Walgreens Agrees to Pay $106.8M to Resolve Allegations It Billed the Government for Prescriptions Never Dispensed

Source: United States Department of Justice Criminal Division

Walgreens Boots Alliance Inc. and Walgreen Co. (together, Walgreens) have agreed to pay $106.8 million to resolve alleged violations of the False Claims Act and state statutes for billing government health care programs for prescriptions never dispensed. Walgreens, headquartered in Deerfield, Illinois, operates one of the largest retail pharmacy chains in the country.

The government alleges that, between 2009 and 2020, Walgreens submitted false claims for payment to Medicare, Medicaid and other federal health care programs for prescriptions that it processed but that were never picked up by beneficiaries. As a result, Walgreens received tens of millions of dollars for prescriptions that it never actually provided to health care beneficiaries.

As part of the resolution, Walgreens received credit under the department’s guidelines for taking disclosure, cooperation and remediation into account in False Claims Act cases. Among other actions, Walgreens implemented enhancements to its electronic pharmacy management system to prevent this from occurring in the future and self-reported certain conduct. Because Walgreens previously refunded $66,314,790 pertaining to the settled claims, Walgreens will receive a credit for this amount.

“Federal health care programs provide critical health care services to millions of Americans,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will hold accountable those who abuse these programs by knowingly billing for goods or services they did not provide.”

“Millions of Americans rely on the promise of federal healthcare through programs like Medicare and Medicaid,” said U.S. Attorney Alexander M.M. Uballez for the District of New Mexico. “Fraudulently billing for prescriptions which are never dispensed endangers the integrity of these critical programs. We are committed to guarding the public’s investment in our health from private corporations.”

“Adopting new technology and systems can be beneficial for providers, beneficiaries, and federal payors, including Medicare, Medicaid and TRICARE,” said U.S. Attorney Damien M. Diggs for the Eastern District of Texas. “However, we will not allow companies to hide behind their implementation of ill-conceived technology and systems that result in billing federal health care programs for goods and services never provided to beneficiaries. In those situations, we will pursue the companies and ensure that the taxpayer is made whole.”

“This settlement marks another major achievement in our ongoing commitment to combat healthcare fraud,” said U.S. Attorney Roger B. Handberg for the Middle District of Florida. “It is essential to hold pharmacies accountable when they knowingly fail to abide by the rules and requirements of our national health care programs.”

“Medicare enrollees, and consumers at-large, rely on pharmacies for critical medications that sustain their quality of life, and providers who prey upon public health care programs to increase profit margins must be held accountable,” said Deputy Inspector General for Investigations Christian J. Schrank of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “HHS-OIG is unwavering in its commitment to protecting taxpayer-funded healthcare programs and ensuring those that threaten their integrity are held liable for their actions.”

The federal share of the recovery is $91,881,530, and a total of $14,933,259 will be returned to individual states, which jointly fund state Medicaid programs, through separate settlement agreements with the Medicaid participating states.

The federal government’s settlement with Walgreens resolves three cases pending in the District of New Mexico, Eastern District of Texas and Middle District of Florida under the qui tam, or whistleblower, provision of the False Claims Act, which permits private parties to file suit for false claims on behalf of the United States and to share in any recovery. Steven Turck, a former Walgreens pharmacy manager, filed the qui tam suit in the Eastern District of Texas related to billing Medicare, Medicaid and other federal health care programs, and will receive $14,918,675. Andrew Bustos, a former Walgreens district pharmacy supervisor, filed the qui tam suit in the District of New Mexico related to billing Medicare Part B and will receive $1,620,000.

Trial Attorney Seth Greene of the Civil Division’s Commercial Litigation Branch, Fraud Section; Assistant U.S. Attorneys Ruth Keegan and Sean Cunniff and Auditor Julie Chappell for the District of New Mexico; Assistant U.S. Attorneys James Gillingham and Adrian Garcia for the Eastern District of Texas; and Senior Litigation Counsel Lindsay Griffin for the Middle District of Florida handled the matters. HHS-OIG and the National Association of Medicaid Fraud Control Units assisted in the investigations.

The investigation and resolution of these matters illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to HHS at 800-HHS-TIPS (800-447-8477).

The civil settlements with Walgreens resolved the following captioned cases: United States ex rel. Bustos v. Walgreens Boots Alliance, Inc., et al., No. 1:15-cv-781 (DNM); United States ex rel. Turck, et al. v. Walgreens Boots Alliance, Inc., et al., No. 4:19-cv-315 (EDTX); and United States, et al. ex rel. Jacob v. Walgreens Boots Alliance, Inc., No. 8:20-cv-858-T-60TGW (MDFL).

*This release has been updated to remove an allegation that is not in the settlement agreement. 

Defense News: Inaugural NPS and Stanford Climate Security Fellows Answer the Nation’s Call

Source: United States Navy

Rising sea levels and global temperatures, more severe and frequent droughts, floods, wildfires and extreme weather increasingly inflict devastation across the planet – not only to people and their homes and livelihoods, but also to infrastructure and the environment that encapsulates it all. These tragedies are not limited by borders and pose increasing risks to national security.

The U.S. Navy and Marine Corps operate in every domain, and the effects of climate change also impact naval operations and readiness. To help understand and address these clear present and future dangers caused by the climate crisis, the Naval Postgraduate School (NPS) and the Stanford Doerr School of Sustainability joined forces through an Educational Partnership Agreement signed in December 2022.

As part of the agreement, the two institutions launched a new Climate Security Fellowship program. Twelve graduate and postdoctoral students from NPS and Stanford formed the initial cohort of Climate Security Fellows, charged with the development of new ideas and innovative solutions to operational threats facing the Navy and Marine Corps. The solutions are “tactical to practical,” helping to drive technological advancements scalable from early-adopter military use to affordable public applications, such as resilient microgrid development for naval installations.

The initial cohort of Climate Security Fellows represented a wide range of educational backgrounds and real-world experiences. Those from NPS included mid-career Navy and Marine Corps officers, a recent U.S. Naval Academy graduate, and civilians. They studied infrastructure defense, law, meteorology and oceanography, national security affairs and operations research. Fellows from Stanford studied electrical engineering, interdisciplinary ecology and sustainable design and construction.

Applications for the next cohort of Climate Security Fellows are now open. For this next group, the fellowship will grow to 20 students, with new institutional partners – George Washington University and the Naval War College – joining the effort. The Army War College has formed its own Environmental Security Fellows program, which will add to Department of Defense (DOD) perspectives and collaborative actions across the joint force.

The Climate Security Fellowship started as students answered the call from mobilized efforts made by DOD, the Department of the Navy (DON) and NPS, and later by Stanford University, in response to White House Executive Order No. 14008, “Tackling the Climate Crisis at Home and Abroad.”

Threats and the Navy’s Early Support of Climate Science

The land, sea, and air are essential environments where the Navy and Marine Corps must operate, and the effects of climate change are increasingly shaping environmental conditions. Threats come from all directions and can adversely impact many operations, such as those conducted by surface ships, aircraft, submarines, expeditionary forces, uncrewed autonomous systems, and more.

It should come as no surprise, then, that the DON has long funded climate science-related research to help leaders make informed decisions. In fact, this practice dates to the start of one of the earliest and most important climate science investigations. During World War II, oceanographer Roger Revelle served in the Navy as the commander of the oceanographic section of the Bureau of Ships, and his research included sonar detection of submarines.

After the war, he returned to the Scripps Institution of Oceanography as director and continued his research, which was heavily funded by the Office of Naval Research (ONR). He grew concerned over greenhouse gas emissions and looked more into climate change, specifically into carbon dioxide gas absorption by the oceans and atmosphere.

In 1956, Revelle hired Charles David Keeling to begin highly accurate and systematic measurements of carbon dioxide in the atmosphere high above the newly constructed Mauna Loa Observatory, which the military also helped establish. Keeling’s work led to some of the most definitive evidence identifying the relationship between increasing carbon dioxide in the atmosphere and the rapid global warming that had occurred over the past century.

The measurements Keeling began in 1958 continue to be made to this day by Scripps, which is a longtime collaborator in oceanographic studies with NPS. The results formed the well-known Keeling Curve. Though among the most famous climate science research, the Keeling Curve is now just a mere stone in the mountain of scientific evidence that formed the foundation for subsequent actions by the Navy, the nation, and the world.

Formation of the Climate Security Fellowship

Understanding and predicting the impacts of climate change on Navy and Marine Corps operations demand clear understanding and science-based decision making.

Secretary of the Navy Carlos Del Toro, an NPS alumnus, issued a call to action to combat the climate crisis in his 2021 strategic guidance. “Climate change seriously increases the potential for greater conflicts on a global scale. We must be prepared to understand increased threats to other nations and the impact they may have on our own national security interests,” Del Toro stated in the guidance, which named climate change as one of the four top challenges facing the Navy and Marine Corps.

In response, NPS formed the Climate Security Network (CSN) to help address these needs.

“NPS pulled together faculty, students, alumni and external partners that are concerned about the impacts of climate change on national security,” said NPS researcher Kristen Fletcher, who co-founded CSN. According to Fletcher, CSN’s mission is to meet DON and DOD goals of building climate resilience and reducing climate threats by fostering collaboration and information sharing.

Fletcher had already begun collaborating with the 2021 Barrow Fellowship program at Marine Corps University. “I was a mentor and presenter for the Barrow Fellows,” she said. “The program focuses on a different topic each year, and the topic that year was climate change and national security.”

In May 2022, the Navy released “Climate Action 2030,” a strategic plan which the NPS CSN team helped to develop. This plan formalized Del Toro’s guidance into a roadmap for how to implement the fight against the climate crisis and achieve the DON’s goals.

Four months later, in September 2022, the Stanford Doerr School of Sustainability was founded, and in December of that year with Del Toro present, the Doerr School established its first educational partnership with NPS. The institutions have since held meetings and workshops concentrating on how they will collaborate on ocean sciences, energy security, and climate security and sustainability.

These efforts included the Navy’s second Climate Tabletop Exercise in April 2023. The event, which focused on energy and water security and coastal resilience actions, was attended by Assistant Secretary of the Navy for Energy, Installations and Environment (ASN EI&E) Meredith Berger, Stanford Doerr School of Sustainability Dean Arun Majumdar and NPS President retired Vice Adm. Ann Rondeau. Less than a year later, in February 2024, students and faculty from NPS and Stanford gathered at an Oceans Workshop to exchange ideas and information about dozens of their ongoing research projects.

By that time, the institutions had already taken another step forward in the partnership. Using the Marine Corps University’s Barrow Fellowship as a model, they launched the Climate Security Fellowship in November 2023 for their graduate and postdoctoral students. Fletcher would coordinate the fellowship for NPS.

The uniqueness of the fellowship’s format and learning opportunities excited civil and environmental engineering professor Jack Baker, the associate dean for faculty affairs in the Stanford Doerr School of Sustainability, who became an advisor to the fellows.

“The interactions between students who are thinking about fundamental problems around climate change and its impacts on adaptation with students who have operational experience and engage with real-world problems allow them to use their collective knowledge to address solutions in a more immediate and effective way,” Baker said.

This complementary collaboration between NPS and the Stanford Doerr School of Sustainability accelerates the pace of far-reaching implementation. Because solutions address national security needs, they can be funded and developed at scale with potentially much broader impact.

Mark McVay coordinates the fellowship for Stanford and is a fellowship advisor. A Naval Academy and Stanford graduate, he recognizes the importance of scalability for technical solutions like microgrids.

“Future military and civilian leaders must understand what climate change is doing to national security,” said McVay. “And it’s not just about defense. It’s about people and how they live.”

Inaugural Fellows Get Underway

When the students committed to becoming Climate Security Fellows, they took on responsibilities above and beyond their field of study and research requirements. In addition to becoming CSN members, they attended a series of instructional modules that included the topics of climate change science, physical hazards and resilience, oceans and climate security, climate change communications, financial considerations, risk assessment and food security.

U.S. Navy Lt. Caroline Kelly operated and navigated an amphibious aircraft carrier as a surface warfare officer before transferring to the METOC (meteorology and oceanography) community and beginning her master’s degree studies at NPS.

“I joined the fellowship mainly because of my own passion for the issues,” Kelly said. “I also know that climate and climate change directly relate to my professional work in the Navy.”

Kelly believes it’s important to incorporate both military and civilian perspectives in the program. “In the future, I only see us in the military working closer and closer with the civilian world regarding climate change,” she said. “The problem doesn’t just impact the civilian world, but it also impacts our operations in the military. To find good solutions and to really get the issue addressed, I think we need to accept that it’s affecting people on both sides.”

Stanford postdoctoral student DeVant’e Dawson earned his Ph.D. in interdisciplinary ecology and researches super reefs containing heat tolerant corals across the Pacific Ocean and in the Caribbean. “I was in Majuro doing my first ever fieldwork, but I knew that at some point I wanted to possibly transition into policy,” he said.

While there, he received an email announcing the new fellowship and recognized its potential for approaching climate change from another pathway.

“I jumped at the opportunity to get my foot in the door,” Dawson said. “I think the first step is science communication across sectors. My biggest goal was figuring out how does what I study intersect these other areas that may not necessarily think about coral, and how could I communicate it in a way that reaches more people than I initially thought it could.”

U.S. Navy Lt. Dishan Romine is a human resource officer working on his master’s degree in operations research. A former surface warfare officer, he now researches climate and its impacts on water infrastructure.

“The opportunity to be a climate security fellow was perfect for me because I knew that it would help with my research and thesis,” he said. “If you have climate change that impacts electricity or impacts water on your military base, and you’re unable to train, perform and provide health and hospitality services to personnel, then how are you going to be able to actually deploy on your mission?”

Romine knows how important operational readiness is for the military, and he feels operations research helps provide the answer with the data analytics that military leadership needs to keep it all running. What the Navy learns about resilience can be applied beyond ships and installations.

Fellowship Results

To complete the fellowship, the Climate Security Fellows worked in three teams that were supported by advisors from NPS and the Stanford Doerr School of Sustainability. Each team chose its own current climate change issue for a project to investigate, and then the Fellows applied their new training and skills to research them. The teams presented their results and wrote the following research project reports:

– “High Waters, High Costs: A Case Study on Naval Air Station Key West to Guide Decision-Making for Resilience Versus Managed Retreat,” written by DeVant’e Dawson, Rebecca Grippo, Nicholas Hilaire and Joseph Ward, with advisor Dan Eisenberg.

– “The Impacts of Food and Water Security in Southeast Asia with Insight into the U.S. Role,” written by Anna Broome, Caroline Kelly, Dishan Romine and Colby Smith, with advisor Mark McVay.

– “Tropical Cyclone Disaster Response Through a Climate Resilience Lens,” written by Marina Lesse, Katie Lindman, Emily Pesicka and Issac Tham, with advisor Justin Rogers.

U.S. Marine Corps Capt. Colby Smith graduated from the NPS Department of National Security Affairs. As a fellow, he was impressed by learning how the private sector, higher public education and military intersect and how far this broad partnership could go.

“All of these people coming together to talk about both the problems and the solutions, I think, is probably the single biggest advantage of the fellowship,” Smith said.

Smith’s work as a fellow overlapped with his NPS studies. “The topics we covered aligned to how the Department of the Navy is addressing its climate security strategy,” he added. “A lot of what I picked up directly impacts my assignment after NPS. I personally benefited, significantly, from our research project because we covered food and water security in Southeast Asia.”

Marina Lesse, co-lead of CSN and a faculty associate-research in NPS’ Energy Academic Group, is also a fellow, and is earning her master’s degree in national security affairs at NPS. “I enjoyed the integration of civilian students and military students because there was a sharing of perspectives that was very beneficial to everybody,” said Lesse.

She recognizes the demand for climate studies is coming not just from the fellows, but from many other students as well.

“When I’m in class and I bring up that I’m focusing on climate change, everybody is super interested and has stories to tell about climate issues they’ve experienced while on deployment,” she said. “Who’s going to be responding to these crises and conflicts caused by climate change? Yeah, people who are attending NPS and will be heading into the fleet after they graduate.”

Climate Security Fellows for the Future

Acting on science-based decision making by the Navy and other armed services within the DOD is imperative for the safety and prosperity of the nation. But to solve the climate crisis, it will take important partnerships between the military and civilians across many parts of society.

Del Toro added, “Today, climate change is one of the most destabilizing forces of our time, exacerbating national security concerns and posing serious readiness challenges for our fleet and force. There exist numerous tangible examples of the impact of climate change on Navy and Marine Corps operations all over the world.

“I look forward to seeing the work our Climate Security Fellows accomplish. The expertise of two globally-recognized hubs of research and innovation – the Naval Postgraduate School and Stanford University – will undoubtedly find practical solutions that our Navy and nation can implement both now and in the future.”

The partnership between NPS and Stanford’s Doerr School has shown just how to lead the way by working together, sharing perspectives, following the science and taking much-needed action. The first 12 Climate Security Fellows from NPS and Stanford are now part of the solution, and the expansion of the program to 20 fellows with new institutional partners is another important step forward.

Defense News: Navy Accepts Delivery of Future USS Robert E. Simanek

Source: United States Navy

The ship is named for Private First Class Robert Ernest Simanek, who was awarded the Medal of Honor for shielding fellow Marines from a grenade at the Battle of Bunker Hill during the Korean War. The Medal of Honor was presented to him by President Dwight D. Eisenhower in a White House ceremony in 1953.

“From christening in May 2024 to delivery, it has been an exciting time for those who spend each day preparing this ship to support our fleet,” said Tim Roberts, Strategic and Theater Sealift program manager, Program Executive Office (PEO) Ships. “The ESB ship class is a highly flexible platform used across various military operations. ESB ships are mobile sea-based assets and are a part of the critical access infrastructure that supports the deployment of forces, equipment, supplies, and warfighting capability.”

ESBs are optimized to support a variety of maritime based missions, including Special Operations Forces, Airborne Mine Counter Measures, Crisis Response Force Sea Basing, Intelligence, Surveillance, and Reconnaissance and Unmanned Aviation Systems. The ESBs, which include a four spot V-22 sized flight deck, mission deck and hangar, are designed around four core capabilities: aviation facilities, berthing, equipment staging support, and command and control assets. 

Follow-on ship, future USS Hector A. Cafferata Jr. (ESB 8) is under construction at NASSCO.

PEO Ships, one of the Department of Defense’s largest acquisition organizations, is responsible for executing the development and procurement of all destroyers, amphibious ships and craft, auxiliary ships, special mission ships, sealift ships and support ships.

California Addiction Treatment Facility Operator Convicted of Paying Nearly $2.9M in Illegal Kickbacks

Source: United States Department of Justice Criminal Division

A federal jury convicted a California man this week for paying illegal kickbacks for patient referrals to his addiction treatment facilities located in Orange County, California.

According to court documents and evidence presented at trial, Casey Mahoney, 48, of Los Angeles, paid nearly $2.9 million in illegal kickbacks to so-called “body brokers” who referred patients to Mahoney’s addiction treatment facilities, Healing Path Detox LLC and Get Real Recovery Inc. Those body brokers in turn paid thousands of dollars in cash to patients, which some patients used to purchase drugs, in order to induce those patients to attend treatment at Mahoney’s facilities. Mahoney concealed the illegal kickbacks by entering into sham contracts with the body brokers which purportedly required fixed payments and prohibited payments based off of the volume or value of the patient referrals. In reality, Mahoney and the brokers negotiated payments based on the patients’ insurance reimbursements and the number of days Mahoney was able to bill for treatment. Mahoney also laundered the proceeds of the conspiracy through payments to the mother of one of the body brokers, which Mahoney falsely characterized as consulting fees.

Mahoney was convicted of one count of conspiracy to solicit, receive, pay, or offer illegal remunerations for patient referrals, seven counts of illegal remunerations for patient referrals, and three counts of money laundering. Mahoney is scheduled to be sentenced on Jan. 17, 2025, and faces a maximum penalty of five years in prison on the conspiracy charge, 10 years in prison on each illegal remuneration count, and 20 years in prison on each money laundering count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Martin Estrada for the Central District of California; Assistant Director in Charge Akil Davis of the FBI Los Angeles Field Office; and Special Agent in Charge Tyler Hatcher of the IRS Criminal Investigation (IRS-CI) Los Angeles Field Office made the announcement.

The FBI Los Angeles Field Office and IRS-CI Los Angeles Field Office investigated the case. The California Department of Insurance provided valuable assistance.

Trial Attorney Siobhan M. Namazi of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Nandor F.R. Kiss for the Central District of California are prosecuting the case.

Mahoney’s conviction arose out of violations of the Eliminating Kickbacks in Recovery Act (EKRA). EKRA was enacted in October 2018 as part of comprehensive legislation designed to address the opioid crisis in order to target the rise in body brokering and substance abuse facility profiteering.

The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, currently comprised of nine strike forces operating in 27 federal districts, has charged more than 5,000 defendants who collectively have billed federal health care programs and private insurers more than $24.7 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.

Ismael “El Mayo” Zambada Garcia, Co-Founder of the Sinaloa Cartel, Arraigned in Brooklyn on International Drug Charges

Source: United States Department of Justice Criminal Division

Ismael “El Mayo” Zambada Garcia, 76, a citizen of Mexico, was arraigned this morning in federal court in Brooklyn, New York, on 17 counts related to drug trafficking, firearms offenses, and money laundering. This fifth superseding indictment relates to El Mayo’s decades-long leadership of the Sinaloa Cartel, one of the most violent and powerful drug trafficking organizations in the world and conspiracy to manufacture and distribute fentanyl. El Mayo was previously charged with running a continuing criminal enterprise, as well as murder conspiracy, money laundering conspiracy, cocaine, heroin, methamphetamine, and marijuana manufacture and distribution conspiracy, as well as other drug-related crimes.

El Mayo was ordered detained pending trial and was transferred yesterday to the Eastern District of New York from the Western District of Texas, following his arrest in New Mexico on July 25. 

“El Mayo, the co-founder and leader of the Sinaloa Cartel, has been charged with overseeing a multi-billion-dollar conspiracy to flood American communities with narcotics, including deadly fentanyl,” said Attorney General Merrick B. Garland. “We allege that El Mayo built, and for decades led, the Sinaloa Cartel’s network of manufacturers, assassins, traffickers, and money launderers responsible for kidnapping and murdering people in both the United States and Mexico, and importing lethal quantities of fentanyl, heroin, meth, and cocaine into the United States. Now, El Mayo joins the many other Sinaloa Cartel leaders who have faced charges in an American courtroom for the immeasurable harm they have inflicted on families and communities across our country.”

“For years, Ismael ‘El Mayo’ Zambada Garcia and the Sinaloa Cartel he led manufactured illicit fentanyl and peddled it across our country, profiting off of the pain of countless American communities,” said Secretary of Homeland Security Alejandro N. Mayorkas. “Thanks to the dedicated work of brave Homeland Security Investigations (HSI) Agents and their federal partners, the United States is disrupting and dismantling drug trafficking operations across the world, ensuring Cartel kingpins like Mr. Zambada Garcia are brought to justice, and keeping Americans safe from the scourge of fentanyl.”

“For decades, the Sinaloa Cartel has profited from poisoning and killing Americans, and fueling violence on both sides of our southern border,” said Deputy Attorney General Lisa Monaco. “Today’s arraignment of Zambada Garcia is the latest step in a whole-of-government effort to strike back against one of the world’s most dangerous criminal organizations and protect our communities from the fentanyl epidemic.”

“Today’s arraignment is another forceful reminder of the FBI’s commitment to pursuing justice for the American lives lost to the violence and trafficking of deadly drugs, like fentanyl, associated with Zambada Garcia and those he directed as a leader of the Sinaloa Cartel,” said FBI Director Christopher Wray. “The FBI will not stop in our pursuit of those who engage and facilitate the cartel’s sophisticated operations that cause immense harm to Americans and poison communities across our country.”

“Defeating the Sinaloa Cartel is DEA’s top operational priority and today, with the capture and additional charges filed against Ismael Zambada Garcia we are that much closer,” said Administrator Anne Milgram of the Drug Enforcement Administration (DEA). “Better known as ‘El Mayo’, Zambada Garcia is the co-founder and leader of the Sinaloa Cartel, one of the most ruthless and dangerous cartels in Mexico and responsible for the unprecedented drug crisis facing the United States. With Zambada Garcia no longer in power we have struck at the heart of the Sinaloa Cartel’s operations. He may have eluded capture for three decades, but today he is seeing what it means to face justice in America. Let this be a reminder to his associates and others, American lives depend on DEA remaining laser focused on destroying the cartels, their networks, and their global supply chain and that is what we will continue to do.”

“Zambada Garcia’s day of reckoning in a U.S. courtroom has arrived and justice will follow,” said U.S. Attorney Breon Peace for the Eastern District of New York. “If convicted, never again will he deliver fentanyl, cocaine, and other deadly drugs and associated violence into our country or make millions as hundreds of thousands of innocent lives are lost. It is my hope that the countless family members and friends of victims who succumbed to his cartel’s poisons, and the countless members of law enforcement who fearlessly risked their lives fighting this scourge, should take comfort in knowing that Zambada Garcia will be held accountable for his multitude of crimes.”

“Zambada Garcia will now face the American justice system,” said U.S. Attorney Markenzy Lapointe for the Southern District of Florida. “His arrest means that he will now have to face charges for leading the Sinaloa Cartel’s multi-billion-dollar criminal enterprise that funneled drugs onto our streets and violence and despair into our communities. But our work is not done. We will go after the leaders of the Sinaloa Cartel and the drug trafficking organizations around the world.”

“Today’s arraignment sends a clear message to drug traffickers around the world — we will find you and bring you to justice,” said HSI Executive Associate Director Katrina W. Berger. “The men and women of HSI are working diligently with our partners around the globe to investigate, intercept and halt the flow of illegal drugs into the United States and keep illegal drugs off our streets.”

“The arraignment of this individual is a result of the relentless work of law enforcement partners at all levels to stem the tide of illegal drugs and drug related violence in our country,” said Superintendent Steven G. James of the New York State Police (NYSP). “Strong partnerships are key, and as a result, a dangerous international drug trafficking operation, and the organized crime perpetuated by it, has been shut down. The State Police will continue to tenaciously work in conjunction with our partners to seek out those who deliberately put others in danger.”

El Mayo was first indicted in the Eastern District of New York in 2009 and most recently in a fifth superseding indictment in February. As alleged, El Mayo was a co-founder of the Sinaloa Cartel together with his co-defendant Joaquin Guzman Loera, also known as El Chapo, and together they ran the Sinaloa Cartel together from Mexico until El Chapo’s arrest in 2016. Following a trial, El Chapo was convicted in the Eastern District of New York in 2019 and sentenced to life plus 30 years in prison.

According to allegations in the superseding indictment, from 1989 to 2024, El Mayo led a continuing criminal enterprise responsible for the importation and distribution of massive quantities of narcotics and which generated billions of dollars in profits. To ensure the success of the Sinaloa Cartel, El Mayo employed thousands of people in South and Central America, throughout Mexico and in the United States. Through a complex, layered structure, El Mayo was able to assure transportation routes for the narcotics he sold from source of supply to distribution on the streets of the United States. El Mayo also employed groups of “sicarios” or hit-men, who at his orders carried out kidnappings and murders in Mexico and elsewhere — including murders in the United States — to eliminate anyone who threatened this valuable narcotics pipeline and to retaliate against rivals and those suspected of cooperating with the U.S. government. The billions of dollars generated from the drug sales were then transported and laundered back to Mexico. 

As set forth in the superseding indictment and other court filings, the Sinaloa Cartel, under El Mayo’s leadership, expanded its drug business into fentanyl manufacturing and distribution no later than 2012 and is responsible for the distribution of many thousands of kilograms of fentanyl into the United States. El Mayo also allegedly expanded the power and influence of the Sinaloa Cartel by making millions of dollars each year in corruption payments and conducting regular campaigns of brutal violence, including retaliatory murders that were allegedly committed on his orders as recently as just weeks prior to his arrest.

If convicted, El Mayo faces a mandatory minimum penalty of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

FBI, DEA, and HSI investigated the case.

Trial Attorneys Melanie Alsworth and Kirk Handrich of the Criminal Division’s Narcotic and Dangerous Drug Section; Assistant U.S. Attorneys Francisco J. Navarro, Robert M. Pollack, Adam Amir, and Lauren A. Bowman for the Eastern District of New York; and Assistant U.S. Attorney Andrea Goldbarg for the Southern District of Florida are prosecuting the case. The U.S. Attorneys’ Offices for the Northern District of Illinois, Central District of California, Southern District of California, and Western District of Texas provided substantial assistance.

This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.