Category: US Department of Justice

Source: United States Department of Justice News

A Florida man pleaded guilty today to evading his federal income taxes.

According to court documents and statements made in court, between 2015 and 2018, Jeffrey Donaldson of Orlando worked as a loan officer for two mortgage companies and made over $750,000 in wages. He submitted to each of his employers false employee withholding certificates (Forms W-4) claiming that he was exempt from any federal income tax withholding. During that same period, Donaldson willfully did not file personal tax returns even though he earned enough income requiring him to do so. As a result, Donaldson caused a tax loss to the IRS of over $150,000.

Donaldson will be sentenced at a later date and faces a maximum penalty of five years in prison. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, U.S. Attorney Roger B. Handberg for the Middle District of Florida and Special Agent in Charge Brian Payne of IRS-Criminal Investigation Tampa Field Office made the announcement.

IRS-Criminal Investigation is investigating the case.

Trial Attorneys Isaiah Boyd and Brian Flanagan of the Justice Department’s Tax Division and Assistant U.S. Attorney Terry Livanos for the Middle District of Florida are prosecuting the case.

Source: United States Department of Justice News

Elmer Stewart Rhodes III, 58, of Granbury, Texas, the founder and leader of the Oath Keepers, and Kelly Meggs, 54, of Dunnellon, Florida, the leader of the Florida chapter of the organization, were sentenced today for seditious conspiracy and other charges related to the breach of the U.S. Capitol on Jan. 6, 2021. Their actions disrupted a joint session of the U.S. Congress that was in the process of ascertaining and counting the electoral votes related to the presidential election.

Rhodes was sentenced to 18 years in prison followed by three years of supervised release. His is the longest sentence, to date, related to the assault on law enforcement and the U.S. Capitol Building.

Meggs was sentenced to 12 years in prison followed by three years of supervised release.

“Today’s sentences reflect the grave threat the actions of these defendants posed to our democratic institutions,” said Attorney General Merrick B. Garland. “The United States proved at trial that the Oath Keepers plotted for months to violently disrupt the peaceful transfer of power from one administration to the next. The Justice Department will continue to do everything in our power to hold accountable those criminally responsible for the January 6th attack on our democracy.”

“Today’s sentencings reflect the FBI’s commitment to do our part to hold accountable individuals who committed criminal acts on January 6, 2021, as well as those who plotted to interfere with the lawful transfer of power,” said FBI Director Christopher Wray. “We will continue to work with our partners to bring to justice those who violated our laws in connection with the siege on the U.S. Capitol.”

“There have been few instances in our nation’s history when our fellow citizens have engaged in a seditious conspiracy — a conspiracy to use force to oppose the functioning of our government,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “More people were convicted of seditious conspiracy in connection with the siege of the Capitol on January 6, 2021, than any other criminal event since the statute was enacted during the Civil War. Today’s sentencing affirms the rule of law and imposes substantial consequences on Stewart Rhodes and Kelly Meggs who, together, conspired to violently attack our government and our democracy.”

Rhodes and Meggs were found guilty on Nov. 29, 2022, following an eight-week trial and three days of deliberations. In addition to the seditious conspiracy charge, Rhodes was convicted of obstruction of an official proceeding and tampering with documents and proceedings. Meggs was also found guilty of conspiracy to obstruct an official proceeding, obstruction of an official proceeding, conspiracy to prevent an officer from discharging duties, and tampering with documents or proceedings.

According to the government’s evidence, the Oath Keepers are a large but loosely organized collection of individuals, some of whom are associated with militias. Following the Nov. 3, 2020, presidential election, Rhodes, Meggs, and others began plotting to oppose, by force, the lawful transfer of presidential power. Beginning in late December 2020, via encrypted and private communications applications, Rhodes, Meggs, and others coordinated and planned to travel to Washington, D.C., on or around Jan. 6, 2021, the date of the certification of the electoral college vote.

The defendants also, collectively, employed a variety of manners and means, including: organizing into teams that were prepared and willing to use force and to transport firearms and ammunition into Washington, D.C.; recruiting members and affiliates; organizing trainings to teach and learn paramilitary combat tactics; bringing and contributing paramilitary gear, weapons, and supplies – including knives, batons, camouflaged combat uniforms, tactical vests with plates, helmets, eye protection, and radio equipment – to the Capitol grounds; breaching and attempting to take control of the Capitol grounds and building on Jan. 6, 2021, in an effort to prevent, hinder and delay the certification of the electoral college vote; using force against law enforcement officers while inside the Capitol on Jan. 6, 2021; continuing to plot, after Jan. 6, 2021, to oppose by force the lawful transfer of presidential power, and using websites, social media, text messaging and encrypted messaging applications to communicate with each other and others.

On Jan. 6, 2021, a large crowd began to gather outside the Capitol perimeter as the Joint Session of Congress got under way at 1 p.m. Crowd members eventually forced their way through, up, and over U.S. Capitol Police barricades and advanced to the building’s exterior façade. Shortly after 2 p.m., crowd members forced entry into the Capitol by breaking windows, ramming open doors, and assaulting Capitol police and other law enforcement officers. At about this time, according to the government’s evidence, Rhodes entered the restricted area of the Capitol grounds and directed his followers to meet him at the Capitol.

At approximately 2:30 p.m., according to the government’s evidence, Meggs, along with other Oath Keepers and affiliates – many wearing paramilitary clothing and patches with the Oath Keepers name, logo, and insignia – marched in a “stack” formation up the east steps of the Capitol, joined a mob, and made their way into the Capitol. Rhodes remained outside, coordinating activities.

While certain Oath Keepers members and affiliates breached the Capitol grounds and building, others remained stationed just outside of the city in quick reaction force (QRF) teams. According to the government’s evidence, the QRF teams were prepared to rapidly transport firearms and other weapons into Washington, D.C., in support of operations aimed at using force to stop the lawful transfer of presidential power.

Rhodes was arrested on Jan. 13, 2022, in Texas. Meggs was arrested on Feb. 17, 2021, in Florida. 

The U.S. Attorney’s Office for the District of Columbia and the Justice Department’s National Security and Criminal Divisions are prosecuting the case. Valuable assistance was provided by numerous U.S. Attorneys’ Offices throughout the country.

The case is being investigated by the FBI Washington Field Office with valuable assistance provided by numerous FBI offices throughout the country, including the Dallas, Cincinnati, Tampa, Jacksonville, and Richmond Field Offices.

In the 28 months since Jan. 6, 2021, more than 1,000 individuals have been arrested in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 320 individuals charged with assaulting or impeding law enforcement. The investigation remains ongoing. 

Anyone with tips can call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.

Source: United States Department of Justice News

            WASHINGTON — A Kentucky man has been arrested on felony and misdemeanor charges for his actions during the breach of the U.S. Capitol on Jan. 6, 2021. His actions and the actions of others disrupted a joint session of the U.S. Congress convened to ascertain and count the electoral votes related to the presidential election.

            Daniel Edwin Wilson, 47, of Louisville, Kentucky is charged in a criminal complaint filed in the District of Columbia with obstruction, a felony, and four misdemeanors including:  knowingly entering and remaining in a restricted building or grounds, disorderly and disruptive conduct in a restricted building or grounds, disorderly conduct on Capitol grounds, and parading, demonstrating or picketing on Capitol grounds. He was arrested today in Louisville, KY and is expected to make his initial appearance later today in the Western District of Kentucky.

            According to court documents, Wilson began planning, in the winter of 2020, to obstruct and interfere with the joint session of Congress at the Capitol on Jan. 6, 2021, to certify the electoral college vote. On Dec. 22, 2020, Wilson—who in a Telegram chat group went by the moniker “Live Wire”—responded to a discussion regarding traveling to Washington, D.C. for Jan. 6, 2021 by writing, “Ooh Rah. Curb stomp crew all in!!!” Later that same day, Wilson wrote, “We are willing to work and coordinate with others but I am a gray ghost ranger,” referring to Wilson’s affiliation with a particular militia.  Wilson also discussed bringing firearms to Washington, D.C. for Jan. 6, 2021, but he ultimately wrote, on Dec. 24, 2020, “In my opinion I don’t think it’s time to gun up for the sixth we have to play this out but if they seat biden on the 20th all bets are off it’s gonna happen even if Trump wins we have to get this government under control it’s been crossing my mind if we go to a Civil War do we try to take Washington DC first or do we try to take state capitals first.”  On Dec. 27, 2020, Wilson wrote, “I am ready to lay my life on the line. It is time for good men to do bad things.”

            On Jan. 6, 2021, Wilson was captured in open-source and U.S. Capitol CCTV footage at the U.S. Capitol, wearing a pair of blue jeans, tan boots, and a blue hooded sweatshirt, carrying a red backpack and an olive-green fabric pouch, and at times, wearing a gas mask. A review of the U.S Capitol’s CCTV footage revealed that, at approximately 2:37 PM, Wilson entered the U.S. Capitol building through the Upper West Terrace Door. After entering the building, Wilson walked into the Rotunda, where he remained for several minutes. From the Rotunda, Wilson walked through Statuary Hall. He then returned to the Rotunda and ultimately exited through the East Rotunda Doors at approximately 2:49 PM.

            In an interview with FBI agents on March 9, 2021, Wilson repeatedly denied being inside the Capitol building. A search warrant was obtained and, on June 3, 2022, during the execution of the warrant, law enforcement seized six firearms from Wilson’s residence, which were stored in a backpack and inside a cabinet in his residence, covered by clothing. Wilson was prohibited from possessing firearms at the time, due to previous felony convictions. At least two of the seized firearms were loaded at the time of seizure, and another two did not have serial numbers.

            This case is being prosecuted by the U.S. Attorney’s Office for the District of Columbia and the Department of Justice National Security Division’s Counterterrorism Section. Valuable assistance was provided by the U.S. Attorney’s Office for the Western District of Kentucky.

            The case is being investigated by the FBI’s Louisville and Washington Field Offices. Valuable assistance was provided by the U.S. Capitol Police and the Metropolitan Police Department.

            In the 28 months since Jan. 6, 2021, more than 1,000 individuals have been arrested in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 320 individuals charged with assaulting or impeding law enforcement. The investigation remains ongoing. 

            Anyone with tips can call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.

            A complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

Source: United States Department of Justice News

Court Concludes Oath Keepers Leaders’ Conduct was Terrorism

            WASHINGTON – Elmer Stewart Rhodes III, the founder and leader of the Oath Keepers, and Kelly Meggs, the leader of the Florida chapter of the organization, were sentenced today for seditious conspiracy and other charges related to the breach of the U.S. Capitol on Jan. 6, 2021. Their actions disrupted a joint session of the U.S. Congress that was in the process of ascertaining and counting the electoral votes related to the presidential election.  The evidence at trial proved that the defendants had been plotting for weeks if not months to oppose the lawful transfer of power following the 2020 U.S. Presidential Election.

            Rhodes, 57, of Granbury, Texas, was sentenced to 18 years in prison and 36 months of supervised release. His is the longest sentence, to date, related to the January 6 attack on the Capitol.

            Meggs, 53, of Dunnellon, Florida, was sentenced to 12 years in prison and 36 months of supervised release. 

            This is the first time a court has found that a defendant’s conduct related to the January 6 attack was tantamount to terrorism warranting an upward departure under the sentencing guidelines. 

            “Today’s sentences reflect the grave threat the actions of these defendants posed to our democratic institutions,” said Attorney General Merrick B. Garland. “The United States proved at trial that the Oath Keepers plotted for months to violently disrupt the peaceful transfer of power from one administration to the next. The Justice Department will continue to do everything in our power to hold accountable those criminally responsible for the January 6th attack on our democracy.”

            “There have been few instances in our Nation’s history when our fellow citizens have engaged in a seditious conspiracy—a conspiracy to use force to oppose the functioning of our government,” said U.S. Attorney Matthew M. Graves. “More people were convicted of seditious conspiracy in connection with the siege of the Capitol on January 6, 2021, than any other criminal event since the statute was enacted during the Civil War. Today’s sentencing affirms the rule of law and imposes substantial consequences on Stewart Rhodes and Kelly Meggs who, together, conspired to violently attack our government and our democracy.”

            “The violence and criminal conduct displayed at the U.S. Capitol building on January 6, 2021, showed a blatant disregard for our institutions of government and democratic process,” said David Sundberg, Assistant Director in Charge of the FBI Washington Field Office. “These sentencings underscore the FBI’s commitment to holding accountable those who sought to betray the values of our democracy by using the guise of First Amendment protected activity to engage in violent criminal activity to stop the peaceful transition of presidential power.”

            Rhodes and Meggs were found guilty on November 29, 2022, following an eight-week trial and three days of deliberations. In addition to the seditious conspiracy charge, Rhodes was convicted of obstruction of an official proceeding and tampering with documents and proceedings; Meggs, 53, of Dunnellon, Florida, also was found guilty of conspiracy to obstruct an official proceeding, obstruction of an official proceeding, conspiracy to prevent an officer from discharging duties, and tampering with documents or proceedings.

            According to the government’s evidence, the Oath Keepers are a large but loosely organized collection of individuals, some of whom are associated with militias. Following the Nov. 3, 2020, presidential election, Rhodes, Meggs, and others began plotting to oppose, by force, the lawful transfer of presidential power. Beginning in late December 2020, via encrypted and private communications applications, Rhodes, Meggs, and others coordinated and planned to travel to Washington, D.C., on or around Jan. 6, 2021, the date of the certification of the electoral college vote.

            The defendants and their co-conspirators also collectively employed a variety of manners and means, including: organizing into teams that were prepared and willing to use force and to transport firearms and ammunition into Washington, D.C.; recruiting members and affiliates; organizing trainings to teach and learn paramilitary combat tactics; bringing and contributing paramilitary gear, weapons, and supplies – including knives, batons, camouflaged combat uniforms, tactical vests with plates, helmets, eye protection, and radio equipment – to the Capitol grounds; breaching and attempting to take control of the Capitol grounds and building on Jan. 6, 2021, in an effort to prevent, hinder and delay the certification of the electoral college vote; using force against law enforcement officers while inside the Capitol on Jan. 6, 2021; continuing to plot, after Jan. 6, 2021, to oppose by force the lawful transfer of presidential power, and using websites, social media, text messaging and encrypted messaging applications to communicate with each other and others.

            On Jan. 6, 2021, a large crowd began to gather outside the Capitol perimeter as the Joint Session of Congress got under way at 1 p.m. Crowd members eventually forced their way through, up, and over U.S. Capitol Police barricades and advanced to the building’s exterior façade. Shortly after 2 p.m., crowd members forced entry into the Capitol by breaking windows, ramming open doors, and assaulting Capitol police and other law enforcement officers. At about this time, according to the government’s evidence, Rhodes entered the restricted area of the Capitol grounds and directed his followers to meet him at the Capitol.

            At approximately 2:30 p.m., according to the government’s evidence, Meggs, along with other Oath Keepers and affiliates – many wearing paramilitary clothing and patches with the Oath Keepers name, logo, and insignia – marched in a “stack” formation up the east steps of the Capitol, joined a mob, and made their way into the Capitol. Rhodes remained outside, directing and coordinating activities.

            While certain Oath Keepers members and affiliates breached the Capitol grounds and building, others remained stationed just outside of the city in quick reaction force (QRF) teams. According to the government’s evidence, the QRF teams were prepared to rapidly transport firearms and other weapons into Washington, D.C., in support of operations aimed at using force to stop the lawful transfer of presidential power.

            Rhodes was arrested on Jan. 13, 2022, in Texas. Meggs was arrested on Feb. 17, 2021, in Florida. 

            This case is being prosecuted by the U.S. Attorney’s Office for the District of Columbia and the Department of Justice’s National Security and Criminal Divisions. Valuable assistance was provided by numerous U.S. Attorney’s Offices throughout the country.

            The case is being investigated by the FBI’s Washington Field Office with valuable assistance provided by numerous FBI offices throughout the country, including the Dallas and Jacksonville Field Offices.

            In the 28 months since Jan. 6, 2021, more than 1,000 individuals have been arrested in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 320 individuals charged with assaulting or impeding law enforcement. The investigation remains ongoing. 

            Anyone with tips can call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.

Source: United States Department of Justice 2

Vasso Godiali, a vascular surgeon from Bay City, Michigan, was sentenced on May 3 to 80 months in prison for orchestrating a multimillion-dollar scheme to defraud health care programs by submitting claims for the placement of vascular stents and for thrombectomies that he did not perform and was ordered to pay $19.5 million in restitution collectively to Medicare, Medicaid, and Blue Cross/Blue Shield of Michigan (BCBSM). Additionally, Godiali agreed to pay the United States up to $43,419,000 to resolve related civil allegations that his fraudulent billings to federal health care programs violated the False Claims Act (FCA).

According to a plea agreement that Godiali entered on Feb. 8, 2022, Godiali began to knowingly defraud medical insurers, including Medicare and Medicaid, in approximately 2009. Godiali billed for the placement of multiple vascular stents in the same blood vessel and prepared medical records purporting to document the medical necessity justifying that billing. In fact, however, Godiali did not place those stents and admitted to billing for services never rendered while preparing materially inaccurate medical records to justify the fraudulent billings.

Godiali also billed for arterial thrombectomies and created medical records that stated he encountered occluded arteries that would justify the performance of the procedures. However, he admitted that he often encountered no such occlusions, performed no such thrombectomies, and thus billed insurers for services never rendered while preparing false medical records to justify the fraudulent claims. Godiali’s fraudulent practices resulted in $14,473,000 in damages to the federal government, and a total of $19.5 million across Medicare, Medicaid, and BCBSM, which he agreed to repay as restitution as part of his plea agreement. 

In the related FCA action, in addition to alleging that Godiali submitted false claims for procedures that he never performed, the United States alleged that Godiali improperly used Modifier 59 to “unbundle” services that should have been billed together in a single claim to increase his reimbursements from federal health care programs.

A civil forfeiture case resulted in the seizure of approximately $39.9 million from financial accounts controlled by Godiali. Except for $7.5 million, which will be released to Godiali’s wife pursuant to an agreement with the United States, all of the seized funds will be used to pay the criminal judgment or the FCA settlement. 

“We will not tolerate the use of federal health care programs as a source of personal enrichment,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Today’s settlement demonstrates our commitment to protecting the integrity of those programs and the taxpayer funds used to support them.”

“A priority of my office is protecting our district against unscrupulous health care providers.” said U.S. Attorney Dawn N. Ison for the Eastern District of Michigan. “Dr. Godiali stole an enormous amount of money from both public and private health insurers over a number of years, and falsified medical records to cover up his scheme to defraud. We hope that today’s sentence and substantial civil recovery deter any other physicians likewise inclined to line their pockets at the expense of the public.”

“This provider egregiously stole millions of dollars from taxpayers by billing federal health care programs for services that were neither medically necessary nor rendered to his patients,” said Special Agent in Charge Mario M. Pinto of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “As this case demonstrates, HHS-OIG and our partners remain committed to ensuring that vital taxpayer dollars are used lawfully and for their intended purposes, not for the illegitimate financial gain of an individual provider.”

“The scope of Godiali’s fraud is truly stunning,” said Special Agent in Charge James A. Tarasca of the FBI Detroit Field Office. “This investigation proves the collective resources of law enforcement and the private sector can successfully combat fraud in our health care system.”

The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Innovative Solutions Consulting, LLC. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. As part of the civil resolution, Innovative Solutions will receive up to $4,341,900. The qui tam case is captioned U.S. ex rel. Innovative Solutions Consulting LLC v. Vasso Godziachvili Godiali, M.D., Case No. 1:15-cv-14150-TLL-PTM (E.D. Mich.).

The criminal case was prosecuted by Assistant U.S. Attorneys John Neal, Philip Ross, and Craig Wininger for the Eastern District of Michigan. The FCA matter was handled by Senior Trial Counsel Sarah Arni of the Justice Department’s Civil Division and Assistant U.S. Attorney John Postulka for the Eastern District of Michigan. The civil forfeiture action was handled by Assistant U.S. Attorney Philip Ross for the Eastern District of Michigan. These matters received assistance from HHS-OIG, the FBI, the Michigan Attorney General’s Office, and the Michigan Department of Health and Human Services Office of Inspector General. 

Except as to conduct admitted in connection with the criminal resolution, the claims resolved by the civil settlement are allegations only and there has been no determination of liability.