District of Connecticut

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JEFFREY KRANTZ, 50, of New York, N.Y., waived his right to indictment and pleaded guilty today in Hartford federal court to supplying customers with falsely remarked microprocessor chips, many of which were used in U.S. Military and commercial helicopters.

“The distribution of unapproved microprocessor chips and other electronic components for use by the U.S. Military poses a serious threat to the safety of the men and women of our armed services,” said U.S. Attorney Daly.  “Individuals who choose profit over public health and safety will be prosecuted.  We thank the Defense Criminal Investigative Service and the U.S. Department of Transportation, Office of Inspector General, for their excellent work on this complex investigation.”

“The charge today is demonstrative of the continued dedication of the Defense Criminal Investigative Service (DCIS) and our fellow law enforcement partners to protect the integrity of the Department of Defense’s supply chain,” said Craig W. Rupert, Special Agent in Charge, DCIS, Northeast Field Office.  “Distributors who opt for financial gain by introducing inferior products into mission critical equipment create an environment ripe for product failures.  Such disregard puts the warfighter at an unnecessary risk, ultimately impacting the mission readiness of our military that the nation depends on.  DCIS will continue to engage with prosecutors to address all who attempt to disrupt the reliability of our military’s critical infrastructure.”

“The actions taken today demonstrate the commitment of the Department of Transportation Inspector General's Office to preventing and detecting fraud in the aerospace manufacturing industry,” said Todd Damiani, regional Special Agent-in-Charge of the U.S. Department of Transportation Office of Inspector General. “Working with our law enforcement and prosecutorial colleagues, we will continue our efforts to uncover suspect unapproved parts, prevent their use, and punish those who seek to compromise the integrity of DOT’s safety programs.”

According to court documents and statements made in court, KRANTZ is the CEO and an owner of Harry Krantz, LLC, a New York-based company that bought and sold, among other things, obsolete electronic parts for use by the U.S. Military and commercial buyers.  In 2005, KRANTZ entered into a business relationship with Jeffrey Warga, the president and owner of Rhode Island-based Bay Components, LLC, to sell military microprocessor chips to Bay Components, which would in turn sell them to a Connecticut company.  KRANTZ knew that the Connecticut company wanted new and original chips, not falsely remarked chips.

Between 2005 and 2008, KRANTZ purchased and sold, and caused to be purchased and sold, over a thousand chips to Bay Components, which, in turn sold them to the Connecticut company.  The chips were marked with certain information, including a certain manufacturer’s name and trademark, a date code, and a military part number.  In approximately December 2005, the first shipments of about 330 chips that KRANTZ had sold to Bay Components were rejected by the Connecticut company for being the wrong part because the chip contained the wrong die inside.  In 2006, KRANTZ replaced those chips with at least some of the replacement chips bearing the date code 9832.  Between 2006 and 2008, KRANTZ sold and caused to be sold at least 900 chips with date code 9832 to Bay Components, the majority of which were sold to the Connecticut company.  KRANTZ knew that the chips had originated from a parts supplier in China, and there was a high probability that the chips were falsely remarked not the original chips of the certain manufacturer as represented by the markings on the chip.  He also avoided engaging in common practices in the industry, including those which Harry Krantz LLC routinely engaged in for other military parts, to avoid confirming that the chips were likely remarked.

The investigation revealed that many of the chips were used in the assembly of U.S. Military and commercial helicopters.  The chips have been examined and determined not to be the root cause of any mechanical problems experienced by the helicopters to date.

KRANTZ pleaded guilty to one count of wire fraud, a charge that carries a maximum term of imprisonment of 20 years and a fine of up to approximately $800,000.  He is scheduled to be sentenced on November 2, 2015.

KRANTZ has agreed to pay restitution in the amount of $402,650.  He also has agreed not to be directly or indirectly involved in the buying or selling of electronic parts, for a period of up to two years, and to give up all control either directly or indirectly over Harry Krantz LLC, and all beneficial and/or financial interest, including ownership interest, in Harry Krantz, LLC and will not reacquire such an interest.

On December 12, 2014, Warga pleaded guilty to one count of conspiracy to commit wire fraud.  He awaits sentencing.

This matter is being investigated by the Defense Criminal Investigative Service and the U.S. Department of Transportation, Office of Inspector General.  The case is being prosecuted by Assistant U.S. Attorney Felice Duffy and Special Assistant U.S. Attorney Carol Sipperly.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that on July 15, 2015, a federal grand jury in Hartford returned a six-count indictment charging MARCUS FOX, 41, of Waterbury, with filing false tax returns.

On July 23, 2015, FOX appeared before U.S. Magistrate Judge Joan G. Margolis in New Haven, entered a plea of not guilty and was released on a $100,000 bond.

The indictment alleges that FOX prepared tax returns for individuals in his community, many of whom were associated with a church he attended.  From approximately 2009 through 2012, FOX prepared and filed more than 900 tax returns with the U.S. Internal Revenue Service on behalf of clients.  A number of tax returns that FOX prepared contained false information, including false childcare credits, education credits, American opportunity credits, itemized deductions, education expenses, charitable contributions, unreimbursed employee business expenses, hobby expenses, and childcare costs. The false returns resulted in clients receiving substantial refunds to which they were not entitled. FOX typically received payment of between $200 and $350 for his tax preparation services.

The indictment further alleges that beginning in approximately 2011, FOX falsified a number of returns in a manner that allowed FOX to secure a greater payout for himself without his clients' knowledge.  FOX would prepare a client tax return with significant falsified credits or expense deductions, which resulted in a fraudulent claim for a substantial refund.  The tax return would be e-filed with the IRS with instructions to split payment of the large refund between the client and FOX, with FOX receiving a substantial portion of the payment.  FOX would also prepare a second tax return, which he never filed, but instead provided to his client to hide the ongoing scheme.

The indictment charges FOX with six counts of filing a false tax return, an offense that carries a maximum term of imprisonment of three years and a fine of up to $250,000, on each count.

U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

The case is assigned to Senior U.S. District Judge Alfred V. Covello in Hartford.

This matter is being investigated by the Internal Revenue Service – Criminal Investigation Division.  The case is being prosecuted by Assistant U.S. Attorney Christopher W. Schmeisser.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that a federal grand jury in Bridgeport returned an indictment yesterday charging KRISTIAN SAUCIER, 28, of Arlington, Vermont, with unlawfully retaining photos taken inside restricted areas of a nuclear attack submarine, and obstructing the investigation of this matter.

As alleged in court documents, from September 2007 to March 2012, SAUCIER served as a machinist’s mate aboard the USS Alexandria, which is a U.S. Navy Los Angeles-class nuclear attack submarine based at the Naval Submarine Base New London in Groton, Connecticut.  On at least three separate dates in 2009, SAUCIER used the camera on his personal cellphone to take photographs of classified spaces, instruments and equipment of the USS Alexandria.  In March 2012, SAUCIER’s cellphone was found at a waste transfer station in Hampton, Connecticut.  After SAUCIER was interviewed by the Federal Bureau of Investigation and Naval Criminal Investigative Service in July 2012, SAUCIER destroyed a laptop computer, a personal camera and the camera’s memory card.  Pieces of a laptop computer were subsequently found in the woods on a property in Connecticut owned by a member of SAUCIER’s family.

SAUCIER is currently enlisted in the U.S. Navy as a Petty Officer First Class assigned to the Naval Support Activity Base, Saratoga Springs, New York.

SAUCIER was arrested on a criminal complaint on May 28, 2015, and is released on a $100,000 bond.

The indictment charges SAUCIER with one count of unauthorized retention of defense information, an offense that carries a maximum term of imprisonment of 10 years and a fine of up to $250,000, and one count of obstruction of justice, an offense that carries a maximum term of imprisonment of 20 years and a fine of up to $250,000.      

U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the Federal Bureau of Investigation and the Naval Criminal Investigative Service.  The case is being prosecuted by Assistant U.S. Attorneys Vanessa Richards and Jacabed Rodriguez-Coss, with the assistance of Justice Department’s National Security Division and the U.S. Attorney’s Office for the Northern District of New York.

Deirdre M. Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a grand jury in Bridgeport returned an indictment yesterday charging five West Haven residents with federal offenses stemming from an investigation of an explosion and homicide that occurred in Hamden on July 4, 2015.

According to allegations contained in court documents, at approximately 11:00 a.m. on July 4, 2015, an explosion took place on Wintergreen Avenue in Hamden.  Responding law enforcement located a deceased white male, who had been wrapped in plastic garbage bag material and bound by rope material, in a wooded area close to where the explosion had occurred.  An explosive-type device and debris were also located in close proximity to the body.  The victim, who had also sustained three apparent gunshot wounds, was subsequently identified as Edward Brooks, 39, of West Haven.  After West Haven Police informed investigators that Brooks had been residing with CHRISTOPHER MILLER at 59 Front Avenue in West Haven, and that MILLER and other residents of 59 Front Avenue were subjects of an ongoing narcotics investigation, investigators executed a state narcotics search and seizure warrant at 59 Front Avenue and seized numerous items, including pipe bomb making materials that were consistent with the materials found at the Wintergreen Avenue explosion scene, approximately 16 grams of cocaine base (“crack cocaine), approximately 10.6 grams of methamphetamine and narcotics packaging material.  Investigators also seized a surveillance DVR, which captured video surveillance from eight cameras placed around the residence.

The indictment charges CHRISTOPHER MILLER, 40, DEBORAH MILLER, 59, NATALI MARTINEZ, 29, JAMES BRYANT, 64, and MAURICE WEARING, 26, with conspiracy to distribute and to possess with intent to distribute cocaine base (“crack cocaine”).  The indictment also charges CHRISTOPHER MILLER with possession of an explosive by a convicted felon.

The charge of conspiracy to distribute cocaine base carries a maximum term of imprisonment of 20 years and the charge of possession of an explosive by a convicted felon carries a maximum term of imprisonment of 10 years.

The five defendants are currently detained and face related state charges.

U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This investigation is being conducted by the Federal Bureau of Investigation, Drug Enforcement Administration, U.S. Postal Inspection Service, Connecticut State Police and West Haven Police Department.  The case is being prosecuted by Assistant U.S. Attorneys Stephen Reynolds, Jacabed Rodriguez-Coss and Vanessa Richards.  This investigation and prosecution is being coordinated with the State’s Attorney’s Office for the Judicial District of Ansonia-Milford.

Deirdre M. Daly, United States Attorney for the District of Connecticut, and William Offord, Special Agent in Charge of IRS Criminal Investigation in New England, today announced that AJMAL JENKINS, 39, of Middletown, pleaded guilty yesterday in New Haven federal court to one count of tax evasion.

This matter stems from an Internal Revenue Service investigation into State of Connecticut employees and others who had little or no federal withholding taken out of their paychecks and who failed to file income tax returns.  The investigation revealed that certain individuals submitted fraudulent W-4 forms claiming numerous exemptions, or that they were exempt, and had little or no money withheld from their wages.

According to court documents and statements made in court, JENKINS has been employed by the State of Connecticut’s Department of Mental Health and Addiction Services for approximately 15 years as a mental health assistant at the Connecticut Valley Hospital.  During the 2009 through 2013 tax years, JENKINS paid little or no federal income taxes on approximately $353,565 in income he received, resulting in a federal tax loss of approximately $52,549.

JENKINS will be sentenced by U.S. District Judge Alvin W. Thompson in Hartford.  He faces a maximum term of imprisonment of five years, a fine of up to $250,000, and is required to pay all back taxes, plus interest and penalties.

This case is being investigated by the Internal Revenue Service – Criminal Investigation Division, and is being prosecuted by Assistant U.S. Attorney Susan Wines.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that ROBERT E. BRIDGES, 59, formerly of Greenwich and Redding, was sentenced yesterday by U.S. District Judge Victor A. Bolden in Bridgeport to 17 months of imprisonment, followed by three years of supervised release, for trafficking marijuana.

According to court documents and statements made in court, on October 28, 2008, BRIDGES was sentenced in U.S. District Court in New Haven to 70 months of imprisonment, followed by three years of supervised release, for operating a scheme that defrauded investors of more than $5 million.  BRIDGES was released from prison in November 2012 and began serving his three-year term of supervised release.  In May 2014, BRIDGES filed a motion seeking early termination of his supervised release and stated “Defendant is a totally different person as a result of being incarcerated.  The life-changing and life-improving process was used to make the most of every day.”

On June 18, 2014, BRIDGES’ motion for early termination of supervised release was granted.

In May 2014, BRIDGES applied for post office boxes at U.S. Post Offices in Georgetown, Riverside and Wilton, Connecticut.  On December 11, 2014, the U.S. Postal Inspection Service identified three suspicious packages that were being mailed from Woodland, California to two of BRIDGES’ post office boxes.  When BRIDGES arrived at the Georgetown Post Office later that day to retrieve his packages, he was interviewed by a U.S. Postal Inspector and gave written consent to search the packages.  The first package contained 112 plastic vials that contained hashish, the second package contained nine vacuum-sealed plastic bags containing a total of approximately 4.5 kilograms of marijuana, and the third package contained 11 vacuum-sealed bags containing a total of approximately 5.5 kilograms of marijuana.

BRIDGES admitted to law enforcement that he had recently traveled to California, paid approximately $60,000 for the drugs and shipped the packages to himself.

BRIDGES has been detained since his arrest on December 18, 2014.  On April 28, 2015, he pleaded guilty to one count of possessing with intent to distribute marijuana.

To date, Bridges has paid approximately $4,000 of the $5 million he owes in restitution related to his fraud conviction.

This matter was investigated by the U.S. Postal Inspection Service and was prosecuted by Assistant U.S. Attorney Rahul Kale.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that SHAQUIL GARY, 22, of New Haven, pleaded guilty yesterday before Chief U.S. District Judge Janet C. Hall in New Haven to a federal robbery offense.

According to court documents and statements made in court, on August 14, 2014, GARY arranged to meet an ATF informant near the intersection of Lamberton and Button Streets in New Haven to sell the informant approximately seven grams of crack cocaine.  Instead, when the two met at the location, GARY pulled out a firearm, took $150 in cash and a cell phone from the informant and fled.  Law enforcement officers apprehended GARY later that day at a residence on Winthrop Avenue.  By that time, he was no longer in possession of the firearm he used to commit the robbery.

GARY pleaded guilty to one count of armed robbery of a person in lawful control of property of the United States, a charge that carries a maximum term of imprisonment of 25 years.

Sentencing is scheduled for October 14, 2015.

GARY has been detained since his arrest.

This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the New Haven Police Department.  The case is being prosecuted by Assistant U.S. Attorney Robert Spector.

Deirdre M. Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, announced that a federal jury in New Haven today found PAUL PERROTTI, 47, of Middlebury, guilty of embezzling funds while serving as the Fire Chief of the Town of Middlebury.  The trial before U.S. District Judge Jeffrey Alker Meyer began on July 9, 2015.

“The U.S. Attorney's Office, FBI and our federal law enforcement partners are committed to investigating corruption at all levels of government, and public officials who misappropriate public funds will be prosecuted,” stated U.S. Attorney Daly.  “We thank the members of the jury for their thoughtful consideration of the evidence.”

According to the evidence at trial, PERROTTI served as the Fire Chief of the Middlebury Volunteer Fire Department, Inc. (“MVFD”) from 1997 until 2014.  PERROTTI also is a licensed electrical contractor and, since approximately 2010, has operated Paul Perrotti Electric, LLC (“PPE”).  In 2012 and 2013, PERROTTI used Town funds to pay for unauthorized personal expenses and for expenses associated with PPE.  These payments included checks made directly payable to employees of PPE, checks made to various vendors of PPE for PPE-related supplies, and checks made to pay third parties, who ultimately passed on the payments to PERROTTI.  PERROTTI also submitted invoices to the Town of Middlebury for expenses that he falsely claimed were incurred by MVFD but, in fact, were expenses related to the business of PPE, including bills for various vendors of PPE.

In total, the government believes that PERROTTI embezzled more than $70,000 from the Town and the MVFD.

On November 5, 2014, PERROTTI was charged by indictment with three counts of theft concerning programs receiving federal funds.  The jury found PERROTTI guilty of Count Two and Count Three of the indictment, but could not reach a verdict on Count One.

The charge of theft concerning programs receiving federal funds carries a maximum term of imprisonment of 10 years.  Judge Meyer scheduled sentencing for October 29, 2015.

This matter has been investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorneys Sarah Karwan and Heather Cherry.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that ROBERT CHERRY, also known as “Rob Base,” 45, of Danbury, was sentenced yesterday by U.S. District Judge Stefan R. Underhill in Bridgeport to 66 months of imprisonment, followed by three years of supervised release, for participating in a violent home invasion robbery of illegal drugs and drug trafficking proceeds.

According to court documents and statements made in court, in January 2013 the Danbury Police Department began investigating a narcotics trafficking network that maintained a series of drug distribution locations, known as trap houses, in Danbury, out of which members of the organization sold crack cocaine.  The organization also rented hotel rooms where they packaged and distributed narcotics.  During the investigation, law enforcement learned that the individuals who headed the drug trafficking ring had organized and committed armed home invasion robberies of marijuana dealers.

CHERRY participated in a home invasion robbery on February 18, 2013.  During the robbery, CHERRY and other masked men forced entry into the residence of a known marijuana dealer.  One of CHERRY’s co-defendants struck a male victim in the head with a handgun repeatedly before dropping the gun during a struggle.  While they were fighting, CHERRY grabbed a knife from a knife block on the kitchen counter.  CHERRY and the other home invaders ultimately fled the residence without taking any property.

Investigators recovered the dropped firearm and found that it was fully loaded.  CHERRY was subsequently identified and arrested.

On October 1, 2014, CHERRY pleaded guilty to one count of attempted interference with commerce by robbery.

This matter has been investigated by the Drug Enforcement Administration’s New Haven Task Force and the Danbury Police Department.  The DEA Task Force includes personnel from the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments.  The case is being prosecuted by Assistant U.S. Attorneys Tracy Dayton and Vanessa Richards.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that STEVEN SINGH, 37, of New Haven, was sentenced today by U.S. District Judge Stephan R. Underhill in New Haven to 38 months of imprisonment, followed by three years of supervised release, for illegally possessing ammunition and for violating the terms and conditions of his supervised release from a previous federal conviction.

According to court documents and statements made in court, on June 19, 2013, SINGH was arrested by New Haven Police after he had fired multiple gunshots on Winthrop Avenue.  Responding officers recovered three spent cartridges and one unfired bullet from the scene.  SINGH later admitted to police that he had fired the shots to scare another individual, and that he had thrown the gun into a nearby river.  The gun was never recovered.

SINGH has two prior federal convictions for distributing crack cocaine and, in June 2011, he was sentenced in federal court to 24 months of imprisonment and five years of supervised release.

On September 17, 2014, SINGH pleaded guilty to one count of possession of ammunition by a previously convicted felon, and admitted that he violated the terms and conditions of his supervised release.

This matter was investigated by the New Haven Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.  The case was prosecuted by Assistant U.S. Attorney Michael E. Runowicz.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that KISHA PERKINS, 43, of Waterbury, was sentenced yesterday by U.S. District Judge Michael P. Shea in Hartford to 12 months and one day of imprisonment, followed by one year of supervised release, for participating in a bribe scheme at the Federal Correctional Institution in Danbury (FCI Danbury) where she was employed as a case manager.

According to court documents and statements made in court, in June 2013, PERKINS approached another FCI Danbury employee about an opportunity to participate in a scheme to solicit a cash bribe from an inmate at FCI Danbury in exchange for the inmate’s early release to a halfway house.  At that time, PERKINS held the job title of “Unit Counselor” at FCI Danbury and did not have administrative authority to recommend inmates for early release.  PERKINS explained that her co-worker was needed to complete the scheme because the co-worker had the administrative ability to recommend inmates for early release.

PERKINS’ co-worker declined to participate in the scheme, reported the incident to law enforcement and agreed to cooperate in the investigation, which included the use of numerous consensually recorded conversations.

In July 2013, under the direction of law enforcement, PERKINS’ co-worker told PERKINS that he/she had changed his/her mind and wanted to participate in the scheme.  PERKINS informed her co-worker that a scheme involving the inmate who had been previously identified was no longer feasible.  In February 2014, as part of an undercover scenario, PERKINS’ co-worker identified a second inmate as a possible candidate for the bribe scheme.  PERKINS agreed to participate and, after extensive planning, on March 8, 2014, PERKINS and her co-worker traveled to a commuter lot off of Exit 28 on Interstate 84 to pick up a partial bribe payment of $5,000 in cash in a fast food bag that, as PERKINS believed, was to be dropped off by an acquaintance of the inmate.

PERKINS was arrested on March 14, 2014.

On April 27, 2015, PERKINS pleaded guilty to one count of acceptance of a bribe by a public official.  In pleading guilty, PERKINS specifically admitted that she participated in the scheme and, in February 2014, agreed to accept a pair of shoes or a Louis Vuitton pocketbook in return for counseling the employee regarding the bribe scheme and failing to report the bribe scheme to prison officials.

This matter was investigated by the Federal Bureau of Investigation and the Department of Justice Office of the Inspector General.  The case was prosecuted by Assistant U.S. Attorney Susan Wines.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that EDWARD PETRUCCI, 58, of Orange, was sentenced today by Senior U.S. District Judge Alfred V. Covello in Hartford to 57 months of imprisonment, followed by three years of supervised release, for operating a scheme that defrauded a company of more than $2.5 million and forced it to go out of business.

According to court documents and statements made in court, PETRUCCI operated Womco Insulation, Inc., Incor Group, Inc., D & N Insulation Company, and Petco Insulation Company, all of which were West Haven-based companies that performed construction services, mechanical insulation and asbestos removal in large-scale building projects in Connecticut, New York, Massachusetts and Florida.

In 2006, PETRUCCI, who had just been released from federal prison, was unable to secure funding from a bank so he started doing business with Platinum Funding Services, LLC, a New York factoring company that provided funding to client companies.  A factoring company typically purchases a company’s receivables at a discount, providing the company with liquid assets at a discounted rate while purchasing the right to collect on the purchased receivables at a later date.

In the beginning of their relationship, Platinum regularly purchased PETRUCCI’s invoices from legitimate insulation jobs throughout Connecticut and collected on those invoices without any serious problems.  However, from approximately December 2007 to April 2009, PETRUCCI defrauded Platinum by causing his companies to sell invoices to Platinum that PETRUCCI knew were fake, and which were for work that his companies had not performed and, in many cases, would not perform in the future.

Through this scheme, PETRUCCI’s companies received more than $2.5 million in payments from Platinum that were based on the fraudulent invoices, and on invoices that he double collected without forwarding the money to Platinum.

PETRUCCI’s scheme forced Platinum out of business and approximately 40 Platinum employees lost their jobs.

Judge Covello ordered PETRUCCI to pay restitution in the amount of $2,979,972.53.

On November 7, 2013, PETRUCCI pleaded guilty to one count of wire fraud and one count of mail fraud.

PETRUCCI has a prior federal conviction.  In May 2005, PETRUCCI was sentenced to two months in prison for filing false corporate and personal tax returns and evading the payment of more than $1 million in federal income taxes.  He was serving a three-year term of federal supervised release when he began the scheme against Platinum.

This matter was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Robert M. Spector.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that RONALD S. BATTAGLIA, 66, of Stratford, pleaded guilty today before U.S. District Judge Victor A. Bolden in Bridgeport to filing false tax returns.

According to court documents and statements made in court, BATTAGLIA is the sole owner of Custom Painting, which provides interior and exterior painting services primarily in Fairfield County.  During the 2008 through 2012 tax years, BATTAGLIA failed to provide his tax return preparer with information concerning an additional $867,656 in gross receipts he received in those years.  The total tax reported as due on the five returns was $46,687, but BATTAGLIA willfully failed to report and pay an additional $277,582 in federal income taxes for those five years.

The investigation revealed that BATTAGLIA’s clients typically paid him by check.  BATTAGLIA then cashed the checks at his bank and received currency for the full value of the check, or he made a split deposit, receiving some cash and depositing the balance into his business account.  The amounts of the transactions were typically less than $10,000.

BATTAGLIA pleaded guilty to one count of filing a false tax return, a charge that carries a maximum term of imprisonment of three years and a fine of up to $250,000.  Judge Bolden scheduled sentencing for October 9, 2015.

BATTAGLIA has repaid the IRS $277,582 in restitution.  He is still required to pay substantial penalties and interest that have accrued on his unpaid taxes.

This matter is being investigated by the Internal Revenue Service – Criminal Investigation Division.  The case is being prosecuted by Assistant U.S. Attorney Peter S. Jongbloed with the assistance of Law Student Intern Lisa Wang.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that on July 17, 2015, STEPHEN HEROLD, 26, of Norwalk, was sentenced by U.S. District Judge Michael P. Shea in Hartford to 24 months of imprisonment, followed by three years of supervised release, for illegally selling firearms.

According to court documents and statements made in court, in October and November, 2013, HEROLD and Raul Caban-Martes sold three firearms and a bullet proof vest to an individual working with law enforcement.  One of the firearms had been reported stolen and another had an obliterated serial number.

HEROLD has been detained since his arrest on July 8, 2014.  On April 15, 2015, he pleaded guilty to one count of conspiracy to engage in the business of dealing in firearms without a license.

Caban-Martes pleaded guilty to the same charge and, on March 9, 2015, was sentenced to 40 months of imprisonment.

This matter was investigated by the Norwalk Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.  The case was prosecuted by Assistant U.S. Attorney Vanessa Richards.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that TRAVALE GIVENS, also known as “Newport,” 34, of Hartford, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 108 months of imprisonment, followed by three years of supervised release, for illegally possession of a firearm.

According to court documents and statements made in court, in February 2014, Hartford Police received information that GIVENS was selling crack cocaine from an apartment on South Street, and that GIVENS was in frequent possession of a handgun.  On February 27, 2014, an individual working under the direction and supervision of Hartford Police and the Drug Enforcement Administration purchased a quantity of crack from GIVENS.

On March 7, 2014, law enforcement officers stopped a car that GIVENS was operating on New Park Avenue.  A search of GIVENS’ person revealed approximately 245 grams of cocaine concealed in his pants. A subsequent search of GIVENS’ South Street residence revealed a loaded .380 Ruger LCP pistol with an altered serial number, assorted ammunition, approximately 81 grams of crack cocaine, a digital scale and other drug paraphernalia.

GIVENS has been detained since his arrest on March 7, 2014.  On April 23, 2015, he pleaded guilty to one count of possession of a firearm by a convicted felon.

GIVENS’ criminal history includes several felony convictions, including a conviction for first degree assault.

This matter was investigated by the Hartford Police Department, Drug Enforcement Administration and Bureau of Alcohol, Tobacco, Firearms and Explosives.  The case was prosecuted by Assistant U.S. Attorney Brian P. Leaming.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that BRIAN EARL, 40, of North Haven, was sentenced today by Senior U.S. District Judge Warren W. Eginton in Bridgeport to 37 months of imprisonment, followed by three years of supervised release, for trafficking prescription narcotics.

According to court documents and statements made in court, in May 2013, the Drug Enforcement Administration’s New Haven Tactical Diversion Squad and the Ansonia Police Department initiated an investigation into James Costanzo, who had been identified as an illegal distributor of narcotic pharmaceuticals in Ansonia.  The investigation, which included multiple controlled purchases of oxycodone and the use of electronic surveillance, revealed that Costanzo sold prescription narcotics to numerous customers from his Dwight Street residence.  The investigation further revealed that EARL supplied Costanzo with large quantities of oxycodone and other prescription narcotics, and also sold drugs to his own customers.

EARL and Costanzo were arrested on January 23, 2014.

At the time of his arrest, EARL possessed $2,557 in cash, and a search of his North Haven residence revealed approximately 11,000 prescription pills, including oxycodone and oxymorphone.

On February 17, 2015, EARL pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, oxycodone and oxymorphone.

On February 27, 2015, Costanzo pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, oxycodone and oxymorphone, and one count of knowingly engaging in a monetary transaction involving criminally derived property. He is detained while awaiting sentencing.

This investigation has been conducted by the DEA’s New Haven Tactical Diversion Squad, the Ansonia Police Department and the Fairfield Police Department.  The case is being prosecuted by Assistant U.S. Attorneys David X. Sullivan and Michael E. Runowicz.

Deirdre M. Daly, United States Attorney for the District of Connecticut, and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration for New England, announced that 18 New Haven residents were arrested today on federal heroin distribution charges.

The arrests stem from “Operation Northern Corridor,” a joint investigation headed by the DEA New Haven Task Force, FBI and New Haven Police Department into the distribution of heroin in New Haven.  The investigation included the use of court-authorized wiretaps, physical surveillance and controlled purchases of heroin from wholesale and street-level distributors operating in the area of Ferry Street, Grand Avenue and Blatchley Avenue in New Haven’s Fair Haven neighborhood.

“We allege that this organization distributed a significant amount of heroin in Fair Haven,” said U.S. Attorney Daly.  “Because heroin is endangering and increasingly taking the lives of so many citizens, the U.S. Attorney’s Office is committed to working with the DEA and our law enforcement partners to target groups and prosecute individuals that traffic this insidious drug.”

“DEA is committed to investigating and dismantling large-scale drug trafficking organizations like this one operating in the New Haven area,” said Special Agent in Charge Ferguson.  “Heroin distribution destroys people’s lives and wreaks havoc in our communities.  DEA and our law enforcement partners will aggressively pursue any group that distributes these drugs.”

On July 9, 2015, a grand jury in New Haven returned two indictments charging a total of 19 individuals with heroin distribution offenses.  The following 18 individuals were arrested today:

WILSON VASQUEZ, a.k.a. “Will” and “Pancho,” 42

FRANCISCO RODRIGUEZ, a.k.a. “Franky” and “Bubba,” 49

VICTOR RIVERA, 43

TODD BEILBY, 53

NELSON COLON, 39

ALFREDO COLLAZO, a.k.a. “Indio,” 37

MIGUEL SOTO, a.k.a. “Fat Boy,” 30

FRANK MROWKA, 52

ELIO DELIMA, a.k.a. “Victor Cuevas” and “Ely,” 36

EMMANUEL FLEMING, a.k.a. “Mikey,” 35

JOSE LUGO, a.k.a. “Kiro,” 45

ANTHONY VELEZ, a.k.a. “Tone,” 36

JOSE ALBARRAN, a.k.a. “Ghangi,” 57

LUIS ALBARRAN, a.k.a. “Lulu,” 38

VICTOR AZEVEDO, 43

ROBERTO TORRES, a.k.a. “Tony,” 48

JOSE VASQUEZ, 41

JOSE DAVILA, 26

One defendant is currently being sought.

In association with today’s arrests, law enforcement officers seized approximately 500 grams of raw heroin, three handguns, approximately $40,000 in cash and five vehicles.

WILSON VASQUEZ, RODRIGUEZ, RIVERA, BEILBY, COLON, COLLAZO, SOTO, MROWKA, DELIMA and FLEMING, are charged with conspiracy to distribute one kilogram or more of heroin, an offense that carries mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life.

LUGO, VELEZ, JOSE ALBARRAN, LUIS ALBARRAN, AZEVEDO, TORRES, JOSE VAZQUEZ and DAVILA are charged with conspiracy to distribute a quantity of heroin, an offense that carries a maximum term of imprisonment of 20 years.

DELIMA, FLEMING, COLLAZO, DELIMA and LUGO are also charged with one or more counts of possession with intent to distribute heroin.

The 18 individuals who were arrested today appeared before U.S. Magistrate Judge Sarah A.L. Merriam in New Haven and are currently detained.

U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the DEA New Haven Task Force, FBI and New Haven Police Department.  The Task Force includes participants from the New Haven, Hamden, West Haven, North Haven, East Haven, Branford, Ansonia, Meriden and Derby Police Departments, and the U.S. Marshals Service.  The case is being prosecuted by Assistant U.S. Attorney H. Gordon Hall.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that CALRISSIAN SMITH, also known as “Cali,” 33, of Waterbury, was sentenced yesterday by Chief U.S. District Judge Janet C. Hall in New Haven to 70 months of imprisonment, followed by four years of supervised release, for his role in the armed robbery of an undercover ATF special agent.

This matter stems from “Operation Samson,” an initiative headed by the ATF and the Bridgeport and New Haven Police Departments that targeted violent criminals, illegal firearm possession and firearm trafficking.  In the spring of 2014, approximately 40 ATF special agents and personnel from Connecticut and across the country were deployed with New Haven and Bridgeport Police to conduct numerous covert operations.

According to court documents and statements made in court, a confidential informant and an ATF special agent working in an undercover capacity arranged to purchase an ounce of crack cocaine from two individuals identified as “Cali” and “Orlando” in Waterbury.  On June 3, 2014, the informant and the undercover agent traveled to a location on West Farm Street in Waterbury to conduct the transaction.  At the location, “Orlando,” who was subsequently identified as Kevin Rodriguez, pointed a gun at the undercover agent, “racked” the slide of the pistol thereby readying it to fire, and demanded that the agent give him all of his money.  The agent handed Rodriguez his wallet, which contained $1,300 in government funds that was to be used to conduct the controlled purchase of narcotics.

Rodriguez then entered a vehicle being driven by SMITH.  Other ATF agents who had been monitoring the transaction immediately arrived at the scene.  After colliding with an ATF vehicle, SMITH and Rodriguez fled the scene at a high rate of speed.

Rodriguez was apprehended in Waterbury on June 5, 2014, and SMITH was apprehended in Virginia on June 13, 2014.

SMITH has been detained since his arrest.  On April 20, 2015, he pleaded guilty to one count of attempted distribution of 28 grams or more of cocaine base (“crack cocaine”).

Rodriguez pleaded guilty to one count use of a firearm during and in relation to a crime of violence and, on July 2, 2015, he was sentenced to 84 months of imprisonment.

This case was prosecuted by Assistant U.S. Attorney Tracy Dayton.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that RAYMOND J. MARTIN, 48, of Easton, was arrested today in connection with a federal steroid and prescription narcotic distribution investigation.

MARTIN, who is a member of the Easton Police Commission, appeared before U.S. Magistrate Judge Sarah A. L. Merriam in New Haven and was released on bond.

This matter stems from a long term investigation led by the Federal Bureau of Investigation, Drug Enforcement Administration and Homeland Security Investigations into individuals who were receiving shipments of steroid ingredients from China and manufacturing and distributing wholesale quantities of steroids.  The investigation also revealed that certain individuals were distributing prescription pills, including oxycodone.

As alleged in the criminal complaint, a court-authorized wiretap intercepted MARTIN engaging in text communications with other members of the conspiracy discussing the distribution of anabolic steroids and oxycodone.

The complaint charges MARTIN with conspiracy to possess oxycodone with intent to distribute, an offense that carries a maximum term of imprisonment of 20 years.

Eleven other individuals have been charged as a result of the investigation.  During the course of the investigation, law enforcement officers seized hundreds of vials of steroids, approximately 600 grams of raw testosterone powder, more than 1,000 oxycodone pills, approximately 350 grams of powder cocaine and four long guns.

This matter is being investigated by the Federal Bureau of Investigation, Drug Enforcement Administration and Homeland Security Investigations, with the assistance of the U.S. Marshals Service.

This case is being prosecuted by Assistant U.S. Attorneys Rahul Kale and Robert M. Spector.

U.S. Attorney Daly stressed that a federal complaint is not evidence of guilt.  Charges are only allegations and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that JOHN D’AURIA, 41, of East Haven, waived his right to indictment and pleaded guilty yesterday before U.S. District Judge Michael P. Shea in Hartford to one count of wire fraud stemming from his operation of an investment scheme that defrauded investors of approximately $2.4 million.

According to court documents and statements made in court, D’AURIA conducted an investment business using the name Fifth Street Capital.  D’AURIA was a licensed and registered investment adviser but lost his license in approximately 2011.  From approximately 2010 to 2014, D’AURIA engaged in a scheme to defraud investors who had provided him with investment funds by failing to invest the funds as represented and by using the majority of the funds for his personal use.

As part of his scheme, D’AURIA made false statements and misrepresentations to his investors regarding the purported returns generated by their investments.  He also represented to investors that their funds were fully invested in separate accounts.  In truth, D’AURIA did not fully invest the investors’ funds but rather commingled the funds in his own personal bank accounts and his own trading account.

As a result of D’AURIA’s scheme to defraud, approximately eight investors lost a total of approximately $2.4 million of the funds they provided to D’AURIA.

Judge Shea scheduled sentencing for October 6, 2015, at which time D’AURIA faces a maximum term of imprisonment of 20 years, a maximum fine of more than $4.8 million and an order of restitution.

D’AURIA is released on a $100,000 bond.

This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Senior Litigation Counsel Richard J. Schechter.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that DAVID LESTER JOHNSTON, 46, of Ridgefield, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to three months of imprisonment, followed by three years of supervised release, the first six months of which must be served in home confinement, for committing health care fraud.  JOHNSTON also was ordered to perform 150 hours of community service.

JOHNSTON is an osteopathic physician who operates Osteopathic Wellness Center, LLC, in Ridgefield.  On January 16, 2015, JOHNSTON pleaded guilty to one count of health care fraud and admitted that he engaged in a scheme to defraud several private health insurance companies by submitting claims for evaluation and management services (physician office visits)  that he did not perform, and by misrepresenting the nature of the services that were performed.

According to court documents and statements made in court, JOHNSTON submitted claims for physician office visits that were not performed at all.  Instead, the patients only received massages and related services from a massage therapist.  In addition, JOHNSTON falsely described the services rendered and falsely stated that he himself had rendered the services.  The investigation revealed that on several occasions, JOHNSTON was out of the country when the massage therapist was seeing JOHNSTON’s patients.

JOHNSTON was ordered to pay restitution in the amount of $172,950.

In addition, as part of the resolution of this case, JOHNSTON entered into a civil settlement with the government and has agreed to pay $270,528 to settle federal civil claims that JOHNSTON submitted false claims to the Medicare program for office visits, osteopathic manipulative treatment and physical therapy services that were not performed.  Instead, the Medicare patients treated by the massage therapist in JOHNSTON’s practice only received massages and related services.  Medicare does not recognize massage therapists as providers and they are not eligible to participate in the Medicare program.  JOHNSTON nevertheless billed the Medicare program as if he had provided the services in question.

Pursuant to the civil settlement, Johnston has been excluded from participation in all federal health care programs for a period of five years.

This matter was investigated by the Office of the Inspector General of the U.S. Department of Health and Human Services and the Federal Bureau of Investigation.  The case was prosecuted by Assistant U.S. Attorneys Christopher Mattei, Heather Cherry and Richard Molot.

Deirdre M. Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that three West Haven residents have been charged with federal offenses as a result of an investigation of an explosion and homicide that occurred in Hamden on July 4, 2015.

According to allegations contained in court documents, at approximately 11:00 a.m. on July 4, 2015, an explosion took place on Wintergreen Avenue in Hamden.  Responding law enforcement located a deceased white male, who had been wrapped in plastic garbage bag material and bound by rope material, in a wooded area close to where the explosion had occurred.  An explosive-type device and debris were also located in close proximity to the body.  The victim, who had also sustained three apparent gunshot wounds, was subsequently identified as Edward Brooks, 39, of West Haven.  After West Haven Police informed investigators that Brooks had been residing with CHRISTOPHER MILLER at 59 Front Avenue in West Haven, and that MILLER and other residents of 59 Front Avenue were subjects of an ongoing narcotics investigation, investigators executed a state narcotics search and seizure warrant at 59 Front Avenue and seized numerous items, including pipe bomb making materials that were consistent with the materials found at the Wintergreen Avenue explosion scene, approximately 16 grams of cocaine base (“crack cocaine), approximately 10.6 grams of methamphetamine and narcotics packaging material.  Investigators also seized a surveillance DVR, which captured video surveillance from eight cameras placed around the residence.

CHRISTOPHER MILLER, 40, has been charged by federal criminal complaint with possession of an explosive that had been shipped or transported in or affecting interstate commerce.  This offense carries a maximum term of imprisonment of 10 years.  MILLER is currently in state custody and faces additional state charges.

A separate criminal complaint charges two other residents of 59 Front Avenue, DEBORAH MILLER, 59, and NATALI MARTINEZ, 29, with conspiracy to distribute and to possess with intent to distribute cocaine base and methamphetamine.  This offense carries a maximum term of imprisonment of 20 years.  DEBORAH MILLER, who is CHRISTOPHER MILLER’s mother, and MARTINEZ were arrested earlier today.

 “This case highlights that great work can be accomplished quickly when local, state and federal law enforcement work together,” stated U.S. Attorney Daly.  “I want to thank all of our investigative partners in this matter including the FBI, Connecticut State Police, West Haven Police, Hamden Police and our colleagues at the State’s Attorney’s Office for the Judicial District of Ansonia-Milford.”

U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt.  Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This ongoing investigation is being conducted by the Federal Bureau of Investigation, Connecticut State Police, Hamden Police Department and West Haven Police Department.  The case is being prosecuted by Assistant U.S. Attorneys Stephen Reynolds, Jacabed Rodriguez-Coss and Vanessa Richards.  This investigation and prosecution is being coordinated with the State’s Attorney’s Office for the Judicial District of Ansonia-Milford.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANTHONY SABATO, 57, of West Haven, pleaded guilty today in Hartford federal court to trafficking crack cocaine.

According to court documents and statements made in court, from approximately March 2013 to March 2015, SABATO conspired to distribute crack cocaine.  During the investigation of this matter, an undercover officer purchased crack from SABATO and a co-defendant. 

SABATO pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 280 grams or more of cocaine base (“crack cocaine”), an offense that that carries a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life.  He is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on September 30, 2015.

SABATO has been detained since his arrest on March 24, 2015.

This investigation is being conducted by the FBI’s New Haven Safe Streets Task Force, the West Haven Police Department and the Darien Police Department.  The Task Force includes personnel from the FBI, West Haven Police Department, New Haven Police Department, Milford Police Department and Connecticut Department of Correction.  The case is being prosecuted by Assistant U.S. Attorney Tracy Lee Dayton.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that KEVIN RODRIGUEZ, also known as “Orlando,” 21, of New Haven, was sentenced today by Chief U.S. District Judge Janet C. Hall in New Haven to 84 months of imprisonment, followed by five years of supervised release, for robbing an undercover ATF special agent at gunpoint.

This matter stems from “Operation Samson,” an initiative headed by the ATF and the Bridgeport and New Haven Police Departments that targeted violent criminals, illegal firearm possession and firearm trafficking.  In the spring of 2014, approximately 40 ATF special agents and personnel from Connecticut and across the country were deployed with New Haven and Bridgeport Police to conduct numerous covert operations.

According to court documents and statements made in court, a confidential informant and an ATF special agent working in an undercover capacity arranged to purchase an ounce of crack cocaine from two individuals identified as “Cali” and “Orlando” in Waterbury.  On June 3, 2014, the informant and the undercover agent traveled to a location on West Farm Street in Waterbury to conduct the transaction.  At the location, “Orlando,” who was subsequently identified as RODRIGUEZ, pointed a gun at the undercover agent, “racked” the slide of the pistol thereby readying it to fire, and demanded that the agent give him all of his money.  The agent handed RODRIGUEZ his wallet, which contained $1,300 in government funds that was to be used to conduct the controlled purchase of narcotics.

RODRIGUEZ then entered a vehicle being driven by Calrissian Smith, also known as “Cali.”  Other ATF agents who had been monitoring the transaction immediately arrived at the scene.  After colliding with an ATF vehicle, Smith and RODRIGUEZ fled the scene at a high rate of speed.

RODRIGUEZ was apprehended in Waterbury on June 5, 2014, and Smith was apprehended in Virginia on June 13, 2014.

RODRIGUEZ has been detained since his arrest.  On March 31, 2015, he pleaded guilty to one count use of a firearm during and in relation to a crime of violence.

On April 20, 2015, Smith pleaded guilty to one count of attempted distribution of 28 grams or more of cocaine base (“crack cocaine”).  He is detained while awaiting sentencing.

This case is being prosecuted by Assistant U.S. Attorney Tracy Dayton.

Our hearts are saddened by the massacre at Mother Emanuel AME Church in Charleston, South Carolina, and we extend our deepest sympathies to the families and friends of the victims.  We choose to not be silent at this moment in our nation's history, but to be clear about where we stand.  We condemn all acts of violence and are especially sensitive to violence motivated by racial hatred.  We commend the people of Emanuel and Charleston for their inspiring response to this tragedy.

As we stand in solidarity with Mother Emanuel and Charleston, we know that many of our friends and neighbors worry whether such events could take place in New Haven.  Although we cannot prevent all acts of violence, members of the African American clergy, the larger New Haven faith community, the New Haven Police Department, the United States Attorney’s Office for the District of Connecticut, the Federal Bureau of Investigation, the New Haven State’s Attorney’s Office and Project Longevity remain committed to working together to promote the safety of all our residents and to create an environment of trust that recognizes the humanity and dignity of every member of our community.

Over the last three years, the New Haven Police Department’s reinstitution of community policing, the U.S. Attorney’s Office’s outreach efforts, and initiatives of the African American clergy have strengthened the ties between the local community and its law enforcement partners.  We are committed to deepening those ties.

At the same time, we recognize that recent events have brought into stark relief the unhealed wounds created by our nation’s tortuous history of slavery and racism.  We recognize, as the United States House of Representatives acknowledged in its 2008 apology for slavery, that “African-Americans continue to suffer from the complex interplay between slavery and Jim Crow. . . through enormous damage and loss, both tangible and intangible, including the loss of human dignity, the frustration of careers and professional lives, and the long-term loss of income and opportunity.”

We live in a nation with a history of racism and none of us can escape that legacy. But we can deepen our understanding of that history and work to heal from it.  We commit to doing our part to promote that vital healing.  We commit to work together to foster a continuing community conversation that will help us all look with fresh eyes at our history and its impact on our lives today -- to look at how stereotypes created four hundred years ago to justify the enslavement of Black people still shape public and private perceptions and actions.

We will ensure that racial violence will never be accepted in New Haven or the rest of Connecticut.  We will foster an environment of trust and respect, and we will boldly create opportunities to promote racial healing and reconciliation that will lead to genuine racial and economic justice.  We cannot bring back the nine lives lost in Charleston, but we will honor their memories by working together to prevent such tragedies from befalling other families.

DEIRDRE M. DALY
UNITED STATES ATTORNEY

PATRICIA FERRICK
SPECIAL AGENT IN CHARGE, FEDERAL BUREAU OF INVESTIGATION

TONI HARP
MAYOR, NEW HAVEN

DEAN M. ESSERMAN
CHIEF, NEW HAVEN POLICE DEPARTMENT

MICHAEL DEARINGTON
STATE’S ATTORNEY, NEW HAVEN

BRENT PETERKIN
PROJECT LONGEVITY

STACY R. SPELL
PROJECT LONGEVITY

REV. JAMES NEWMAN
NEW FREEDOM CHURCH
PRESIDENT, GREATER NEW HAVEN CLERGY ASSOCIATION

REV. MARY ANDERSON
THE CITY OF MINISTRY REFUGE

REV. J. SCOTT BARBER
CHURCH OF GOD & SAINTS OF CHRIST

ELDER ALTON BARNES
HOLY TRINITY CHURCH OF GOD IN CHRIST

BISHOP H. D. BORDEAUX
CHURCH OF GOD IN CHRIST

ADMIN. ASSIST. THOMAS J. BORDEAUX
CHURCH OF GOD IN CHRIST

REV. EDDIE CHERRY
GREATER MT. CARMEL PENTECOSTAL

REV. STEVE COUSIN, JR.
BETHEL A.M.E. CHURCH

REV. GEORGE KAVOOR
ST. JOHN'S EPISCOPAL CHURCH

DR. REV. BOISE KIMBER
FIRST CALVARY BAPTIST CHURCH

REV. KEITH KING
CHRISTIAN TABERNACLE BAPTIST CHURCH

REV. RICHARD D. MEADOWS
ST. LUKE’S EPISCOPAL CHURCH

REV. DOROTHY MEWBORN
FIRST CALVARY BAPTIST CHURCH

REV. AARON MOODY
FIRST CALVARY BAPTIST CHURCH

DR. LUCILLE MOORING-WINSTON
SAFELY PLACED OUTREACH MINISTRY

PASTOR CAROLYN OHERE
FAITH TEMPLE REVIVAL CENTER

REV. BELINDA ROBERTS-BURNETT
P.W.A.P. MINISTRIES

BISHOP ERELL SKYERS
SHILOH APOSTOLIC CHURCH OF CHRIST

BISHOP VICENT SMITH
MORNINGSTAR DELIVERANCE MINISTRIES

BISHOP ROBERT H. STALLINGS
CHURCH OF GOD AND SAINTS OF CHRIST

REV. HOWARD TAYLOR
FAITH CENTER CHURCH

PROPHET RICHARD TRENT
AT LARGE

REV. ROGER WILKINS
MLCM CHURCH OF GOD IN CHRIST

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that MORRIS CARTER, JR., also known as “Chilly Mo” and “Mo,” 46, of Hartford, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 60 months of imprisonment, followed by seven years of supervised release, for distributing crack cocaine.

This matter stems from “Operation Vinefield,” a joint law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force targeting narcotics trafficking and gang violence in Hartford’s North End.  As a result of the nine-month investigation, 38 individuals were charged with various offenses related to the distribution of crack cocaine and the unlawful possession and dealing of firearms in and around Hartford.

According to court documents and statements made in court, the investigation revealed that Joshua Easterling, also known as “Skeet,” “Squash” and “SQ,” controlled the distribution of crack cocaine in Hartford’s lower Vine Street area.  Easterling distributed crack to other street-level dealers, and also sold the drug directly to customers.  In addition, Easterling utilized individuals, including CARTER, as “pagers” or “runners” who would bring customers to Easterling, deliver small quantities of narcotics and provide information on police activity.

CARTER’s criminal history includes multiple several felony convictions, including a conviction for manslaughter in the first degree in 1990.

CARTER has been detained since his arrest on January 9, 2012.  On February 28, 2013, a jury found him guilty of one count of conspiracy to possess with intent to distribute 28 grams or more of cocaine base (“crack cocaine”), and one count of use of a telephone to facilitate a narcotics trafficking felony.

Easterling pleaded guilty and, on May 18, 2015, was sentenced to 120 months of imprisonment.

This matter was investigated by the FBI’s Northern Connecticut Violent Crimes Task Force, the Connecticut State Police, the Hartford Police Department, and the Connecticut Department of Correction.  The case was prosecuted by Assistant U.S. Attorney Brian P. Leaming.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that KHALID ABOUTAYEB, 47, of Bridgeport, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to approximately three weeks of imprisonment, time already served, three months of home confinement and three years of supervised release for illegally redeeming food stamp benefits at a grocery store he operated in Bridgeport.  ABOUTAYEB also was ordered to pay $199,505 in restitution.

The federal Supplemental Nutrition and Assistance Program (“SNAP”) is administered by the USDA’s Food and Nutrition Service and utilizes federal tax dollars to subsidize low-income households to provide them with the opportunity to achieve a more nutritious diet by increasing their food-purchasing power.  SNAP recipients purchase eligible food items at retail food stores through the use of an Electronic Benefits Transfer (EBT) card, and SNAP benefits may be accepted by authorized retailers only in exchange for eligible items.  Items such as alcoholic beverages, cigarettes, paper goods and soaps are not eligible for purchase with Food Stamp benefits, and it is a violation of the rules and regulations governing the food stamp program to allow benefits to be used to purchase ineligible items.  SNAP benefits may not lawfully be exchanged for cash under any circumstances.  The program is designed so that the total amount of each purchase is electronically transferred to the retailer’s designated bank account.

ABOUTAYEB operated the M&J Deli Market, a grocery and convenience store located at 988 State Street in Bridgeport.

On December 17, 2014, ABOUTAYEB pleaded guilty to one count of unlawful use of food stamp benefits.  In pleading guilty, he admitted that he and others, including his sister, Jamilia Aboutayeb, unlawfully exchanged customers’ food stamp benefits for ineligible items and cash at the M&J Deli Market between approximately December 2011 and February 2013.  The investigation revealed that more than $285,000 in illegal SNAP benefits were redeemed at the store.

On January 8, 2015, Jamilia Aboutayeb pleaded guilty, admitting that she unlawfully exchanged customers’ food stamp benefits for ineligible items and cash at M&J Deli Market between approximately June 2013 and March 2014.  On May 1, 2015, she was sentenced to five days of imprisonment, time already served, six months of home confinement and three years of supervised release.  She also was ordered to pay restitution in the amount of $69, 209.

This matter was investigated by the U.S. Department of Agriculture, Office of Inspector General, and was prosecuted by Assistant U.S. Attorney Felice M. Duffy.

Deirdre M. Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that on June 24, 2015, a grand jury in New Haven returned an indictment charging the following individuals with federal narcotics offenses:

JEFFREY SMITH, aka “J-Money,” 21, of New Haven
ROBBIE SMITH, aka “Lil Rob,” 26, of New Haven
SEAN LONDON, 22, of New Haven
ROBERT OATHOUT, 35, of Branford
JASON LANGLEY, 39, of East Haven
HARRY ANASTASIO, 54, of East Haven
ANTONIO DELUCIA, 26, of Wallingford

This investigation was conducted by the FBI’s New Haven Safe Streets Task Force, which consists of FBI agents and officers from the New Haven Police Department, West Haven Police Department and the Connecticut Department of Correction.  Six of the defendants were arrested on June 10, 2015.  ROBBIE SMITH is currently in state custody on unrelated charges.

The indictment alleges that between February and May 2015, JEFFREY SMITH, ROBBIE SMITH and LONDON conspired with others to distribute heroin and crack cocaine.  According to court documents and statements made in court, the three men shared a mobile telephone on which they were contacted by drug customers throughout the New Haven area.  The men would then deliver the drugs that were ordered in exchange for cash.

JEFFREY SMITH, ROBBIE SMITH and LONDON are charged with one count of conspiracy to distribute heroin and cocaine base (“crack”).  In addition, JEFFREY SMITH is charged with four counts of possession with intent to distribute, and distribution of, cocaine base, and one count of possession with intent to distribute, and distribution of, heroin.  LONDON is also charged with one count of possession with intent to distribute, and distribution of, cocaine base.  OATHOUT, LANGLEY, ANASTASIO and DELUCIA, who are alleged to be drug customers of the conspiracy, are each charged with one count of using a telephone to facilitate a narcotics trafficking felony offense.

If convicted of the charges, JEFFREY SMITH and LONDON face a mandatory minimum sentence of five years of imprisonment and a maximum term of imprisonment of 40 years on the conspiracy charge, and up to 20 years in prison on each distribution charge.  ROBBIE SMITH faces a maximum term of imprisonment of 20 years, and OATHOUT, LANGLEY, ANASTASIO and DELUCIA each face a maximum term of imprisonment of four years.

U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

U.S. Attorney Daly stated that the investigation is ongoing.

This matter is being prosecuted by Assistant U.S. Attorneys H. Gordon Hall and Jennifer R. Laraia.

Deirdre M. Daly, United States Attorney for the District of Connecticut, and George C. Jepsen, Attorney General for the State of Connecticut, today announced that GARG CONSULTING SERVICES, INC. (“GARG”) has entered into a civil settlement agreement with the federal government and the State of Connecticut in which GARG will pay $390,000 to resolve allegations that the Rocky Hill-based company failed to authenticate an employee’s purported educational credentials and a professional certification before hiring and assigning him to work on various U.S. Department of Transportation-funded and state-funded highway projects, and on a bridge reconstruction project funded by the National Railroad Passenger Corporation (“Amtrak”).

According to allegations contained in the settlement agreement, GARG provided construction management and inspection services as a contractor or subcontractor for Connecticut Department of Transportation (“CONNDOT”) projects and for an Amtrak project.  In 2007, an individual applied for employment with GARG and represented that he was a college graduate with a degree in civil engineering management and with Engineer-in-Training (“EIT”) certification from the State of Connecticut.  If appropriate employee screening had been done, GARG would have learned that the employee had not graduated from college and had never sought or obtained EIT certification.

The employee worked at GARG from May 2007 to May 2010.  During this time, GARG was a contractor or subcontractor on several federal and state highway and bridge projects.  The employee also worked on a GARG subcontract for engineering consulting and professional services related to Amtrak’s replacement of the movable span on the Thames River Bridge.  On the CONNDOT and Amtrak projects, GARG submitted payroll invoices for work performed by the company’s employees, including for work performed by the unqualified employee.  The contracts and subcontracts entered into by GARG required that the company provide qualified personnel to work on the CONNDOT and Amtrak projects, and GARG submitted project proposals containing the employee’s purported credentials and qualifications.  In addition, both CONNDOT and Amtrak were contractually reliant on GARG to provide qualified personnel.

“It is imperative that our roads, bridges and other components of our critical infrastructure are constructed, maintained and inspected only by qualified individuals,” said U.S. Attorney Daly.  “This case sends a clear message that government contractors that do not properly vet all of their employees risk investigation and a heavy financial penalty.”

U.S. Attorney Daly also noted that GARG cooperated with the government’s investigation.

“Certifications are critically important, especially in major engineering projects where proper procedures and training help to ensure the safety of the general public,” said Attorney General Jepsen.  “Employers have a responsibility to make very sure that their employees are properly certified for the jobs that they are expected to perform.  I’m pleased that this matter has been resolved.”

“This investigation demonstrates our commitment to maintaining the integrity of federal acquisition and hiring processes, which is an oversight priority for the Office of Inspector General,” said Todd Damiani, Special Agent-in-Charge of the U.S. Department of Transportation Office of Inspector General.

“Our investigation sends a strong message to all contractors about their obligation to employ qualified persons to work on critical transportation infrastructure projects,” said Amtrak Inspector General Tom Howard.

As a result of the settlement, there will be no lawsuit filed against GARG regarding the conduct alleged in the settlement agreement.  In entering into the settlement, GARG did not admit liability or wrongdoing, and the agreement indicates that the parties settled this matter to avoid the delay, uncertainty, inconvenience, and expense of litigation.

This investigation was conducted by the U.S. Department of Transportation’s Office of Inspector General and Amtrak’s Office of Inspector General.  The matter was handled within the U.S. Attorney’s Office by Assistant U.S. Attorney William A. Collier and Auditor Susan N. Spiegel.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that LACEY BLAND, 35, of New Haven, pleaded guilty today in New Haven federal court to making a false statement to law enforcement.

According to court documents and statements made in court, BLAND was a potential witness in a federal matter.  After BLAND reported concerns about her safety, the U.S. Attorney’s Office sought and obtained authorization to provide Emergency Witness Assistance Program (EWAP) funds for her to change her residence.  BLAND subsequently told an employee of the U.S. Attorney’s Office and agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives that she had found a new residence and that a rental check in the amount of $3,600 should to made payable to a person she stated was the landlord’s wife.  BLAND also requested $399 in cash for payment to the movers.

An investigation revealed that the “landlord’s wife” was, in fact, an associate of BLAND’s who was unrelated to the landlord or premises to which BLAND stated she was moving.  BLAND never received EWAP funds.

The charge of making a false statement to law enforcement carries a maximum term of imprisonment of five years and a fine of up to $250,000.  BLAND is scheduled to be sentenced by U.S. District Judge Alvin W. Thompson in Hartford on September 17, 2015.

This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.  The case is being prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JAMEEL WILKES, also known as “Biggs,” 36, of New Haven, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 127 months of imprisonment, followed by 10 years of supervised release, for distributing crack cocaine.

WILKES is one of more than 100 individuals charged as a result of “Operation Bloodline,” a joint law enforcement investigation targeting narcotics trafficking and gang violence in the Dwight-Kensington and Fair Haven sections of New Haven.  Led by the DEA New Haven Task Force and the New Haven and Hamden Police Departments, the year-long investigation included the use of court-authorized wiretaps on numerous telephones, extensive physical surveillance, controlled purchases of narcotics, execution of search warrants, and seizures of narcotics and firearms.

According to court documents and statements made in court, WILKES operated a large-scale crack cocaine and marijuana trafficking operation in the greater New Haven area.

WILKES has been detained since his arrest on May 15, 2012.  On November 24, 2014, he pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 280 grams or more of cocaine base (“crack cocaine”).

This matter has been investigated by the Drug Enforcement Administration’s New Haven Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments.  The United States Marshals Service, the Connecticut State Police, the Connecticut Department of Correction, Parole and Community Services and the Milford, Hartford, New Britain, North Branford and Stratford Police Departments have provided valuable assistance to the investigation.

This case is being prosecuted by Assistant U.S. Attorneys S. Dave Vatti and Marc Silverman.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JAMES BROWN, 35, of New Haven, was sentenced today by Senior U.S. District Judge Alfred V. Covello in Hartford to 180 months of imprisonment, followed by five years of supervised release, for illegally possessing a firearm.

According to court documents and statements made in court, on December 28, 2012, New Haven Police responded to a 911 call of a domestic dispute involving a weapon.  Officers arrived at the identified residence and BROWN, who was in the bedroom, was taken into custody.  A subsequent search of the bedroom revealed a loaded Smith and Wesson revolver hidden under the mattress of the bed.

Forensic analysis of the firearm revealed DNA that matched BROWN’s DNA.

BROWN’s extensive criminal history includes convictions for unlawful restraint in the first degree, robbery in the second degree, robbery in the third degree, and sale of a controlled substance.  It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.

BROWN has been detained since his arrest on December 28, 2012.  On June 4, 2014, he pleaded guilty to one count of possession of a firearm by a previously convicted felon.

BROWN was sentenced pursuant to the Armed Career Criminal Act, a federal law imposing severe penalties for firearm or ammunition possession by persons who have been convicted of at least three violent felonies or serious drug offenses.  A defendant who qualifies as an Armed Career Criminal faces a minimum term of imprisonment of 15 years and a maximum term of life.

This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven Police Department.  The case was prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that MATTHEW TOLLIS, 22, of Wethersfield, pleaded guilty today in New Haven federal court to participating in a series of “swatting” incidents that occurred in Connecticut and other states in 2014.

“Swatting” is the making of a hoax call to any emergency service to elicit an emergency response based on the false report of an ongoing critical incident.  Incidents typically produce the deployment of SWAT units, bomb squads, and other police units, as well as the evacuations of schools, businesses and residences.

“Swatting incidents have wasted millions of dollars in law enforcement resources and have caused emotional distress for numerous victims,” stated U.S. Attorney Daly.  “This is not a game.  We are committed to exposing individuals responsible for these threats and prosecuting them to the full extent of the law.”

According to court documents and statements made in court, TOLLIS was a member of a group primarily consisting of Microsoft X-Box gamers who referred to themselves as “TCOD” (TeAM CrucifiX or Die).  TOLLIS and his TCOD associates used the Internet communication service Skype to make hoax threats involving bombs, hostage taking, firearms, and mass murder.  TOLLIS was identified as a participant in at least six of these swatting incidents, including a bomb threat to the UConn’s Admissions Department on April 3, 2014.  This hoax call resulted in a three-hour, campus-wide lockdown and required the UConn Police and the Connecticut State Police’s Bomb Squad, Emergency Services Unit and SWAT teams to respond.

TOLLIS also participated in TCOD swatting calls to the Boston Convention and Exhibition Center, Boston University, two high schools in New Jersey and a high school in Texas.  In pleading guilty, TOLLIS admitted that he identified potential institutions, including UConn and Boston University, for TCOD members to make the threatening calls, and gathered telephone numbers and other information about the targeted institutions.

The investigation revealed that one of the founders of TCOD, a resident of Scotland who has identified himself as “Verified,” was responsible for at least five additional swatting incidents in Connecticut and Massachusetts in 2014.  Other members of TCOD also reside in the U.K., and the FBI continues to coordinate its investigation with law enforcement authorities in the U.K.

TOLLIS was arrested on September 3, 2014, on state charges stemming from the UConn swatting incident, and he was arrested on a federal criminal complaint on September 10, 2014.  He is currently released on a $100,000 bond.

Today, TOLLIS waived his right to indictment and pleaded guilty to conspiring to engage in the malicious conveying of false information, namely a bomb threat hoax, an offense that carries a maximum term of imprisonment of five years.  He is scheduled to be sentenced by Chief U.S. District Judge Janet C. Hall on September 15, 2015.

This matter is being investigated by the FBI’s New Haven, Newark and Boston field offices, the UConn Police Department, the Connecticut Intelligence Center, the Willimantic Police Department, the Monroe Police Department, the Harvard University Police Department, the Boston University Police Department, the Newton (Mass.) Police Department, the Cambridge (Mass.) Police Department and other state and local law enforcement agencies.

U.S. Attorney Daly also acknowledged the critical assistance being provided by the U.S. Attorney’s Office for the District of New Jersey.

The case is being prosecuted by Assistant U.S. Attorneys Krishna R. Patel and Stephen B. Reynolds.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JAMIE COLEMAN, also known as “City,” 24, of Hartford, was sentenced today by U.S. District Judge Jeffrey Alker Meyer in Bridgeport to 24 months of imprisonment, followed by one year of supervised release, for his role in a crack cocaine trafficking ring.

According to court documents and statements made in court, this matter stems from a year-long joint law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force into narcotics trafficking by members and associates of West Hell street gang, and gang-related violent activity.  The investigation, which included the use of court-authorized wiretaps, controlled purchases of narcotics and physical surveillance, identified Melkuan Scott, also known as “Young God,” “Mel,” “Young” and “YG,” 24, as the leader of the West Hell street gang who, along with his associates, distributed crack cocaine in the Westland Street area of Hartford.

Scott regularly supplied COLEMAN with crack cocaine, which COLEMAN sold to his own customers.

Twenty-five individuals were charged as a result of the investigation, and 24 defendants have been convicted on charges in the indictment or related charges.  One defendant was shot and killed while his case was pending.

On December 2, 2014, COLEMAN pleaded guilty to one count of using a telephone to facilitate a narcotics trafficking offense.

Scott has pleaded guilty and awaits sentencing.

This matter has been investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force, Drug Enforcement Administration, U.S. Marshals Service and Internal Revenue Service – Criminal Investigation Division.  The FBI Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.  The Hartford Police Department’s Vice and Narcotics Squad, Major Crimes Unit and Shooting Task Force are providing valuable assistance to the investigation, and the Capitol Region Emergency Response Team (CREST) assisted with the arrest of certain defendants.  The Office of the Chief State’s Attorney is also assisting with this ongoing investigation.

The case is being prosecuted by Assistant U.S. Attorneys John H. Durham and Peter S. Jongbloed.

JOHNNIE JEFFERSON, also known as “Jeezy,” 24, of Bridgeport, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 264 months of imprisonment, followed by five years of supervised release, for his involvement in the October 2012 murder of Dawayne Cobb in Bridgeport.

According to court documents and statements made in court, JEFFERSON and Trumaine Hearst devised a plan to rob Dawayne Cobb of marijuana.  On October 10, 2012, JEFFERSON and Hearst drove to the vicinity of 220 Sunshine Circle to meet Cobb and robbed from him at gunpoint a jar containing approximately two ounces of marijuana.  Although Cobb offered no resistance, Hearst shot him twice.  JEFFERSON and Hearst transported the stolen marijuana to a Bridgeport residence and subsequently distributed it amongst themselves and others.

Later that day, Cobb was discovered in the driver seat of his idling vehicle.  He had gunshot wounds in his shoulder and abdomen.

“The U.S. Attorney’s Office remains committed to addressing violence in the inner city whenever and wherever it appears,” stated U.S. Attorney Deirdre M. Daly.  “We stand shoulder to shoulder with local police departments and the FBI in prioritizing those responsible for gun violence.  Our hearts go out to the family of Dawayne Cobb for their tragic loss.  This young man was struck down in the prime of his life over a small amount of marijuana. This sentence makes clear that defendants responsible for such lawless cruelty will be held accountable.”

“Today’s sentencing serves to warn those engaged in violent criminal activity that the Safe Streets Task Force is committed to bringing violent offenders to justice,” stated FBI Special Agent in Charge Patricia M. Ferrick.  “We have zero tolerance for gun violence, and we will continue to work side by side with our law enforcement partners so that tragedies like this will one day become obsolete.”

“Today sends a clear message that gun violence won’t ever be tolerated in Bridgeport, and the people who commit it will face the consequences,” stated Bridgeport Police Chief Joseph L. Gaudett, Jr.  “Our detectives did outstanding work in this case to bring justice to Mr. Cobb’s family and work closely with both state and federal prosecutors to ensure that criminals are held accountable to the highest level when they commit gun violence in our city.  We owe that and more to the kids and families who live, work and play in Bridgeport every day.”

On November 3, 2014, JEFFERSON pleaded guilty to one count of causing the death of Dawayne Cobb through the use of a firearm.

Hearst pleaded guilty to the same charge on November 10, 2014.  On May 19, 2015, he was sentenced to 28 years of imprisonment.

JEFFERSON and Hearst have been detained since July 16, 2013.

U.S. Attorney Daly noted that federal prisoners are required to serve at least 85 percent of their sentenced term of imprisonment and are not eligible for parole.

This matter was investigated by Bridgeport Police Department and the FBI’s Bridgeport Safe Streets Task Force.  The case was prosecuted by Assistant U.S. Attorneys Tracy Dayton and Rahul Kale.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that HEATHER ALFONSO, 42, of Middlebury, waived her right to indictment and pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to receiving kickbacks in relation to a federal healthcare program.

According to court documents and statements made in court, ALFONSO was employed as an Advanced Practice Registered Nurse (APRN) at Comprehensive Pain and Headache Treatment Center (CPHTC) located in Derby.  As part of her practice, ALFONSO prescribed various controlled substances to clients of the treatment center.

The investigation revealed that ALFONSO was a heavy prescriber of a drug that is used to treat cancer pain.  A review of Medicare Part D prescription drug events for prescribers of the drug showed that ALFONSO was responsible for more than $1 million in claims and was the highest prescriber of the drug in Connecticut.  Interviews with several of ALFONSO’s patients, who are Medicare Part D beneficiaries and who were prescribed the drug, revealed that most of them did not have cancer, but were taking the drug to treat their chronic pain.  Medicare and most private insurers will not pay for the drug unless the patient has an active cancer diagnosis and an explanation that the drug is needed to manage the patient’s cancer pain.

The investigation further revealed that the manufacturer of the drug paid ALFONSO as a speaker for more than 70 dinner programs at a rate of approximately $1,000 per event.  In many instances, the dinner programs were only attended by ALFONSO and a sales representative for the drug manufacturer.  In other instances, the programs were attended by individuals, including office staff and friends, who did not have licenses to prescribe controlled substances.  For the majority of these dinner programs, ALFONSO did not give any kind of presentation about the drug at all.

From January 2013 until March 2015, ALFONSO was paid $83,000 by the drug manufacturer.  In pleading guilty, ALFONSO admitted that the money she was paid influenced her prescribing of the drug.

The charge of receipt of kickbacks in relation to a federal healthcare program carries a maximum term of imprisonment of five years and a fine of up to $250,000.  Judge Shea scheduled sentencing for September 17, 2015.

U.S. Attorney Daly stated that the investigation is ongoing.

This investigation is being conducted by the U.S. Department of Health and Human Services Office of the Inspector General and the Federal Bureau of Investigation, with the assistance of the Drug Enforcement Administration’s Diversion Squad.  The case is being prosecuted by Assistant U.S. Attorneys Douglas P. Morabito and Richard M. Molot

U.S. Attorney Daly encouraged individuals who suspect health care fraud to report it by calling the Health Care Fraud Task Force (203) 785-9270 or 1-800-HHS-TIPS.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that on June 19, 2015, FRANK GREEN, SR., 50, of Stamford, was sentenced by U.S. District Judge Robert N. Chatigny in Hartford to 48 months of imprisonment, followed by three years of supervised release, for being a felon in possession of a firearm, and for violating the terms and conditions of his supervised release from a prior federal conviction.  GREEN pleaded guilty on March 24, 2015.

According to court documents and statements made in court, in August and September 2013, Stamford Police made two controlled purchases of purported cocaine from GREEN in the vicinity of a home on Amelia Place where GREEN had been residing.  On October 4, 2013, police executed a search warrant at the home and seized from GREEN’s bedroom three small baggies of cocaine, a scale, packaging material, a cutting agent and a loaded .38 caliber revolver.

GREEN’s criminal history includes several state felony convictions and a federal narcotics felony conviction.  In June 2011, GREEN was sentenced by Judge Chatigny to 39 months of imprisonment, followed by three years of supervised release, for his role in a cocaine distribution conspiracy.  He was released from federal prison in April 2013.

On Friday, Judge Chatigny sentenced GREEN to 37 months of imprisonment for illegally possessing the firearm and a consecutive 11-month prison term for the supervised release violation.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Stamford Police Department.  This case was prosecuted by Assistant U.S. Attorney Robert M. Spector.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that SHAWN HILL, 31, of New Haven, pleaded guilty today in Hartford federal court to one count of possession of a firearm by a convicted felon.  The jury in the case had been picked and HILL’s trial was scheduled to begin this morning.

According to court documents and statements made in court, on December 12, 2012, ATF agents and New Haven Police officers executed a search warrant at a residence on Norton Street in New Haven where HILL had been residing.  As New Haven SWAT team members forced entry into the second floor apartment, HILL discarded a fully-loaded Sig Sauer, P229, .40 caliber pistol through a window in a bedroom where a 9-year-old child was sleeping.  The pistol was quickly recovered by law enforcement and HILL was arrested.

The firearm had been reported as stolen from Wilmington, North Carolina.

HILL’s criminal history includes several felony convictions.  It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.

HILL is scheduled to be sentenced by U.S. District Judge Robert N. Chatigny on September 14, 2015, at which time he faces a maximum term of imprisonment of 10 years and a fine of up to $250,000.

HILL has been detained since his arrest.

This matter has been investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven Police Department.  The case is being prosecuted by Assistant U.S. Attorney John H. Durham.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JAMES BROWN, also known as “Decky,” 25, of East Hartford, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 66 months of imprisonment, followed by four years of supervised release, for his role in a narcotics trafficking ring.

This matter stems from a joint law enforcement investigation headed by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) into a narcotics trafficking operation headed by Luther Nance, also known as “Papers” and “Cash.”  The investigation, which included numerous controlled purchases of narcotics and physical surveillance, revealed that Nance and his associates sold crack cocaine and heroin in several communities throughout Connecticut utilizing multiple bases of operation, including a house on Carroll Road in East Hartford, the Sheldon Oaks housing complex in Hartford and an apartment on Valley Street in Willimantic.

According to court documents and statements made in court, BROWN received wholesale quantities of crack cocaine from Nance and other members of the conspiracy and supplied the drug in smaller quantities to dealers and customers.  At times, BROWN converted, or “cooked,” cocaine into crack cocaine.  The investigation revealed that BROWN and other members of his crew possessed firearms in association with their narcotics trafficking activities.

On June 27, 2013, a federal grand jury returned a 51-count superseding indictment charging BROWN, Nance and 13 other individuals with narcotics conspiracy and related offenses.

On August 19, 2014, BROWN pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 28 grams or more of cocaine base (“crack cocaine”).

BROWN has been detained in state custody since January 2013 and is serving a state sentence of four years of incarceration and six years of special parole for sale of narcotics.  The federal sentence imposed today will run concurrently with the remainder of BROWN’s state sentence.

On March 7, 2014, Nance pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 280 grams or more of cocaine base, and one count of conspiracy to engage in money laundering.  He is detained while awaiting sentencing.

This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the Internal Revenue Service – Criminal Investigation Division, the U.S. Marshals Service, the Office of the Chief State’s Attorney, the State’s Attorney for the Judicial District of Hartford, and the Hartford, Willimantic, East Hartford, Enfield and Middletown Police Departments.

The case is being prosecuted by Assistant U.S. Attorney Geoffrey M. Stone.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that a federal grand jury in Bridgeport returned an indictment yesterday charging LORENZO CARTER, 20, of Bridgeport, with possession of a firearm by a convicted felon.

The indictment alleges that, on April 8, 2015, CARTER possessed a .22 caliber handgun.

Prior to April 2015, it is alleged that CARTER had sustained felony convictions for carrying a pistol without a permit and illegally receiving a pistol.  It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.

If convicted, CARTER faces a maximum term of imprisonment of 10 years and a fine of up to $250,000.

CARTER has been detained in state custody since his arrest on April 8, 2015.

U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the FBI Safe Streets Task Force and the Bridgeport Police Department.  This case is being prosecuted by Assistant U.S. Attorney Jennifer Laraia. 

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that EDWARD BERMAN, MD, a physician with a practice in Ridgefield, has entered into a civil settlement with the government in which he will pay $218,633 to resolve allegations that BERMAN violated the False Claims Act.

U.S. Attorney Daly explained that the allegations against BERMAN involve fraudulent billing to Medicare for subsequent skilled nursing facility (“SNF”) services.  The government alleges that BERMAN submitted claims to Medicare for SNF services that were not performed in accordance with Medicare requirements.  Specifically, the government alleges that BERMAN “upcoded” certain services, submitting claims to Medicare by using a higher-paying billing code when services with lower-paying billing codes were actually provided.

To resolve his liability under the False Claims Act, BERMAN will pay $218,633, in order to reimburse the Medicare programs for conduct occurring during the time period January 1, 2008, through March 4, 2014. 

“Health care providers that overcharge Medicare drain critical funds from the Medicare program and increase health care costs,” U.S. Attorney Daly stated.  “The U.S. Attorney’s office is committed to vigorously pursuing physicians and other health care providers who submit fraudulent claims to federal health care programs.  Providers who submit false claims to the government face serious monetary and administrative sanctions.”

Under the False Claims Act, the government can recover up to three times its actual damages, plus penalties of $5,500 to $11,000 for each false claim.

This case was investigated by the Office of Inspector General for the Department of Health and Human Services.  The case was prosecuted by Assistant U.S. Attorney Anne F. Thidemann with the assistance of Auditor Kevin A. Saunders.

In entering into the settlement agreement, BERMAN did not admit liability.

U.S. Attorney Daly encouraged individuals who suspect health care fraud to report it by calling the Health Care Fraud Task Force (203) 785-9270 or 1-800-HHS-TIPS.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JAMES E. NEILSEN, 55, of Norwalk, was arrested today on a criminal complaint charging him with defrauding individual investors out of more than $400,000.

Following his arrest, NEILSEN appeared before U.S. Magistrate Judge William I. Garfinkel in Bridgeport and was ordered detained.

According to statements made in court, it is alleged that NEILSEN defrauded three individuals by convincing them to invest their money with him.  Instead of investing funds as promised, NEILSEN used the money to pay other investors and to make various personal expenditures.

The complaint charges NEILSEN with wire fraud, an offense that carries a maximum term of imprisonment of 20 years.

U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This ongoing investigation is being conducted by the Federal Bureau of Investigation with valuable assistance from the Greenwich Police Department and the Connecticut Department of Banking.

Citizens with information that may be helpful to this investigation are encouraged to contact the FBI at (203) 333-3512.

The case is being prosecuted by Assistant U.S. Attorney David T. Huang.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that HUMBERTO SOTO, 27, of Bridgeport, was sentenced today by U.S. District Judge Jeffrey Alker Meyer in Bridgeport to 84 months of imprisonment, followed by five years of supervised release, for planning to conduct an armed robbery of narcotics stash house.

This matter stems from “Operation Samson,” an initiative headed by the ATF and the Bridgeport and New Haven Police Departments that targeted violent criminals, illegal firearm possession and firearm trafficking.  In the spring of 2014, approximately 40 ATF special agents and personnel from Connecticut and across the country were deployed with New Haven and Bridgeport Police to conduct numerous covert operations.

According to court documents and statements made in court, in March 2014, the ATF began an investigation into Carlos “Camby” Colon and Carlos “Joel” Colon, who were known narcotics and firearm traffickers in Bridgeport.  Law enforcement also had received information that Joel Colon was interested committing an armed robbery of a drug dealer.  During the investigation, which employed the use of an ATF agent working in an undercover capacity, the Colons recruited SOTO and others to commit an armed robbery of what they believed to be a narcotics stash house of 15 kilograms of cocaine.  In recorded conversations, SOTO agreed to secure a firearm for the robbery and stated that any occupants of the house who brandished a weapon would be shot.  SOTO also stated that all of the participants must be dressed in black, not have cellular telephones and wear gloves, and suggested that they should create fictitious tattoos in order to avoid identification.

On April 11, 2014, SOTO, the Colons, Markus Mendez, Nelson Diaz, Trevor Pierce and Hiram “Gringo” Mojica gathered at a location in Stamford where they believed they would be informed of the address of the narcotics stash house, and would then travel to the stash house to conduct the robbery.  All seven were arrested at that time.  A search of the center console of the vehicle that SOTO and Mendez drove to the meet location revealed a loaded and cocked Ruger 9mm pistol.  A search of the car that Diaz, Pierce and Mojica drove to the location also revealed a loaded .40 caliber pistol.

SOTO has been detained since his arrest.  On March 2, 2015, he pleaded guilty to one count of conspiracy to interfere with commerce by robbery and one count of use of a firearm in furtherance of a crime of violence.

Camby Colon, Joel Colon, Mendez, Diaz, Pierce and Mojica have pleaded guilty and await sentencing.

This case is being prosecuted by Assistant U.S. Attorney Vanessa Richards.

Deirdre M. Daly, United States Attorney for the District of Connecticut, Patricia M. Ferrick, Special Agent in Charge of the Federal Bureau of Investigation, and Hartford Police Chief James C. Rovella, today announced that 29 individuals have been charged with federal offenses stemming from the gang-related distribution of heroin and crack cocaine in Hartford’s South End.

According to allegations made in court, in September 2014, the FBI’s Northern Connecticut Violent Crimes Task Force initiated an investigation into narcotics distribution, firearms trafficking and acts of violence carried out by members and associates Los Solidos in Hartford’s South End.  The investigation has included the use of court-authorized wiretaps, controlled purchases of heroin, crack cocaine and firearms, and the execution of more than 15 searches.  These law enforcement efforts have resulted in the seizure of 24 firearms, approximately $74,000, two kilograms of crack cocaine, two kilograms of powder cocaine, one kilogram of heroin, 7000 bags of packaged heroin, 10 pounds of marijuana and four vehicles.

 This prosecution stems from Project Longevity, a comprehensive initiative to reduce gun violence in Connecticut’s major cities. Through Project Longevity, community members and law enforcement directly engage with members of groups that are prone to commit violence.  A critical component of the Project Longevity strategy is the “call-in,” a face-to-face meeting where Project Longevity partners engage group members and deliver a community message against violence, a law enforcement message about the consequences of further violence and an offer of help for those who want it.  Members of Los Solidos attended call-ins that were held in April 2014 and August 2014.

Last week, a grand jury in Hartford returned eight indictments charging 28 individuals.  Twenty-four of the defendants were arrested yesterday, two defendants were already incarcerated, and two defendants are still being sought by law enforcement.  One additional individual was charged by criminal complaint after being arrested during the course of yesterday’s operation.

“The U.S. Attorney’s Office and our law enforcement partners will use the full weight of federal law to make our cities safer by identifying violent gangs and prosecuting members and associates involved in drug trafficking and related activity,” stated U.S. Attorney Daly.  This investigation removed two dozen firearms from the street.  “I commend the work of the FBI’s Northern Connecticut Violent Crimes Task Force, which is committed to investigating serious criminal behavior in Hartford and rooting out violent individuals from our communities.  Project Longevity exists to give every member of a group participating in criminal behavior a new path to become a contributing member of society.  This prosecution should send a clear message to those who choose to resist a lifestyle change that the path they’re currently taking may very well lead to a federal courtroom.”

“The distribution of narcotics allegedly undertaken by members and associates of the Los Solidos street gang has been seriously disrupted as a result of this successful long-term investigation by the Northern Connecticut Violent Crimes Task Force,” stated FBI Special Agent in Charge Ferrick.  “It is our hope that our continuing investigations will break the stronghold certain gangs believe they have over Hartford neighborhoods.”

“This operation, which embedded Hartford Police Department patrol officers and detectives with our federal partners for several months, is an example of our strong relationships and continued cooperation with all of our local, state and federal partners,” stated Hartford Police Chief Rovella.  “We continue to support these efforts and relationships to cooperatively enhance a safer city.”

The following individuals are charged in an indictment with conspiracy to distribute and to possess with intent to distribute heroin:

MELVIN CASTRO, a.k.a. “Humacoa,” 22, of Hartford
LUIS CASTRO, a.k.a. “Cano,” 43, of Hartford
FRANCISCO SANCHEZ-REYES, a.k.a. “Chino,” 37, of Hartford
HERNAN GONZALEZ, 26, of Hartford
MANUEL LOZADO, a.k.a. “Mayo,” 25, of Hartford

This indictment also charges MELVIN CASTRO with 12 counts and GONZALEZ and LOZADO each with one count of possession with intent to distribute, and distribution of, heroin.  The indictment further charges MELVIN CASTRO with three counts of possession of a firearm by a previously convicted felon, and WILLIAM MARRERO, 22, of East Hartford, with one count of possession of a firearm by a previously convicted felon.

The following individuals are charged in a separate indictment:

FELIX JIMENEZ, a.k.a. “P.R.,” 30, of Hartford
ROGELIO ORTEGA, 45, of Manchester
SANDRO RUIZ, a.k.a. “Domi” 41, of Hartford
RICHARD CRUZ, a.k.a. “Gotti,” 25, of Windsor Locks
JOANNA NEGRON, 36, of Hartford

JIMENEZ and ORTEGA are charged with conspiracy to distribute and to possess with intent to distribute cocaine base (“crack cocaine”).  JIMENEZ is also charged with one count of possession with intent to distribute, and distribution of heroin, one count of use of telephone in the commission of a drug trafficking felony, and two counts of possession of a firearm by a previously convicted felon.  CRUZ is charged with one count of possession with intent to distribute heroin, one count of use of telephone in the commission of a drug trafficking felony and one count of possession of a firearm in furtherance of drug trafficking crimes.  RUIZ and NEGRON are each charged with one count of use of telephone in furtherance of a drug trafficking crime.

The following individuals are charged in an indictment with conspiracy to distribute and to possess with intent to distribute cocaine base:

VINCENTE RIVERA, a.k.a. “Macho,” 35, of Hartford
BASILIA GOMEZ, 30, of Hartford
JORGE GOMEZ, a.k.a. “Joe,” 29, of Hartford
PEDRO ROMAN, a.k.a. “Tony,” 38, of Hartford

This indictment also charges RIVERA with 11 counts of possession with intent to distribute, and distribution of, cocaine base, and one count of possession of a firearm by a previously convicted felon.  In addition, the indictment charges WILLIAM PEREZ, a.k.a. “Jay,” 30, of East Hartford, with one count of possession of a firearm by a previously convicted felon, and EDWARD BLAIR, 33, of Hartford, MORRIS LANIER, 23, of Hartford, and NAHKIA ROBERTS, 30, of Willimantic, each with one count of use of a telephone in the commission of a drug trafficking felony.

Another indictment charges EDUARDO ZAYAS, a.k.a. “Za,” 31, of East Hartford, and MICHAEL KELLEY, 34, of New Britain, with conspiracy to distribute and to possess with intent to distribute cocaine base.  ZAYAS is also charged with possession with intent to distribute cocaine base, possession with intent to distribute heroin, possession of a firearm in furtherance of drug trafficking crimes, and possession of a firearm by a previously convicted felon.  KELLEY is also charged with possession with intent to distribute cocaine base (two counts), possession with intent to distribute cocaine, possession with intent to distribute marijuana, and maintaining a drug-involved premises.

This indictment also charges SHAWN KARJOHN, 37, of Hartford, RICHARD JEWELL, 40, of Hartford and CHRISTOPHER ROSA, 32, of Hartford, with use of telephone in the commission of a drug trafficking felony.  KARJOHN is also charged with possession with intent to distribute cocaine base.

Charged in four separate indictments are:

EDGARDO TORRES, a.k.a. “Eggy,” 36, of East Hartford, with 14 counts of possessing with intent to distribute, and distribution, of heroin and crack cocaine.

JOSE SERRANO, 30, of Hartford, with one count of possession of a firearm by a previously convicted felon.

ERIC ORTIZ, a.k.a. “Nice,” 34, of Hartford, with four counts of possession with intent to distribute heroin.

MIGUEL DIAZ, a.k.a. “Smooth,” 35, of Wethersfield, with two counts of possession with intent to distribute heroin, one count of possession of a firearm in furtherance of a drug trafficking crime and one count of possession of a firearm by a previously convicted felon.

CARLOS RIVERA, 24, of Hartford, was arrested on a criminal complaint charging him with possession of a firearm by a previously convicted felon and possession with intent to distribute heroin and crack cocaine.

U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force.  The FBI Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.  The Hartford Police Department’s Vice and Narcotics Squad, Major Crimes Unit, Shooting Task Force and South Conditions Unit are providing valuable assistance to the investigation, and the U.S. Marshals Service and Capitol Region Emergency Response Team (CREST) assisted with the arrests.

This case is being prosecuted by Assistant U.S. Attorneys Michael J. Gustafson and Gabriel J. Vidoni.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that MARIA PINHEIRO, 58, of Trumbull, was sentenced today by Chief U.S. District Judge Janet C. Hall in New Haven to two months of imprisonment, followed by one year of supervised release, for filing false tax returns.  Chief Judge Hall also ordered PINHEIRO to perform 100 hours of community service.

According to court documents and statements made in court, PINHEIRO owns and operates the Dolphin’s Cove Marina (“DCM”), a seafood restaurant in Bridgeport.  From 2007 through 2009, PINHEIRO was the sole shareholder and bookkeeper for DCM, and she handled all of the DCM finances.  Instead of depositing all of the cash receipts from DCM into the DCM business checking account, PINHEIRO deposited substantial amounts of cash from the business into her personal checking account.  She then failed to provide her personal bank records to the firms that prepared the federal income tax returns for her and DCM.

Between 2007 and 2009, PINHEIRO deposited $352,437 in cash that DCM received into her personal bank account.  Some of deposits were structured in amounts of less than $10,001 in order to evade her bank’s currency transaction reporting requirements.  PINHEIRO caused the filing of false personal and corporate tax returns, resulting in a tax loss of $92,251.

On March 25, 2015, PINHEIRO pleaded guilty to one count of filing a false tax return.  As part of her plea agreement, PINHEIRO agreed to pay back taxes, interest and penalties in the total amount of $243,956.98, which she paid in full today.

This matter was investigated by the Internal Revenue Service – Criminal Investigation Division, and was prosecuted by Assistant U.S. Attorney Sarah P. Karwan.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that CHRISTINE HERNANDEZ, 43, of Yonkers, N.Y., was sentenced yesterday by U.S. District Judge Vanessa L. Bryant in Hartford to three years of probation for assisting Michael Goldberg’s decade-long Ponzi scheme.

According to court documents and statements made in court, for more than a decade, Michael Goldberg, a resident of Connecticut, ran a Ponzi scheme that took in more than $100 million from investors.  The vast majority of Goldberg’s fraud involved his solicitation of individuals and organizations to invest money in the purchase of distressed assets from JP Morgan Chase Bank (“Chase”).  Goldberg falsely represented to potential investors in these “Chase asset deals” that Chase had granted him a contractual right to purchase foreclosed and seized business assets from a Chase Foreclosure Manifest, which he would then resell in prearranged transactions to large, well-known corporations.  Goldberg represented that his purchase and resale of these foreclosed assets would enable him to pay investors a return on capital of up to 20 percent in a short period of time, typically 90 days.  In addition, Goldberg represented that Chase would refund the purchase price of any asset that could not be resold, and that therefore there was no risk to the investor that any principal investment would be lost.  In fact, Goldberg had no relationship with either Chase or with the supposed purchasers of the distressed assets, and the “Chase asset deals” did not exist.

Goldberg paid investors with funds received from new investors.  When his scheme was revealed, Goldberg had defrauded investors out of more than $30 million.

In 2008 and 2009, HERNANDEZ assisted Goldberg in concealing aspects of his scheme by posing as a Chase employee on three occasions at a bank branch in New York City, and also on at least one conference call, in order to confirm to investors Goldberg’s relationship with Chase so that those investors would continue to place money with Goldberg.  HERNANDEZ also participated in investor phone calls under her own name and claimed to be a Chase contractor checking inventory that would be available to Goldberg’s supposed corporate “customers.”

HERNANDEZ was unaware that the Chase asset deals did not exist, but believed that she was helping to prevent investors from going directly to Chase, thereby cutting Goldberg out of the purported asset deals.

On March 23, 2015, HERNANDEZ waived her right to indictment and pleaded guilty to one count of misprision of a felony.

On September 13, 2010, Goldberg pleaded guilty to three counts of wire fraud.  On May 16, 2011, he was sentenced to 120 months of imprisonment and was ordered to pay restitution in the amount of $31,023,035.40.

This matter was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney David E. Novick.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that PEDRO GIL RIVERA ORTIZ, known as “Gil,” 50, of New London, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 87 months of imprisonment, followed by four years of supervised release, for importing and distributing cocaine.

According to court documents and statements made in court, in early 2012, Homeland Security Investigations (“HSI”), the U.S. Secret Service and the New London Police Department initiated an investigation to combat the large-scale trafficking of heroin and cocaine from the Dominican Republic and Puerto Rico into and around southeastern Connecticut.  The investigation revealed that certain members of the conspiracy coordinated the shipment of heroin, and sometimes cocaine, via human couriers from the Dominican Republic to the United States.  Other members of the conspiracy obtained kilogram-quantities of cocaine in Puerto Rico and then mailed the drug to locations in and around New London where it was sold to distributors and customers.  Narcotics were also obtained from sources in New York City and Rhode Island.

 More than 100 individuals were charged with federal and state offenses as a result of this investigation.

The investigation revealed that RIVERA ORTIZ conspired with his nephew, Juan G. Cheverez, known as “Guinchi,” and Juan Hernandez, known as “Johnny,” to receive kilogram-quantities of cocaine in the mail from Axel Matta Figueroa, known as “Joelito,” in Puerto Rico, and then distributed the drug in southeastern Connecticut.   Between November 2012 and through April 2013, Cheverez, Hernandez and RIVERA ORTIZ routinely traveled to Puerto Rico to meet with Matta Figueroa to purchase cocaine.  The conspirators often packaged the cocaine at “Gil’s house,” a property in Baharona, Morovis owned by RIVERA ORTIZ, and then mailed the cocaine to locations in the U.S.

RIVERA ORTIZ has been detained since his arrest on April 3, 2013.  On November 25, 2014, he pleaded guilty to one count of conspiracy to possess with the intent to distribute 500 grams or more of cocaine.

Cheverez, Hernandez and Matta Figueroa also pleaded guilty.  On February 18, 2015, Cheverez was sentenced to 77 months of imprisonment and, on November 20, 2014, Matta Figueroa was sentenced to 66 months of imprisonment.  Hernandez awaits sentencing.

This matter is being investigated by Homeland Security Investigations; U.S. Secret Service; U.S. Postal Inspection Service; Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Customs and Border Protection, Office of Air and Marine; Connecticut State Police; New London Police Department, Norwich Police Department, Waterford Police Department, Groton Town Police Department, East Lyme Police Department and Putnam Police Department.  The United States Marshals Service; ICE Enforcement and Removal Operations; Drug Enforcement Administration; HSI Assistant Attaché, Santo Domingo, Dominican Republic; HSI Arecibo, Puerto Rico Resident Office;  Internal Revenue Service – Criminal Investigation; Connecticut Department of Correction, Parole and Community Services; and the Groton City, Willimantic, New Haven and Bristol Police Departments have provided valuable assistance to the investigation.

The federal case is being prosecuted by Assistant U.S. Attorneys Sarah P. Karwan, Alina P. Reynolds and Henry K. Kopel.  The state cases are being prosecuted by the State’s Attorney for the New London Judicial District and Senior Assistant State’s Attorneys Paul Narducci and Stephen Carney.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that THOMAS CARR, also known as “Tommy Love,” 27, of New Haven, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 48 months of imprisonment, followed by three years of supervised release, for distributing crack cocaine.  CARR also was ordered to perform 100 hours of community service.

CARR is one of more than 100 individuals charged as a result of “Operation Bloodline,” a joint law enforcement investigation targeting narcotics trafficking and gang violence in the Dwight-Kensington and Fair Haven sections of New Haven.  Led by the DEA New Haven Task Force and the New Haven and Hamden Police Departments, the year-long investigation included the use of court-authorized wiretaps on numerous telephones, extensive physical surveillance, controlled purchases of narcotics, execution of search warrants, and seizures of narcotics and firearms.

According to court documents and statements made in court, the investigation revealed that James Bowman, also known as “Jimmy-Jam,” operated a large-scale cocaine and crack cocaine trafficking operation in the greater New Haven area.  CARR ran Bowman’s drug-selling location in the Fair Haven section of New Haven.

CARR was arrested on May 17, 2012.  On January 4, 2013, he pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 280 grams or more of cocaine base (“crack cocaine”).  CARR has been detained since April 17, 2014, when his bond was revoked.

Bowman pleaded guilty and awaits sentencing.

This matter has been investigated by the Drug Enforcement Administration’s New Haven Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments.  The United States Marshals Service, the Connecticut State Police, the Connecticut Department of Correction, Parole and Community Services and the Milford, Hartford, New Britain, North Branford and Stratford Police Departments have provided valuable assistance to the investigation.

This case is being prosecuted by Assistant U.S. Attorneys S. Dave Vatti and Marc Silverman.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JOSEPH T. MORRIS, 52, of Fort Lauderdale, Fla., formerly of Connecticut, pleaded guilty today in Bridgeport federal court to operating an investment scheme that defrauded individuals out of approximately $175,000.

According to court documents and statements made in court, MORRIS and two other individuals formed a company in October 2011 to develop business opportunities in Iraq.  The company’s initial focus was on establishing a pizza restaurant at the U.S. Consulate compound in Erbil, Iraq, and establishing a business to distribute and install specialty window film on vehicles and at hotels, residences, and government buildings, which would protect windows and windshields from blast and breakage, and provide heat retention, ultra-violet shielding, and privacy.  MORRIS was the company’s in-country manager in Iraq.

In pleading guilty, MORRIS admitted that he made numerous fraudulent representations to his co-founders regarding the restaurant and the window film business, knowing that the representations would be communicated to potential investors to induce them to invest in the company.  Through the use of fraudulent emails and photographs, MORRIS falsely represented that a lease had been signed to establish a pizzeria on the U.S. consulate compound in Erbil, that renovations were underway, and that progress was being made toward completing renovations and opening the restaurant.  MORRIS also falsely represented that the company had an exclusive arrangement with a specialty window film manufacturer to distribute and install the window film in all of Iraq.  Based on these misrepresentations, MORRIS caused approximately a dozen investors, most of whom were U.S. military veterans, to invest approximately $175,000 in the company.  Instead of using the money from investors to pay for legitimate business expenses, MORRIS diverted large sums of money for his own personal use.

The scheme was revealed in late April to early May 2012 when one of the co-founders discovered that the company did not have a lease or agreement to open and operate a pizza restaurant at the U.S. consulate compound in Erbil and that the company did not have an exclusive arrangement with a window film manufacturer to distribute and install specialty window film in Iraq.

MORRIS pleaded guilty to one count of wire fraud, which carries a maximum term of imprisonment of 20 years.  He is scheduled to be sentenced by U.S. District Judge Jeffrey A. Meyer on September 17, 2015.

This matter has been investigated by the U.S. Secret Service, the Wilton Police Department, and the Connecticut Financial Crimes Task Force, which includes federal, state and local law enforcement agencies.  The case is being prosecuted by Assistant U.S. Attorney Neeraj N. Patel.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANN HILS, 55, of East Hampton, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 63 months of imprisonment, followed by five years of supervised release, for operating a real estate appraisal scheme.

According to court documents and statements made in court, HILS was not a provisional or certified real estate appraiser in the state of Connecticut at any time.  Between approximately December 2006 and March 2008, HILS conspired with her daughter, Brandy Gomez, to obtain more than $47,000 in real estate appraisal fees to which they were not entitled.  As part of the scheme, HILS and Gomez knowingly submitted falsified work logs to the Connecticut Department of Consumer Protection purporting to show that Gomez, a provisional appraiser, completed dozens of real estate appraisals under the supervision of a certified appraiser when, in fact, Gomez had not performed such work and was not entitled to such appraisal fees.

HILS also used the individual names, certified appraiser license numbers, business names, and, in some instances, signatures, of three certified appraisers without their authorization in dozens of fraudulent real estate appraisals.  HILS submitted the appraisals to co-conspirators who used the appraisals in support of obtaining fraudulent mortgages for straw borrowers.  The appraisals contributed to more than $2.5 million in actual or intended losses to various mortgage lenders.

HILS was ordered to pay $47,908 in restitution.

On August 22, 2014, HILS pleaded guilty to one count of conspiracy to commit mail and bank fraud.

On March 19, 2014, Gomez pleaded guilty to the same charge.  On May 5, 2015, she was sentenced to one day of imprisonment and five years of supervised release, and was ordered to pay $47,908 in restitution.

This case was investigated by the Federal Bureau of Investigation, U.S. Department of Housing and Urban Development – Office of Inspector General, Internal Revenue Service – Criminal Investigation Division and U.S. Postal Inspection Service.  The case was prosecuted by Assistant U.S. Attorney David T. Huang.