District of Massachusetts

BOSTON – A Tyngsborough police officer and a Chinese national were arrested today and charged with firearms violations.

Daniel Whitman, 36, of Pelham, N.H., and Bin Lu, 49, a Chinese national residing in Westford, were charged by criminal complaint with conspiracy to violate provisions of the National Firearms Act (NFA) by making, possessing and failing to register short-barreled rifles, as well as possessing a suppressor without proper registration. The defendants will make initial appearances today in federal court in Boston.

According to the charging documents, Whitman is currently a full-time police officer with the Tyngsborough Police Department and the owner and principal manager of Hitman Firearms, LLC, a retail gun shop in Tyngsborough. Whitman maintains a Type 01 Federal Firearms License (FFL) which allows for buying, selling, transferring and gunsmithing (i.e. servicing, of firearms), but does not permit manufacturing of any type of firearms. Lu is listed on the FFL as a manager of Hitman Firearms and is also an investor in the store.

It is alleged that Lu and Whitman sought to build a large indoor shooting range, Freedom Alley Shooting Sports (FASS), which would serve regional and international customers, and offer shooting clinics and other services using funding from Chinese investors. On several occasions, Lu and Whitman did run firearms training camps, consisting of shooting and tactics trainings, for Chinese tourists. Providing such trainings to foreign nationals requires a license from the U.S. Department of State, which Whitman and Lu never applied for nor received.

Whitman and others allegedly recorded videos on a YouTube channel operated by Lu that promotes Hitman Firearms, FASS and the training camps.    

The purpose of the NFA is to regulate transactions of certain firearms, which are deemed to be more dangerous, by regulating the manufacture, possession and registration of certain firearms including short-barreled rifles (SBRs), suppressors, short-barreled shotguns and machineguns. The NFA requires registration of all NFA firearms in the National Firearms Registration and Transfer Record (NFRTR). The NFA further prohibits an FFL who is not properly registered from manufacturing or changing a firearm that originally was not an NFA weapon to create an NFA weapon.

According to the criminal complaint, Hitman Firearms does not possess the required license to manufacture, or NFA status to possess, firearms regulated by the NFA. Nevertheless, Whitman and Lu allegedly possessed and manufactured items that are covered by the NFA, including a short-barreled rifle and suppressor. 

Specifically, during a search of Hitman Firearms, a complete CMMG MK9 rifle was found in the store. The shop’s acquisition and disposition record (a/k/a A&D book) indicated that the rifle was acquired from another store in March 2016 as a lower receiver only. The investigation determined that the seized firearm is an SBR since it has an 8.625 riffle barrel and a collapsible stock. It is alleged that neither Whiteman nor Lu registered the firearm as an SBR in the NFRTR.

During the search, Lu arrived at the shop and gave federal agents permission to search the vehicle he was driving. The vehicle contained several firearms including a Sig Sauer MCX with a folding stock attached. The shop’s A&D book indicated that the firearm was acquired from another store as a pistol. However, at the time it was recovered from Lu’s vehicle, the firearm had a stock attached to the rear, which made the weapon into a rifle. The firearm was never registered as an SBR in the NFRTR. According to the charging document, at the time of the search, Lu stated that “Dan” put the stock on the end, thus making the pistol into a rifle.  

The charge of conspiracy provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; William S. Walker, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Jonathan Davidson, Special Agent in Charge of Diplomatic Security Service in Boston; and Joseph Cronin, Inspector in Charge of the U.S. Postal Inspection Service in Boston made the announcement today. Assistance was provided by the Massachusetts State Police. Assistant U.S. Attorney Eugenia M. Carris and Neil Gallagher of Lelling’s Public Corruption & Special Prosecutions Unit are prosecuting the case.

The details contained in the complaint are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – The former bookkeeper of a New Bedford-based seafood company has been charged and has agreed to plead guilty in connection with embezzling nearly $600,000 from her employer. 

Kara Howland, 37, of New Bedford, was charged with bank fraud and filing a false tax return. Under the terms of the plea agreement, the parties have agreed to a sentence, subject to the Court’s approval, of 18 to 36 months in prison, a fine and restitution. A plea hearing has not yet been scheduled by the Court. 

According to court documents, between January 2016 and December 2019, Howland embezzled $598,241 from her employer by writing checks from her employer’s bank accounts to pay her credit card bills. Howland altered the company’s internal accounting records to make it appear that the checks were paid to legitimate vendors. Additionally, Howland did not report or include the funds that she embezzled on her federal income tax filings, resulting in a tax loss of $180,863. 

The charge of bank fraud provides a sentence of up to 30 years in prison, five years of supervised release and a fine of up to $1 million or twice the gross gain or loss. The charge of filing a false tax return provides for a sentence of up to three years in prison, one year of supervised release and a fine of $100,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joleen D. Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Craig A. Marech, Resident Agent in Charge of the Providence Office of the U.S. Secret Service, made the announcement today. The New Bedford Police Department also provided assistance. Assistant U.S. Attorney Kristen A. Kearney of Lelling’s Securities, Financial & Cyber Fraud Unit is prosecuting the case.

BOSTON – A Chinese national was sentenced today in federal court in Boston for making false statements in connection with his theft of 19 vials of biological research.

Zaosong Zheng, 31, was sentenced by U.S. District Court Judge Denise J. Casper to time served (approximately 87 days), three years of supervised release and ordered removed from the United States. In December 2020, Zheng pleaded guilty to one count of making false, fictitious or fraudulent statements. Zheng was arrested on Dec. 10, 2019, at Boston’s Logan International Airport and charged by criminal complaint.

In August 2018, Zheng entered the United States on a J-1 visa and conducted cancer-cell research at Beth Israel Deaconess Medical Center in Boston from Sept. 4, 2018 to Dec. 9, 2019. On Dec. 9, 2019, Zheng stole vials of biological research, hid the vials in his luggage, and attempted to take them out of the United States aboard a flight destined for China. Federal officers at Logan Airport discovered the vials hidden in a sock inside one of Zheng’s bags, and not properly packaged. When asked by federal officers whether he was traveling with any biological items or research, Zheng lied and answered “no.” Zheng later admitted he had stolen the vials from a lab at Beth Israel. Zheng stated that he intended to bring the vials to China to use them to conduct research in his own laboratory and publish the results under his own name.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Michael Denning, Director of Field Operations, U.S. Customs and Border Protection, Boston Field Office; and William Higgins, Special Agent in Charge of the U.S. Department of Commerce, Office of Export Enforcement, Boston Field Office made the announcement today. Assistant U.S. Attorneys Benjamin Tolkoff and Jason Casey of Lelling’s National Security Unit prosecuted the case.

BOSTON – A Lawrence woman was indicted today by a federal grand jury in connection with her role in a scheme to cash checks obtained through filed fraudulent tax returns. 

Luz Paulino, 38, was indicted on one count of bank fraud conspiracy, three counts of bank fraud and three counts of aggravated identity theft. Paulino was charged by criminal complaint and arrested on Dec. 12, 2020.

As alleged in charging documents, Paulino owned Agape Financial Services, a Massachusetts company that provided tax preparation and notary services. Between approximately January 2020 and February 2020, Paulino filed tax returns with the IRS in the names and Social Security numbers of individuals who had neither hired nor authorized Paulino or Agape to use their personally identifiable information. The tax returns reported false wage, employer, and dependent information, among other things. To conceal her role in the scheme, Paulino filed the returns using the names and IRS-issued identification numbers of two former employees. Based on refunds claimed in the false tax returns, Paulino obtained Refund Advance Loan checks payable to the victims, which she and others cashed using the victims’ forged endorsements and false identification documents. 

The charges of bank fraud conspiracy and bank fraud provide for a sentence of up to 30 years in prison, five years of supervised release, a fine of $1 million, restitution and forfeiture.  The charge of aggravated identity theft provides for a mandatory sentence of two years to be served consecutively to any other sentence imposed, up to one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge, Federal Bureau of Investigation, Boston Field Division; Joleen Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations; and Lawrence Police Chief Roy P. Vasque made the announcement today. Assistant U.S. Attorney Sara Miron Bloom of Lelling’s Securities, Financial & Cyber Fraud Unit is prosecuting the case. 

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A former member of the Boston-based Devon Street Chapter of the Massachusetts Almighty Latin King and Queen Nation (“Latin Kings”) pleaded guilty today to racketeering charges.

Angel Rodriguez, a/k/a “King Ace,” 29, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for April 15, 2021.

Named for its origin on Devon Street in Boston, the Devon Street Kings or D5K Chapter of the Latin Kings, included approximately a dozen members. The Devon Street Kings, in turn, reported to the Massachusetts State Leadership of the Latin Kings, providing information, structure, funds and other resources to further the Latin Kings goals and directives in the state. During the investigation, various meetings were covertly recorded where members of the Devon Street Kings discussed the business of the racketeering enterprise.

Evidence developed during the investigation proved that Rodriguez conspired with other members and leaders of the Latin Kings to distribute controlled substances, including a video depicting Rodriguez bagging up crack cocaine for distribution. In December 2019, Rodriguez served as Chairman of the Crown Council for the D5K Chapter. The Crown Council is a body that sits independently of the leadership and provides guidance to the leadership team and resolves disputes that arise.

The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.

In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Angel Rodriguez is the 28th defendant to plead guilty in the case.

The RICO conspiracy charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and Boston Police Commissioner William Gross made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices.  Assistant U.S. Attorneys Philip A. Mallard and Lauren Graber of Lelling’s Criminal Division are prosecuting the case.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Dominican national was indicted by a federal grand jury today in connection with drug trafficking activities involving fentanyl.

Angel Aybar Carmona, 25, was indicted on one count of distribution of and possession with intent to distribute 40 grams or more of fentanyl. Carmona was previously charged by criminal complaint and has been in custody since his arrest on Dec. 8, 2020.

As alleged in charging documents, Carmona provided a sample of fentanyl along with his phone number to an undercover law enforcement officer on Dec. 2, 2020. In subsequent text message conversations with Carmona, the undercover officer arranged to purchase 120 grams of fentanyl on Dec. 8, 2020 inside a store in Lawrence. After completing the sale, Carmona was arrested. 

The charge of distribution and possession with intent to distribute 40 grams or more of fentanyl carries a mandatory minimum sentence of five years and up to 40 years in prison, a least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. Valuable assistance was provided by the Lawrence Police Department. Assistant U.S. Attorney Stephen Hassink of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Fitchburg man was charged today with being a felon in possession of a 10 mm Glock pistol.

Joel Polanco, 32, was charged by criminal complaint with one count of being a felon in possession of a firearm. Polanco is currently in state custody and will make an initial appearance in federal court at a later date.

On Oct. 24, 2020, Polanco was arrested after police responded to the area of Snow and Cherry Streets in Fitchburg following a report of a person suffering a gunshot wound to the leg. A witness reported seeing someone fitting Polanco’s description shoot the victim. In addition, surveillance videos showed a person fitting Polanco’s description carrying what appeared to be the black fanny-pack and holding an item in his hand that appeared to be a gun. According to the charging documents, Polanco shot the victim using a 10 mm Glock pistol that was later recovered from a black fanny-pack in the area of Snow Street.

Polanco is prohibited from possessing a firearm due to a March 2011 conviction in Worcester federal court of being a felon in possession of ammunition and distribution of cocaine base.

The charge of being a felon in possession of a firearm provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Fitchburg Police Chief Ernst Martineau made the announcement today. Assistant U.S. Attorney John T. Mulcahy of Lelling’s Worcester Branch Office is prosecuting the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – An Auburn man was indicted today by a federal grand jury on a child pornography charge.

Christopher Rondeau, 35, was indicted on one count of possession of child pornography and will be arraigned in federal court in Worcester at a later date. Rondeau was arrested and charged by criminal complaint on Nov. 6, 2020. 

According to the charging documents, a search was executed at Rondeau’s residence where a cell phone was found containing images and videos of child pornography. In 2016, Rondeau was convicted of receipt of child pornography and sentenced to 68 months in prison and seven years of supervised release. He was released from federal custody in August 2019 and was on supervised release at the time of his November arrest.  

Due to Rondeau’s prior conviction, the charging statute provides for a mandatory minimum sentence of 10 years and up to 20 years in prison, a minimum of five years and up to life of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Auburn Police Chief Andrew J. Sluckis, Jr; and Worcester Police Chief Steven M. Sargent made the announcement today. Assistant U.S. Attorney Danial Bennett of Lelling’s Worcester Branch Office is prosecuting the case.

The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/. 

The details contained in the charging documents are allegations.  The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – The U.S. Attorney’s Office reached an agreement today with Alliance Health and Human Services, the operator of eight skilled nursing facilities in Massachusetts, to resolve allegations that they violated the Americans with Disabilities Act (ADA) by turning away patients because they were being treated for Opioid Use Disorder (OUD).

According to the complaint, Alliance denied individuals seeking admission on more than 350 occasions because they were being treated with buprenorphine or methadone, medications used to treat OUD. These individuals were seeking admission to the facilities for health issues unrelated to their addiction, but also required that the facilities administer those treatments as they would administer any other medication. Individuals receiving treatment for OUD are generally considered disabled under the ADA, which, among other things, prohibits private healthcare providers from discriminating on the basis of disability. 

Under the terms of the agreement, Alliance will, among other things, adopt a non-discrimination policy, provide training on the ADA and OUD to admissions personnel, pay a civil penalty of $50,000 to the United States, $10,000 of which will be paid now and $40,000 of which shall be suspended and forgiven if Alliance materially complies with the terms of the agreement. 

This matter is part of an ongoing effort by the U.S. Attorney’s Office to enforce the Title III of the ADA and to eliminate discriminatory barriers to treatment for OUD. In May 2018, the U.S. Attorney’s Office reached a settlement with Charlwell House, a rehabilitation center that provides skilled nursing services. A similar settlement was reached with Athena Health Care Systems in September 2019. Today’s settlement marks the third resolution in the District of Massachusetts.

This matter was handled by Assistant U.S. Attorneys Torey Cummings and Gregory Dorchak of Lelling’s Civil Rights Unit.

The Civil Rights Unit of the U.S. Attorney’s Office was established in 2015 with the mission of enhancing federal civil rights enforcement. For more information on the Office’s civil rights efforts, please visit www.justice.gov/usao-ma/civil-rights.-

BOSTON – A Worcester man was charged yesterday with cocaine and firearm possession.

Rodney Hall, 36, was charged by criminal complaint with one count of possession with intent to distribute more than 500 grams of cocaine and one count of being a felon in possession of a firearm.  

​According to charging documents, on Sept. 30, 2020, Hall was arrested after he sold approximately 14 grams of crack cocaine for $1,500 to an individual in Worcester. At the time of his arrest, Hall had approximately $2,300 in cash, two cell phones and a key to a Mercedes-Benz.

​Law enforcement then executed a search warrant at Hall’s residence, where they located approximately 650 grams of cocaine, a loaded 9 mm Beretta semi-automatic pistol, a homemade pistol, ammunition, a digital scale, plastic baggies and approximately $7,000 in cash. Hall is prohibited from possessing a firearm due to his criminal history, which includes previous convictions for possession of a large capacity weapon and trafficking cocaine.

The charge of possession with intent to distribute more than 500 grams of cocaine provides for a sentence of at least five years and up to 40 years in prison, at least four years and up to life of supervised release and a fine of up to $5 million. The charge of being a felon in possession of a firearm provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Brian Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division made the announcement. Assistant U.S. Attorney John T. Mulcahy of Lelling’s Worcester Branch Office is prosecuting the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Lawrence man and a Methuen man were arrested yesterday and charged in federal court in Boston in connection with a scheme to use stolen identities to fraudulently obtain disaster loans from the Small Business Administration (SBA) and to launder the funds. 

Darwyn Joseph, 24, of Lawrence, and Ramon Joseph Cruz, 24, of Methuen, were each charged with one count of conspiracy to commit wire fraud and one count of aggravated identity theft. Following initial appearances in federal court, the defendants were detained pending detention hearings scheduled for Dec. 23, 2020.

According to charging documents, the defendants were involved in a conspiracy to use stolen identity information of United States citizens to apply for SBA Economic Injury Disaster Loans. Specifically, Joseph and Cruz used stolen identity information of U.S. citizens to open fraudulent bank accounts, which were then linked to other fraudulent bank accounts set up to receive the SBA funds. Joseph and Cruz also received through the mail some of the debit cards associated with fraudulent bank accounts into which SBA funds were deposited, and then laundered those funds by using them to purchase large numbers of iPhones for re-sale. Some funds were also wired to the Dominican Republic in connection with the scheme.

It is alleged that over $452,204 in SBA funds were fraudulently obtained in connection with this scheme. Approximately $250,000 of this money was used to purchase iPhones in Massachusetts and New Hampshire.

The charge of conspiracy to commit wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000 or twice the gross gain or loss from the offense. The charge of aggravated identity theft carries a mandatory two-year sentence that must run consecutively to any other sentence imposed, up to one year of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston made the announcement today. Assistant U.S. Attorneys Elianna Nuzum and Adam Deitch of Lelling’s Major Crimes Unit are prosecuting the case.

The details contained in the indictment are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of

BOSTON – A former member of the Chapter of the Latin Kings in the Massachusetts Department of Correction pleaded guilty today to racketeering charges.

Sandra Correa, a/k/a “Queen Dream,” 35, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. A sentencing date will be scheduled at a later time.  

As detailed in court filings, the Latin Kings bring disputes and related gang violence into the jails and prisons where Latin Kings are incarcerated. As a member of the Chapter of the Latin Kings responsible for the activities in the Massachusetts Department of Correction, Correa transmitted information to and from incarcerated members of the Latin Kings on behalf of the organization. This information included identities of those who would be targeted for violence in the jails and prisons, the locations of incarcerated members, the standing of certain individuals with the gang, and the status of disputes and alliances with other gangs.

The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.

In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Correa is the 27th defendant to plead guilty in the case.

The RICO conspiracy charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices.  Assistant U.S. Attorneys Philip A. Mallard and Lauren Graber of Lelling’s Criminal Division are prosecuting the case.

The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – A former member of the Connecticut Almighty Latin King and Queen Nation (“Latin Kings”) leadership body, known as the “Crown Council,” was sentenced today for racketeering conspiracy charges.

Hector Vega, a/k/a “King Demon,” 34, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to 18 months in prison and three years of supervised release. In September 2020, Vega pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy.

In addition to his membership in the Latin Kings in Connecticut, Vega also held a position in the Connecticut “Crown Council,” which was the governing body for the Latin Kings in that state. Evidence developed during the course of the investigation included recordings of Vega presiding over a Latin Kings “trial” against two Massachusetts members of the Latin Kings who had violated rules of the gang. Regional leadership of the Latin Kings chose Vega and the Connecticut Crown Council as the judges for the trial in order for the hearing to be unbiased.  After hearing evidence from members and finding the two members guilty of violating Latin Kings rules, Vega and the Crown Council ordered the beatings of both victim, which were captured on recording. Vega participated in the assault of one of the members.

The Latin Kings are a violent gang comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the criminal organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and is motivated by a desire to further its influence and to protect its turf from rival gangs.

In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Vega is the tenth defendant to be sentenced in the case.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Commissioner Carol Mici of the Massachusetts Department of Correction made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorneys Philip A. Mallard and Lauren Graber of Lelling’s Criminal Division are prosecuting the case.

The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – A Honduran national pleaded guilty today in federal court in Worcester to illegally reentering the United States.

Milton Javier Cardona-Guevara, 34, pleaded guilty to one count of illegal re-entry into the United States after deportation. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for April 9, 2021. Cardona-Guevara was charged in November 2020.

On Aug. 13, 2006, Cardona-Guevara illegally entered the United States and was convicted of improper entry by an alien in August 2006. On Sept. 5, 2006, he was removed from the U.S. In 2008 and 2011, Cardona-Guevara was apprehended after illegally entering the United States and was deported. On Oct. 2, 2018, Cardona-Guevara was arrested in Worcester County for assault with a dangerous weapon. Cardona-Guevara admitted to immigration authorities that he had been deported three times previously. On Jan. 25, 2019, he was removed from the U.S. On Oct. 13, 2020, Cardona-Guevara was arrested in Worcester on an outstanding warrant for criminal charges and had been custody on state criminal charges until he was charged in this case.

The charging statute provides for a sentence of up to two years in prison, up to one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Todd Lyons, Field Office Director, Enforcement and Removal Operations, U.S. Immigration and Customs Enforcement, Boston made the announcement. Assistant U.S. Attorney John T. Mulcahy of Lelling’s Worcester Branch Office is prosecuting the case.

BOSTON – A former employee of the Houston Independent School District was sentenced today in connection with her involvement in a scheme to use bribery and fraud to facilitate cheating on the ACT and SAT exams.

Niki D. Williams, 46, of Houston, Texas, was sentenced by U.S. District Court Judge Indira Talwani to one year of probation and ordered to pay forfeiture of $12,500. The government recommended a sentence of six months in prison and one year of supervised release. In September 2020, Williams pleaded guilty to one count of conspiracy to commit wire fraud and mail fraud and honest services wire fraud and mail fraud.

Williams administered the SAT and ACT exams at the public high school in Houston where she worked. In exchange for bribe payments directed to her by co-conspirators William “Rick” Singer and Martin Fox, and in violation of her duty of honest services to the ACT and the College Board, Williams allowed another co-conspirator, Mark Riddell, to secretly take ACT and SAT tests in place of the children of Singer’s clients or to replace their exam answers with his own corrected answers. Williams then returned the falsified exams to the ACT and College Board for scoring.

Singer, Riddell and Fox previously pleaded guilty and are cooperating with the government’s investigation.

Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Joleen Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Mark Deckett, Resident Agent in Charge of the Department of Education, Office of Inspector General made the announcement today. Assistant U.S. Attorneys Justin D. O’Connell, Leslie A. Wright, Kristen A. Kearney, Stephen E. Frank and Karin M. Bell of Lelling’s Criminal Division are prosecuting the case.

The details contained in the charging documents are allegations. The remaining defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – Two brothers were indicted by a federal grand jury this week in connection with conspiring to distribute hundreds of grams of fentanyl in Lawrence.

Jose Manuel Carmona-Mercedes, 30, and Gabriel Carmona-Pimentel, 35, were indicted on charges of conspiracy to distribute 400 grams or more of fentanyl, distribution of fentanyl, and possession with intent to distribute 400 grams or more of fentanyl.

According to charging documents, in late 2019, investigators identified Carmona-Mercedes and Carmona-Pimentel as large-scale fentanyl dealers operating in Lawrence. On four occasions in January and February 2020, an undercover police officer ordered fentanyl from Carmona-Mercedes. After the undercover officer ordered a quantity of fentanyl and negotiated the price, either Carmona-Pimentel or Carmona-Mercedes or both would deliver the fentanyl to the undercover officer from a base of operations on Lexington Street in Lawrence. On Feb. 25, 2020, after Carmona-Pimentel delivered 220 grams of fentanyl to the undercover officer, Carmona-Mercedes and Carmona-Pimentel were arrested. A search of the Lexington Street location resulted in the seizure of 1200 grams of fentanyl, documents in Carmona-Mercedes and Carmona-Pimentel’s names, plastic baggies commonly used to package drugs for street-level sales, blenders, suspected cut and digital scales.

The charge of conspiracy to distribute and possession with intent to distribute 400 grams or more of fentanyl provides for a minimum sentence of 10 years and up to life in prison, at least five years of supervised release and a fine of up to $10 million. The charge of distribution of fentanyl carries a sentence of up to 20 years in prison, at least three years of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigations in Boston; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Lawrence Police Chief Roy Vasque; and Essex County District Attorney Jonathan Blodgett made the announcement today. Assistant U.S. Attorney Christopher Pohl of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.

The details contained in the indictment are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Quincy man pleaded guilty yesterday in federal court in Boston in connection with selling a lanyard that falsely claimed to protect against viruses.

Jiule Lin, 38, pleaded guilty to an Information charging him with one count of distribution and sale of an unregistered pesticide. A sentencing date has not yet been scheduled by the court.

“At the height of a raging pandemic killing thousands of people a day, this defendant tried to profit from conning people into believing that a pesticide-coated lanyard would protect them from viruses like COVID-19. This was dangerous, opportunistic fraud,” said United States Attorney Andrew E. Lelling.  “We will always pursue these kinds of cases - I have zero tolerance for people who take advantage of the fears of others during a national health crisis.”

“Bogus claims by sellers claiming to offer products that control viruses continues to pose a risk to consumers nationwide,” said Tyler Amon, Special Agent in Charge for U.S. Environmental Protection Agency (EPA) Criminal Investigation Division for New England.  “EPA and our law enforcement partners will continue to focus efforts on stopping the sale of these illegal products. Consumers can help protect themselves by visiting epa.gov/coronavirus for a list of EPA approved disinfectant products.”

Beginning in March and April 2020, Lin listed for sale on eBay an unregistered pesticide, “Toamit Virus Shut Out,” to buyers across the United States. Based on Lin’s eBay listing, the pesticide took the form of a card-shaped device to be worn as a lanyard around the user’s neck. The eBay listing depicted the removal of germs or viruses through the wearing of the device. Other online listings for the same product included the explicit claim that the product would protect the buyer or wearer of the product from viruses or bacteria, stating that the product’s main ingredient was chlorine dioxide and showed images of the device’s purported removal of bacteria, germs and viruses.

Under the Federal Insecticide, Fungicide and Rodenticide Act (FIFRA), the EPA regulates the production, sale, distribution and use of pesticides in the United States. A pesticide is any substance intended for preventing, destroying, repelling, or mitigating any pest, including viruses. Pesticides must be registered with the EPA. Toamit Virus Shut Out was not registered, and it is illegal to distribute or sell unregistered pesticides.

“HSI remains committed to investigating individuals and companies who seek to exploit our citizens through criminal means. Fraudulent schemes that have an effect on the health and safety of the public, especially during a national pandemic, are deplorable,” said David Magdycz, Acting Special Agent in Charge, Homeland Security Investigations (HSI), Boston. “Comprising legitimate trade and endangering American citizens is a serious offense. HSI will continue to work hand in hand with our federal partners and the United States Attorney’s Office to pursue this criminal activity.”

The charging statute provides for a sentence of up to one year in prison and a fine of $25,000. Sentences are imposed by a federal judge based on the U.S. Sentencing Guidelines and other statutory factors.

U.S. Attorney Lelling; Boston EPA-CID SAC Amon; Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; HSI Boston Acting SAC Magdycz; Jeffrey Ebersole, Special Agent in Charge of the U.S. Food and Drug Administration, Office of Criminal Investigation, New York Field Office; and Quincy Police Chief Paul Keenan made the announcement. Assistant U.S. Attorney Adam Deitch of Lelling’s Major Crimes Unit is prosecuting the case.

BOSTON – A Lancaster man pleaded guilty today in federal court in Worcester to three bank robberies.

Matthew Alden, 26, pleaded guilty to three counts of bank robbery before U.S. District Court Judge Timothy Hillman who scheduled sentencing for April 8, 2021. 

On Dec. 12, 2019, Alden entered the Cornerstone Bank on South Main Street in Leicester and made statements to the bank tellers such as “give me all the money,” “no dye packs,” and “I’m not going to hurt anyone.” Alden wore a black leather jacket, black sweatshirt, tan pants, a black hat, a black and white bandana over his face, glasses and black gloves. Alden stole $9,906, placed the cash into a black drawstring bag and fled the scene.  

On Dec. 27, 2019, Alden entered the Avidia Savings Bank on Maple Street in Marlborough and made statements to the tellers such as “give me all your money so no one gets hurt. No dye packs, no GPS, no banded cash.” Alden wore black shoes, black pants, black sweatshirt, black leather jacket, black gloves and a black and white bandana over his face. Alden stole $3,390, which he placed into a black drawstring bag before fleeing the scene.

On Feb. 21, 2020, Alden entered the Avidia Bank on Maple Avenue in Shrewsbury. He wore a dark winter jacket with fur on the hood, black gloves, a black ski mask over his face, blue jeans and black boots. Alden stated to the tellers “give me all the money,” and stole $1,028.

On Feb. 26, 2020, federal agents arrested Alden who was in possession of a notepad with a list of 12 banks in Massachusetts and New Hampshire and their closing times on Thursdays and Fridays.

A search warrant executed at Alden’s house recovered, among other items, a black leather jacket identical to that worn during the Leicester/Marlborough robberies, a black/white bandana, and a dark winter jacket with a fur hood attachment and black boots, identical to those worn during the Shrewsbury robbery.   

The charging statute provides for a sentence of up to 20 years in prison, three years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement. Assistance was provided by the Massachusetts State Police and the Westford, Athol, Lunenberg, Leicester, Marlborough, Framingham, Foxborough, Shrewsbury, Millbury, Lancaster, and Nashua (N.H.) Police Departmens. Assistant U.S. Attorney Lucy Sun of Lelling’s Worcester Branch Office is prosecuting the case.

BOSTON – A married couple was arrested last night in Texas on federal fraud charges arising from their claims for Pandemic Unemployment Assistance (PUA) funds. The defendants previously served jail time.

Tiffany Pacheco, a/k/a Tiffany Tavery, 35, and Arthur Pacheco, 47, who, until recently, resided in New Bedford, Mass., were charged by criminal complaint with one count of conspiracy to commit wire fraud. Tiffany Pacheco was also charged with one count of wire fraud. The defendants were arrested in San Antonio, Texas last night and will make an appearance in the Western District of Texas today.

According to charging documents, Tiffany was hired by the Massachusetts Department of Unemployment Assistance (DUA) in April 2020, shortly after her release from federal prison following a conviction for aggravated identity theft. While employed by DUA, Tiffany allegedly misused her position to submit fraudulent PUA claim information on behalf of herself and her husband, Arthur, who was incarcerated in Texas until Sept. 4, 2020, and thus ineligible for PUA funds.

Specifically, it is alleged that in June 2020, PUA claims submitted for Tiffany and her husband reflected 2019 income of $0 and no dependents. In July 2020, via her employment with DUA, Tiffany obtained access to the PUA computer system, and later changed claim information for herself and Arthur so as to increase the amount of PUA funds they would receive. For example, Tiffany allegedly increased the amount of 2019 income for her and Arthur to more than $240,000, and increased the number of their dependents to seven. Tiffany further used her access to the PUA system to verify the increased reported 2019 income on both claims without the required income verification documents.

It is further alleged that the PUA claim for Arthur was fraudulent because was incarcerated in Texas until Sept. 4, 2020, and thus ineligible for PUA funds. In November 2020, Arthur called DUA and falsely denied that he had been incarcerated during the timeframe leading up to September 2020, and that he was only incarcerated for approximately a month.  Tiffany also spoke with DUA and misrepresented the period of time for which Arthur had been incarcerated.

A search warrant executed on Sept. 22, 2020 at a New Bedford apartment where Tiffany and Arthur resided uncovered various tools of identity fraud, including an ID laminator, 100 blank ID cards, 68 hologram overlays, 150 card lamination sheets and 649 sheets of blank checks. Law enforcement also seized approximately $17,000 cash and a notebook that appeared to contain the personal identifying information of various individuals. On Sept. 23, 2020, DUA terminated Tiffany’s employment.

The charges of conspiracy to commit wire fraud and wire fraud provide for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

The investigation was conducted by Homeland Security’s Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized field investigative group comprised of personnel from various local, state, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity, and benefit fraud schemes.

United States Attorney Andrew E. Lelling; David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Labor Racketeering and Fraud Investigation made the announcement. The New Bedford Police Department, Massachusetts Parole Board and Massachusetts Department of Unemployment Assistance, Program Integrity Unit provided valuable assistance with the investigation. Assistant U.S. Attorneys Bill Abely and Dustin Chao of Lelling’s Criminal Division are prosecuting the case.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Northborough man pleaded guilty today in federal court in Worcester to his role in more than $600,000 in fraud schemes targeting elderly victims, and agreeing to launder the proceeds of such schemes and other criminal activity.

Austin Nedved, 29, pleaded guilty to aiding and abetting wire fraud and money laundering conspiracy. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for April 7, 2020. Nedved is in custody serving a sentence for a separate fraud conviction in the Eastern District of Kentucky. 

Nedved admitted that he ran a business in which he bought and sold digital currencies, including Bitcoin, for cash. Nedved advertised his services under the screen name “USMC1991” over LocalBitcoins.com and Paxful.com, two online businesses that matched Bitcoin buyers and sellers and facilitated their transactions.

From at least 2017 through 2019, Nedved aided and abetted romance and lottery schemes targeting vulnerable victims. In romance schemes, victims are targeted to send money abroad to people they believe to be romantic interests, while in lottery schemes victims are convinced that they can obtain lottery winnings or sizeable government grants by forwarding cash for administrative fees or expenses to the fraudsters. Despite knowing or being willfully blind to the fact that his customers were fraud victims, Nedved sold Bitcoin to them so that they could send money overseas to the fraudsters.

In late 2017, an individual posing as “Jonathan G.” led a 78-year old victim to believe over social media that he was a Weston, Mass. businessman who owned an oil company. Without ever meeting “Jonathan G.” in person, the victim fell in love and agreed to marry him. “Jonathan G.” then falsely told the victim that his oil company had experienced an accident abroad in which people had died, and that he needed money to settle obligations arising from the accident with a foreign government. “Jonathan G.” claimed that until he did so, he would not be able to return to the United States to marry the victim. “Jonathan G.” told the victim to pay him via Bitcoin. The victim, who had never before purchased digital currency, agreed to send him money and contacted Nedved by phone and text message in Massachusetts to arrange a cash-for-Bitcoin transaction.

On June 25, 2018, in a parking lot in Kittery, Maine, the victim gave Nedved a cashier’s check to purchase approximately $100,000 in bitcoin. Nedved then released approximately $100,000 in Bitcoin, less his commission, to a Bitcoin wallet controlled by “Jonathan G.” When Nedved accepted $100,000 from the victim, Nedved knew or was willfully blind to the fact that the victim was a romance scam victim. On June 29, 2018, in Leominster, Nedved and a co-conspirator took another $40,000 from the victim. 

In total, Nedved and co-conspirators, in exchange for payment, converted to Bitcoin more than $630,000 in cash that they received from others, knowing that the cash constituted proceeds of romance and lottery scams and other unlawful activities. They then either returned the proceeds in Bitcoin to the source of the cash or forwarded the Bitcoin proceeds to unidentified third parties. 

The charges of aiding and abetting wire fraud provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000 or twice the gross gain or loss, whichever is greater. The charge of money laundering conspiracy provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $500,000 or twice the value of the funds involved in the financial transactions that were the object of conspiracy.  Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Joleen Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations made the announcement today. Assistant U.S. Attorney Seth B. Kosto, Deputy Chief of Lelling’s Securities, Financial & Cyber Fraud Unit, is prosecuting the case. 

BOSTON – A Florida man pleaded guilty today in federal court in Boston in connection with the fraudulent abuse of the U.S. Postal Service’s (USPS) Informed Delivery electronic notification system.

Fred Alcius, 28, of Lauderhill, Fla., pleaded guilty to one count of conspiracy to commit wire fraud and two counts of aggravated identity theft. U.S. District Court Judge Indira Talwani scheduled sentencing for March 26, 2021.

In June 2019, Alcius was indicted along with co-defendant Lucson Appolon, who previously pleaded guilty and was sentenced to two years in prison. Co-conspirators Peter Belony and Kevens Louis were previously sentenced to 24 and 27 months in prison, respectively.

Informed Delivery is a free electronic notification service provided by the USPS that gives residential and P.O. Box customers the ability to digitally preview their incoming mail and manage their packages.

The defendants accessed victims’ personal identifying information, including names, Social Security numbers, dates of birth, and addresses on the “dark web” and then used the information to open credit cards in the victims’ names. The defendants then subscribed to Informed Delivery using the victims’ personal identifying information and a fraudulent email address created to track the delivery of credit cards to the victims’ residential mailboxes. The defendants subsequently intercepted the credit cards at the victims’ mailboxes before the victims could receive them and used those credit cards at ATMs and to purchase gift cards and other items for resale at Apple and Walmart, among other retail establishments. The defendants traveled to states up and down the East Coast in furtherance of the fraud, including Maine and Massachusetts.

The charge of conspiracy to commit wire fraud carries a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of aggravated identity theft carries a mandatory minimum sentence of two years in prison, to be served consecutive to any other sentence imposed, one year of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service made the announcement today. Assistant U.S. Attorney Mackenzie A. Queenin of Lelling’s Securities, Financial & Cyber Fraud Unit is prosecuting the case.

BOSTON – Cambridge-based pharmaceutical company Biogen Inc. has agreed to pay $22 million to resolve allegations that it violated the False Claims Act by illegally using two foundations, Chronic Disease Fund (CDF) and The Assistance Fund (TAF), as conduits to pay the Medicare co-pays for patients taking Biogen’s multiple sclerosis (MS) drugs, Avonex and Tysabri.

Advanced Care Scripts (ACS), a specialty pharmacy that performed services for Biogen, has agreed to pay $1.4 million to resolve allegations that it conspired with Biogen to enable Biogen to use CDF and TAF as conduits for Biogen to pay Medicare co-pays for Avonex and Tysabri patients.

In separate settlements in late 2019, CDF paid $2 million and TAF paid $4 million to resolve allegations concerning their respective roles in enabling certain pharmaceutical companies to pay kickbacks to Medicare patients.

When a Medicare beneficiary obtains a prescription drug covered by Medicare Part D, the beneficiary may be required to make a partial payment, which may take the form of a co-payment, co-insurance, or deductible (collectively, co-pays). Congress included co-pay requirements in these programs, in part, to encourage market forces to serve as a check on health care costs, including the prices that pharmaceutical manufacturers can demand for their drugs. The Anti-Kickback Statute prohibits pharmaceutical companies from offering or paying, directly or indirectly, any remuneration – which involves money or any other thing of value – to induce Medicare patients to purchase the companies’ drugs. 

As part of today’s settlements, the government alleged that Biogen, acting with ACS’s help, used CDF and TAF, each of which claimed status as a nonprofit organization for tax purposes, as conduits to pay the co-pay obligations of thousands of Medicare patients taking Avonex and Tysabri. According to the government’s allegations, Biogen used CDF and TAF, which Biogen paid, to cover Avonex and Tysabri patients’ co-pays to induce those patients’ Medicare-reimbursed purchases of the drugs. 

The government specifically alleges that in 2011, Biogen identified Medicare-eligible Avonex patients in Biogen’s free drug program, and arranged for ACS to transfer those patients from the Biogen free drug program to CDF, so that CDF could cover those patients’ Medicare co-pays and the patients’ purchases of Avonex would generate Medicare revenue for Biogen. Biogen then paid CDF, and ACS promptly sent CDF batch files of co-pay assistance applications for Medicare-eligible Avonex patients who had been receiving the free drug from Biogen. CDF subsequently approved most of those applications and covered the costs of those patients’ Medicare co-pays for Avonex.   

The government further alleges that in 2012, Biogen identified Medicare-eligible Tysabri patients in Biogen’s free drug program, and arranged for ACS to transfer those patients from the Biogen free drug program to TAF, so that TAF could cover those patients’ Medicare co-pays and the patients’ purchases of Tysabri would generate Medicare revenue for Biogen. Biogen made payments to TAF in the second and third quarters of 2012, and each time ACS then transferred to TAF batch files of co-pay assistance applications for Medicare-eligible patients who had been receiving the free drug from Biogen. TAF subsequently paid most or all those patients’ Medicare co-pays for Tysabri. The government further alleges that, in 2013, in much the same fashion, Biogen worked with ACS again to transition Medicare-eligible Tysabri patients out of Biogen’s free drug program to CDF, which Biogen paid so that CDF would cover those patients’ Medicare co-pays for Tysabri and Biogen would receive the resulting Medicare reimbursement revenue.

“Biogen coordinated with ACS to game the system, time its payments, and direct its money to cover co-pay costs for patients using its drugs,” said First Assistant United States Attorney Nathaniel R. Mendell.  “By using co-pay foundations this way – as a conduit to pay for co-pays for Biogen patients – Biogen violated the anti-kickback statute and undermined Medicare’s co-pay structure, which Congress designed to safeguard against inflated drug prices. We commend ACS for resolving this matter expeditiously and Biogen for resolving this matter on a cooperative basis.” 

“The resolution announced today, like prior settlements concerning similar misconduct, demonstrates the government’s commitment to hold accountable companies that pay kickbacks to undermine important constraints on rising drug costs,” said Acting Assistant Attorney Jeffrey Bossert Clark of the Department of Justice’s Civil Division. “Drug companies that illegally manipulate charitable patient assistance programs to subsidize copays for their own products will be held accountable.” 

“Kickback schemes can undermine our healthcare system and lead to higher costs for the Medicare program,” said Phillip Coyne, Special Agent in Charge, Office of the Inspector General of the Department of Health and Human Service’s Boston Regional Office. “We will continue to hold pharmaceutical companies and specialty pharmacies accountable if they work together to subvert the charitable donation process and violate the prohibition on the payment of kickbacks.”

“Biogen tried to unfairly boost its bottom line by working with Advanced Care Scripts to bill Medicare for those who were already receiving their drug for free, undermining Medicare’s co-pay structure which was set up to safeguard against inflated drug prices,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “Kickback schemes like this one undermine our healthcare system, can compromise medical decisions, and waste taxpayer dollars. The FBI will continue to work with our partners to hold accountable those who conspire to disguise kickbacks as charitable contributions, at the expense of the Medicare program.”

Since 2017 the U.S. Attorney’s Office has collected over $1 billion from eleven pharmaceutical companies that allegedly used third-party foundations as conduits to pay kickbacks. The Department also has reached settlements with four foundations, as well with ACS concerning its relationship with a different pharmaceutical company.

The False Claims Act settlements resolve allegations originally brought in lawsuits filed by whistleblowers under the qui tam provisions of the False Claims Act, which allow private parties to bring suit on behalf of the government and to share in any recovery. In connection with today’s announced settlement, the relator will receive approximately $3.96 million of the recovery.

First Assistant U.S. Attorney Mendell, Acting Assistant Attorney General Clark, HHS-OIG SAC Coyne, and Boston FBI SAC Bonavolanta made the announcement today. The matter was handled by Assistant U.S. Attorneys Abraham R. George, Evan Panich and Gregg Shapiro of Lelling’s Affirmative Civil Enforcement Unit, with assistance from Trial Attorneys Augie Ripa and Sarah Arni of the Department of Justice’s Civil Division.

BOSTON – A vendor for several Veterans Affairs medical facilities was sentenced today for defrauding the VA by creating false invoices and reports for medical gas inspections that never took place.

Chester Wojcik, 49, of Agawam, Mass., was sentenced by U.S. District Court Judge Mark G. Mastroianni to two years of probation. In August 2020, Wojcik pleaded guilty to one count of wire fraud.

Wojcik, as the owner of Alliance Medical Gas Corporation, engaged in a scheme from May 29, 2014, through March 5, 2015 to defraud the VA by creating false invoices and reports for medical gas inspections that never took place. Medical gas supply systems deliver piped gases, including compressed air, nitrous oxide, nitrogen and carbon dioxide into operating rooms, recovery rooms and patient rooms. Medical gas supply systems must be inspected and maintained regularly to ensure the safety of patients and medical professionals, and to prevent gas leaks, explosions and other safety hazards. Wojcik failed to perform scheduled inspections of medical gas systems at VA facilities in Sioux Falls, S.D., Tuskegee, Ala. and Montgomery, Ala. and later lied to VA facilities and federal investigators about the offense. Wojcik was paid $8,981 by the VA for services that his company did not perform.

United States Attorney Andrew E. Lelling; Christopher Algieri, Special Agent in Charge of the U.S. Department of Veterans Affairs, Office of Inspector General, Northeast Field Office; and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. Assistant U.S. Attorney Elysa Q. Wan of Lelling’s Health Care Fraud Unit prosecuted the case.

BOSTON – Thirteen people have been charged in federal court in Boston in connection with a Lawrence-based fentanyl and cocaine conspiracy.

The investigation, which began in May 2018 and intercepted communications on numerous cellphones, revealed that the defendants actively distributed fentanyl and cocaine and that their drug trafficking activities extended throughout Massachusetts, southern New Hampshire and Maine.

The following individuals were charged by criminal complaint with conspiracy to distribute and possess with intent to distribute 400 grams of more of fentanyl and cocaine:

1.            Anny Cruz, 37, of Lawrence, Mass.;

2.            Jorge Luis Diaz, a/k/a Cosita, 33, a Dominican national residing in Ayden, N.C.;

3.            Oliver Alexander Perez Soto, a/k/a Demonio, 45, a Dominican national residing in Lawrence, Mass.;

4.            Joel Saldana, a/k/a Flaco, 42, a Dominican national residing in Lawrence, Mass.;

5.            Oscar David Mejia Rodriguez, a/k/a Manguera, 53, a Dominican national residing in Methuen, Mass.;

6.            Jorge Ramon Rodriguez Jimenez, a/k/a Cibao, 47, a Dominican national residing in Lawrence, Mass.;

7.            Junior Rafael De La Rosa, 22, a Dominican national residing in Lawrence, Mass.;

8.            Rosalba Bernechea a/k/a Rebusera, 19, of Lawrence, Mass.;

9.            Elvin Mendoza, 24, of Lawrence, Mass.;            

10.         James Cann, 55, of Billerica, Mass.;

11.         Hector Mejia, a/k/a Tio, 59, of Lawrence, Mass.;

12.         Jesus Rojas, 27, of Lawrence, Mass.; and

13.         Erick Andres Martinez, 20, of Haverhill, Mass.;

According to the criminal complaint, the investigation revealed that Diaz, Cruz, and Perez Soto led a drug trafficking organization that distributed drugs throughout the Merrimack Valley. Flaco, Mejia Rodriguez, Rodriguez Jimenez, and others were drug sources for this drug trafficking organization. De La Rosa worked at the direction of Rodriguez Jimenez. Bernechea, Mendoza, Cann, Mejia, Rojas, and Martinez worked at the direction of Diaz, Cruz, and Perez Soto distributing fentanyl and cocaine.

Today, agents seized approximately $74,000 cash and approximately four kilograms of suspected fentanyl after executing search warrants across various locations in Billerica, Methuen, Lawrence, and Ayden, N.C.

The charge of conspiracy to distribute and possess with intent to distribute 400 grams or more of fentanyl provides for a sentence of at least 10 years and up to life in prison, at least five years and up to life of supervised release and a fine of up to $10 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement. Valuable assistance was provided by Homeland Security Investigations in Boston and the Andover, Billerica, Haverhill, Lawrence, Lowell, Methuen, North Andover, Salem (NH), Tewksbury, and Wilmington Police Departments. Assistant U.S. Attorney Philip C. Cheng of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Randolph was arrested yesterday and charged with sex trafficking a minor.

Admilson Pires, 23, was indicted on one count of conspiracy to commit sex trafficking of a minor and one count of sex trafficking of a minor. Following an initial appearance in federal court in Boston, Pires was detained pending an arraignment and detention hearing scheduled for Dec. 22, 2020.

According to the indictment, Pires trafficked a minor in Norwood in July and August 2019.

The charge of sex trafficking a minor provides for a mandatory minimum sentence of 10 years and up to life in prison, five years of supervised release and a fine of $250,000. The charge of conspiracy to commit sex trafficking of a minor provides for a sentence of up to life in prison, five years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Arlington Police Chief Juliann Flaherty; Norwood Police Chief William G. Brooks; and Commissioner Carol Mici of the Massachusetts Department of Corrections made the announcement today. Valuable assistance was provided by the Boston and Randolph Police Departments and the Massachusetts State Police. The case was investigated by the Human Trafficking-Child Exploitation Task Force. Assistant U.S. Attorney Timothy E. Moran of Lelling’s Civil Rights Enforcement Team is prosecuting the case.

The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A leader of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) was sentenced today for drug conspiracy charges.

Bienvenido Nunez, a/k/a “King Apache,” 33, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to 18 months in prison and three years of supervised release. In October 2020, Nunez pleaded guilty to conspiracy to distribute cocaine base. Nunez was charged in December 2019, at which time he was identified as the Inca, or leader, of the Massachusetts Latin Kings.

Nunez admitted that he conspired with other Latin Kings members and leaders to possess cocaine base (also known as crack cocaine) with the intent to distribute it. In September 2019, Nunez conspired with others to obtain cocaine base from members of the Latin Kings in New Bedford for resale. On Sept. 29, 2019, Nunez was captured in a video recording in the basement of a Latin Kings trap house in New Bedford bagging about an amount of cocaine base for street-level distribution.

The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.

In December 2019, a federal grand jury in Boston returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Bienvenido Nunez is the eighth defendant to be sentenced in the case.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and Worcester Police Chief Steven M. Sargent made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices.  Assistant U.S. Attorney Philip A. Mallard and Lauren Graber of Lelling’s Criminal Division are prosecuting the case.

The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – A former leader of the New Bedford Chapter of the Almighty Latin King and Queen Nation (“Latin Kings”) was sentenced today for drug conspiracy charges.

Xavier Valentin-Soto, a/k/a “King X,” 33, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to 65 months in prison and three years of supervised release after pleading guilty in September 2020 to conspiracy to distribute cocaine. Valentin-Soto was charged in December 2019, while serving a related sentence in state prison. Prior to his incarceration on the state charges, Valentin-Soto was the Cacique (or second-in-command) of the New Bedford Chapter of the Latin Kings.

Valentin-Soto admitted that he conspired with other Latin Kings members and leaders to distribute cocaine and cocaine base in and around New Bedford. As Cacique, Valentin-Soto held a leadership role in the drug distribution conspiracy that the Latin Kings maintained in and around multiple trap houses throughout the north side of New Bedford.

Valentin-Soto was arrested in July 2017, when local police executed a search warrant at a Latin Kings trap house in north New Bedford and located cocaine and materials for the packaging and distribution of controlled substances. Valentin-Soto was charged in state court, but released after posting bail. While on pretrial release for the state charges, Valentin-Soto sold a total of 160 grams of cocaine powder to a cooperating witness over the course of three recorded purchases in early 2019.  

The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.

In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Xavier Valentin-Soto is the ninth defendant to be sentenced in the case.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices.  Assistant U.S. Attorney Philip A. Mallard and Mark Grady of Lelling’s Criminal Division are prosecuting the case.

The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – A Dominican national was sentenced today in federal court in Boston for heroin trafficking.

Alexander Martinez-Peguero, 38, who previously resided in Lawrence, was sentenced by U.S. District Court Judge Allison D. Burroughs to 30 months in prison and two years of supervised release. In January 2020, he pleaded guilty to conspiracy to distribute and possession with intent to distribute 100 grams or more of heroin. In January 2019, Alexander was charged along with his brother, Angel Martinez-Peguero, 28, who pleaded guilty and is scheduled to be sentenced on Jan. 14, 2021.

On Dec. 20, 2018, investigators seized nearly one kilogram of heroin from the Martinez-Peguero brothers during a law enforcement operation in Lawrence. Investigators also seized a loaded semi-automatic pistol from Angel Martinez-Peguero’s waistband upon his arrest. During a search of the Martinez-Peguero brother’s residence agents seized over $15,000 cash and $17,000 worth of jewelry.

United States Attorney Andrew Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration’s New England Division; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement today. Assistant U.S. Attorney Philip C. Cheng of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.

BOSTON – A Boston man was arrested yesterday and charged with a child pornography offense.

Paul Fest, 50, was charged by criminal complaint with one count of possession of child pornography. Following an initial appearance yesterday before U.S. Magistrate Judge Donald L. Cabell, Fest was detained pending a probable cause and detention hearing scheduled for Dec. 18, 2020.

According to the charging documents, agents executed a search warrant at Fest’s Beacon Hill residence yesterday morning and seized a computer and multiple external storage devices. During the preliminary on-scene review of one thumb drive, nearly 100 videos of child pornography were discovered.

Due to his prior felony conviction, Fest faces a mandatory minimum sentence of 10 years and up to 20 years in prison, five years and up to life of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Boston Police Commissioner William Gross made the announcement. Assistant U.S. Attorney Charles Dell’Anno of Lelling’s Major Crimes Unit is prosecuting the case.

The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.

The details contained in the criminal complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Fall River woman was sentenced today in federal court for stealing Social Security disability benefits.   

Gloria Camara, 58, was sentenced by U.S. District Court Judge Indira Talwani to time served and three years of supervised release, with the first five months to be served on home confinement. She also was ordered to pay restitution to the Social Security Administration (SSA) in the amount of $84,222. In August 2020, Camara pleaded guilty to one count of theft of public funds and one count of making a false statement.

Camara began receiving Social Security disability benefits in 1992. In November 2009, she began working as a caregiver, but she did not report her income to the SSA. Instead, during periodic eligibility reviews, including a review on April 20, 2017, Camara falsely told Social Security that her only income consisted of three months of unemployment compensation benefits in 2008, and sporadic wages from two companies between 2003 and 2011. Because she did not report her earnings as a caregiver, Camara stole approximately $84,222 in Social Security benefits from November 2009 through October 2019.

United States Attorney Andrew E. Lelling and Tonya Perkins, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit prosecuted the case.

BOSTON – A Dorchester woman was sentenced today for stealing over $80,000 in Social Security and Supplemental Nutrition Assistance Program (SNAP) benefits.    

Phaedra M. Sheets, 46, was sentenced by U.S. District Court Judge Patti B. Saris to eight months of home confinement and three years of supervised release. Sheets also was ordered to pay restitution of $85,559 to the Social Security Administration (SSA) and to the Massachusetts Department of Transitional Assistance. In September 2020, Sheets pleaded guilty to two counts of theft of public funds.

Sheets’ mother was receiving Social Security benefits and SNAP benefits at the time of her death in November 2009. Her death was never reported to the SSA nor to the Massachusetts Department of Transitional Assistance, and the agencies continued to pay monthly benefits on her behalf. When SSA attempted to contact Sheets’ mother to perform a review of her benefits claim, Sheets posed as her mother and directed SSA to deposit her mother’s benefits into various bank accounts, from which Sheets withdrew the funds. Sheets also impersonated her deceased mother in interactions with the Department of Transitional Assistance and used her mother’s SNAP card to make purchases for nearly nine years after her death.

From December 2009 to September 2018, Sheets stole approximately $71,636 in Social Security benefits and approximately $13,923 in SNAP benefits.

United States Attorney Andrew E. Lelling; Tonya Perkins, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; and Suzanne M. Bump, State Auditor of the Commonwealth of Massachusetts made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit prosecuted the case.

BOSTON – The owner of a tax preparation business in Brockton pleaded guilty today to preparing false tax returns for others as well as filing a false tax return for himself.

Jose Miguel Spinola, 51, pleaded guilty to two counts of preparing false tax returns and one count of filing a false tax return. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for March 23, 2021. In June 2020, Spinola was charged by indictment.

On numerous occasions between 2014 and 2017, Spinola prepared and filed income tax returns for clients that contained false, inflated and incorrect information on his clients’ IRS Form 1040, U.S. Individual Income Tax Returns and attached schedules. Spinola added false, inflated and ineligible expenses on his clients’ Schedules A for medical and dental expenses and unreimbursed employee business expenses, including claimed meals and entertainment, business miles and work apparel. By inflating Schedule A deductions, Spinola decreased his clients’ taxable income and effectively increased the clients’ tax refunds. Spinola informed his clients of the total tax refund they would receive from the IRS without telling the clients about the false, inflated, or ineligible expenses Spinola deducted from his clients’ income tax returns.

Each count of aiding the preparation of false tax returns and filing false tax returns provides for a sentence of up to three years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Joleen Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorney Sara Miron Bloom of Lelling’s Securities, Financial & Cyber Fraud Unit is prosecuting the case.

BOSTON – A Stoughton man with ties to the Orchard Gardens housing development in Roxbury pleaded guilty today in federal court in Boston to drug trafficking charges.

Dashawn Matthews, 31, pleaded guilty to distribution and possession with intent to distribute fentanyl and cocaine base (also known as crack cocaine). U.S. District Court Judge William G. Young scheduled sentencing for April 6, 2021.

During an investigation into drug trafficking and violence in the Orchard Gardens housing development, a cooperating witness and an undercover police officer made eight purchases of fentanyl, crack cocaine or both from Matthews. In total, between May and August 2019, Matthews distributed approximately 120 grams of fentanyl and 98 grams of crack cocaine. Most of the sales took place a short distance away from the Orchard Gardens housing development.

The charge of distribution and possession with intent to distribute fentanyl and cocaine base provides for a sentence of up to 20 years in prison, at least three years of supervised release and a fine of up to $1 million. Sentences are imposed based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew Lelling; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Boston Police Commissioner William Gross made the announcement today. Assistant U.S. Attorney Christopher Pohl of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.

BOSTON – The Chief of Staff to then Fall River Mayor Jasiel Correia entered a guilty plea today to charges of extortion, bribery and making false statements.

Genoveva Andrade, 49, of Somerset, agreed to plead guilty to two counts of extortion conspiracy, two counts of extortion, one count of bribery and one count of false statements. U.S. Senior District Court Judge Douglas P. Woodlock took the plea under advisement pending sentencing, which is scheduled for April 27, 2021. Andrade was arrested and charged on Sept. 6, 2019.

At a change of plea hearing today, Andrade admitted to conspiring with Correia to extort a marijuana vendor for $150,000 in return for a letter of non-opposition from Correia. Under Massachusetts law, non-opposition letters from the head of local government are required in order to obtain a license to operate a marijuana business. After the vendor agreed to pay Correia $150,000 for the letter, Andrade said to him, “you’re family now.”

Andrade also admitted to conspiring with Correia to extort a Fall River business owner. Specifically, Andrade conspired with Correia to obtain a stream of benefits, including cash and a Rolex watch valued at approximately $7,500 to $12,000, in exchange for official action and assistance that was favorable to the business owner.

In a third criminal scheme, Andrade admitted that soon after Correia hired her as his Chief of Staff in November 2017, Andrade began kicking back half of her salary to Correia on a bi-weekly basis until July 2018. She also kicked back nearly all of the $10,000 city-funded “snow stipend” that Correia approved for Andrade.

Finally, Andrade admitted to making false statements to federal agents in December 2018 in connection with the corruption investigation into Correia.

United States Attorney Andrew E. Lelling; Joleen Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Regional Office; and Glenn A. Cunha, Massachusetts Inspector General made the announcement. Assistant U.S. Attorney Zachary Hafer, Chief of Lelling’s Criminal Division, is prosecuting the case.

The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – Former Massachusetts State Police (MSP) Lieutenant Daniel J. Griffin and former MSP Sergeant William W. Robertson were arrested today and charged in federal court in Boston with conspiracy, federal programs embezzlement and wire fraud in connection with an overtime scheme dating back to 2015. Griffin was also charged with filing false tax returns and wire fraud related to his scheme to defraud a private school.

Griffin, 57, of Belmont, was indicted on one count of conspiracy, one count of theft concerning a federal program, eight counts of wire fraud and 11 counts of assisting in filing false tax returns. Griffin was arrested this morning and will appear in federal court in Boston this afternoon.

Robertson, 58, of Westborough, was indicted on one count of conspiracy, one count of theft concerning a federal program and four counts of wire fraud. Robertson was also arrested this morning and will appear in federal court in Boston this afternoon.

According to the indictment, from 2015 through 2018, Griffin, Robertson, and other troopers in the Traffic Programs Section at State Police Headquarters in Framingham conspired to embezzle thousands of dollars in federally funded overtime by regularly arriving late to, and leaving early from, overtime shifts funded by grants intended to improve traffic safety. During the course of the conspiracy, Griffin made and approved false entries on police forms and other documentation to conceal and perpetuate the fraud.

When MSP overtime misconduct came to light in 2017 and 2018, Griffin, Robertson and their coconspirators allegedly took steps to avoid detection by shredding and burning records and forms. It is alleged that after an internal inquiry regarding missing forms, Griffin submitted a memo to his superiors that was designed to mislead them by claiming that missing forms were “inadvertently discarded or misplaced” during office moves. 

It is further alleged that while perpetuating the overtime scheme, Griffin spent significant time running his security business, KnightPro, even during hours that Griffin was collecting his regular MSP pay and overtime. From 2012 to 2019, Griffin collected almost $2 million in KnightPro revenue. Of that total, it is alleged that Griffin hid over $700,000 in revenue from the IRS and used hundreds of thousands of dollars in KnightPro income to fund personal expenses, such as golf club expenses, car payments, private school tuition and expenses related to his second home on Cape Cod.   

Griffin was also charged with defrauding a private school attended by two of his children from at least 2016 to 2019 by concealing his KnightPro income and filing materially misleading financial aid applications, which understated his income and assets by hundreds of thousands of dollars.  Despite Griffin’s lucrative MSP salary and KnightPro business, Griffin obtained over $175,000 in financial aid from the private school over the course of several years.

“Today’s charges involve losses for the taxpayers, and also for the Massachusetts State Police, a premier law enforcement institution that must do a better job self-policing and eliminating this kind of misconduct,” said U.S. Attorney Andrew Lelling. “Everyone must be treated equally under the law, and we will keep doing these cases until this kind of abuse stops - abuse that is deeply unfair to the vast majority of law enforcement officers who are doing their job the right way, already under difficult circumstances.”

“Today’s arrest and charges demonstrates the Department of Transportation Office of Inspector General’s (DOT OIG) commitment to ensuring recipients of DOT grants and funds uphold the high standard of stewardship that every American taxpayer expects and deserves,” said Douglas Shoemaker, Special Agent-in-Charge, DOT OIG-Northeast Region. “We will continue working with our Federal and State law enforcement and prosecutorial partners to pursue individuals who intentionally abuse federally-funded programs for their personal benefit and enrichment.”

“Today we arrested two former state troopers for their alleged roles in a blatant overtime fraud scheme and their attempts to cover it up. Both men are accused of abusing their positions to steal tens of thousands of dollars in scarce federal grants while neglecting to enforce important traffic safety laws,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “In Lt. Griffin’s case, we believe he even went as far as underreporting his income to the IRS and his children’s private school to increase the amount of financial assistance they received. This deliberate abuse of authority will not be tolerated, and the FBI will continue to pursue anyone who fraudulently siphons public funds.”

“The defendants were members of the law enforcement community which is incredibly troubling,” said Acting Special Agent in Charge Joleen Simpson of the Internal Revenue Service - Criminal Investigation Division.  “The residents of Massachusetts put their trust in the defendants to uphold the law, and that trust, was broken.  But let me be absolutely clear.  These charges should in no way be a reflection on the more than 2,000 Massachusetts troopers who serve the Commonwealth with honor and integrity every day.” 

The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of federal program fraud provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. The charge of conspiracy provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of filing false tax returns provides for a sentence of up to three years in prison, one year of supervised release and a fine of $100,000.  Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

U.S Attorney Lelling, DOT OIG-Northeast Region SAC Shoemaker, FBI Boston SAC Bonavolonta and IRS-CI Acting SAC Simpson made the announcement today. Assistant U.S. Attorney Dustin Chao of Lelling’s Public Corruption Unit is prosecuting the case.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Fitchburg woman pleaded guilty today to fraudulently receiving Social Security disability benefits, MassHealth and Supplemental Nutrition Assistance Program (SNAP) benefits.   

Rhonda Bernal, 62, pleaded guilty to three counts of theft of public funds and two counts of making false statements. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for April 5, 2021. In July 2019, Bernal was arrested and charged.

Over a period of approximately eight years, Bernal stole $71,462 in Social Security benefits, $6,444 in MassHealth benefits and $13,505 in SNAP benefits (previously known as Food Stamps). In February 2015, Bernal falsely informed the Massachusetts Department of Transitional Assistance that she was the only person in her household when, in fact, she was living with her husband. In addition, Bernal falsely told Social Security in April 2016 that she and a relative, who was not her husband, were the only members of her household.

The charges of theft of public funds provide for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charges of making false statements provide for a sentence of up to five years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Tonya Perkins, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; Phillip M. Coyne, Special Agent in Charge of the Office of Inspector General of the U.S. Department of Health and Human Service’s Boston Regional Office; and Suzanne M. Bump, State Auditor of the Commonwealth of Massachusetts made the announcement. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit is prosecuting the case.

BOSTON – A Dominican national pleaded guilty yesterday in federal court in Boston in connection with fraudulently using the identity of a U.S. citizen to apply for a passport and driver’s license.

Wagner Pimentel Soto, 41, who previously resided in West Roxbury, pleaded guilty to one count of making a false statement in a passport application and two counts of fraudulent use of a Social Security number. U.S. District Judge Douglas P. Woodlock scheduled sentencing for April 7, 2021.

According to court records, in February 2019, Pimentel Soto applied for a U.S. passport at a U.S. Post Office in Everett using the name and Social Security number of a U.S. citizen. In April 2018, Pimentel Soto applied for a Massachusetts driver’s license at the Haymarket branch of the Registry of Motor Vehicles in Boston. In support of his applications, Pimentel Soto submitted a variety of identity documents bearing the name, date of birth and Social Security number of the victim.

This case was investigated by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF),which is comprised of local, state and federal agencies with expertise in detecting, deterring and disrupting organizations and individuals involved in various types of document, identity and benefit fraud schemes.

The charge of making a false statement in a passport application provides for a sentence of up to 10 years in prison, and the charge of fraudulent use of a Social Security number provides for up to five years in prison. Both charges provide for up to three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Jonathan Davidson, Special Agent in Charge of the U.S. Department of State's Diplomatic Security Service; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement. Assistant U.S. Attorney Adam W. Deitch of Lelling’s Major Crimes Unit is prosecuting the case.

BOSTON – A Colombian national was sentenced today in federal court in Boston for cocaine trafficking and illegal reentry charges.

Ricardo Lopera-Arteaga, 59, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to five years in prison and four years of supervised release. Lopera-Arteaga will be subject to deportation proceedings upon completion of his sentence. In August 2020, Lopera-Arteaga pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine, one count of possession with intent to distribute 500 grams or more of cocaine and one count of unlawful reentry of a deported alien. He has been in federal custody since his arrest on Oct. 9, 2019 with co-defendant Diego Sanchez, 34, who pleaded guilty to similar charges and was sentenced to 27 months in prison.

Lopera-Arteaga and Sanchez conspired together to sell one kilogram of cocaine to a cooperating witness in East Boston in October 2019. Sanchez also engaged in two sales of cocaine to the same cooperating witness on Sept. 10 and 27, 2019 in East Boston. On Oct. 9, 2019, law enforcement agents observed both men meet and walk together towards a spot arranged for the drug transaction. Agents arrested both men a short time later and seized one kilogram of cocaine from Lopera-Arteaga.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Boston Police Commissioner William Gross made the announcement today. Assistant U.S. Attorney Stephen W. Hassink of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – A Tewksbury man was indicted yesterday by a federal grand jury in Boston in connection with a Sept. 22, 2020 bank robbery.

Nicholas O’Neil, 37, has been indicted on one count of bank robbery after being arrested in Tewksbury on Sept. 22, 2020. He was previously charged by federal criminal complaint.

According to charging documents, on Sept. 22, 2020, O’Neil entered a branch of the Santander Bank in Tewksbury, handed the teller a demand note and a red cloth bag. The teller placed the money into the red bag and handed the bag and the demand note back to the robber who exited the bank. A bank customer watched the robber exit the bank and allegedly get into the passenger side of a white pickup truck and exit the area at a high rate of speed. Police issued an alert for the white pickup truck and a short time later, the truck was located and “boxed-in” in heavy traffic. Police officers arrested the driver and passenger, later determined to be O’Neil. Inside the vehicle, the red bag with the money and the demand note were recovered.    

The charge of bank robbery provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Tewksbury Police Chief Ryan M. Columbus made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.

The details contained in charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Revere man pleaded guilty to attempting to launder money to Colombia and cocaine possession.

Jairo Agudelo, 34, pleaded guilty on Dec. 8, 2020 to money laundering conspiracy, substantive money laundering and possession with intent to distribute cocaine. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for March 30, 2021. 

According to court documents, investigators seized approximately $200,000 in cash from Agudelo when he attempted to launder drug proceeds from Massachusetts to Colombia in February 2019. When investigators executed a search warrant at a Revere apartment used by Agudelo as a stash house for his cocaine distribution, they located approximately 400 grams of cocaine, as well as drug packaging materials and over $11,000 in cash.

The charges of money laundering and money laundering conspiracy provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $500,000, or twice the value of the property involved in the transaction, whichever is greater. The charge of possession with intent to distribute cocaine provides for a sentence of up to 20 years in prison, three years and up to life of supervised release and a fine of $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Joleen Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation Division made the announcement today. Critical assistance was provided by the Boston Police Department; Massachusetts State Police; Revere Police Department; U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations; and the United States Marshals Service.  Assistant U.S. Attorneys Lauren A. Graber and Jared C. Dolan of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.

This investigation, dubbed “Operation Týr,” is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – A Natick psychiatrist was arrested today in connection with charges that he billed Medicare and private insurance companies for over $10 million in treatments he did not provide and then obstructed justice in an attempt to conceal his crimes.

Gustavo Kinrys, 49, of Wellesley, was indicted on seven counts of wire fraud, six counts of false statements relating to health care matters, one count of falsification of documents and one count of obstructing a criminal health care investigation. Kinrys was arrested today and will appear via videoconference in federal court in Boston this afternoon.    

 “Fraud in the Medicare system is a persistent, long-term problem,” said United States Attorney Andrew E. Lelling. “Physicians who defraud the system are taking dollars that could otherwise be used to support patient health. We will continue to prioritize these cases.”

“We take very seriously our responsibility to safeguard taxpayer funds by eliminating fraud within our federal healthcare system,” said Phillip M. Coyne, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “Today’s arrest and the charges alleged in the indictment serve as a strong reminder that we will not tolerate fraud against our federal healthcare system or acts of obstruction that attempt to conceal those schemes.”

“Dr. Kinrys is accused of exploiting our healthcare system—paid for, in part, by taxpayer dollars—in order to line his own pockets without any regard for the harm his actions would cause. He billed public and private insurance companies more than $10.6 million for medical treatments he never provided, and then tried to cover it up by obstructing the investigation,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “Anyone involved in, or entertaining similar activity should know that health care fraud is a priority for the FBI, and we will pursue anyone trying to steal from this country’s vital health care system.”

“This case illustrates the commitment of all agencies to combat medical billing fraud which affects all citizens. The Insurance Fraud Bureau of Massachusetts places a high priority on fighting this type of insurance fraud. We applaud the collaboration of our investigative partners in combating fraud in our healthcare system,” said Anthony M. DiPaolo, Executive Director of the Massachusetts Insurance Fraud Bureau.

Kinrys was a licensed psychiatrist who owned and operated Advanced TMS Associates, located in Natick, Mass. Among other services, Kinrys offered transcranial magnetic stimulation (TMS) therapy and psychotherapy to patients suffering from depression. TMS therapy is a noninvasive method of brain stimulation that uses rapidly alternating or pulsed magnetic fields to induce electrical currents directed at a patient’s cerebral cortex.

The indictment alleges that between January 2015 and December 2018, Kinrys engaged in a variety of fraudulent billing schemes in which he sought and received reimbursement for services he did not render. For example, Kinrys billed Medicare and private insurers over $10 million for thousands of TMS sessions he never provided, including over 8,000 sessions he claimed were provided to 75 patients who, in fact, never received a single session of the therapy.  Kinrys allegedly billed Medicare and private insurers for hundreds of thousands of dollars’ worth of psychotherapy sessions he never provided, including over 1,000 face-to-face sessions he falsely claimed he provided while he or his patients were in fact out of the country. On hundreds of occasions, it is alleged that Kinrys billed Medicare and private insurers for having provided more than 24 hours’ worth of psychotherapy services in a single day, including one day in 2017 when he claimed he had provided hour-long psychotherapy sessions to 79 different patients.

To further his fraudulent billing scheme, Kinrys allegedly made numerous false statements to his patients, the billing company with which he worked and the insurers to whom he submitted claims seeking reimbursement. When Medicare, private insurers, and the Department of Health and Human Services (HHS) sought records from Kinrys pertaining to certain of his claims, he took steps to conceal his fraudulent conduct by making false representations and creating false documentation purporting to show that he had provided thousands of treatments he had billed for, but never rendered. For example, in response to a July 2018 subpoena from the HHS’s Office of Inspector General seeking medical records for 10 of his patients, Kinrys allegedly created documents – and ordered his office workers to create documents – falsely stating that those patients had received dozens of treatments they had never been provided. 

The charges of wire fraud and destruction or falsification of records each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charges of false statements relating to health care matters and obstruction of a criminal investigation of a health care offense each provide for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

U.S. Attorney Lelling, HHS-OIG SAC Coyne, FBI Boston SAC Bonavolonta and Massachusetts IFB Executive Director DiPaolo made the announcement today. Assistant U.S. Attorney Patrick Callahan of Lelling’s Health Care Fraud Unit is prosecuting the case.

The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Marlboro woman was arrested today for fraudulently receiving Social Security disability benefits, MassHealth, Supplemental Nutrition Assistance Program (SNAP) benefits and Section 8 housing assistance.    

Maribel Rodriguez, 61, was charged by criminal complaint with four counts of theft of public funds and two counts of making false statements. She will make an initial appearance before U.S. District Court Magistrate Judge David Hennessy this afternoon.

According to the indictment, over a period of approximately 12 years, Rodriguez stole $68,223 in Social Security benefits, $1,908 in MassHealth benefits, $21,790 in SNAP benefits (previously known as Food Stamps), and $161,277 in Section 8 housing assistance benefits. In June 2016, she falsely informed the Social Security Administration that she lived alone when, in fact, she was living with her husband. Similarly, Rodriguez falsely told the Marlborough Community Development Authority in May 2017 that she was the only member of her household. 

The charges of theft of public funds provide for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charges of making false statements provide for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Tonya Perkins, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; Phillip M. Coyne, Special Agent in Charge of the Department of Health and Human Service’s Office of Inspector General, Boston Regional Office; and Suzanne M. Bump, State Auditor of the Commonwealth of Massachusetts made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit is prosecuting the case.

The details contained in charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – Four jewelry importers have agreed to pay more than $860,000 to resolve allegations that they failed to pay customs duties on sterling silver earring imports from China. 

The importers, Roman & Sunstone LLC; ISTAR Jewelry LLC; Ansun Inc.; and Starkes Gems Inc., are affiliated companies headquartered in New Jersey, and will pay $866,068 to resolve False Claims Act allegations.

Under customs laws, duties on sterling silver earrings imported from China vary based on the value of the jewelry - the more expensive the earrings, the lower the duty rate. An earring’s value is calculated per earring (rather than each pair of earrings or collection of earrings).

Between 2015 and 2018, Roman & Sunstone and its affiliates imported display cards of sterling silver earrings from China for resale at department stores. The display cards often included multiple pairs of earrings. The government contends that Roman & Sunstone and its affiliates improperly concealed the number and value of these imports from U.S. Customs and Border Protection by describing on import records the number of display cards imported, rather than the number of individual earrings. These importers’ misstatements increased the declared value of the imports, allowing them to pay a lower duty than they should have based on the value of each earring. The government contends that Roman & Sunstone and its affiliates knew they were underpaying duties but continued to use misleading import records in order to avoid their obligations to pay customs duties.

The U.S. Attorney’s Office recently reached a $402,637 settlement with a former importer, TSI Accessories Group, Inc., concerning related conduct.

This civil settlement arose from a lawsuit filed by a whistleblower under the qui tam provisions of the False Claims Act, which allow private parties to bring suit on behalf of the government and to share in any recovery. In connection with today’s settlement, the whistleblower will receive approximately $152,000 of the recovery.

United States Attorney Andrew E. Lelling; Michael S. Denning, Director, Boston Field Office, U.S. Customs and Border Protection; and David Magdycz, Acting Special Agent in Charge, Homeland Security Investigations in Boston made the announcement today. Assistant U.S. Attorney Brian M. LaMacchia of Lelling’s Affirmative Civil Enforcement Unit handled the matter.

BOSTON – A Dominican national was indicted yesterday by a federal grand jury in Boston in connection with fraudulently using the identity of a U.S. citizen.

Alexander Villalona Diaz, 34, a Dominican national previously residing in Lawrence, was indicted on one count of false representation of a Social Security number and one count of aggravated identity theft. Villalona Diaz was arrested and charged by complaint on Sept. 2, 2020.

According to the indictment, Villalona Diaz fraudulently used a Social Security number that was not his when applying for a renewal of a driver’s license with the Massachusetts Registry of Motor Vehicles in 2016.

This case is part of operation Double Trouble – an investigation conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF), comprised of local, state and federal agencies with expertise in detecting, deterring and disrupting organizations and individuals involved in various types of document, identity and benefit fraud schemes.

The charge of false representation of a Social Security number provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutive to any other sentence imposed, one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Tonya Perkins, Acting Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; Phillip M. Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General; Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Regional Office; Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations; Jonathan Davidson, Special Agent in Charge of the U.S. Department of State, Diplomatic Security Service, Boston Field Office; Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; and Massachusetts State Auditor Suzanne M. Bump made the announcement. Assistant U.S. Attorney Adam W. Deitch of Lelling’s Major Crimes Unit is prosecuting the case.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Boston man was sentenced in federal court in Boston for heroin and fentanyl trafficking charges.

Anthony Tsina, 37, was sentenced on Dec. 8, 2020 by U.S. District Court Judge Nathaniel M. Gorton to 34 months in prison and three years of supervised release. On Aug.13, 2020, Tsina pleaded guilty to one count of conspiracy to distribute 100 grams or more of heroin and one count of possession with intent to distribute heroin.

According to court documents, in 2018, federal and state law enforcement began investigating a Brockton drug crew headed by Djuna Goncalves, a violent Brockton-area drug dealer. Interceptions from Djuna Goncalves’s cellphone led agents to other Boston-based drug traffickers who supplied Goncalves. Agents identified Tsina as a drug trafficker and customer of Jose Perez-Felix, a/k/a “Grande,” a member of a Boston-based drug cell that also supplied Goncalves.

According to court documents, agents intercepted several calls in which Tsina ordered narcotics from Perez-Felix. For instance, on April 9, 2019, a call was intercepted during which Tsina told Perez-Felix that he had been trying to get in touch with him and needed to see him.  Perez-Felix told Tsina he would meet him on Bowdoin Street in Dorchester. Perez-Felix was later observed driving to and parking on Bowdoin Street and Perez Felix delivered heroin/fentanyl to Tsina through the passenger side window of Tsina’s car. After Tsina left the area, Tsina’s vehicle was stopped by law enforcement and a bag containing a tan powdery substance, later determined to contain 60.7 grams of a mixture of heroin and fentanyl, was recovered. 

Of the 17 defendants named in the superseding indictment, nine, including Tsina, have pleaded guilty. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

United States Attorney Andrew E. Lelling; David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; John Gibbons, United States Marshal for the District of Massachusetts; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Brockton Police Chief Emanuel Gomes; and Plymouth County District Attorney Timothy Cruz made the announcement today. Assistant U.S. Attorneys Christopher Pohl and Alathea Porter of Lelling’s Narcotics and Money Laundering Unit are prosecuting the case.

The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.

The details contained in the indictment are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Boston man was indicted yesterday for robbing a bank in Boston on Nov. 13, 2020. At the time of the offense, the defendant was on supervised release after being convicted of committing two bank robberies in 2016. 

Stephen D. Williams, 56, was indicted on one count of bank robbery. Williams, who is currently on supervised release for two 2016 bank robberies, was arrested on state charges on Nov. 13, 2020. He was charged federally by criminal complaint on Nov. 18, 2020.

According to court documents, in March 2018, Williams was sentenced to 60 months in prison after pleading guilty to robbing two banks in 2016. In July 2020, Williams’s sentence was modified pursuant to a motion for compassionate release, and he was released from prison to home confinement.

While on home confinement, Williams deactivated his court ordered electronic monitoring bracelet and absconded.

It is alleged that, on Nov. 13, 2020, an individual, later determined to be Williams, wearing a grey knit cap and blue jacket, entered a branch of the Santander Bank in Boston. Williams passed the teller a note indicating a robbery and that he had a gun. The teller gave Williams $7,000 in cash, which Williams allegedly stuffed it into the pockets of the blue jacket he was wearing and exited the bank.

Immediately following the robbery, police interviewed bank personal and put out an alert for Williams. According to court documents, Williams was later observed a short distance from the bank counting money, removing his blue jacket and placing it into a black trash bag. A short time later, Williams was observed carrying the black trash bag. While Williams was being questioned by police, he allegedly dropped the trash bag and after a brief chase was arrested. Inside the black trash bag law enforcement recovered a blue jacket, grey knit cap, a demand note alleging that he had a gun, blue latex gloves, a Massachusetts identification card in Williams’ name and a large sum of cash in excess of $7,000.

The charge of bank robbery provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the Sentencing Guidelines and other statutory factors. In addition to the above, Williams will also face a jail sentence for violating the terms of his previously imposed supervised release.   

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Boston Police Commissioner William Gross made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.

The details contained in charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – An Agawam man pleaded guilty yesterday in federal court in Springfield to stealing two firearms and selling and trading them for drugs. 

David Poirier, 26, pleaded guilty to one count of theft of a firearm from a licensed firearms dealer and one count of possession, sale or disposal of a stolen firearm. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for March 5, 2021.

Between June 18 and 23, 2020, Poirier stole a STI Edge 40 caliber pistol, a Glock 34 9 mm pistol, a Stag Arms Stag 15 lower frame and cash from a family member’s locked safe, and then traded them for drugs. The family member holds a Federal Firearms License (“FFL”) and owns a firearms business.

The charging statutes each provide for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Office; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; and Agawam Police Chief Eric Gillis made the announcement today. Assistant U.S. Attorney Michelle L. Dineen Jerrett of Lelling’s Springfield Branch Office is prosecuting the case. 

This prosecution is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone.  The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

BOSTON – A Weston man was sentenced today in connection with a scheme to defraud private high schools and international students of millions of dollars in tuition and other fees.

Keenam “Kason” Park, 59, of Weston, was sentenced by U.S. Senior District Court Judge Mark L. Wolf to 60 months in prison, three years of supervised release and ordered to pay restitution of at least $5,192,330. In August 2020, Park pleaded guilty to one count of wire fraud.

Park caused EduBoston to collect tuition and other payments from students’ families for the 2019-2020 academic year but failed to remit tuition payments to partnering schools. Instead, Park used the funds on unrelated expenses, including personal expenses. Park also caused EduBoston to collect advance tuition and other payments for the 2020-2021 academic year, which Park failed to return to the students’ families after EduBoston went out of business around September 2019. As a result, EduBoston owes over $5 million to partnering schools and students’ families.

United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. Assistant U.S. Attorney Leslie A. Wright of Lelling’s Securities, Financial and Cyber Fraud Unit prosecuted the case.

BOSTON – A member of the Fitchburg Chapter of the Massachusetts Almighty Latin King and Queen Nation (“Latin Kings”) pleaded guilty today to drug distribution charges.

Dairon Rivera, a/k/a “King Mafia,” 27, pleaded guilty today to one count of conspiracy to distribute and possess with intent to distribute fentanyl. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for April 1, 2021. Dairon Rivera was charged in December 2019, at which time he was a member of the Fitchburg Chapter of the Latin Kings.

The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.

During the plea proceedings, Dairon Rivera admitted to selling over 40 grams of fentanyl to a cooperating witness in a series of audio/video recorded sales that took place between April and December of 2017. 

In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Dairon Rivera is the 26th defendant to plead guilty in the case.

The charge of conspiracy to distribute controlled substances provides for a sentence of up to 20 years in prison, a minimum of three years and up to life of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Commissioner Carol Mici of the Massachusetts Department of Correction made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorneys Philip A. Mallard and Lauren Graber of Lelling’s Criminal Division are prosecuting the case.

The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – A Lawrence man was sentenced yesterday for distributing fentanyl.

Keysi Batista, 32, was sentenced by U.S. District Court Judge William G. Young to 108 months in prison and four years of supervised release. On Sep. 14, 2020, Batista pleaded guilty to two counts of distribution of 40 grams or more of fentanyl.

Between August 2017 and November 2018, investigators conducted an undercover investigation of Batista’s fentanyl dealing. Over the course of 15 months, investigators conducted two controlled purchases of fentanyl from Batista. Batista was arrested on Nov. 15, 2019.

United States Attorney Andrew Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. The FBI’s North Shore Gang Task Force conducted the investigation.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.