviction for Conspiracy, Making False Statements During the Purchase of a Firearm, or Dealing in Firearms Without a License all carry a maximum penalty of five years in prison, a $250,000 fine, or both.
This prosecution is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. HSTF Phoenix comprises agents and officers from the Drug Enforcement Administration, Homeland Security Investigations, Federal Bureau of Investigation, Immigration and Customs Enforcement, the Bureau of Alcohol, Tobacco, Firearms and Explosives, United States Marshals Service, Internal Revenue Service-Criminal Investigation, ICE Enforcement and Removal Operations, United States Customs and Border Protection, United States Border Patrol, United States Postal Inspection Service, United States Secret Service, and the Bureau of Land Management, with the prosecution being led by the United States Attorney’s Office for the District of Arizona.
Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and U.S. Customs and Border Protection’s (CBP) Border Patrol are handling the investigation, with assistance from the Pinal County Sheriff’s Office and the United States Department of Commerce. The FBI’s Phoenix Division and the Goodyear Police Department assisted in the arrests. Assistant U.S. Attorneys Maria R. Gutierrez and Benjamin Goldberg, District of Arizona, are handling the prosecutions in Phoenix. Assistant U.S. Attorney Sarah Precup, District of Arizona, is handling the prosecution in Tucson.
An indictment is a formal accusation of criminal conduct. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
CASE NUMBER: 26-CR-00818-PHX-SHD (Castro, et al.); 25-CR-01537-TUC-SHD (Rabena-Velderrain); CR-25-00540-PHX-SHD (Rodriguez, et al.); CR-25-00383-PHX-KML (Estevez, et al.); 25-CR-00684-PHX-SMB (Alvarez)
RELEASE NUMBER: 2026-131_Castro, et al.
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
3 August 2026
Zuni Man Sentenced for Triple HomicideRead the Press Release
ALBUQUERQUE – A Zuni man was sentenced to 18 years in prison for the deaths of three individuals on July 4, 2025.
There is no parole in the federal system.
According to court documents, on July 4, 2025, Willis Kylestewa, 42, an enrolled member of the Zuni Pueblo, drove while intoxicated with four passengers in a vehicle without working headlights. When law enforcement attempted a traffic stop, Kylestewa fled, speeding and swerving through traffic before losing control of the vehicle, which flipped and crashed. Kylestewa and three passengers were ejected from the vehicle and two died after being ejected. Another passenger died inside the vehicle. At the hospital, Kylestewa’s blood alcohol level was .317, and THC was also detected in his system.
Kylestewa pleaded guilty to three counts of second-degree murder. Upon his release from prison, Kylestewa will be subject to five years of supervised release.
First Assistant U.S. Attorney Ryan Ellison and Justin A. Garris, Special Agent in Charge of the FBI’s Albuquerque Field Office, made the announcement today.
The Gallup Resident Agency of the Federal Bureau of Investigation’s Albuquerque Field Office investigated this case with assistance from the Zuni Police Department and Zuni Open Space. Assistant U.S. Attorneys Nicholas J. Marshall and Amy Mondragon are prosecuting the case.
Zuni Man Accused of Stabbing Two PeopleRead the Press Release
ALBUQUERQUE – A Zuni man has been charged in federal court in connection with the stabbing of two individuals.
According to court documents, on July 24, 2026, Roger Pino, 44, an enrolled member of the Pueblo of Zuni, allegedly confronted two individuals outside a residence in Zuni, New Mexico, while armed with a knife and demanding the return of his property. During the confrontation, Pino allegedly cut one victim before stabbing a second victim in the chest and slashing his face. Witnesses reported that Pino continued waving the knife and making threats as he left the scene before fleeing to another residence, where he was later arrested by officers with the Zuni Police Department. Investigators recovered a knife believed to have been used in the assault.
Medical personnel determined that the male victim suffered a stab wound to the chest and a facial laceration. The female victim sustained multiple superficial stab wounds, including injuries to her chest, arm, and leg.
Pino is charged with assault with a dangerous weapon and assault resulting in serious bodily injury and will remain in custody pending a detention hearing. If convicted of the current charge, Pino faces up to 10 years in prison on each count. Defendant will remain in custody pending trial.
First Assistant U.S. Attorney Ryan Ellison and Justin A. Garris, Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, made the announcement today.
The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Zuni Police Department. Assistant U.S. Attorney Nicholas J. Marshall is prosecuting the case.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney’s Office Joining Law Enforcement, Community Leaders and Residents for National Night Out EventsRead the Press Release
Tallahassee, Pensacola & Gainesville, Florida – The U.S. Attorney’s Office for the Northern District of Florida will join their law enforcement partners, neighbors, and communities for National Night Out events in North Central Florida and the Florida Panhandle.
U.S. Attorney Heekin said: “The U.S. Attorney’s Office is proud to participate in National Night Out, which is an opportunity for law enforcement to interact with members of our community to foster trust and build strong relationships. We look forward to engaging with community leaders and residents in our continued efforts to make the Northern District of Florida the best and safest place in America to live, work, and raise a family.”
National Night Out is an annual community-building campaign that promotes partnerships and camaraderie between law enforcement and the communities they serve to make our neighborhoods safer places to live. Millions of people take part in National Night Out across thousands of communities throughout the country on the first Tuesday of August in most areas of the country.
National Night Out was established in 1984 with funding from the Bureau of Justice Assistance of the U.S. Department of Justice. The program is administered by the National Association of Town Watch, a nationwide non-profit organization.
Coordinated by local law enforcement and trained volunteers, National Night Out provides an opportunity to bring police and neighbors together under positive circumstances. Neighborhoods host block parties, cookouts, festivals, parades, safety demonstrations, seminars, youth events, visits from emergency personnel and more. National Night Out sends a message that neighbors are united and working together to keep their communities and each other safe.
For more information, visit https://natw.org/.
Below is a list of National Night Out Events that the U.S. Attorney’s Office for the Northern District of Florida will be attending, all hosted by local participating law enforcement agencies.
Scheduled Events:
- NNO Hosted by the Pensacola Police Department
Tuesday, August 4, 2026 beginning at 5:00 p.m.
Booker T. Washington High School located at 6000 College Pkwy, Pensacola, FL 32504
- NNO Hosted by the High Springs Police Department
Tuesday, August 4, 2026 from 6:00 p.m. to 9:00 p.m.
High Spring Civic Center located at 19107 NW 240th Street, High Springs, FL 32643
- NNO Hosted by the Tallahassee Police Department
Tuesday, October 6, 2026 from 6:00 p.m. to 8:00 p.m.
Cascades Park located at 1001 South Gadsden Street, Tallahassee, FL 32301
United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit https://www.justice.gov/usao-ndfl.
United States Attorney’s Office Files Civil Forfeiture Action to Recover Approximately $1.4 Million in Proceeds of Insider Trading SchemeRead the Press Release
BOSTON – The United States Attorney’s Office filed a civil forfeiture action to recover $1,413,037 in alleged proceeds of an insider trading scheme seized from a U.S.-based brokerage account held in the name of Zhi Ge, of Singapore.
As described in the civil complaint, Ge is alleged to have engaged in and conspired with others to commit securities fraud and was charged in a superseding indictment returned in November 2025, by a federal grand jury in Boston. The indictment alleges that, from at least in or about November 2016 and continuing to in or about February 2024, Ge conspired with his co-defendants and others known and unknown, to obtain material non-public information (MNPI) about the financial performance and merger-and-acquisition activity of various publicly traded companies, executing securities trades while in possession of that MNPI, and providing that MNPI, in exchange for a percentage of trading profits, to others known and unknown, who traded while in possession of the MNPI.
The civil complaint alleges that the seized funds are proceeds traceable to the purchase and sale of call option contracts made by Ge while in possession of MNPI.
United States Attorney Leah B. Foley and Ted E. Docks, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office made the announcement today. Assistant U.S. Attorney Matthew M. Lyons of the Asset Recovery Unit is prosecuting the civil forfeiture action and Assistant U.S. Attorney Timothy E. Moran is prosecuting the criminal action.
The details contained in the civil forfeiture complaint and criminal charging documents are allegations. The defendant is presumed to be innocent of the criminal charges unless and until proven guilty beyond a reasonable doubt in the court of law.
verified_complaint.pdf
U.S. Attorney’s Office recovers more than $325,000 for fraud victimsRead the Press Release
BILLINGS – The U.S. Attorney’s Office recently recovered more than $325,000 for victims of a California man who defrauded 14 victims of more than a half-million dollars, Acting U.S. Attorney Mark Steger Smith said.
The recovery dates back to a case from 2012. Thomas Brown Hammond was convicted that year of theft from an employee benefit plan in the Eastern District of California. The court sentenced him to four years and nine months in federal prison, followed by three years of supervised release, and ordered Hammond to pay $536,521 to the 14 victims. Following his release from Bureau of Prisons custody, Hammond moved to Montana and served his period of supervised release under the custody of U.S. Probation & Pretrial Services with the District of Montana.
Recently, Hammond received a substantial distribution from an inheritance. The U.S. Attorney’s Office garnished nonexempt funds from the financial institution and will distribute $332,703.97 to Hammond’s victims.
Even though Hammond was convicted more than a decade ago, federal law empowers the U.S. Attorney’s Office to collect restitution judgments for 20 years after a defendant’s release from prison. The U.S. Attorney’s Office actively enforces restitution collection for the benefit of victims for the entire collection period, which can lead to substantial recovery for victims years or even decades after conviction.
Hammond was a registered securities representative and investment advisor. At Hammond’s criminal trial, the government presented evidence that Hammond induced his victims to invest in his fraudulent private portfolio. Instead of actually investing, Hammond deposited the funds into a standard business account and withdrew the money for personal expenses. At the sentencing, Judge John A. Mendez called Hammond’s actions “inexcusable.”
U.S. Attorney Ryan Raybould meets with Dyess AFB leadership and Taylor County Sheriff to strengthen strategic partnerships and reaffirm support for the Abilene communityRead the Press Release
ABILENE, Texas —United States Attorney for the Northern District of Texas, Ryan Raybould, recently visited Dyess Air Force Base and Taylor County Sheriff’s Office to reaffirm the collaborative mission between the U.S. Attorney’s Office, Dyess leadership and local community partners. During the visits, he engaged in strategic discussions on national security, community safety, and support for military families.
At Dyess on July 24, USA Raybould and AFB leadership discussed ways to strengthen legal cooperation and information‑sharing among federal prosecutors, the 7th Bomb Wing’s legal office, and local law enforcement agencies. Their shared goal is to streamline investigations and prosecutions while enhancing support for victims across both military and civilian communities.
USA Raybould also reiterated the Northern District of Texas’ commitment to Dyess AFB’s national security mission. While touring the flightline and learning about the 7th Bomb Wing of the Global Strike Command’s premier and strategic missions of the B1 Bomber and C130, he highlighted the base’s strategic role in global deterrence efforts, emphasizing continued federal dedication to safeguarding critical infrastructure and ensuring the safety and readiness of Airmen and their families.
While meeting with Taylor County Sheriff Ricky Bishop that afternoon, USA Raybould emphasized the increased importance of joint public safety initiatives that unite the U.S. Attorney’s Office, Dyess AFB, local law enforcement and civic organizations as Abilene is in the midst of sustained industry and population growth. By working together, these partners are proactively addressing issues such as crime, violence, substance abuse, and cyber threats—challenges that affect the installation, the city of Abilene, and the wider region.
In response to the meetings, USA Raybould reflected:
“The men and women of Dyess Air Force Base exemplify professionalism, courage, and unwavering commitment to our nation. Their service, both at home and around the world, makes it possible for the United States to remain at the forefront of air offensive and defensive operations. As U.S. Attorney for all 100 counties in the Northern District of Texas, one of my highest responsibilities is protecting them, their families, and our communities. Working closely with local partners like the Taylor County Sheriff’s Office and supporting joint public safety initiatives, will not only allow these brave Airmen to stay focused on being the tip of the spear for America’s national security but also allow every resident of Taylor County to enjoy a safer and more secure community.
U.S. Attorney Phillip W. Williams Jr. Joins the Department of Justice to Announce Unprecedented Fraud Enforcement Actions Across the SoutheastRead the Press Release
BIRMINGHAM, Ala. – U.S. Attorney Phillip W. Williams Jr. joined Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division, other Department of Justice leaders, and federal and state law enforcement partners for a press conference announcing a series of significant fraud enforcement actions across the Southeastern United States. The Northern District of Alabama was one of the few chosen to speak at the press event due to the recent cases from that office in the fight against fraud.
During the press conference, U.S. Attorney Williams highlighted a major fraud case from the Northern District of Alabama that was investigated by IRS Criminal-Investigations. Research indicates that US v. Michael Shine is the third largest tax fraud case in years.
United States vs Michael Shine
In recent days, the complaint was unsealed and Michael Shine was taken into custody. Shine is a tax preparer based in the Birmingham area who owns and operates Shine’s Professional Services. It is alleged in the complaint that he filed and caused to be filed thousands of tax returns falsely claiming green energy tax credits that were baseless and fraudulent, causing over $65 million in loss to the government and the taxpaying citizens of America.
“We are committed in our State to continue doing what it takes to combat fraud,” said U.S. Attorney Phillip W. Williams Jr. “The Northern District of Alabama will continue this fight because it is a fight worth having. My sincere thanks to the Assistant U.S. Attorneys who pursued this case with our partners at the IRS, and I appreciate the fact that we have a national task force dedicated to fight fraud.”
The National Fraud Enforcement Division (NFED) additionally announced new federal-state cooperation agreements with this group of states to strengthen ongoing fraud enforcement efforts, following a recent roundtable that brought together 18 U.S. Attorneys Offices, seven State Attorneys General Offices, five federal law enforcement partners, and over 50 state officials. At the Fraud Enforcement Roundtable event Alabama Secretary of State Wes Allen signed a Memorandum of Intent to partner with the NFED to jointly pursue efforts to combat fraud in this state.
The NFED is a part of a national effort under the direction of Acting Attorney General Todd Blanche, and in concert with the overall whole of government effort of the Trump Administration to combat fraud.
Two Men Indicted for Laser Strikes on Police HelicoptersRead the Press Release
LAS VEGAS – Two Las Vegas men in separate cases were indicted and have made their initial appearances in court for allegedly aiming a laser pointer at and striking police helicopters.
According to allegations contained in the indictments:
- On April 10, 2026, James Bodie Moore III aimed the beam of a laser pointer multiple times at and in the flight path of a Las Vegas Metropolitan Police Department helicopter. He is charged with one count of aiming a laser pointer at an aircraft. If convicted, the statutory maximum penalty is five years in prison. A jury trial has been scheduled for September 28, 2026, before United States District Judge Richard F. Boulware II.
- On June 7, 2026, Jason Lamars Lee aimed the beam of a laser pointer two times at and in the flight path of a Las Vegas Metropolitan Police Department helicopter. He is charged with one count of aiming a laser pointer at an aircraft. If convicted, the statutory maximum penalty is five years in prison. A jury trial has been scheduled for September 28, 2026, before United States District Judge Gloria M. Navarro.
Pointing a laser pointer into the sky to see how far it will shine may seem like a fun thing to do but it can have serious consequences. Aiming a laser beam at an aircraft poses a serious safety risk for those on board and on the ground. Laser beams can cause disorientation, temporary blindness - potentially causing a midair collision or other incident - and in some cases permanent vision problems or blindness. According to the FAA, in 2025, pilots reported 10,993 laser strikes.
First Assistant United States Attorney Sigal Chattah for the District of Nevada and Special Agent in Charge Christopher S. Delzotto for the FBI Las Vegas Office made the announcement.
The FBI, Las Vegas Metropolitan Police Department, and North Las Vegas Police Department investigated these cases. Assistant United States Attorney Tina Snellings is prosecuting these cases.
If you spot someone aiming a laser at the sky in a suspicious manner, you can report it to the FBI by calling 1-800-CALL-FBI (1-800-225-5324) or visiting tips.fbi.gov. You can also report laser strikes to local law enforcement and the FAA.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Two Houston gang leaders convicted at trial for ordering drive-by murderRead the Press Release
HOUSTON - A federal jury has convicted the last of six members of the violent 103 street gang charged for ordering a retaliatory shooting that ended the life of an innocent bystander.
The jury returned the guilty verdicts Aug. 3 against Shaquille Richards, 32, and Alexandra Nicks, 32, both of Houston, for using a firearm to kill during a racketeering murder and murder in aid of racketeering.
“These gangbangers turned a Houston neighborhood into a battlefield, ordering killers to hunt down and murder their rivals, and an innocent man paid for their violence with his life,” said U.S. Attorney Aaron Reitz. “If you wage war on our streets, terrorize our communities, and put innocent Texans in the crosshairs, my office will come for you. We will dismantle violent gangs, prosecute the criminals who lead them, and put them behind bars where they belong. Houston’s neighborhoods belong to law-abiding citizens, not to violent gangs.”
“The gang war that these defendants engaged in plagued Houston’s Third Ward community for years,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “Based on today’s convictions, these violent criminals are facing long prison sentences that will keep them off the streets of Houston and hold them accountable for the innocent life they took. The Department of Justice has zero tolerance for the scourge and societal ills caused by gang violence. We are aggressively prosecuting violent gang members and continuing to restore law and order to America’s cities.”
“The convictions of these two local career gang members are exactly the kind of results we hoped for when the DOJ launched the Violent Crimes Initiative in Houston,” said Special Agent in Charge Jason Hudson of the FBI Houston Field Office. “Too often, turf wars between violent neighborhood gangs claim innocent victims. When we leverage our federal resources and law enforcement partnerships, we not only double down on the war against violent crime happening on our streets and front yards, we also procure justice for entire communities terrorized by these criminals.”
Richards and Nicks were leaders of the violent 103 street gang that was involved in a gang war in the Third Ward with rival gang Young Scott Block, or YSB.
After numerous murders and shootings between the two gangs, Richards and Nicks ordered lower ranking members and associates of the 103 gang to retaliate by committing a drive-by shooting in YSB territory. On Oct. 16, 2017, fellow 103 gang members Deandre Watson, Mertroy Harris, Marcus Christopher, and Marquis Erskin drove to opposing gang territory to find a rival gang member to kill. They were armed with firearms containing numerous rounds of ammunition, including some loaded into 50 and 100-bullet drum magazines.
Watson, Harris, Erskin, and Christopher opened fire when they saw a rival gang member on a street corner. The intended target was shot but survived and ran away. A 53-year-old non-gang member was standing in the front yard of a residence, was shot, and died of his injuries.
The 103 members crashed their car into a ditch as they fled. Watson, Erskin, and Christopher then carjacked a woman who had an infant in her vehicle and fled the scene. Harris ran into the neighboring stores and discarded his firearm and clothing, but law enforcement arrested him shortly thereafter.
Jail phone calls, social media postings, and testimony showed that Richards and Nicks ordered the shooting and threatened to oust anyone in the gang who did not go looking for rivals to shoot.
U.S. District Judge George Hanks presided over the trial and will set sentencing at a later date. Watson, Harris, Christopher, and Erskin have each pleaded guilty and will be sentenced Sept. 2. All face up to life in prison at their respective hearings.
The FBI; Bureau of Alcohol, Tobacco, Firearms, and Explosives; and Houston Police Department conducted the investigation with substantial assistance from the Harris County District Attorney’s Office.
Assistant U.S. Attorney Kelly Zenon Matos and Anh-Khoa Tran prosecuted the case along with Trial Attorney Jodi Anton of the Criminal Division’s Violent Crime and Racketeering Section.
This case is part of the Criminal Division’s Violent Crime Initiative to prosecute violent crimes in Houston. The Criminal Division and the U.S. Attorney’s Office for the Southern District of Texas have partnered, along with local, state, and federal law enforcement agencies, to confront violent crimes committed by gang members and associates through the enforcement of federal laws and use of federal resources to prosecute the violent offenders and prevent further violence in the Houston area.
Two Charged with Holyoke-Based Fentanyl Distribution ConspiracyRead the Press Release
BOSTON – Two alleged members of a drug trafficking organization (DTO) operating in and around Western Massachusetts have been charged in federal court with conspiring to distribute fentanyl.
Jose Luis Alvarado Gonzalez, Jr., 33, of Springfield, Mass. and Samuel Colon Rosado, 33, of Holyoke, Mass. were each charged with one count of conspiracy to distribute and possess with the intent to distribute over 40 grams of fentanyl.
Alvarado Gonzalez and Colon Rosado were arrested on July 28, 2026, and following detention hearings in federal court in Springfield, Alvarado Gonzalez was released on the condition of home confinement and Colon Rosado was detained.
According to the charging documents, Alvarado Gonzalez was identified as the alleged leader of a DTO operating in Holyoke and Springfield that distributed fentanyl. The organization allegedly used multiple locations in the area to facilitate drug distribution and utilized glassine baggies stamped with the brand name “Nipsey Hussle” to package fentanyl for sale.
The charging documents allege that between September 2025 and April 2026, Alvarado Gonzalez coordinated at least nine fentanyl transactions involving a cooperating witness. It is alleged that Alvarado Gonzalez directed the witness to designated meeting locations, where Rosado and other associates allegedly delivered fentanyl on his behalf. According to court documents, laboratory testing confirmed that the fentanyl purchased during the investigation included approximately 69 grams, 74 grams and 140 grams of fentanyl.
Following a search on July 28, 2026 at the Springfield and Holyoke locations related to the DTO’s operations, suspected fentanyl packaged for distribution, firearms, ammunition, cash and other valuables were seized.
The charge of conspiracy to distribute and possess with the intent to distribute over 40 grams of fentanyl provides for a sentence of at least five years and up to 40 years in prison, at least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes governing the determination of a sentence.
United States Attorney Leah B. Foley and Ted E. Docks, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Valuable assistance was provided by the Holyoke Police Department, Springfield Police Department and the Massachusetts State Police. Assistant U.S. Attorney Thomas A. Barnico, Jr. of the Springfield Branch Office 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 the court of law.
Three Men Sentenced for Exploiting Missing Foster Teens in Sex Trafficking SchemeRead the Press Release
MIAMI – Three men have been sentenced in federal court for trafficking and sexually exploiting three vulnerable teenage girls who had run away from foster care, forcing them to engage in commercial sex acts for the defendants’ financial benefit.
U.S. District Judge Donald M. Middlebrooks sentenced Antonio Michel, 36, of Delray Beach, to 180 months in prison after he pleaded guilty to sex trafficking of a minor; Jaime Figueroa, 36, of Boynton Beach, to 235 months in prison after he pleaded guilty to production of child sexual abuse material; and Raymond Jean, 46, of Greenacres, to 144 months in prison after he pleaded guilty to sex trafficking of a minor.
“These defendants found missing foster children who needed protection and chose instead to exploit them, supply them with drugs, and sell them for profit,” said U.S. Attorney Jason A. Reding Quiñones for the Southern District of Florida. “Antonio Michel was sentenced to 15 years in federal prison, Jaime Figueroa to 19 years and seven months, and Raymond Jean to 12 years. Their conduct was cruel and predatory, and these sentences reflect our commitment to finding missing children, protecting trafficking victims, and bringing those who prey on them to justice.”
“These defendants targeted some of the most vulnerable children in our community and treated them as a source of profit,” said Special Agent in Charge José R. Figueroa of Homeland Security Investigations (HSI) Miami. “No child should ever be subjected to such cruelty. These sentences represent an important step toward justice for the victims and demonstrate that HSI and our partners will use every tool available to identify, investigate, and bring child predators to justice.”
According to court documents, the defendants preyed upon three teenage girls who had run away from foster care. Taking advantage of the victims’ youth, instability, and lack of family support, the defendants transported, harbored, and commercially exploited the minors for financial gain.
Michel, often accompanied by Jean, transported the victims to and from hotels, motels, and other locations where commercial sex acts occurred. Michel also rented and paid for multiple hotel and motel rooms used to facilitate the exploitation of the minor victims.
Figueroa directed the victims on how much money to charge for commercial sex acts and how to conduct the “dates.” He also regularly supplied crack cocaine to the victims during the course of the trafficking scheme. The victims turned over proceeds from the commercial sex acts to Figueroa. Following Figueroa’s arrest, law enforcement searched his cellphone and discovered that he had produced child sexual abuse material involving one of the victims.
HSI West Palm Beach and the Palm Beach County Sheriff’s Office Human Trafficking Task Force investigated the case.
Assistant U.S. Attorney Shannon O’Shea Darsch and former Assistant U.S. Attorney Alexandra Chase prosecuted the case.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 25-cr-80216.
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Stafford County Sheriff’s Deputy arrested for receipt of child sexual abuse materialRead the Press Release
ALEXANDRIA, Va. – A sergeant with the Stafford County Sheriff’s Office was arrested July 30 on charges of receiving child sexual abuse material (CSAM).
According to court documents, since at least 2023, Justin Thomas Lee Forman, 37, of Fredericksburg, allegedly used a Telegram account to solicit, purchase, and receive CSAM from another Telegram account. Forman allegedly received links and files containing CSAM, including videos and images depicting the sexual abuse of children and infants.
After receiving a tip in June, the FBI searched Forman’s residence on July 30 and seized approximately 16 electronic devices. Forman was arrested on July 30 and made an initial appearance in U.S. District Court on July 31. At a preliminary and detention hearing today, Forman entered a plea of not guilty.
If convicted, Forman faces a mandatory minimum of five years and up to 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Theophani K. Stamos, First Assistant U.S. Attorney for the Eastern District of Virginia, and Ian Kaufmann, Special Agent in Charge of the FBI’s Richmond Field Office made the announcement.
Assistant U.S. Attorney Jacob Mercer is prosecuting the case.
This case is 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 U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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. 1:26-mj-299.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.
Silver Spring Woman Sentenced to More Than Three Years in Federal Prison for Role in COVID Fraud SchemeRead the Press Release
Baltimore, Maryland – A Maryland woman received a federal-prison term, today, for her role in an unemployment insurance (UI) fraud conspiracy.
District Judge Matthew J. Maddox sentenced Elizabeth Maria Ceballos, 50, of Silver Spring, to 40 months in federal prison, followed by two years of supervised release, for conspiracy to commit wire fraud and aggravated identity theft charges in connection with the scheme. Judge Maddox also ordered Ceballos to pay $638,889 in restitution. This prosecution is part of the Trump Administration’s Task Force to Eliminate Fraud
Kelly O. Hayes, U.S. Attorney for the District of Maryland, announced the sentence with Inspector General Anthony P. D’Esposito, U.S. Department of Labor - Office of Inspector General, (DOL-OIG), and Special Agent in Charge Akil Baldwin of Homeland Security Investigations (HSI) – Maryland.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act — a federal law enacted in March 2020 — provided emergency financial assistance to Americans suffering from the economic effects of the COVID-19 pandemic. It also authorized increased UI benefits.
According to public documents, beginning in at least May 2020, and continuing through at least September 2021, Ceballos, and co-conspirator Vanessa Valdez, 42, of Burtonsville, Maryland, engaged in a conspiracy and scheme to defraud and obtain money by means of materially false and fraudulent pretenses, representations, and promises, in connection with an UI fraud scheme. Specifically, Ceballos received money in exchange for fabricating false tax documents that were filed in support of fraudulent UI benefits claims submitted to the Maryland Department of Labor (MD-DOL).
As a part of her guilty plea, Ceballos also admitted assisting Valdez with fraud related to Paycheck Protection Program (PPP) loan and Economic Injury Disaster Loan (EIDL) funds. Established by the CARES Act, the PPP — administered through the Small Business Administration — along with the EIDL, helped businesses meet their financial obligations. An EIDL advance does not have to be repaid, and small businesses can receive an advance, even if they are not approved for an EIDL loan. The maximum advance amount is $10,000.
In December 2025, Valdez also pled guilty to conspiracy to commit wire fraud and aggravated identity theft. A sentencing date for Valdez is forthcoming.
U.S. Attorney Hayes commended the DOL-OIG and HSI Maryland, for their work in the investigation. Ms. Hayes also thanked Assistant U.S. Attorney Philip Motsay who prosecuted the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
For more information about the Department’s response to the pandemic, visit justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
For more information about the Maryland U.S. Attorney’s Office, its priorities, and resources available to report fraud, please visit justice.gov/usao-md and justice.gov/usao-md/report-fraud.
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Romanian Alien Trio Collectively Sentenced to More Than 11 Years in Federal Prison for ATM "Skimming" SchemeRead the Press Release
OKLAHOMA CITY – SEBASTIAN BULACU, 37, FLORIN RADU, 42, and VALENTIN CRISTIAN ALEXANDRU, 36, Romanian nationals found in Oklahoma City, have been sentenced for their roles in a conspiracy to commit bank fraud, announced U.S. Attorney Robert J. Troester.
According to public records, in January 2025, Bulacu, Radu, and Alexandru traveled throughout the Oklahoma City metro area installing "skimming" devices on ATMs. These devices are designed to capture debit card information and record customers’ personal identification numbers (PINs), allowing the defendants to access victims’ bank accounts and steal funds. Through the scheme, the defendants caused an estimated $193,598 in losses across the country, including in Oklahoma, to unsuspecting victims.
On September 2, 2025, a federal grand jury charged the defendants with conspiracy to commit bank fraud. Earlier this year, Bulacu, Radu, and Alexandru each pleaded guilty and admitted conspiring to obtain money through bank fraud.
At sentencing hearings this week, U.S. District Judge Patrick R. Wyrick sentenced Bulacu and Radu to serve 51 months each in federal prison and Alexandru to serve 41 months in federal prison, and ordered each defendant to pay $193,598 in restitution. In announcing the sentences, the Court noted the seriousness of the offense and the amount of money stolen from victims across the country. Upon completion of their sentences, the defendants will be deported.
This case is the result of an investigation by the United States Secret Service. Special Assistant U.S. Attorney Krista L. Hodges-Eckhoff prosecuted the case.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
Reference is made to public filings for additional information.
Recidivist Felon Sentenced to 30 Months in Prison for Illegally Possessing a FirearmRead the Press Release
MOBILE, AL – A Mobile man was sentenced to 30 months in prison for illegally possessing a firearm as a multi-convicted felon.
According to court documents, Artez Martre Williams, 24, was arrested on November 20, 2025, by Mobile Police Department narcotics investigators who executed a search warrant at Williams’s house in Mobile. During the search, police seized a loaded Glock 9mm pistol from Williams’s bedroom closet. The pistol was lying near paperwork with Williams’s name on it, including his probation drug-testing card and documents from Williams’s prior prison sentence at the Alabama Department of Corrections. In a carport attached to the house, police found marijuana in Williams’s shoes, baggies commonly used to package and distribute drugs, and a Taurus pistol magazine. Police also seized several rounds of 9mm ammunition from Williams’s vehicle, which was parked in front of the house.
During an interview with detectives, Williams admitted that the pistol found in his closet was his and that he kept it for protection from members of rival gangs who would try to commit violence against him. Williams confirmed that he was on federal supervised release and state probation for prior felony convictions, that he knew he was a felon, and that he knew he was not supposed to possess firearms. Williams’s prior felony convictions include discharging a gun into an occupied building, first-degree theft of property, and conspiracy to commit wire fraud relating to a fraudulent COVID-19 relief loan that Williams obtained.
In addition to the 30-month prison sentence, U.S. District Judge Kristi K. DuBose ordered Williams to serve a three-year term of supervised release upon his release from prison, during which time Williams will be subject to drug testing and treatment. The court did not impose a fine, but Judge DuBose ordered Williams to pay $100 in special assessment and forfeited Williams’s 9mm pistol to the United States.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Mobile Police Department investigated the case.
Assistant U.S. Attorney Justin Roller prosecuted the case on behalf of the United States.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Raleigh Business Owner Sentenced to Prison for Bankruptcy FraudRead the Press Release
WILMINGTON, N.C. – A federal judge sentenced Tracey Dixon Perry, 51, to 16 months in federal prison, 12 months of home confinement, two years of supervised release, and to repay $425,146 in restitution for concealing bankruptcy assets.
“This individual meticulously and purposefully hid her greedy milking from the U.S. government. She pocketed hundreds of thousands of ill-gotten dollars, exploiting a system that exists to help relieve companies in times of economic need,” said U.S. Attorney Ellis Boyle. “Play games, get the prize you deserve, and in this case, a one-way ticket straight to federal prison. Cheaters. Never. Win”
Perry owned and operated Dixon Paving, Inc., an asphalt milling and paving business based in Raleigh. On February 14, 2020, Perry signed and filed a Chapter 11 bankruptcy petition on behalf of Dixon Paving in the U.S. Bankruptcy Court for the Eastern District of North Carolina.
While the bankruptcy court permitted Dixon Paving to maintain business operations as a debtor in possession (DIP), the court required that the company establish new DIP bank accounts to deposit all business receivables. Investigators discovered that Perry circumvented these requirements through multiple fraudulent actions. Four days prior to the bankruptcy filing, Perry directed the opening of a secret bank account for an affiliated entity, Dixon Contracting, LLC, and later established a second concealed bank account for Dixon Paving on February 28, 2020.
Perry deposited a substantial corporate check into one of the secret accounts on the day of the bankruptcy filing and continued to divert checks payable to Dixon Paving into unmonitored accounts throughout the proceedings. On February 28, 2020, Perry executed the corporation's schedule of assets and liabilities under penalties of perjury but intentionally omitted the secret accounts. In subsequent monthly operating reports, she falsely declared that Dixon Paving had deposited all income into the designated DIP accounts.
On May 6, 2020, while the bankruptcy case was pending, Perry secured a $183,500 Paycheck Protection Program (PPP) loan by checking "no" on the application question asking if the company was involved in an active bankruptcy. She later submitted false monthly bankruptcy reports denying the receipt of third-party financing. Perry bypassed statutory requirements for court approval by entirely hiding the PPP loan from the bankruptcy court, and she used the same deceptive methods to conceal an additional loan from the Economic Injury Disaster Loan (EIDL) program.
Ellis Boyle, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The U.S. Department of Transportation and Office of Inspector General investigated the case. Valuable assistance was provided by the Office of the U.S. Bankruptcy Administrator for the Eastern District of North Carolina.
A copy of this press release is located on our website.
Qatari national ordered into custody on child sexual abuse material chargesRead the Press Release
HOUSTON - A 42-year-old match promoter with the FIFA national football organization and a representative of the Qatar football team has been charged with transportation of child pornography.
Ali Homoud Alnaimi had originally entered the United States from Qatar, but authorities took him into custody in Galveston after returning to the United States on a cruise ship traveling from Mexico.
At his detention hearing July 29, the court heard about images found on Alnaimi’s phones that allegedly depicted male children under the approximate age of five being sexually exploited. Evidence also revealed Alnami could easily return to Qatar where the United States does not have an extradition treaty. On July 31, the court ordered him into custody pending further criminal proceedings.
The criminal complaint alleges Alnaimi had traveled to multiple states while in the United States and was taking a vacation from Galveston before leaving for Qatar. Alnaimi was allegedly in possession of child sexual abuse material that he had brought into the United States.
Upon his arrest, the charges allege law enforcement discovered numerous videos depicting the child pornography on his cell phone.
If convicted, Alnaimi faces up to 20 years in federal prison and a possible $250,000 maximum fine.
Immigration and Customs Enforcement Homeland Security Investigations conducted the investigation with assistance from Customs and Border Protection. Special Assistant U.S. Attorney Robin Whitney prosecuted the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Portage County Man Sentenced to 20 Years in Prison for Child Pornography OffensesRead the Press Release
AKRON, Ohio – A 36-year-old man was sentenced to prison after he admitted to receiving and sending child sexual abuse materials through online and social media platforms.
Eric Michael Spreitzer, of Streetsboro, Ohio, was sentenced to 240 months (20 years) in prison by U.S. District Judge Christopher A. Boyko after pleading guilty in April to:
- Receipt and Distribution of Visual Depictions of Minors Engaged in Sexually Explicit Conduct
- Possession of Child Pornography, or Child Sexual Abuse Materials (CSAM)
He was also ordered to serve 15 years of supervised release after imprisonment and pay $49,000 in restitution to victims.
Court documents show that federal agents began an investigation into suspected CSAM activity occurring in Portage County and Spreitzer was identified. During a search warrant executed at his residence, agents seized his electronic devices and online accounts. Forensic analysis determined that numerous files containing the sexual abuse of children were on Spreitzer’s devices and in the accounts. Several of the files in his possession included images of prepubescent minors under the age of 12. Investigators found that the defendant committed criminal offenses from about January 2024 to October 2025.
This case was investigated by the FBI Akron Resident Agency and the Portage County Sheriff’s Office, with assistance from the Ohio Internet Crimes Against Children Task Force.
This prosecution was led by Assistant United States Attorney Toni Beth Schnellinger Feisthamel for the Northern District of Ohio.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. The initiative is led by U.S. Attorneys’ Offices throughout the country and 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. To report child exploitation, please visit cybertipline.org, or call 1-800-843-5678, 24 hours a day, 7 days a week.
Philadelphia County Child Predator Sentenced to 27 Years for Child Exploitation OffensesRead the Press Release
CAMDEN, N.J. – A Philadelphia County, Pennsylvania, man was sentenced on July 30, 2026, to 324 months in prison to be followed by a lifetime term of supervised release for various child exploitation offenses, U.S. Attorney Robert Frazer announced.
Bobbyjean Orak, 31, of Philadelphia, Pennsylvania, previously pleaded guilty before U.S. District Judge Karen M. Williams in Camden federal court to a five-count Indictment, charging him with transportation of a minor with intent to engage in criminal sexual activity, interstate travel with intent to engage in a sexual act with a minor, enticement of a minor to engage in unlawful sexual activity, and the production and possession of child pornography. Judge Williams also imposed the sentence.
“There is no greater duty than protecting children from those who seek to exploit them. For years, the defendant groomed a vulnerable child before transporting her across state lines to commit horrific sexual abuse. After a month-long manhunt, the FBI and our local law enforcement partners apprehended the defendant and discovered that this child was not his only victim, but one of many that he targeted and exploited. Those who prey on our children should know this: our office will relentlessly pursue them, aggressively prosecute them, and hold them fully accountable under the law.”
- U.S. Attorney Robert Frazer
According to documents filed in this case and statements made in court:
Beginning in February 2022, Orak, who was then a 27-year-old man, began an online relationship with a then-11-year-old girl (Victim-1). Orak, who initially disguised his true age and gender, developed his relationship with Victim-1 into a sexual one, and through his exploitation of Victim-1, Orak obtained child sexual abuse material (CSAM) depicting Victim‑1. In their chats, Orak described in graphic detail the sex acts he intended to perform on Victim-1. Meanwhile, Orak engaged in a campaign to convince other minor victims, whom he found online, to send him sexually explicit photographs or videos of themselves to him, including by blackmailing these other victims.
In July 2024, Orak arranged for Victim-1 to flee her home in Philadelphia in the middle of the night and transported her to New Jersey. There, the two moved between various hotels in an effort to evade law enforcement. While concealing their whereabouts, Orak sexually exploited Victim-1 and isolated her from friends and family to reduce the likelihood that authorities would locate them. To finance their time on the run, Orak committed a series of robberies at gas stations throughout Burlington County.
Following a month-long search effort, the Federal Bureau of Investigation (FBI) located Orak and Victim-1 at a hotel in Galloway, New Jersey. FBI agents and local law enforcement officers arrested Orak and safely reunited Victim-1 with her family that same evening. After Victim-1 was found, investigators examined Orak’s cellphone and online accounts and discovered over 1,000 images and videos of CSAM depicting Victim-1 and other minor victims.
U.S. Attorney Frazer credited law enforcement members with the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy, with the investigation leading to Orak’s conviction and this sentencing. He also thanked the Philadelphia, Galloway Township, Evesham, Delran, Waterford Township, and Winslow Township Police Departments, the Atlantic County Sheriff’s Office, the Atlantic County Prosecutor’s Office, the Burlington County Prosecutor’s Office, and the Burlington County Department of Corrections for their assistance with the investigation.
The government is represented by Assistant U.S. Attorney Matt Belgiovine of the Criminal Division in Trenton.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS) in the Justice Department’s Criminal Division, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit: https://www.justice.gov/psc.
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Defense counsel: Thomas Young, Assistant Federal Public Defender.
orak.indictment.pdfMedicare Advantage Provider Complete Health to Pay $14,100,000 to Settle False Claims Act SuitRead the Press Release
Jacksonville, FL - Complete Health Partners Holdings, headquartered in Jacksonville, Florida, has agreed to pay $14,100,000, to resolve allegations that they violated the False Claims Act by causing the submission of false diagnosis codes in order to increase payments that they received from the Medicare Advantage program.
“Health care fraud enforcement has long been a cornerstone of the mission of this office,” said U.S. Attorney Gregory W. Kehoe for the Middle District of Florida. “This settlement sends a strong message to our district, its residents, and medical providers doing business here, that our focus on this vital practice area has not wavered.”
“As the Medicare Advantage program continues to grow, providers who participate in the program must be held to account when they attempt to improperly profit at the taxpayer’s expense,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “This settlement reflects the Department’s commitment to protecting taxpayer money and ensuring that Medicare payments are based on information that is true and accurate.”
“Companies that attempt to improperly boost their own profits by reporting bogus medical conditions of Medicare Advantage enrollees — as alleged in this case — will be held responsible for their actions,” said Special Agent in Charge Isaac M. Bledsoe of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Today’s settlement demonstrates our office’s commitment to safeguarding the integrity of federal health care programs, including Medicare Advantage, which exist to provide necessary care to enrollees, not as a vehicle for improper financial gain.”
Under the Medicare Advantage (MA) Program, also known as Medicare Part C, Medicare beneficiaries may opt out of traditional Medicare and enroll in private health plans offered by insurance companies known as Medicare Advantage Organizations, or MAOs. The Centers for Medicare & Medicaid Services (CMS) pays the MAOs a fixed monthly amount for each Medicare beneficiary enrolled in their plans. CMS adjusts these monthly payments to account for various “risk” factors that affect expected health expenditures for the beneficiary. In general, CMS pays MAOs more for sicker beneficiaries expected to incur higher healthcare costs and less for healthier beneficiaries expected to incur lower costs. To calculate the payment amounts, CMS uses a health-based risk adjustment model — the Hierarchical Conditions Category (HCC) model — that takes into account diagnoses reported by healthcare providers. In general, the more severe the diagnosis or costly the associated treatment, the higher the risk score and the higher the corresponding payments to the MAO.
Complete Health Partners Holdings (Complete Health) is a management services organization that manages, owns or otherwise operates affiliated provider groups operating out of Florida, Alabama and Colorado. Under the contracts, the MAOs agreed to pay Complete Health a percentage of the payments they received from CMS. This “risk sharing” compensation arrangement gave Complete Health a financial incentive to submit additional diagnosis codes to increase its patients’ risk scores and the corresponding payments made by CMS.
The settlement resolves allegations, from 2020 to 2023, Complete Health submitted diagnosis codes within Hierarchical Condition Code (HCC) 55 (Drug and Alcohol Dependence) and HCC 59 (Major Depressive, Bipolar, and Paranoid Disorders) that were not clinically valid, not properly supported by the beneficiary’s medical records, and/or not considered in the care, management, or treatment of the beneficiary.
The United States contends that Complete Health disseminated incorrect coding guidance to its coders and physicians regarding diagnosis codes within HCC 55 and HCC 59. The United States further contends that Complete Health coders reviewed its beneficiaries’ medical records and identified additional diagnosis codes for chronic conditions, including diagnoses within HCC 55 and HCC 59. Complete Health then prompted doctors to add those diagnosis codes, even when the diagnosis codes were unsubstantiated or not clinically justified. As a result, the doctors added those diagnosis codes, which were not accurate. These diagnoses resulted in an increase in payment from CMS to the MA Plans in which the beneficiaries were enrolled, and the MA Plan then passed along a portion of the increased payment to Complete Health.
The civil settlement resolves claims brought under the qui tam or whistleblower provisions of the False Claims Act by Karen Bowers, former Associate Director of Risk Adjustment at VIVA Health. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. Karen Bowers vs. Complete Health Partners, Inc., Pharos Capital Group, LLC, Viva Health Inc., and Blue Cross and Blue Shield of Alabama, Civil Action No. 3:22-cv-463 (M.D. Fla.). Karen Bowers will receive approximately $2,467,500 as her share of the federal recovery.
This year the Administration launched the Task Force to Eliminate Fraud and the National Fraud Enforcement Division to enhance the administration’s war on fraud, waste, and abuse in federal programs. When unscrupulous actors exploit these programs for their own financial gain, they defraud the government, harm the people these programs are designed to aid and protect, and undermine American businesses that play by the rules. The Civil Division’s FCA enforcement plays a critical role in combatting such fraudulent schemes, recovering billions of dollars for the American taxpayers, and holding wrongdoers accountable. FCA matters will continue to be on the forefront of the battle against fraud, and the Civil Division’s FCA work will support and advance the mission of the Task Force to Eliminate Fraud and the National Fraud Enforcement Division.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the Middle District of Florida, with assistance from the Department of Health and Human Services Office of Inspector General.
The investigation and resolution of this matter illustrate the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the Department of Health and Human Services Office of Inspector General at 800-HHS-TIPS (800-447-8477).
The matter was investigated by Assistant U.S. Attorneys Sean Keefe and Collette Cunningham for the Middle District of Florida and Fraud Section Attorneys Olga Yevtukhova and J. Jennifer Koh .
The claims resolved by the settlement are allegations only and there has been no determination of liability.