Middle District of Florida

Orlando, Florida – U.S. District Judge Gregory A. Presnell today sentenced Sandreania Davis (46, Orlando) to one year and three months in federal prison for filing a materially false statement in an application to the Federal Emergency Management Agency (FEMA) for disaster relief benefits. 

A federal jury convicted Davis on December 18, 2018.

According to the evidence presented at trial, in September 2017, Davis attempted to obtain FEMA benefits following Hurricane Irma. She did so by falsely claiming that she resided in a particular apartment in Orlando. In addition, Davis broke into the apartment to make it appear that she lived there for purposes of a FEMA inspection. 

This case was investigated by the U.S. Department of Homeland Security – Office of the Inspector General. It was prosecuted by Assistant United States Attorney Emily C. L. Chang.

Jacksonville, Florida – A federal jury has found Jamaal Abu Talib Hameen (58, Jacksonvile) guilty of being a felon in possession of a firearm. Hameen, who qualifies as an Armed Career Criminal, faces a mandatory minimum sentence of 15 years, and up to life, in federal prison. His sentencing hearing is scheduled for June 3, 2019.

Hameen was indicted on July 18, 2018.

According to testimony presented at trial, on February 7, 2018, Hameen was found to be in possession of a loaded .380 caliber pistol when Jacksonville Sheriff’s Officers arrested him for trespassing at a local motel. As a previously convicted felon, Hameen is prohibited from possessing a firearm or ammunition under federal law.

This case was investigated by the Jacksonville Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It is being prosecuted by Assistant United States Attorneys David B. Mesrobian and Frank Talbot.

This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Tampa, FL –U.S. District Judge Elizabeth A. Kovachevich today sentenced Jennifer Samuels (47, Seffner) to 33 months in federal prison for conspiracy to commit mail fraud in connection with Samuels’s role as a middleman, or money mule, in a Jamaican lottery fraud scheme. As part of her sentence, the court also entered a money judgment of $209,800.13, the proceeds of the fraud.

Samuels had pleaded guilty on October 17, 2018.

According to court documents, Samuels and co-conspirators identified potential victims and contacted them by telephone, falsely claiming the individuals had won the lottery in Jamaica, but needed to pay money for taxes in order to receive the funds. If a potential victim agreed, Samuels’s co-conspirators directed the victim to send these fees to a middleman, who received the funds and distributed them to the conspirators. Samuels agreed to be one of these middlemen.

In May 2016, Samuels’s co-conspirators contacted an elderly victim residing in the Middle District of Florida and falsely told the victim that he had won $1.4 million and a Mercedes-Benz vehicle as part of a Jamaican lottery sweepstakes. A conspirator told the victim that in order to receive his lottery winnings, the victim would need to pay the taxes on the winnings upfront. Between May 2016 and May 2018, the victim sent 52 checks totaling $209,800.13 to Samuels, which the victim believed were to pay for the taxes associated with his lottery winnings. 

Samuels deposited the victim’s checks into her bank accounts or cashed them. She then transferred the majority of the funds to her conspirators in Jamaica and Florida by cash delivery or wire transfer. Samuels also kept a portion of the funds for herself.

“Criminals who target older citizens in these schemes are heartless in their relentless pursuit of profit, at great cost to the elderly victims,” said HSI Tampa Special Agent in Charge James C. Spero. “While today’s sentencing highlights HSI’s role in stopping this crime, I strongly encourage anyone with elderly loved ones to familiarize themselves with these schemes and take steps to protect them from exploitation.”

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Pasco Sheriff’s Office. It was prosecuted by Assistant United States Attorney Jennifer L. Peresie.

Tampa, Florida – U.S. District Judge Steven D. Merryday today sentenced Gabino Peralta-Saucedo (43, Bradenton) to 24 years and 4 months in federal prison for conspiracy to distribute five kilograms or more of cocaine and a quantity of heroin. Peralta-Saucedo had pleaded guilty on December 14, 2018.

According to court documents, for over a decade, Peralta-Saucedo coordinated the smuggling of thousands of kilograms of cocaine into the United States from Mexico. More than 12,000 kilograms of cocaine were ultimately sold in and around Manatee County on behalf of various Mexican drug cartels, including La Familia Michoacána and Los Caballeros Templarios. Peralta-Saucedo also cooperated with other Mexican drug cartels including, the Gulf Cartel and Los Zetas, in order to get drugs across the border into the United States. In addition, coconspirators possessed and distributed heroin in the Tampa Bay area.

This case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF) program. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.

This case was investigated by the Federal Bureau of Investigation and the Manatee County Sheriff’s Office. The Department of Justice’s Office of International Affairs and Attaché’s Office in Mexico City assisted with the extradition process. It was prosecuted by Assistant United States Attorney Christopher F. Murray.

Tampa, FL – Luckner Stimphil (55, Brandon) has pleaded guilty to conspiracy to defraud the United States. His daughter, Elwolfine Dufort (31, Riverview), pleaded guilty on February 21, 2019, for her role in the conspiracy. Stimphil and Dufort each face a maximum penalty of five years in federal prison. A sentencing date has not yet been set.

Pursuant to their plea agreements, Stimphil and Dufort have agreed to pay more than $11 million in restitution to the U.S. Department of the Treasury relating to the conspiracy. Stimphil also consented to pay all taxes, interest, and penalties found to be owed and due to the IRS relating to his personal tax returns for years 2012 and 2013. Stimphil and Dufort have also agreed to be permanently enjoined from preparing or assisting in the preparation or filing of federal tax returns for any other person or entity; from maintaining any association with a tax return preparation business; and from instructing, teaching, or otherwise training any person in the preparation of federal tax returns.        

According to court documents, Stimphil, the then-pastor at First Calvary Family Life Ministry located on Martin Luther King Jr. Blvd., in Tampa, created and operated Top Popular Tax, a tax return preparation business with offices in Tampa, Winter Haven, and elsewhere. The business operated from 2011 through at least mid-2015. There, Stimphil, his daughter (Dufort), and others working under Stimphil’s supervision, routinely assisted in and advised clients in the preparation and presentation of tax forms to the IRS, which included materially false and fraudulent information on client-taxpayers’ Schedule C Forms (business income or loss) and Forms 8863 (associated with a claim for the American opportunity credit). Some of the information submitted on Forms 1040 also included a false and fraudulent claim for a credit for federal tax on fuels on Form 4136. 

This case was investigated by IRS - Criminal Investigation. It is being prosecuted by Assistant United States Attorneys Jay G. Trezevant and Craig Gestring.

 

Tampa, FL – Troy Cater (30) and David Bell (55), both of St. Petersburg, have pleaded guilty to a money laundering conspiracy. Each faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been scheduled.

Pursuant to their plea agreements, Cater has agreed to pay $145,961.35 and Bell has agreed to pay $268,356, in restitution to the scheme’s numerous victims. In addition, Cater and Bell have consented to forfeiture money judgments in the amounts of $15,000 and $26,000, respectively, which represent the proceeds of the fraud.

According to the plea agreements, from 2015 through 2018, Cater and Bell conspired with others to take money from victims throughout the United States who wanted to sell their timeshare properties or other parcels of land. Other conspirators placed telephone calls to these victims impersonating real estate professionals and misleading the timeshare owners to believe that the conspirators had identified buyers for the victims’ timeshares and other properties. The conspirators further advised the victims that the sales could be consummated if the victims made one or more advanced payments to the conspirators for various fees purportedly associated with the sales, such as closing costs, courier services, title searches, transfer fees, and legal fees. Once the victims agreed to pay the bogus advance fees, the conspirators directed the victims to send funds via wire transfers to Cater and Bell, who then withdrew the fraud proceeds or hired others to retrieve the proceeds and shared them among the conspirators based on each conspirator’s role in the fraudulent transaction. The conspirators also continued to contact their victims, fraudulently advising them that additional funds were needed in order to complete the sales, and they continued to dupe the victims into sending bogus advance fees until the victims ran out of money or became aware of the scam.

The scam then evolved into a second stage where the conspirators re-contacted the victims via email and, now posing as helpful attorneys, told the victims that they had been defrauded in a timeshare scam. They offered to “represent” the victims against the “first attorneys,” and to obtain settlements on their behalves. Once the conspirators had gained the trust of the timeshare victims in their new roles, they directed the victims to forward additional bogus fees to Cater, Bell, and others. Some victims paid the conspirators several hundreds of thousands of dollars for the purported “litigation,” which Cater and Bell retrieved or had others retrieve at their direction.

Cater and Bell were initially recruited into the scheme by others, including several defendants who have pleaded guilty to related charges. Mark Boring previously pleaded guilty to wire fraud conspiracy and aggravated identity theft. His sentencing hearing is set for March 7, 2019. Martin Steele has pleaded guilty to wire fraud conspiracy and aggravated identity theft. His sentencing hearing has not yet been set. Gary Kinard has been sentenced to seven years and eleven months in federal prison for wire fraud conspiracy and aggravated identity theft for his role in the scheme.

This case was investigated by the FBI, the St. Petersburg Police Department, and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney Rachel K. Jones.

Tampa, FL – U.S. District Judge Susan Bucklew has sentenced Gary Kinard (40, St. Petersburg) to 7 years and 11 months in federal prison for his role in a telemarketing scheme. As part of his sentence, the court also entered a money judgment of $75,000, the proceeds of the wire fraud conspiracy. In addition, Kinard was directed to pay a total of $2,244,735.66 to 43 identified victims of the scheme.

According to court records, from 2016 through at least 2018, Kinard conspired with others to take money from victims throughout the United States who wanted to sell their timeshare properties or other parcels of land. Kinard and others placed telephone calls to these victims impersonating real estate professionals. They misled the timeshare owners to believe the conspirators had identified buyers for the victims’ timeshares and other properties. The conspirators further advised the victims that the timeshare and property sales could be consummated if the victims made one or more advanced payments to the conspirators for various fees purportedly associated with the sales, such as closing costs, courier services, title searches, transfer fees, and legal fees. Once the victims agreed to pay the bogus advance fees, the conspirators directed the victims to send funds via wire transfers to one of the conspirators. That coconspirator then withdrew the fraud proceeds and shared them with the others, based on each conspirator’s role in the fraudulent transaction. The conspirators often repeatedly re-contacted their victims and fraudulently advised them that additional fees were needed in order to complete the sales, and they continued to dupe the victims into sending bogus advance fees until the victims either ran out of money or became aware of the scam.  

After the victims depleted their assets or recognized that they had been defrauded, Kinard and other conspirators evolved the scheme. In this second stage,  Kinard and/or other conspirators re-contacted their victims via email and, now posing as helpful attorneys, told the victims that they had been defrauded in a timeshare scam. They then offered to “represent” the victims against the “first attorneys,” and to obtain settlements on their behalves. Once Kinard had regained the trust of the timeshare victims, he directed the victims to forward additional bogus fees purportedly associated with the cost of litigation, settlement expenses, and other related expenses. Some victims paid the conspirators hundreds of thousands of dollars for the purported “litigation.” Over the course of the conspiracy, many victims lost their retirement savings and their homes.

Mark Boring, Martin Steele, David Bell, and Troy Cater previously pleaded guilty for their roles in this scheme. Their sentencing hearings are pending.

This case was investigated by the Federal Bureau of Investigation, the St. Petersburg Police Department, and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney Rachel K. Jones.

Jacksonville, Florida– U.S. District Judge Brian J. Davis has sentenced James Lester Calloway, Jr. (49, Jacksonville) to 24 years in federal prison for conspiracy to distribute 50 grams or more of methamphetamine. Calloway had pleaded guilty on September 12, 2018, his third federal felony conviction. Calloway was previously convicted in August 2010, in the Middle District of Florida, for conspiracy to manufacture 50 grams or more of methamphetamine.

According to court documents, during the execution of a search warrant at Calloway’s home, DEA agents seized approximately 112 grams of crystal methamphetamine, a firearm, and $70,960 in cash. The total amount of pure/actual methamphetamine attributed to Calloway in the conspiracy was at least 4.5 kilograms.      

Jason Jed Morris (51, Palatka), another member of the drug trafficking organization, previously pleaded guilty to possessing with the intent to distribute methamphetamine and possessing a firearm in furtherance of a drug trafficking crime. Morris was sentenced to 3 years in federal prison. According to the plea agreement, Morris traveled to Jacksonville to meet with Calloway, his source of supply, and purchased 28.25 grams of methamphetamine (99% purity) in order to distribute it to his customers in the Palatka area.

Two other members of the drug trafficking organization have also been charged for their roles in this case. On January 9, 2019, Samuel Trevor Martin (36, Jacksonville) pleaded guilty to possessing with the intent to distribute 50 grams or more of methamphetamine. He faces a minimum mandatory penalty of 10 years, and up to life, in federal prison. His sentencing hearing is scheduled for April 15, 2019. Anthony Donta Jones (39, Atlanta, GA) has been charged with possessing with the intent to distribute 500 grams or more of methamphetamine. He faces a minimum mandatory sentence of 10 years, and up to life, in federal prison. His case is scheduled for trial in April 2019.

This case was investigated by the Drug Enforcement Administration, along with the Putnam County Sheriff’s Office, the Nassau County Sheriff’s Office, and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Beatriz Gonzalez.

Tampa, Florida – Senior U.S. District Judge James Moody, Jr. today sentenced Cedrick Lee Taylor (32, Sarasota) to 15 years in federal prison for possessing a firearm and ammunition as a convicted felon. The court also ordered Taylor to forfeit the firearm and ammunition he used during the offense. Taylor had pleaded guilty on March 14, 2018.

According to court documents, at approximately 1:00 a.m. on July 15, 2017, a deputy from the Sarasota Police Department initiated a traffic stop of a vehicle after smelling the odor of marijuana emanating from it. Taylor was a passenger in that car.

After ordering the occupants out of the car for a vehicle search, the officer observed a red bag on the floor near where Taylor had been sitting. The officer also noticed small baggies that contained a white powdery substance near the red bag. The officer searched the red bag and discovered a loaded firearm and loose ammunition. Taylor later admitted to possessing the firearm. At the time, Taylor had several prior felony convictions and, therefore, was prohibited from possessing firearms or ammunition.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Sarasota Police Department. It was prosecuted by Assistant United States Attorney Charlie D. Connally.

This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.  In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Orlando, FL – U.S. District Judge Gregory A. Presnell has sentenced Devin Lashawn Jefferson, II (22, Apopka) to 15 years and 8 months in federal prison for attempting to possess with the intent to distribute furanyl fentanyl. A federal jury found Jefferson guilty of the offense on September 12, 2018.

According to testimony and evidence presented in court, between February and December 2017, Jefferson sent tens of thousands of dollars to recipients in China. In April 2017, U.S. Customs and Border Protection agents intercepted a package from China that was addressed to an Apopka residence that had been associated with Jefferson. The package contained approximately 1 kilogram of furanyl fentanyl, a leading cause of overdose deaths in the Orlando area. 

On February 27, 2018, agents conducted a controlled delivery of the package, removing the using furanyl fentanyl and substituting sham substance, and Jefferson retrieved it from the residence. When agents attempted to stop Jefferson, he fled in his car at a high rate of speed thru a school zone and escaped. He was apprehended approximately two weeks later by the U.S. Marshals Service. 

Subsequently, U.S. Customs and Border Protection intercepted a second package from China addressed to Jefferson that contained approximately one-quarter of a kilogram of methoxyacetyl fentanyl, another powerful fentanyl analogue.

“Fentanyl is a deadly narcotic wreaking havoc in our communities,” said HSI Tampa Special Agent in Charge James C. Spero. “HSI and our law enforcement partners are committed to dismantling opioid smuggling and today’s sentencing is just one example of how HSI utilizes our broad authorities to combat this epidemic.”

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Customs and Border Protection, the U.S. Postal Service, the Drug Enforcement Administration, the U.S. Marshals Service, and the Orlando Police Department.  It was prosecuted by Assistant United States Attorneys Embry J. Kidd and Dana E. Hill.

Fort Myers, FL – A federal jury has found Kay F. Gow (68, Naples), Robert T. Gow (77, Naples), and John G. Williams, Jr. (67, Virginia Beach, VA) guilty of conspiracy to commit wire fraud and wire fraud. The Gows were also found guilty of conspiracy to commit money laundering and illegal monetary transactions. Each defendant faces a maximum penalty of 5 years in federal prison for the conspiracy to commit wire fraud count and up to 20 years’ imprisonment for each wire fraud count (Gows: 4 counts each, Williams: 2 counts). The Gows each also face up to 10 years in federal prison for conspiracy to commit money laundering and for each count (4) of illegal monetary transactions. And the defendants face the forfeiture of more than $5.1 million in proceeds traceable to the offenses. All three are scheduled to be sentenced on May 20, 2019.

According to the evidence presented at trial, the Gows owned and controlled multiple entities, including HerbalScience Group, LLC, and HerbalScience Singapore Pte, Ltd. In 2010, the Gows formed VR Laboratories, LLC, in order to apply for a $5 million grant from Lee County through the Financial Incentives for Recruiting Strategic Targets (“FIRST”) program. The FIRST program consisted of taxpayer funds set aside by the county to bring economic development projects to the Ft. Myers area. In seeking the FIRST grant, the Gows made numerous false and fraudulent representations to various individuals and government entities about their financial success and that of HerbalScience and VR Labs, including that VR Labs was poised to become a leading global formulator and manufacturer of botanical pharmaceuticals. Ultimately, Lee County awarded VR Labs $5 million in FIRST grant funds to build a manufacturing facility that the Gows had claimed would bring hundreds of high-paying jobs and economic growth to Lee County.  

Once VR Labs executed an agreement with Lee County, Williams, a long-time friend of the Gows, registered a fictitious name, “Williams Specialty Bottling Equipment,” with the Florida Secretary of State. The Gows then represented that Williams would provide the bottling line for the manufacturing facility, when he had no such experience or expertise. Williams used false and fraudulent invoices for work and services allegedly performed on the bottling line to make demands for payment and, once paid, kicked back a substantial portion of the funds to VR Labs and the Gows. The Gows then used Williams’s false and fraudulent invoices to justify requests to Lee County for the payment of the grant money. Once VR Labs received the grant funds, the Gows fraudulently transferred those funds to entities they owned and controlled, and ultimately to themselves, by disguising the transfers as licensing fees, salaries, expenses, and other items. They also tried to conceal the source of the kickbacks through the creation of fictitious entities and documents.         

Ultimately, Lee County disbursed approximately $4.7 million in FIRST grant funds to VR Labs, but the manufacturing facility was never completed or operational.

This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Rachelle DesVaux Bedke and Michael Leeman.

Orlando, Florida – A federal jury yesterday found Keith Kirchoff (41, Key West) guilty of conspiracy to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. Kirchoff faces a maximum penalty of life in federal prison. A sentencing date has not yet been set. Kirchoff is the nineteenth person to be found guilty as a result of a joint FBI and DEA investigation into drug-trafficking organizations that supplied outlaw motorcycle clubs with distribution amounts of methamphetamine in the Middle District of Florida.

Kirchoff was indicted on August 9, 2018.

According to testimony presented at trial, in March 2018, Kirchoff conspired with members of the Pagans motorcycle club to deliver ounce quantities of methamphetamine to Pagans members located in Daytona Beach and Key West, Florida. On March 21, 2018, members of the Florida Highway Patrol pulled over a vehicle being driven by Kirchoff and found nearly ten ounces of methamphetamine and a loaded firearm.

This case was investigated by the FBI, the DEA, the Florida Highway Patrol, the Volusia Bureau of Investigation, the Volusia County Sheriff’s Office, and the Daytona Beach Police Department. It is being prosecuted by Assistant United States Attorney Sean P. Shecter.

Jacksonville, Florida – U.S. District Judge Harvey Lee Adams today sentenced Sean Justin Owens (35, Jacksonville) to 15 years in federal prison for possessing a firearm as a convicted felon. A federal jury found Owens guilty on November 15, 2018. Due to his prior multiple felony convictions, he qualified for an increased penalty under the Armed Career Criminal Act. 

According to testimony presented at trial, Owens was found in possession of a firearm after officers from the Jacksonville Sheriff’s Office (JSO) investigated his illegally parked vehicle. As the officers approached the vehicle, Owens quickly left the car and headed toward a nearby residence. When the officers checked the vehicle’s tag, it was not associated with any vehicle. As one of the officers tried to obtain the Vehicle Identification Number (VIN), he saw a firearm on the front console. Owens’s driver license was inside his vehicle, confirming his identity. In addition, an occupant of the home Owens had entered after leaving the vehicle confirmed that the vehicle belonged to Owens. 

At the time of this incident, Owens had multiple prior felony convictions, including three convictions for sale or delivery of cocaine, and therefore, was prohibited from possessing firearms under federal law.

This case was investigated by the Jacksonville Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Ashley Washington.

This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Fort Myers, Florida – United States Attorney Maria Chapa Lopez announces that Gregory Apicella (53, Fort Myers) today pleaded guilty to distributing fentanyl and to causing the overdose death of “J.Y.,” a 21-year old man living in Fort Myers. Apicella faces a minimum mandatory penalty of 20 years, and up to life, in federal prison.

According to the

plea agreement , on January 18, 2018, Apicella sold fentanyl from his home on South Entrada Drive in Fort Myers. J.Y. used the fentanyl that Apicella had sold and died of an overdose. The next day, the Lee County Sheriff’s Office (“LCSO”) conducted a controlled purchase of methamphetamine and fentanyl from Apicella. LCSO then executed a search warrant at Apicella’s residence and recovered approximately nine grams of fentanyl from a safe in the bedroom.     

This case was investigated by the Drug Enforcement Administration and the Lee County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Kyle Cohen and Charles Schmitz.

Orlando, Florida – United States Attorney Maria Chapa Lopez announces that Anthony Joseph Culotta (59, Merritt Island) has pleaded guilty to receiving child pornography. Culotta faces a minimum mandatory penalty of 5 years, and up to 20 years, in federal prison.

According to the plea agreement, Culotta had been a NASA contractor since at least 2004. An investigation led by the NASA Office of Inspector General (OIG) Office of Investigations (OI) revealed that, since at least May 2017 Culotta had been using NASA’s network to obtain child pornography via the internet. 

On June 15, 2018, a federal search warrant was executed on Culotta’s work area at the Kennedy Space Center (KSC) to search for evidence of child pornography violations. During the search, agents located Culotta’s NASA-issued laptop computer. A forensic examination of the laptop revealed more than 700 images containing child pornography, including images of known child victims identified by the National Center for Missing and Exploited Children.

On August 7, 2018, NASA OIG special agents interviewed Culotta at the Cape Canaveral Air Force Station in Brevard County. During the interview, Culotta admitted that he had used his NASA-issued laptop to search for and view images that piqued his curiosity. He identified some of the images for the interviewing agents. Culotta also said he used his personal computer at his home to search the internet for these images.

Culotta also disclosed that he had saved some of the images he viewed to his thumb drive. Culotta had the thumb drive with him and consented to a search of the device. He told the agents that he hid the images in directories that he had created on the thumb drive. Culotta also admitted that he had been viewing these types of images for as long as he had his personal laptop. During a preview of Culotta’s thumb drive, the forensic examiner located images of child pornography, including young children. Culotta also stated that he had connected the thumb drive to his NASA-issued laptop and viewed the images while at work.

Culotta consented to a search of his personal computer media, where the agents found numerous images depicting child pornography involving young children, including toddlers. 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  

This case was investigated by NASA OIG OI. It is being prosecuted by Assistant United States Attorney Ilianys Rivera Miranda.

Fort Myers, Florida – United States Attorney Maria Chapa Lopez announces that a federal jury has found Romeo Valentin Sanchez (31, Cape Coral) guilty of enticing two minors to commit sex acts and producing and possessing child pornography. The jury also found him guilty of committing these offenses while already being required to register as a sex offender. He faces a maximum penalty of life in federal prison. The sentencing hearing is scheduled for May 28, 2019.      

According to testimony and evidence presented at trial, Sanchez, a convicted sex offender, lured a 14-year-old family friend into a sexual relationship that lasted for several months. In addition to engaging in sex acts, Sanchez also induced the victim to send him explicit videos of themself.

After officers from the Cape Coral Police Department seized Sanchez’s phone and informed him that he was under investigation for his sex acts on the first victim, Sanchez obtained a second cellphone and attempted to entice a second middle-school-aged student into a sexual relationship. Sanchez met the second victim when the victim and her mother came into the Cape Coral restaurant where Sanchez worked. Sanchez lured the victim by creating a fraudulent social media profile of a 13-year-old child in an attempt to trick the victim into a sexual relationship.  Although no in-person encounter occurred with the second victim, Sanchez was able to induce the second victim to send him child pornography.

This case was investigated by the Federal Bureau of Investigation, Innocent Images Task Force, and the Cape Coral Police Department. It was being prosecuted by Assistant United States Attorney Charles Schmitz.

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Steven Timothy Jolly (41, Jacksonville) to 30 months in federal prison for manufacturing counterfeit currency. The court also ordered Jolly to forfeit computer media used in the production of counterfeit Federal Reserve notes. Jolly had pleaded guilty on October 9, 2018.

According to court documents, in January 2018, the Jacksonville Sheriff’s Office investigated a home in Duval County associated with the sale of methamphetamine. The following month, law enforcement officers executed a search warrant at the home. Jolly and others were present at the time the search warrant was executed. During the search of the home, the officers located, among other items, drug paraphernalia, a firearm, uncut sheets of counterfeit Federal Reserve notes, counterfeit Federal Reserve notes, and computer media. Subsequent investigation by the United States Secret Service – Jacksonville Field Office determined that Jolly had used the computer media to manufacture counterfeit Federal Reserve notes.  

This case was investigated by the Jacksonville Sheriff’s Office and United States Secret Service - Jacksonville Field Office. It was prosecuted by Assistant United States Attorney Kevin C. Frein.

Tampa, Florida – United States Attorney Maria Chapa Lopez announces that Richard Bowe (40, Tampa) pleaded guilty today to four counts of making false statements to federally insured federal credit unions. Bowe faces a maximum penalty of 30 years in federal prison on each count. His sentencing date has not yet been set.

According to facts presented at the plea hearing, in early 2015, Bowe applied to several different credit unions in the Tampa Bay area and made false statements in his loan and/or credit applications. On January 23, 2015, he applied for an auto loan of approximately $30,000 from the Florida Central Credit Union. In the loan application, he falsely claimed that he was employed by the U.S. Central Command and made a false representation about the amount of VA retirement benefits that he earned. On February 26, 2015, he applied for another auto loan of approximately $15,000 from the USF Federal Credit Union and again falsely claimed in the loan application that he was a Deputy Inspector General with the Central Command. On March 4, 2015, he visited the USF Federal Credit Union and applied for another auto loan of approximately $47,000 and made false statements in that loan application about being employed at the U.S. Army Contracting Command and about his receipt of monthly VA benefits. He also applied for a credit card and membership at the Tampa Bay Federal Credit Union on February 26, 2015. In that application, he again made false statements about his employment with the U.S. Army Contracting Command and about his VA benefits.

In each case, Bowe also submitted false and fraudulent documents verifying the employment and benefits that he falsely claimed to be receiving on a monthly basis. In reality, he had no such employment with the U.S. Army and received no such VA benefits.

This case was investigated by the Tampa Police Department, with assistance from the United States Department of Veterans Affairs and the U.S. Defense Criminal Investigative Service. It is being prosecuted by Assistant United States Attorney Jay L. Hoffer.

Jacksonville, Florida – U.S. District Judge Brian J. Davis today sentenced Jemone Lawrence Walker (33, Jacksonville) to 15 years and 8 months in federal prison, for possessing a firearm as a convicted felon. A federal jury found Walker guilty on June 7, 2018.

According to testimony presented at trial, Walker was found to be in possession of a loaded revolver when the Jacksonville Sheriff’s Office responded to an armed domestic call at a Jacksonville home. At the time, Walker had multiple prior felony convictions, including armed robbery, attempted armed robbery, attempted robbery, and unarmed robbery and, therefore, was prohibited from possessing firearms.

This case was investigated by the Jacksonville Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Ashley Washington.

This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces today the return of an indictment charging Jimmie Dwight Whitfield (42, Valdosta, GA) with failing to register as a sex offender after relocating from Georgia to Florida. If convicted, he faces up to 10 years in federal prison. Whitfield was arrested in Atlantic Beach, Florida on October 25, 2018.     

According to the indictment, on August 31, 1995, Whitfield was convicted of lewd, lascivious, and indecent acts with a minor in Jacksonville, Florida. On September 29, 2016, he was convicted of sexual battery and sodomy in Valdosta. Following his convictions, between March 20 and October 25, 2018, he traveled from Georgia to Florida and failed to register as a sex offender as required by the Sex Offender Registration and Notification Act (SORNA).

SORNA is part of the Adam Walsh Child Protection and Safety Act of 2006. The Act also provides for the use of federal law enforcement resources, including the United States Marshals Service, to assist state and local authorities in locating and apprehending non-compliant sex offenders. 

An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent until, and unless, proven guilty.

This case was investigated by the United States Marshals Service, the Lowndes County (GA) Sheriff’s Office, the Jacksonville Sheriff’s Office, and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

A federal court in Orlando, Florida, entered a permanent injunction against Ndaiziwei Kaya Chipungu and Society Financial Solutions LLC, barring them from preparing federal tax returns for others and owning or operating a tax preparation business, the Justice Department today announced. The order was signed by Judge G. Kendall Sharp of the U.S. District Court for the Middle District of Florida. 

The court also ordered that Chipungu and Society Financial Solutions LLC disgorge $487,879.24, representing the ill-gotten gains that they received for the preparation of tax returns.

The government alleged that the defendants prepared tax returns making false or fraudulent claims for the Earned Income Tax Credit. The government further alleged that the defendants prepared tax returns that falsely claimed the customers had non-existent businesses. Defendants also allegedly prepared returns with fabricated unreimbursed employee business expenses to falsely lower customers’ reported taxable income.

The court concluded that the government’s allegations established that the “Defendants engaged in business practices that violate the Internal Revenue Code, that the Government is entitled to a permanent injunction, and that Defendants unjustly enriched themselves through their wrongful conduct.”

The IRS has information on its website about selecting a return preparer and has launched a free directory of federal tax preparers.

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

Tampa, Florida – Genaro Cuero (64, Buenaventura, Colombia) today pleaded guilty to a conspiracy violation of the Maritime Drug Law Enforcement Act. He faces a minimum mandatory term of 10 years, and up to life, in federal prison. A sentencing date has not yet been set.

According to the plea agreement, Cuero was responsible for arranging the transportation of several maritime cocaine smuggling ventures in international waters of the Eastern Pacific Ocean. He represented the head of a drug-trafficking organization (DTO) and assisted with the smuggling of large quantities of cocaine.  In April 2011, the U.S. Coast Guard (USCG) interdicted a self-propelled semi-submersible (SPSS) vessel that had been dispatched from Colombia by the DTO.  The mariners aboard the SPSS vessel scuttled it, but the USCG successfully recovered 93 kilograms of cocaine.

In July 2014, the USCG interdicted a go-fast vessel dispatched from Colombia by the DTO. During that intercept, the USCG seized approximately 40 kilograms of cocaine out of a total load of 200 kilograms, most of which had been jettisoned. 

Cuero was arrested in Colombia in November 2017 and extradited to the United States in December 2018. 

This case was investigated by the Panama Express Strike Force, a standing Organized Crime Drug Enforcement Task Force (OCDETF) comprised of agents and analysts from the U.S. Coast Guard Investigative Service, the Drug Enforcement Administration, the Federal Bureau of Investigation, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Naval Criminal Investigative Service, and U.S. Southern Command’s Joint Interagency Task Force South. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply. The Department of Justice’s Office of International Affairs and the U.S. Embassy, Bogotá, Colombia, assisted with the extradition process. The case is being prosecuted by Assistant United States Attorney Christopher F. Murray.

Tampa, Florida – Terrest Colston (28, Polk County) today pleaded guilty to carjacking, brandishing a firearm during and in relation to a crime of violence, and possessing a firearm and ammunition as a convicted felon. He faces a maximum penalty of 15 years in federal prison for the carjacking charge, a minimum mandatory term of 7 years, and up to life, in prison for the brandishing charge, and a maximum term of 10 years’ imprisonment for the possession charge. A sentencing date has not yet been set.

According to court documents, on July 11, 2018, an individual was parked in his sedan on East Lemon Street in Lakeland. Colston approached the driver’s side window of the vehicle, pointed a loaded revolver at the victim, and told him to get out of the car. The victim, in fear for his life, complied. Colston then got into the sedan and drove away. A few hours later, an officer with the Lakeland Police Department spotted the stolen vehicle and attempted to pull it over. Colston crashed the car and fled on foot. The officer caught up with Colston, and Colston shot the officer. The officer survived and returned fire, striking Colston in the leg. Additional officers arrived and took Colston into custody.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Lakeland Police Department. It is being prosecuted by Assistant United States Attorney Christopher F. Murray.

This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

         

Tampa, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Terrance Maurice Goss (32, Tampa) with four counts of bank robbery, two counts of attempted bank robbery, and one count of possessing a firearm as a convicted felon. Goss faces a maximum penalty of 20 years in federal prison on each of the robbery and attempted robbery charges, and up to 10 years’ imprisonment for the firearm offense. The indictment also notifies Goss that the United States intends to forfeit the $6,462 he stole from the banks, as well as the firearm he possessed.

According to the

indictment , between January 11 and January 25, 2019, Goss robbed four banks. On January 11, 2019, he robbed the Wells Fargo Bank located at 2699 Gulf to Bay Boulevard in Clearwater. He robbed a second Wells Fargo Bank, located at 5250 East Bay Drive in Clearwater, on January 15, 2019. Two days later, he robbed the Centennial Bank on Fruitville Road in Sarasota). On January 25, 2019, Goss robbed a Wells Fargo Bank in Davenport. Additionally, Goss attempted to rob the TD Bank located at 6108 U.S. Highway 98 North in Lakeland on January 17, 2019, and the SunTrust Bank located at 1075 Carpenters Way in Lakeland on January 25, 2019. 

Finally, the indictment charges that Goss, a previously convicted felon,  possessed a firearm on January 25, 2019.

An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.

This case was investigated by the FBI, the Largo Police Department, the Clearwater Police Department, the Sarasota County Sheriff’s Office, the Polk County Sheriff’s Office, the Lakeland Police Department, the U.S. Marshals Service, and the Florida Highway Patrol. It will be prosecuted by Assistant United States Attorney Taylor G. Stout.

This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Tampa - U.S. Attorney Maria Chapa Lopez announced today that the Middle District of Florida (MDFL) collected $38,073,605.20 in criminal and civil actions in the fiscal year ending September 30, 2018 (FY 2018). Of this amount, $27,941,783.60 was collected in local civil actions and $10,131,821.60 was collected in criminal actions. The MDFL’s Civil Division, led by Civil Chief Randy Harwell, recovered a total of $96,663,640 on behalf of federal agencies and programs in affirmative civil enforcement cases during the last fiscal year. This amount has two components. In addition to its efforts in local civil cases noted above, the district’s Civil Division also joins forces with other U.S. Attorney’s Offices and with the Department of Justice Civil Frauds Section to address fraud schemes and illegal practices extending beyond district boundaries. The Middle District of Florida’s Civil Division recovered an additional $68,721,857.63 in these jointly handled cases. 

Additionally, the Office’s Asset Forfeiture Division, led by Anita Cream, recovered $35,367,506 in asset forfeiture actions last fiscal year. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes. For instance, in FY 2018, more than $1 million forfeited in the MDFL in prior years was returned to victims of the criminal offenses upon which the forfeitures were based (with more than $150 million pending distribution to additional crime victims), and more than $2.8 million was shared with federal, state, and local law enforcement agencies. 

As a whole, the Justice Department collected nearly $15 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2018. The $14,839,821,650 in collections in FY 2018 is nearly seven times the appropriated $2.13 billion ($2,136,750,000) budget for the 94 U.S. Attorneys’ offices.

“The U.S. Attorney’s Office will continue working with its partners to investigate and prosecute fraud at every level,” said U.S. Attorney Chapa Lopez. “Our coordinated efforts aim to ensure that criminals are held accountable for their illegal actions and that victims are able to recover from their losses, wherever possible.”

“The men and women of the U.S. Attorneys’ offices across the country work diligently, day in and day out, to see that the citizens of our nation receive justice. The money that we are able to recover for victims and this country as a whole is a direct result of their hard work,” Director James A. Crowell, IV, Executive Office for U.S. Attorneys.

U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.

The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights, or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, the Defense Health Agency, the Internal Revenue Service, the Small Business Administration, and the Department of Education. See below for MDFL significant civil case highlights.

 

CIVIL HEALTHCARE FRAUD ENFORCEMENT CASE SUMMARIES

United States ex rel. Nurkin v. Health Management Associates, Case no. 2:11-cv-14-FtM-29DNF

The former Chief Executive Officer of the Charlotte Regional Medical Center (CRMC) filed a qui tam case alleging that CRMC’s owner, Health Management Associates, Inc. (HMA), implemented a scheme to generate referrals of Medicare business to CRMC and to Peace River Medical Center in violation of the federal Anti‑Kickback and Stark statutes. Specifically, HMA offered referring physicians free office space, staff, equipment, and direct expense payments of $20,000 to $40,000 per month. During the investigation, the HMA hospital chain was purchased by a larger nationwide hospital chain based in Nashville, Tennessee, Community Health Services.

A nationwide investigation of HMA and its hospitals around the country ensued and led the Department of Justice to consolidate this case with eight other related qui tam cases that had been filed in other judicial districts. The nine overlapping qui tam cases were eventually consolidated in the District of Columbia for pretrial proceedings. 

A global resolution of the kickback allegations was finalized in September 2018 that paid the United States $143 million to address the claims in the Nurkin case as well as those raised in a separate qui tam case filed in the Eastern District of Pennsylvania. Of the total settlement amount, $93.5 million was allocated to the Middle District of Florida’s Nurkin case. It was the largest recovery of all nine of the consolidated cases against HMA. Community Health Services also entered into a non-prosecution agreement with the Department of Justice, Criminal Frauds Section that addresses allegations unrelated to the MDFL case.

Press release: https://www.justice.gov/opa/pr/hospital-chain-will-pay-over-260-million-resolve-false-billing-and-kickback-allegations-one

 

United States ex rel. Moore v. 21st Century Oncology, Inc., et al., Case no. 2:16-civ-99-FtM-29MRM

The relator in this case alleged that a nationwide oncology provider, 21st Century Oncology, had entered into illegal compensation agreements with physicians that paid incentives that violated federal law. During our investigation, the defendant also voluntarily disclosed that it had falsified reports to CMS to justify incentive payments under a Medicare program called the EHR Incentive Program.  Commercial pressures drove the defendant to seek bankruptcy protection. While the bankruptcy was pending, settlement discussions ensued to address the civil fraud claims, and resulted in an ability to pay agreement that will pay the United States $26 million.

Press release: https://www.justice.gov/opa/pr/21st-century-oncology-pay-26-million-settle-false-claims-act-allegations  

 

United States ex rel. Van Raalte, et al. v. Healogics, Inc., Case no. 6:14-civ-283-Orl-41KRS;

DAB United States ex rel. Wilcox v. Healogics, Inc., Case no. 6:15-civ-1510-Orl-41

Two overlapping qui tam cases were filed in Orlando against a Jacksonville based management consultant, Healogics, Inc., that provides management services to wound healing clinics owned by hospitals around the country. The relators were several wound healing physicians employed by a Healogics wound healing center, and a former management level employee of Healogics. The relators alleged that the defendant had caused the hospitals to submit false claims to federal health programs for medically unnecessary hyperbaric oxygen services and debridements, among other things. After a lengthy investigation, we opened settlement discussions that culminated in an ability to pay resolution that will pay up to $22.5 million to resolve all claims in the cases. 

Press release: https://www.justice.gov/opa/pr/healogics-agrees-pay-2251-million-settle-false-claims-act-liability-improper-billing

 

United States ex rel. Sharpe v. Americare Ambulance, Inc., Case no. 8:13-civ-1171-T-36AEP

The relator in this qui tam case was a former employee of the largest ambulance company in Hillsborough County who alleged that the defendant had submitted false claims to Medicare and TRICARE for up-coded patient transportation services. Our investigation corroborated the allegations but pre-intervention settlement discussions were not fruitful. We intervened in the case and after a year of litigation, we reached a settlement of the claims that paid the United States $5,496,816.

Press release: https://www.justice.gov/usao-mdfl/pr/tampa-s-largest-ambulance-providers-agree-pay-55-million-resolve-false-claims-act

 

United States ex rel. Gross v. James Norman, MD, PA et al., Case no. 8:14-civ-978-T-33EAJ

Patients of this Tampa thyroid surgeon, James Norman, MD, filed a qui tam complaint alleging that he had staged pre-surgery patient consultations to improperly circumvent Medicare’s reimbursement rules for thyroid surgery services. We determined that the practice was widespread among the defendant’s patients and constituted a violation of his participation agreement with Medicare. We reached an agreement that resolved the allegations under the False Claims Act in return for $4,070,800.

Press release: https://www.justice.gov/usao-mdfl/pr/owner-tampa-parathyroid-practice-agrees-pay-4-million-resolve-false-claims-act

 

United States ex rel. Simons v. North Central Florida Hospice, Inc., Case no. 3:16-civ-330-J-41JRK

A former employee of this Jacksonville, Florida based hospice provider (doing business as Haven Hospice, Inc.) alleged that the defendant had provided hospice services to Medicare patients who did not qualify for the service, and improperly billed Medicare for those services. A civil investigation corroborated this claim and led to an ability to pay settlement that paid $5,085,024 to the United States.

Press release: https://www.justice.gov/usao-mdfl/pr/united-states-settles-false-claims-allegations-against-haven-hospice-more-5-million

 

Trinity Medical Pharmacy, LLC

This was a direct referral from the TRICARE program that centered upon allegations that a New Port Richey based compounding pharmacy, Trinity Medical Pharmacy, and a handful of its executives had engaged in a variety of illegal practices designed to defraud the military’s health program. Trinity, its Chief Executive Officer Krutika Patel, its Chief Operating Officer Devan Patel, its National Sales Director Jay Martinez, and its National Account Director Nicholas Petrillo, implemented a variety of kickback schemes designed to incentivize overutilization of compounded pain creams. These kickback arrangements included bogus philanthropies, waiver of patient co-payments, and kickbacks to physicians in the guise of speaker programs and honoraria. The pharmacy also failed to disclose to the TRICARE program that Devan Patel was a convicted felon when it applied to become an authorized provider with the program’s pharmacy benefit manager, Express Scripts. Trinity and the four individual defendants ultimately agreed to pay $2,244,270 to resolve these civil claims.

Press release: https://www.justice.gov/usao-mdfl/pr/united-states-settles-false-claims-act-allegations-against-trinity-medical-pharmacy-and

 

United States ex rel. Sawicki v. Arthur Portnow, MD, et al., Case no. 8:15-civ-987-T-27MAP

An ultrasound technician alleged that her former employer – a Sarasota internist – had conducted medically unnecessary carotid and arterial ultrasound tests, and falsified patient records to justify those tests in claims to federal health programs.  A civil investigation corroborated these allegations and we resolved the claims in a settlement that paid $1.95 million to the United States. 

Press release: https://www.justice.gov/usao-mdfl/pr/sarasota-physician-agrees-pay-195-million-resolve-false-claims-act-allegations

 

United States ex rel. Loebl v. Eurogynecology Specialists of Florida, Inc., et al., Case no. 6:16-cv-1722-Orl-37KRS

A physician’s assistant, formerly employed by a large gynecology practice with multiple offices all over central Florida, filed a qui tam complaint alleging that the practice group had defrauded Medicare by improperly using a billing modifier in connection with certain gynecology services. The modifier justifies additional payment from government health programs when used in connection with “separate identifiable” services that cannot be bundled with an underlying service. Our investigation corroborated widespread billing improprieties involving this modifier code, and we negotiated a settlement resolving the civil claims in return for $1.7 million.

Press release: https://www.justice.gov/usao-mdfl/pr/fwc-urogynecology-llc-agrees-pay-17-million-settle-false-claims-act-liability-misuse

 

United States ex rel. Stone v. Riverside Spine and Pain Physicians, LLC, Case no. 8:16-civ-945-T-36EAJ

A Tampa pain management doctor filed a qui tam complaint alleging that her former employer, a large Jacksonville-based physicians group, had filed false claims to federal payors for unnecessary urine drug testing services. Our investigation corroborated these allegations and separately revealed that the practice group had accepted kickbacks from a nationwide urine drug-testing lab in the form of specimen cups. We negotiated a settlement of these civil claims for the total amount of $1,491,478.

Press release: https://www.justice.gov/usao-mdfl/pr/united-states-settles-false-claims-act-allegations-against-riverside-spine-pain

 

United States ex rel. Pelletier v. Liberty Ambulance Co., Case no. 3:11-civ-911-J-37JRK

A former employee of a Jacksonville ambulance company filed a qui tam complaint alleging that the defendant had submitted false claims to Medicare and other federal payors for up-coded patient transportation services. We settled these claims with other named defendants, but our negotiations with Liberty Ambulance broke down. We intervened in the case and after over a year of litigation, we reached an ability to pay settlement with Liberty wherein it agreed to pay $1.2 million to resolve all claims.

Press release: https://www.justice.gov/usao-mdfl/pr/united-states-settles-false-claims-act-allegations-against-liberty-ambulance-12-million

 

United States ex rel. Steppe v. RS Compounding, LLC and Renier Gobea, Case no. 8:13-cv-3150-T-33AEP

This qui tam case was filed by a former sales representative of a Tampa, Florida compounding pharmacy, RS Compounding d/b/a Westchase Pharmacy.  She alleged that the pharmacy and its owner, Renier Gobea, engaged in a number of schemes to defraud the military’s TRICARE health program. Notable of these was the pharmacy’s practice of billing compounded pain creams to TRICARE at rates that were astronomically higher than the rates the pharmacy charged to private insurers and cash-paying customers. This practice violated the TRICARE program’s reimbursement requirements and came at a time when the program was reeling from the impact of a vast network of fraud schemes underway around the country that involved illegal marketing of compounded pain creams. An investigation confirmed that the Westchase Pharmacy was charging TRICARE prices that were in excess of 2,000% higher than prices charged to private insurers for the same pain cream products. 

We intervened in the case in April 2017 and after a period of litigation, eventually resolved the allegations in the case against the pharmacy and Mr. Gobea in exchange for $1.2 million.

Press Release: https://www.justice.gov/usao-mdfl/pr/government-settles-12-million-lawsuit-against-florida-compounding-pharmacy-and-its   

Tampa, Florida – Miguel Dumeng Alvira (35, New York City) has pleaded guilty to conspiracy to distribute 400 grams or more of fentanyl, 100 grams or more of heroin, and cocaine; distributing 40 grams or more of fentanyl and 100 grams or more of heroin; and distributing 400 grams or more of fentanyl, 100 grams or more of heroin, and cocaine. Dumeng Alvira faces a minimum mandatory term of 10 years, and up to life, in federal prison. A sentencing date has not been set.

According to court documents, in April 2018, Dumeng Alvira and a co-conspirator gave approximately 124 grams of a mixture of fentanyl and heroin to a Drug Enforcement Administration confidential source in Tampa.

In June 2018, Dumeng Alvira met his co-conspirator in New York and gave him the following narcotics to distribute in Tampa: approximately 375 grams of fentanyl, approximately 470 grams of a mixture containing fentanyl and heroin, and approximately 487 grams of cocaine. DEA agents arrested the co-conspirator back in Tampa and seized those narcotics.

Following the co-conspirator’s arrest, Dumeng Alvira attempted to supply the DEA confidential source with additional narcotics to distribute in the Tampa area.  On October 12, 2018, DEA agents arrested Dumeng Alvira in Tampa with over half a kilogram of heroin and nearly $30,000 in cash.

This case was investigated by the Drug Enforcement Administration. It is being prosecuted by Assistant United States Attorney Taylor G. Stout.

 

Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Bruquanna Griffin (22, Jacksonville) to 5 years and 10 months in federal prison for stealing firearms and for conspiring to steal firearms from federally licensed firearms dealers. Griffin had pleaded guilty on March 12, 2018.

According to court documents, throughout the summer of 2017, Griffin and another individual worked together to steal firearms from at least three Jacksonville gun stores. At each location, a co-conspirator distracted the sales staff while Griffin snuck behind the counter to steal handguns. She stole as many as five guns from a single location. 

On August 23, 2017, Griffin was arrested after she attempted to leave a gun store with two stolen pistols in her purse. Initially, she provided a false name to the arresting officers. Eventually, Griffin admitted her involvement in the theft ring. She explained to the officers that, after she stole the firearms, her co-conspirator kept some of them, sold others, and traded others for drugs.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jacksonville Sherriff’s Office. It was prosecuted by Assistant United States Attorney Michael J. Coolican.

 

Fort Myers, FL – United States Attorney Maria Chapa Lopez announces that Survival Armor, Inc. has agreed to pay $900,000 to the United States to resolve allegations that it wrongfully obtained a five-year small business set-aside contract with the U.S. Department of Homeland Security by misrepresenting its company size.

To help provide a level playing field for small businesses, the government limits competition for certain contracts to small businesses. These contracts, called “Small Business Set-asides” (“SBSA”), help small businesses compete for and win federal contracts. To qualify for a SBSA contract to provide body armor, a company must (among other things) have no more than 500 employees, including employees of all its domestic and foreign affiliates.

Survival Armor is a manufacturer of ballistic products. Their principal manufacturing facility is located in Fort Myers. Following an investigation by the U.S. Department of Homeland Security – Office of Inspector General, and the U.S. Small Business Administration – Office of Inspector General, the United States alleged that Survival Armor misrepresented its status as a “small business concern” in order to obtain contracts to provide tactical body armor to the federal government.

Specifically, in November 2011, Survival Armor certified that it was a “small business concern” with less than 500 employees in order to be eligible to be awarded this SBSA contract. However, Survival Armor was at the time, and continues to be, merely a subsidiary of a foreign, large corporate parent company with well over 500 employees. As a result of the misrepresentation of its status, Survival Armor was able to obtain orders to provide tactical body armor to various federal law enforcement agencies for which it was ineligible. 

“The SBA’s special contracting programs are intended to promote economic growth and encourage the development of small businesses across the nation,” said U.S. Attorney Chapa Lopez. “Our resolve to protect these government programs and their intentions on behalf of the public are unwavering.”

“The Federal government has made continued efforts to provide contracting dollars to certified small businesses,” said Special Agent in Charge Jay H. Donly of the DHS OIG Miami Field Office. “When our investigation determined that the company did not qualify as a small business under the procurement guidelines, we appreciated the cooperation they gave to DHS OIG to bring this matter to today’s resolution.”

“Individuals that make intentional misrepresentations to gain access to federal contracts set aside for small businesses will be brought to justice,” said SBA-OIG Special Agent in Charge Kevin Kupperbusch. “This settlement sends a strong message that wrongdoing will find its way into the open, and those responsible will be held accountable. I want to thank the U.S. Attorney’s office and our law enforcement partners for their support and dedication to pursuing justice in this case.”

The investigation was handled by Assistant U.S. Attorney Kyle S. Cohen, with assistance from DHS-OIG and SBA-OIG.

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

Tampa, Florida – Senior U.S. District Judge Elizabeth Kovachevich has sentenced Charles Ruggiero (37, Tampa) to five years in federal prison for accessing an electronic device with the intent to view child pornography. Ruggiero had pleaded guilty on August 9, 2017.

According to court documents, in August 2016, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Tampa received two Cyber Tipline reports from the National Center for Missing and Exploited Children (NCMEC). The report stated that an individual, later determined to be Ruggiero, used a web-based communications platform to upload two voice recordings discussing engaging in sexually explicit conduct with his 11-year-old sister. HSI agents learned that Ruggiero is a convicted sex offender and, at the time of this offense, was also on federal supervised release for transporting and shipping child pornography.

HSI agents contacted Ruggiero’s probation officer and confirmed that the cellphone number that Ruggiero had provided to his probation officer was the same number that had been reported to NCMEC. Ruggiero admitted that he had been viewing child pornography on his girlfriend’s computer and cellphone for several months. A forensic analysis of the computer and cellphone revealed approximately 200 images depicting child pornography, including young children, and numerous internet search terms consistent with child exploitative material.

“This criminal continued to re-victimize young children by viewing images of child pornography,” said HSI Tampa Special Agent in Charge James C. Spero. “Now, thanks to our HSI Tampa special agents, he will be punished for his crimes.”

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Lisa M. Thelwell.

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Tampa, Florida – U.S. District Judge Mary S. Scriven has sentenced Joseph Deleon (33, Lake County) to 20 years in federal prison for commercial armed robbery and for brandishing a firearm while committing that robbery. Due to the seriousness of his criminal history and the violent nature of his robbery, he qualified for an increased penalty under the Armed Career Criminal Act. A jury found Deleon guilty on October 16, 2018.

According to testimony and evidence presented at trial, shortly after midnight on March 15, 2018, in St. Petersburg, Deleon pointed a gun at a cashier at a 7–11 store and demanded the contents from the cashier’s register. After obtaining approximately $100 and several packages of stamps, Deleon fled the scene. At the time of the offense, Deleon was a convicted felon. His prior convictions include molesting a child and dealing drugs. 

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the St. Petersburg Police Department. It was prosecuted by Assistant United States Attorneys Gregory T. Nolan and Thomas N. Palermo.

This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces the return of indictments charging Jacksonville residents Paul Berkins Moise, Joanna Arlean Tukes, and Schquan Antionette Shanks with aiding and assisting others with the filing of false tax returns. The indictments, which are unrelated, allege that each of the individuals owned and operated a tax preparation business in Jacksonville.

Moise is charged with 22 counts of filing false tax returns, Tukes is charged with 25 counts of filing false tax returns, and Shanks is charged in 21 counts of filing false tax returns and 3 counts of filing false personal income tax returns. Each count carries a maximum penalty of three years’ imprisonment. The United States also seeks restitution for the tax loss arising out of the alleged criminal conduct.

According to Moise’s indictment, between February 2013 and March 2017, Moise defrauded the IRS by filing returns for taxpayers in which he falsely claimed, among other things, that the taxpayers had incurred business expenses and unreimbursed employee expenses, had paid state and local sales taxes in an inflated amount, and had made gifts to charity in an inflated amount. The indictment specifically alleges the filing of 22 false returns on behalf of eight taxpayers for the tax years 2012 through 2016.

According to Tukes’s indictment, between February 2013 and March, 2017, Tukes defrauded the IRS by filing returns for taxpayers in which she falsely claimed, among other things, that the taxpayers had incurred business expenses and unreimbursed employee expenses, had incurred medical and dental expenses in an inflated amount, had paid state and local sales taxes in an inflated amount, and had made gifts to charity in an inflated amount. The indictment specifically alleges the filing of 25 false returns on behalf of nine taxpayers for the tax years 2012 through 2016. The indictment also alleges that Tukes significantly underreported the income she made from her tax preparation business, alleging that she made approximately $219,686 in 2013 but reported only $14,600, that she made approximately $294,049 in 2014 but reported only $10,500, and that she made approximately $465,855 in 2015 but reported only $50,540.

According to Shanks’s indictment, between February 2015, and February 2018, Shanks defrauded the IRS by filing returns for taxpayers in which she falsely claimed, among other things, that the taxpayers had incurred business expenses and had dependents for whom they could claim an exemption. The indictment specifically alleges the filing of 21 false returns on behalf of eight taxpayers for the tax years 2014 through 2017.

An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.

These cases were investigated by the Internal Revenue Service Criminal Investigation. They will be prosecuted by Assistant United States Attorney Arnold B. Corsmeier.

Jacksonville, Florida – United States Attorney Maria Chapa Lopez announced today the return of an indictment charging Douglas Scott Phillips (51, Richmond Hill, Georgia) with using the internet to attempt to entice a child to engage in sexual activity. Phillips faces a minimum mandatory penalty of 10 years, and up to life, in federal prison and a potential life term of supervised release. Phillips was arrested at his home in Georgia by the United States Marshals Service on February 14, 2019. He will be transported to Jacksonville for further proceedings.    

This case was investigated by the St. Johns County Sheriff’s Office, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Liberty County (GA) Sheriff’s Office, and the Bryan County (GA) Sheriff’s Office.  It is being prosecuted by Assistant United States Attorney D. Rodney Brown.

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Fort Myers, Florida – United States Attorney Maria Chapa Lopez announces that a federal jury today found Tommy N. Tracy (72, North Fort Myers) guilty of fraud in connection with a major disaster. Tracy faces a maximum penalty of 30 years in federal prison. His sentencing hearing is scheduled for May 13, 2019.

According to testimony and evidence presented at trial, on September 13, 2017, Tracy applied for Federal Emergency Management Agency (FEMA) assistance for a residence located at 18301 Slater Road in North Fort Myers.  He claimed that this was his primary residence, that he was living there at the time of the disaster, and that he did not own a rental property affected by the disaster. In fact, the property on Slater Road was not his primary residence, he was not residing there at the time of the disaster, and it was a rental property owned by him. Tracy fraudulently received over $24,000 in disaster assistance, including an additional six months of shelter assistance from FEMA.       

This case was investigated by the Department of Homeland Security – Office of Inspector General.  It is being prosecuted by Chief Assistant United States Attorney Jesus M. Casas and Assistant United States Attorney Trenton Reichling.

The Department of Justice announced today that Vital Life Institute LLC (formerly known as AgeVital Pharmacy LLC), located in Sarasota, Florida, and owners Jenny and William Wilkins have agreed to pay at least $775,000 to resolve claims that they violated the False Claims Act by engaging in an illegal kickback scheme to induce the referral of compounded drug prescriptions for TRICARE and Medicare beneficiaries.  AgeVital and the Wilkinses have agreed to pay additional amounts in the event certain contingencies are triggered. 

The settlement resolves allegations that AgeVital, at the direction of the Wilkinses, paid kickbacks to a third-party marketing company to solicit prospective patients for compounded drug prescriptions regardless of patient need.  The marketing company arranged for prescribers to sign those prescriptions, which were then referred to AgeVital to be filled.  The kickbacks to the marketing entity allegedly consisted of a substantial share of the pharmacy’s TRICARE and Medicare reimbursements.  The Anti-Kickback Statute prohibits, among other things, the knowing and willful payment of any remuneration to induce the referral of services or items that are paid for by a federal health care program.  Claims submitted to federal health care programs in violation of the Anti-Kickback Statute can subject the violator to liability under the False Claims Act.

“The Department will continue to hold accountable providers that pay illegal kickbacks to induce patient referrals,” said Assistant Attorney General Jody Hunt for the Department of Justice’s Civil Division.  “Kickback schemes undermine public trust in our health care system and lead to unnecessary health care costs at taxpayers’ expense.” 

“We will not tolerate those who profit at the expense of taxpayers by entering into illegal kickback arrangements,” said U.S. Attorney for the Middle District of Florida Maria Chapa Lopez.  “Our office is committed to holding individuals accountable for corporate malfeasance.”

“These prescriptions were ordered to increase profits, not improve the healthcare of patients. Healthcare providers who satiate their greed at the expense of the American taxpayer will not be tolerated,” said Shimon R. Richmond, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services (OIG).  “This settlement demonstrates the resolve of OIG and our law enforcement partners to root out fraud, waste, and abuse in our healthcare system.”

“I thank the Department of Justice and the U.S. Attorney for their efforts throughout this investigation,” said Vice Admiral Raquel Bono, director of the Defense Health Agency. “American service members, veterans, and their families appreciate that the Department of Justice works diligently to safeguard their health benefit. The Defense Health Agency continues to work closely with the Justice Department, and other state and federal agencies, to investigate all those who participate in fraudulent practices.”

The settlement resolves a lawsuit filed in federal court in Tampa, Florida, by Manfred Knopf, who allegedly received unwanted compounded medications from AgeVital that were billed to Medicare.  That lawsuit was filed under the qui tam or whistleblower provisions of the False Claims Act.  The Act permits private parties to bring a lawsuit on behalf of the United States for false claims and to share in any recovery.  Mr. Knopf will receive at least $139,500 of the settlement. 

The United States’ investigation of this matter was handled by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Middle District of Florida, the Federal Bureau of Investigation, the Defense Criminal Investigative Service, and the U.S. Department of Health and Human Services Office of Inspector General. 

The lawsuit is captioned United States ex rel. Knopf v. AgeVital Pharmacy, LLC et al., Case No. 8:15-cv-2591-T-36JSS (M.D. Fla.).  The claims resolved by the settlement are allegations only, and there has been no determination of liability. 

Tampa, FL – The Department of Justice announced today that Vital Life Institute LLC (formerly known as AgeVital Pharmacy LLC), located in Sarasota, Florida, and owners Jenny and William Wilkins have agreed to pay at least $775,000 to resolve claims that they violated the False Claims Act by engaging in an illegal kickback scheme to induce the referral of compounded drug prescriptions for TRICARE and Medicare beneficiaries.  AgeVital and the Wilkinses have agreed to pay additional amounts in the event certain contingencies are triggered. 

The settlement resolves allegations that AgeVital, at the direction of the Wilkinses, paid kickbacks to a third-party marketing company to solicit prospective patients for compounded drug prescriptions regardless of patient need.  The marketing company arranged for prescribers to sign those prescriptions, which were then referred to AgeVital to be filled.  The kickbacks to the marketing entity allegedly consisted of a substantial share of the pharmacy’s TRICARE and Medicare reimbursements.  The Anti-Kickback Statute prohibits, among other things, the knowing and willful payment of any remuneration to induce the referral of services or items that are paid for by a federal health care program.  Claims submitted to federal health care programs in violation of the Anti-Kickback Statute can subject the violator to liability under the False Claims Act.

“The Department will continue to hold accountable providers that pay illegal kickbacks to induce patient referrals,” said Assistant Attorney General Jody Hunt for the Department of Justice’s Civil Division.  “Kickback schemes undermine public trust in our health care system and lead to unnecessary health care costs at taxpayers’ expense.” 

“We will not tolerate those who profit at the expense of taxpayers by entering into illegal kickback arrangements,” said U.S. Attorney for the Middle District of Florida Maria Chapa Lopez.  “Our office is committed to holding individuals accountable for corporate malfeasance.”

“These prescriptions were ordered to increase profits, not improve the healthcare of patients. Healthcare providers who satiate their greed at the expense of the American taxpayer will not be tolerated,” said Shimon R. Richmond, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services (OIG).  “This settlement demonstrates the resolve of OIG and our law enforcement partners to root out fraud, waste, and abuse in our healthcare system.”

“I thank the Department of Justice and the U.S. Attorney for their efforts throughout this investigation,” said Vice Admiral Raquel Bono, director of the Defense Health Agency. “American service members, veterans, and their families appreciate that the Department of Justice works diligently to safeguard their health benefit. The Defense Health Agency continues to work closely with the Justice Department, and other state and federal agencies, to investigate all those who participate in fraudulent practices.”

The settlement resolves a lawsuit filed in federal court in Tampa, Florida, by Manfred Knopf, who allegedly received unwanted compounded medications from AgeVital that were billed to Medicare.  That lawsuit was filed under the qui tam or whistleblower provisions of the False Claims Act.  The Act permits private parties to bring a lawsuit on behalf of the United States for false claims and to share in any recovery.  Mr. Knopf will receive at least $139,500 of the settlement. 

The United States’ investigation of this matter was handled by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Middle District of Florida, the Federal Bureau of Investigation, the Defense Criminal Investigative Service, and the U.S. Department of Health and Human Services Office of Inspector General. 

The lawsuit is captioned United States ex rel. Knopf v. AgeVital Pharmacy, LLC et al., Case No. 8:15-cv-2591-T-36JSS (M.D. Fla.).  The claims resolved by the settlement are allegations only, and there has been no determination of liability. 

Orlando, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of an indictment charging Bryan L. Brewer (43, Winter Park) with six counts of wire fraud, four counts of bank fraud, and four counts of money laundering. If convicted, Brewer faces a maximum penalty of 20 years in federal prison for each wire fraud count, up to 30 years’ imprisonment for each bank fraud count, and up to 10 years in prison for each money laundering count.

According to the indictment and information presented in court, Brewer engaged in two fraudulent schemes totaling more than $8 million. In one scheme, Brewer solicited an individual to invest in a company that manufactured paddleboards by the name of USBoardco (also known as WatersEdge). As part of the scheme, Brewer sent the victim copies of bank statements, tax returns, and other financial documents that had been falsified to inflate the sales, profits, income, and bank account balance for the company. In reliance upon those and other misrepresentations, the victim invested over $1 million.

The second scheme involved real estate located in Seminole County, wherein an individual loaned over $4 million to assist Brewer in the purchase of the property in 2012. In return, that individual obtained a mortgage on the property. Brewer later requested a bank to lend money to one of his companies, with the understanding that it would be secured by a mortgage on the same property that was already mortgaged.  To induce the bank to make the loan, Brewer set up a false email account for the individual, who had loaned the money in 2012, which was then used to send the bank a forged letter falsely promising that the individual would release his mortgage for $3.5 million. Relying upon that letter and other misrepresentations, the bank loaned one of Brewer’s companies more than $7 million. 

An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.

This case was investigated by the FBI and the Internal Revenue Service – Criminal Investigation. It will be prosecuted by Assistant United States Attorney Roger B. Handberg.

 

Tampa, Florida – U.S. District Judge William F. Jung has sentenced Steven Weaver, II (38, Tampa) to 15 years in federal prison for possessing a firearm as a convicted felon. Weaver had pleaded guilty on November 1, 2018.

According to court documents, over the course of several months, Weaver sold undercover agents cocaine, ammunition, and at least 11 firearms. Weaver had reason to believe that the firearms would be trafficked to and resold in other markets, including New York City. Weaver’s criminal history includes cocaine trafficking, aggravated battery with a deadly weapon, and other firearm-related offenses. 

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Frank Murray.

This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Tampa, Florida – Jauwan Smith (22, Tampa) has pleaded guilty to possessing a firearm as a convicted felon. He faces a maximum penalty of 10 years in federal prison. His sentencing date has not yet been set.

According to the facts presented at the plea hearing, on the evening of March 6, 2018, officers from the Tampa Police Department observed Smith walking near Chelsea Street and 25th Street North in Tampa. When the officers approached Smith and engaged him in conversation, he admitted that he was armed with a gun. The officers then found a loaded 7.56 mm caliber pistol, containing seven rounds of ammunition, in his waistband.

In 2014, in Hillsborough County, Smith was convicted of felony offenses, including armed robbery and being a felon in possession of a firearm. As a result, he is prohibited from possessing a firearm or ammunition.

This case was investigated by the FBI and the Tampa Police Department. It is being prosecuted by Assistant United States Attorney Jay L. Hoffer.

This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.  In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Tampa, Florida – U.S. District Judge Steven Merryday has sentenced Lisa McLaren Janick (48, Port Charlotte) to 16 months in federal prison for healthcare fraud.

According to court records, while employed as a marketer at a home health agency, Janick falsified documents relating to patients from her husband’s medical office and created referrals for these patients to receive home health services from her employer, when Janick knew that the patients were not entitled to such services.

Janick’s husband, Dr. John Janick (73, Port Charlotte), was previously sentenced to five months in prison for obstruction of a federal audit.

This case was investigated by FBI and the U.S. Department of Health and Human Services – Office of Inspector General. It was prosecuted by Assistant United States Attorney Rachel Jones.

Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. has sentenced Cedrick Antwain Gant (28, Orlando) to 23 years in federal prison for carjacking and brandishing a semiautomatic assault weapon during an attempted carjacking. Gant had pleaded guilty on June 28, 2018.

According to court documents, on September 25, 2017, Gant, brandishing a loaded semiautomatic assault rifle, approached an individual as they drove into their driveway at a home in Eustis. As the victim exited the vehicle, Gant demanded the victim’s keys and wallet. Gant then unsuccessfully attempted to carjack the victim’s vehicle. 

Approximately an hour later, as another individual exited their vehicle at a home in Apopka, Gant approached the individual brandishing the same semiautomatic assault rifle and demanded that the victim drop their keys. In fear for their life, the victim threw the car keys to the ground, ran away, and called 911. Gant then drove off with the vehicle and attempted to flee from law enforcement in a subsequent car chase. Officers were successful in stopping the vehicle in the area of US 441 and Roger Williams Road, but Gant fled on foot and entered a residence occupied by a third victim and demanded a change of clothes and to use a telephone. After securing the third victim’s residence, law enforcement officers located Gant hiding in a wooded area behind the home.

This case was investigated by the FBI, the Apopka Police Department, and the Eustis Police Department. It was prosecuted by Assistant United States Attorney Sean P. Shecter.

Fort Myers, FL – U.S. District Judge Sheri Polster Chappell today sentenced Dr. Michael Frey (46, Fort Myers) to 18 months in federal prison for conspiracy to receive healthcare kickbacks. Frey had pleaded guilty in June 2018. In addition to his guilty plea, Frey previously agreed to a civil settlement in which he will pay $2.8 million to the United States to resolve allegations that he violated the False Claims Act in a number of ways, including receiving illegal kickbacks and by ordering medically unnecessary laboratory tests.

During the time of the conspiracy, Frey was a practicing interventional pain management specialist and one of the two principal owners of Advanced Pain Management Specialists, P.A., which is located in Fort Myers.

According to the plea agreement, beginning in 2010, Frey conspired with the owners of A&G Spinal Solutions, LLC, a durable medical equipment provider operating in Fort Myers, to receive compensation in exchange for referrals to A&G Spinal. Frey was paid a percentage of A&G Spinal’s profits based on his referrals and the referrals from other Advanced Pain providers. A&G Spinal compensated Frey through checks made payable to his wife. Through this arrangement, A&G Spinal created the impression that Mrs. Frey was an employee of A&G Spinal, when she was not.

The two principals of A&G Spinal, Ryan Williamson and William Pierce, previously pleaded guilty and have been sentenced to one year and nine months in prison, respectively, for conspiring to pay healthcare kickbacks to Frey. 

In addition, from 2013 to 2015, Frey also received cash payments from Ryan Williamson in exchange for referrals of compound pharmaceutical pain cream prescriptions.

In his plea agreement, Frey also admitted that he had received kickbacks in the form of “speaker fees” paid to him in connection with his participation in largely bogus Insys Therapeutics, Inc. speaker event programs. Insys manufactures a fentanyl sublingual spray known as SUBSYS. Insys paid kickbacks to Frey to induce him to write prescriptions for their product.   

“This sentencing of a medical provider who defrauded the Department of Defense TRICARE program should serve as a stern warning to any medical practitioners who believe they can get away with schemes to waste and divert precious taxpayer dollars for their personal gain,” said Special Agent in Charge John F. Khin, Southeast Field Office, Defense Criminal Investigative Service.  “DCIS continues to protect the integrity of all critical DoD programs by aggressively investigating those who violate the law, and bringing them to justice.”

“Dr. Frey allowed bribes and greed to guide his decision making instead of his obligation to his patients,” said Shimon R. Richmond, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “Today’s sentencing demonstrates that the OIG and our partners will hold accountable those intent on fraudulently lining their own pockets with precious tax dollars from government health care programs.”

This case was prosecuted by Assistant United States Attorneys Simon Eth and Rachel K. Jones, with assistance from the Defense Criminal Investigative Service, the U.S. Department of Health and Human Services–Office of Inspector General, and the U.S. Postal Service–Office of Inspector General.

Today’s resolution illustrates the government’s commitment to combating improper practices that implicate the nation’s federally subsidized health care programs, using all statutory and common law remedies available to address such schemes. Tips from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477). The claims resolved by the civil settlement are allegations only, and there has been no determination of liability. 

 

 

 

Jacksonville, Florida – U.S. District Judge Harvey S. Schlesinger has sentenced Gloria Wiley (73, Danville, KY) to one year and one day in federal prison for failing to refund federal student aid money, commonly referred to as Stafford Loans and Pell Grants. The court also ordered Wiley to pay $288,875.92 in restitution to former students of Stenotype Institute, the U.S. Department of Education, and the U.S. Department of Veterans Affairs. Wiley had pleaded guilty on November 13, 2018. 

According to court documents, Wiley was the owner of Stenotype Institute of Jacksonville, Inc.—a Jacksonville-based stenography school that provided professional education to individuals pursuing stenography careers, including court reporting and medical transcription. Stenotype was authorized to receive federal student aid funds from the U.S. Department of Education on behalf of its students to cover tuition, fees, and living expense stipends. Excess funds drawn on behalf of students were required to be refunded to the U.S. Department of Education or to the student within 45 days.

Beginning in June 2015, instead of refunding the excess funds, Stenotype began tracking the amounts owed in a spreadsheet. Meanwhile, Wiley continued to draw funds from the school for personal use. In total, Wiley and Stenotype held approximately $290,000 in refunds due to the U.S. Department of Education and to former students, and $9,000 due to the Department of Veterans Affairs, none of which have ever been paid. Stenotype ceased operations in March 2016, shortly after a program review by the U.S. Department of Education.

This case was investigated by the U.S. Department of Education – Office of Inspector General and the U.S. Department of Veterans Affairs – Office of Inspector General. It was prosecuted by Assistant United States Laura Cofer Taylor.

Ocala, Florida – German De Jesus Ventura (40, Sumter County) has pleaded guilty to one count of assault with a dangerous weapon with intent to inflict bodily harm. He faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set. Ventura is currently serving a federal sentence for a sex trafficking conviction in the District of Maryland.

According to court documents, Ventura was an inmate at the Coleman Federal Correctional Complex in Florida, when in August 2017, he repeatedly struck another inmate in the back of the head with a homemade weapon consisting of a solid metal plate attached to a lanyard. The victim suffered a large head wound, two depressed skull fractures, and significant blood loss. A correctional officer who witnessed the assault quickly apprehended Ventura as he attempted to discard the weapon and run away from the incident scene.           

This case was investigated by the FBI – Ocala Resident Agency and the Federal Bureau of Prisons. It is being prosecuted by Assistant United States Attorney William S. Hamilton.

Tampa, Florida – Dr. Charles Gerardi (76, Dunedin) has pleaded guilty to obstructing a Medicare audit. He faces a maximum penalty of 5 years in federal prison. A sentencing date has not yet been set.

According to the plea agreement, in 2012, a federal Medicare auditor performed an audit of Gerardi’s employer related to 350 claims, and more than 2,300 individual services that Gerardi had purportedly performed. In response to the audit request, Gerardi provided the auditor with a series of fabricated records, which were designed to fraudulently support the medical necessity of the claims. Gerardi knew that the claims under review were not otherwise supportable, and fabricated the records for the purpose of impeding the auditor's performance of the audit.

This case was investigated by the U.S. Department of Health and Human Services – Office of Inspector General. It is being prosecuted by Assistant United States Attorney Rachel Jones.

Orlando, Florida– Juan Alberto Flores-Jimenez (34, Tamaulipas, Mexico), a/k/a Juan Cantu, a/k/a Stoner, today pleaded guilty to conspiring to possess with the intent to distribute 50 grams or more of methamphetamine. He faces a maximum penalty of life in federal prison. Flores-Jimenez is the eighteenth person to plead guilty as a result of a joint FBI and DEA investigation into drug trafficking organizations that supplied motorcycle clubs, including the Pagans Motorcycle Club, with distribution amounts of methamphetamine.

According to the plea agreement, Flores-Jimenez, an alien residing illegally within the United States, was the leader of a drug-trafficking-organization (DTO) distributing kilogram amounts of methamphetamine from Georgia to other DTOs located in central Florida. Flores-Jimenez obtained large amounts of methamphetamine from a DTO operating in Georgia. In some instances, members of different Florida-based DTOs traveled to Georgia to pick up large amounts of methamphetamine from the Flores-Jimenez DTO for further distribution in Florida. In other instances, runners associated with the Flores-Jimenez DTO transported large amounts of methamphetamine from Georgia to locations in Jacksonville and Daytona Beach. Members of the Flores-Jimenez DTO delivered the methamphetamine to individuals, who then further distributed the drugs to different groups and individuals in central Florida. Between April 2017 and September 13, 2018, Flores-Jimenez was responsible for distributing at least 4.5 kilograms of methamphetamine in the Middle District of Florida.

Flores-Jimenez, a native and citizen of Mexico, was ordered removed/deported from the United States in 2014 and 2015. On September 13, 2018, law enforcement arrested Flores-Jimenez and charged him will illegal reentry into the United States, after being previously removed. On January 2, 2019, in a separate case, he pleaded guilty to that charge. 

This case was investigated by the FBI, the DEA, the Volusia Bureau of Investigation, the Volusia County Sheriff’s Office, and the Daytona Beach Police Department. It is being prosecuted by Assistant United States Attorney Sean P. Shecter.

Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced Christine Alyce Slayman (28, Jacksonville) to 40 years in federal prison for producing child pornography. Slayman was ordered to serve a life term of supervision, following her release from prison. She had pleaded guilty to two counts of producing child pornography on August 30, 2018.

According to court documents, over a several month period in 2015, Slayman sexually abused a 6-year-old child in King William, Virginia. She recorded the abuse using her cellphone. The Jacksonville Sheriff’s Office found the videos in Slayman’s Jacksonville home, after receiving a tip. Slayman had filmed herself engaged in sexual activity with the child, which included Slayman directing the child to engage in sex acts. Federal agents located 18 different video files of Slayman sexually abusing the child.

“While today’s sentencing marks an end to the investigation and prosecution of this criminal, it is important to remember that a child will carry the scars of this crime for their lifetime,” said HSI Tampa Special Agent in Charge James C. Spero.

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Kelly S. Karase and Ashley Washington.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

 

 

Tampa, Florida – Senior U.S. District Judge James Moody, Jr. today sentenced Taurence Creary (47, Tampa) to five years in federal prison for conspiracy, receipt of stolen government property, and aggravated identity theft. Creary had pleaded guilty on April 5, 2018.

According to court documents, Creary obtained a number of genuine federal tax refund checks that had been stolen en route to the intended taxpayers, who were identity theft victims living in the Middle District of Florida. Creary and others then sold or attempted to sell the checks to third parties. The U.S. Department of Treasury tax refund checks ranged in amounts from $4,000 to more than $100,000, with an aggregate value of over $398,000.

On May 10, 2018, U.S. District Judge Mary S. Scriven sentenced Xavier Williams, Creary’s co-conspirator, to three years in federal prison for his role in the scheme.     

This case was investigated by the Internal Revenue Service - Criminal Investigation. It was prosecuted by Assistant United States Attorneys Rachel K. Jones and Eric K. Gerard.

Orlando, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of a

16-count indictment  charging Deborah Pierre (31, Haines City), Billy Altidor (28, Wellington), and Evanie Louis (26, Wellington) with conspiracy to commit theft of government property, theft of government property, and aggravated identity theft. Each faces a maximum penalty of 10 years in federal prison for each theft charge, 5 years’ imprisonment on each conspiracy charge, and a minimum mandatory consecutive penalty of 2 years for the aggravated identity theft charge. The indictment also notifies the individuals that the United States is seeking a money judgment of $91,749.30, the proceeds of the alleged conspiracy.

According to the indictment, Louis and Altidor conspired among themselves, and with others, to commit stolen identity refund fraud. The conspirators used stolen identities to file false tax returns and then directed the fraudulently obtained tax refunds to be deposited into accounts that they controlled. In addition, they activated debit cards and bank accounts using the stolen identities and received the fraudulently claimed tax refunds in those accounts.

Louis, Alitdor, and Pierre also conspired among themselves, and with others, to use stolen identities to access the MySocialSecurity system and redirect Social Security benefit payments to accounts controlled by the conspirators.

An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.

This case was investigated by the Social Security Administration – Office of the Inspector General, the Internal Revenue Service – Criminal Investigation, and the Department of the Treasury Office of the Inspector General. It will be prosecuted by Special Assistant United States Attorney Suzanne Huyler.

Orlando, FL – United States Attorney Maria Chapa Lopez announces today that Dr. Craig D. Fishman and Dr. Jeffrey A. Sheridan have agreed to pay the United States a combined total of $157,312.32 to resolve allegations that they violated the False Claims Act by knowingly billing the government for mutually exclusive eyelid repair surgeries. Dr. Fishman and Dr. Sheridan are ophthalmologists who operate Fishman & Sheridan Eye Care Specialists.

The settlement relates to Dr. Fishman and Dr. Sheridan’s billing of two procedures, blepharoplasty and ptosis. Medicare identifies these procedures as mutually exclusive eyelid repair surgeries that usually should not be billed simultaneously. According to the settlement agreement, from April 11, 2011, through March 31, 2017, Dr. Fishman and Dr. Sheridan each regularly billed for simultaneously performing blepharoplasty and ptosis on patients and submitted those claims to the United States for reimbursement. 

“Protecting Medicare and other federal health care programs from fraud is a priority of the U.S. Attorney’s Office,” said U.S. Attorney Maria Chapa Lopez. “This settlement highlights our commitment to identifying doctors who do not follow the law.”

“Improperly billing for services to increase revenue burdens our healthcare system,” said Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services’ Office of Inspector General (HHS-OIG). “Our agency will continue to investigate health care providers that seek to illegally boost profits at the expense of federal health care programs.”

The settlement concludes a lawsuit originally filed in the United States District Court for the Middle District of Florida by two whistleblowers—Dr. Michael Pennachio, a former partner of Drs. Fishman and Sheridan, and Sharon Drake, their former office manager. Dr. Pennachio and Ms. Drake sued under the qui tam, or whistleblower, provisions of the False Claims Act permitting private citizens to sue on behalf of the United States for false claims and to share in the recovery. The Act also allows the United States to intervene and prosecute the action. Dr. Pennachio and Ms. Drake will receive $26,000 of the proceeds from the settlement with Dr. Fishman and Dr. Sheridan.

This settlement resulted from an investigation coordinated by Assistant U.S. Attorney Jeremy R. Bloor, with assistance from the U.S. Department of Health and Human Services Office of Inspector General.

The government’s action in this matter illustrates the emphasis on combating health care fraud, and one of the most powerful tools in this effort is the False Claims Act. Tips from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).

The case is captioned United States ex rel. Michael Pennachio, M.D. and Sharon Drake v. Craig D. Fishman, M.D., and Jeffrey A. Sheridan, M.D., Case No. 5:17-cv-152-OC-34PRL. The settlement resolves the United States’ claims in that case. The claims resolved by the settlement are allegations only, and there has been no determination of liability.

 

Orlando, Florida – United States Attorney Maria Chapa Lopez announces guilty pleas by the following individuals in four separate cases:

United States v. Barbara Caylor-Hernandez et al., Case No. 6:18-cr-184-Orl-37TBS

Name Age/City Date of Plea Pleaded Guilty to the Following Charge

Barbara Caylor-Hernandez

  a/k/a “Barb”

  a/k/a “Barbie”

47, Ormond Beach

1/9/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Ramiro Fraire-Chavarria

44, Dalton, GA

1/29/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Michael Babin

47, Daytona Beach

1/20/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Melanie Kerr

28, Daytona Beach

1/30/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Keith Simmons

41, Oak Hill

1/16/2019

Conspiracy to distribute 50 grams or more of methamphetamine and distribution of 50 or more grams of methamphetamine.

Carla Ray

51, Oak Hill

1/29/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Spencer Burkard

49, New Smyrna Beach

1/31/2019

Conspiracy to distribute 50 grams or more of methamphetamine and distribution of 50 or more grams of methamphetamine.

Robert Foster

357, St. Augustine

1/24/2019

Conspiracy to distribute 50 grams or more of methamphetamine and distribution of 50 or more grams of methamphetamine.

Daniel Barbarino

54, Daytona Beach

1/28/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Andrew Shettler

  a/k/a “Yeti”

33, Palm Coast

1/30/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Brian Burt

  a/k/a “Sledge”

47, Port Orange

1/16/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Lawrence Sann

55, Bunnell

1/25/2019

Conspiracy to distribute 5 grams or more of methamphetamine.

 United States v. Keith Kirchoff et al., Case No. 6:18-cr-183-Orl-37DCI

Name Age/City Date of Plea Pleaded Guilty to the Following Charge

Andrew Shettler

  a/k/a “Yeti”

33, Palm Coast

1/30/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Michael Andrews

  a/k/a “Clutch”

33, Palm Coast

1/29/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

 United States v. Cindy Bledsoe et al., Case No. 6:18-cr-182-Orl-37KRS

Name Age/City Date of Plea Pleaded Guilty to the Following Charge

Jason Stringer

38, Daytona Beach

1/29/2019

Conspiracy to distribute 5 grams or more of methamphetamine.

Michael Andrews

  a/k/a “Clutch”

33, Palm Coast

1/29/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

United States v. Salvador Rivas et al., Case No 6:18-cr-213-Orl-37TBS

Name Age/City Date of Plea Pleaded Guilty to the Following Charge

Salvador Rivas

  a/k/a “Shadow”

29, Jacksonville

1/31/2019

Conspiracy to distribute 5 grams or more of methamphetamine.

Melissa Ford

35, Daytona Beach

1/28/2019

Conspiracy to distribute 50 grams or more of methamphetamine and distribution of 50 or more grams of methamphetamine.

Theodore Bilski

53, Daytona Beach

1/29/2019

Conspiracy to distribute 50 grams or more of methamphetamine.

Caylor-Hernandez, Fraire-Chavarria, Babin, Kerr, Simmons, Ray, Burkard, Foster, Barbarino, Burt, Shettler , Andrews, Rivas, Ford, and Bilski each face a maximum penalty of life in federal prison. Sann and Stringer each face a maximum penalty of 40 years in federal prison. A sentencing date has not yet been set.

According to court documents, in April 2017, the FBI, and later the DEA, began an investigation into the drug trafficking organizations (DTO) that had supplied motorcycle clubs, including the Pagans Motorcycle Club, operating in the Middle District of Florida with distribution amounts of methamphetamine.

During the investigation, law enforcement learned that Caylor-Hernandez was one of the leaders of a DTO distributing kilogram amounts of methamphetamine to other DTOs and individuals located in central Florida. Members of the Caylor-Hernandez DTO transported methamphetamine from Georgia to various cities in central Florida, including St. Augustine, Holly Hill, and Daytona Beach, for further distribution.

One of the members of the Caylor-Hernandez DTO, Kerr, then distributed the methamphetamine to Burt and Shettler. At the time, Burt was a member of the Pagans’ Mother Chapter, a group of 13 members that direct the Pagans’ criminal activities throughout the United States. Shettler was a member of the Thunderguards Motorcycle Club, a club affiliated with the Pagans.  

Law enforcement also learned that Andrews, who was the sergeant-at-arms or enforcer for the local Pagans’ chapter located in Daytona Beach, received distribution amounts of methamphetamine from several sources, including a DTO operating in both Georgia and central Florida. That DTO transported large amounts of methamphetamine from Georgia to central Florida for further distribution.

These cases were investigated by the FBI, DEA, the Volusia Bureau of Investigation, the Volusia County Sheriff’s Office, and the Daytona Beach Police Department. It is being prosecuted by Assistant United States Attorney Sean P. Shecter.