Category: US Department of Justice

Source: United States Department of Justice 2

Ray Hunt, also known as Abdolrahman Hantoosh, Rahman Hantoosh and Rahman Natooshas, 70, of Owens Cross Roads, Alabama, pleaded guilty today to conspiracy to export U.S.-origin goods to the Islamic Republic of Iran in violation of trade sanctions.

According to court documents, in May 2014, Hunt registered Vega Tools LLC with the Alabama Secretary of State, listing the nature of the business as “the purchase/resale of equipment for the energy sector.” He operated Vega Tools, including purchasing, receiving and shipping U.S.-origin goods, from locations in Madison County, Alabama. Beginning at least as early as 2015, Hunt conspired with two Iranian companies located in Tehran, Iran, to illegally export U.S.-manufactured industrial equipment for use in Iran’s oil, gas and petrochemical industries.

Hunt engaged in a series of deceptive practices to avoid detection by U.S. authorities, including using third-party transshipment companies in Turkey and the United Arab Emirates (UAE) and routing payments through UAE banks, as well as lying to shipping companies about the value of his exports to prevent the filing of electronic export information to U.S. authorities. Hunt lied to suppliers and shippers by claiming the items he purchased on behalf of the Iranian co-conspirators were destined for end users in Turkey and UAE, while knowing the exports were ultimately destined for Iran. Hunt lied also to U.S. Customs and Border Patrol officers regarding the nature and existence of his business when questioned upon his return from a March 2020 trip to Iran.   

Hunt pleaded guilty to a conspiracy charge and faces a maximum penalty of five years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Prim F. Escalona for the Northern District of Alabama, Assistant Secretary of Commerce for Export Enforcement Matthew S. Axelrod and Executive Assistant Director Robert Wells of the FBI National Security Branch made the announcement.

The Department of Commerce Bureau of Industry and Security is investigating the case with valuable assistance provided by the FBI. 

Assistant U.S. Attorneys Jonathan “Jack” Harrington, Jonathan Cross and Henry Cornelius for the Northern District of Alabama and Trial Attorneys Emma Ellenrieder and Adam Barry of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.

Source: United States Department of Justice Criminal Division

The Justice Department filed a lawsuit today against Michael J. DeWitte, of Washington, Illinois, for sexually harassing female tenants and housing applicants in violation of the Fair Housing Act. DeWitte has managed residential rental properties in Peoria, Illinois, and other central Illinois counties since at least 2002.

“Landlords cannot use their position of power to sexually harass someone who simply wants a place to live,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Fair Housing Act protects tenants’ right to housing free of any kind of sexual advance or harassment. We encourage survivors to speak out so that we can vindicate their fair housing rights.”

“No one should ever be asked to trade their body for a home,” said U.S. Attorney Gregory K. Harris for the Central District of Illinois. “I urge any other tenants alleging discrimination by DeWitte to contact my office. When landlords abuse their power and attempt to take advantage of the vulnerable in violation of civil rights laws, my office and the Justice Department stand ready to hold them accountable.”

The lawsuit, filed in the U.S. District Court for the Central District of Illinois, alleges that, since at least 2002, DeWitte subjected female tenants and applicants to unwelcome sexual harassment that included: sexual contact and comments about their physical appearances; offers to strip for female tenants; removing his pants while giving a tour to a female housing applicant; exposing his genitals to female tenants; asking female tenants on dates; requesting sex in exchange for reduced rent or other housing benefits; and evicting female tenants when they did not give in to his sexual advances.

The lawsuit seeks monetary damages to compensate persons harmed by the alleged harassment, civil penalties to vindicate the public interest and a court order barring future discrimination.

The Fair Housing Act prohibits discrimination in housing based on race, color, religion, national origin, sex, disability and familial status. It also prohibits sexual harassment, a form of sex discrimination. Individuals who believe that they may have been victims of sexual harassment or other types of housing discrimination at rental properties owned or managed by Michael DeWitte, or who have other information that may be relevant to this case, may contact the Justice Department by calling the U.S. Attorney’s Office for the Central District of Illinois at 309-671-7019 or 833-591-0291, and emailing USAILC.Civil.Rights@usdoj.gov or FairHousing.USAILC@usdoj.gov.

The Justice Department’s Sexual Harassment in Housing Initiative is led by the Civil Rights Division, in coordination with U.S. Attorneys’ Offices across the country. The initiative seeks to address and raise awareness about sexual harassment by landlords, property managers, maintenance workers, loan officers and other people who have control over housing. Since launching the initiative in October 2017, the department has filed 44 lawsuits alleging sexual harassment in housing and recovered over $17 million for victims of such harassment. The Civil Rights Division is committed to protecting people from sexual misconduct.

Source: United States Department of Justice Criminal Division

DaVita Inc., headquartered in Denver, Colorado, has agreed to pay $34,487,390 to resolve allegations that it violated the False Claims Act by paying kickbacks to induce referrals to DaVita Rx, a former subsidiary that provided pharmacy services for dialysis patients, and by paying kickbacks to nephrologists and vascular access physicians to induce the referral of patients to DaVita’s dialysis centers.

The Anti-Kickback Statute prohibits anyone from offering or paying, directly or indirectly, any remuneration — which includes money or any other thing of value — to induce referrals of patients or of items or services covered by Medicare, Medicaid and other federally funded programs.

The United States alleges that DaVita paid kickbacks to a competitor to induce referrals to DaVita Rx to serve as a “central fill pharmacy,” or prescription fulfillment provider, for that competitor’s Medicare patients’ prescriptions. In exchange, DaVita paid to acquire certain European dialysis clinics and agreed to extend a prior commitment to purchase dialysis products from the competitor. DaVita would not have paid the price that it did for these deals without the competitor’s commitment to refer its Medicare patients’ prescriptions to DaVita Rx in return.

The United States further alleges that DaVita provided management services to vascular access centers owned by physicians in a position to refer patients to DaVita’s dialysis clinics. DaVita paid improper remuneration to these physician-owners in the form of uncollected management fees to induce referrals to DaVita’s dialysis centers.

Finally, the United States alleges that DaVita paid improper remuneration to a large nephrology practice to induce referrals to DaVita’s dialysis clinics. DaVita gave the practice a right of refusal to staff the medical director position at any new dialysis center that opened near the nephrology practice and paid the practice $50,000 despite the practice’s decision not to staff the medical director position for those clinics.  

“Improper financial arrangements between Medicare providers can distort the healthcare marketplace,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will hold accountable healthcare providers that seek to generate business by paying unlawful remuneration.”

“Medicare patients should be able to trust their healthcare providers not to pay illegal kickbacks to induce referrals,” said Acting U.S. Attorney Matthew Kirsch for the District of Colorado. “This resolution reflects the seriousness of the government’s determination to restore integrity to the healthcare marketplace.”

“Illegal kickback payments corrupt the market for health care services and cause harm and financial loss to Medicare and other federally funded health care programs,” said Special Agent in Charge Linda Hanley of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Our ongoing enforcement efforts aim to safeguard the integrity of taxpayer-funded health care programs, like Medicare and Medicaid, while curbing schemes that unduly influence patients’ and doctors’ health care options.”

The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Dennis Kogod, a former Chief Operating Officer of DaVita Kidney Care. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. Kogod v. DaVita, Inc., et al., No. 17-cv-02611-PAB (D. Colo.). Kogod will receive $6,370,000 of the proceeds from the settlement.

The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the District of Colorado with assistance from HHS-OIG.

The investigation and resolution of this matter illustrates the government’s emphasis on combating health care 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).

Trial Attorney Gary Newkirk of the Civil Division and Assistant U.S. Attorney Lila Bateman for the District of Colorado handled the matter.

The claims resolved by the settlement are allegations only. There has been no determination of liability.

Source: United States Department of Justice Criminal Division

The Justice Department has filed a lawsuit against Southwest Key Programs Inc. (Southwest Key), a Texas-based nonprofit that provides housing to unaccompanied children who are encountered at the southern land border of the United States. The lawsuit alleges that Southwest Key, through its employees, has engaged in a pattern or practice of sexual abuse and harassment of unaccompanied children in Southwest Key shelters in violation of the Fair Housing Act.

“Sexual harassment of children in residential shelters, where a child should be safe and secure, is abusive, dehumanizing and unlawful,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Sexual abuse of children is a crisis that we can’t ignore or turn a blind eye to. This lawsuit seeks relief for children who have been abused and harmed, and meaningful reforms to ensure no child in these shelters is ever subjected to sexual abuse again.”  

“HHS has a zero-tolerance policy for all forms of sexual abuse, sexual harassment, inappropriate sexual behavior, and discrimination,” said U.S. Department of Health and Human Services (HHS) Secretary Xavier Becerra. “The U.S. Department of Justice’s complaint against Southwest Key raises serious pattern or practice concerns. HHS will continue to work with the Justice Department and oversight agencies to hold its care-giving programs like Southwest Key accountable. And we will continue to closely evaluate our assignment of children into care-giving programs to ensure the safety and well-being of every child in HHS custody.”

“Every child has the right to feel safe and secure in their dwelling, including in shelter care,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “This lawsuit seeks to provide a pathway for justice and healing for these children, who are among the most vulnerable in our society.”

“In search of the American Dream, children often endure perilous journeys on their migration north to the southern border,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “The sexual harassment alleged in the complaint would destroy any child’s sense of safety, turning what was an American Dream into a nightmare. We look forward to working together with the Civil Rights Division and the U.S. Attorney’s Office for the Western District of Texas to provide justice for the victims who allegedly suffered harm in Southwest Key’s shelters.”

Southwest Key operates 29 shelters that provide temporary housing for unaccompanied children in Texas, Arizona and California, and is the largest housing provider for unaccompanied children in the United States. Southwest Key receives grants from the HHS Office of Refugee Resettlement (ORR) to provide housing and other care for unaccompanied children at these shelters. Unaccompanied children are minors who enter the United States without parents or other legal guardians and without lawful immigration status in the United States. The shelters are the children’s homes until they are reunited with their immediate families or placed with a relative or other vetted sponsor while their immigration cases proceed.

The lawsuit, filed yesterday in the U.S. District Court for the Western District of Texas, alleges that, from 2015 through at least 2023, multiple Southwest Key employees subjected children in their care to severe or pervasive sexual harassment that has included, among other things, sexual contact and inappropriate touching, solicitation of sex acts, solicitation of nude photos, entreaties for inappropriate relationships and sexual comments. The complaint further alleges that Southwest Key took insufficient action to prevent sexual harassment of the children in its care, failed to consistently follow federal requirements for preventing, detecting and reporting abuse including sexual harassment, failed to take appropriate or sufficient action to protect the children in its care and discouraged children from disclosing sexual harassment in violation of federal requirements, despite ORR having issued multiple corrective actions to Southwest Key.

The department’s lawsuit seeks monetary damages to compensate the children harmed by the alleged harassment, a civil penalty to vindicate the public interest and a court order barring future discrimination and requiring Southwest Key to take appropriate steps to prevent such harassment in the future.

Individuals who believe that they may have been victims of sexual harassment or abuse at Southwest Key shelters or who have other information that may be relevant to this case, may contact the Justice Department’s housing discrimination tip line at 1-833-591-0291. For Spanish dial “2”; then dial “2” for sexual harassment cases; and dial “3” for the Southwest Key lawsuit mailbox. For English dial “1”; then dial “2” for sexual harassment cases; and dial “9” for the Southwest Key lawsuit mailbox.  Individuals can also email the Justice Department at southwest.key@usdoj.gov or report through our online portal at civilrights.justice.gov/link/southwestkey.

The Justice Department’s Sexual Harassment in Housing Initiative is led by the Civil Rights Division, in coordination with U.S. Attorneys’ Offices across the country. The initiative seeks to address and raise awareness about sexual harassment by people who have control over housing. Since launching the initiative in October 2017, the department has filed 43 lawsuits alleging sexual harassment in housing and recovered over $17 million for victims of such harassment.

The Fair Housing Act prohibits discrimination in housing based on race, color, religion, national origin, sex, disability and familial status. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.

Source: United States Department of Justice Criminal Division

This past week, Acting Associate Attorney General Benjamin C. Mizer and Director Rachel Rossi of the Office for Access to Justice participated in the United Nations (UN) High Level Political Forum in New York as part of the official U.S. delegation to the Forum. The UN High Level Political Forum on Sustainable Development is a platform for the review of progress on the 2030 Agenda for Sustainable Development and the Goals of the Agenda at a global level. This year, the Forum focused on UN Sustainable Development Goal 16 (SDG 16), among other goals. The Office for Access to Justice is mandated to assist the United States with the implementation of SDG 16, which focuses on establishing peaceful and inclusive societies for sustainable development, providing access to justice for all, and building effective, accountable, and inclusive institutions at all levels.

On July 11, Acting Associate Attorney General Mizer delivered the United States National Statement on UN SDG 16, where he highlighted the efforts of the United States to advance equal access to justice. During his time at the Forum, Acting Associate Attorney General Mizer met with a range of stakeholders to discuss cooperation on access to justice, including foreign officials and civil society organizations working to advance equality for all.

On July 16, Director Rossi engaged in an informal listening session, convened by the Robert and Helen Bernstein Institute for Human Rights at New York University School of Law. The listening session provided a unique opportunity for Director Rossi to connect with community leaders in New York and hear their reflections on how the goals of SDG 16 relate to their vision of peace and justice. Organizations participating in the listening session were the Bernstein Institute for Human Rights at NYU Law, Jailhouse Lawyer Initiative, Common Justice organization, Hour Children, Perlmutter Center for Legal Justice, Cardozo Law School, Women Who NEVER Give Up, Center for Institutional and Social Change, Columbia Law School, Defying Legal Gravity, Paralegal Pathways Initiative, Columbia Law School, Bronx Defenders, and the Columbia Center for Justice CUNY Law, Formerly Incarcerated Law Student Association.

Following the listening session, Director Rossi gave welcoming remarks for the official United States side event “Turning the Tide: Scaling SDG for the Future, Reinforcing Access to Justice, and Advancing Democracy.” This side event elevated the sustainable, resilient, innovative, and people-centered approaches that governments and stakeholders are employing to advance implementation of SDG 16.

The Office for Access to Justice also hosted a convening to initiate discussions on how the office can best serve as a connector of cross-sector stakeholders to better advance access to justice through the implementation of SDG 16. Convening attendees, including cities, counties, systems impacted individuals, civil society organizations, and federal government partners, discussed how regular engagement going forward can assist to generate knowledge, ensure visibility across efforts, inspire action, and connect data to policy to advance equal access to justice for all. Director Rossi provided remarks for the session which shaped the role of the Office for Access to Justice and the intention of the office in support of SDG 16.3, to promote the rule of law at the national and international levels and ensure access to justice for all.

Director Rossi also met with the Special Rapporteur on the Independence of Judges and Lawyers to discuss SDG 16 and legal empowerment in advancing human rights at the international level.