title: Multi-Time Convicted Felon Indicted For Possessing A Firearm And Ammunition

body_text: Fort Myers, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Mickey Colangelo, Jr. (44, Fort Myers) with possession of a firearm and ammunition by a convicted felon. If convicted, Colangelo faces a penalty of 15 years, up to life, in federal prison. The indictment also notifies Colangelo that the United States intends to forfeit a firearm and ammunition which are alleged to be traceable to proceeds of the offense. According to a criminal complaint filed on October 31, 2024, Colangelo was encountered by a Lee County Sheriff’s Office deputy in North Fort Myers on October 30, 2024, with a loaded pistol in his backpack. According to the indictment, Colangelo has been convicted of nine felony offenses, including six convictions for robbery related charges. As a result of his lengthy criminal record, which includes at least three previous convictions for violent felonies, Colangelo qualifies for enhanced sentencing under the Armed Career Criminal Act. An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty. This case was investigated by the Lee County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Mark Morgan. 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 out 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 first place, setting focused and strategic enforcement priorities, and measuring the results.


title: Scotia Man Pleads Guilty to Groping a Nursing Student at the Albany VA Medical Center

component: USAO - New York, Northern

body_text: ALBANY, NEW YORK – Danning Lake, age 86, of Scotia, New York, pled guilty today to abusive sexual contact. United States Attorney Carla B. Freedman; Thomas Gibbons, Chief of the Department of Veterans Affairs Police at Stratton VA Medical Center; and Special Agent in Charge Christopher F. Algieri of the Northeast Field Office for the United States Department of Veterans Affairs Office of Inspector General, made the announcement. Lake admitted that on February 29, 2024, he grabbed the breast of a nursing student as she was giving him medical care. Lake then asked the student nurse, “did you like that?” and told her “they feel nice.” When the VA Police Officer spoke to Lake, he said that he would do the same thing again if he had the opportunity. Lake’s mental status was not altered by medication, age, or illness. He groped the nursing student for his own sexual gratification and without her consent. When he is sentenced on March 20, 2025, Lake faces up to 2 years in prison, a fine of up to $250,000, and a term of supervised release of up to 1 year. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. As a result of this conviction, Lake will also have to register as a sex offender. The Department of Veterans Affairs Police Department and Office of Inspector General investigated the case, which Assistant U.S. Attorneys Jonathan S. Reiner and Tamara B. Thomson are prosecuting.


title: Warren County Man Sentenced to 10 Years in Prison for Attempted Enticement of a Minor

body_text: ALBANY, NEW YORK – Robert Cutter, age 44, of Lake George, New York, was sentenced today to 10 years in prison for attempting to entice and coerce a 12-year-old child into sexual activity. United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement. As part of his previously entered guilty plea, Cutter admitted that on June 27, 2023, he exchanged sexually explicit text messages with someone he believed was an adult offering the sexual services of a 12-year-old girl, in an attempt to entice the child into engaging in sexual acts with him. Cutter also admitted that on that same date, he traveled to a pre-determined location in Warren County, New York, with the intent to engage in sexual acts with the 12-year-old girl. Cutter was arrested by law enforcement shortly after arriving at the location. United States District Judge Mae A. D’Agostino also imposed a 15-year term of post-imprisonment supervised release. Cutter will be required to register as a sex offender upon his release from prison. The case was investigated by the FBI’s Albany Division Child Exploitation and Human Trafficking Task Force – comprised of FBI Special Agents, and state and local police investigators, including from the New York State Police, Rotterdam Police Department, Warren County Sheriff’s Office, and Saratoga County Sheriff’s Office. Assistant U.S. Attorney Allen J. Vickey prosecuted this case as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc .


title: Four New Orleans Residents Indicted On Federal Kidnapping Charges

component: Federal Bureau of Investigation (FBI)

body_text: NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that HECTOR MONDRAGON-FLORES a/k/a Fumele , age 32, EDWIN SALGADO-NUNEZ , age 29, ABEL GARCIA , age 48, and JANNETTE RAMIREZ , age 33, were indicted on November 15, 2024, for kidnapping, and conspiracy to commit kidnapping, in violation of Title 18, United States Code, Sections 1201(a)(1) and (c). Additionally, HECTOR MONDRAGON-FLORES a/k/a Fumele is charged with assault on a federal officer with a deadly weapon, in violation of Title 18, United States Code, Sections 111(a)(1) and (b), and being an alien in possession of a firearm, in violation of Title 18, Untied States Code, Sections 922(g)(5) and 924(a)(8). The kidnapping, and conspiracy to commit kidnapping, offenses each carry up to life in prison, up to a $250,00 fine, and up to five years of supervised release. The charge of assault on a federal officer with a deadly weapon carries up to 20 years in prison, up to a $250,000 fine, and up to three years of supervised release. The charge of being an alien in possession of a firearm carries up to 15 years in prison, up to a $250,000 fine, and up to three years of supervised release. Each of the four counts also carries a $100 mandatory special assessment fee. According to court documents, beginning on or about October 1, 2024 through October 2, 2024, the defendants conspired to, and did, kidnap a victim and hold him for ransom. The defendants variously held the victim at gunpoint, bound his legs together and his arms together behind his back, and threatened to kill the victim if his father did not pay a $7,000 ransom. After receiving a $3,000 ransom payment from the victim’s father, the defendants also attempted to extract an additional ransom payment from the victim’s girlfriend. Ultimately, the defendants took the victim to an ATM where he withdrew $400 in cash in exchange for his release. U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt. 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. The case was investigated by the Federal Bureau of Investigation, Homeland Security Investigations, and the New Orleans Police Department. Assistant United States Attorneys David Berman and Sarah Dawkins of the Violent Crime Unit are in charge of the prosecution.


title: U.S. Attorney Totten Announces Second Wave Of Enforcement In Nationwide Telemedicine Fraud Schemes

component: USAO - Michigan, Western

body_text: Operation “Happy Clickers” Results in Resolutions with Five More Doctors for Allegedly Authorizing Fraudulent Medicare Spending GRAND RAPIDS – U.S. Attorney for the Western District of Michigan Mark Totten today announced criminal convictions and civil settlements against a second wave of doctors who participated in nationwide telemedicine fraud schemes by ordering medically unnecessary orthotic braces and genetic testing, allegedly wasting Medicare dollars to line their own pockets. These resolutions were achieved through Operation “Happy Clickers,” a joint initiative between the U.S. Attorney’s Office, the U.S. Department of Health & Human Services’ Office of the Inspector General (HHS-OIG), and the Federal Bureau of Investigation (FBI) (see prior enforcement announcement here ). The enforcement actions announced today include civil settlements with five doctors and criminal convictions against two of them. “Over the last five years, fraudsters have operated nationwide telemarketing schemes to defraud the Medicare Program of billions of dollars by preying on older adults to solicit orders for medically unnecessary braces and genetic testing,” said U.S. Attorney Mark Totten . “These schemes worked only because physicians checked their training and oaths at the door and click-signed medical orders without an appropriate medical review. My office will continue to work with our law enforcement partners to hold medical practitioners responsible for participating in these schemes.” As part of this second wave, Theresa Kordish, D.O., of Kalamazoo, MI, and Utibe Effiong, M.D., formerly of Mt. Pleasant, MI, each pleaded guilty to one count of making a false statement relating to health care matters. Both doctors admitted using a telemedicine program to authorize medical orders for patients they never met or examined, approving most orders in mere seconds. In addition to their criminal convictions, each doctor also agreed to pay civil settlements for their conduct based on the scope of the fraudulent orders each signed and on ability-to-pay considerations. Dr. Kordish agreed to pay $50,000, and Dr. Effiong agreed to pay $150,000. The United States also reached civil settlements with three other physicians. Derek Grossman, D.O., of Traverse City, MI, agreed to pay $295,192.93 to resolve allegations that he used a telemedicine program to order over 1,300 medically unnecessary orthotic braces. Pedro Toweh, M.D., of Battle Creek, MI, agreed to pay $85,822 to resolve allegations that he likewise ordered over 800 medically unnecessary braces. Aaron Willen, D.O., formerly of Kalamazoo, MI, agreed to pay $80,000 to resolve similar allegations regarding several hundred orthotics claims based on ability to pay. Dr. Kordish is scheduled to be sentenced on February 10, 2025. Dr. Effiong is scheduled to be sentenced on February 18, 2025. These actions follow nationwide takedowns of so-called “marketers” and owners of medical supply companies and genetic testing laboratories, who worked together to conduct large-scale schemes to defraud Medicare. Details of earlier takedowns were publicized on April 9, 2019 , September 27, 2019 , and September 30, 2020 . The marketers placed phone calls to Medicare beneficiaries, often through overseas call centers, to obtain enough information that they could fill out fraudulent medical orders for orthotic braces and genetic testing. The marketers then paid doctors to approve these orders through telemedicine programs for patients they never met in violation of federal healthcare laws. The marketers then sold the signed orders to medical supply companies and laboratories in violation of federal anti-kickback laws. Federal investigators initiated these investigations based on a detailed review of Medicare data relating to these expensive braces and genetic tests, which sometimes exceed $8,000 per test, Including the criminal pleas and civil settlements, prosecutors handling Operation “Happy Clickers” have resolved cases against a total of nine separate doctors and nurse practitioners who were responsible for ordering over $10.5 million in alleged loss to the Medicare Program. Through both rounds of enforcement actions, the United States has recovered over $1,000,000 for the Medicare Program in civil settlements, in addition to restitution that has and is expected to be ordered in the criminal cases. Almost all of these civil settlements were reached based on the inability of the defendants to pay higher amounts. “Physicians and other providers who authorize medically unnecessary equipment and services undermine our health care system and waste valuable taxpayer dollars,” said Mario M. Pinto, Special Agent in Charge of the U.S. Department of Health and Human Services Office of Inspector General . “Our agency is committed to ensuring that those who engage in this conduct are identified and, in conjunction with our law enforcement partners, the resources of our judicial system are brought to bear.” “The convictions of several physicians involved in a nationwide telemedicine fraud scheme underline the FBI’s commitment to holding those accountable who violate the trust of their profession,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan . “By preying on the elderly and defrauding Medicare, these individuals betrayed their oath to uphold the highest standards of care and ethics; in turn, they exploited a vulnerable population for personal gain. Members from the FBI in Michigan, in coordination with the U.S. Department of Health and Human Services, will continue to investigate bad actors who undermine the integrity of our healthcare system and the trust placed in them by their patients and communities.” The resolutions obtained in this second-wave of enforcement actions in Operation “Happy Clickers” were the result of a coordinated effort between the U.S. Attorney’s Office for the Western District of Michigan and HHS-OIG and the FBI. The criminal cases were prosecuted by Assistant United States Attorney Patrick J. Castle and former Assistant United States Attorney Raymond E. Beckering III. Assistant United States Attorneys Andrew J. Hull and Nicole L. Mazzocco prosecuted the civil cases. The claims resolved by the civil settlements are allegations only and there has been no determination of liability. # # #


title: New Jersey Postmaster Indicted on Civil Rights Charge for Sexual Assault of Postal Service Employee

component: Civil Rights Division

body_text: A two-count indictment was unsealed today charging a U.S. Postal Service Postmaster with a federal civil rights violation for sexually assaulting a victim while acting under color of law and assaulting the victim, a federal employee, during the course of her official duties. According to the indictment, on Nov. 26, 2022, in Teaneck, New Jersey, Gabriel Ekram Pagabe Ali, 47, sexually assaulted the victim, an employee of the U.S. Postal Service while on duty as a Postmaster at the U.S. Post Office in Teaneck. Count One of the indictment charges Ali with depriving the victim of her right to bodily integrity when he sexually assaulted the victim. Count Two of the indictment charges Ali with forcibly assaulting the victim while she was engaged in official duties. If convicted, Ali faces a maximum penalty of three years in prison for the civil rights count and eight years in prison for the assault count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Philip R. Sellinger for the District of New Jersey and Special Agent in Charge Matthew Modafferi of the U.S. Postal Service Office of Inspector General made the announcement. The U.S. Postal Service Office of Inspector General is investigating the case. Trial Attorneys Laura Gilson and Chloe Neely of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorneys Joseph Gribko and Javon Henry for the District of New Jersey are prosecuting the case. An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Postal Employee Admits Stealing Rebates from Mail

component: USAO - Missouri, Eastern

body_text: ST. LOUIS – A former U.S. Postal Service mail carrier on Monday admitted stealing rebates from mail intended for residents of north-central Missouri. Dawn Dowling, 59, pleaded guilty in U.S. District Court in St. Louis to one felony count of embezzlement of mail by a Postal Service employee. Dowling admitted that from July 2023 to August 2023, she took rebates issued by the home improvement store Menards from the mail. Dowling was a rural carrier associate assigned to routes in central Missouri including the areas of Moberly, Huntsville, Cairo, Higbee, Jacksonville and Excello. In all, Dowling took a total of at least $1,131 in rebates from at least 20 customers. She then spent them or caused them to be spent in Menards stores in Missouri and Illinois. Dowling is scheduled to be sentenced on March 4, 2025. The charge is punishable by up to five years in prison, a $250,000 fine, or both. The U.S. Postal Service – Office of Inspector General investigated the case. Assistant U.S. Attorney Justin Ladendorf is prosecuting the case.


title: Chicago-Area Rap Artist and Celebrity Barber Pleads Guilty to Role in Nationwide Fraud Conspiracy

component: USAO - Massachusetts

body_text: BOSTON – A Chicago man has pleaded guilty in federal court in Springfield, Mass. to his role in a nationwide wire fraud conspiracy that victimized businesses and individuals across the United States. Terrence Bender, a/k/a “Blends,” a/k/a “Dopeblends,” 32, pleaded guilty on Nov. 14, 2024 to one count of conspiracy to commit wire fraud. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for Feb. 27, 2025. Bender was indicted by a federal grand jury in December 2020 along with five co-defendants, including rap promoter Antonio Strong, rap artists Herbert Wright and Joseph Williams, their associate Demario Sorrells and one other co-defendant. According to court documents, beginning in at least March 2017 through November 2018, Bender, Strong, Williams, Sorrells, Wright and, allegedly, one other co-defendant conspired to defraud numerous businesses and individuals throughout the United States by using unauthorized and stolen payment card account information of real individuals – including the actual cardholders' names, addresses, security codes and account expiration dates. Generally, because the payment card information was authentic, the defrauded businesses and individuals successfully processed the fraudulent transactions and provided the goods and services to Bender and his co-conspirators. The actual cardholders discovered these transactions on their accounts and disputed the charges with their card companies who then charged back the transactions to the businesses and individuals, who consequently suffered losses in the amounts of the unauthorized transactions. Strong was a music promoter and Bender was a rap artist and celebrity barber in the area around Chicago. Bender and his co-conspirators used illicit account information to obtain, among other things, a private jet chart flight, a New York City villa rental, designer puppies from a pet boutique and car insurance in Bender’s own name. In total, Bender was responsible for $103,000 in victim losses. On July 28, 2023 , Wright pleaded guilty to one count of conspiracy to commit wire fraud and one count of making a false statement to a federal official, and on Jan. 11, 2024 , was sentenced to three years’ probation and was ordered to pay restitution and forfeiture of $139,968and a $5,500 fine. On Feb. 2, 2024, Sorrells pleaded guilty to one count of conspiracy to commit wire fraud and, on Aug. 29, 2024, was sentenced to three years’ probation and ordered to pay restitution and forfeiture of $106,481. On March 8, 2024, Williams pleaded guilty to one count of conspiracy to commit wire fraud and, on Aug. 13, 2024, was sentenced to three years’ probation and ordered to pay restitution and forfeiture of $155,392. On May 22, 2024, Strong pleaded guilty to one count of conspiracy to commit wire fraud and four counts of wire fraud and, on Oct. 29, 2024, was sentenced to three years in prison and ordered to pay restitution and forfeiture of $2,159,874. The charge of wire fraud conspiracy provides for a sentence of up to 20 years in prison, up to five years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. Acting United States Attorney Joshua S. Levy and Andrew Murphy, Special Agent in Charge of the United States Secret Service, Boston Field Office made the announcement. Assistant U.S. Attorney Steven H. Breslow of the Springfield Branch Office and Trial Attorneys Andrew Tyler and Kyle Crawford of the Justice Department’s Criminal Division’s Fraud Section are prosecuting the case. The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.


title: Inmate Receives 15 Years in Methamphetamine Distribution Conspiracy Inside Stillwater Prison

component: USAO - Minnesota

body_text: ST. PAUL, Minn. – An inmate has been sentenced to 180 months in prison followed by 10 years of supervised release for conspiring with a corrections officer to distribute methamphetamine inside the Stillwater prison, announced United States Attorney Andrew M. Luger. According to court documents, Axel Rene Kramer, 37, an inmate who is currently serving a 288-month sentence for second-degree murder, conspired with Faith Rose Gratz, 26, a former Minnesota Correctional Facility (MCF) – Stillwater corrections officer, to distribute methamphetamine within MCF – Stillwater, which is Minnesota’s largest high-security prison facility. As part of the conspiracy, Kramer obtained wholesale quantities of prepackaged methamphetamine from sources of supply outside the prison. Kramer and another co-conspirator inmate worked with drug sources of supply to arrange meet-up times and locations where Gratz would pick up the drug packages. Gratz used her position as a guard to smuggle the drugs into the prison and to provide the drugs to Kramer. She then transferred the drugs to Gratz in the course of performing her prison guard duties. She participated in the illegal scheme approximately six times. Gratz also smuggled into the prison multiple cell phones that she provided to Kramer. Kramer used the cell phones to communicate with people inside and outside the prison and to facilitate his drug distribution network from within the prison. According to court documents, Kramer and Gratz exchanged hundreds of text messages with each other. The messages included communications about the drug distribution conspiracy as well as discussions about their romantic relationship. Gratz also warned Kramer about upcoming searches of inmates’ cells. On January 5, 2024, Kramer pleaded guilty to one count of conspiracy to distribute methamphetamine. He was sentenced on November 12, 2024, by Judge Eric C. Tostrud in U.S. District Court. On November 15, 2024, Judge Tostrud sentenced Gratz to 27 months in prison followed by two years of supervised release. This case is the result of an investigation conducted by the Bayport Police Department, Minnesota Department of Corrections, and the FBI. Assistant U.S. Attorneys Harry M. Jacobs and Matthew D. Evans prosecuted the case.


title: Federal Grand Jury Indicts Bullitt County Man for Federal Firearms Offenses

component: USAO - Kentucky, Western

body_text: Louisville, KY – A federal grand jury in Louisville returned an indictment on November 5, 2024, charging a Bullitt County man with possession of a firearm by a convicted felon and possession of an unregistered firearm. U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division, and Sheriff Walt Sholar of the Bullitt County Sheriff’s Office made the announcement. According to the indictment, Jason Argenbright, 45, of Lebanon Junction, was charged with possession of a firearm by a convicted felon and possession of an unregistered firearm. On August 20, 2024, Argenbright possessed a DPMS Arms, model A-15, .223 caliber rifle. The rifle was equipped with silencer not registered to him in the National Firearms Registration and Transfer Record. Argenbright was prohibited from possessing a firearm because he had previously been convicted of the following felony offenses. On January 28, 2011, in Bullitt Circuit Court, Argenbright was convicted of manufacturing methamphetamine. On March 2, 2011, in Bullitt Circuit Court, Argenbright was convicted of possession of a controlled substance, first degree, first offense and unlawful possession of a methamphetamine precursor. On November 29, 2007, in Bullitt Circuit Court, Argenbright was convicted of possession of a controlled substance, first degree, first offense – drug unspecified. The defendant made his initial court appearance on November 13, 2024, before a U.S. Magistrate Judge of the U.S. District Court for the Western District of Kentucky. The Court ordered the defendant detained pending trial. If convicted, he faces a maximum sentence of 25 years in prison. A federal district court judge will determine any sentence after considering the sentencing guidelines and other statutory factors. There is no parole in the federal system. This case is being investigated by the ATF and Bullitt County Sheriff’s Office. Assistant U.S. Attorney Frank Dahl is prosecuting the case. 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. An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. ###


title: New Jersey Postmaster Indicted for Sexual Assault

component: USAO - New Jersey

body_text: NEWARK, N.J. – U.S. Postal Service postmaster was arrested today on a federal civil rights violation for sexually assaulting a victim while acting under color of law and assaulting the victim, a federal employee, during the course of her official duties, U.S. Attorney Philip R. Sellinger and Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division announced. Gabriel Ekram Pagabe Ali, 47, is charged by indictment with sexually assaulting the victim, an employee of the U.S. Postal Service while on duty as a postmaster at the U.S. Post Office in Teaneck. According to the indictment: On Nov. 26, 2022, in Teaneck, New Jersey, Ali deprived the victim of her right to bodily integrity when he sexually assaulted her. Count Two of the indictment charges Ali with forcibly assaulting the victim while she was engaged in official duties. If convicted, Ali faces a maximum penalty of three years in prison for the civil rights count and eight years in prison for the assault count. The U.S. Postal Service Office of Inspector General, Northeast Area Field Office, under the direction of Special Agent in Charge Matthew Modafferi, is investigating the case. Assistant U.S. Attorneys Joseph Gribko and Javon Henry for the District of New Jersey and Trial Attorneys Laura Gilson and Chloe Neely of the Civil Rights Division’s Criminal Section are prosecuting the case. The charges and allegations contained in the indictment are merely allegations, and the defendant is presumed innocent unless and until proven guilty in a court of law. ali.indictment.pdf


title: Three New York Residents Sentenced For Fraud And Money Laundering Using Funds From Elderly Lottery Scam Victims

component: USAO - Pennsylvania, Middle

body_text: HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Caron Pitter, age 48, Rohan Lyttle, age 49, and Charlene Marshall, age 44, were sentenced to prison and ordered to pay restitution for their roles in a Jamaican lottery scam targeting elderly U.S. victims. Rohan Lyttle received a sentence of 97 months, Caron Pitter received a sentence of 66 months, and Charlene Marshall received a sentence of 34 months in prison. Each defendant will serve a period of three years of supervised release following their release from prison. In addition, each defendant was ordered to pay a total of $245,147.98 in restitution to certain victims of the lottery scam. The three defendants were found guilty of all charges against them following a two-week jury trial in November 2023. They were convicted of conspiracy to commit wire fraud and mail fraud and conspiracy to commit money laundering. In addition to the conspiracy charges against all defendants, Caron Pitter was convicted of several counts of mail fraud, and Rohan Lyttle was convicted of multiple counts of mail fraud, wire fraud, and interstate transportation of goods taken by fraud. A fourth defendant, Rohan Lytle, Jr., age 27, was charged with some of the same offenses, and he remains a fugitive. According to United States Attorney Gerard M. Karam, the defendants, who are all lawful permanent residents of the United States originally from Jamaica, received funds from victims of a Jamaican lottery scam between 2017 and 2020. The evidence at trial showed that an individual based in Jamaica posing as a representative of Publisher’s Clearing House used “lead lists” containing the names and personal information of elderly Americans to contact potential victims. These individuals were contacted by phone and email and falsely told that they had won multimillion-dollar prizes through Publisher’s Clearing House but needed to prepay taxes and other fees in order to claim their supposed prizes. These elderly individuals were then directed to make payments in various ways, including by sending packages containing tens of thousands of U.S. dollars through the U.S. Postal Service, UPS, and Federal Express. In addition to cash packages sent by mail, the victims transmitted funds through bank-to-bank wire transfers, Zelle, MoneyGram, and Western Union. Victims were also defrauded in other ways. For instance, fraudsters gained access to victims’ credit cards and Amazon accounts and used those accounts to purchase goods, such as mobile phones and televisions. They also obtained debit cards for victims’ checking accounts and used those cards to make cash withdrawals at ATMs located in Jamaica. Several victims testified at trial. They included a 79-year-old former resident of Mechanicsburg, Pennsylvania, a 71-year-old resident of Philadelphia, Pennsylvania, and a 91-year-old resident of Walterboro, South Carolina. Collectively, these victims lost over $1.1 million in connection with this fraud scheme. All of these victims testified that they were contacted by a representative of Publisher’s Clearing House and directed to send money to claim their respective prizes. All of them sent money to the defendants charged in this case, as well as other locations. The victim from Mechanicsburg, PA and the victim from Philadelphia, PA collectively sent in excess of $200,000 in cash packages just to these defendants. In some cases, victims were also directed to receive funds from third parties that they didn’t know and send those funds to other individuals that they were led to believe were also Publisher’s Clearing House representatives. Evidence at trial also showed that the defendants operated an auto body shop in Queens, New York known as RoCars Auto and an affiliated used car dealership based in Kingston, Jamaica known as Rolcam Company Limited. The defendants used the proceeds of the lottery scam to purchase and repair salvage vehicles from online vehicle auctions and ship those vehicles to Rolcam Company Limited for sale to customers in Jamaica. The victim from Mechanicsburg, PA was also told that he had won a new Range Rover, in addition to his cash prize. He was directed to pay for and ship over $15,000 in parts from a Land Rover car dealership to RoCars Auto in Queens, New York, under the false pretense that his vehicle was in need of upgrades before it could be sent to him. The evidence at trial showed that the defendants used these parts to repair a 2019 Land Rover that they purchased from a salvage vehicle auction house. After repairing the vehicle, they shipped it from RoCars Auto to Rolcam Company Limited in Kingston, Jamaica, where it was sold to an unidentified buyer believed to be associated with the lottery scam. The defendants used various means to disguise their receipt of victim funds, including distributing the money among each other so that the funds could be deposited in a variety of bank accounts and exchanged for cashier’s checks so that they would not appear in bank accounts at all. The defendants also regularly broke up larger amounts of cash into smaller amounts to make their deposits look smaller in size, which had the effect of evading banks’ reporting requirements for large cash transactions. The case was investigated by the U.S. Postal Inspection Service. Assistant U.S. Attorneys Ravi Romel Sharma and David C. Williams prosecuted the case. If you or someone you know has been a victim of a lottery scam, help is available at the National Elder Fraud Hotline at 1-833-FRAUD-11 (372-8311). The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. You may also contact the U.S. Postal Inspection Service at 1-800-372-8347 or online at www.uspis.gov/report . # # #


title: Mexican National Indicted For Illegal Re-entry

component: USAO - Louisiana, Eastern

body_text: NEW ORLEANS , LOUISIANA – United States Attorney Duane A. Evans announced that SANTIAGO PUENTE-GARCIA (“PUENTE-GARCIA”), age 25, a native of Mexico, was indicted on November 15, 2024 for illegal reentry by a removed alien, in violation of Title 18, United States Code, Section 1326(a). According to the indictment, PUENTE-GARCIA was previously removed from the United States on February 4, 2022. He was later found in the Eastern District of Louisiana on October 29, 2024 and had not received permission from the Attorney General of the United States or the Secretary of the Department of Homeland Security to reenter the country. If convicted, PUENTE-GARCIA faces a maximum term of imprisonment of two (2) years, a fine of up to $250,000, up to one year of supervised release, and a mandatory $100 special assessment fee. U.S. Attorney Evans reiterated that an indictment is merely a charge and the guilt of the defendant must be proven beyond a reasonable doubt. U.S. Attorney Evans praised the work of the United States Immigration and Customs Enforcement, Enforcement and Removal Operations in investigating this matter. Assistant United States Attorney Jon Maestri of the General Crimes Unit is in charge of the prosecution.


title: Grand jury indicts 6 defendants in straw purchasing conspiracy involving firearms bought online with stolen credit card information

component: USAO - Ohio, Southern

body_text: COLUMBUS, Ohio – A federal grand jury indicted six individuals with conspiring to commit an offense against the United States by making false statements on federal firearms forms. The individuals allegedly conspired to use stolen credit card information to place orders online for straw purchase firearms. Those charged include: Name Also Known As Age City of Residence Keith Davenport III Keefy 21 Columbus Ellyson Jeffries 23 Reynoldsburg Javohn Garcia JG 23 Reynoldsburg D’andre Beasley 31 Columbus Johna McCoy 27 Atlanta Vincent Irvin V 33 Columbus The indictment was returned on Oct. 30 and all six defendants have been arrested since that time. The case was unsealed on Nov. 15. According to the 14-count indictment, members of the conspiracy allegedly placed orders with online firearms retailers, and then had the guns transferred to firearms retailers for in-person pick-up in Reynoldsburg, Columbus, New Albany, Pataskala and Pickerington, as well as in Atlanta and Smyrna, Georgia. Coconspirators allegedly used stolen credit card information to place the orders and lied on the federal firearms forms saying they were purchasing the firearms for themselves. It is alleged that defendants then sold or intended to sell many of the firearms that were acquired illegally. Each of the six defendants is charged in the conspiracy that allegedly occurred from approximately May until September 2022 and involved the illegal purchase of at least 50 firearms. Davenport is also charged with aggravated identity theft. Conspiring to make false statements during the purchase of a firearm is punishable by up to five years in prison. Making false statements during the purchase of a firearm is a federal crime punishable by up to 10 years in prison. Aggravated identity theft carries a mandatory two years in prison. Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); and Columbus Police Chief Elaine Bryant announced the charges. Assistant United States Attorneys S. Courter Shimeall and Damoun Delaviz are representing the United States in this case. An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law. # # #


title: Chicago Man Sentenced to 20 Years in Federal Prison for Robbing Three Banks at Gunpoint

body_text: CHICAGO — A Chicago man has been sentenced to 20 years in federal prison for robbing three banks at gunpoint. In 2020 and 2021, CHRISTOPHER PORTER, 53, robbed a bank in Evergreen Park, Ill., and two banks in Chicago. In all of the robberies, Porter pointed a gun at tellers and customers. In the third robbery, Porter put a customer in a headlock, pointed a gun at his head, and pinned him against a wall. A federal jury in 2022 convicted Porter of all three robberies, as well as a firearm charge. U.S. District Judge Sharon Johnson Coleman imposed the sentence on Thursday during a hearing in federal court in Chicago. The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Douglas S. DePodesta, Special Agent-in-Charge of the Chicago Field Office of the FBI. Valuable assistance was provided by the Cook County Sheriff’s Office. “Defendant terrorized innocent bank tellers and customers,” Assistant U.S. Attorneys Thomas P. Peabody and Paige A. Nutini argued to the Court at sentencing. “His short spree of bank robberies was serious, violent, criminal conduct.”


title: U.S. Attorney Jesse Laslovich announces almost $2 million in federal Justice Department grants to fight school violence

component: Office of Justice Programs (OJP)

body_text: BILLINGS — U.S. Attorney Jesse Laslovich today announced grant funding of almost $2 million to help fight school violence for two Montana educational entities from the U.S. Department of Justice’s Office of Justice Programs. The funding, totaling $1,999,992, is from the OJP’s Bureau of Justice Assistance’s Fiscal Year 24 STOP School Violence Program Competitive Solicitation. The project period is from Oct. 1, 2024 to Sept. 30, 2027. The Western Montana Professional Learning Collaborative in Lolo was awarded $1 million, while Billings Public Schools in Billings was awarded $999,992. “The work of the Justice Department is often reactionary, as we seek to hold accountable those who violate the rule of law. But it is refreshing when we can be proactive in our work, which is why I am pleased to announce these grants. I applaud the work of the Western Montana Professional Learning Collaborative and Billings Public Schools for their focus on mental health services and crime prevention. We are unwavering in our pursuit of those who commit school violence, and these grants show we are equally committed to preventing school violence from occurring in the first place,” U.S. Attorney Laslovich said. The Western Montana Professional Learning Collaborative proposes the Expanding Montana Rural Student Mental Health Supports initiative, which aims to extend mental health resources to underserved rural, tribal and frontier schools in Western Montana. This project will provide comprehensive school mental health services, including trauma informed care, wellness training, curriculum and teletherapy to establish safe school environments and ensure equitable access to mental health services. The project builds on the success of Montana Cares, which currently serves more than 14,000 students and their families. Expanding care in Montana will extend those services in western regions, addressing significant inequities in school-based mental health resources, and serving an additional 13,000 students and their school community families. Billings Public Schools (BPS) is the largest school district in Montana and serves more than 16,000 students. In the past four years, Billings has seen an increase in violent crimes, especially youth violent crimes and increased youth gang activity. Information from surveys, incident reports and Billings Police Department data demonstrate the need for support in BPS middle schools. The goal of BPS is to address the critical need for violence prevention, positive youth resiliency skill building and promotion of a positive school climate through the Culture of Care program. The Culture of Care program will use funding to hire two, full-time specialists to work directly with students in the six middle schools and a full-time program leader to coordinate training, support program implementation and promote stakeholder engagement. The program aims to reduce violence by addressing conflict before it occurs or escalates. XXX


title: Former CEO Indicted for Role in Bribing Japanese Officials and BIT Mining Ltd. Resolves Foreign Bribery Investigation

component: Criminal Division

body_text: An indictment was unsealed today charging the former CEO of 500.com (now BIT Mining Ltd.), Zhengming Pan, a Chinese national, with violations of the Foreign Corrupt Practices Act (FCPA). BIT Mining Ltd. has agreed to resolve investigations by the Justice Department and the Securities and Exchange Commission (SEC) into related FCPA violations arising from the company’s participation in a corrupt scheme to pay bribes to Japanese government officials. BIT Mining entered into a three-year deferred prosecution agreement (DPA) in connection with a criminal information filed in the District of New Jersey charging BIT Mining with one count of conspiracy to violate the anti-bribery and books and records provisions of the FCPA and one count of violating the books and records provisions of the FCPA. A federal grand jury in the District of New Jersey returned an indictment against Pan on June 18. Pan is charged with one count of conspiracy to violate the anti-bribery and books and records provisions of the FCPA, one count of violating the anti-bribery provisions of the FCPA, and two counts of violating the books and records provisions of the FCPA. “BIT Mining, under the alleged direction of then-CEO Zhengming Pan, agreed to pay nearly $2 million in bribes to Japanese government officials to win a contract to open a lucrative resort and casino in Japan,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Pan has been indicted for his alleged role in directing company consultants to pay the bribes and to conceal the illicit payments through sham consulting contracts. Today’s resolution and the charges against Pan demonstrate the department’s continued commitment to holding both corporate and individual wrongdoers accountable for their crimes.” “Paying bribes to foreign government officials is a serious crime. The top leadership of BIT Mining, then known as 500.com, directed consultants to pay bribes to Japanese government officials to win a bid to open a large resort in Japan,” said U.S. Attorney Philip R. Sellinger for the District of New Jersey. “The illegal scheme started at the top, with the company’s CEO allegedly fully involved in directing the illicit payments and the subsequent efforts to conceal them. The company has admitted its crimes and agreed to pay a $10 million penalty, and its then-CEO has been charged for his role in the scheme. This agreement and indictment hold both the corporation as an entity and its top leadership accountable.” “Today’s indictment against the former CEO of BIT Mining for bribing Japanese officials highlights the FBI’s commitment to holding individuals accountable for illegal conduct,” said Assistant Director Chad Yarbrough of the FBI Criminal Investigative Division. “This type of criminal activity undermines the integrity of business practices. The FBI will relentlessly pursue those involved in illegal schemes creating unfair advantages and ensure they face the full consequences of the law.” According to court documents, between 2017 and 2019, BIT Mining, then known as 500.com, admitted that its then-CEO Pan, employees, and agents, agreed to pay approximately $1.9 million in bribes and payments to intermediaries, knowing the money would be used to make bribe payments to Japanese government officials. The purpose of the bribes was to try to help 500.com win a bid to open an integrated resort (a large resort that includes hotels, casinos, retail, dining, convention facilities, and entertainment venues) in Japan. On behalf of 500.com, Pan allegedly engaged third-party consultants to assist 500.com in paying and concealing these bribes. 500.com, through these consultants, paid bribes in the form of cash, travel, entertainment, and gifts. Pan and others allegedly covered up the payment of these bribes by, among other things, entering into sham contracts with the consultants and falsely recording the payments as legitimate expenses, including as management advisory fees. Ultimately, despite carrying out this bribery scheme, 500.com did not win an integrated resort bid in Japan. Pursuant to the DPA, BIT Mining agreed, based on the application of the U.S. Sentencing Guidelines, that the appropriate criminal penalty is $54 million. However, due to BIT Mining’s financial condition and demonstrated inability to pay the penalty calculated under the U.S. Sentencing Guidelines, BIT Mining and the Justice Department agreed, consistent with the department’s inability to pay guidance, that BIT Mining will pay a total criminal penalty of $10 million. The Justice Department has agreed to credit up to $4 million against the civil penalty BIT Mining has agreed to pay to the SEC to resolve a parallel investigation. BIT Mining has also agreed to continue to cooperate with the Fraud Section and the U.S. Attorney’s Office for the District of New Jersey in any ongoing or future criminal investigations. In addition, BIT Mining has agreed to continue to enhance its compliance programs and provide reports to the Justice Department regarding remediation and the implementation of compliance measures for the three-year term of the DPA. The Justice Department reached this resolution with BIT Mining based on a number of factors, including, among others, the nature and seriousness of the offense. BIT Mining received credit for its cooperation with the department’s investigation, which included (i) voluntarily producing relevant documents, financial data, and other information, including from foreign countries, while navigating some foreign data privacy and related criminal laws, accompanied by translations of a limited number of documents; and (ii) providing the government with facts learned during its internal investigation. The cooperation was, however, reactive and limited in degree and impact. BIT Mining engaged in certain timely remedial measures, which included, among other things, (i) increasing governance and oversight of compliance risks and audit findings by the Board of Directors, (ii) promoting compliance and ethics through company-wide communications, (iii) incorporating compliance criteria in performance evaluations for senior management, (iv) conducting annual risk assessments, (v) creating an anti-corruption policy and engaging in company-wide training and communications to promote it, and (vi) transitioning its business model to an industry that presents a lower corruption risk and reducing its presence in high risk regions. In light of these considerations, BIT Mining’s criminal penalty calculated under the U.S. Sentencing Guidelines reflects a 10% reduction off the bottom of the applicable guidelines fine range. The FBI’s International Corruption Unit is investigating the case. Trial Attorneys Jil Simon and Ligia Markman of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Jennifer Kozar for the District of New Jersey are prosecuting the cases. The Justice Department’s Office of International Affairs and authorities in Japan provided assistance in this matter. The Fraud Section is responsible for investigating and prosecuting FCPA and Foreign Extortion Prevention Act matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal-fraud/foreign-corrupt-practices-act . An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. View the deferred prosecution agreement here. View the indictment here. View the information here.


title: Boston Man Sentenced to Prison for Fraudulently Obtaining Nearly $50,000 in COVID-Relief Funds

body_text: BOSTON – A Boston man was sentenced on Nov. 15, 2024 for fraud and false statements charges in connection with a scheme to fraudulently obtain pandemic-related relief funds from the Paycheck Protection Program (PPP) made available under the Coronavirus Aid, Relief, and Economic Security Act. Antawn Davis, 40, was sentenced by U.S. District Court Judge Julia E. Kobick to five months in prison and two years of supervised release. Davis was also ordered to pay $49,999 in restitution and forfeiture. In June 2024, Davis pleaded guilty to one count of wire fraud and one count of making false statements. Davis was arrested in February 2024 along with over 40 alleged Heath Street Gang members/associates, who were charged with racketeering conspiracy; drug trafficking; firearms charges; and financial frauds, including COVID-related fraud. In April and May 2021, Davis submitted fraudulent PPP loan applications on behalf of his purported business. The applications contained multiple false statements, including the purported business’ total gross income in 2020 and the purpose of the loan. Davis also submitted false tax records in support of his loan applications. Based on the fraudulent applications, Davis received approximately $49,999 in PPP loans, which he then spent on non-business-related expenses, including transactions at a casino and at Saks Fifth Avenue. Acting United States Attorney Joshua S. Levy; Boston Police Commissioner Michael Cox; Jonathan Mellone, Special Agent in Charge of Department of Labor, Office of Inspector General; and Harry T. Chavis Jr, Special Agent in Charge of the Internal Revenue Service Criminal Investigations made the announcement today. Assistant U.S. Attorneys Sarah Hoefle and Lucy Sun of the Organized Crime & Gang Unit are prosecuting the case. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF . On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus . Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form .


title: Fraud Perpetrated on a Pandemic Housing Assistance Program Results in Guilty Plea

body_text: WASHINGTON, DC – Geary Simon, 71, of Washington, D.C., entered a guilty plea today to one count of wire fraud in connection with a presidentially declared disaster or emergency and to one count of possession of a firearm by a prohibited person. The guilty plea was entered before U.S. District Judge Dabney L. Friedrich. According to court filings, Simon obtained $38,560 from a D.C. government program called Stronger Together by Assisting You D.C. (STAY DC). The STAY DC program was intended to provide financial assistance to tenants living in the District who needed support during the COVID-19 pandemic to cover their housing and utility expenses due to a loss of income. In April 2021, the city allocated $352 million in federal relief funds for the program. Applicants applied for funds from the STAY DC program via an online portal operated by the D.C. Department of Human Services (DC-DHS). Court filings show that Simon applied to the STAY DC program on June 22, 2021. In his application, SIMON stated that he was a tenant who rented a property in Washington, D.C., located at 2433 H Street, NW; that his landlord was “Robert Sutton”; that Simon owed “Robert Sutton” the sum of $72,000 in past due rent for the months of April 2020 through July 2021; that the telephone number for “Robert Sutton” was (***) ***-6933; and that “Robert Sutton” could be contacted at the email address *******@gmail.com. All of these statements were materially false and misleading. Simon was not a “tenant” at that address; “Robert Sutton” was not Simon’s landlord; Simon did not owe “Robert Sutton” the sum of $72,000 in unpaid rent; and the phone number and email address that Simon provided for “Robert Sutton” were actually for a phone number and email account that Simon created and controlled. Unaware of the fraud, DC-DHS granted Simon’s application for funding and issued Simon a check in the amount of $38,560 that DC-DHS would not otherwise have approved. After receiving those funds from DC-DHS, court documents explain, Simon used those taxpayer-backed relief funds for personal purposes, such as to pay the private school tuition of Simon’s children and to satisfy Simon’s court-ordered child support obligations. On March 14, 2024, law enforcement executed a search warrant at Simon’s personal residence and recovered two firearms. Simon has at least two prior felony convictions, including a conviction for carrying a pistol without a license. By virtue of those prior felonies, Simon was prohibited from possessing any firearms under federal law. A sentencing hearing is scheduled for April 11, 2025. Simon faces a statutory maximum of 30 years in prison on the wire fraud charge and a statutory maximum of 15 years in prison on the firearms possession charge. This case is being investigated by the FBI Washington Field Office. It is being prosecuted by Assistant United States Attorney John W. Borchert.


title: Seven Defendants Charged In Health Care Fraud And Kickback Scheme Involving “Foot Baths”

body_text: HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that the following individuals were indicted by a federal grand jury on charges of conspiracy to commit health care fraud and multiple counts of health care fraud: Frank Suess (a.k.a., Franz P. Suess), age 78, of Wellington, Florida; Luis Salgado, age 50, of Naperville, Illinois and Davenport, Florida; Melissa Driscoll, age 43, of East Stroudsburg, Pennsylvania; Victor Velazco, age 35, of Loxahatchee, Florida; Warren Pizik, age 68, of Davie, Florida; Dave Singh, age 37, of Pembroke Pines, Florida; and Diana Castro, age 53, of Brooklyn, New York. Suess, Salgado, Driscoll, Velazco, and Pizik were also charged with conspiracy to violate the federal anti-kickback statute and with a number of individual violations of the same law. Finally, Suess, Driscoll, and Velazco were charged with conspiracy to obstruct a criminal investigation into health care offenses and falsification of records and information with the intent to obstruct a federal grand jury investigation, and with individual violations of the same laws. According to United States Attorney Gerard M. Karam, the indictment alleges that between 2019 and 2020, all seven defendants conspired to commit health care fraud through an arrangement designed to bill individuals’ health insurances for medically unnecessary prescription drug combinations known as “foot baths.” Foot baths were purported to be an antibiotic and antifungal “foot soak” treatment that patients were supposed to mix together and dissolve in a warm water solution, using a plastic foot tub that was sometimes shipped to them. The combinations of prescription drugs contained in foot baths varied over time, but they generally included high-cost drugs that were not intended for or approved for use in a foot bath, including vancomycin capsules, tobramycin vials, calcipotriene cream, moxifloxacin eye drops, clindamycin phosphate solution, and ketoconazole cream. Vancomycin capsules, for example, were supposed to be prescribed to patients to treat particular conditions, such as MRSA and a type of diarrhea. Instead, foot bath recipients were told to break up the capsules on their own and dissolve the contents in the solution, which was not an approved method of taking the medication. Tobramycin vials were supposed to be used by licensed and trained healthcare professionals to administer injections to patients to treat certain bacterial infections. With foot baths, patients were instead inspected to empty the tobramycin vials into the solution, which was again not an approved method. The cost associated with such drugs was very high. For instance, the insurance for P.B., an individual who was allegedly prescribed foot baths without her consent, was billed $43,209.99 for a one-month supply of tobramycin vials and $12,476.54 for a one-month supply of vancomycin capsules. P.B.’s insurance ultimately paid approximately $4,271.04 for four total insurance claims. Many of these allegedly fraudulent foot bath orders were routed through Sterling Pharmacy, a pharmacy located in Jermyn, Pennsylvania, in the Middle District of Pennsylvania. Melissa Driscoll purchased Sterling Pharmacy in March 2018 using funds that she obtained from Frank Suess, who, along with Victor Velazco, operated a group of companies located at the same address in Wellington, Florida. Sterling Pharmacy was one of a group of pharmacies used to carry out this alleged scheme. In addition, the defendants used unnamed pharmacies located in Texas and Florida as well. Suess and Velazco allegedly used other people to become the owners of these pharmacies on paper in order to conceal their involvement in the business affairs of those pharmacies. Suess and Velazco then used those pharmacies to generate profits by steering high-cost prescription drug mail orders to those pharmacies. When the pharmacies were then investigated for those prescribing practices, Frank Suess, Victor Velazco, and Melissa Driscoll then used various tactics to conceal Suess and Velazco’s use of those the pharmacies to carry out fraud. The indictment alleges that Melissa Driscoll made various misrepresentations over time to conceal how Sterling Pharmacy was doing business, including concealing the pharmacy’s mail order business from suppliers and falsely claiming that the pharmacy had a practice of verifying patient-prescriber relationships before filling prescription orders. The indictment also alleges that Suess, Velazco, and Driscoll engaged in a pattern of conduct to obstruct the government’s investigation into Sterling Pharmacy and to create false business records in order to hide the fraudulent scheme from the government. Specifically, Sterling Pharmacy, through Melissa Driscoll, withheld records that the pharmacy was ordered to provide in response to a federal grand jury subpoena. In addition, Suess, Velazco, and Driscoll created false, backdated documents that were produced to the government via an unnamed attorney who represented them during the relevant time period. These documents made it appear that Sterling Pharmacy had a legitimate agreement with a company known as MedX Marketing Solutions, which was, on paper, supposed to be compensated on an hourly basis for marketing Sterling Pharmacy’s offerings. In reality, Sterling Pharmacy allegedly paid MedX kickbacks for the referral of signed foot-bath order forms for individual beneficiaries. These foot-bath orders were generated using templated forms that were provided to patient recruiters by Luis Salgado, the CEO of MedX. These patient recruiters included a diabetic shoe salesman working at a shopping mall in the area of Scranton, PA, as well as a group of individuals who set up “health fairs” in New York. As a result of health fairs and associated patient recruitment activity in New York, Sterling Pharmacy received hundreds of foot-bath prescription order forms approved by Diana Castro, a podiatrist based in Brooklyn. Castro attended multiple health fairs, where she authorized foot bath orders despite their lack of medical necessity. She was paid for these appearances in cash. A large number of foot-bath orders were processed using the medical identification number of a physician with a name similar to that of Diana Castro. The use of this other medical provider’s National Provider Identifier (“NPI”), without the provider’s knowledge, was accomplished using a signature stamp containing Diana Castro’s name and the other physician’s NPI. This fraudulent activity led to hundreds of foot bath claims being billed and paid out under that provider’s NPI between about December 2019 and the middle of 2020. One health insurance fund paid approximately $685,000 just for these claims. Warren Pizik and Dave Singh allegedly assisted Luis Salgado in the marketing of Sterling Pharmacy’s mail order business and in setting up out-of-state pharmacy licenses. Pizik and Singh also communicated with Salgado, Suess, and Velazco throughout the relevant time period via email and phone. This group regularly exchanged emails with one another, including ones in which patients complained about not wanting foot baths, not knowing Diana Castro or having ever seen a foot doctor, having their insurance “charged a lot of money,” being “freaked out” because there were no instructions regarding what to do with the medications, and being “scared of the box” of foot baths because it contained “such a huge amount of meds.” At times, Driscoll also communicated by email, writing to Velazco to report, “These insurance companies hate foot baths” after receiving “another” payment reversal from an insurance company. It is alleged that Melissa Driscoll, through Sterling Pharmacy, paid MedX $312,192.28 in kickbacks and paid Warren Pizik another $22,000 in kickbacks for MedX referrals. Melissa Driscoll, through Sterling Pharmacy, allegedly paid Frank Suess and Victor Velazco’s companies more than $1 million in additional kickback payments. The indictment contains forfeiture allegations seeking approximately $1.3 million as a money judgment from the defendants. The United States is also seeking forfeiture of the property used by Frank Suess and Victor Velazco to carry out the scheme, which was an office building in Wellington, Florida where their various businesses were located. Finally, the United States is seeking forfeiture of a residential property located in Naperville, Illinois that Luis Salgado purchased using proceeds of the scheme. The case was investigated by the U.S. Department of Health and Human Services Office of Inspector General and the Federal Bureau of Investigation. Assistant U.S. Attorney Ravi Romel Sharma is prosecuting the case. The maximum penalty under federal law for conspiracy to commit health care fraud and for individual violations of the health care fraud statute and the Anti-Kickback Statute is 10 years of imprisonment, a term of supervised release following imprisonment, and a fine, for each offense. The maximum penalty under federal law for conspiracy to violate the Anti-Kickback Statute, for conspiracy to obstruct a health care investigation and falsify records in an investigation, and for obstructing a health care investigation is 5 years of imprisonment, a term of supervised release following imprisonment, and a fine, again for each offense. The maximum penalty under federal law falsifying records in an investigation is 20 years of imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines. Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court. # # #


title: Delco Man Sentenced to More Than 11 Years in Prison for Armed Robbery of Metro by T-Mobile Store in 2022

body_text: PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Jason Donte Hayes, 26, of Clifton Heights, Pennsylvania, was sentenced today by United States District Court Judge Paul S. Diamond to 135 months in prison and five years of supervised release for the armed robbery of a Delaware County cellular phone store. At the time of the crime, Hayes was on state probation for burglary and a previous robbery. In August 2022, Hayes was charged by indictment with one count of robbery interfering with interstate commerce (Hobbs Act robbery) and one count of using and carrying a firearm during and in relation to a crime of violence, pleading guilty to those charges in May of this year. On the afternoon of June 9, 2022, Hayes entered a Metro by T-Mobile store in Clifton Heights, Pa. He initially posed as a customer, asking the store employee about the price of a wireless headset. Shortly thereafter, Hayes pointed a gun at the employee and stated that he “wanted the stuff.” In response, the employee placed the headset into the defendant’s open backpack. “No, the money,” Hayes replied. The employee opened the cash register and put $452 into the defendant’s backpack. Hayes, removing a roll of duct tape from the backpack, ordered the employee to a rear office. He tied the employee to a chair and left the office, then walked out of the store with the headset and cash. The employee was eventually able to free himself and call 911. As part of their investigation, Clifton Heights police obtained numerous video surveillance clips from residences and businesses in the area. They determined that the robber left the store on foot and walked to a Clifton Heights home, which proved to be the defendant’s residence. Details of the robbery and the surveillance footage were disseminated within the Clifton Heights Police Department. Two weeks after the robbery, police officers spotted Hayes in front of his residence and took him into custody. At the time of his arrest, the defendant was wearing the stolen wireless headset and carrying a loaded .45 caliber pistol and ammunition in his backpack. “Terrorizing an employee who’s just trying to earn a living so that you can steal money and merchandise is outrageous,” said U.S. Attorney Romero. “My office, the FBI, and our partners are working every day to hold armed repeat offenders like Mr. Hayes accountable, with the public’s safety our number one priority.” “Armed robberies threaten the safety and security of our communities, undermining the hard work the FBI and its partners put in every day to protect the public," said Wayne A. Jacobs, Special Agent in Charge of FBI Philadelphia. “Today's sentencing sends a clear message: the FBI is steadfast in its commitment to removing violent offenders from our streets and ensuring they face justice." The case was investigated by the Clifton Heights Police Department and FBI Philadelphia’s Newtown Square Resident Agency and is being prosecuted by Special Assistant United States Attorney Sandra M. Urban.


title: New Jersey Woman Sentenced to 30 Months of Imprisonment for Drug Conspiracy

component: USAO - Vermont

body_text: Burlington, Vermont – The United States Attorney’s Office for the District of Vermont stated that on November 18, 2024, Hassanah Delia, 38, of Burlington, New Jersey, was sentenced by Chief United States District Judge Christina Reiss to a term of 30 months’ imprisonment to be followed by a six-year term of supervised release. Delia previously pleaded guilty to conspiring to distribute cocaine base and fentanyl in the District of Vermont in July and August 2023. According to court records, in late July and early August 2023, Hassanah Delia and her co-conspirators occupied the Morrisville, Vermont residence of an individual who suffers from a degenerative illness. Delia occupied the individual's home for approximately a week and a half. Delia and her co-conspirators worked together to sell cocaine base and fentanyl from the house. Inside of the residence, Delia and her co-conspirators also cooked cocaine into cocaine base, and packaged drugs including fentanyl for street-level distribution. Drug customers came to the residence and Delia and others distributed drugs to those customers in exchange for money. United States Attorney Nikolas P. Kerest commended the collaborative investigatory efforts of the Morristown Police Department, the Vermont State Police Drug Task Force, and the Federal Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Zachary Stendig. Delia was represented by Mark Kaplan, Esq. 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. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN .


title: Ohio Woman Pleads Guilty to Federal Drug Crime

component: USAO - West Virginia, Southern

body_text: CHARLESTON, W.Va. – Emariel Kanay Tyler, 20, of Akron, Ohio, pleaded guilty today to use of a communication facility to facilitate a drug trafficking offense. According to court documents and statements made in court, on March 29, 2023, Tyler traveled from a Charleston apartment to a residence in Wyoming County with quantities of methamphetamine and fentanyl. Tyler admitted that she used her cell phone to arrange the sale of the fentanyl to someone at the residence, discussing the meeting location and the prices to be charged for the fentanyl. Tyler exchanged the fentanyl for payment at the meeting location, but further admitted that she returned to Charleston with both the money and the fentanyl. Tyler is scheduled to be sentenced on February 26, 2025, and faces a maximum penalty of four years in prison, up to one year of supervised release, and a $250,000 fine. United States Attorney Will Thompson made the announcement and commended the investigative work of the Charleston Police Department. Senior United States District Judge John T. Copenhaver Jr. presided over the hearing. Assistant United States Attorney Lesley C. Shamblin is prosecuting the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:24-cr-186. ###


title: Former CEO of 500.Com (now Bit Mining Ltd.) Indicted for Role in Bribing Japanese Officials and Bit Mining Ltd. Resolves Foreign Bribery Investigation

body_text: NEWARK, N.J. – An indictment was unsealed today charging the former CEO of 500.com (now BIT Mining Ltd.), Zhengming Pan, a Chinese national, with violations of the Foreign Corrupt Practices Act (FCPA). BIT Mining Ltd. has agreed to resolve investigations by the Justice Department and the Securities and Exchange Commission (SEC) into related FCPA violations arising from the company’s participation in a corrupt scheme to pay bribes to Japanese government officials. BIT Mining entered into a three-year deferred prosecution agreement (DPA) in connection with a criminal information filed in the District of New Jersey charging BIT Mining with one count of conspiracy to violate the anti-bribery and books and records provisions of the FCPA and one count of violating the books and records provisions of the FCPA. A federal grand jury in the District of New Jersey returned an indictment against Pan on June 18. Pan is charged with one count of conspiracy to violate the anti-bribery and books and records provisions of the FCPA, one count of violating the anti-bribery provisions of the FCPA, and two counts of violating the books and records provisions of the FCPA. “Paying bribes to foreign government officials is a serious crime. The top leadership of BIT Mining, then known as 500.com, directed consultants to pay bribes to Japanese government officials to win a bid to open a large resort in Japan. The illegal scheme started at the top, with the company’s CEO allegedly fully involved in directing the illicit payments and the subsequent efforts to conceal them. The company has admitted its crimes and agreed to pay a $10 million penalty, and its then-CEO has been charged for his role in the scheme. This agreement and indictment hold both the corporation as an entity and its top leadership accountable.” U.S. Attorney Philip R. Sellinger “BIT Mining, under the alleged direction of then-CEO Zhengming Pan, agreed to pay nearly $2 million in bribes to Japanese government officials to win a contract to open a lucrative resort and casino in Japan,” Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division, said. “Pan has been indicted for his alleged role in directing company consultants to pay the bribes and to conceal the illicit payments through sham consulting contracts. Today’s resolution and the charges against Pan demonstrate the department’s continued commitment to holding both corporate and individual wrongdoers accountable for their crimes.” “Today’s indictment against the former CEO of BIT Mining for bribing Japanese officials highlights the FBI’s commitment to holding individuals accountable for illegal conduct,” Assistant Director Chad Yarbrough of the FBI Criminal Investigative Division said. “This type of criminal activity undermines the integrity of business practices. The FBI will relentlessly pursue those involved in illegal schemes creating unfair advantages and ensure they face the full consequences of the law.” According to court documents, between 2017 and 2019, BIT Mining, then known as 500.com, admitted that its -CEO Pan, employees, and agents, agreed to pay approximately $1.9 million in bribes and payments to intermediaries, knowing the money would be used to make bribe payments to Japanese government officials. The purpose of the bribes was to try to help 500.com win a bid to open an integrated resort (a large resort that includes hotels, casinos, retail, dining, convention facilities, and entertainment venues) in Japan. On behalf of 500.com, Pan allegedly engaged third-party consultants to assist 500.com in paying and concealing these bribes. 500.com, through these consultants, paid bribes in the form of cash, travel, entertainment, and gifts. Pan and others allegedly covered up the payment of these bribes by, among other things, entering into sham contracts with the consultants and falsely recording the payments as legitimate expenses, including as management advisory fees. Ultimately, despite carrying out this bribery scheme, 500.com did not win an integrated resort bid in Japan. Pursuant to the DPA, BIT Mining agreed, based on the application of the U.S. Sentencing Guidelines, that the appropriate criminal penalty is $54 million. However, due to BIT Mining’s financial condition and demonstrated inability to pay the penalty calculated under the U.S. Sentencing Guidelines, BIT Mining and the Justice Department agreed, consistent with the department’s inability to pay guidance, that BIT Mining will pay a total criminal penalty of $10 million. The Justice Department has agreed to credit up to $4 million against the civil penalty BIT Mining has agreed to pay to the SEC to resolve a parallel investigation. BIT Mining has also agreed to continue to cooperate with the Fraud Section and the U.S. Attorney’s Office for the District of New Jersey in any ongoing or future criminal investigations. In addition, BIT Mining has agreed to continue to enhance its compliance programs and provide reports to the Justice Department regarding remediation and the implementation of compliance measures for the three-year term of the DPA. The Justice Department reached this resolution with BIT Mining based on a number of factors, including, among others, the nature and seriousness of the offense. BIT Mining received credit for its cooperation with the department’s investigation, which included (i) voluntarily producing relevant documents, financial data, and other information, including from foreign countries, while navigating some foreign data privacy and related criminal laws, accompanied by translations of a limited number of documents; and (ii) providing the government with facts learned during its internal investigation. The cooperation was, however, reactive and limited in degree and impact. BIT Mining engaged in certain timely remedial measures, which included, among other things, (i) increasing governance and oversight of compliance risks and audit findings by the Board of Directors, (ii) promoting compliance and ethics through company-wide communications, (iii) incorporating compliance criteria in performance evaluations for senior management, (iv) conducting annual risk assessments, (v) creating an anti-corruption policy and engaging in company-wide training and communications to promote it, and (vi) transitioning its business model to an industry that presents a lower corruption risk and reducing its presence in high risk regions. In light of these considerations, BIT Mining’s criminal penalty calculated under the U.S. Sentencing Guidelines reflects a 10% reduction off the bottom of the applicable guidelines fine range. The FBI’s International Corruption Unit is investigating the case. Assistant U.S. Attorney Jennifer Kozar for the District of New Jersey and Trial Attorneys Jil Simon and Ligia Markman of the Criminal Division’s Fraud Section are prosecuting the cases. The Justice Department’s Office of International Affairs and authorities in Japan provided assistance in this matter. The Fraud Section is responsible for investigating and prosecuting FCPA and Foreign Extortion Prevention Act matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal-fraud/foreign-corrupt-practices-act . An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Mary Mahoney’s Old French House and Manager Sentenced for Conspiracy and Misbranding of Seafood

component: ENRD - Environmental Crimes Section

body_text: Gulfport, MS – A Mississippi corporation operating as Mary Mahoney’s Old French House restaurant in Biloxi, Mississippi, and its co-owner and manager, Anthony Charles Cvitanovich, were sentenced today on charges arising from their participation in a long-standing conspiracy to misbrand seafood by substituting inexpensive imported fish for the local premium species they advertised and declared on their menus. The court accepted the terms of a plea agreement Mary Mahoney’s reached with the government and sentenced the company to five years of probation and ordered it to pay a total penalty of $1,499,000, which included $149,000 as a criminal fine and $1,350,000 in forfeiture for some of the proceeds it had obtained from its fraudulent sales of seafood to its customers. The Court also imposed special conditions of supervision, to include that Mary Mahoney’s maintain for no less than five years, records describing the species, sources, and the cost of the seafood it acquires for sale to its customers, and that it make these records available to any federal, state, or local governmental authority that regulates or monitors the service and distribution of food for human consumption and to any such agency that regulates the harvesting, storage, labeling, or sale of seafood. The Court also ordered as a condition of supervision that Mary Mahoney’s shall answer truthfully any inquiry from any governmental agency and from any customer as to the species, source, and cost of any seafood it prepares, serves, sells or advertises for sale. On May 30, 2024, Mary Mahoney’s pled guilty to a felony charging the corporation with conspiracy to misbrand seafood and wire fraud in connection with a scheme that began as early as 2002 and continued through November of 2019. Mahoney’s, founded in 1962, admitted that between December 2013 and November 2019, the company and its co-conspirators at a Biloxi seafood wholesaler fraudulently sold as local premium species approximately 58,750 pounds (over 29 tons) of fish that was actually frozen and imported from Africa, India, and South America. Mahoney’s co-owner/manager, Anthony Charles Cvitanovich, 55, was sentenced to three years of probation and 4 months of home detention. He was also ordered to pay a $10,000 fine. On May 30, 2024, Mr. Cvitanovich pled guilty to a felony Information charging him with misbranding of seafood during 2018 and 2019. “Misbranding foreign seafood as premium, locally caught fish hurts the Gulf Coast seafood industry and defrauds customers that paid to taste the real thing,” said U.S. Attorney Todd Gee. “This investigation and today’s sentence will hopefully send a message that the Department of Justice is serious about holding businesses accountable that mislabel food sources.” U.S. Attorney Todd W. Gee of the Southern District of Mississippi and Environment and Natural Resources Division Assistant Attorney General Todd Kim made the announcement. The Food and Drug Administration - Office of Criminal Investigations initiated the case. Assistant U.S. Attorney Andrea C. Jones and Senior Trial Attorney Jeremy F. Korzenik of the Justice Department's Environment and Natural Resources Division are prosecuting the case. In related charges, the Biloxi seafood wholesaler Quality Poultry and Seafood and two of its managers are scheduled for sentencing on Monday, December 11, 2024.


title: U.S. Attorney's Office and Second Judicial District Attorney’s Office Collaborate to Secure Sentencing in Albuquerque Drug and Gun Case

component: USAO - New Mexico

body_text: ALBUQUERQUE – A Mexican national was sentenced to 11 years in prison for federal drug and firearms offenses, following his arrest by New Mexico State Police agents in December 2022. There is no parole in the federal system. According to court documents, on December 6, 2022, a New Mexico State Police Agent patrolling in Albuquerque identified a stolen pickup truck parked at the Sun apartment complex. The vehicle had been reported stolen by the Los Lunas Police Department on November 16, 2022. Agents followed the truck, deployed a tire deflation device, and arrested the driver, Mario Figueroa-Camarillo , 40, when he stopped. During the arrest, officers seized a loaded 9mm magazine, two cell phones, and $1,786 in cash from Figueroa-Camarillo’s person. Figueroa-Camarillo was wearing a GPS ankle monitor as a condition of pretrial release in a case pending at that time in the Second Judicial District Court. A search of the truck revealed approximately 66 grams of methamphetamine, 18 fentanyl pills, a digital scale, a loaded Taurus 9mm pistol, and a GPS charging device. After completing his term of imprisonment, Figueroa-Camarillo will be subject to deportation proceedings. U.S. Attorney Alexander M.M. Uballez and Bernalillo County District Attorney Sam Bregman made the announcement today. The U.S. Immigration and Customs Enforcement and New Mexico State Police investigated this case. Special Assistant U.S. Attorney Peter Haynes prosecuted the case as part of an agreement with the Second Judicial District Attorney’s Office. Through the agreement, Assistant District Attorneys are designated Special Assistant United States Attorneys (SAUSAs) in the United States Attorney’s Office. The SAUSA from the Second Judicial District Attorney’s Office screens felony criminal complaints filed in Bernalillo County for federal criminal offenses, prioritizing federal charges against those who drive violence in the Albuquerque metropolitan area. Since 2020, the United States Attorney’s Office has reviewed almost 3,000 cases and has charged more than 300 criminal cases pursuant to this program. The United States Attorney’s Office has similar agreements with the New Mexico Department of Justice and the First Judicial District Attorney’s Office and plans to expand the program throughout the state. # # #


title: Man with Lengthy Criminal Record Sentenced to Over Five Years in Prison for March 2023 Armed Robbery

body_text: BOSTON – A Cambridge man as sentenced on Nov. 14, 2024 in federal court in Boston for the March 20, 2023, armed robbery of the JP Wireless store in Jamaica Plain, Mass. Royal Benjamin, 64, was sentenced by U.S. District Court Judge Indira Talwani to 70 months in prison, to be followed by three years of supervised release. In August 2024, Benjamin pleaded guilty to one count of Hobbs Act robbery. In September 2023, Benjamin was charged by criminal complaint. On March 20, 2023, Benjamin robbed an individual in the Downtown Crossing subway station of a bag containing two pairs of Puma sneakers. Benjamin then traveled to JP Wireless in Jamaica Plain and offered to sell the sneakers to a store employee. When the store employee stated he did not want to buy the sneakers, Benjamin removed a handgun from his waistband and rushed behind the counter pointing the handgun at the store employee. Once behind the counter, Benjamin took $594.00 in cash that was sitting on top of the register. Benjamin then removed the drawer, dropping it and its contents on the ground. Benjamin’s fingerprints were later located on the cash register drawer. Benjamin then fled the store, threatening to shoot the store employee. During a search of Benjamin’s bedroom at a house in Cambridge, a loaded handgun was recovered. According to court records, Benjamin has a lengthy criminal record dating back to 1978, when he was 18years-old. His criminal record includes the following convictions and sentences: a 1978 conviction in Alabama for Strong Armed Robbery, for which he was sentenced to 10 years (Benjamin escaped from prison); a 1985 conviction in the Roxbury District Court for Assault Dangerous Weapon, for which he received a sentence of “Filed;” a 1985 conviction in Suffolk Superior Court for Armed Robbery, for which he was sentenced to four to six years; a 1984 conviction in Suffolk Superior Court for Manslaughter and Armed Robbery, for which he received a sentence of 18 to 20 years; 1994 convictions in the Suffolk Superior Court for Robbery and Possession of a Class B controlled Substance, for which he received a sentence of four to six years; a 2001 conviction in Suffolk Superior Court for Armed Robbery, for which he was sentenced to seven to nine years; a 2010 conviction in Suffolk Superior Court for Robbery, for which he was sentenced to 10 to 12 years; and a 2024 conviction in the Boston Municipal Court for Larceny from a Person, for which he received a sentence of 90 days. Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Valuable assistance was provided by the Massachusetts Bay Transit Authority Police Department; the Suffolk County District Attorney’s Office; and the Boston and Cambridge Police Departments. Assistant U.S. Attorneys Meghan C. Cleary and David G. Tobin of the Major Crimes Unit prosecuted the case.


title: Jury Convicts Two Miami Residents for Involvement in  Multi-Defendant PPP Scheme

component: USAO - Florida, Southern

body_text: MIAMI – On Nov. 8, a federal jury convicted Lazaro Verdecia Hernandez, 37, and Yadier Rodriguez Arteaga, 41, both of Miami, of conspiracy to commit wire fraud, conspiracy to commit money laundering, and money laundering, in connection with a scheme to obtain fraudulent loans under the Paycheck Protection Program (PPP). Verdecia was also convicted of wire fraud. Verdecia and co-conspirator Heidi Cid submitted over 63 fraudulent PPP loan applications. In the loan paperwork, they made the applicants appear eligible for pandemic relief by falsifying the number of the companies’ employees and included forged documents. As a result of the fraudulent submissions, lenders disbursed over 14.5 million dollars to bank accounts controlled by the individuals, who then withdraw the money and gave Verdecia, Cid, and Hernandez their cut. Co-conspirator Cid previously pled guilty for her involvement in the scheme and is pending sentencing. Verdecia and Arteaga are scheduled to be sentenced on Feb. 3, 2025, before U.S. Senior District Judge Robert N. Scola. Verdecia and Arteaga face up to 20 years in prison on the conspiracy and fraud counts and ten years on the money laundering counts. Verdecia faces up to 20 years in prison on the substantive wire fraud count of conviction. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Rafael Barros for the U. S. Secret Service (USSS), Special Agent in Charge Edwin S. Bonano for the Federal Housing Finance Agency, Office of Inspector General (FHFA OIG), and Special Agent in Charge Amaleka McCall-Brathwaite, U.S. Small Business Administration Office of Inspector General (SBA OIG), Eastern Region, made the announcement. USSS Miami and FHFA OIG investigated the case with the assistance of SBA OIG. Assistant U.S. Attorneys Thomas Haggerty and Eli Rubin are prosecuting the case. Assistant U.S. Attorney Sarah Klco is handling asset forfeiture. The following cases were previously charged in relation to the fraud scheme: U.S. v. Roberto Lopez, Kenia Carrillo, Lester Hedman Safont, Oreste Ruiz Linares, Honolio Navarro Caballero, Barbara Alvarez, Javier Pico, Alfredo Contrera, and Erisbel Gonzalez Gomez, Case No. 22-cr-20368; U.S. v. Nancy Bahos Serna, Case No. 23-cr-20310 (This case is being prosecuted by AUSA Daniel Bernstein.); U.S. v. Jorge Trueba Lopez, Case No. 21-cr-20382; U.S. v. Nancy Saavedra Torres, Case No. 21-cr-20225; U.S. v. Giraldo Caraballo, Case No. 21-cr-20264; U.S. v. Felix Martinez and Yailin Perez, Case No. 21-cr-20276; U.S. v. Yoliesse Sarmiento Carrion, Case No. 22-cr-20530; U.S. v. Osiel Rodriguez Furgel, Case No. 21-cr-20251; and U.S. v. Leonardo Gonzalez Lopez, Case No. 23-cr-20113. Each of the aforementioned defendants pled guilty, except for Javier Pico and Erisbel Gonzalez Gomez who are fugitives. In March 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Among other sources of relief, the CARES Act authorized and provided funding to the SBA to provide Economic Injury Disaster Loans (EIDLs) to eligible small businesses, including sole proprietorships and independent contractors, experiencing substantial financial disruptions due to the COVID-19 pandemic to allow them to meet financial obligations and operating expenses that could otherwise have been met had the disaster not occurred. EIDL applications were submitted directly to the SBA via the SBA’s online application website, and the applications were processed and the loans funded for qualifying applicants directly by the SBA. On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus . On Sep. 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. For more information on the department’s response to the pandemic, please click here . Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form . 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 23-cr-20421. ###


title: Brevard County Man Sentenced To More Than 8 Years In Federal Prison For Distributing Fentanyl

component: USAO - Florida, Middle

body_text: Orlando, Florida – U.S. District Judge Julie S. Sneed has sentenced Jaylun Ramon Brown (30, Melbourne) to eight years and four months in federal prison for distributing fentanyl. Brown pled guilty on August 14, 2024. According to court documents, a confidential source was used to conduct controlled purchases of fentanyl from Brown in 2024, first through a middleman, then directly from Brown. The controlled purchases revealed that Brown could distribute ounce and multiple ounce quantities of fentanyl at a time. A search warrant was also executed at Brown’s residence, resulting in the recovery of additional fentanyl. Much of the fentanyl distributed by Brown was adulterated with xylazine, also known to as “tranq,” “tranq dope,” and “zombie drug,” which was created as an animal tranquilizer for veterinary procedures and is not suitable or authorized for use in humans due to causing respiratory depression and low blood pressure. This case was investigated by the Drug Enforcement Administration, the Palm Bay Police Department, and the Melbourne Police Department. It was prosecuted by Assistant United States Attorney Megan Testerman.