Category: US Department of Justice

Source: United States Department of Justice

A federal jury convicted a Kentucky doctor, a Texas businessman, and a Kentucky woman yesterday for their roles operating a scheme out of a series of addiction treatment facilities in Kentucky that fraudulently billed Medicare and Kentucky Medicaid for over $8 million.

According to court documents and evidence presented at trial, Dr. José Alzadon, 61, of Paintsville, Kentucky; Michael Bregenzer, 52, of Richmond, Texas; and Barbie Vanhoose, 62, of West Van Lear, Kentucky, orchestrated their health care fraud scheme through Kentucky Addiction Centers (KAC), which operated in Winchester, Paducah, Paintsville, and London, Kentucky. As part of his role as KAC’s medical director, Alzadon prescribed Suboxone, a controlled substance that can be used to treat opioid addiction when properly prescribed under regulations issued by the Drug Enforcement Administration (DEA). Bregenzer served as KAC’s CEO and Vanhoose as KAC’s billing manager.

Together, Alzadon, Bregenzer, and Vanhoose ran a scheme that falsely billed taxpayer-funded health programs like Medicare and Medicaid for medical services that were not performed or were falsely represented as more complex than the services provided. They also conspired to falsely bill for services in the name of Alzadon’s elderly father, using Alzadon’s father’s identity to bypass insurance credentialing issues that Alzadon had, and to use Alzadon’s father’s DEA prescribing credentials to prescribe Suboxone, even though Alzadon’s father had not seen the patients for whom he was supposedly issuing prescriptions.

Alzadon, Bregenzer, and Vanhoose were each convicted of one count of conspiracy to commit health care fraud, eight counts of health care fraud, and one count of conspiracy to distribute controlled substances using the DEA registration number of another person. They face a maximum penalty of ten years in prison on each health care fraud conspiracy and substantive health care fraud count and four years in prison on the conspiracy to distribute controlled substances count. Alzadon and Vanhoose were also each convicted of two counts of aggravated identity theft and face a consecutive mandatory minimum of two years in prison. Alzadon and Bregenzer are scheduled to be sentenced on June 25 and Vanhoose is scheduled to be sentenced on June 26. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Matthew R. Galeotti, head of the Justice Department’s Criminal Division; Special Agent in Charge Jim Scott of the DEA Louisville Division; Special Agent in Charge Michael E. Stansbury of the FBI Louisville Field Office; Special Agent in Charge Kelly Blackmon of the Department of Health and Human Service Office of the Inspector General (HHS-OIG); Regional Director Joe Rivers of the Department of Labor Employee Benefits Security Administration (DOL-EBSA); and Kentucky Attorney General Russell Coleman made the announcement.

The DEA, FBI, HHS-OIG, DOL-EBSA, and the Kentucky Medicaid Fraud Control Unit investigated this case.

Trial Attorneys Dermot Lynch, Sarah Edwards, and Samad Pardesi of the Criminal Division’s Fraud Section are prosecuting the case.

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 5,800 defendants who collectively have billed federal health care programs and private insurers more than $30 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, 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.

Source: United States Department of Justice Criminal Division

Deputy Attorney General Todd Blanche made the following statement today regarding an investigation into the leak of intelligence information.

“The Justice Department is opening a criminal investigation relating to the selective leak of inaccurate, but nevertheless classified, information from the Intelligence Community relating to Tren de Aragua (TDA). We will not tolerate politically motivated efforts by the Deep State to undercut President Trump’s agenda by leaking false information onto the pages of their allies at the New York Times. The Alien Enemies Proclamation is supported by fact, law, and common sense, which we will establish in court and then expel the TDA terrorists from this country.”

Source: United States Department of Justice Criminal Division

In a coordinated effort by the U.S. Marshal Service (USMS) Southeast Regional Fugitive Task Force (SERFTF), USMS Great Lakes Regional Fugitive Task Force, Immigration and Customs Enforcement (ICE) and the Chicago Police Department, a high-ranking member of the Venezuelan street gang Tren De Aragua (TDA) was arrested yesterday in Cobb County, Georgia.

Ricardo Gonzales, 32, had an arrest warrant from the Chicago Police Department for kidnapping and is wanted on probable cause for two counts of first-degree murder and attempted first-degree murder. These charges stem from an incident on January 28 where Gonzalez is accused of kidnapping three female victims and taking them to an alley in Chicago where they were all shot in the head. Two were pronounced dead on the scene and the surviving victim was able to escape and call 911.

“This defendant’s crimes against American women are horrific, and he is exactly the type of Alien Enemy the Trump administration is fighting to remove from this country in order to make America safe again,” said Attorney General Pamela Bondi.

“This case is a reflection of the tireless work the U.S. Marshal Service and partnering agencies put in to make sure justice has its day in court,” said USMS Acting Director Mark Pittella. “Every arrest contributes to safer communities and demonstrates our unwavering commitment to protecting the public.”

Gonzales was booked into a jail in Cobb County where he awaits extradition to Chicago. During the arrest of Gonzales, five additional people were taken into custody and transferred to ICE Enforcement and Removal Operations (ERO) detention facilities.

The USMS’ SERFTF began operations in June 2003. It has partnership agreements with four federal, and 32 state and local agencies and operates throughout Georgia. The SERFTF has apprehended nearly 47,000 fugitives since its inception and continues striving to protect the community.

Additional information about the U.S. Marshals can be found at www.usmarshals.gov.

*The release was updated to include the Great Lakes Regional Fugitive Task Force.

Source: United States Department of Justice Criminal Division

WASHINGTON — The Department of Justice congratulates Gadyaces “Gady” Serralta on his nomination to be the next Director of the United States Marshals Service (USMS).

Gady Serralta (USMS Director Nominee)

Beginning his career as a Miami Patrol Officer in 1990, Mr. Serralta has dedicated over 34 years of his life to serving in law enforcement. Mr. Serralta has spent the last six years as the U.S. Marshal for the Southern District of Florida after being confirmed in 2018. As the U.S. Marshal for the Southern District of Florida, Mr. Serralta faithfully served millions of residents by managing operations across several counties and in multiple courthouses. Prior to becoming a U.S. Marshal, Mr. Serralta was a Major in the Miami-Dade Police Department and the Police Chief for Palmetto Bay, Florida. Mr. Serralta has extensive experience in handling criminal investigations and tackling organized crime.

Mr. Serralta received a B.S. in Criminal Justice Studies from Florida International University and a M.S. in Leadership from Nova Southeastern University.

Source: United States Department of Justice

Note: View complaint here.

The Justice Department filed a complaint yesterday seeking to permanently bar tax preparer Juan Humberto Garcia, of Kissimmee, Florida, his son-in-law Marcos Yariel Figueroa, and Garcia’s business, the Tax Master of BVL Inc., from preparing federal tax returns for others.

The complaint, filed in a federal court in Orlando, alleges that Garcia and Figueroa prepare and file false federal tax returns through Tax Master that understate their customers’ tax liabilities by reporting false or exaggerated itemized deductions and business expenses.

According to the complaint, the IRS interviewed Tax Master customers who said they were not self-employed and did not incur the business expenses reported on their income tax returns; they did not make the charitable donations or incur the medical expenses reflected on their tax returns; and they did not give Garcia or Figueroa any reason to believe that the items reported on their returns were legitimate.

The complaint alleges that, by repeatedly understating their customers’ tax liabilities, the preparers at Tax Master have caused the United States to lose substantial tax revenue.

In addition to a permanent injunction, the complaint asks the court to order the defendants to turn over the ill-gotten tax preparation fees they earned while preparing and filing fraudulent tax returns.

Return preparer fraud is one of the IRS’ Dirty Dozen Tax Scams, and taxpayers seeking a return preparer should remain vigilant. The IRS has information on its website for choosing a tax preparer, launched a free directory of federal tax preparers, and offers information on how to avoid “ghost” tax preparers whose refusal to sign a return should be a red flag to taxpayers. The IRS also has a checklist of things to remember when filing income tax returns in 2025.

In addition, IRS Free File, a public-private partnership, offers free online tax preparation and filing options on IRS partner websites for individuals whose adjusted gross income is under $84,000. For individuals whose income is over that threshold, IRS Free File offers electronic federal tax forms that can be filled out and filed online for free. The IRS also has tips on how seniors and individuals with low to moderate income can get other help or guidance on tax return preparation.

In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found here. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.