District of Connecticut

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that JOSEPH SUDIK, 62, of North Franklin, was sentenced yesterday by U.S. District Judge Janet Bond Arterton in New Haven to three months of imprisonment, followed by one year of supervised release, for tax fraud.

According to court documents and statements made in court, SUDIK operated a general dentistry practice, and also served as the trustee of the Walter S. Sudik Trust, a trust his uncle created. The primary purpose of the Trust was to provide money to Walter Sudik’s living siblings or their spouses to ensure they were properly cared for in their remaining years. Walter Sudik died in July 2010. Following his uncle’s death and while serving as the trustee, SUDIK took more than $248,000 from the Trust without authorization and was paid $35,500 by the Trust for fiduciary fees for his services as trustee and reimbursement for closing his dental office to act as trustee. On his 2010 and 2011 federal tax returns, SUDIK willfully failed to report a total of $284,167 in unreported income and failed to pay $63,229 in income taxes.

On his 2010 federal tax return, SUDIK falsely reported taxable income of $25,026 and a tax due of $1,419. On his 2011 federal tax return, SUDIK falsely reported only $1,230 in taxable income and a tax due of $1,171.

Judge Arterton ordered SUDIK to pay $63,229, plus interest and penalties, to the Internal Revenue Service, and a total of $65,317 to three of the four beneficiaries of the Trust. The fourth beneficiary, SUDIK’s mother, did not wish to be part of a restitution order. SUDIK previously returned $116,488 to the four Trust beneficiaries after he learned he was under criminal investigation. Also, just prior the sentencing hearing, his attorney tendered each of the three beneficiaries a check in the amount of $10,000. The beneficiaries will receive restitution before the IRS.

On May 10, 2016, SUDIK pleaded guilty to one count of filing a false tax return. He was ordered to report to prison on or before September 26, 2017.

This matter was investigated by the Internal Revenue Service – Criminal Investigation Division and was prosecuted by Assistant U.S. Attorney Peter S. Jongbloed.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that a federal grand jury in Bridgeport has returned an indictment charging TYESHON KING, 30, of Bridgeport, with one count of possession of firearms and ammunition by a convicted felon.

The indictment was returned on July 12, 2017, and KING was arrested the next day.

The indictment alleges that on March 24, 2017, KING possessed a Taurus 9mm semi-automatic pistol, a Taurus .40 caliber semi-automatic pistol, and 28 rounds of assorted .40 caliber ammunition, all of which were manufactured out of state.

The indictment further alleges that, in May 2007, KING was convicted in state court of attempted assault in the first degree.

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.

The charge of possession of firearms and ammunition by a convicted felon carries a maximum term of imprisonment of 10 years.

KING has been detained since his arrest on July 13, 2017.

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 investigation is being conducted by the FBI’s Bridgeport Safe Streets Task Force and the Bridgeport Police Department. The case is being prosecuted by Assistant U.S. Attorneys Joseph Vizcarrondo and Alina Reynolds.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that SCOTT TAYLOR, 47, formerly of Shelton, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 188 months of imprisonment, followed by three years of supervised release, for robbing four branches of Chase Bank last year.

According to court documents and statements made in court, TAYLOR robbed the Chase Bank at 184 Main Street in Westport on June 2, 2016; the Chase Bank at 1561 Boston Post Road in Milford on June 24, 2016; the Chase Bank at 50 Washington Street in Norwalk on July 6, 2016, and the Chase Bank at 1855 Main Street in Stratford on July 13, 2016. During each of the robberies, TAYLOR handed a teller a note demanding cash and told the teller that he had a gun.

TAYLOR stole a total of approximately $23,300 during the first three robberies, and $1,000 during the July 13 robbery. When he was arrested at the Stratford train station shortly after the July 13 robbery, he possessed $998 in cash and 33 folds of heroin.

Judge Bryant ordered TAYLOR to make full restitution.

TAYLOR has been detained since his arrest. On January 30, 2017, he pleaded guilty to one count of bank robbery.

TAYLOR’s criminal history includes a 1999 federal conviction for bank robbery, stemming from his robbery of three Connecticut banks, for which he received a sentence of 37 months of imprisonment. In addition, in 2006, he was convicted in state court of robbing a bank in Milford in August 2005, and was sentenced to 20 years of imprisonment, with 12 years to serve. In February 2016, after his release from prison, he began serving a three-year term of probation.

This investigation was conducted by the Federal Bureau of Investigation and the Westport, Milford, Norwalk and Stratford Police Departments. The case was prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.

U.S. Attorney Daly thanked the assistance and cooperation of the State’s Attorneys for the Judicial Districts of Ansonia/Milford, Fairfield and Stamford/Norwalk.

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 HOMERO JOSHUA GARZA, 32, of Texas, formerly of Somers, Conn., waived his right to be indicted and pleaded guilty today in Hartford federal court to one count of wire fraud related to his role in his companies’ purported generation and sale of virtual currency.

According to court documents and statements made in court, “virtual currency” is a digital representation of a value that can be traded and functions as a medium of exchange. Virtual currency generally is not issued or guaranteed by any jurisdiction or government, and its value is decided by consensus within the community of users of the virtual currency. A virtual currency generally self-generates units of currency through a process called “mining.” A virtual currency “miner” is computer hardware that runs special computer software to solve complex algorithms that validate groups of transactions in that virtual currency. Once a complex algorithm is solved, a unit of currency, such as a bitcoin, is awarded to the individual operating the miner. This process is known as “mining.”

Between approximately May 2014 and January 2016, GARZA, through GAW, GAW Miners, ZenMiner, and ZenCloud, companies he founded and operated, defrauded victims out of money in connection with the procurement of virtual currency on their behalf. The companies sold miners, access to miners, and the right to purchase a virtual currency called “paycoin,” as well as “hashlets.” A hashlet entitled an investor to a share of the profits that GAW Miners or ZenMiner would purportedly earn by mining virtual currencies using the computers that were maintained in their data centers. In other words, hashlet customers, or investors, were buying the rights to profit from a slice of the computing power owned by GAW Miners and ZenMiner.

To generate business and attract customers and investors, GARZA made multiple false statements related to the scheme, including stating that GAW Miners’ parent company purchased a controlling stake in ZenMiner for $8 million and that ZenMiner became a division of GAW Miners. In fact, there was no such transaction. GARZA also stated that the hashlets GARZA’s companies sold engaged in the mining of virtual currency. In fact, GARZA’s companies sold more hashlets than was supported by the computing power maintained in their data centers. Stated differently, GARZA’s companies sold the customers the right to more virtual currency than the companies’ computing power could generate. GARZA also stated that the market value of a single paycoin would not fall below $20 per unit because GARZA’s companies had a reserve of $100 million that the companies would use to purchase paycoins to drive up its price. In fact, no such reserve existed.

During the scheme, GARZA, through his companies, used money his companies had made from new hashlet investors to pay older hashlet investors. The payments were money that the companies owed the older investors based on the purported mining GAW Miners and ZenMiner had done on the investors’ behalf.

The loss attributable to GARZA from the scheme was $9,182,000.

GARZA is scheduled to be sentenced by U.S. District Judge Robert N. Chatigny on October 12, 2017, at which time he faces a maximum term of imprisonment of 20 years.

This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorneys John T. Pierpont, Jr. and Jonathan Francis.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANA GUITY, 30, of West Haven, pleaded guilty today before U.S. District Judge Stefan R. Underhill in Bridgeport to one count of theft of mail matter by a U.S. postal employee.

According to court documents and statements made in court, GUITY was employed by the U.S. Postal Service as a window clerk, primarily at the post office in Westbrook, but also at post offices in Chester, North Branford and Madison. In late 2016 and early 2017, GUITY stole numerous letters from the mail, primarily greeting cards that she suspected would contain gift cards or cash. GUITY also stole several packages from the mail.

Typically, GUITY selected letters that she believed would contain items of value, removed money or a gift card from the letter, and then returned the letter to the mail stream. At times, GUITY stole the entire letter and did not return it to the mail stream. When GUITY was confronted by authorities, she had more than 35 letters mailed by others in her personal vehicle. The letters included birthday cards, holiday cards, sympathy cards and get well cards.

The investigation revealed that GUITY also stole a letter from an individual to the Connecticut Department of Revenue Services.

In addition, at least five packages containing cell phones that had been removed from the mail were recovered from GUITY.

Judge Underhill scheduled sentencing for October 16, 2017, at which time GUITY faces a maximum term of imprisonment of five years. She is released on a $25,000 bond pending sentencing.

GUITY is a citizen of Honduras and a lawful permanent resident of the U.S.

This matter is being investigated by the U.S. Postal Service Office of Inspector General and is being prosecuted by Assistant U.S. Attorney Ray Miller.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANTHONY G. SCIARRA, 54, of Wethersfield, formerly of Marlborough, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 46 months of imprisonment, followed by three years of supervised release, for operating an investment scheme that defrauded individuals and couples of more than $874,000.

According to court documents and statements made in court, from 2001 until May 2012, SCIARRA operated AGS Financial, through which he offered insurance, securities and other financial products. In approximately May 2012, the Connecticut Department of Insurance revoked SCIARRA’s insurance license.

Between approximately 2007 and July 2015, SCIARRA held himself out as a bona fide insurance agent and financial advisor when, in fact, he was not. Through AGS Financial, and later through an entity he described as “Westport Enterprises,” SCIARRA solicited investments from various victim-investors with promises of high annual investment returns ranging from 4 percent to 12 percent or more. SCIARRA falsely represented to investors that he would invest their funds in a bond fund or cigarette distribution business. Instead of investing any of the invested money as promised, SCIARRA diverted funds for his personal use, including to pay for restaurant meals and department store purchases, and to pay loans and other personal bills. The investigation revealed that SCIARRA made large cash withdrawals from ATMs and at Foxwoods Casino. SCIARRA also used some of the funds to make “interest” payments to other victim-investors.

During the scheme, SCIARRA made false statements to certain victim-investors, both in person and by e-mail, in an attempt to explain the various delays in the purported interest payments. In addition to telling victim-investors that their funds had been invested as represented, SCIARRA sought to prevent the discovery of the scheme by issuing payments to the victim-investors as a partial return of the principal and monies that were then due. Eventually, these payments stopped and the scheme was discovered.

Through this scheme, SCIARRA defrauded at least 12 victim-investors of $874,601.20

Judge Shea ordered SCIARRA to make full restitution.

On February 1, 2017, SCIARRA pleaded guilty to one count of wire fraud.

Judge Shea ordered SCIARRA to report to prison on August 30, 2017. SCIARRA is released on a $100,000 bond.

This matter was investigated by the Federal Bureau of Investigation, with the assistance of the Connecticut Department of Banking, Securities Division. The case was prosecuted by Assistant U.S. Attorney Michael S. McGarry.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that a federal grand jury in New Haven returned a three-count indictment today charging ROBERT CAPELLI, 31, of Milford; SCOTT BODNAR, also known as “Pep,” 38, of Ansonia, and DONALD BURNS, 59, of Milford, with trafficking marijuana by airplane into Connecticut.

According to allegations contained in court documents, in 2016, the Federal Aviation Administration began investigating a Piper single-engine aircraft, owned by BURNS, that was making regular flights between Stratford, Connecticut, and northern California via the southwest United States. On June 28, 2017, BURNS flew the aircraft from northern California to Lubbock, Texas. On June 29, BURNS flew the aircraft from Texas to Arkansas, and then to West Virginia and Connecticut, where he landed in the evening at Sikorsky Airport in Stratford. A law enforcement search of the plane revealed approximately 400 kilograms of marijuana in vacuum-sealed packages contained in a duffel bag. The investigation revealed that the marijuana was intended for CAPELLI and BODNAR. Later that day, agents conducted a controlled to delivery of the marijuana to CAPELLI and BODNAR at a location in Derby, where they were arrested.

It is alleged that from 2015 to June 2017, CAPELLI, BODNAR and BURNS trafficked more than 1,000 kilograms of marijuana from California to Connecticut.

The indictment charges the three defendants with one count of conspiracy to distribute, and to possess with intent to distribute, 1,000 kilograms or more of marijuana, an offense that carries a minimum term of imprisonment of 10 years and a maximum term of imprisonment of life. The indictment also charges the three defendants with one count of possession with intent to distribute 100 kilograms or more of marijuana on board an aircraft registered in the U.S., and one count of possession with intent to distribute 100 kilograms or more of marijuana, offenses that carry a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 40 years, on each count.

CAPELLI, BODNAR and BURNS were initially charged by criminal complaint and are released on bond.

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 Drug Enforcement Administration, the Federal Aviation Administration’s Law Enforcement Assistance Program (LEAP), and the Stratford, Bridgeport and Derby Police Departments. The case is being prosecuted by Assistant U.S. Attorney Rahul Kale.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that BESIM MURIQI, 32, of Stamford, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 42 months of imprisonment, followed by three years of supervised release, for distributing oxycodone.

This matter stems from an investigation headed by the DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force and Stamford Police Department, with the assistance of the Fairfield Police Department.

According to court documents and statements made in court, in January 2015, Stamford Police received information that Amonda Mendez, also known as “M-Dot” and “Dot,” was distributing a variety of narcotics in Stamford. Between February and April 2015, the DEA Task Force conducted four controlled purchases of narcotics from Mendez. A subsequent court-authorized wiretap confirmed that Mendez was distributing heroin, cocaine, crack cocaine, marijuana and prescription pills, including Percocet and Xanax. In May 2015, task force agents intercepted several narcotics-related calls between MURIQI and Mendez, and also surveilled them as they traveled together to the Bronx, New York, to purchase narcotics.

Mendez was arrested on May 17, 2015, after the wiretap revealed that she was injured the previous day in a shoot-out with another individual and she might be preparing to retaliate further. MURIQI then left Connecticut.

In September 2016, agents received information that MURIQI was selling oxycodone in the Stamford area. On September 14, 2016, investigators made a controlled purchase of 10 30mg oxycodone pills from MURIQI. On October 26, 2016, investigators conducted a traffic stop of MURIQI’s vehicle in Stamford. A search of the vehicle revealed 558 30mg oxycodone pills, and MURIQI was arrested on state narcotics charges. Two days later, a search of MURIQI’s Stamford apartment revealed approximately 400 Valium tablets, 985 Xanax tablets, 15 grams of cocaine, two digital scales and narcotics packaging materials.

On April 11, 2017, MURIQI pleaded to one count of conspiracy to distribute oxycodone.

Mendez pleaded guilty to heroin distribution and firearm offenses and, on June 23, 2016, was sentenced to 120 months of imprisonment.

This case was prosecuted by Assistant U.S. Attorney Amy C. Brown.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that KYLE PETERSEN, 31, of New Britain, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to 120 months of imprisonment, followed by five years of supervised release, for distributing fentanyl and other controlled substances.

According to court documents and statements made in court, in late December 2015, the DEA’s Hartford Task Force and New Britain Police Department received information that PETERSEN was selling fentanyl powder, prescription pills and marijuana. DEA Task Force Officers and the New Britain Police Department Special Services Unit initiated an investigation and made multiple controlled purchases of fentanyl from PETERSEN. The investigation, which included court-authorized wiretaps, revealed that John Casadei, of Morris, used the darknet, an internet network that can only be accessed through the use of specific software or authorizations, to purchase large quantities of fentanyl that were shipped from China. Casadei also obtained and distributed various prescription pills, including Xanax and oxycodone. Casadei then supplied fentanyl and various prescription pills to Jared McBriarty, of Bristol, who in turn supplied them to PETERSEN. PETERSEN distributed the drugs to other individuals who sold them throughout central Connecticut.

The investigation revealed that PETERSEN acquired and distributed at least 1.5 kilograms of fentanyl, and attempted to acquire an additional kilogram of fentanyl, which law enforcement seized after it was shipped from China.

PETERSEN, Casadei, McBriarty and other individuals involved in this narcotics distribution ring were arrested on May 19, 2016. On that date, law enforcement a New Britain residence that PETERSEN used as a stash location and seized approximately $740,000 in cash, approximately 3.2 kilograms of MDMA (commonly known as “ecstasy”), and more than 40,000 Xanax pills. A search of PETERSEN’s residence revealed additional quantities of narcotics and more than $11,000 in cash. Law enforcement subsequently seized approximately $80,000 from PETERSEN’s bank account.

PETERSEN has been detained since his arrest. On April 26, 2017, he pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, 400 grams or more of fentanyl.

Casadei and McBriarty have pleaded guilty to related charges and await sentencing.

The Drug Enforcement Administration’s Hartford Task Force includes personnel from the DEA Hartford Resident Office and the Bristol, Hartford, East Hartford, Manchester, New Britain, Rocky Hill, Wethersfield, Windsor Locks and Willimantic Police Departments. Agencies assisting the investigation include the U.S. Marshals Service, U.S. Postal Inspection Service, Homeland Security Investigations, New Britain State’s Attorney’s Office and Connecticut State Police.

This case is being prosecuted by Assistant U.S. Attorney S. Dave Vatti.

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, today announced that WAYNE BRADBURY, 32, of Hamden, waived his right to be indicted and pleaded guilty yesterday in Hartford federal court to federal oxycodone and marijuana distribution and money laundering offenses. The charges stem from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.

According to court documents and statements made in court, on January 3, 2016, a 22-year-old male purchased 30 40-milligram oxycodone pills from Tahir Farid in exchange for $900. He then consumed some of those pills, as well as other substances. On January 5, 2016, the 22-year-old male was found unresponsive at a friend’s residence in Weston. He remains unresponsive and, according to medical personnel, is in a “persistent vegetative state.”

The investigation revealed that, prior to the victim’s overdose, BRADBURY supplied oxycodone pills and marijuana to Ryan Looney who, at the time, was 19 years old. Looney then sold oxycodone pills to Farid, who then distributed a portion of them to the victim.

Typically, BRADBURY supplied Looney with drugs on credit and had Looney repay him by depositing cash into BRADBURY’s back account. BRADBURY then withdrew the cash at ATMs to pay his drug supplier.

BRADBURY pleaded guilty to one count of distributing oxycodone and marijuana to an individual under 21 years of age, an offense that carries a minimum term of imprisonment of one year and a maximum term of imprisonment of 40 years. He also pleaded guilty to one count of money laundering, an offense that carries a maximum term of imprisonment of 20 years. He is scheduled to be sentenced by U.S. District Judge Robert N. Chatigny on October 11, 2017.

BRADBURY is detained pending sentencing.

Farid and Looney, both of Hamden, each previously pleaded guilty to one count of possession with intent to distribute, and distribution of, oxycodone. On November 30, 2016, Farid was sentenced to six months of imprisonment. Looney awaits sentencing.

This matter has been investigated by the Drug Enforcement Administration’s New Haven Tactical Diversion Squad, U.S. Marshals Service, Weston Police Department and Monroe Police Department.

This case is being prosecuted by Assistant U.S. Attorney Robert M. Spector.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that CHRISTIAN PAULINO RODRIGUEZ, 47, a citizen of the Dominican Republic last residing in Stamford, pleaded guilty yesterday before U.S. District Judge Michael P. Shea in Hartford to one count of possession with intent to distribute, and distribution of, 500 grams or more of cocaine.

According to court documents and statements made in court, in November 2016, RODRIGUEZ arranged for the sale and delivery of kilogram quantities of cocaine, for $32,000 per kilogram, to an individual working with law enforcement. DEA Task Force officers arrested RODRIGUEZ on November 15, 2016, after he coordinated the sale of approximately five kilograms of cocaine to the individual.

Judge Shea scheduled sentencing for October 12, 2017, at which time RODRIGUEZ faces a maximum term of imprisonment of 20 years.

RODRIGUEZ has been detained since his arrest.

This matter is being investigated by the DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force and the Stamford and Norwalk Police Departments. The case is being prosecuted Assistant U.S. Attorney Joseph Vizcarrondo.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that HAI VAN NGUYEN, 42, of Lynnwood, Wash., was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 38 months of imprisonment, followed by three years of supervised release, for operating a fraud scheme targeting members of the Vietnamese community in Connecticut and other states.

According to court documents and statements made in court, NGUYEN advertised through Facebook a purported avenue for legal sponsorship for individuals to come to the United States from Vietnam. When contacted, NGUYEN guaranteed clients that he could obtain legal entry into the U.S. for their family members through his company, New Saigon Entertainment. NGUYEN guaranteed a green card upon arrival in the U.S. and U.S. citizenship within five years. Through fraudulent representations, NGUYEN convinced two Connecticut residents to assist him in recruiting clients for his purported company. The Connecticut residents collected deposits toward NGUYEN’s $35,000 fee pursuant to more than 50 contracts from clients in Connecticut, South Carolina, Maine and Arizona.

Additional victims of NGUYEN’s fraudulent scheme were identified in Ohio and Texas.

In total, NGUYEN defrauded members of the Vietnamese community seeking legal entry for family members into the U.S. of approximately $550,000.

Judge Shea ordered NGUYEN to pay restitution in the amount of $492,025.

NGUYEN has been detained since his arrest on May 5, 2016. On April 20, 2017, he pleaded guilty to one count of wire fraud.

NGUYEN also has been charged with similar conduct in the State of Ohio, where there is an arrest warrant pending.

This matter was investigated by Homeland Security Investigations and was prosecuted by Assistant U.S. Attorney Jacabed Rodriguez-Coss.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that FRANDY DUGUE, also known as “Jimmy,” 40, of Norwich, was sentenced today by U.S. District Judge Jeffrey Alker Meyer in New Haven to 100 days of imprisonment, followed by three years of supervised release, for his role in an insurance fraud scheme.

According to court documents and statements made in court, between April 2011 and April 2014, DUGUE and others conspired to stage approximately 50 car crashes in eastern Connecticut for the purpose of defrauding automobile insurance companies and enriching themselves. A high percentage of these planned crashes were single-vehicle accidents on remote roads where there were no witnesses other than the occupants of the crashed vehicle. After each staged accident, the defendants filed fraudulent property damage and bodily injury claims with various automobile insurance companies. They then collected payouts on the fraudulent claims from the victim insurance companies. These payouts typically ranged from about $10,000 to about $30,000 per accident.

DUGUE was involved in five false insurance claims, four of which stemmed from staged automobile crashes. DUGUE received $11,004 from insurers based on his false claims.

Judge Meyer ordered DUGUE to pay $10,000 in restitution.

DUGUE were arrested on May 20, 2016. On August 9, 2016, he pleaded guilty to one count of wire fraud.

DUGUE, a citizen of Haiti and a lawful permanent resident of the U.S., faces immigration proceedings when he is released from prison.

Six other individuals involved in this scheme have been convicted and await sentencing.

This matter has been investigated by the Federal Bureau of Investigation, the Norwich Police Department and the National Insurance Crime Bureau. The case is being prosecuted by Assistant U.S. Attorneys Avi Perry and Michael J. Gustafson.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that TALLAT MAHMOOD, 64, of Waterbury, was sentenced yesterday by U.S. District Judge Vanessa L. Bryant in Hartford to 30 months of imprisonment, followed by two years of supervised release, for defrauding the federal food stamp program.

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.

According to court documents, MAHMOOD worked at WB Trade Fair Grocery, located at 43 Willow Street in Waterbury. From November 2014 until June 2016, MAHMOOD and others illegally allowed customers to redeem their food stamp benefits for cash and other ineligible items.

Given the stock of eligible food items at the store, the number of registers and the customer amenities, it is estimated that WB Trade Fair Grocery could lawfully redeem at most between $120,000 to $240,000 per year in food stamp benefits. However, during this approximately 18-month period, food stamp redemptions at the store totaled approximately $3.2 million.

Judge Bryant ordered MAHMOOD to pay approximately $1.5 million in restitution.

MAHMOOD was arrested on August 18, 2016. On March 30, 2016, he pleaded guilty to one count of unlawful use of food stamp benefits and one count of conspiracy to commit food stamp fraud.

On April 7, 2017, Raul Carlos Monarca-Gonzalez, also an employee at WB Trade Fair Grocery, was sentenced to 30 months of imprisonment and restitution of approximately $1.5 million for his role in this scheme.

A third employee of the store who was involved in this scheme, Tahir Shahzad, also has pleaded guilty and is scheduled to be sentenced on July 31.

This matter was investigated by the U.S. Department of Agriculture, Office of Inspector General, and is being prosecuted by Assistant U.S. Attorneys Anastasia King and Neeraj Patel.

Deirdre M. Daly, United States Attorney for the District of Connecticut, Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration for New England, today announced that two doctors who have operated a medical practice in Norwalk have been charged by federal criminal complaint with writing prescriptions outside the scope of legitimate medical practice, health care fraud and money laundering.

Dr. BHARAT PATEL, 70, of Milford, was arrested yesterday at his residence.  He appeared before U.S. Magistrate Judge William I. Garfinkel in Bridgeport and is detained pending a detention hearing that is scheduled for July 17.

Dr. RAMIL MANSOUROV, 47, of Darien, is currently being sought by law enforcement.

As alleged in the criminal complaint, PATEL and MANSOUROV are physicians who operated out of Family Health Urgent Care, located at 235 Main Street in Norwalk.  The medical practice was formerly known as Immediate Health Care, which was owned by PATEL.  In approximately 2012, MANSOUROV purchased the practice from PATEL and renamed it Family Urgent Health Care, and PATEL continued to work at the practice.  PATEL and MANSOUROV are participating providers with Medicare and the Connecticut Medicaid Program.  Beginning in approximately 2013, the Drug Enforcement Administration received information that PATEL and MANSOUROV may be writing prescriptions for controlled substances outside the scope of legitimate medical practice.

The complaint alleges that PATEL regularly provided prescriptions for narcotics, including oxycodone and hydrocodone, to patients that he knew were addicted or had been arrested for distributing or possessing controlled substances.  On numerous occasions, PATEL provided prescriptions to patients who paid him $100 in cash for each prescription.  In certain instances, PATEL would write prescriptions for individuals who were not his patients in exchange for cash.  At times, when PATEL was not available, MANSOUROV provided PATEL’s patients with unnecessary prescriptions.  PATEL and MANSOUROV also regularly provided post-dated prescriptions to individuals, sometimes with dates that matched future dates when the doctors would be out of the country. 

It is alleged that certain individuals who paid PATEL cash for prescriptions paid for the filled prescriptions by using a state Medicaid card, and then illegally distributed the drugs.  The investigation revealed that in 2014 alone, more than $50,000 in cash deposits were made into PATEL and his wife’s bank accounts, and that some of these funds were used to purchase PATEL’s current residence.

The complaint further alleges that between November 2013 and December 2016, MANSOUROV defrauded the state’s Medicaid program of more than $4 million by billing for home visits that he never made, billing for nursing home visits that he never made, billing for office visits that never happened, and billing for visits that he claimed took place on dates on which he was actually out of state or out of the country.  Billing records also reveal that, on some occasions, MANSOUROV and PATEL billed Medicaid for the same patient on the same day at two different locations.

It is alleged that MANSOUROV moved some of the stolen funds to a bank account in Switzerland.

“These two doctors are charged with violating their oaths and recklessly prescribing highly addictive painkillers,” said U.S. Attorney Daly.  “Dr. Patel is alleged to have regularly sold to addicts solely for his own profit.  Many of these patients filled the prescriptions using state healthcare benefits, and then turned around and sold the pills on the street, contributing to our devastating opioid epidemic.  Some addicts referred to these defendants’ medical practice as ‘The Candy Shop.’  Dr. Mansourov is also charged with bilking state and federal governments of over 4 million dollars through a phony billing scheme.  I thank the DEA’s Tactical Diversion Squad, the Norwalk Police Department and the Connecticut Attorney General’s Office for their excellent work in shuttering this medical practice.”

“The DEA is committed to enforcing the Controlled Substance Act (CSA) by ensuring that all registrants are in compliance and abide by DEA’s distribution regulations,” said Special Agent in Charge Ferguson.  “The reckless actions by these two doctors by writing prescriptions outside the scope of their legitimate medical practice contributed to the widespread abuse of opiates, which is a gateway to heroin addiction and is devastating our communities.  In response to the ongoing opioid epidemic DEA is committed to improve public safety and public health by working with our law enforcement and regulatory partners to ensure these rules and regulations are strictly followed.  This investigation demonstrates the strength of collaborative law enforcement in Connecticut and our great partnership with the U.S. Attorney’s Office.”

The complaint charges PATEL and MANSOUROV with conspiracy to distribute and to possess with intent to distribute narcotics, an offense that carries a maximum term of imprisonment of 20 years; health care fraud, an offense that carries a maximum term of imprisonment of 10 years, and conspiracy to commit money laundering, an offense that carries a maximum term of imprisonment of 10 years.

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 investigation is being conducted by the DEA’s New Haven Tactical Diversion Squad and the Norwalk Police Department, with the critical assistance of the Connecticut Office of the Attorney General.  The DEA Tactical Diversion Squad includes officers from the Bristol, Greenwich, Hamden, Milford, New Haven, Shelton, Vernon and Wilton Police Departments.  The case is being prosecuted by Assistant U.S. Attorney Rahul Kale.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that BRADFORD BARNEYS, 51, of Odenton, Maryland, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 30 months of imprisonment, followed by three years of supervise release, for conspiring with Timothy W. Burke in a long-running fraud scheme that targeted distressed homeowners throughout Connecticut. BARNEYS was an attorney licensed to practice in Connecticut and has an office in Bridgeport.

According to court documents and statements made in court, between approximately 2010 and November 2015, Timothy W. Burke, formerly of Easton, engaged in a scheme to defraud individuals, mortgage lenders and the U.S. Department of Housing and Urban Development (HUD) by falsely representing to homeowners who were in, or facing, foreclosure on their homes that he would purchase their homes and pay off their mortgages. The distressed homeowners agreed to sign various documents that Burke presented to them on the understanding that, by signing the documents, they would be able to walk away from their homes without the burdens of their mortgage or other costs associated with home ownership. Burke also told homeowners that the process of negotiating with the lenders can take time and that, in the meantime, to ignore any notices regarding foreclosure. After he gained control of these houses, Burke rented out the properties to tenants by advertising the properties on craigslist.com and other means and falsely representing to tenants that Burke owned the property.

Burke or one of his agents then collected rent from tenants, and Burke used the funds for his own benefit. He also failed to negotiate with the homeowners’ mortgage lender or pay expenses associated with the home, including the homeowner’s mortgages and property taxes, and he failed to pay any rental income he was collecting to the homeowners. Many of the properties Burke purportedly purchased were ultimately foreclosed upon by the mortgage lender.

Burke undertook extensive efforts to disguise his true identity, and hide his criminal past, from his victims through the use of multiple aliases and business entities, and to conceal the sources of and expenditures from his criminal proceeds.

Between approximately 2011 to at least 2014, BARNEYS participated in dozens of meetings with Burke and with homeowners at BARNEYS’ law offices in Bridgeport. At the meetings, Burke represented to homeowners that he would purchase their properties and presented to the homeowners quitclaim deeds, management agreements, indemnification agreements, and third party authorizations.

BARNEYS was paid more than $72,000 in fees and other monies for his participation in the fraud.

At some point after BARNEYS began representing Burke in these meetings with homeowners, BARNEYS knew that Burke had no intention of buying the properties and paying the outstanding mortgages on the properties. Nevertheless, BARNEYS continued to participate in these meetings and represented that these transactions were legitimate. When questioned by homeowners about the status of their sales, BARNEYS would assure them that their sales to Burke or one of his companies were progressing as Burke promised. BARNEYS also knew that, once Burke obtained the properties from the homeowners, he would rent them out to tenants.

BARNEYS also represented Burke and his companies in eviction proceedings against tenants.

The investigation further revealed that BARNEYS engaged in separate fraud scheme similar to the scheme that Burke engineered. BARNEYS assisted two Maryland residents in purchasing a commercial property located on Boston Avenue in Bridgeport. BARNEYS then acted as a purported landlord for the property, executed long-term lease agreements with at least two tenants, and collected tens of thousands of dollars of rent without the actual owners’ knowledge or authorization and kept the funds for his own use.

On February 21, 2017, BARNEYS pleaded guilty to one count of conspiracy to commit mail and wire a fraud.

BARNEYS’ law license was temporarily suspended by state authorities after he pleaded guilty, with additional proceedings scheduled to determine whether further discipline is warranted. Judge Shea ordered BARNEYS not to apply for reinstatement of his law license, and not to engage in any business related to real estate, while he is on supervised release.

On January 24, 2017, Burke pleaded guilty to one count of mail fraud and one count of tax evasion. On April 28, 2017, he was sentenced to 108 months of imprisonment.

This matter was investigated by the U.S. Department of Housing and Urban Development – Office of Inspector General, U.S. Postal Inspection Service, and Internal Revenue Service – Criminal Investigation Division, with the critical assistance of the Middletown, Plainville, Easton and Coventry Police Departments, the Connecticut State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives.

The case was prosecuted by Assistant U.S. Attorneys David T. Huang and Sarah P. Karwan.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that COURTNEY WORTHINGTON, 29, of West Haven, pleaded guilty today before U.S. District Judge Jeffrey Alker Meyer in New Haven to one count of bank robbery and admitted that she robbed a total of three Connecticut banks in December and January.

According to court documents and statements made in court, WORTHINGTON robbed the TD Bank at 636 Campbell Avenue in West Haven on December 19, 2016; the Peoples Bank at 198 Amity Street in Woodbridge on January 2, 2017, and the TD Bank at 184 Route 81 on January 5, 2017. During each robbery, WORTHINGTON handed the teller a note containing threats and demanding money.

WORTHINGTON was arrested on January 5 at a hotel in East Haven. She has been detained since her arrest.

Judge Meyer scheduled sentencing for October 11, 2017, at which time WORTHINGTON faces a maximum term of imprisonment of 20 years.

This investigation has been conducted by the FBI, the Connecticut State Police and the West Haven and Woodbridge Police Departments. The case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that PETER HASKELL, 32, of Waterbury, waived his right to be indicted and pleaded guilty yesterday before U.S. District Judge Victor A. Bolden in Bridgeport to one count of possession with intent to distribute, and distribution of, heroin.

This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.

According to court documents and statements made in court, in the morning of April 17, 2016, Winchester Police officers and emergency medical personnel responded to a Winsted residence on the report of an unresponsive woman. The woman, who was 27, was pronounced deceased at the scene. Within the residence, officers located and seized several opened and unopened wax folds (“bags”) of suspected heroin/fentanyl, and other narcotics paraphernalia. Investigators also seized the victim’s cell phone.

The investigation revealed that the day before she was found dead, the victim traveled to Waterbury to purchase heroin from HASKELL.

The Connecticut Chief Medical Examiner’s Office determined that the victim’s death was caused by acute intoxication due to the combined effects of fentanyl, heroin, hydrocodone and alcohol.

HASKELL was arrested on a federal criminal complaint on April 21, 2017, and has been detained since his arrest. When he is sentenced, he faces a maximum term of imprisonment of 20 years. A sentencing date is not scheduled.

This matter has been investigated by the Drug Enforcement Administration’s New Haven Tactical Diversion Squad and the Winchester Police Department. The Tactical Diversion Squad includes participants from the New Haven, Hamden, Greenwich, Shelton, Bristol, Vernon, Wilton, Milford, Monroe and Fairfield Police Departments, and the Connecticut State Police.

This case is being prosecuted by Assistant U.S. Attorneys Robert M. Spector and Natasha Freismuth.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that TIMOTHY PAPROCKI, 33, of Ledyard, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 30 months of imprisonment, followed by four years of supervised release, for distributing heroin involved in an overdose death last year.

This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.

According to court documents and statements made in court, on April 12, 2016, Groton Town Police responded to a report of a medical emergency involving a 25-year-old male. The victim, who had used heroin, was transported to the hospital where he was pronounced deceased. The investigation, which has included witness interviews and the review of cellphone records and text messages, revealed that the victim had arranged to purchase heroin from PAPROCKI. PAPROCKI then purchased the heroin from Rudy Hernandez and sold it to the victim.

PAPROCKI has been detained in state custody since his arrest on April 20, 2016. On December 20, 2016, he pleaded guilty in federal court to one count of distribution of heroin.

PAPROCKI has unrelated state charges pending, and Judge Shea ordered PAPROCKI to begin serving his 30-month federal sentence after he completes his state sentence.

On July 6, 2016, Hernandez, of New London, pleaded guilty to one count of distribution of heroin. On November 21, 2016, he was sentenced to 34 months of imprisonment.

This matter was investigated by the DEA’s New Haven Tactical Diversion Squad and the Town of Groton Police Department. The Tactical Diversion Squad includes members from the New Haven, Hamden, Greenwich, Shelton, Bristol, Vernon, Wilton, Milford, Monroe and Fairfield Police Departments, and the Connecticut State Police.

The case was prosecuted by Assistant U.S. Attorney Douglas P. Morabito.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that DUSAN MLADEN, also known as David Mladen, 62, of Hartford, was arrested yesterday and charged by federal criminal complaint with threatening a federal official.

As alleged in the criminal complaint, MLADEN is currently a litigant in a proceeding pending before the U.S. Bankruptcy Court in the District of Connecticut, captioned In re: Eternal Enterprise, Inc. MLADEN formerly owned Eternal Enterprise, Inc., which is the owner of eight apartment buildings in Hartford, and he has continued to be active in the management and decision making for the company.

On July 5, 2017, the judge presiding over the Eternal Enterprise matter discovered in the mailbox of her residence an anonymous handwritten note containing the phrases “BACK OFF,” “YOU ARE OVERSTEPPING AUTHORITY” and “JUST WARNING FOR NOW.”

On July 10, 2017, the judge received a phone call that had been placed to her home phone number. During the call, the caller stated that he had visited the judge’s house last week and “I left a message for you.” He said that he wanted her to file an order tomorrow “extending the deadline to September 30,” and “then maybe everything will be ok.” Although the caller refused to identify himself, the judge recognized the voice as MLADEN’s. The U.S. Marshals Service subsequently confirmed that the cell phone used to make the call was at a location in the vicinity of MLADEN’s residence.

On July 11, deputy U.S. Marshals interviewed MLADEN at his residence. MLADEN was arrested after he made additional threatening statements about the judge.

Following his arrest, MLADEN appeared before U.S. Magistrate Judge Joan G. Margolis in New Haven and was ordered detained. A detention hearing is scheduled for July 13 at 4:00 p.m.

The charge of threatening a federal official carries a maximum term of imprisonment of 10 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 matter is being investigated by the U.S. Marshals Service and is being prosecuted by Assistant U.S. Attorney William J. Nardini.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that DAVID THOMPSON, also known as “Super Dave,” 43, of New Haven, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 168 months of imprisonment, followed by three years of supervised release, for his leadership role in a scheme to distribute oxycodone that was obtained through fraudulent prescriptions.

According to court documents and statements made in court, in 2012, members of the Drug Enforcement Administration’s New Haven Tactical Diversion Squad began an investigation into a drug trafficking organization that manufactured fraudulent prescriptions for oxycodone and distributed the drug in the greater New Haven area. The investigation revealed that THOMPSON headed the organization that obtained the personal identifying information of medical practitioners and used the information to create fraudulent prescriptions. Organization members also purchased legitimate prescriptions for oxycodone from individuals. The organization then used individuals, or “runners,” to fill the fraudulent prescriptions at pharmacies throughout Connecticut. Once a runner provided his or her personal information to a member of the organization, the runner’s information was kept on file and used to create other fraudulent prescriptions.

Julian Cintron and Alejandrino DeJesus, also of New Haven, were key associates of THOMPSON who helped to recruit and transport runners to fill fraudulent prescriptions.

The investigation revealed that, between February 2013 and September 2015, the organization stole the personal identifying information of more than 50 doctors and medical professionals and fraudulently obtained more than 80,000 oxycodone pills. Investigators identified more than 800 fraudulent prescriptions passed by members of the organization using more than 270 different “patient” names.

Nearly all of the runners employed by the conspiracy held state-sponsored medical insurance, so the costs of the prescriptions were billed to Medicaid. Members of the drug trafficking organization then sold the oxycodone for $20 to $30 per 30 milligram pill.

Eleven individuals were charged as a result of the investigation.

THOMPSON has been detained since his arrest on September 10, 2015. On that date, agents searched his residence and seized approximately 12 fraudulent prescriptions and a drug ledger containing the names of “patients” and medicine codes.

On October 13, 2016, THOMPSON pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute oxycodone.

DeJesus and Cintron also pleaded guilty. On November 7, 2016, DeJesus was sentenced to 132 months of imprisonment and, on April 3, 2017, Cintron was sentenced to 108 months of imprisonment.

The DEA Tactical Diversion Squad includes members from the Bristol, Greenwich, Hamden, Milford, New Haven, Shelton, Vernon and Wilton Police Departments.

This case is being prosecuted by Assistant U.S. Attorneys Amy C. Brown and Robert M. Spector.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that NATALIE LEVINE, 33, of Scottsdale, Arizona, waived her right to be indicted and pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to one count of engaging in a kickback scheme that defrauded federal healthcare programs.

According to court documents and statements made in court, from approximately March 2013 to October 2014, LEVINE was employed by Insys Therapeutics, an Arizona-based pharmaceutical company that manufactured and sold Subsys, a fentanyl-based sublingual spray that was approved by the Food and Drug Administration solely for the management of breakthrough pain in cancer patients. LEVINE was a sales representative for the company and was responsible for covering the territories that included Connecticut, New Hampshire and Rhode Island.

In pleading guilty, LEVINE admitted that she induced certain medical practitioners, including an advanced practice registered nurse (APRN) in Connecticut, a physician’s assistant (PA) in New Hampshire, and a physician in Rhode Island, to prescribe Subsys by paying them to participate in hundreds of sham “Speaker Programs.” The Speaker Programs, which were typically held at high-end restaurants, were ostensibly designed to gather licensed healthcare professionals who had the capacity to prescribe Subsys and educate them about the drug. In truth, the events were usually just a gathering of friends and co-workers, most of whom did not have the ability to prescribe Subsys, and no educational component took place. “Speakers” were paid a fee that ranged from $1,000 to several thousand dollars for attending these dinners. At times, the sign-in sheets for the Speaker Programs were forged so as to make it appear that the programs had an appropriate audience of healthcare professionals.

The medical practitioners were paid thousands of dollars in illegal kickbacks in order to prescribe Subsys, and induce others to prescribe Subsys, over similar medications. Medicare Part D plans authorized payment for hundreds of Subsys prescriptions written by the three medical practitioners, resulting in a loss of approximately $4.5 million.

LEVINE pleaded guilty to one count of conspiracy to violate the anti-kickback law, an offense that carries a maximum term of imprisonment of five years and a fine of up to $250,000. Judge Shea scheduled sentencing for October 5, 2017.

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 Tactical Diversion Squad. The case is being prosecuted by Assistant U.S. Attorneys Douglas P. Morabito and Richard M. Molot.

Several other individuals affiliated with Insys Therapeutics, and medical practitioners involved in this kickback scheme, have been charged in the District of Connecticut and in other Districts across the United States.

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 QUADON CHAMBERS, also known as “DVD,” 30, of Queens N.Y., was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 60 months of imprisonment, followed by four years of supervised release, for distributing crack cocaine.

This matter stems from a long-term investigation headed by the Connecticut State Police Statewide Narcotics Task Force East and U.S. Drug Enforcement Administration into the large-scale distribution of narcotics in southeastern Connecticut. The investigation revealed that Sydney Jackson, also known as “Fatz,” and others regularly acquired kilogram quantities of cocaine and heroin from sources in New York and transported the drugs to southeastern Connecticut. Much of the cocaine was converted to crack cocaine by Jackson in Connecticut, and the drugs were distributed through a network of dealers in Groton, Norwich, New London, Stonington, Westerly, R.I. and the surrounding area.

The investigation further revealed that John King, also known as “Soy,” of Queens, used an apartment on East Main Street in Norwich to store, process and package narcotics for street sale. CHAMBERS was arrested on April 28, 2015, after law enforcement officers made entry into the apartment and found him weighing and packaging narcotics for distribution. Officers seized approximately 150 grams of crack cocaine and approximately 80 grams of heroin from the apartment, and approximately $4,000 in cash from CHAMBERS’ person. Officers also searched a vehicle that was parked outside of the stash house and seized a kilogram of cocaine. The car was registered to John King.

On November 24, 2015, a federal grand jury in Hartford returned a 35-count superseding indictment charging CHAMBERS, Jackson, King and 10 other defendants with various narcotics trafficking and firearm offenses. In addition, approximately 20 individuals were prosecuted on related state charges.

CHAMBERS has been detained since his arrest. On November 4, 2016, he pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, 28 grams or more of cocaine base (“crack”).

On October 27, 2016, Jackson pleaded guilty to one count of conspiracy to distribute 280 grams or more of cocaine base (“crack cocaine”). On February 16, 2017, he was sentenced to 10 years of imprisonment.

King has pleaded guilty and awaits sentencing.

This matter has been investigated by the Connecticut State Police Statewide Narcotics Task Force East, U.S. Drug Enforcement Administration, Homeland Security Investigations, U.S. Marshals Service, Connecticut Department of Correction and Groton City, Groton Town, New London, Norwich and Waterford Police Departments.

The case is being prosecuted by Assistant U.S. Attorneys Dave Vatti and Joseph Vizcarrondo, with the assistance of Senior Assistant State’s Attorneys Paul Narducci and David Smith of the State’s Attorney’s Office for the Judicial District of New London.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that a federal jury in Bridgeport today found JAMES C. DUCKETT JR., 45, guilty of conspiracy, fraud and money laundering offenses stemming from a scheme involving the redevelopment of Hartford’s Dillon Stadium and a plan to bring a professional soccer team to the city. The trial before U.S. District Judge Stefan R. Underhill began on June 26.

According to the evidence at trial, in September 2014, the City of Hartford entered into a professional services agreement with Mitchell Anderson and his company, Premier Sports Management Group (“PSMG”), to secure a professional soccer team and to develop a new, 9,000 seat facility at the Dillon Stadium location. Under the terms of the agreement, PSMG was entitled to receive $775,000 for serving as the project manager for the $12 million plan. In February 2015, Anderson joined with DUCKETT who agreed to be the majority owner of the professional soccer team. DUCKETT and Anderson represented to various city officials that PSMG and DUCKETT’s Black Diamond Consulting Group had merged for purposes of completing the Dillon Stadium project and securing the professional soccer team. DUCKETT represented that he was a former professional football player in the NFL and that Black Diamond was involved in a casino project and sports-related projects in Las Vegas and Atlanta.

Beginning in approximately March 2015, Anderson submitted invoices to the city for reimbursement to PSMG subcontractors working on the project. However, rather than pay the total amounts owed to PSMG’s subcontractors, DUCKETT and Anderson directed more than $1 million that PSMG received from the city to themselves, PSMG, Black Diamond, and other entities not related to the Dillon Stadium project. DUCKETT and Anderson also secured invoices from subcontractors who had not performed work for the project, which DUCKETT and Anderson caused to be submitted to the city as if the work had been performed. DUCKETT and Anderson then illegally used the proceeds of the fraud in a series of bank transactions to pay individuals and companies for expenses unrelated to the Dillon Stadium.

The investigation revealed that DUCKETT used funds that the city provided to PSMG to purchase a Range Rover that cost approximately $120,000, to pay unrelated attorneys’ fees and a $20,000 “finder’s fee” to an individual, and for other personal expenses including luxury clothing and jewelry items.

The jury found DUCKETT guilty of one count of conspiracy to commit mail and wire fraud, three counts of wire fraud, and eight counts of conducting illegal monetary transactions. The jury found DUCKETT not guilty of one count of conducting illegal monetary transactions.

Each of the conspiracy and wire fraud counts carries a maximum term of imprisonment of 20 years, and each count of conducting illegal monetary transactions carries a maximum term of imprisonment of 10 years.

A sentencing date is not scheduled.

DUCKETT was arrested on June 23, 2016. He is currently released on bond, on home detention with electronic monitoring.

On February 6, 2017, Anderson pleaded guilty to one count of conspiracy to commit mail fraud and wire fraud, and one count of conducting illegal monetary transactions. He awaits sentencing. Anderson has agreed to make restitution in the total amount of $1,134,595.37 to the City of Hartford and two subcontractors of the Dillon Stadium project.

This matter has been investigated by the Connecticut Public Corruption Task Force, notably the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation Division. The Task Force also includes members from the U.S. Department of Housing and Urban Development- Office of Inspector General, the U.S. Department of Health and Human Services – Office of Inspector General, U.S. Postal Inspection Service. The Hartford Police Department has also assisted the investigation.

The case is being prosecuted by Assistant U.S. Attorneys Sarah Karwan and Douglas Morabito.

Citizens are encouraged to report corruption to the Connecticut Public Corruption Task Force by calling 203-238-0505.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that RAYMOND J. MARTIN, 50, of Easton, was sentenced yesterday by U.S. Magistrate Judge Holly B. Fitzsimmons in Bridgeport to three years of probation and ordered to pay a fine of $10,000 for his role in a steroid distribution ring. 

According to court documents and statements made in court, a long-term investigation led by the Federal Bureau of Investigation, Drug Enforcement Administration and Homeland Security Investigations revealed that Steven Santucci, a former Newtown Police sergeant, and others were receiving shipments of steroid ingredients from China and manufacturing and distributing wholesale quantities of steroids.  Certain members of the conspiracy also distributed prescription pills, including oxycodone, as well as cocaine.

During the investigation, MARTIN was intercepted on a court-authorized wiretap ordering anabolic steroids and offering to sell oxycodone pills.  At the time, MARTIN served as police commissioner for the Town of Easton.

MARTIN was arrested on July 14, 2015.  On March 30, 2017, he pleaded guilty to one count of unlawful possession of a controlled substance.

Santucci pleaded guilty and, on August 25, 2016, was sentenced to 16 months of imprisonment, six months of home confinement, 120 hours of community service and a $5,000 fine.

This matter was investigated by the Federal Bureau of Investigation, Drug Enforcement Administration, Homeland Security Investigations, with the assistance of the U.S. Marshals Service, U.S. Postal Inspection Service and the Bureau of Alcohol, Tobacco, Firearms and Explosives. 

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

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JAMES BRODERICK III, 59, of New Milford, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 24 months of imprisonment, followed by three years of supervised release, for his role in an extortion conspiracy.

According to court documents and statements made in court, in late December 2015 to early January 2016, BRODERICK lent an individual approximately $1,500 with an understanding that the individual was required to pay Broderick $1,500, plus an additional $500 in interest, within four days of the initial loan. When the individual failed to pay the loan within four days, BRODERICK asked Howard Hammer to assist him in collecting on the loan. Hammer then sent text messages to the victim that threatened harm to the victim if he failed to pay his debt. Hammer took screen shots of the threatening text messages and forwarded them to BRODERICK. BRODERICK and Hammer also discussed taking the victim’s car either as payment for the debt or as punishment for failure to pay the debt.

On January 25, 2016, members of the New Milford Police Department received a 911 call and responded to a local hotel where they found the victim of this extortion scheme, beaten and bloodied, in a room at the hotel. The victim had been stabbed eight times in back, causing internal injuries, and had suffered severe fractures to his skull and facial bones. The investigation revealed that members of the Hells Angels motorcycle club had stabbed the victim and beaten him with a hammer in connection with this extortion scheme.

BRODERICK also made several extortionate loans to a second victim. When the victim was unable to repay the usurious interest amounts, which were at least 10 percent of the principal per week, BRODERICK repeatedly threatened to use force to collect the debt. Over the course of three years, BRODERICK collected more than $20,000 in interest payments from this second victim.

BRODERICK and Hammer were arrested on May 27, 2016.

On December 7, 2016, BRODERICK pleaded guilty to one count of conspiracy to participate in the collection and attempted collection of an extension of credit by extortionate means.

On December 2, 2016, Hammer, of New Milford, pleaded guilty to the same charge. On June 1, 2017, he was sentenced to 30 months of imprisonment.

This matter was investigated by the FBI Violent Crime Task Force, New Milford Police Department and Connecticut State Police Western District Major Crime Squad. The case was prosecuted by Assistant U.S. Attorney Michael J. Gustafson.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANDREW AVILES, also known as “P.A.” and “Papo,” 30, of New London, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 237 months of imprisonment, followed by five years of supervised release, for his role in the September 2012 homicide of Javier Reyes of New London.

According to court documents and statements made in court, Oscar Valentin, also known as “Tato,” operated and managed a narcotics distribution enterprise at the “Green Garages,” a series of garage bays located as 12/14 Walker Street in New London. In the summer of 2011, Valentin was the intended victim of a murder-for-hire plot orchestrated by former members of his enterprise in an attempt to take over narcotics distribution at the Green Garages. In September 2012, Valentin hired Nestor Pagan, also known as “Ernie” and “Naeem Medina,” to assault Javier Reyes. Pagan then hired Jose Rosado, Jr., also known as “Gugie,” and AVILES to carry out the assault of Reyes in exchange for cash.

On the evening of September 12, 2012, Reyes, 36, was stabbed multiple times outside of his apartment at 187 Huntington Street in New London, and died a short time later. He also had blunt force trauma to the back of his head.

Video surveillance at the time of the attack showed Rosado, carrying a baseball bat, and another individual, creeping toward Reyes and then running away from him about 15 seconds later.

The investigation revealed that Rosado hit Reyes with the bat, knocking him to the ground. AVILES then stabbed Reyes multiple times.

On January 22, 2015, AVILES pleaded guilty to violating the Travel Act by using a facility in interstate commerce, namely a cellular telephone, with the intent to commit a crime of violence in furtherance of an unlawful activity, and thereafter committed the crime of violence.

On May 2, 2016, a federal jury found Valentin guilty of conspiracy to distribute and to possess with intent to distribute 500 grams or more of cocaine, but could not reach a verdict on charges against Valentin and Pagan related to the assault of Javier Reyes. Valentin subsequently agreed that the government could prove that the murder of Javier Reyes was related to Valentin’s drug trafficking enterprise and, on June 22, 2017, he was sentenced to 201 months of imprisonment.

On August 11, 2016, Pagan pleaded guilty in state court to one count of conspiracy to commit assault first degree-aided by others. On August 23, 2016, he was sentenced to 17 years of incarceration. On that same date, the federal charges against him related to the assault of Reyes were dismissed. On March 7, 2017, as part of an unrelated case, Pagan pleaded guilty in federal court to one count of possession of a firearm by a convicted felon. When he is sentenced on the firearm charge, as a result of a binding plea agreement, he will be sentenced to a 10-year concurrent sentence.

On July 22, 2014, Rosado pleaded guilty to one count of committing a violent crime in aid of racketeering, and aiding and abetting the same. On February 15, 2017, he was sentenced to 60 months of imprisonment.

This matter was investigated by the New London Police Department and the Federal Bureau of Investigation, with the assistance of the Connecticut State Police’s Eastern District Major Crime Squad, the Connecticut Department of Correction, Homeland Security Investigations, the U.S. Secret Service and the New London State’s Attorney’s Office. The case was prosecuted by Assistant U.S. Attorneys Anthony Kaplan and Sarah Karwan, and Senior Assistant State’s Attorney Paul Narducci.

Deirdre M. Daly, United States Attorney for the District of Connecticut, Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration for New England, and Hartford Police Chief James C. Rovella announced that the following 13 individuals were arrested today on federal charges related to the distribution of heroin and fentanyl in the Hartford area and western Massachusetts.

JOEL CORDERO, 37, of Meriden
EDWIN REYES, 34, of Hartford
GISEL DE LA CRUZ, 43, of East Hartford
ANGEL DE JESUS-CONCEPCION, a.k.a. “Blue,” 40, of East Hartford
ANTHONY ACOSTA, 28, of New Britain
GABRIEL CORDERO, 30, of Hartford
ALEXANDER PENA, 25, of East Hartford
AMARILIS PIRELA, 38, of Springfield, Mass.
JONATHAN VELEZ, 23, of Springfield, Mass.
HENRY CARABALLO, 26, of Hartford
FERNANDO TOLENTINO, Jr., a.k.a. “Humacao,” 46, of Hartford
DAILY PENA, 39, of Hartford
ANGEL RIJO-CASTILLO, 41, of Guttenberg, N.J.

As alleged in criminal complaints and statements made in court, in October 2016, the Drug Enforcement Administration’s Hartford Task Force began an investigation of an organization that was trafficking large quantities of heroin, fentanyl and other narcotics in Connecticut and western Massachusetts. The investigation, which included court-authorized wiretaps, controlled purchases of narcotics and physical surveillance, revealed that members of the organization were receiving bulk quantities of heroin and fentanyl from out-of-state suppliers. They then stored, processed and packaged the heroin/fentanyl in multiple locations, including apartments located at 280 Collins Street in Hartford where some of the defendants also resided, and then distributed the drug in the Hartford area, and also the Springfield and Holyoke, Massachusetts area. A significant amount of drug trafficking activity occurred at Neighborhood Supermarket, located at 316 Farmington Avenue in Hartford.

During the investigation and in association with today’s arrests, law enforcement executed 12 search warrants in Connecticut and Massachusetts and seized approximately 20 kilograms of suspected heroin, most of which was packaged for resale in hundreds of thousands of bags. Investigators also seized numerous vials of Xylazine, which is a horse tranquilizer used by narcotics traffickers as a heroin additive. Seven firearms also were seized.

“The seizure of 20 kilos of heroin makes clear this was a major drug distribution operation in the Hartford area,” said U.S. Attorney Daly. “The opioid epidemic continues to destroy lives in every corner of Connecticut. In partnership with the DEA, and the state and local police, we will continue to prioritize the prosecution of these responsible for trafficking this deadly drug.”

“Opioid abuse is at epidemic levels across New England and those suffering from opioid addiction need access to treatment and recovery,” said Special Agent in Charge Ferguson. “But those responsible for distributing lethal drugs like fentanyl and heroin to the citizens of Connecticut need to be held accountable for their actions. Today’s seizure of pre-packaged suspected heroin and fentanyl is one of the largest in Connecticut and shows DEA’s commitment to aggressively pursue Drug Trafficking Organizations or individuals who distribute these poisons in order to profit and destroy people’s lives. This investigation demonstrates the strength and continued commitment of our local, state and federal partners and our strong relationship with the U.S. Attorney’s Office.”

The complaint charges the defendants with conspiracy to possess with intent to distribute and to distribute heroin, and possession with intent to distribute and distribution of heroin.

Following their arrests, the defendants appeared before U.S. Magistrate Judge Robert A. Richardson in Hartford and were ordered detained.

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.

The Drug Enforcement Administration’s Hartford Task Force includes personnel from the DEA Hartford Resident Office and the Bristol, Hartford, East Hartford, Manchester, New Britain, Rocky Hill, Wethersfield, Windsor Locks and Willimantic Police Departments. Agencies assisting the investigation include the Federal Bureau of Investigation, U.S. Postal Inspection Service, U.S. Marshals Service and Connecticut State Police.

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

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that KEITH ATWATER, 36, of Bristol, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 12 months of imprisonment, followed by five years of supervised release, for distributing heroin that led to an overdose.

This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.

According to court documents and statements made in court, on August 2, 2016, Bristol Police and medical personnel responded to a report of a medical emergency at a residence in Bristol. At the residence, they encountered an unresponsive 31-year-old male and pronounced him deceased shortly thereafter. Officers located and seized five empty wax folds that had contained suspected heroin, and other narcotics paraphernalia.

The investigation revealed that ATWATER had distributed the heroin consumed by the victim.

On August 23, 2016, investigators conducted a controlled purchase of heroin from ATWATER.

ATWATER was arrested on September 14, 2016. On that date, officers seized from him an additional quantity of heroin packaged for distribution.

On December 27, 2016, ATWATER pleaded guilty to one count of possession with intent to distribute heroin.

ATWATER who had been released on bond, was remanded to custody the conclusion of today’s court proceeding.

This matter was investigated by the Drug Enforcement Administration’s New Haven Tactical Diversion Squad and the Bristol Police Department. The Tactical Diversion Squad includes participants from the New Haven, Hamden, Greenwich, Shelton, Bristol, Vernon, Wilton, Milford, Monroe and Fairfield Police Departments, and the Connecticut State Police. The case was prosecuted by Assistant U.S. Attorney Amy C. Brown.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that MICHAEL RICHO, 35, of Wallingford, waived his right to be indicted and pleaded guilty today in Hartford federal court to fraud and money laundering offenses in connection with a scheme to steal bitcoins in an online phishing scheme.

According to the court documents and statements made in court, RICHO engaged in an online phishing scheme to steal bitcoins from individuals on the dark web. Bitcoins are a form of electronic currency, and online marketplaces on the dark web typically accept them as a payment method.

In pleading guilty, RICHO admitted that he posted fake links to online marketplaces on dark web forums. The links directed individuals to a fake login page that looked like the real login pages for the various online marketplaces. When individuals attempted to log in, RICHO stole his or her username and password. Once he had an individual’s username and password, RICHO monitored the individual’s bitcoin balance at the real marketplace. If the individual later deposited bitcoins with the real marketplace, RICHO withdrew the bitcoins before the individual could spend them and caused the stolen bitcoins to be deposited into his own bitcoin wallet. RICHO then sold the stolen bitcoins to others in exchange for U.S. currency, which was deposited into bank accounts that RICHO controlled or was provided to him through Green Dot Cards, Western Union transfers, and MoneyGram transfers.

In total, RICHO obtained more than $365,000 through his scheme. He also had more than 10,000 stolen usernames and passwords saved on his computer.

RICHO pleaded guilty to one count of access device fraud, an offense that carries a maximum term of imprisonment of 10 years, and one count of money laundering, an offense that carries a maximum term of imprisonment of 20 years. He is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on September 28, 2017.

As part of his plea agreement, RICHO has agreed to forfeit various computers and electronic devices, an assortment of precious coins and metals, and up to $365,000.

Since his arrest on October 5, 2016, RICHO has been released on bond with computer monitoring conditions.

This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Neeraj N. Patel.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ROBERT JONES, also known as “Y.O.,” 30, of Hartford, was sentenced today by Senior U.S. District Judge Alfred V. Covello in Hartford to 46 months of imprisonment, followed by three years supervised release, for distributing crack cocaine.

According to court documents and statements made in court, this matter stems from joint law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force and the Hartford Police Department that targeted a drug trafficking organization operating in Hartford’s North End that was distributing crack and powder cocaine. The investigation revealed that David Gil-Grande, of Manchester, received shipments of cocaine, secreted in sealed coffee cans, from Puerto Rico. He then supplied the cocaine to Anthony Shelton, also known as “Pretty,” Gerard Brown, also known as “Goldie,” and others, who converted much of the cocaine into crack and distributed both forms of the drug in the area of Barbour Street in Hartford.

The investigation, which included court-authorized wiretaps, revealed that Shelton supplied crack cocaine to JONES who then sold the drug to his own customers.

Twenty individuals were charged as a result of the investigation.

JONES has been detained since his arrest on February 2, 2016. On February 15, 2017, he pleaded guilty to one count of possession with intent to distribute cocaine base (“crack cocaine”).

JONES’s criminal history includes multiple drug-related convictions, a firearms offense, escape from custody, and multiple domestic violence incidents. He was on state probation while he engaged in the criminal conduct that resulted in this federal prosecution. He also has survived three separate shooting incidents since 2007.

Gil-Grande, Shelton and Brown have pleaded guilty to related charges. On January 31, 2017, Gil-Grande was sentenced to 70 months of imprisonment. Shelton and Brown await sentencing.

This matter has been investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force, which 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 Division and the Drug Enforcement Administration have provided valuable assistance to the investigation.

The case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that OSCAR VALENTIN, also known as “Tato,” 43, of New London, was sentenced yesterday by U.S. District Judge Vanessa L. Bryant in Hartford to 201 months of imprisonment, followed by four years of supervised release, for trafficking narcotics, and for his role in the September 2012 homicide of Javier Reyes of New London.

According to court documents and statements made in court, VALENTIN operated and managed a narcotics distribution enterprise at the “Green Garages,” a series of garage bays located as 12/14 Walker Street in New London. In the summer of 2011, VALENTIN was the intended victim of a murder-for-hire plot orchestrated by former members of his enterprise in an attempt to take over narcotics distribution at the Green Garages. In September 2012, VALENTIN hired Nestor Pagan, also known as “Ernie” and “Naeem Medina,” to assault Javier Reyes. Pagan then hired Jose Rosado, Jr., also known as “Gugie,” and Andrew Aviles, also known as “P.A.” and “Papo,” to carry out the assault of Reyes in exchange for cash.

On the evening of September 12, 2012, Reyes, 36, was stabbed multiple times outside of his apartment at 187 Huntington Street in New London, and died a short time later. He also had blunt force trauma to the back of his head.

Video surveillance at the time of the attack showed Rosado, carrying a baseball bat, and another individual, creeping toward Reyes and then running away from him about 15 seconds later.

The investigation revealed that Rosado hit Reyes with the bat, knocking him to the ground. Aviles then stabbed Reyes multiple times.

On May 2, 2016, a federal jury found Valentin guilty of conspiracy to distribute and to possess with intent to distribute 500 grams or more of cocaine, but could not reach a verdict on charges against Valentin and Pagan related to the assault of Javier Reyes. As part of a commitment by the government not to seek a sentence of more than 235 months of imprisonment, VALENTIN subsequently agreed that the government could prove that the murder of Javier Reyes was related to VALENTIN’s drug trafficking enterprise.

On August 11, 2016, Pagan pleaded guilty in state court to one count of conspiracy to commit assault first degree-aided by others. On August 23, 2016, he was sentenced to 17 years of incarceration. On that same date, the federal charges against him related to the assault of Reyes were dismissed. On March 7, 2017, as part of an unrelated case, Pagan pleaded guilty in federal court to one count of possession of a firearm by a convicted felon. When he is sentenced on the firearm charge, as a result of a binding plea agreement, he will be sentenced to a 10-year concurrent sentence.

On July 22, 2014, Rosado pleaded guilty to one count of committing a violent crime in aid of racketeering, and aiding and abetting the same. On February 15, 2017, he was sentenced to 60 months of imprisonment.

On January 22, 2015, Aviles pleaded guilty to violating the Travel Act by using a facility in interstate commerce, namely a cellular telephone, with the intent to commit a crime of violence in furtherance of an unlawful activity, and thereafter committed the crime of violence. He is scheduled to be sentenced on June 29, 2017.

This matter has been investigated by the New London Police Department and the Federal Bureau of Investigation, with the assistance of the Connecticut State Police’s Eastern District Major Crime Squad, the Connecticut Department of Correction, Homeland Security Investigations, the U.S. Secret Service and the New London State’s Attorney’s Office. The case is being prosecuted by Assistant U.S. Attorneys Anthony Kaplan and Sarah Karwan, and Senior Assistant State’s Attorney Paul Narducci.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that PENNY ROY, 46, of Wethersfield, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 24 months of imprisonment, followed by three years of supervised release, for stealing $1.7 million from her former employer, a Connecticut-based computer software company. ROY also failed to pay taxes on the stolen funds.

According to court documents and statements made in court, ROY used her position as the software company’s payroll manager to insert her own bank account information into the profiles of other employees. She then processed fraudulent expense reimbursements and payroll payments in other employees’ names with the payments flowing into her own bank account. In total, ROY stole $1.7 million and was fired after the company discovered her fake payments.

To hide her theft, ROY failed to declare the stolen money on her tax returns, depriving the Internal Revenue Service of over $600,000 in tax revenues. As part of her sentence, ROY was ordered to make full restitution to the software company and the Internal Revenue Service.

On August 21, 2015, ROY pleaded guilty to wire fraud and tax charges.

This matter was investigated by the Federal Bureau of Investigation and the Internal Revenue Service - Criminal Investigation Division. The case was prosecuted by Assistant U.S. Attorney Avi M. Perry.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that BRYAN WHITE, 40, of New London, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 198 months of imprisonment, followed by a lifetime of supervised release, for attempting to entice a minor to engage in illegal sexual activity.

According to court documents and statements made in court, in June and July 2016, WHITE used a cellular phone and Chat Bazaar, a video chatting service, to communicate with a 13-year-old female in New Jersey. In text messages, the minor victim repeatedly told WHITE her age. WHITE responded by saying that “age is just a number to deny u things” and that he is a “child lover.” The text exchanges with the victim were sexually explicit, and WHITE requested that the victim travel from New Jersey to Connecticut to engage in sexual activity with him.

On June 16, 2016, the victim’s father discovered the texts with WHITE on the victim’s phone and reported it to local police. A law enforcement officer then assumed the minor’s identity to continue to correspond with WHITE. Between June 29 and July 5, 2016, WHITE repeatedly asked the undercover officer, posing as the victim, to come to Connecticut and described the sexual activity he wanted to engage in with the victim. The undercover officer agreed to take a bus from New Jersey to Connecticut. WHITE explained that he would be at the bus terminal wearing a yellow “MICHIGAN” shirt and that he would bring condoms and pina colada wine coolers to the bus station.

On July 5, 2016, WHITE was arrested at the New London bus station at the designated time wearing the clothes that he said he would be wearing. At the time of his arrest, WHITE was in possession of a condom and two bottles of alcoholic beverages.

In 2004, WHITE was convicted in state court of risk of injury based on his conduct in approaching two children who were walking to their aunt’s house in Waterbury and asking them if he could see one of them naked. A few months later, during his participation in a sex offender evaluation, WHITE disclosed that he sexually assaulted a nine-year-old boy on multiple occasions over a four-month period. He was convicted of sexual assault in the first degree and received a sentence of 12 years of incarceration. WHITE was released from prison in November 2015 and, from December 10, 2015 until April 4, 2016, he resided at an inpatient sex offender treatment facility. He was then transferred to a residential program and, while under court supervision, began communicating with the minor victim.

WHITE has been detained since his arrest on July 5, 2016. On February 22, 2017, he pleaded guilty to one count of attempted enticement of a minor to engage in unlawful sexual activity.

This matter was investigated by Homeland Security Investigations, the Burlington County (N.J.) Prosecutor’s Office, the Florence (N.J.) Township Police Department, the New London Police Department and the Connecticut State Police. The case was prosecuted by Assistant U.S. Attorney Nancy V. Gifford.

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 ANDREW SACCO, 44, of New Haven and formerly of Durham, pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to charges stemming from his participation in a large-scale fencing operation.

According to court documents and statements made in court, between January 2012 and December 2014, SACCO participated in a conspiracy to purchase stolen property from “boosters,” who typically were shoplifters with opioid addictions, and then resold the property at online websites. SACCO, his co-conspirator Matthew Harwood, and others instructed the boosters to steal certain items from retail stores such as Petco, Staples, Walmart, and Bed Bath & Beyond, and paid cash for the stolen items at approximately one-third of their retail price.

After receiving the stolen merchandise, SACCO and Harwood stored the merchandise at multiple locations, including SACCO’s former residence in Durham and business locations in North Haven. SACCO and Harwood then sold the stolen products at online sites, including eBay and Amazon.

Through this scheme, retailers lost more than $3.9 million.

SACCO pleaded guilty to one count of conspiracy to commit interstate transport of stolen property, which carries a maximum term of imprisonment of five years, and one count of interstate transport of stolen property, which carries a maximum term of imprisonment of 10 years.

In pleading guilty, SACCO also agreed to forfeit the house in Durham where he formerly resided.

SACCO has been released on a $100,000 bond since his arrest on July 15, 2016.

Judge Shea has scheduled sentencing for September 13, 2017.

On November 3, 2016, Harwood pleaded guilty to one count of conspiracy to commit the interstate transport of stolen property and one count of interstate transport of stolen property. He awaits sentencing.

This matter is being investigated by Federal Bureau of Investigation, with assistance from the Connecticut State Police, U.S. Marshals Service, U.S. Postal Inspection Service, Internal Revenue Service – Criminal Investigation Division, Connecticut Department of Correction, Connecticut Chief State’s Attorney’s Office, and the New Haven, North Haven, Milford, West Haven, Wallingford, Hamden and Orange Police Departments.

This case is being prosecuted by Assistant U.S. Attorneys David T. Huang and John T. Pierpont, Jr.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that WILSON VASQUEZ, also known as “Will” and “Pancho,” 44, of New Haven, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 151 months of imprisonment, followed by four years of supervised release, for heading a large heroin distribution ring.

This matter stems from 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, which included the use of court-authorized wiretaps, physical surveillance and controlled purchases of heroin, revealed that VASQUEZ obtained bulk quantities of heroin, processed and packaged the drug with several co-conspirators, and then distributed the drug through a network of street-level distributors operating in the area of Ferry Street, Grand Avenue and Blatchley Avenue in New Haven’s Fair Haven neighborhood.

During the investigation, law enforcement seized approximately 500 grams of raw heroin, three handguns and five vehicles. In addition, bank accounts containing more than $300,000 have been frozen.

Seventeen individuals were charged as a result of this investigation. All 17 have pleaded guilty.

VASQUEZ has been detained since his arrest on July 15, 2015. On September 20, 2016, he pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of heroin.

The DEA New Haven 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.

This case is being prosecuted by Assistant U.S. Attorneys H. Gordon Hall and Patrick Caruso.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that PAUL MIGNANI, 51, of Bethel, was sentenced yesterday by U.S. District Judge Jeffrey A. Meyer in New Haven to 60 months of imprisonment, followed by three years of supervised release for his conviction on one count of possession with intent to distribute, and distribution of cocaine and heroin. In imposing a sentence above the guideline range, Judge Meyer noted that MIGNANI had distributed cocaine and heroin involved in two overdose deaths and that one of the victims had died in MIGNANI’s bedroom. On March 28, 2017, MIGNANI waived his right to be indicted and pleaded guilty before Judge Meyer in New Haven.

According to court documents and statements made in court on July 31, 2016, Bethel Police responded to a report of a possible heroin overdose and found an unresponsive 54-year-old female. The victim was pronounced deceased shortly thereafter. The investigation revealed that MIGNANI distributed heroin, fentanyl and cocaine that was consumed by the victim shortly before her death. This toxic combination according to the Connecticut Chief Medical Examiner was the cause of this victim’s death.

On December 11, 2016, members of the Bethel Police and medical personnel responded to a report of an unresponsive 25-year old female at MIGNANI’s residence. The victim was pronounced deceased. Investigators seized three empty heroin folds from the victim’s purse, and six empty heroin folds from the victim’s jacket. MIGNANI provided heroin and cocaine to the victim that contributed to her untimely death.

On December 12, 2016, investigators conducted a court-authorized search of MIGNANI’s residence and seized three plastic bags of cocaine, each of which contained approximately one gram of the drug. Investigators also seized $1,531 in cash and multiple cellphones from the residence. MIGNANI was arrested on state charges on that date.

On December 28, 2016, after a federal criminal complaint was issued for MIGNANI, he was arrested and detained on federal charges stemming from his distribution of cocaine. According to statements made in court, MIGNANI was a drug dealer with approximately 10 customers to whom he regularly sold over several hundred grams of heroin and cocaine in total.

This case stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.

This matter was investigated by the Drug Enforcement Administration’s New Haven Tactical Diversion Squad, and the Bethel Police Department, with assistance from the States Attorney’s Office for the Judicial District of Danbury. The DEA Tactical Diversion Squad includes participants from the New Haven, Hamden, Greenwich, Shelton, Bristol, Vernon, Wilton, Milford, Monroe, Fairfield and Manchester Police Departments, and the Connecticut State Police. The case was prosecuted by Assistant U.S. Attorney Robert M. Spector.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that EDWARD FULTON, 34, of New Haven, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 36 months of imprisonment, followed by three years of supervised release, for illegally possessing a firearm.

According to court documents and statements made in court, in the early morning hours of March 12, 2016, a New Haven Police detective working an extra duty assignment at a nightclub on Hamilton Street observed FULTON outside the club pointing a handgun at a group of people shortly after the club had closed for the evening. The detective drew his service revolver and ordered FULTON to drop his weapon, at which time FULTON put the gun in his sweatshirt and kept walking. The detective ordered FULTON to stop, FULTON eventually complied and the firearm was seized.

The firearm, a Cobra nine millimeter derringer, was cocked and loaded with two rounds of ammunition. It had been reported stolen in New Haven in 2015.

FULTON’s criminal history includes multiple felony convictions for robbery and firearm offenses. 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.

FULTON has been detained since his arrest on March 12, 2016. On March 13, 2017, he pleaded guilty to one count of possession of a firearm by a previously convicted felon.

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 Peter D. Markle.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ALIYAH THERESA JULIATE DAVIS, also known as Theresa Juliate Sutherland, 36, of East Windsor, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 30 months of imprisonment, followed by three years of supervised release, for committing multiple federal offenses while awaiting incarceration after a prior federal conviction.

According to court documents and statements made in court, on December 17, 2014, DAVIS, who was then known as Theresa Sutherland, was sentenced in Hartford federal court to 51 months of imprisonment, followed by three years of supervised release, for engaging in a fraud and identity theft scheme at an insurance company where she was employed. As part of her sentence, DAVIS was ordered to pay total restitution of $400,000 to the victim insurance company and three previous employers that she defrauded.

Beginning in January 2015, DAVIS, through her attorney, made five separate motions to postpone her prison report date based on her claims of a diagnosis of terminal cancer and heart conditions. In association with her court motions, DAVIS submitted letters from various medical professionals detailing her claimed medical conditions. DAVIS created the letters and forged the medical professionals’ signatures. DAVIS’s prison report dates were continued based on these fraudulent submissions.

In March 2015, DAVIS changed her name from Theresa Juliate Sutherland to ALIYAH THERESA JULIATE DAVIS. DAVIS subsequently received a new Social Security number and Connecticut driver’s license under her new identity.

On April 19, 2016, DAVIS submitted an application for a U.S. passport at the U.S. Postal Service facility on Weston Street in Hartford. On the application where it states “Have you ever applied for or been issued a U.S. Passport Book or Passport Card?” DAVIS marked an “X” in the “No” box. In 2007, DAVIS applied for and received a U.S. passport when she was known as Theresa Juliate Sutherland.

At various times between December 2014 and September 2016, DAVIS was employed at a local insurance company and local hospitals. From May 28, 2016 to September 10, 2016, while she was employed at an insurance company and then a hospital under her new identity, DAVIS received $9,808 in unemployment compensation from the State of Connecticut under her previous identity.

On December 12, 2016, DAVIS pleaded guilty to one count of wire fraud, one count of knowingly making a false statement on a passport application, one count of making a false statement, and one count of aggravated identity theft.

Judge Arterton ordered DAVIS to begin serving her sentence after she completes her previous 51-month sentence.

DAVIS has been detained since September 17, 2016.

This matter was investigated by the U.S. Department of State, Diplomatic Security Service, U.S. Department of Labor – Office of Inspector General, Office of the Chief State’s Attorney, Connecticut Department of Labor and East Windsor Police Department. The case was prosecuted by Assistant U.S. Attorney Douglas P. Morabito.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANTHONY SCULLARK, also known as “A.J.” and “Ace,” 31, of Norwalk, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 40 months of imprisonment, followed by three years of supervised release, for distributing heroin, and for violating the conditions of his supervised release from a prior federal conviction.

This matter stems from an investigation headed by the DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force, Stamford Police Department, Norwalk Police Department and Connecticut State Police. The investigation included court-authorized wiretaps, controlled purchases of narcotics and physical surveillance.

According to court documents and statements made in court, in May 2016, SCULLARK was intercepted over a wiretap ordering 10 “sleeves” or “bricks” (1000 dosage units) of heroin from Kenneth Brickhouse, also known as “K.E.”

On October 4, 2016, SCULLARK was arrested after he conducted a drug transaction in the parking lot of a Norwalk business. A search of SCULLARK’s person, vehicle and residence revealed approximately 65 bags of heroin, 19 small knotted bags of crack cocaine, $1,695 in cash, and eight cellphones.

SCULLARK has been detained since his arrest.

On October 8, 2013, SCULLARK was sentenced in Bridgeport federal court to 21 months of imprisonment and three years of supervised release for conspiring to possess with intent to distribute, and to distribute crack cocaine. His term of supervised release began on July 23, 2014.

On December 5, 2016, SCULLARK pleaded guilty to one count of possession with intent to distribute heroin, and to violating the conditions of his supervise release.

Brickhouse pleaded guilty and, on March 9, 2017, Judge Bolden sentenced him to 10 years of imprisonment.

The DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force includes members from the Bridgeport, Stamford, Stratford, Norwalk, Milford and Trumbull Police Departments, and the Connecticut State Police.

This case is being prosecuted by Assistant U.S. Attorneys Anthony Kaplan and Heather Cherry.

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 federal jury in New Haven has found MACKENZY NOZE, 32, and JONAS JOSEPH, 33, also known as “James,” both residents of Norwich, guilty of fraud and conspiracy offenses related to their staging of car accidents for the purpose of defrauding automobile insurance companies. The trial before U.S. District Judge Jeffrey Alker Meyer began on June 5 and the jury returned verdicts of guilty on all counts on the indictment this afternoon.

According to the evidence presented during the trial, between April 2011 and February 2014, NOZE, JOSEPH, and others conspired to stage approximately 50 car crashes in eastern Connecticut for the purpose of defrauding automobile insurance companies and enriching themselves. A high percentage of these planned crashes were single-vehicle accidents on remote roads where there were no witnesses other than the occupants of the crashed vehicle. After each staged accident, the defendants filed fraudulent property damage and bodily injury claims with various automobile insurance companies. They then collected payouts on the fraudulent claims from the victim insurance companies. These payouts typically ranged from approximately $10,000 to $30,000 per accident.

The jury found NOZE and JOSEPH guilty of one count of conspiracy to commit mail and wire fraud, NOZE guilty of eight counts of mail or wire fraud, and JOSEPH guilty of five counts of mail or wire fraud. The charges carry a maximum term of imprisonment of 20 years on each count. NOZE is scheduled to be sentenced on September 1 and JOSEPH is scheduled to be sentenced on September 5.

After the verdict, Judge Meyer ordered NOZE, who is a citizen of Haiti and lawful permanent residence of the U.S., detained pending sentencing.

JOSEPH is released on a $10,000 bond.

Five other individuals charged as a result of this investigation have pleaded guilty and await sentencing.

This matter has been investigated by the Federal Bureau of Investigation, the Norwich Police Department, and the National Insurance Crime Bureau. The case is being prosecuted by Assistant U.S. Attorneys Avi Perry and Michael J. Gustafson.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that SAMUEL ALBARRAN, also known as “Sam Dog,” 34, of New Haven, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 85 months of imprisonment, followed by five years of supervised release, for heroin distribution and firearm possession offenses.

This matter stems from 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, which included the use of court-authorized wiretaps, physical surveillance and controlled purchases of heroin, revealed that ALBARRAN’s brother, Wilson “Pancho” Vasquez, obtained bulk quantities of heroin, processed and packaged the drug with several co-conspirators, and then distributed the drug through a network of street-level distributors operating in the area of Ferry Street, Grand Avenue and Blatchley Avenue in New Haven’s Fair Haven neighborhood.

A series of intercepted calls during the investigation revealed that ALBARRAN agreed to supply Vasquez with 300 grams of heroin.

Law enforcement officers first attempted to arrest ALBARRAN on July 15, 2015. On that date, a search of a New Haven residence connected to ALBARRAN revealed distribution quantities of heroin, cocaine and marijuana; a kilogram press and heroin packaging materials; 9mm and .380 caliber firearms; 9mm ammunition, and more than $21,000 in cash.

ALBARRAN remained a fugitive until February 11, 2016, when he was apprehended in East Haven. He has been detained since his arrest.

On September 15, 2016, ALBARRAN pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, heroin, and one count of possession of a firearm in furtherance of a drug trafficking crime.

Seventeen individuals were charged as a result of this investigation. All 17 have pleaded guilty.

Vasquez is scheduled to be sentenced on June 21, 2017.

The DEA New Haven 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.

This case is being prosecuted by Assistant U.S. Attorneys H. Gordon Hall and Patrick Caruso.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that GARRETT J. CARTER, also known as “Little Man,” 30, of Hartford, was sentenced yesterday by U.S. District Judge Alvin W. Thompson in Hartford to 70 months of imprisonment, followed by four years of supervised release, for distributing PCP.

According to court documents and statements made in court, in January 2016, Hartford Police received information of a significant PCP distributor operating in the Heath Street area of Hartford’s South End. A Hartford Police officer working in an undercover capacity subsequently made multiple purchases of PCP from an individual who was being supplied by CARTER. On March 24, 2016, CARTER was arrested after he arrived at a location on Heath Street to deliver PCP to his distributor. At the time of his arrest, CARTER possessed 28 ounce-sized bottles of PCP, each weighing approximately 22.5 grams. In total, the vials contained approximately 630 grams of PCP, or approximately 126,000 five milligram doses of the drug.

CARTER has been detained since his arrest. On February 6, 2017, he pleaded guilty to one count of possession with intent to distributed 100 grams or more of phencyclidine (PCP).

This matter was investigated by the Hartford Police Vice, Intelligence and Narcotics Unit and the FBI’s Northern Connecticut Violent Crimes Task Force. The case was prosecuted by Assistant U.S. Attorney Brian P. Leaming.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that a federal jury in Hartford has found MICHAEL GRAMINS, 33, of New York, N.Y., guilty of conspiracy to commit securities and wire fraud.

According to the evidence at trial, GRAMINS was an Executive Director on the Residential Mortgage Backed Securities (“RMBS”) Desk at Nomura Securities International (“Nomura”) in New York where he principally oversaw Nomura’s trading of bonds composed of sub-prime and option ARM loans. GRAMINS engaged in a conspiracy to defraud customers of Nomura by fraudulently inflating the purchase price at which Nomura could buy a RMBS bond to induce their victim-customers to pay a higher price for the bond, and by fraudulently deflating the price at which Nomura could sell a RMBS bond to induce their victim-customers to sell bonds at cheaper prices, causing Nomura to profit illegally. GRAMINS trained subordinates to lie to customers, provided them with the language to use in deceiving customers, and encouraged them to engage in the practice.

The victims of this scheme included hedge funds, insurance companies, and asset managers from Connecticut and elsewhere.

On March 6, 2017, GRAMINS and two other former New York-based bond traders for Nomura, Ross Shapiro and Tyler Peters, were each charged in a third superseding indictment with one count of conspiracy, two counts of securities fraud and six counts of wire fraud. A trial before U.S. District Judge Robert N. Chatigny began on May 8, 2017. Today, the jury found GRAMINS guilty of one count of conspiracy, and not guilty of one count of securities fraud and five counts of wire fraud. The jury could not reach a verdict as to one count of securities fraud and one count of wire fraud.

The jury also found Shapiro not guilty of two counts of securities fraud and six counts of wire fraud, but could not reach a verdict as to the conspiracy count. The jury found Peters not guilty of all nine counts of the indictment.

“This has been a demanding prosecution, and I thank the jury for its service,” U.S. Attorney Deirdre M. Daly said. “I also commend SIGTARP, the FBI, the U.S. Department of Labor’s Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, and the Federal Housing Finance Agency’s Office of Inspector General for their outstanding investigative work in this and related cases. Our investigation into fraudulent trading practices in the RMBS and other financial markets has had a marked impact on the industry and will continue.”

When sentenced, GRAMINS faces a maximum term of imprisonment of five years.

This matter has been investigated by the Special Inspector General for the Troubled Asset Relief Program (SIGTARP), the Federal Bureau of Investigation, the U.S. Department of Labor’s Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, and the Federal Housing Finance Agency’s Office of Inspector General.

The case is being prosecuted by Assistant U.S. Attorneys Liam Brennan, Heather Cherry, and David Novick.

Deirdre M. Daly, United States Attorney for the District of Connecticut, Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration for New England, and Norwalk Police Chief Thomas Kulhawik today announced that CHARLES THELUSMA, 43, formerly of Bridgeport, has been arrested on a federal criminal complaint charging him with possession with intent to distribute, and distribution of, heroin, carfentanil and U47700.

Carfentanil is an opioid that is 10,000 times more potent than morphine and 100 times more potent than fentanyl, which is itself 50 times more potent than heroin.  It is typically used as a tranquilizing agent for elephants and other large mammals.  U47700 is a synthetic opioid that is approximately seven times stronger than morphine.

As alleged in court documents, on two occasions in March and May 2017, law enforcement coordinated a controlled purchases of heroin from THELUSMA.  In both instances, an individual working for THELUSMA completed the drug transactions at predetermined locations in Bridgeport.  On May 24, 2017, law enforcement conducted a controlled purchase of three bundles heroin (30 dose bags) from THELUSMA in exchange for $200.  THELUSMA directed the purchaser to a hotel in Elmsford, N.Y. to complete the transaction.  Laboratory analysis of the drugs purchased on May 24 confirmed the presence of heroin, carfentanil and U47700.

THELUSMA was arrested on June 13, 2017, at the hotel in Elmsford, where he had been residing.  He appeared yesterday before U.S. Magistrate Judge William I. Garfinkel in Bridgeport and was ordered detained.  The charge carries a maximum term of imprisonment of 20 years.

 “This is the first federal prosecution involving carfentanil in Connecticut,” said U.S. Attorney Daly.  “We will continue to devote numerous federal resources to battle the scourge of opioid abuse and distribution, and our commitment becomes stronger as these illegal drugs become more sinister and deadly.  This investigation is ongoing.”

“Those suffering from opioid addiction need access to treatment and recovery,” said DEA Special Agent in Charge Ferguson.  “But those responsible for the distribution of heroin and deadly synthetic opioids like carfentanil and U-47700 need to be held accountable for their actions.  This investigation demonstrates the strength of collaborative law enforcement in Connecticut and our strong partnership with the U.S. Attorney’s Office to aggressively seek and bring to justice anyone who distributes these poisons.”

“I would like to commend my officers for their excellent work on following up with this investigation in regards to this very dangerous drug,” said Chief Kulhawik.  “I also thank the DEA and U.S. Attorney’s Office for their valuable assistance and partnership in working on this case which lead to the arrest.”

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 matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.

This matter is being investigated by the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area Task Force (HIDTA) and Norwalk Police Department.  The HIDTA Task Force includes participants from the Connecticut State Police and the Norwalk, Stamford, Stratford, Milford and Bridgeport Police Departments.  The case is being prosecuted by Assistant U.S. Attorney Amy C. Brown.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that two men involved in a multimillion dollar scheme to defraud banks participating in a USDA-backed export financing program were sentenced yesterday in New Haven federal court. Chief U.S. District Janet C. Hall sentenced BRETT C. LILLEMOE, 47, of Minneapolis, Minn., to 15 months of imprisonment and PABLO CALDERON, 61, Darien, Conn., to five months of imprisonment and five months of home confinement. Chief Judge Hall also ordered both men to serve a three-year term of supervised release, and to pay restitution in the amount of $18 million and forfeit more than $1.5 million of ill-gotten gains.

On November 9, 2016, a federal jury convicted LILLEMOE and CALDERON of conspiracy and fraud offenses. According to court documents, statements made in court and the evidence introduced during the trial, LILLEMOE and CALDERON submitted fraudulent documents to two United States banks in connection with a USDA loan guarantee program by which the USDA provides credit guarantees. The credit guarantees are part of the USDA Export Credit Guarantee Program (GSM-102), which is designed to encourage financing of commercial exports of U.S. agricultural products. The GSM-102 program guarantees credit extended by U.S. financial institutions to approved foreign banks. As part of the program, the Commodity Credit Corporation (CCC), which is an agency and instrumentality of the USDA, enters into payment guarantees (“credit guarantees”) with the goal of encouraging exports of U.S. agricultural products, including products of American farmers and American ranchers.

The credit guarantees are designed to encourage exports to buyers in foreign countries – mainly developing countries. The program operates in cases where credit is necessary to increase or maintain U.S. exports to a foreign market and where U.S. financial institutions might otherwise be unwilling to provide financing without the guarantee backed by the U.S. government. In providing the credit guarantee facility, the CCC seeks to expand market opportunities for U.S. agricultural exporters and assist long-term market development for U.S. agricultural commodities.

In connection with the GSM-102 program, a foreign importer that has contracted to buy U.S. agricultural products can apply for a letter of credit (“LOC”) from a foreign bank that has been approved by the USDA’s Foreign Agricultural Service (FAS). The foreign bank then issues a letter of credit in favor of the U.S. exporter. The U.S. exporter then, consistent with the requirements of the GSM-102 program, presents proper shipping documents to an approved U.S. financial institution, including a copy of an original bill of lading, certificate of origin, and evidence of export. The U.S. financial institution then provides funds to the U.S. exporter which, in exchange, assigns the rights to the proceeds payable under the letter of credit from the foreign bank to the U.S. financial institution in the same dollar-denominated amount, less any fees. If the foreign bank defaults on its payments to the U.S. financial institution, the U.S. financial institution may submit a claim to the USDA FAS under the guarantee for up to 98 percent of the payment amount owed at the time of the default.

Between September 2007 and January 2012, LILLEMOE, CALDERON and others defrauded various U.S. financial institutions, including Deutsche Bank A.G. and Colorado-based CoBank ACB, by presenting false and altered shipping documents, including altered bills of lading, in connection with securing funding on loans guaranteed by the GSM-102. As part of the scheme, LILLEMOE and CALDERON established multiple entities with separate names for the purpose of obtaining a greater share of the allocation of guarantees from the GSM-102 program, and used multiple bank accounts in the names of the various entities in order to further create the appearance that the entities were operating as separate and unrelated entities. The defendants then, in various ways, paid for, or otherwise acquired, bills of lading and other shipping documents for shipments of agricultural products that they did not physically ship and for which they did not participate in the physical movement of the products in any capacity.

LILLEMOE entered into agreements with foreign banks, including International Industrial Bank (IIB) in Russia, to provide them capital that would be made available to them from a U.S. financial institution through the use of the GSM-102 program. LILLEMOE subsequently obtained letters of credit from the foreign banks. LILLEMOE, CALDERON and others then altered copies of certain shipping documents, including bills of lading marked “Copy non negotiable,” by whiting out portions of the documents, stamping the word “original” on the documents, and adding shading on certain sections of the bills of lading. The defendants also prepared and executed documents termed “commercial invoices” purporting to represent sales of agricultural commodities between entities that they controlled, as well as between entities that they controlled and other entities.

The defendants then used these fraudulent documents to obtain millions of dollars from U.S. banks in connection with the GSM-102 program, and then provided the funds to the foreign banks in exchange for a percentage fee for themselves and their various entities. Although the foreign banks were contractually obligated to repay the funds to the U.S. by virtue of the letters of credit issued to the U.S. financial institutions, in a number of instances, the banks failed to do so. Nevertheless, LILLEMOE, CALDERON and their various entities retained more than $2.2 million in fees they had collected in connection with the GSM-102 transactions and in some instances, sent a portion of those fees to various financial backers in places such as Singapore.

The foreign banks defaulted on more than $25 million of the many loans guaranteed as a result of LILLEMOE and CALDERON’s scheme. Those losses, which were originally suffered by the victim U.S. banks, were ultimately reimbursed by the USDA because of the GSM-102 guarantees.

After a month-long trial, the jury found LILLEMOE and CALDERON guilty of one count of conspiracy to commit wire fraud and bank fraud, and LILLEMOE guilty of five counts and CALDERON guilty of one count of wire fraud.

This matter was investigated by the Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigation Division and U.S. Department of Agriculture, Office of Inspector General. The case was prosecuted by Assistant U.S. Attorneys Michael S. McGarry, John H. Durham and John T. Pierpont, Jr.

Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that LUIS MARTELL, also known as “Fat Boy,” 34, of Meriden, was arrested yesterday on a federal criminal complaint charging him with trafficking cocaine and heroin.

MARTELL appeared yesterday before U.S. Magistrate Judge Holly B. Fitzsimmons in Bridgeport and was ordered detained.

As alleged in court documents, in late October 2016, law enforcement intercepted two parcels containing suspected narcotics that had been mailed from southern California to two different addresses in Meriden. On November 2, 2016, a court-authorized search of the parcels revealed a total of approximately 6.5 kilograms of cocaine and approximately 1.06 kilograms of heroin.

On November 2, 2016, Jose Davila, also known as “Flaco,” visited a post office in Meriden to inquire about one of the parcels. On November 3, 2016, law enforcement made a controlled delivery of the second parcel to its intended address. The residents of the house accepted the parcel on behalf of Justin Doherty and contacted Doherty on his cellphone. Doherty then arrived at the house in a car driven by Davila. Doherty and Davila were arrested at that time.

It is alleged that MARTELL coordinated the shipment of the parcels containing cocaine and heroin, and paid Doherty and Davila to accept the parcels on his behalf.

The complaint charges MARTELL with conspiracy to possess with intent to distribute five or more kilograms of cocaine and one or more kilogram of heroin, an offense that carries a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life.

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.

On January 20, 2017, a grand jury in Bridgeport returned a three-count indictment charging Davila, 32, and Doherty, 24, both of Meriden, with related offenses. They are awaiting trial.

This matter is being investigated by the Drug Enforcement Administration, U.S. Postal Inspection Service and Meriden Police Department. The case is being prosecuted by Assistant U.S. Attorney Rahul Kale.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANDRE CARTAGENA, 29, of Hartford, was sentenced today by Senior U.S. District Judge Alfred V. Covello in Hartford to 34 months of imprisonment, followed by one year of supervised release, for distributing crack cocaine.

According to court documents and statements made in court, this matter stems from joint law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force and the Hartford Police Department that targeted a drug trafficking organization operating in Hartford’s North End that was distributing crack and powder cocaine. The investigation revealed that David Gil-Grande, of Manchester, received shipments of cocaine, secreted in sealed coffee cans, from Puerto Rico. He then supplied the cocaine to Anthony Shelton, also known as “Pretty,” Gerard Brown, also known as “Goldie,” and others, who converted much of the cocaine into crack and distributed both forms of the drug in the area of Barbour Street in Hartford.

The investigation, which included court-authorized wiretaps, revealed that Brown supplied crack cocaine to CARTAGENA who then sold the drug to his own customers.

Twenty individuals were charged as a result of the investigation.

CARTAGENA has been detained since his arrest on February 2, 2016. On March 9, 2017, he pleaded guilty to one count of using a telephone to facilitate a drug trafficking felony.

CARTAGENA’s criminal history includes six narcotics-related convictions and convictions for assault and criminal mischief. He was on state probation while he engaged in the criminal conduct that resulted in this federal prosecution.

Gil-Grande, Shelton and Brown have pleaded guilty to related charges. On January 31, 2017, Gil-Grande was sentenced to 70 months of imprisonment. Shelton and Brown await sentencing.

This matter has been investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force, which 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 Division and the Drug Enforcement Administration have provided valuable assistance to the investigation.

The case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.

The United States Attorney’s Office for the District of Connecticut hosted its annual United States Attorney’s Office Law Enforcement Awards Ceremony this morning in New Haven. The ceremony at the City of New Haven’s aldermanic chambers recognized more than 160 federal agents, police officers and community members for their investigative efforts and other contributions to approximately 30 significant federal criminal prosecutions and civil cases in Connecticut.

The highlighted cases demonstrate the broad variety of work performed by local, state and federal law enforcement agencies in Connecticut. Approximately 60 of the award recipients are members of local police departments from across Connecticut.

“Today, we proudly recognize our law enforcement partners and community members for their exceptional achievements this past year and their courageous dedication to ensuring the safety and security of our communities,” said U.S. Attorney Deirdre M. Daly. “These award recipients have served the people of Connecticut and our nation with distinction and integrity, and it has been my sincere honor to work with them in the cause of justice.”

Several special awards were presented to law enforcement officers, state employees and community members during the ceremony.

The U.S. Attorney’s Award for Outstanding Investigator was presented to Sergeant Karl Jacobson of the New Haven Police Department for his many years as an exceptional law enforcement officer, his work on behalf of Project Longevity and his command of the NHPD’s Intelligence Unit.

The U.S. Attorney’s Award for Outstanding Partnership was presented to the Connecticut Forensic Science Laboratory, under the leadership of Dr. Guy Vallaro, for its critical assistance in numerous firearm, drug and violent crime investigations.

The U.S. Attorney’s Outstanding Community Award was presented to Amarjit Singh, Swaranjit Singh Khalsa and Maninder Arora, members of the Sikh community who have volunteered hundreds of hours to Department of Justice cultural awareness trainings for police officers across the state.

U.S. Attorney’s Outstanding Task Force Officer Awards were presented to Detective Matthew Greenstein of the Connecticut State Police, Detectives Josh Lewis and Abhilash Pillai of the Hartford Police Department, Officer Brian McPadden of the Shelton Police Department, Detective Michael Chaves of the Monroe Police Department, and Officer Jeffrey Poulin of the Wethersfield Police Department.

The Civil Division Unit Award was presented to the attorneys and staff of the State of Connecticut’s Office of Protection and Advocacy for their work to ensure that people with disabilities have equal access to public facilities and programs, educational opportunities, hospitals, employment, voting, recreational activities, housing and financial institutions.

The National Security and Major Crimes Unit Award was presented to Special Agent Wendy Bowersox of the FBI’s Violent Crimes Against Children Squad for her dedicated investigative work in child exploitation and sex trafficking cases.

The Financial Fraud and Public Corruption Unit Award was presented to FBI Special Agent Jeff Waterman for his exceptional work on significant public corruption investigations since 2009.

The Violent Crimes and Narcotics Unit Award was presented to the U.S. Attorney’s Office Heroin Education Action Team (HEAT), notably 12 HEAT participants who have had a child or other family member die from an opioid overdose. During the 2016-2017 school year, HEAT delivered opioid awareness presentations that reached more than 20,000 high school and middle school students across Connecticut. They also traveled to cities and towns throughout the State for evening presentations to parents and other community members concerned about the opioid epidemic and the dangers of prescription pill abuse.

The U.S. Attorney’s Office is charged with enforcing federal criminal laws in Connecticut and representing the federal government in civil litigation. The Office is composed of approximately 63 Assistant U.S. Attorneys and approximately 52 staff members at offices in New Haven, Hartford and Bridgeport.

Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JOSE MIRANDA, also known as “Omar,” 52, of the Bronx, N.Y., was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 74 months of imprisonment, followed by three years of supervised release, for trafficking heroin and cocaine. Judge Bolden also ordered MIRANDA to pay a $5,000 fine.

According to court documents and statements made in court, in October 2015, the DEA, Willimantic Police Department and Connecticut State Police initiated an investigation into a Willimantic-based narcotics trafficking ring after several overdoses in the region. The investigation, which included the use of confidential informants, physical surveillance, controlled purchases of drugs and court authorized wiretaps on five cellular telephones utilized by the co-conspirators, revealed that MIRANDA was supplying large quantities of heroin and cocaine to individuals in eastern Connecticut and Rhode Island, including Carlos Alberto Lopez-Zelada, of Willimantic, and Persio Hernandez, of North Windham. In Connecticut, Lopez-Zelada converted a portion of the cocaine he received into crack cocaine. Lopez-Zelada, Hernandez and other co-conspirators then distributed heroin, cocaine and crack cocaine in the Willimantic area.

MIRANDA was arrested on June 23, 2016, after he was intercepted threatening to shoot a co-conspirator who refused to pay him for a quantity of heroin that Miranda had provided to the individual on consignment.

MIRANDA also disclosed on a wiretap intercept that he had been involved in drug trafficking for “25 years.”

MIRANDA has been detained since his arrest. On December 9, 2016, he pleaded guilty to one count of conspiracy to distribute heroin and cocaine.

Lopez-Zelada and Hernandez were arrested on July 6, 2016, and subsequently pleaded guilty to related charges. They are detained while awaiting sentencing.

This matter is being prosecuted by Assistant U.S. Attorneys Patrick Caruso, David Nelson and Amy Brown.