Category: US Department of Justice

Source: United States Department of Justice Criminal Division

Note: View the indictment here

Iranian national Saeid Haji Agha Mousaei, 53, made his initial appearance yesterday in Chicago federal court following his extradition from the United Kingdom to face charges for his role in a years-long conspiracy to evade U.S. export restrictions and transship advanced U.S. electronic testing technology to Iran using third-party countries.

According to court documents, Mousaei was a manager of Dubai-based defendant company Millennium Product Company LLC (MPC). As alleged, from in or about January 2014 through at least August 2018, Mousaei, MPC and others, devised and participated in a scheme to obtain controlled electronics with military applications, including signals equipment like oscilloscopes and spectrum analyzers, for export and re-export to Iran.

As alleged, Mousaei and his co-defendants understood export restrictions on U.S.-origin goods to prohibited destinations like Iran and falsely represented to U.S. distributors that their purchases would remain in countries other than Iran, like the United Arab Emirates (UAE) or Armenia, where the defendants controlled unnamed companies. In reality, after arranging for distributors of U.S.-origin goods to export shipments to the UAE, the defendants allegedly transshipped goods from the UAE to Iran without the required license and in violation of U.S. law.

Mousaei and MPC are each charged with conspiracy to defraud the United States, which carries a maximum penalty of five years in prison; smuggling goods from the United States, which carries a maximum penalty of 10 years in prison; wire fraud, which carries a maximum penalty of 20 years in prison and violating the International Emergency Economic Powers Act, which carries a maximum penalty of 20 years in prison. Mousaei was arrested in the United Kingdom on Jan. 24, 2023, pursuant to an Interpol diffusion notice.

Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, Acting U.S. Attorney Morris Pasqual for the Northern District of Illinois, Executive Assistant Director Robert R. Wells of the FBI’s National Security Branch and Assistant Secretary for Export Enforcement Matthew S. Axelrod of the Commerce Department’s Bureau of Industry and Security (BIS) made the announcement.

The FBI and BIS are investigating the case.

Assistant U.S. Attorney Shawn D. McCarthy for the Northern District of Illinois and Trial Attorney Emma Ellenrieder of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.

The Justice Department’s Office of International Affairs provided valuable assistance in securing the extradition of Mousaei from the United Kingdom.

This prosecution is being coordinated through the Disruptive Technology Strike Force, an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation states. Under the leadership of the Assistant Attorney General for National Security and the Assistant Secretary of Commerce for Export Enforcement, the Strike Force leverages tools and authorities across the U.S. Government to enhance the criminal and administrative enforcement of export control laws.

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

Source: United States Department of Justice Criminal Division

A New Jersey man was sentenced today to 40 years in prison to be followed by five years of supervised release for committing a series of bias-motivated violent assaults on members of the Orthodox Jewish community in and around Lakewood, New Jersey.

Dion Marsh, 29, previously pleaded guilty before U.S. District Judge Zahid N. Quraishi to an information charging him with five counts of violating the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act and one count of carjacking. With respect to the Shepard Byrd Act violations, Marsh admitted to willfully causing bodily injury to five victims and attempting to kill and cause injuries with dangerous weapons to four of the victims because they are Jewish.

“Enough is enough – hate-fueled attacks on the Orthodox Jewish community are abhorrent, unlawful and contrary to our values as Americans” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “As we aggressively work to confront and eradicate antisemitic violence, we recognize the unique vulnerabilities faced by Orthodox Jews who are often targeted because of religious clothing and yarmulkes. The Justice Department will continue to vigorously investigate and prosecute senseless hate crimes and we will protect people exercising their constitutional right to practice their religion.”

“The threat from hate-fueled violence is a sad reality that impacts far too many people across our state and our nation,” said U.S. Attorney Philip R. Sellinger for the District of New Jersey. “This defendant previously admitted to violently attacking five men, driving a car into four of them, stabbing one of them in the chest, and attempting to kill them simply because they were visibly identifiable as Orthodox Jews. The sentence imposed today holds Marsh accountable for his brutal and hate-filled rampage. We have no higher priority than protecting the civil rights of our New Jersey residents.”

“These victims were targeted by Marsh because of the way they were dressed, which is in accordance with their religious beliefs,” said Special Agent in Charge James E. Dennehy of the FBI Newark Field Office. “They have that right in this country. Marsh, however, did not have the right and broke federal law, when he attacked, stabbed and carjacked innocent people. The rise of hate crimes in our communities has become a noxious disease. FBI Newark and our law enforcement partners will aggressively pursue anyone who violates someone’s constitutionally protected civil rights to simply be who they are. We ask anyone who thinks they’ve been a victim, or knows someone who is, to contact us so we can help them.”

According to court documents and statements made in court, on April 8, 2022, Marsh carried out a series of violent assaults on members of the Orthodox Jewish Community in and around Lakewood. Each of Marsh’s victims were attired in traditional garments worn by members of the Orthodox Jewish community and were assaulted because they were visibly identifiable Orthodox Jews.

Specifically, at 1:18 p.m. on April 8, 2022, Marsh forced a visibly identifiable Orthodox Jewish man out of his car in Lakewood, assaulting and injuring him. Marsh took control of the man’s car and drove away.

At 5:20 p.m., Marsh was in Lakewood driving a different car when he deliberately struck another visibly identifiable Orthodox Jewish man with the vehicle, attempting to kill the victim.

At 6:06 p.m., Marsh used that second vehicle to deliberately strike another visibly identifiable Orthodox Jewish man, attempting to kill the victim and causing him to suffer several broken bones.

At 6:55 p.m., Marsh, once again driving the vehicle that he had stolen from the first victim, attempted to kill another visibly identifiable Orthodox Jewish man who was walking in Lakewood by deliberately striking him with the vehicle. Marsh got out of the vehicle and stabbed the man in the chest with a knife, causing the victim to suffer a stab wound and other injuries.

At 8:23 p.m., Marsh, still driving the vehicle that he had stolen from the first victim, used it to deliberately strike another visibly identifiable Orthodox Jewish man who was walking in nearby Jackson Township, New Jersey, attempting to kill the man and causing him to suffer several broken bones and internal injuries.

The FBI Newark Field Office, Red Bank Resident Agency, Lakewood Police Department, Jackson Township Police Department, Ocean County Sheriff’s Office, Ocean County Prosecutor’s Office and New Jersey State Police investigated the case.

Assistant U.S. Attorney and Deputy Chief of the Civil Rights Division R. Joseph Gribko for the District of New Jersey prosecuted the case with assistance from the Justice Department’s Civil Rights Division.

Source: United States Department of Justice Criminal Division

Prysmian Cables and Systems USA LLC (Prysmian), located in Abbeville, South Carolina, has agreed to pay $920,000 to settle allegations that it violated the False Claims Act by knowingly falsifying test results and failing to conduct required testing on military cable, known as M13486 cable, that was used in vehicles manufactured for use by the military. The alleged misconduct took place from approximately 2005 to 2021 at a facility in Paragould, Arkansas. Prysmian acquired the Paragould facility in 2018. The settlement resolves allegations disclosed by Prysmian under the Federal Acquisition Regulation (FAR)’s mandatory disclosure rule that Prysmian and prior owners of the Paragould facility had failed to conduct several required tests and, instead, had prepared and submitted to the United States falsified test results and false certifications of compliance.

In early 2021, a Defense Logistics Agency employee noticed discrepancies between the cable manufacturing and testing dates on test data submitted by Prysmian and refused to accept the test data, which triggered an internal investigation at Prysmian. As a result of its investigation, Prysmian terminated four employees involved in the alleged misconduct, including its quality manager, quality systems coordinator, quality engineer and product development supervisor. Prysmian also repurchased all suspect cable that had been shipped to its distributor and made a mandatory disclosure under the FAR. Prysmian cooperated with the United States’ subsequent investigation. 

“Companies who do business with the United States must comply with their contractual commitments,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will hold accountable government contractors who knowingly fail to perform required services or misrepresent their performance of such services, including mandatory testing requirements.”

“The manufacturing of defective products, including ones intended for use in military vehicles, creates a significant risk to America’s warfighters,” said Acting Special Agent in Charge Ryan Settle of the Department of Defense Office of Inspector General, Defense Criminal Investigative Service (DCIS), Southwest Field Office. “DCIS remains committed to working with our law enforcement partners and the Justice Department to hold accountable those who commit fraudulent activity that impacts the Department of Defense.”

DCIS and the Army Criminal Investigation Division investigated the case.

Senior Trial Counsel Alicia J. Bentley of the Civil Division handled the matter.

The claims against Prysmian resolved by the settlement are allegations only and there has been no determination of liability.

Settlement

Source: United States Department of Justice Criminal Division

The Justice Department has reached an agreement with “Jasmine” Loo Ai Swan (Loo), the former general counsel of 1Malaysia Development Berhad (1MDB), Malaysia’s sovereign investment development fund, to recover artwork by Pablo Picasso and a financial account in Switzerland traced to funds allegedly embezzled from 1MDB. Additionally, the Justice Department has obtained forfeiture orders on other assets allegedly purchased with 1MDB funds by Low Taek Jho, also known as Jho Low (Low), including diamond jewelry and artwork by Vincent Van Gogh, Claude Monet, Pablo Picasso, Jean-Michel Basquiat, and Diane Arbus. 

The department previously brought numerous civil forfeiture cases against assets that it alleges were acquired by Low and his co-conspirators using funds allegedly embezzled from 1MDB. According to the civil forfeiture complaints, from 2009 through 2015, more than $4.5 billion in funds belonging to 1MDB were allegedly misappropriated by high-level officials of 1MDB and their associates, including Low and Loo, through a criminal conspiracy involving international money laundering and bribery. 1MDB was created by the government of Malaysia to promote economic development in Malaysia through global partnerships and foreign direct investment. Its funds were intended to be used to improve the well-being of the Malaysian people.

The agreement with Loo resolves the civil forfeiture action against the Picasso artwork and financial account in Switzerland under her control, which are collectively valued at approximately $1.8 million. The agreement with Loo announced today does not release any criminal claims against her. 

The forfeiture of the other artwork and jewelry allegedly purchased by Low, which is based on a recent settlement agreement entered into in connection with the real estate and artwork forfeitures in two other cases, resolves three additional civil forfeiture cases filed in the U.S. District Court for the Central District of California.  The collective value of these assets, together with the Loo assets, is estimated to be nearly $85 million.   

Prior to this settlement, in total, the United States has returned or assisted in the return to Malaysia of over $1.4 billion in assets associated with the international money laundering, embezzlement, and bribery scheme.  

Low separately faces criminal charges in the Eastern District of New York for allegedly conspiring to launder billions of dollars embezzled from 1MDB and for conspiring to violate the Foreign Corrupt Practices Act by allegedly paying bribes to various Malaysian and Emirati officials, and in the District of Columbia for allegedly conspiring to make and conceal foreign and conduit campaign contributions during the United States presidential election in 2012. The agreement with Loo announced today does not release any entity or individual from filed or potential criminal charges.

The FBI’s International Corruption Squads in New York City and Los Angeles and IRS Criminal Investigation Los Angeles Field Office are investigating the case.  

Trial Attorneys Barbara Levy, Sean Fern, Jonathan Baum, and Joshua Sohn of the Criminal Division’s Money Laundering and Asset Recovery Section (MLARS) and Assistant U.S. Attorney Jonathan Galatzan for the Central District of California are prosecuting the case, with significant assistance from the Justice Department’s Office of International Affairs and MLARS’ Program Management Staff.

The Justice Department also appreciates the significant assistance provided over the course of this investigation and in particular related to the recovery of these assets by the Attorney General’s Chambers of Malaysia, the Royal Malaysia Police, the Malaysian Anti-Corruption Commission, the Attorney-General’s Chambers of Singapore, the Singapore Police Force-Commercial Affairs Department, the Office of the Attorney General and the Federal Office of Justice of Switzerland, and the Attorney General’s Chambers of the Territory of the British Virgin Islands.

The Kleptocracy Asset Recovery Initiative is led by a team of dedicated prosecutors in MLARS, in partnership with federal law enforcement agencies, and often with U.S. Attorneys’ Offices, to forfeit the proceeds of foreign official corruption. Individuals with information about possible proceeds of foreign corruption located in or laundered through the United States should contact federal law enforcement or send an email to kleptocracy@usdoj.gov or https://tips.fbi.gov/.

Source: United States Department of Justice Criminal Division

Andrezj Boryga, 67, pleaded guilty and was sentenced today to 24 months in prison and two years of supervised release for willfully transmitting in interstate commerce threats to injure other people and for choosing his victims because of their religion.

According to the records filed in the case, between July 9 and Dec. 14, 2022, Boryga left voicemails at Anti-Defamation League offices located in New York, Texas, Colorado, and Nevada. Boryga used antisemitic slurs on eight voicemails as he threatened to assault or kill Jewish people.

In the last few months, the Justice Department has brought charges, obtained plea agreements, and obtained sentences for more than 30 defendants for criminal acts motivated by antisemitic hate.

“Hate-fueled threats of violence seek to fracture our society and isolate communities from one another,” said Attorney General Merrick B. Garland. “This defendant made heinous, repeated violent threats targeting Jewish people and organizations. His actions were not just heinous, they were unlawful. This case represents the latest effort by the Justice Department to combat the disturbing increase in threats against Jews and Jewish institutions across the United States that we have seen in the wake of October 7th. We will continue to aggressively investigate and prosecute threats and acts of violence motivated by antisemitism and by hatred of any kind.”

“The defendant’s vile and graphic threats demonstrated his hate-filled mindset, and the death threats levied caused genuine fear for the people who received them,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This type of antisemitic, hate-fueled conduct offends our most basic values and has no place in our society. This sentence should send a clear message to perpetrators and would-be perpetrators of hate crimes that we will not hesitate to prosecute those who threaten violence against the Jewish community.”

“Everyone in our country should be able to sit in safety regardless of how they worship, free from bigoted threats meant to make them afraid,” said U.S. Attorney Zachary A. Myers for the Southern District of Indiana. “This criminal’s horrific threats sought to put fear into Jewish communities. Violent antisemitism and bigotry must be given no sanction in this country. Our office will continue to work closely with our partners at the Civil Rights Division and the FBI to hold criminals accountable for hate-based threats and violence.”

The FBI Indianapolis Field Office investigated the case.

Assistant U.S. Attorney Peter A. Blackett for the Southern District of Indiana and Trial Attorney Anita Channapati of Civil Rights Division’s Criminal Section prosecuted the case.