Month: August 2022

Source: United States Department of Justice News

Damian Williams, the United States Attorney for the Southern District of New York, Michael J. Driscoll, Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Keechant L. Sewell, Police Commissioner for the City of New York (“NYPD”), announced today that JEAN CARMONA was charged with racketeering conspiracy, murder in aid of racketeering, committing violent crimes in aid of racketeering, and firearms offenses. As alleged, CARMONA is a member of a street gang known as “the 200s,” operating in and around upper Manhattan. On January 31, 2019, CARMONA and other 200s members traveled to another neighborhood, murdered Roberto Vasquez and attempted to murder a second individual. Vasquez and the second victim were innocent bystanders mistaken for rival gang members. CARMONA was in custody in Bergen County, New Jersey and was transferred into federal custody today. He will be presented this afternoon in Manhattan federal court.  The case has been assigned to United States District Judge Paul G. Gardephe.

U.S. Attorney Damian Williams said:  “Carmona allegedly participated in a callous, gang-related murder of an innocent bystander whose only offense was wanting to go home. Carmona’s callous actions not only took Roberto Vasquez’ life, but also led to a second innocent bystander being shot as well.  We hope that today’s charges bring some measure of comfort to the families of the victims and make clear that this Office and our law enforcement partners will continue to be relentless in our pursuit of anyone who takes another person’s life.”

FBI Assistant Director Michael J. Driscoll said:  “As alleged, Mr. Carmona is a member of the 200’s street gang who participated in the 2019 murder of Roberto Vasquez, an innocent victim mistaken for a rival gang member, in Upper Manhattan.  Our communities deserve far better than to live in fear of criminal gangs.  As the scourge of gang violence continues to plague the streets of our city, the FBI and our partners with the NYPD will continue to be relentless in our pursuit of the criminals responsible for these violent acts.”

NYPD Commissioner Keechant L. Sewell said:  “Today’s charges demonstrate that as long as people are involved in the violence and other illegal activities so often associated with gang life, the NYPD and our law-enforcement partners will be relentless in holding them fully accountable. I want to commend and thank our colleagues in the FBI and the U.S. Attorney’s Office for the Southern District of New York for their hard work in furthering this cause.”

According to the allegations in the Indictment unsealed today in Manhattan federal court[1]:

From at least in or about 2017 up to and including June 2022, in the Southern District of New York and elsewhere, JEAN CARMONA was a member of the 200s street gang. In order to fund the gang, protect its territory, and promote its standing, members of the 200 engaged in, among other things, narcotics trafficking and other acts of violence, including murder. 200 members sold marijuana in the gang’s territory and engaged in shootings as part of their gang membership.  In particular, on January 31, 2019, CARMONA participated in the shooting and murder of Roberto Vasquez and the non-fatal shooting of a second individual, who were innocent bystanders mistaken for rival gang members, in the vicinity of 158th Street and Broadway Avenue, in Manhattan, New York.

*                *                *

CARMONA, 31, is charged with one count of racketeering conspiracy, which carries a maximum term of life in prison; one count of murder in aid of racketeering, which carries a mandatory minimum term of life in prison or death; one count of causing death through use of a firearm, which carries a mandatory minimum sentence of five years in prison and a maximum of life in prison or death; one count of committing violent crimes in aid of racketeering, which carries a maximum term of 20 years in prison; and one count of carrying, brandishing, and discharging a firearm in connection with a crime of violence, which caries a mandatory minimum term of 10 years in prison and a maximum sentence of life in prison.

The minimum and maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.

Mr. Williams praised the outstanding investigative work of the FBI and NYPD.

The case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Mathew Andrews, Rushmi Bhaskaran, and Elizabeth Espinosa are in charge of the prosecution.

The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.    

Source: United States Department of Justice Criminal Division

Three Nigerian citizens were extradited from the United Kingdom (UK) and arrived in the United States in relation to their alleged participation in multimillion-dollar cyber-enabled business email compromise (BEC) fraud schemes in the Western District of North Carolina, Southern District of Texas and Eastern District of Virginia. The scams allegedly perpetrated by the defendants and their co-conspirators targeted unsuspecting victims including universities in North Carolina, Texas and Virginia, and attempted to cause more than $5 million in losses.

BEC, also known as “cyber-enabled financial fraud,” is a sophisticated scam often targeting employees with access to company finances, businesses working with foreign suppliers and/or businesses that regularly perform wire transfer payments. The same criminal organizations that perpetrate BEC also exploit individual victims, often real estate purchasers, the elderly, and others, by convincing them to make wire transfers to bank accounts controlled by the criminals. This is often accomplished by impersonating a key employee or business partner after obtaining access to that person’s email account or sometimes done through romance and lottery scams. BEC scams may involve fraudulent requests for checks rather than wire transfers; they may target sensitive information such as personally identifiable information (PII) or employee tax records instead of, or in addition to, money; and they may not involve an actual “compromise” of an email account or computer network. Foreign citizens perpetrate many BEC scams. Those individuals are often members of transnational criminal organizations, which originated in Nigeria but have spread throughout the world.

Western District of North Carolina

Oludayo Kolawole John Adeagbo aka John Edwards and John Dayo, 43, a Nigerian citizen and UK resident, and Donald Ikenna Echeazu aka Donald Smith and Donald Dodient, 40, a dual UK and Nigerian citizen, are charged with wire fraud conspiracy, money laundering conspiracy and aggravated identity theft for defrauding a North Carolina university (the University) of more than $1.9 million via a business email compromise scheme. The indictment was returned by a federal grand jury in the Western District of North Carolina on April 17, 2019, and was unsealed yesterday following Echeazu’s initial appearance in federal court in Charlotte.

According to allegations contained in the indictment, from Aug. 30, 2016, to Jan. 12, 2017, Adeagbo and Echeazu conspired with other individuals to obtain information about significant construction projects occurring throughout the United States, including an ongoing multi-million-dollar project at the victim University. To execute the scheme, the defendants allegedly registered a domain name similar to that of the legitimate construction company in charge of the University’s project and created an email address that closely resembled that of an employee of the construction company. Using the fake email address, the co-conspirators allegedly deceived and directed the University to wire a payment of more than $1.9 million to a bank account controlled by an individual working under the direction of defendants. Upon receiving the payment, the co-conspirators allegedly laundered the stolen proceeds through a series of financial transactions designed to conceal the fraud.

The wire fraud conspiracy charge and the money laundering conspiracy charge each carry a maximum statutory sentence of 20 years in prison. The aggravated identity theft charge carries a mandatory two-year prison sentence consecutive to any other term imposed.

The FBI Charlotte Field Office conducted the investigation. Assistant U.S. Attorney Graham Billings of the Western District of North Carolina is prosecuting the case.

Southern District of Texas

Oludayo Kolawole John Adeagbo aka John Edwards and John Dayo, 43, a Nigerian citizen and UK resident, is also charged in the Southern District of Texas with conspiracy to commit wire fraud and wire fraud. A federal grand jury returned the indictment March 30, 2022, which was unsealed on Aug. 3, 2022 before he was extradited to the United States. 

From November 2016 until July 2018, Adeagbo allegedly conspired with others to participate in cyber-enabled business email compromises in an attempt to steal more than $3 million from victims in Texas, including local government entities, construction companies and a Houston-area college. The indictment alleges Adeagbo and his co-conspirators registered domain names that looked similar to legitimate companies. They then sent emails from those domains pretending to be employees at those companies, according to the charges. The conspirators allegedly sent emails to clients or customers of the companies they impersonated and deceived those customers into sending wire payments to bank accounts they controlled.

Adeagbo faces up to 20 years in prison, if convicted on the charges.

The FBI Houston Cyber Task Force conducted the investigation with the assistance of the FBI Cyber and Criminal Investigative Divisions. The United Kingdom’s National Crime Agency, Metropolitan Police Service, City of London Police and Crown Prosecution Service also provided substantial assistance. Assistant U.S. Attorney Rodolfo Ramirez for the Southern District of Texas is prosecuting the case along with Trial Attorney Brian Mund of the Justice Department’s Criminal Division Computer Crime and Intellectual Property Section (CCIPS).

Eastern District of Virginia

Olabanji Egbinola, 42, is charged with wire fraud, conspiracy to commit wire fraud, money laundering, and conspiracy to commit money laundering.

According to a criminal complaint issued by the U.S. District Court for the Eastern District of Virginia, from Sept. 26, 2018, to Dec. 26, 2018, Egbinola is alleged to have conspired with others to defraud a Virginia-based university. Egbinola and co-conspirators created and used a fraudulent email account that incorporated the name of a construction company that had a large, ongoing contract with the university. Using this email account, Egbinola and co-conspirators deceived the university into transferring $469,819.49 to a bank account controlled by Egbinola and co-conspirators. That money was quickly laundered and transferred overseas through numerous transactions. Evidence obtained during the investigation showed that Egbinola repeatedly accessed the email account used to defraud the Virginia university.

The FBI Richmond Division conducted the investigation. Assistant U.S. Attorney Brian Hood of for the Eastern District of Virginia is prosecuting the case.

All three defendants were arrested April 23, 2020, by UK authorities at the request of the United States and ordered extradited on Sept. 3, 2021. All three defendants filed appeals, all of which were rejected by the UK High Court on July 12, 2022.

The Justice Department’s Office of International Affairs provided substantial assistance in securing the arrest and extradition of all three defendants.

Victims are encouraged to file a complaint online with the IC3 at bec.ic3.gov. The IC3 staff reviews complaints, looking for patterns or other indicators of significant criminal activity, and refers investigative packages of complaints to the appropriate law enforcement authorities in a particular city or region. The FBI provides a variety of resources relating to BEC scams through the IC3, which can be reached at www.ic3.gov. For more information on BEC scams, visit: https://www.fbi.gov/scams-and-safety/common-scams-and-crimes/business-email-compromise.

The charges contained in an indictment are merely allegations, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

Source: United States Department of Justice News

BOSTON – A Lynn man pleaded guilty yesterday in federal court in Boston to stealing money from the mail. 

Juan Murillo, 32, pleaded guilty to one count of theft of mail by an employee of the U.S. Postal Service (USPS). U.S. District Court Judge Allison D. Burroughs scheduled sentencing for Nov. 9, 2022. Murillo was indicted by a federal grand jury on May 3, 2022.

While serving as a City Carrier for the United States Postal Service, Murillo stole two iPads which had been previously delivered to a Harvard University dorm while on his route delivering other mail. Additionally, on or about Sept. 23, 2021, Murillo stole cash from mail that he was supposed to deliver to postal customers. 

The charge of theft of mail by an employee of the U.S. Postal Service provides for a sentence of up to five years in prison, up to three 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.

United States Attorney Rachael S. Rollins and Matthew Modafferi, Special Agent in Charge of the United States Postal Service Office of Inspector General, Northeast Area Office, made the announcement today. Valuable assistance was provided by the Harvard University Police Department. Assistant U.S. Attorney Eugenia M. Carris, Deputy Chief of Rollins’ Public Corruption & Special Prosecutions Unit, is prosecuting the case.

Source: United States Department of Justice News

NEW ORLEANS –  U.S. Attorney Duane A. Evans announced that RICHARD YUAN LI, age 21, a resident of Hercules, California, was sentenced today by United States District Judge Greg G. Guidry to three years of probation and 100 hours of community service for his role in a SIM Swap scam that targeted at least forty people, including a New Orleans-area physician (Victim A).  Additionally, Judge Guidry sentenced LI to pay restitution in the amount of $61,117,50 and pay a mandatory $100 special assessment fee.

Source: United States Department of Justice News

INDIANAPOLIS – American Senior Communities, L.L.C. (ASC), a provider of skilled nursing and long-term care services throughout Indiana, has agreed to pay $5,591,044.66 to resolve allegations that it violated the False Claims Act by submitting false claims to the Medicare program.

In 2017, a former employee of a hospice services company doing business with ASC filed a sealed civil complaint or “whistleblower” lawsuit under the False Claims Act in the United States District Court for the Southern District of Indiana. The complaint alleged that ASC had engaged in conduct to defraud the Medicare program. Specifically, the complaint alleged that ASC was charging Medicare directly for various therapy services provided to beneficiaries who had been placed on hospice, when those services should have already been covered by the beneficiaries’ Medicare hospice coverage.

The False Claims Act provides that when a whistleblower files a lawsuit alleging fraud that results in a recovery of funds by the Government they are entitled to between 15 and 25% of the recovery. This whistleblower provision of the law encourages people to come forward when they believe fraud is being committed. Under the False Claims Act, the Government may collect up to three times the loss it incurred, plus a fine of between approximately $5,500 to $22,000 for each false bill submitted.

Based on the investigation, the estimated loss to the Medicare program was $2,795,522.33 and ASC has agreed to pay $5,591,044.66 to the United States.

The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Southern District of Indiana, the Department of Health and Human Services – Office of the Inspector General, and the Federal Bureau of Investigation.

“Whistleblowers are critical to protecting public funds from fraud, waste, and abuse,” said U.S. Attorney Zachary A. Myers. “Health care providers who submit false claims or otherwise violate state and federal regulations when billing the United States Government will face consequences.

Today’s settlement demonstrates that federal law enforcement agencies will vigorously investigate reports of false claims and seek to recover funds on behalf of the public.”

“Health care providers that submit inappropriate claims to Medicare to boost their own profits compromise the integrity of this important federal health care program,” said Special Agent in Charge Mario M. Pinto of the U.S. Department of Health and Human Services Office of Inspector General. “We will continue to work tirelessly, alongside our law enforcement partners, to ensure the appropriate use of taxpayer dollars and hold those who violate the law accountable.”

U.S. Attorney Myers thanked Assistant U.S. Attorneys Shelese Woods and Justin Olson who handled the case for the United States.

The claims resolved by this settlement are allegations only and there has been no determination of liability. In agreeing to the settlement terms, ASC denied all liability under the False Claims Act. In investigating the case, HHS-OIG did not uncover any evidence of injury or harm to patients because of the alleged conduct.