Month: April 2022

Source: United States Department of Justice News

The Justice Department filed an amended complaint today in the U.S. District Court for the District of Arizona to add American Vision Partners (AVP) as a co-defendant in the department’s lawsuit against Barnet Dulaney Perkins Eye Center (BDP). The amended complaint alleges that AVP and BDP discriminate against patients who, because of their disabilities, need assistance transferring from their wheelchairs for eye surgery.

AVP provides management, training, policies and guidance, staff, infrastructure and technology to BDP and other eye care medical practices with nearly 80 facilities in Arizona, New Mexico, Nevada and Texas including: Southwestern Eye Center, M & M Eye Institute, Retinol Consultants of Arizona, Abrams Eye Institute, Southwest Eye Institute, Aiello Eye Institute, Havasu Eye Center, Visage Aesthetics and Plastic Surgery and Moretsky Cassidy Vision Correction.

In its original complaint, the department alleged that BDP required patients with disabilities who need transfer assistance to use and pay for third party medical transport and transfer assistance as a condition of surgery, in violation of the Americans with Disabilities Act (ADA). The amended complaint adds allegations that AVP and BDP have also denied eye surgery outright to patients who need transfer assistance. The United States alleges that this discriminatory practice delays needed medical care and results in significant harms to individuals who need eye surgery, including continued eye pain, vision loss and a loss of independence.

“No one should be refused healthcare services simply because they need help transferring from a wheelchair to a surgery table,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Denial of needed surgery based on unfounded assumptions and stereotypes about disability violates the ADA and devalues the lives, health, dignity and independence of individuals with disabilities.”

The department is asking the court to stop AVP and BDP from discriminating against individuals with disabilities, including by adopting non-discriminatory polices related to transfer assistance and training its staff to provide patients with wheelchairs transfer assistance. The department also seeks money damages for those people who were harmed by AVP’s and BDP’s discriminatory policies and practices, including those who were denied medical services and those who were forced to pay for third-party transfer assistance in order to get surgery services.  

In addition to BDP, AVP partner practices include Southwestern Eye Center, M & M Eye Institute, Retinol Consultants of Arizona, Abrams Eye Institute, Southwest Eye Institute, Aiello Eye Institute, Havasu Eye Center, Visage Aesthetics and Plastic Surgery and Moretsky Cassidy Vision Correction. If you believe that you or someone you know was denied medical services by an AVP partner practice or BDP because of needed transfer assistance or was required to pay for third-party medical personnel to provide transfer assistance or transportation at an AVP partner practice or BDP, please contact 1-866-380-2003 (toll-free), or send an email to BDPEyeCenter@usdoj.gov. For more information on the ADA, please call the Department’s toll-free ADA Information Line at 1-800-514-0301 (TDD 800-514-0383) or visit www.ada.gov. For more information on the Civil Rights Division, please visit www.justice.gov/crt.

Source: United States Department of Justice News

PORTLAND, Ore.—A Warrenton, Oregon man was sentenced to 17 years in federal prison today for sexually exploiting at least two children he met online.

Kirk Richard Cazee, 60, was sentenced to 204 months in federal prison followed by a 99-year term of supervised release.

According to court documents, in 2010, the Oregon Department of Justice received a tip that child pornography was being exchanged with an email address later determined to belong to Cazee. After obtaining a search warrant for the email account, investigators located emails wherein Cazee pretended to be a teenage boy or young adult to manipulate and deceive his minor victims. Between September 2006 and March 2010, Cazee persuaded multiple minor victims under the age of 16 to produce and send him sexually explicit content. In at least one instance, Cazee mailed a web cam and teddy bear to a minor victim and convinced her to produce sexually explicit videos for him using the web cam. 

On September 27, 2018, a federal grand jury in Portland returned a 10-count indictment charging Cazee with production, receipt, transportation and possession of child pornography. On April 27, 2021, he pleaded guilty to two counts of production of child pornography.

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Scott Erik Asphaug for the District of Oregon and Special Agent in Charge Kieran L. Ramsey of the FBI’s Portland Field Office made the announcement.

This case was investigated by the Oregon Department of Justice Internet Crimes Against Children task force with assistance from the FBI Salem Child Exploitation Task Force, Clatsop County Sheriff’s Office and the Astoria Police Department. It was prosecuted by Trial Attorney Kaylynn Foulon of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and Assistant U.S. Attorneys Natalie K. Wight and Rachel Sowray from the District of Oregon.

Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at 1-800-CALL-FBI (1-800-225-5324) or submit a tip online at tips.fbi.gov.

Federal law defines child pornography as any visual depiction of sexually explicit conduct involving a minor. Child sexual abuse material depicts actual crimes being committed against children. Not only do these images and videos document victims’ exploitation and abuse, but when shared across the internet, child victims suffer re-victimization each time the image of their abuse is viewed. To learn more, please visit the National Center for Missing & Exploited Children’s website at www.missingkids.org.

The FBI CETF conducts sexual exploitation investigations, many of them undercover, in coordination with federal, state and local law enforcement agencies. CETF is committed to locating and arresting those who prey on children as well as recovering and assisting victims of sex trafficking and child exploitation.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Justice Department to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Source: United States Department of Justice News

Springbok Health Inc., a medical clinic with locations in Colorado Springs and Pueblo West, Colorado, and Mark Jankelow, Springbok’s owner and Chief Executive Officer, have agreed to pay at least $125,000, and up to as much as $335,494, to resolve allegations they violated the False Claims Act by billing Medicare and Medicaid for high-complexity and prolonged medical evaluation and management services when such services were not rendered.

Between 2017 and 2019, Springbok and Jankelow allegedly billed Medicare and Medicaid for expensive medical evaluation and management services when, at most, less expensive counseling services were provided. The resolution is based on Springbok’s and Jankelow’s ability to pay.

“Billing Medicare and Medicaid for more expensive services than were actually rendered depletes the limited resources of these vital health care programs,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Department of Justice’s Civil Division. “We will continue to safeguard taxpayer dollars and hold accountable those who knowingly misuse such funds.”  

“Providing substance abuse treatment is a vital tool in combating the opioid epidemic devastating Colorado communities,” said U.S. Attorney Cole Finegan for the District of Colorado. “But offering treatment to addicts does not excuse fraud. Our office will continue to pursue claims against providers whose fraudulent billing practices take valuable resources away from victims of the opioid crisis.”

“Providers who submit false claims to Medicare and Medicaid for their financial gain undermine the economy and integrity of federal health care programs,” said Special Agent in Charge Curt L. Muller of the Department of Health and Human Services, Office of the Inspector General (HHS-OIG). “We will continue to work with our law enforcement partners to prevent the waste of valuable taxpayer dollars.”

The civil settlement includes the resolution of an action brought under the qui tam or whistleblower provisions of the False Claims Act against Springbok and Jankelow. These provisions permit a private party to file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. Chaudhry v. Springbok Health Inc., No. 18-cv-00999 (D. Colo.). Ms. Chaudhry will receive at least $22,500, and up to as much as $60,389, as her share of the settlement.

The resolutions obtained in this matter were the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section; the U.S. Attorney’s Office for the District of Colorado; HHS-OIG; and the Colorado Attorney General’s Medicaid Fraud Control Unit.

The claims settled by this agreement are allegations only and there has been no determination of liability.

Source: United States Department of Justice News

PHOENIX, Ariz. – The U.S. Attorney’s Office, District of Arizona, announced today that federal criminal charges have been filed against 11 individuals for theft of government property in connection with an investigation into stolen Social Security Administration (SSA) benefit payments.

The SSA Office of Inspector General conducted the investigation to locate and collect SSA benefit payments that were disbursed to individuals later determined to be deceased. In some cases, these payments continued for years, with no one notifying the SSA of the beneficiary’s death. In addition to the criminal cases listed below resulting in the theft of more than $1.3 million, the SSA was able to use its debt collection and reclamation authority to recover $1,195,333 in nine other matters that were resolved without criminal charges.

The investigation also uncovered evidence of fraud and misuse of SSA benefit payments—often by relatives of the deceased beneficiaries—resulting in felony and misdemeanor charges in the following cases:

United States v. Patricia Munson, Case No. CR-21-00622-PHX-JZB

United States v. Douglas Pasley, Case No. CR-21-00683-PHX-MTM

United States v. Tamara Head, Case No. CR-21-00693-PHX-ESW

United States v. Marva Martin, Case No. CR-21-00716-PHX-SMB

United States v. Dennis Diaz, Case No. CR-21-00842-PHX-MTL

United States v. Kristy Schlueter, Case No. CR-21-00843-PHX-MTL

United States v. Freda Hunt, Case No. CR-21-00844-PHX-DLR

United States v. Karen Hardesty, Case No. CR-21-00919-PHX-MTL

United States v. Joseph McCullough, Case No. CR-21-00950-PHX-ESW

United States v. Carol Harmon, Case No. CR-21-01051-PHX-MHB

United States v. Diana Fast, Case No. CR-22-00279-PHX-JJT

A conviction for theft of public money carries a maximum penalty of 10 years of imprisonment, a $250,000 fine, or both.

An indictment is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until competent evidence is presented to a jury that establishes guilt beyond a reasonable doubt.

The Social Security Administration Office of Inspector General conducted the investigation in this case. The U.S. Attorney’s Office, District of Arizona, Phoenix, is handling the prosecution.

RELEASE NUMBER:           2022-045_SSA Fraud

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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.

Source: United States Department of Justice News

Two Indiana men have pleaded guilty to federal crimes for their roles in paying and receiving secret political contributions through a middleman.

Today, a former Indianapolis-based casino executive pleaded guilty to causing false statements on the casino’s corporate tax return by concealing contributions to a local political party as deductible business expenses. Additionally, a 2016 candidate for U.S. Congress, charged in the same indictment, pleaded guilty last week to making and receiving illegal conduit contributions through sham donors and making false statements to the FBI.

According to court documents, John Keeler, 72, of Indianapolis, former vice president and general counsel of gaming company New Centaur LLC, funneled $41,000 in New Centaur corporate funds to Maryland-based political consultant Kelley Rogers and an entity under his control for the purpose of contributing the funds to the Greater Indianapolis Republican Finance Committee to benefit the Marion County Republican Central Committee. Keeler then caused New Centaur to falsely report the political contribution to the IRS as a deductible business expense.  

In addition, Darryl Brent Waltz, 48, of Greenwood, a former Indiana State Senator and 2016 candidate for U.S. Congress, pleaded guilty last week to funneling $40,500 in illegal conduit contributions to his 2016 congressional campaign. Waltz and Rogers directed corporate funds from New Centaur into the Brent Waltz for Congress campaign through several straw contributors and through Waltz himself. Waltz also lied to and misled federal authorities who were investigating the illegal contributions.

Both defendants are scheduled to be sentenced at a later date. Waltz faces up to 10 years in prison and Keeler faces up to three years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

FBI and IRS-Criminal Investigation investigated the cases.

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Zachary A. Myers for the Southern District of Indiana, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, Assistant Director in Charge Steven D’Antuono of the of the FBI’s Washington Field Office, and Special Agent in Charge Justin Campbell of IRS-Criminal Investigation Chicago Field Office made the announcement.

Trial Attorneys William J. Gullotta and John P. Taddei of the Criminal Division’s Public Integrity Section and Senior Litigation Counsel Bradley P. Shepard for the Southern District of Indiana are prosecuting the cases.