Middle District of Florida

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that five individuals have pleaded guilty to conspiring to distribute heroin. Edward McKenzie (40, Tampa), George Perdigon, A/K/A “Lee,” (48, Tampa), and Jesse Greer, A/K/A “Alex,” (40, Tampa) each face a mandatory minimum sentence of 5, up to 40 years, in federal prison. Michael Regan (40, Sun City Center) faces a maximum penalty of 20 years’ imprisonment. Gregory Phelps (61, Tampa) faces a mandatory minimum penalty of 10 years, up to life, in federal prison, and has agreed to forfeit the property located at 3608 West Oklahoma Avenue in Tampa that had been used by the defendants to facilitate and further the conspiracy.

According to the plea agreements, the individuals were part of a drug trafficking organization operating in South Tampa that transported heroin from New York City. The co-conspirators used the residence on West Oklahoma Avenue to store and distribute the heroin. Purchasers also used heroin at the home. 

During the investigation, undercover detectives from the Tampa Police Department purchased heroin from the co-conspirators. Controlled purchases were also arranged through a confidential source. The investigation culminated during a traffic stop of McKenzie and Perdigon on April 22, 2016, during which solid heroin and hundreds of baggies of heroin packaged for distribution were seized.

This case was investigated by the Tampa Police Department and the Drug Enforcement Administration. It is being prosecuted by Assistant United States Attorney Dan Baeza.

Tampa, FL – Chief United States District Court judge Steven D. Merryday today sentenced James Patrick Manning (25, Tampa) to 10 years in federal prison for the attempted sex trafficking of a child. Manning was indicted on March 29, 2016.

According to court documents, Manning responded to an advertisement that had been posted on Backpage.com by Homeland Security Investigations and sent several text messages to an undercover law enforcement officer stating that he wanted to have sex with a 14-year-old girl. After negotiating the price, Manning drove to the designated location, met with an undercover agent, and paid to have sex with the 14-year-old girl.

“This sentencing sets a new precedence aimed at the demand for child sex trafficking, or ‘johns,’” said Susan L. McCormick, special agent in charge of HSI Tampa.  “These criminals will be investigated and prosecuted to the fullest extent of the law.”

This case was investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Stacie B. Harris.

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.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces that James Long (44, Brevard County) today pleaded guilty to conspiracy to commit money laundering. He faces a maximum penalty of 20 years in federal prison.

According to the plea agreement, between 2010 and June 2013, Long and others used the Professional Pain Center located at 860 East State Road 434 in Longwood to conspire and to cause the distribution and dispensation of controlled substances outside the usual course of professional practice and for no legitimate medical purpose.

Long, as president and owner of the clinic, employed approximately 10 physicians who were willing to write unlawful and invalid prescriptions for Schedule II and Schedule III controlled substances. Long admitted that doctors working for his clinic engaged in a repeated pattern of issuing prescriptions for controlled substances without a legitimate medical reason, outside the usual course of professional practice. According to the plea agreement, any reasonably prudent physician would not issue such prescriptions for controlled substances in the quantity and combinations prescribed because of the danger of overdose and death coupled with the likelihood of diversion. 

Long and his conspirators conducted financial transactions involving the drug proceeds. As a result, Long has agreed to forfeit numerous assets that he obtained directly from or are traceable to the unlawful operation of the clinic.

This case was investigated by the Drug Enforcement Administration. It is being prosecuted by Assistant United States Attorney Ilianys Rivera Miranda.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury has found Donna Demps guilty of wire fraud and aggravated identity theft.  She faces a maximum penalty of 20 years in federal prison. Her sentencing hearing is scheduled for February 3, 2017.

According to testimony and evidence presented at trial, Demps formed the Florida corporation “D&D Honest Relieable [sic] Tax Services LLC.” She then used the corporation to open bank accounts into which she electronically transferred tax refunds obtained by stealing the identities of real people, many of whom were veterans, disabled, elderly, or otherwise unable to care for themselves. Demps never registered her tax preparation service with the Internal Revenue Service since she would have had to reveal that she was an eight-time convicted felon. Through her bank accounts, Demps stole more than $120,000 over a one-year period.

This case was investigated by the Internal Revenue Service - Criminal Investigation and the United States Secret Service. It is being prosecuted by Assistant United States Attorney Thomas N. Palermo and Kristen A. Fiore.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that Jesus A. Barrera Guerrero (18, La Porte, Texas) today pleaded guilty to conspiracy to possess with intent to distribute 5 kilograms or more of cocaine and 500 grams or more of methamphetamine.  He faces a minimum mandatory penalty of 10 years, up to life, in federal prison.

According to the plea agreement, in August 2016, at the direction of members of a large drug trafficking organization (DTO), Barrera Guerrero delivered approximately 11 kilograms of methamphetamine to an undercover DEA agent at a gas station in Gibsonton. Barrera Guerrero was arrested following the transaction, and he later led law enforcement investigators to a nearby drug stash house where he had been staying. Inside the house, DEA agents found nearly 13 additional kilograms of methamphetamine and approximately 11 kilograms of cocaine.

This case was the result of a comprehensive and dedicated effort by the Drug Enforcement Administration and the Bradenton Police Department, as part of an on-going Organized Crime Drug Enforcement Task Force (OCDETF) investigation. 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. It is being prosecuted by Assistant United States Attorney Taylor G. Stout.

The owner of a Tampa, Florida, home health agency was convicted by a federal jury for her participation in a multimillion-dollar health care fraud and money laundering scheme. 

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney A. Lee Bentley III of the Middle District of Florida, Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services-Office of Inspector General’s (HHS-OIG) Miami Regional Office and Special Agent in Charge Paul Wysopal of the FBI’s Tampa Field Office made the announcement.

Pilar Garcia Lorenzo (Garcia), 38, of Tampa, the owner of Gold Care Home Health Services Inc. (Gold Care), was convicted late yesterday of one count each of conspiracy to commit health care fraud and wire fraud, conspiracy to commit money laundering and money laundering following a jury trial before U.S. District Judge Charlene Edwards Honeywell of the Middle District of Florida.  Sentencing has been scheduled for Jan. 5, 2017.

According to evidence presented at trial, in late summer 2014 Gold Care submitted millions of dollars’ worth of false and fraudulent claims to Medicare.  The claims were for home health services that had never been provided and had not been legitimately prescribed by a physician.  As a result of those false and fraudulent claims, Medicare reimbursed Gold Care approximately $2.5 million.  Garcia used a “straw” or nominee owner in an effort to execute and conceal the fraudulent scheme, the evidence showed.  Approximately $2 million of the fraud proceeds her company received were laundered in cash transactions through fictitious shell companies located in Hialeah, Florida. 

HHS-OIG and FBI investigated the case, which was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and U.S. Attorney’s Office of the Middle District of Florida.  This case is being prosecuted by Senior Trial Attorney Christopher J. Hunter and Trial Attorney Angela Adams of the Fraud Section.

Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged over 2,900 defendants who collectively have billed the Medicare program for over $10 billion.  In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to www.stopmedicarefraud.gov.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that Mazie Hill (50, Sarasota) has pleaded guilty to one count of conspiracy to commit theft of government property and identity theft. She faces a maximum penalty of five years in federal prison. A sentencing date has not yet been set.

According to the plea agreement, Hill and others processed debit and credit cards in other people’s names containing tax refunds generated by fraudulent tax returns through a Square, Inc. account. Square, Inc. is a merchant processor that provides terminals to businesses to process credit and debit card payments. Hill and others set up the merchant accounts related to a restaurant located in the Middle District of Florida where Hill worked. The accounts were supposed to be used to process payments for restaurant and bar services only. Instead, they were used to process credit and debit card transactions for both legitimate restaurant-related sales and for tax fraud transactions using prepaid debit cards such as Green Dot. After the payments were processed, Square, Inc. electronically transferred the funds to Hill’s bank account and to the accounts of others, where the proceeds were shared and used for personal items.

The Green Dot cards containing fraudulent tax refunds were brought to Hill at the restaurant by others. Often, Hill and her co-conspirators would swipe the cards in declining amounts until a transaction was accepted. Between August and November 2012, Hill conducted 115 successful transactions with Green Dot cards had been funded with false tax refunds, in the amount of nearly $90,000. Almost $55,000 in transactions were declined.

This case was investigated by the Internal Revenue Service - Criminal Investigation. It is being prosecuted by Assistant United States Attorney Kelley C. Howard-Allen.

Tampa, Florida – United States District Judge Virginia Covington today sentenced Ledale Johnson (51, Bradenton) to four years and three months in federal prison on charges relating to tax refund fraud and identity theft. He also was ordered to pay restitution in the amount of $57,415 to the Internal Revenue Service.

According to the plea agreement and court documents, Johnson conspired with others in a scheme involving the filing of false tax returns that generated tax refunds, which were then downloaded onto prepaid debit cards in other people’s names, including deceased individuals. On several dates from October 2011 through March 2012, Johnson possessed and used unauthorized and counterfeit debit cards that had been loaded with fraudulent tax refunds. Funds from these fraudulent tax returns were withdrawn by Johnson at local ATMs, used to purchase money orders, or otherwise spent at local merchants on personal items. On two separate occasions, Johnson was found to be in possession of numerous fraudulent cards during traffic stops by law enforcement.

Attempts were made to file fraudulent income tax returns seeking refunds of more than $250,000, with nearly $58,000 obtained in fraudulent tax refunds.

This case was investigated by the Manatee County Sheriff’s Office, the Bradenton Police Department, and the Internal Revenue Service - Criminal Investigation. It was prosecuted by Assistant United States Attorney Kelley C. Howard-Allen. This case is part of an ongoing initiative dedicated to combating the growing problem of identity theft and the fraudulent filing of electronic tax claims.

Tampa, Florida – U.S. District Judge James D. Whittemore today sentenced Michael Johnson (56, Odessa) to 18 months in federal prison for embezzlement and misapplication of funds. As part of his sentence, the Court also entered a money judgment in the amount of $152,783, the proceeds of the charged criminal conduct.  Johnson was adjudicated guilty on July 8, 2016.

According to the plea agreement and court proceedings, Johnson was employed as a Senior Vice President/Special Assets Officer at American Momentum Bank, an FDIC insured institution that was a member bank of the Federal Home Loan Bank of Dallas. In this capacity, he was responsible for marketing and selling bank-owned properties to investors in order to remove these troubled assets from American Momentum Bank’s balance sheet. Johnson signed the closing documents, including the HUD-1 Settlement Statement, on behalf of American Momentum Bank.

Beginning around June 2012, and continuing through November 2014, Johnson devised a scheme to misapply and embezzle funds provided by American Momentum Bank. After the sale of bank-owned property had been approved by American Momentum Bank, Johnson set up closings with real estate settlement agents. Johnson then contacted the settlement agents and ordered additions and/or changes to the disbursement side of the HUD-1. After closing, funds from American Momentum were misapplied by directing checks to be written or the wiring of funds to bank accounts that were controlled by Johnson’s family members. 

This case was investigated by the Unites States Secret Service, the Tampa Police Department, and the Federal Housing Finance Agency – Office of Inspector General. It was prosecuted by Special Assistant United States Attorney Chris Poor.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury today found Michael Wilson (43, New Port Richey), also known as “Moon Lake Mike,” guilty of possessing a firearm and ammunition as a convicted felon. Wilson faces a minimum mandatory sentence of 15 years, up to life, in federal prison. His sentencing hearing is scheduled for January 12, 2017. Wilson was indicted on July 26, 2016. 

According to evidence presented at trial, on December 11, 2015, the Pasco County Sheriff’s Office SWAT team executed a search warrant at a residence in Hudson where Wilson was found barricaded in a bedroom surrounded by drugs, cash, white supremacist-related items, and a loaded .45 caliber firearm. Several witnesses testified that the firearm belonged to Wilson and that he carried it with him as he sold methamphetamine to others in the area. Wilson, an admitted member of the Aryan Brotherhood, is a previously convicted felon and therefore was prohibited from carrying a firearm or ammunition under federal law.  His priors include two convictions for aggravated assault on a law enforcement officer, four convictions for grand theft, as well as convictions for armed burglary, sale and possession of cocaine, felonious possession of a firearm, and fleeing and eluding.  

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Pasco County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Michael V. Leeman.

This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN) - a nationwide, gun-violence reduction strategy.  United States Attorney A. Lee Bentley, III, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. It is also part of the PSN Comprehensive Anti-Gang Initiative (CAGI). CAGI’s objective is to reduce criminal gangs, violent crime, and illegal drugs and guns through swift, thorough enforcement and prosecution, along with prevention and re-entry efforts.

Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Virginia Miller to five years and one month in federal prison for conspiracy to steal federal tax refunds and aggravated identity theft. As part of her sentence, the Court also entered a money judgment in the amount of $493,697, the proceeds of her criminal conduct. Miller pleaded guilty on July 12, 2016.

According to court documents, Virginia Miller and her daughter, Derma Miller, conspired to file false federal income tax returns using stolen personal identifiable information (PII), much of which belonged to individuals who were physically and mentally disabled, to obtain tax refunds from the Treasury Department. Virginia Miller prepared and filed the fraudulent returns using the stolen PII. She then directed the Internal Revenue Service to electronically deposit the fraudulent refunds into a bank account that Derma Miller controlled. The women withdrew the tax refunds funds in cash and made purchases for their own benefit and the benefit of others. During a two-year period, the Millers filed approximately 226 fraudulent tax returns and obtained $493,697 in fraudulent tax refunds from the Treasury Department.

On July 21, 2016, a federal jury found Derma Miller guilty for her role in this case. Her sentencing is scheduled for October 19, 2016.

This case was investigated by the Internal Revenue Service Criminal Investigation. It is being prosecuted by Assistant United States Attorneys Karen L. Gable and Nathan W. Hill.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury has found Igor Polshyn and Oleskii Tsurkan guilty of conspiring to possess and possession with intent to distribute five kilograms or more of cocaine on a vessel subject to the jurisdiction of the United States. Each faces a maximum penalty of life in federal prison. Their sentencing hearings are scheduled for January 10, 2017.

According to evidence presented at trial, on November 7, 2015, a U.S. Customs and Border Protection P-3 Orion detected a sailboat 56 miles south of the Dominican Republic, traveling at night on the high seas with no lights, and on a course to travel through the Mona Passage between the Dominican Republic and Puerto Rico. The Orion crew alerted the United States Coast Guard, which dispatched the USCG Cutter Bernard C. Webber to interdict the vessel. The Webber interdicted the sailboat 26 miles south of the Dominican Republic, still on a course to take it through the Mona Passage. The sailboat flew the Spanish flag and bore a Spanish registration number on the stern. Polshyn was the master of the vessel and Tsurkan its sole crew member.

The Coast Guard eventually boarded the sailboat and, during an initial safety sweep, found over 100 kilograms of cocaine over the forward most bilge access. Subsequent searching recovered an additional 270 kilograms of cocaine, for a total of 370 kilograms of cocaine (814 lbs.), including cocaine commingled with the food supplies of the sailboat crew. Officials from DEA-Madrid and the Coast Guard Investigative Service traced the vessel registration number back to a real sailboat near Barcelona, Spain. The sailboat interdicted by the Coast Guard was a “ghost ship,” using the stolen identity of a real vessel in Barcelona, to mask its true identity. The recovered cocaine had an approximate wholesale value of $10 million.

This case was investigated by the Federal Bureau of Investigation, the Drug Enforcement Administration, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Customs and Border Protection, the Coast Guard Investigative Service, and the United States Coast Guard. It is being prosecuted by Assistant United States Attorneys Thomas N. Palermo and Walter E. Furr.

Jacksonville, Florida – United States Attorney A. Lee Bentley, III announced today that Richard Daniel Lord (57, Jacksonville) has been arrested and charged in a federal criminal complaint with receiving child pornography over the Internet. He faces a mandatory minimum penalty of 5 years, up to 20 years, in federal prison, and a potential life term of supervision. His detention hearing is scheduled for October 5, 2016, at 3:30 p.m., in Jacksonville. 

According to the complaint, on September 30, 2016, FBI agents executed a federal search warrant at Lord’s residence in Jacksonville. During an interview with agents, he admitted that he had used his cellphones to search for, download, and view child pornography. He stated that he was most interested in images and videos of children who were between 10 and 12 years of age, that he searched for child pornography “constantly,” and that he was unable to control himself. A forensic examination of one of Lord’s cellphones revealed a video that had been downloaded by Lord on September 16, 2016, depicting a child being sexually abused.

This case was investigated by the Federal Bureau of Investigation. 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.

Jacksonville, Florida – United States Attorney A. Lee Bentley, III announces that Reginald Fullwood (41, Jacksonville) has pleaded guilty to one count of wire fraud and one count of failure to file federal income tax returns. He faces a maximum penalty of 20 years in federal prison for the wire fraud offense, and a year of imprisonment for the failure to file charge. His sentencing hearing has been set for January 9, 2017.

According to court documents, while Fullwood was seeking election to the Florida House of Representatives, as well as during re-election campaigns, he caused numerous electronic funds transfers from the “Reggie Fullwood Campaign” bank account to a bank account of an entity owned by Fullwood, Rhino Harbor, LLC. Fullwood then used those funds, approximately $65,000 in financial contributions, for personal expenses, including restaurants, grocery stores, retail stores, jewelry stores, florists, gas stations, and liquor stores. To conceal his fraudulent embezzlement of campaign funds, Fullwood submitted or caused to be submitted false and fraudulent campaign expenditure reports to the State of Florida, which included inflated and/or non-existent campaign expenses. 

In the State of Florida, a candidate, or the spouse of a candidate, may not use funds on deposit in a campaign account to defray normal living expenses for the candidate or the candidate’s family, other than expenses actually incurred for transportation, meals, and lodging during travel in the course of the campaign.

This case was investigated by Internal Revenue Service – Criminal Investigation and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Mark B. Devereaux and Jason Mehta.

Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced Donald Broomfield (40, Jacksonville) to 15 years in federal prison for his involvement in a conspiracy to distribute 5 kilograms or more of cocaine that spanned 4 years. A federal jury found him guilty on October 6, 2015.     

According to court documents, Broomfield began obtaining kilograms of cocaine from a source of supply in Texas in 2010. He then distributed the drugs to individuals in Jacksonville and Orlando.  Broomfield, and others at his direction, used various vehicles equipped with hidden compartments to transport the cocaine.  As part of an on-going investigation, on August 8, 2014, Broomfield was stopped by the Jacksonville Sheriff’s Office (JSO) while driving his Chrysler 300.  A drug detecting canine alerted on the vehicle and a subsequent search revealed 1.6 kilograms of cocaine in a hidden compartment. The same day, JSO officers searched a residence in Jacksonville where Broomfield had been storing cocaine for several years. They seized empty kilogram wrappers, a cocaine press, digital scales, and drug packaging materials.  Testimony at trial established that Broomfield was a leader of the conspiracy and was responsible for the distribution of 50 – 150 kilograms of cocaine. This was his first felony conviction.

Broomfield was drafted in 1999 by the Cincinnati Bengals and, in 2000, he signed with the Arizona Cardinals. During the summer of 2001, he participated in the Jacksonville Jaguars training camp.

This case was investigated by the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney Julie Hackenberry Duva.

A Florida business owner was charged in an indictment unsealed today with participating in a scheme that sold the personal information of tens of thousands of individuals to fraudulent telemarketers, who in turn used the information to target potential victims for various fraudulent telemarketing schemes.

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney A. Lee Bentley III of the Middle District of Florida, Special Agent in Charge Richard T. Thornton of the FBI’s Minneapolis Field Office, Special Agent in Charge Christopher Combs of the FBI’s San Antonio Field Office and Special Agent in Charge Paul Wysopal of the FBI’s Tampa, Florida, Field Office made the announcement.

Ronald John Mendleski, 72, of Bokeelia, Florida, was charged with one count of conspiring to commit wire fraud and three counts of wire fraud.  He self-surrendered to the U.S. Marshals and will make his initial appearance later today before U.S. Magistrate Judge Carol Mirando of the Middle District of Florida.  A trial date has not yet been set.

According to the indictment, beginning in approximately 2009, Mendleski operated an enterprise whose principal business was selling personal information—including names, phone numbers and addresses—to telemarketers.  Mendleski allegedly specialized in providing in “sweepstakes leads,” which are the phone numbers and personal information of individuals who have responded to mass mailings notifying recipients that they have purportedly won or are about to win, expensive prizes and enormous cash payouts. 

The indictment alleges that many of Mendleski’s clients provided information indicating that they intended to use the sweepstakes leads to defraud people; at least one client told Mendleski directly that he intended to engage in fraud.  Nonetheless, Mendleski sold the requested personal information to his clients, knowing they would use the information to victimize vulnerable individuals.

Over the course of the scheme, Mendleski allegedly earned approximately $2 million by selling personal information to scammers.  Many of the senior citizens identified by Mendleski were in fact subsequently defrauded.  

An indictment is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

The FBI is investigating this matter.  Trial Attorney Timothy A. Duree of the Criminal Division’s Fraud Section is prosecuting the case.

Fort Myers, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury has found Nesly Loute (52, Naples) guilty of conspiracy to commit mail fraud. He faces a maximum penalty of 20 years in federal prison. He was ordered detained pending sentencing on January 17, 2017. In addition, Loute must pay restitution to the victim automobile insurance companies and forfeit the proceeds of the offense. 

Loute is the sixth individual to be convicted following the culmination of a two-year joint federal and state law enforcement investigation, dubbed Operation Fraudulent Pain.  The investigation disrupted five unlicensed chiropractic clinics that had received more than $2 million in ill-gotten Personal Injury Protection (PIP) payments from automobile insurance companies. 

According to testimony during the six-day trial, Loute conspired with others to operate unlicensed chiropractic clinics and bill automobile insurance companies for PIP benefits. Members of the conspiracy also paid patients to induce them to seek treatment at the unlicensed clinics so that the automobile insurance companies could be billed for their PIP benefits.  In addition, members of the conspiracy participated in staged motor vehicle accidents and then submitted claims to automobile insurance companies for PIP benefits based on those fake accidents. More than $1 million in fraud proceeds were withdrawn from various bank accounts and through the use of a shell corporation.           

Five other individuals previously pleaded guilty and are awaiting sentencing as a result of Operation Fraudulent Pain. They are Wisler Cyrius (35, Naples), Anouce Toussaint (33, Naples), Garry Joseph (37, Naples), Maria Victoria Lopez (44, Moore Haven), and David Adamson (47, Bonita Springs). Each faces a maximum penalty of 20 years in federal prison and must make restitution to the automobile insurance companies.  In addition, the United States will seek a forfeiture money judgment from each defendant equal to the amount of proceeds obtained as a result of each offense.     

This case was investigated by the Fort Myers offices of the Federal Bureau of Investigation, the State of Florida’s Department of Financial Services Division of Insurance Fraud’s, the Internal Revenue Service Criminal Investigation, and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. Assistance was also provided by the National Insurance Crime Bureau, the Florida Highway Patrol, the Florida Department of Health, Florida’s Agency for Health Care Administration, and the State Attorneys’ Offices for the 13th and 19th Judicial Circuits. The following insurance companies also assisted with the case: Travelers, Nationwide, Bristol West, Esurance, Windhaven, Farmers, Direct General, Allstate, State Farm, Progressive, Geico, Infinity, and Foremost.  It is being prosecuted by Assistant United States Attorneys David G. Lazarus and Charles D. Schmitz.

Ocala, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury found Rodane Lamb (26, Gainesville) guilty of conspiring to distribute five kilograms or more of cocaine. He faces a maximum penalty of life in federal prison. His sentencing hearing is scheduled for December 16, 2016.

Lamb was first indicted on November 20, 2015. That indictment was superseded on March 17, 2016.

According to evidence presented at trial, beginning in 2012, Lamb participated in a conspiracy to distribute more than 50 kilograms of cocaine that had been supplied by the Sinaloa Cartel. Lamb and his co-conspirators, each of whom previously pleaded guilty for their role in the conspiracy, used the United States mail to ship boxes containing hundreds of thousands of dollars in cash to California, which was used to purchase cocaine. The conspirators then used various carriers to ship dozens of kilograms of cocaine back to central Florida, where it was further distributed. The United States Postal Inspection Service confiscated more than $700,000 that had been shipped by the conspirators through the mail.

Testimony further showed that in August 2015, Lamb’s California-based source of cocaine traveled to Florida and directed 50 kilograms of cocaine to be delivered by truck to Ocala, intending that the members of the conspiracy would distribute the cocaine from there. The wholesale value of that cocaine was approximately $1.7 million. The conspirators distributed 10 kilograms of that cocaine. The conspiracy ended on August 5, 2015, when Drug Enforcement Administration agents arrested members of the conspiracy and confiscated the remaining 40 kilograms of cocaine, along with approximately $250,000.

This case was investigated by the Drug Enforcement Administration, the United States Postal Inspection Service, the Internal Revenue Service – Criminal Investigation, the Gainesville Alachua County drug task force, the Ocala Police Department, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Marion County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Jay Taylor and Laura Cofer Taylor.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury found Kennedy Harris, Jr., (23, Cocoa) guilty of sex trafficking of a child, with force, fraud, or coercion, and production of child pornography.  He faces a maximum penalty of life in federal prison. His sentencing hearing is scheduled for December 19, 2016. Harris was indicted on May 11, 2016.

According to testimony and evidence presented at trial, in January 2016, Harris took in the victim, a 16-year old girl at the time, after she ran away from home.  Harris then took sexually suggestive photographs of the victim and advertised her for sex on Backpage.com.  He also enticed the victim to engage in sexually explicit conduct for the purpose of photographing her. Over the course of approximately two weeks, the victim had sex with up to eight individuals per day, and gave the money to Harris. In exchange for her sex acts, Harris gave the victim crack cocaine nearly every day. On February 10, 2016, the victim was recovered by the Cocoa Police Department.

This case was investigated by Federal Bureau of Investigation, the Brevard County Sheriff’s Office, and the Cocoa Police Department. It is being prosecuted by Assistant United States Attorney Tiffany L. Cummins.

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.

Orlando, FL – United States Attorney A. Lee Bentley, III announces the return of an indictment charging Marek Harrison (53, Plant City), Brian Allard (45, Seminole), and Scot Rounds (44, Winter Garden) with bank fraud and conspiracy to commit bank fraud.  If convicted, each faces a maximum penalty of 30 years in federal prison on each count.  The indictment also notifies the defendants that the United States is seeking a forfeiture money judgment in the amount of the proceeds of the charged criminal conduct.

According to the indictment, Harrison and Allard created and executed a mortgage fraud scheme involving Saratoga Resort Villas, a condo conversion of a former hotel located in Kissimmee.  The scheme involved kickbacks of mortgage proceeds to buyers and co-conspirators and misrepresentations regarding the source of down payment funds.  None of the incentives and kickbacks were disclosed to the mortgage lenders.  Harrison and Allard recruited the buyers and found individuals to front down payment money for those buyers.  Rounds, a mortgage broker, brokered the loans for the transactions, recruited straw purchasers, and distributed kickbacks to buyers.

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 Federal Housing Finance Agency – Office of Inspector General.  It will be prosecuted by Special Assistant United States Attorney Chris Poor and Assistant United States Attorney Vincent Chiu.

Orlando, Florida – U.S. District Judge Paul G. Byron today sentenced Joshua Warner (26, Sanford) to 46 months in federal prison for possession with intent to distribute ethylone, commonly marketed as the street drug “Molly,” and Alpha-PVP, commonly marketed as the street drug “Flaka.”  Warner pleaded guilty on May 19, 2016.

According to court documents and testimony presented at sentencing, in late December 2014, U.S. Customs and Border Protection agents intercepted two packages with Warner as the named addressee.  One package contained approximately 500 grams of ethylone, and was addressed to Warner’s residence in Sanford.  A second package contained 497 grams of Alpha-PVP and was addressed to the home of Warner’s friend, also in Sanford.  On January 7, 2015, agents conducted controlled deliveries of both packages to the respective addresses.  Immediately after the deliveries, agents executed search warrants at both residences.  At Warner’s home, agents found additional amounts of ethylone and a handgun inside Warner’s car located in the garage. During an interview with agents, Warner admitted that he was receiving the ethylone and the Alpha-PVP to sell to customers. 

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Vincent S. Chiu.

UPDATE

The defendant in this case, Rebecca Gheiler , was acquitted of the charges alleged in the indictment described in the press release below.

Orlando, FL – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Rebecca Gheiler (49, Miami) with conspiracy to commit bank and wire fraud and six counts of bank fraud.  If convicted, she faces a maximum penalty of 30 years in federal prison on each count.  The indictment also notifies Gheiler that the United States is seeking a forfeiture money judgment.

According to the indictment, Tribute Residential, LLC (“Tribute”), which was controlled by Gheiler, owned and sold condominium communities.  To entice buyers to purchase condominium units in these communities, Gheiler developed a program of incentives.  As part of this program, buyers were promised that Tribute would pay the mortgage and homeowners' association dues during the buyer’s first two years of occupancy.  Other incentives developed and paid for by Gheiler included upfront cash to close and/or kickbacks to buyers after closing.  During each transaction, the HUD-1 Settlement Statement, signed by Gheiler as the seller, contained falsified information regarding the terms of each transaction, including the actual down payment amount paid by the buyer. In order to conceal the incentives from the mortgage lenders, Gheiler directed her co-conspirator, Angel Garcia-Oliver, to form companies that received monies from Tribute that were eventually paid to buyers and entities controlled by other co-conspirators. 

Garcia-Oliver previously pleaded guilty for his role in this case. His sentencing hearing is scheduled for January 9, 2017.

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 Federal Housing Finance Agency – Office of Inspector General, the Florida Office of Financial Regulation, and the Federal Bureau of Investigation.  It will be prosecuted by Assistant United States Attorney Vincent Chiu and Special Assistant United States Attorney Chris Poor.

Jacksonville, FL – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Gregory Allen Baker, 28, William Peter Wagner, 25, Ashley Hinson, 27, Heather Marie Wagner, 30, and Elijah Adams, all of Jacksonville, with conspiracy to import anabolic steroids, conspiracy to manufacture, distribute, and possess with intent to distribute anabolic steroids, conspiracy to distribute and possess with intent to distribute human growth hormone, and conspiracy to commit money laundering. They were arrested yesterday. The indictment notifies the defendants that the United States intends to forfeit several assets, including a 2015 Land Rover Range Rover Sport, a 2008 Cadillac Escalade, and a 2007 Yamaha motorcycle. The United States also intends to forfeit luxury jewelry pieces, including four Breitling watches, diamond earrings, and a diamond ring, as well as proceeds from bank accounts totaling approximately $125,000, all of which are alleged to be traceable to proceeds of the offenses.         

According to the indictment, from December 2013 through September 22, 2016, Baker, W. Wagner, Hinson, H. Wagner, and Adams conspired to import anabolic steroids from the People’s Republic of China into the United States. During the same time period, they also conspired to distribute and possessed with the intent to distribute human growth hormone and anabolic steroids. Using Western Union at various locations, they conspired to send payments to China for raw steroids, including Testosterone, Mesteron, Anavar, Trenbolone, Halotestin, Sustanon, Deca, and Equipoise.

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 Drug Enforcement Administration, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the United States Postal Inspection Service, U.S. Customs and Border Patrol, the Jacksonville Sheriff’s Office, the Jacksonville Beach Police Department, the Green Cove Springs Police Department, the Internal Revenue Service, and the U.S. Anti-Doping Agency. It will be prosecuted by Assistant United States Attorney Kelly S. Karase.

WASHINGTON – Amin Yu, 55, of Orlando, Florida, was sentenced to 21 months in federal prison for acting in the U.S. as an illegal agent of a foreign government without prior notification to the Attorney General and for conspiring to commit international money laundering.

Assistant Attorney General for National Security John P. Carlin and U.S. Attorney A. Lee Bentley, III for the Middle District of Florida made the announcement after Yu was sentenced by U.S. District Judge Roy B. Dalton, Jr.

According to the plea agreement, from at least 2002 to February 2014, at the direction of co-conspirators working for Harbin Engineering University (HEU, a PRC-controlled entity) in the People’s Republic of China (PRC), Yu obtained systems and components for marine submersible vehicles from companies in the U.S. She then illegally exported those items to the PRC for use by her co-conspirators in the development of marine submersible vehicles including unmanned underwater vehicles, remotely operated vehicles and autonomous underwater vehicles for HEU and other state-controlled entities. Yu illegally exported items by failing to file Electronic Export Information (EEI), as required by U.S. law and by also filing false EEI. Yu completed and caused the completion of export-related documents in which she significantly undervalued the items that she had exported and provided false end user information for those items.

This case was investigated by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the IRS Criminal Investigation Division, and the NCIS. It was prosecuted by Assistant U.S. Attorney Daniel C. Irick of the Middle District of Florida and Trial Attorneys David C. Recker and Thea D. R. Kendler of the National Security Division, Counterintelligence and Export Control Section.

Orlando, FL – Amin Yu, 55, of Orlando, Florida, was sentenced to 21 months in federal prison for acting in the U.S. as an illegal agent of a foreign government without prior notification to the Attorney General and for conspiring to commit international money laundering.

U.S. Attorney A. Lee Bentley, III and Assistant Attorney General for National Security John P. Carlin made the announcement after Yu was sentenced by U.S. District Judge Roy B. Dalton, Jr.

According to the plea agreement, from at least 2002 to February 2014, at the direction of co-conspirators working for Harbin Engineering University (HEU, a PRC-controlled entity) in the People’s Republic of China (PRC), Yu obtained systems and components for marine submersible vehicles from companies in the U.S. She then illegally exported those items to the PRC for use by her co-conspirators in the development of marine submersible vehicles including unmanned underwater vehicles, remotely operated vehicles and autonomous underwater vehicles for HEU and other state-controlled entities. Yu illegally exported items by failing to file Electronic Export Information (EEI), as required by U.S. law and by also filing false EEI. Yu completed and caused the completion of export-related documents in which she significantly undervalued the items that she had exported and provided false end user information for those items.

This case was investigated by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the IRS Criminal Investigation Division, and the NCIS. It was prosecuted by Assistant U.S. Attorney Daniel C. Irick and Trial Attorneys David C. Recker and Thea D. R. Kendler of the National Security Division, Counterintelligence and Export Control Section.

Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell today sentenced Nelson Cristiano Machado, Jr. (50, Bradenton) to three years in federal prison for wire fraud.  A federal jury found him guilty on June 24, 2016.

According to evidence presented at trial, Machado knowingly participated in a scheme to defraud mortgage lenders. He entered into a sales contract for the purchase of two residences in Cape Coral, one for $509,900, and another for $249,900. In his loan applications, Machado falsely represented his employment, the balance of his bank account, and that each of the homes would be his primary residence. He also failed to disclose to his second mortgage lender that he had already obtained a first mortgage in the amount of $343,000 and a second mortgage in the amount of $147,000. Machado also failed to disclose the purchase of another residence located in Fort Myers for which he had obtained a mortgage in the amount of $189,050.  Relying upon Machado’s false representations, the mortgage lenders approved his loan applications and wired the funds to the designated title agencies for closings.

This case was investigated by the Federal Bureau of Investigation and the Florida Department of Law Enforcement. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.

Tampa, Florida – U.S. District Judge Elizabeth Kovakevich today sentenced Tiana Lise to 28 months in federal prison for theft of government funds and aggravated identity theft. The Court also entered a forfeiture money judgment in the amount of $8,000, representing the proceeds of the offense. 

Lise pleaded guilty on March 2, 2016.

According to court documents, a confidential informant engaged in two undercover transactions with Lise, in which Lise sold the confidential informant stolen tax refund checks totaling over $50,000. In some cases, these checks were fraudulently endorsed and were transferred with social security numbers so that they could be easily cashed. The checks originated from three victims, none of whom gave Lise or any other person authority to take or cash their tax refund checks.

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

Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced David Joseph Gruber (53, Jacksonville Beach) to 30 months in federal prison for conspiracy to traffic in counterfeit goods, conspiracy to commit money laundering, and failure to appear. The Court also ordered him to forfeit three pieces of real property located in Jacksonville, which are traceable to proceeds of the offenses. Further, the U.S. Immigration and Customs Enforcement has administratively forfeited $42,217.94 from accounts held by Gruber, which were further proceeds of his offenses. Gruber pleaded guilty in March 2016.

According to court documents, from at least as early as April 2007 through March 2014, Gruber, aka “China Dave,” owned and operated a website through which he and his wife sold goods and products bearing counterfeit trademarks owned by Burberry, Gucci, Louis Vuitton, Chanel, Juicy Couture, Rolex, Hermes, Dolce & Gabbana, Versace, Tiffany & Co., Prada, Coach, Breitling, Nike, and Fifth & Pacific Companies. The products included handbags, watches, shoes, and clothing.  Gruber purchased several pieces of real property with proceeds from his trafficking in counterfeit goods.

"These crimes impact our economy and businesses," said Susan L. McCormick, special agent in charge of HSI Tampa. "HSI special agents work relentlessly to protect intellectual property rights."

Gruber’s wife, Xiao Ling Liu, aka Shally Gruber, was also charged for her role in this case.  She remains a fugitive.

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

Orlando, Florida – U.S. District Judge Carlos E. Mendoza has sentenced Dane Gillis (59, Leesburg) to 30 years and 5 months in federal prison for attempting to entice a minor to engage in sexual activity, soliciting an undercover federal agent to commit kidnapping, and transmitting interstate commerce threats to kidnap and injure a former co-worker. The Court also ordered Gillis to forfeit the electronic devices that he had used to commit the offenses.

Gillis was found guilty by a jury on May 12, 2016.

According to evidence presented at trial, Gillis posted an ad on Craigslist stating, “Looking for a guy or group who r into extremely taboo scenes. Hi risk and reward for the right sadistic Pervert.” An undercover federal agent responded to the ad and stated that he was the father of an 11-year-old daughter. Gillis communicated with the agent through email and text for two weeks. During these communications, Gillis made arrangements to have sex with the child and also solicited the agent to help him kidnap and rape a former co-worker.

On September 16, 2015, Gillis drove over an hour from his home to meet with the “father and child,” and was arrested. Forensic analyses of Gillis’s smartphone and computer, which he had brought to the meeting, revealed that Gillis had conducted Internet searches for kidnapping, rape, and for prepubescent child pornography. Gillis also had saved scores of pictures of the intended kidnapping victim on his computer. Through additional investigation, agents learned that Gillis had been soliciting individuals to help him kidnap and rape the victim for nearly a year.    

This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorneys Karen L. Gable and Emily C.L. Chang.

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 – United States Attorney A. Lee Bentley, III announces that a federal jury today found Delexsia Harris (24, Bradenton) guilty of witness tampering and obstruction of justice. She faces a maximum penalty of life in federal prison. Her sentencing hearing is scheduled for December 20, 2016. Harris was indicted on May 25, 2016.

According to testimony presented at trial, Harris threatened and intimidated multiple persons who were scheduled to serve as witnesses in the trial of United States v. Nathaniel Harris et al., which occurred this summer. Harris threatened and intimidated witnesses in person and on social media, threatening to hurt and murder individuals cooperating with law enforcement and telling one victim that Ms. Harris’s family would kill her and her children. Testimony also demonstrated that Harris had helped a defendant in that case solicit a false alibi.

In addition, testimony and evidence showed that Harris had lied to law enforcement officers following the July 3, 2012, murder of Ceola Lazier. Prosecutors presented evidence that she participated in the murder, with her brother and another man, and later told police officers that the killers were two unknown men driving a white Mercedes Benz.  Harris’s brother, Charlie Green, and the other man, Jerry W. Green, were convicted of the shooting death of Ceola Lazier following the trial of United States v. Nathaniel Harris et al.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, with assistance from the Manatee County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Natalie Adams and Shauna Hale.

Orlando, FL – U.S. District Judge Paul G. Byron today sentenced Imad Rawhi Al-Qattawi (47, Ramallah, Palestine) in absentia to eight years and one month in federal prison for distributing and possessing with the intent to distribute UR-144, a synthetic cannabinoid.  Synthetic cannabinoids are a group of drugs that are often marketed by such names as “K2” and “Spice.”  Al-Qattawi pleaded guilty on October 29, 2015, but later failed to appear at his sentencing hearing on January 13, 2016.

According to court documents, Al-Qattawi was a manufacturer and dealer of “Bizarro,” a brand of synthetic cannabinoid containing UR-144.  During the investigation, agents purchased more thanb 5 kilograms of “Bizarro” from Al-Qattawi over a series of transactions.  When Al-Qattawi was arrested, agents found over 5 additional kilograms of “Bizarro” in his van belonging.

This case was investigated by the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Vincent S. Chiu.

Tampa, FL - Attorney General Loretta Lynch has designated the week of September 19, 2016, as National Heroin and Opioid Awareness Week. Accordingly, a large number of U.S. Attorney’s offices, including the Middle District of Florida (MDFL), are joining with law enforcement to engage local community stakeholders, and collaborate with public health professionals to help combat this growing epidemic. 

This week, the USAO/MDFL will participate in panel discussions on opioid addiction problems in Florida and the law enforcement and prosecutorial efforts to combat the crisis. Each forum will include a viewing of Chasing the Dragon: The Life of an Opiate Addict, a collaboratively produced documentary by the FBI and DEA to help educate students and young adults about the dangers of opioid addiction. The 45-minute film, whose title refers to the never-ending pursuit of the original or ultimate high, features stark first-person accounts, as told by individuals who have abused opioids or whose children have abused the drugs, with tragic consequences.

The video, Chasing the Dragon: The Life of an Opiate Addict, can be found on either the FBI or DEA websites using the following links:  

https://www.fbi.gov/news/stories/raising-awareness-of-opioid-addiction or

https://www.dea.gov/media/chasing-dragon.shtml.

The rise of heroin use and the abuse of prescription opioids in the United States is currently a huge challenge to public health and safety. It threatens our communities, families, and children. The Department of Justice has compiled additional resources to assist in combatting the heroin, fentanyl, and prescription drug problems in the United States. They can be found at: https://www.justice.gov/opioidawareness.

Orlando, Florida – U.S. District Judge Carlos E. Mendoza today sentenced Chima Edozie Aligwekwe (34, Orlando) to nine years in federal prison for conspiracy to commit mail fraud and wire fraud for his role as a manager in a timeshare resale fraud scheme.  The Court also entered a money judgment against Aligwekwe in the amount of $704,326.55, which represents the total amount of money fraudulently obtained as a result of the scheme. Aligwekwe was found guilty by a jury on June 10, 2016.

According to testimony and evidence presented at trial and sentencing, Aligwekwe acted as a manager for a company named “Timeshare Title Services LLC” that operated in Orlando.  Representatives of the company, known as “callers,” made unsolicited phone calls to timeshare owners throughout the country, falsely claiming that a buyer existed for their timeshares. The timeshare owners were told that buyers had deposited money into an escrow account for the purchase of their timeshares, and they received documents from the companies that appeared to be legitimate timeshare sales contracts. Ultimately, the timeshare owners were told to send advance fees to the companies to finalize the sales. Numerous timeshare owners made advance fee payments to the companies but received no services and their timeshares were never sold.  Aligwekwe provided customer lead information for the timeshare owners and managed a team of “callers” for Timeshare Title Services LLC.  In just a three-month period, more than $500,000 in timeshare owner payments were deposited into bank accounts for the two companies.  During this period, Aligwekwe personally received over $120,000 from the victims of this fraud scheme. 

On August 25, 2016, another participant in the scheme, Eugene Warren Brewington (34, Orlando) was also sentenced to nine years in federal prison. 

This case was investigated by the United States Postal Inspection Service and the Orange County Sheriff’s Office, with assistance from the United States Secret Service.  It was prosecuted by Assistant United States Attorneys Andrew C. Searle and Kara M. Wick.

Jacksonville, Florida – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Karamchand “Raj” Doobay (42, Ontario, Canada and Orlando, Florida) with conspiracy to commit mail and wire fraud and substantive counts of mail and wire fraud. If convicted on all counts, he faces a maximum penalty of 20 years in federal prison on each count. The indictment also notifies Doobay that the United States intends to forfeit $8,248,547, representing the amount of proceeds obtained as a result of the offenses, and several parcels of real property in Hamilton County, Florida, and a residence in Winter Garden, Florida, which are also alleged to be traceable to proceeds of the offenses. Doobay was arrested on September 1, 2016, and was ordered detained pending trial.

According to the indictment, Doobay operated business entities in Hamilton County, through which he acquired a parcel of land located at 7516 SE 113th Blvd., in Jasper. From about March 2009, through December 2015, Doobay solicited investors to purchase subdivided lots on the land, guaranteeing them returns between 9 percent and 41 percent for investments in RV lots and other lots for sale by his entity, Florida Gateway Resort. He utilized various bank accounts to collect funds for the purchase of RV lots that he purported to sell to investor purchasers. However, Doobay failed to disclose that he had previously contracted to sell and purportedly sold the same RV lots to other investors.

The indictment also alleges that, from about May 2011, through about May 2016, Doobay conspired to commit wire fraud by promising to immigrant investors to use their investments for the development, renovation and/or new construction of Senior Premier Living, a retirement community in the city of Jasper. In fact, Doobay used a portion of the investors’ funds to pay Florida Gateway Resort investors and for his own personal use and enjoyment. This included a withdrawal of $190,000 in immigrant investor funds on or about October 27, 2014.

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 Federal Bureau of Investigation, the Florida Department of Law Enforcement, and the Hamilton County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Kelly S. Karase.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury found Robert William Barton (43, Zephyrhills) guilty of possessing a firearm and ammunition as a convicted felon. He faces a minimum mandatory penalty of 15 years, up to life, in federal prison. His sentencing hearing is scheduled for January 20, 2017.

According to evidence presented at trial, on August 5, 2014, law enforcement officers pulled Barton and two passengers over after identifying the license plate on the vehicle as stolen.  A search of the car revealed a loaded .22 caliber revolver under the passenger seat.  Barton initially confessed to possessing the gun, but later claimed it belonged to someone else. Subsequent DNA testing linked the firearm to Barton.

Barton has prior felony convictions for aggravated battery and burglary, as well as three prior felony convictions for robbery, and is therefore prohibited from possessing a firearm or ammunition under federal law.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Hillsborough County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Michael V. Leeman.

This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy.  United States Attorney A. Lee Bentley, III, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. It is also a part of ATF’s Frontline strategy to reduce violent crime in our communities.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury found Jason Alexander Phifer (33, DeLand) guilty of possession with intent to distribute ethylone, commonly marketed as the street drug “Molly.” He faces a maximum penalty of 20 years in federal prison. His sentencing hearing is scheduled for December 5, 2016.  Phifer was indicted on February 10, 2016.

According to evidence presented at trial, between January and May 2015, Phifer ordered four shipments of ethylone, totaling approximately 5.25 kilograms, from a supplier in China.  In May 2015, agents discovered a shipment of 1.5 kilograms of ethylone that was destined for Phifer’s residence.  On May 20, 2015, undercover agents made a controlled delivery of the ethylone to Phifer at his home. Immediately after the delivery, they executed a search warrant at the home and recovered the 1.5 kilograms of ethylone, and found additional quantities in Phifer’s bedroom.  Phifer admitted to agents that he had received the ethylone so he could distribute it to customers throughout the United States.        

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the United States Postal Inspection Service.  It is being prosecuted by Assistant United States Attorneys Vincent S. Chiu and Sean P. Shecter.

Jacksonville, FL – United States Attorney A. Lee Bentley, III announces today that Andy Miller, Tracy Miller, and the Healthmark Investment Trust have agreed to pay to the government $7.75 million to resolve allegations that they violated the False Claims Act.

The United States contends that QMedRx, a compound pharmacy in Maitland, Florida, knowingly billed federal healthcare programs for services that were not reimbursable.  Specifically, the government contends that from January 1, 2013, until January 22, 2014, QMedRx submitted to federal healthcare programs, compounded prescriptions that were tainted within the meaning of the Anti-Kickback Statute. Because Healthmark Investment Trust was a partial owner of QMedRx, the government sought penalties and fines from the owners who participated in the fraud. The government is still pursuing penalties and fines from other owners and participants within QMedRx. 

“The United States Attorney’s Office is committed to protecting TRICARE and other federal health care programs from fraud,” said U.S. Attorney Bentley.  “Those who violate the Anti-Kickback Statute to generate business will be held accountable.” 

This case was developed through an initiative to track and prosecute compound pharmacies that submitted millions of dollars in improper claims to the TRICARE program.  The government estimates that up to $2 billion of tainted and unnecessary compound prescriptions were submitted and paid by the government.  In the Middle District of Florida, the government has recovered almost $60 million in fines and penalties over the past 18 months. 

“We appreciate the support from the Department of Justice in protecting the TRICARE benefit from fraud and helping to ensure the benefit continues to exist for our service members, families, and retirees,” said Vice Admiral R. Bono, Director, Defense Health Agency.

This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by the Attorney General and the Secretary of Health and Human Services.  The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation.  One of the most powerful tools in this effort is the False Claims Act.  Since January 2009, the Justice Department has recovered a total of more than $30.5 billion through False Claims Act cases, with more than $18.4 billion of that amount recovered in cases involving fraud against federal health care programs.

This matter was investigated by the Defense Criminal Investigative Service (DCIS) and the Federal Bureau of Investigation (FBI). It was prosecuted by Assistant United States Attorney Jason Mehta.

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

Fort Myers, FL – Regions Bank (Regions) has agreed to pay $52.4 million to the United States to resolve allegations that it violated the False Claims Act by knowingly originating and underwriting mortgage loans insured by the U.S. Department of Housing and Urban Development’s (HUD) Federal Housing Administration (FHA) that did not meet applicable requirements, the Department of Justice announced today.  Regions is headquartered in Birmingham, Alabama.

“The FHA insurance program plays a critical role in the stability of the housing market,” said U.S. Attorney for the Middle District of Florida A. Lee Bentley III.  “Lender misconduct that puts this program at risk will not be tolerated.”                                                            

“Mortgage lenders that participate in the FHA insurance program must follow the requirements intended to safeguard its integrity and to protect homeowners,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division.  “We will continue to hold responsible lenders that knowingly violate these important requirements.”

Since at least January 2006, Regions has participated as a direct endorsement lender (DEL) in the FHA insurance program.  A DEL has the authority to originate, underwrite and endorse mortgages for FHA insurance.  If a DEL approves a mortgage loan for FHA insurance and the loan later defaults, the holder of the loan may submit an insurance claim to HUD, FHA’s parent agency, for the losses resulting from the defaulted loan.  Under the DEL program, the FHA does not review a loan before it is endorsed for FHA insurance but instead relies on the efforts of the DEL to verify compliance.  DELs are therefore required to follow program rules designed to ensure that they are properly underwriting and certifying mortgages for FHA insurance.

As part of the settlement announced today, Regions admitted that between Jan. 1, 2006, and Dec. 31, 2011, it certified for FHA insurance certain mortgage loans that did not meet certain HUD underwriting requirements regarding borrower creditworthiness.  In addition, between Jan. 1, 2006 and Dec. 31, 2011, Regions did not maintain a quality control (QC) program that fully complied with the requirements established by HUD.  Regions’ QC Department did not consistently review an adequate sample of FHA-insured loans.  Moreover, to the extent that Regions’ QC Department identified deficiencies during the course of its loan review, Regions engaged in a pattern of “curing” QC findings by obtaining documentation that was not available to the underwriter at the time the loan was approved.  As a result, the defect rate reported to senior management was understated.  Regions also failed to review Early Payment Default (EPD) loans in accordance with HUD guidelines.  Regions was required to review all loans that became 60 days past due within the first six months.  Nevertheless, at certain times prior to 2011, as part of its EPD review, Regions reviewed only those loans that became 90 days past due.

Additionally, Regions did not fully adhere to HUD’s self-reporting requirements.  During the period between Jan. 1, 2006, and Dec. 31, 2011, the HUD Handbook required lenders to report “findings of fraud” or “other serious violations” or “serious material deficiencies” to HUD.  Although Regions’ monthly QC reviews identified numerous FHA-insured loans for that period that contained material deficiencies, Regions did not begin self-reporting these materially deficient loans to HUD until 2011.

As a result of Regions’ conduct and omissions, HUD insured hundreds of loans approved by Regions that were not eligible for FHA mortgage insurance under the DEL program and that HUD would not otherwise have insured.  HUD subsequently incurred substantial losses when it paid insurance claims on those loans.

“FHA-approved lenders have a responsibility to ensure that FHA-insured loans meet our standards, which are in place for the protection of FHA’s insurance fund,” said Helen Kanovsky, HUD’s General Counsel.  “The agreement we announce today should serve as a reminder that sustainable homeownership starts with compliance with underwriting requirements.”

“This settlement resolves allegations that a financial institution, trusted to comply with FHA loan origination, underwriting and quality control requirements, failed to meet its obligations as a participant in the FHA program,” said Inspector General David A. Montoya for HUD.  “The bank’s actions impact the solvency of the FHA insurance fund.  It is through the combined efforts of the Department of Justice’s Civil Division, the U.S. Attorney’s Office for the Middle District of Florida, HUD and the Office of Inspector General that we continue to ensure the integrity of this important FHA program to American homeowners.”

The settlement was the result of a joint investigation conducted by HUD, the HUD Office of Inspector General, the Civil Division’s Commercial Litigation Branch and the U.S. Attorney’s Office for the Middle District of Florida.  It was handled by Assistant U.S. Attorneys Jason Mehta and Kyle Cohen of the Middle District of Florida, and Trial Attorney Michael D. Kass of the Justice Department’s Civil Division. The claims asserted against Regions are allegations only, and there has been no determination of liability.

Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell has sentenced Junipher Sayers, formerly Junipher Layne, (34, Cape Coral) to three years in federal prison for wire fraud. The Court also ordered her to repay $1,132,160.91 in restitution to the victim, Tigrent, Inc., and an additional $1,132,160.91 to the United States in forfeiture, representing the proceeds she obtained as a result of the offenses.  

According to the plea agreement, between January 28, 2013, and June 2015, Sayers devised and carried out a sophisticated scheme to defraud Tigrent, Inc. Sayers, formerly an accounts payable clerk, stole money from the company by submitting and processing fraudulent invoices for payment. Sayers then directed those payments to several shell companies that she had created and controlled for the purpose of carrying out her scheme. She spent large amounts of the stolen money on consumer goods and other items.

This case was investigated by the Federal Bureau of Investigation and the Cape Coral Police Department. It was prosecuted by Assistant United States Attorney Charles D. Schmitz.

Tampa, FL – U.S. District Judge Charlene Edwards Honeywell today sentenced Andre Dwight Stewart to eight years and five months in federal prison for theft of government property and aggravated identity theft related to the filing of false federal income tax returns using stolen identities. The Court also ordered him to pay $230,005 in restitution to the Internal Revenue Service, which are the traceable proceeds to his offenses. Stewart pleaded guilty on June 21, 2016.

According to court documents, on July 11, 2013, officers with the Tampa Police Department searched a vehicle in which Stewart was a passenger. Pursuant to that search, agents recovered a red Swiss Gear laptop bag containing computers and notebooks, all of which belonged to Stewart. During a search of Stewart’s wallet, investigators recovered five reloadable debit cards, three of which were in Stewart’s name, and all of which had been loaded with fraudulently obtained tax refunds. Investigators also recovered ATM images showing Stewart withdrawing cash using these debit cards.

From inside Stewart’s bag, technicians found Stewart’s fingerprints on various pages of a composition notebook that contained 47 pieces of personally identifiable information (PII), including names, DOBs, and SSNs. Of these, at least nine income tax returns using this PII were filed for the 2011 tax year. Stewart’s fingerprints were also found on the inside cover of a Mario Kart/Wii themed notebook recovered from the computer bag. Agents identified approximately 27 pieces of PII contained in that notebook, of which four income tax returns using this PII were filed for the 2012 tax year. 

Based on a review of the evidence, investigators determined that Stewart and others filed and caused to be filed fraudulent tax returns claiming over $600,000 in fraudulent refunds.

This case was investigated by the Tampa Police Department and the Internal Revenue Service - Criminal Investigations. It was prosecuted by Assistant United States Attorney Mandy Riedel.

Tampa, FL – United States Attorney A. Lee Bentley, III announces today that a federal jury found Matheus William Geronasso (23, Tampa) guilty of attempted sex trafficking of a child. He faces a minimum mandatory penalty of 10 years, up to life, in federal prison. His sentencing hearing is scheduled for December 14, 2016. Geronasso was indicted on March 29, 2016.

According to evidence presented at trial, Geronasso responded to an advertisement posted on Backpage.com by a person looking for individuals willing to pay to have sex with his girlfriend’s 14-year-old daughter. Unbeknownst to Geronasso, the ad had been placed by an undercover agent with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. Geronasso sent several text messages stating that he wanted to have sex with the 14-year-old girl. After negotiating the price, Geronasso drove to the designated location, met with an undercover agent, and paid to have sex with the child.

This case was investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It is being prosecuted by Assistant United States Attorneys Lisa M. Thelwell and Josephine W. Thomas.

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 – United States Attorney A. Lee Bentley, III announces the return of an indictment charging Bobbi Gibson (45, Mount Dora) with 30 counts of wire fraud.  If convicted, she faces a maximum penalty of 20 years in federal prison on each count.  The indictment also notifies Gibson that the United States is seeking a money judgment in the amount of at least $1.5 million, the proceeds of the wire fraud scheme.

According to the indictment, Gibson, who owned and operated Agency for Behavioral Services, Inc., defrauded the Department of Defense’s TRICARE program by fraudulently certifying that paraprofessional providers she employed had received the required 40 hours of classroom training in Applied Behavior Analysis techniques. Gibson then assigned these unqualified individuals to provide one-on-one autism services to military family members diagnosed with Autism Spectrum Disorders, and caused TRICARE to be billed for these services.

“This indictment is yet another example of the continuing commitment of the Defense Criminal Investigative Service (DCIS) and its law enforcement partners to protect the integrity of the Department of Defense (DoD) health care program,” said Special Agent in Charge John F. Khin, Southeast Field Office. "As one of our top priorities, DCIS aggressively investigates health care fraud that harms the DoD, to ensure the best use of precious taxpayer dollars needed to provide critical care for our Warfighters, their family members, and military retirees."

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 Defense Criminal Investigative Service.  It will be prosecuted by Assistant United States Attorney Bob Mosakowski.

Jacksonville, Florida – United States District Judge Brian J. Davis has sentenced Ralph Darel Lipsey (28, Miramar) to 30 months in federal prison for manufacturing and passing counterfeit Federal Reserve notes. As part of the sentence, the Court ordered Lipsey to pay restitution to the various businesses he defrauded.  The Court also ordered Lipsey to forfeit the monetary proceeds he obtained by passing the notes, as well as the computer media he used to manufacture them.  

According to court documents, in January 2015, Lipsey and his co-defendants, Marcos Rogelio Blake and Leon White, passed or attempted to pass counterfeit Federal Reserve notes at multiple businesses in Nassau County. Law enforcement officers subsequently issued an alert for the three men. On January 17, 2015, a deputy from the Nassau County Sheriff’s Office stopped a vehicle with the three men inside. Blake, who was driving the vehicle, was detained due to a suspended license. During a search, the deputy found genuine and counterfeit bills on Blake. An inventory search of the vehicle yielded $1,600 in additional counterfeit notes and a lock box. The lock box contained computer media and supplies used to manufacture counterfeit bills.

Marcos Rogelio Blake (25, New York) and Leon White (30, Orlando) previously pleaded guilty for their roles in this case. Blake was sentenced to 18 months in federal prison and White was sentenced to time served, followed by three years of probation.

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

Tampa, FL – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging William A. Dennis (55, Spring Hill) and Thomas Herris Sigler, III (45, Land O’ Lakes) with conspiracy to interfere with an interracial couple’s enjoyment of their constitutionally protected housing rights. Dennis is also charged with making false statements to federal law enforcement officers. If convicted on all counts, Dennis faces a maximum penalty of 15 years in federal prison, and Sigler faces a maximum penalty of 10 years in federal prison. 

According to the indictment, in 2012, Dennis and Sigler were living on Seward Drive in Port Richey. After an interracial couple moved next door to the house where Sigler was residing, the men repeatedly made racial slurs and racially derogatory statements to the African-American neighbor, which escalated to verbal and physical threats.

On Halloween night, Dennis and Sigler attended a party at a neighbor’s house, where the they and several other Seward Drive residents conspired to burn a cross in the African-American man’s yard to intimidate him. The conspirators constructed a wooden cross and obtained a flammable liquid to pour on the cross. They then carried the cross to the victims’ front yard, leaned it against the victims’ mailbox, and lit the cross on fire. 

“Hate-motivated crimes will not be tolerated in our community,” said U.S. Attorney Bentley. “This case underscores our commitment to prosecute those who commit crimes driven by hatred or intolerance.”

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 Federal Bureau of Investigation.  It will be prosecuted by Assistant United States Attorneys Josephine W. Thomas and Simon A. Gaugush, with assistance from the Department of Justice’s Civil Rights Division.

After 12 weeks of trial, six defendants have been convicted for their roles in wide-ranging racketeering and drug distribution conspiracies that involved seven murders, firearms offenses and related criminal conduct.

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney A. Lee Bentley III of the Middle District of Florida and Special Agent in Charge Daryl McCrary of the Bureau of Alcohol, Tobacco, Firearms and Explosives in Tampa, Florida, made the announcement.

Nathaniel Harris, 25, aka Popo; Napoleon Harris, 32, aka Pole; Charlie Green, 29, aka Mr. 30N32; Jerry Green, 30, aka Jerk; Corey Harris, 26, aka James; and Deonte Martin, 31, aka Tang, all of Bradenton and St. Petersburg, Florida, were each convicted today of one count of drug distribution conspiracy.  Nathaniel Harris, Napoleon Harris, Charlie Green, Jerry Green and Martin were each convicted of one count of racketeering conspiracy.  In addition, Nathaniel Harris was convicted of two counts of murder and one count each of attempted murder, armed kidnapping, maintaining a house used for drug distribution, use of a firearm in furtherance of maintaining a drug house, possession with intent to distribute cocaine base and cocaine, use of a firearm in furtherance of drug crimes, felon in possession of ammunition and felon in possession of firearms and ammunition; Charlie Green was convicted of three counts of murder; Jerry Green was convicted of two counts of murder; Napoleon Harris was convicted of one count of murder and one count of felon in possession of ammunition; and Martin was convicted of one count each of murder, possession with intent to distribute cocaine base, possessing a firearm in furtherance of drug trafficking and felon in possession of a firearm. Corey Harris pleaded guilty during trial to three counts of distribution of crack cocaine.

According to evidence presented at trial, the defendants were members of a racketeering enterprise that controlled illicit drug distribution and committed murders for hire in and around Bradenton, a small community in Manatee County, Florida.  From about 2006 through 2014, evidence showed that the defendants were responsible for murdering seven individuals who had crossed members of the enterprise in some fashion or whom members had been hired to murder.  One of the murder victims was gunned down at a community center in front of hundreds of children and their parents.  Evidence presented at trial also demonstrated that the racketeering enterprise attempted to murder an eighth individual who survived but is now paralyzed and confined to a wheelchair.

Evidence presented at trial showed that the defendants’ enterprise maintained a number of so-called “trap houses” that were used to distribute cocaine, cocaine base, MDMA, oxycodone and marijuana, and used extreme violence to collect drug debts and enforce its control of the drug trafficking in its territory.  The enterprise also used threats of violence to prevent members of the community from testifying against enterprise members. 

Twelve enterprise members and co-conspirators previously pleaded guilty to drug trafficking, firearms and other offenses in connection with this case.

The Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Attorney’s Office of the Middle District of Florida investigated the case, with assistance from other federal and state and local law enforcement agencies.  Assistant U.S. Attorneys Christopher Murray, Natalie Adams and Walter “Terry” Furr of the Middle District of Florida, and Trial Attorney Marty Woelfle of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case.   

Tampa, FL – After 12 weeks of trial, six defendants have been convicted for their roles in wide-ranging racketeering and drug distribution conspiracies that involved seven murders, firearms offenses and related criminal conduct.

U.S. Attorney A. Lee Bentley III of the Middle District of Florida, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, and Special Agent in Charge Daryl McCrary of the Bureau of Alcohol, Tobacco, Firearms and Explosives in Tampa, Florida, made the announcement.

Nathaniel Harris, 25, aka Popo; Napoleon Harris, 32, aka Pole; Charlie Green, 29, aka Mr. 30N32; Jerry Green, 30, aka Jerk; Corey Harris, 26, aka James; and Deonte Martin, 31, aka Tang, all of Bradenton and St. Petersburg, Florida, were each convicted today of one count of drug distribution conspiracy.  Nathaniel Harris, Napoleon Harris, Charlie Green, Jerry Green and Martin were each convicted of one count of racketeering conspiracy.  In addition, Nathaniel Harris was convicted of two counts of murder and one count each of attempted murder, armed kidnapping, maintaining a house used for drug distribution, use of a firearm in furtherance of maintaining a drug house, possession with intent to distribute cocaine base and cocaine, use of a firearm in furtherance of drug crimes, felon in possession of ammunition and felon in possession of firearms and ammunition; Charlie Green was convicted of three counts of murder; Jerry Green was convicted of two counts of murder; Napoleon Harris was convicted of one count of murder and one count of felon in possession of ammunition; and Martin was convicted of one count each of murder, possession with intent to distribute cocaine base, possessing a firearm in furtherance of drug trafficking and felon in possession of a firearm. Corey Harris pleaded guilty during trial to three counts of distribution of crack cocaine.

According to evidence presented at trial, the defendants were members of a racketeering enterprise that controlled illicit drug distribution and committed murders for hire in and around Bradenton, a small community in Manatee County, Florida.  From about 2006 through 2014, evidence showed that the defendants were responsible for murdering seven individuals who had crossed members of the enterprise in some fashion or whom members had been hired to murder.  One of the murder victims was gunned down at a community center in front of hundreds of children and their parents.  Evidence presented at trial also demonstrated that the racketeering enterprise attempted to murder an eighth individual who survived but is now paralyzed and confined to a wheelchair.

“Today, first and foremost, our thoughts are with the families of the victims murdered by these defendants.  We are thankful that they have finally received the justice they deserve.  These six individuals were part of a ruthless criminal enterprise that, for too long, preyed on the community by committing seven murders and countless other acts of violence.  These men engaged in an escalating gang war, culminating with the public execution of Brenton Coleman during the first day of pee wee football in Bradenton,” stated U.S. Attorney Bentley.  “We are grateful for the many community members who bravely came forward and testified, despite a systematic effort at witness intimidation.  Today’s verdicts demonstrate the Department of Justice’s commitment to combating gang violence and drug trafficking.  Working in partnership with federal, state, and local law enforcement, we will continue to prosecute gang members and work to make our neighborhoods safer.”

Evidence presented at trial showed that the defendants’ enterprise maintained a number of so-called “trap houses” that were used to distribute cocaine, cocaine base, MDMA, oxycodone and marijuana, and used extreme violence to collect drug debts and enforce its control of the drug trafficking in its territory.  The enterprise also used threats of violence to prevent members of the community from testifying against enterprise members.  

Twelve enterprise members and co-conspirators previously pleaded guilty to drug trafficking, firearms and other offenses in connection with this case.

The Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Attorney’s Office of the Middle District of Florida investigated the case, with assistance from other federal and state and local law enforcement agencies.  Assistant U.S. Attorneys Christopher Murray, Natalie Adams and Walter “Terry” Furr of the Middle District of Florida, and Trial Attorney Marty Woelfle of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case.  

The medical director of a clinic in Orlando, Florida, was charged in a superseding indictment filed today for his alleged participation in a $13.8 million health care fraud scheme involving claims for expensive prescription drugs and physical therapy. 

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney A. Lee Bentley III of the Middle District of Florida and Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services-Office of Inspector General’s (HHS-OIG) Miami Regional Office made the announcement.

Miguel Burgos, M.D., 60, of Gotha, Florida, was charged with one count of conspiracy to commit health care fraud, one count of health care fraud and one count of conspiracy to make false statements relating to health care matters.  He is charged along with Yosbel Marimon, 39, of Winter Park, Florida, who was charged in the original indictment filed in this case on June 15, 2016.  Marimon faces one new count of health care fraud in connection with false claims submitted for physical therapy.  A trial date on the superseding indictment has not yet been set.

Burgos was the medical director of several Orlando-area clinics, including Legend Medical & Rehabilitation Inc., Incare Medical & Rehab Center Inc., Assisting Health Center Inc. and CKD Health Care Inc. (collectively, the clinics).  The superseding indictment alleges that from approximately July 2008 through December 2011, Burgos conspired with Marimon, one of the clinics’ owners, to defraud Medicare by causing the submission and concealment of false and fraudulent claims to Medicare.  According to the indictment, Burgos allegedly signed fraudulent medical records that authorized the unnecessary treatment of Medicare beneficiaries and did so without examining the Medicare beneficiaries or the documents themselves.  These documents were allegedly used to support fraudulent claims to Medicare for expensive prescription drugs and physical therapy that were not provided and were not medically necessary.

The indictment alleges that during the scheme, Burgos and his co-conspirators billed Medicare approximately $13.8 million based on the false and fraudulent claims. 

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

HHS-OIG investigated the case, which was brought as part of the Medicare Fraud Strike Force, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office of the Middle District of Florida.  Fraud Section Trial Attorney Timothy Loper is prosecuting the case.

Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 2,900 defendants who have collectively billed the Medicare program for more than $10 billion.  In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

Tampa, FL – The medical director of a clinic in Orlando, Florida, was charged in a superseding indictment filed today for his alleged participation in a $13.8 million health care fraud scheme involving claims for expensive prescription drugs and physical therapy. 

U.S. Attorney A. Lee Bentley III of the Middle District of Florida,  Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, and Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services-Office of Inspector General’s (HHS-OIG) Miami Regional Office made the announcement.

Miguel Burgos, M.D., 60, of Gotha, Florida, was charged with one count of conspiracy to commit health care fraud, one count of health care fraud and one count of conspiracy to make false statements relating to health care matters.  He is charged along with Yosbel Marimon, 39, of Winter Park, Florida, who was charged in the original indictment filed in this case on June 15, 2016.  Marimon faces one new count of health care fraud in connection with false claims submitted for physical therapy.  A trial date on the superseding indictment has not yet been set.

Burgos was the medical director of several Orlando-area clinics, including Legend Medical & Rehabilitation Inc., Incare Medical & Rehab Center Inc., Assisting Health Center Inc. and CKD Health Care Inc. (collectively, the clinics).  The superseding indictment alleges that from approximately July 2008 through December 2011, Burgos conspired with Marimon, one of the clinics’ owners, to defraud Medicare by causing the submission and concealment of false and fraudulent claims to Medicare.  According to the indictment, Burgos allegedly signed fraudulent medical records that authorized the unnecessary treatment of Medicare beneficiaries and did so without examining the Medicare beneficiaries or the documents themselves.  These documents were allegedly used to support fraudulent claims to Medicare for expensive prescription drugs and physical therapy that were not provided and were not medically necessary.

The indictment alleges that during the scheme, Burgos and his co-conspirators billed Medicare approximately $13.8 million based on the false and fraudulent claims. 

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

HHS-OIG investigated the case, which was brought as part of the Medicare Fraud Strike Force, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office of the Middle District of Florida.  Fraud Section Trial Attorney Timothy Loper is prosecuting the case.

Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 2,900 defendants who have collectively billed the Medicare program for more than $10 billion.  In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

Tampa, Florida – U.S. District Judge Steven D. Merryday has sentenced Alfredo Castaneda-Pozo (30, Tampa) to five years and three months in federal prison for conspiracy to commit bank fraud and bank fraud. The Court also entered a restitution order in the amount of $429,044.96, to be paid to the victims of the offenses.  Castaneda pleaded guilty on May 9, 2016.

According to court documents, from approximately May 2013 through 2015, Castaneda was a leader of a group of conspirators who stole rent payments from rent collection boxes at more than 90 apartment complexes across Florida and in Georgia.  The conspirators staked out the drop boxes, burglarized them, and kept the money orders that the victim renters had purchased to pay their rent.  The conspirators then washed or altered the original money orders, replacing the original names with their own names, and deposited the stolen money orders into accounts under their control at several banks located throughout Hillsborough and Pinellas Counties.  They shared in the proceeds of the thefts, which totaled more than $429,000. 

Six of Castaneda’s coconspirators were charged in a related case. Each previously pleaded guilty and has been sentenced as follows:

          Juan Carlos Miranda-Noda was sentenced on September 8, 2015, to eight years and one month in federal prison.           

Yensy Guevara was sentenced on January 11, 2016, to 15 months’ imprisonment.

          Heysy Puente-Lopez was sentenced on January 12, 2016, to time served.

          Yamileysi Martell-Guillen was sentenced on January 14, 2016, to 12 months’ imprisonment.

          Isnelis Torres-Limonta was sentenced on January 15, 2016, to 15 months’ imprisonment. 

          Lazaro Velazques was sentenced on February 19, 2016, to 21 months’ imprisonment. 

This case was investigated by the United States Secret Service, the Clearwater Police Department, the Hillsborough County Sheriff’s Office, the Tampa Police Department, the Pasco County Sheriff’s Office, the Temple Terrace Police Department, the St. Petersburg Police Department, the Largo Police Department, the Bradenton Police Department, the Sarasota Police Department, the Sarasota County Sheriff’s Office, the Manatee County Sheriff’s Office, and the Palmetto Police Department.  It was prosecuted by Assistant United States Attorneys Amanda Riedel and Megan Kistler.

Tampa, FL – United States Attorney A. Lee Bentley, III announces that Sidney C. Hines (67, New Port Richey) has pleaded guilty to false impersonation of a federal officer or employee of the United States.  He faces a maximum penalty of three years in federal prison. 

According to court documents, Hines received a mortgage loan secured by his home in New Port Richey and subsequently fell behind on his mortgage payments.  In an effort to help delinquent borrowers such as Hines, the Federal National Mortgage Association (“Fannie Mae”) created the HomeSaver Advance (“HSA”) loan program to help delinquent borrowers remain in their homes. On October 8, 2008, Hines obtained a HSA loan, funded by Fannie Mae, for $5,863.73.

Hines failed to make the required payments on his HSA loan and the loan was turned over to ClearSpring Loan Services, a debt collection agency.  Beginning in March 2013 and continuing through the end of 2014, Hines impersonated United States Senator Richard Durbin on multiple occasions in telephone calls he made to ClearSpring. During those calls, acting as Senator Durbin, he stated that Hines’s HSA loan had been paid in full and that the loan should be removed from his credit report. 

This case was investigated by United States Capitol Police and the Federal Housing Finance Agency – Office of Inspector General.  It is being prosecuted by Special Assistant United States Attorney Chris Poor.