Source: United States Department of Justice

Hezekiah Carney, 26, of Norfolk, Virginia, and Jayquan Jones, 22, of Richmond, Virginia, were each sentenced today to 38 years in prison for federal charges relating to the kidnapping and murder of a fellow Almighty Black P. Stone gang member. A total of four defendants have now been sentenced as part of the case.

“The defendants assaulted and kidnapped a 25-year-old mother of two, drove her to a remote location, and murdered her by shooting her eight times,” said Supervisory Official Antoinette T. Bacon of the Justice Department’s Criminal Division. “Cold-blooded, senseless gang violence like this affects entire communities. Today’s sentencings underscore that protecting our communities from violent criminals is a top Department priority. I applaud the tremendous work of all our prosecutors and law enforcement partners, who made securing these significant sentences possible.”

“This act of wanton violence exemplifies the senseless brutality we associate with organized gangs and emphasizes the importance of eradicating them from our communities,” said U.S. Attorney Erik S. Siebert for the Eastern District of Virginia. “The investigation and prosecution that brought these defendants to justice were successful because of the vital partnerships built with our law enforcement partners working together toward our common goal of public safety.”

“When gang members resort to kidnapping and murder, they leave behind shattered lives and communities in fear,” said Assistant Director Chad Yarbrough of the FBI’s Criminal Investigative Division. “This sentencing should send a message that the FBI and our law enforcement partners are committed to holding dangerous criminals accountable, protecting innocent lives and ensuring our neighborhoods are safe from violence.”

“Today’s sentencing marks another significant step towards justice for the victim, her family and the community. While no sentence can ever undo the pain caused by this tragic crime, we hope this outcome brings forth an amount of closure” said Special Agent in Charge Anthony Spotswood of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Washington Field Division. “The ATF remains committed to working with our law enforcement partners as we protect our community and ensure those that commit violent crimes are held accountable for their actions.”

According to court documents, in the early morning hours of May 6, 2023, Carney, along with co-defendants Jamica Langley, 25, of Richmond; Donnisha Goodman, 27, of Portsmouth, Virginia; and Acacia Jackson, 20, of New York, traveled to the victim’s residence in Richmond to beat her for a perceived gang infraction.

The group left the apartment after beating the victim. About an hour later, Goodman, Jackson, Carney, and Langley returned to the victim’s apartment with fellow gang member Jones. Some of them were armed and wearing masks.

The defendants forced the victim into a Hyundai Sonata and drove her approximately an hour east of Richmond to a remote area in York County, Virginia. After forcing the victim from the vehicle, Jones and Goodman executed her by shooting her at least eight times to the head, abdomen, back, buttocks, and legs.

Upon returning to Portsmouth after the murder, Carney, the leader of the gang, directed Goodman, Jackson, and Langley to burn their clothing, stay together, and not to speak with law enforcement.

The day after the murder, on May 7, 2023, the Norfolk Police Department located the Sonata with Jackson, Goodman, and Langley in the car. From the car, police recovered a 9mm cartridge that displayed the same markings as casings found at the murder scene.

On Aug. 29, 2024, Carney, Goodman, and Jones pleaded guilty to using a firearm causing death, and Langley and Jackson pleaded guilty to conspiring to commit kidnapping. On Jan. 7, Goodman was sentenced to 35 years in prison and Langley was sentenced to 20 years in prison. Jackson is scheduled to be sentenced on Feb. 13.

The FBI, ATF, and state and local law enforcement partners investigated the case.

Trial Attorney Alyssa Levey-Weinstein of the Criminal Division’s Violent Crime and Racketeering Section and Assistant U.S. Attorneys Lisa McKeel and Mack Coleman for the Eastern District of Virginia prosecuted the case.

Source: United States Department of Justice Criminal Division

A California man pleaded guilty today to health care fraud, aggravated identity theft, and money laundering in connection with a years-long scheme to defraud Medicare of more than $17 million through sham hospice companies and his home health care company.

According to court documents, Petros Fichidzhyan, 43, of Granada Hills, engaged in a scheme with others to operate a series of sham hospice companies. Fichidzhyan, along with co-schemers, impersonated the identities of foreign nationals to use as the purported owners of the hospices — including using the identities to open bank accounts and sign property leases — and submitted false and fraudulent claims to Medicare for hospice services that were not medically necessary and not provided. In submitting the false claims, Fichidzhyan and his co-schemers also misappropriated the identifying information of doctors, claiming to Medicare that the doctors had determined hospice services were necessary, when in fact the purported recipients of these hospice services were not terminally ill and had never requested nor received care from the sham hospices. As a result of the scheme, Medicare paid the sham hospices nearly $16 million. Fichidzhyan personally received nearly $7 million of the proceeds from the fraud scheme, including more than $5.3 million in transfers to his personal and business bank accounts, which were laundered through a dozen shell and third-party bank accounts. Fichidzhyan additionally admitted to wrongfully obtaining more than $1 million for his home health care agency through the fraudulent use of a doctor’s name and identifying information in certifying Medicare beneficiaries for home health care, which he attempted to cover up by paying the doctor $11,000.

Fichidzhyan pleaded guilty to health care fraud, aggravated identity theft, and money laundering. He is scheduled to be sentenced on April 14 and faces a mandatory penalty of two years in prison on the aggravated identity theft charge, a maximum penalty of 10 years in prison on the health care fraud charge, and a maximum penalty of 20 years in prison on the money laundering charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Today’s guilty plea is the most recent conviction in the Justice Department’s ongoing effort to combat hospice fraud in the greater Los Angeles area. Last year, a doctor was convicted at trial for his role in a scheme to bill Medicare for hospice services patients did not need, and two other defendants were sentenced for their roles in a hospice fraud scheme.  

Supervisory Official Antoinette T. Bacon of the Justice Department’s Criminal Division, Assistant Director in Charge Akil Davis of the FBI Los Angeles Field Office, and Acting Special Agent in Charge Diane N. Vu of the Department of Health and Human Services Office of Inspector General (HHS-OIG) Los Angeles Regional Office made the announcement.

The FBI and HHS-OIG are investigating the case.

Trial Attorneys Eric C. Schmale and Sarah E. Edwards 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 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 2

A California man pleaded guilty today to health care fraud, aggravated identity theft, and money laundering in connection with a years-long scheme to defraud Medicare of more than $17 million through sham hospice companies and his home health care company.

According to court documents, Petros Fichidzhyan, 43, of Granada Hills, engaged in a scheme with others to operate a series of sham hospice companies. Fichidzhyan, along with co-schemers, impersonated the identities of foreign nationals to use as the purported owners of the hospices — including using the identities to open bank accounts and sign property leases — and submitted false and fraudulent claims to Medicare for hospice services that were not medically necessary and not provided. In submitting the false claims, Fichidzhyan and his co-schemers also misappropriated the identifying information of doctors, claiming to Medicare that the doctors had determined hospice services were necessary, when in fact the purported recipients of these hospice services were not terminally ill and had never requested nor received care from the sham hospices. As a result of the scheme, Medicare paid the sham hospices nearly $16 million. Fichidzhyan personally received nearly $7 million of the proceeds from the fraud scheme, including more than $5.3 million in transfers to his personal and business bank accounts, which were laundered through a dozen shell and third-party bank accounts. Fichidzhyan additionally admitted to wrongfully obtaining more than $1 million for his home health care agency through the fraudulent use of a doctor’s name and identifying information in certifying Medicare beneficiaries for home health care, which he attempted to cover up by paying the doctor $11,000.

Fichidzhyan pleaded guilty to health care fraud, aggravated identity theft, and money laundering. He is scheduled to be sentenced on April 14 and faces a mandatory penalty of two years in prison on the aggravated identity theft charge, a maximum penalty of 10 years in prison on the health care fraud charge, and a maximum penalty of 20 years in prison on the money laundering charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Today’s guilty plea is the most recent conviction in the Justice Department’s ongoing effort to combat hospice fraud in the greater Los Angeles area. Last year, a doctor was convicted at trial for his role in a scheme to bill Medicare for hospice services patients did not need, and two other defendants were sentenced for their roles in a hospice fraud scheme.  

Supervisory Official Antoinette T. Bacon of the Justice Department’s Criminal Division, Assistant Director in Charge Akil Davis of the FBI Los Angeles Field Office, and Acting Special Agent in Charge Diane N. Vu of the Department of Health and Human Services Office of Inspector General (HHS-OIG) Los Angeles Regional Office made the announcement.

The FBI and HHS-OIG are investigating the case.

Trial Attorneys Eric C. Schmale and Sarah E. Edwards 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 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

A Russian national and an Uzbek national, both residing in Florida, were arrested for their alleged participation in a scheme to submit false and fraudulent voter registration applications to the Pinellas County, Florida, Supervisor of Elections.

According to court filings, Dmitry Shushlebin, 45, a citizen of Russia living in Miami Beach, and Sanjar Jamilov, 33, a citizen of Uzbekistan living in St. Petersburg, conspired to submit 132 fraudulent voter registration applications to the Pinellas County Supervisor of Elections in February and March 2023. These applications were submitted in names other than their own, in envelopes with return and address labels that were identically formatted, including containing the same typographical error, and bore various indicia of fraud including, among other things, repeating dates of birth and addresses and nearly sequential social security numbers. Change of address forms were also submitted to the U.S. Postal Service to route mail to the names and addresses on the fraudulent applications to three locations that Shushlebin and Jamilov allegedly controlled.

Shushlebin and Jamilov are each charged with one count of conspiring to submit fraudulent voter registration applications and give false information in registering to vote. If convicted, each 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.

Supervisory Official Antoinette T. Bacon of the Justice Department’s Criminal Division, U.S. Attorney Roger B. Handberg for the Middle District of Florida, Acting Inspector in Charge Steven Hodges of the U.S. Postal Inspection Service (USPIS) Miami Division, and Special Agent in Charge Matthew W. Fodor of the FBI Tampa Field Office made the announcement.

USPIS, FBI, and the Florida Department of Law Enforcement are investigating the case. This case began after a referral from the Florida Department of State, Office of Election Crime and Security.

Trial Attorney Leo J. Wise of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Daniel J. Marcet for the Middle District of Florida are prosecuting the case.

A criminal complaint 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

Note: View the indictment here.

A five-count criminal indictment was unsealed today in federal court in New York charging a Canadian man with exploiting vulnerabilities in two decentralized finance protocols to fraudulently obtain about $65 million from the protocols’ investors.

According to court documents, from 2021 to 2023, Andean Medjedovic, 22, allegedly exploited vulnerabilities in the automated smart contracts used by the KyberSwap and Indexed Finance decentralized finance protocols. Medjedovic borrowed hundreds of millions of dollars in digital tokens, which he used to engage in deceptive trading that he knew would cause the protocols’ smart contracts to falsely calculate key variables. Through his deceptive trades, Medjedovic was able to, and ultimately did, withdraw millions of dollars of investor funds from the protocols at artificial prices, rendering the victims’ investments essentially worthless.

Medjedovic also allegedly laundered the proceeds of his fraudulent schemes through a series of transactions designed to conceal the source and ownership of the funds, including through swap transactions, “bridging transactions,” and the use of a digital assets “mixer.” With others, Medjedovic also allegedly schemed to open accounts with digital assets exchanges using false and borrowed identifying information to conceal the source and true ownership of the proceeds. In around November 2023, after executing the KyberSwap exploit, Medjedovic also allegedly attempted to extort the victims of the KyberSwap exploit through a sham settlement proposal, in which he demanded complete control of the KyberSwap protocol and the decentralized autonomous organization that oversaw the KyberSwap protocol in exchange for returning 50 percent of the digital assets that he fraudulently obtained through his scheme.

Medjedovic is charged with one count of wire fraud, one count of unauthorized damage to a protected computer, one count of attempted Hobbs Act extortion, one count of money laundering conspiracy, and one count of money laundering. If convicted, he faces a maximum penalty of 10 years in prison on the unauthorized damage to a protected computer count and 20 years in prison on each of the other counts. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Supervisory Official Antoinette T. Bacon of the Justice Department’s Criminal Division, U.S. Attorney John J. Durham for the Eastern District of New York, Chief Guy Ficco of IRS Criminal Investigation (IRS-CI), Special Agent in Charge William S. Walker of Homeland Security Investigations (HSI) New York, and Assistant Director in Charge James E. Dennehy of the FBI New York Field Office made the announcement.

IRS-CI, HSI, and the FBI New York Field Office are investigating the case, with valuable assistance provided by U.S. Customs and Border Protection’s New York Field Office and the Justice Department’s Office of International Affairs. The Justice Department also thanks the Netherlands’ Public Prosecution Service and Cybercrime Unit — the Hague of the Dutch National Police for their significant assistance with the investigation.

Trial Attorney Tian Huang of the Criminal Division’s Fraud Section, who is a member of the National Cryptocurrency Enforcement Team (NCET), and Assistant U.S. Attorneys Nicholas Axelrod and Andrew Reich for the Eastern District of New York are prosecuting the case. SEC Enforcement Attorney Daphna A. Waxman, formerly a member of the NCET, provided significant assistance.

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