District Not Recorded

Jesus Manuel Menocal Jr., 34, a former Hialeah Police Department sergeant, was sentenced in federal court in Miami, Florida, to three years in prison and one year of supervised release, the statutory maximum sentence. 

Menocal previously pleaded guilty to three counts of violating the civil rights of women by sexually exploiting them.

“The Department of Justice will not tolerate police officers who abuse their authority to prey on those they are sworn to protect,” said Assistant Attorney General Kristen Clarke of the Civil Rights Division. “The Civil Rights Division will continue to vigorously prosecute these cases to secure justice for the victims of these reprehensible crimes and to ensure that perpetrators who use their unique power to take advantage of others are held accountable.”

“The police officer sentenced today violated not only his victims’ rights, but also the public’s trust,” said U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida. “As this prosecution shows, we will hold accountable those in our South Florida community who abuse their positions of power and engage in such disgraceful illegal conduct.”

“Jesus Menocal now faces the consequences for using his position to sexually abuse women,” said Deputy Special Agent in Charge John J. Bernardo of the FBI Miami Field Office. “Menocal was sentenced to the statutory maximum which is a testament to the courage of his victims to come forward and tell their stories as well as the dedication of FBI Miami's Civil Rights squad.”

According to court documents, Menocal kissed a woman and caused her to touch his exposed penis; had a second woman, who was in psychiatric crisis, perform oral sex on him; and coerced a third woman, who was walking alone at night, into submitting to oral and vaginal sex. While not directly related to the offenses to which he pleaded guilty, Menocal also admitted to bringing a fourth female into a Hialeah Police Department building and ordering her to remove her shorts and underwear, causing her to expose her buttocks to him. Menocal admitted that he was on-duty and in uniform during all of these acts, abusing his official authority.

Assistant Attorney General Kristen Clarke for Justice Department’s Civil Rights Division and U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida made the announcement.

The FBI Miami Field Office investigated the case, with assistance from the Hialeah Police Department. The case was prosecuted by Assistant U.S. Attorneys Edward N. Stamm, Monica K. Castro and Ilham Hosseini of the Southern District of Florida, and Trial Attorney Kyle Boynton and Special Litigation Counsel Samantha Trepel for the Justice Department’s Civil Rights Division.

Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov/ or on http://pacer.flsd.uscourts.gov/

A federal jury in sitting in Richmond, Virginia, found defendants Zahida Aman, Mohammad Nauman Chaudhri and Mohammad Rehan Chaudhri, guilty of conspiracy to commit forced labor for compelling the domestic labor of a Pakistani women for 12 years. The jury further found defendant Aman guilty of forced labor and document servitude, and defendant Rehan Chaudhri guilty of forced labor.

Assistant Attorney General Kristen Clarke for the Justice Department's Civil Rights Divison and U.S. Attorney Jessica D. Aber for the Eastern District of Virginia made the announcement.  

“The defendants exploited the victim’s trust and inflicted cruel and inhumane physical and mental abuse on her, all so they could keep her working in their home as their domestic servant,” said Assistant Attorney General Kristen Clarke. “Human trafficking is a disgraceful and unacceptable crime, and this verdict should send the very clear message that the Justice Department will investigate and vigorously prosecute human traffickers and help secure justice for survivors.”

“The defendants exploited someone who should have been a loved family member to force her to work in their home for over 14 years,” said U.S. Attorney Jessica D. Aber for the Eastern District of Virginia. “Forced labor, the modern-day equivalent of slavery, has no place in our country or district, and we will stop at nothing to prosecute those that commit these or similar crimes. Let this conviction serve as a light to survivors impacted by labor trafficking and as a deterrent to those conspiring to commit heinous labor trafficking crimes.”

“The FBI is committed to working with our partners to protect the civil rights of all persons, investigate and prosecute allegations of abuse, and assist the victims of these crimes throughout the process,” said Special Agent in Charge Stanley M. Meador of the FBI Richmond Field Office. “The strength and perseverance of this victim and the investigative team should be commended; and we encourage any community member who knows of or suspects this type of abuse is occurring to report it to authorities immediately.”

Following a seven-day trial, the jury convicted all of the defendants of conspiracy to commit forced labor, convicted two of the defendants of forced labor, and convicted defendant Zahida Aman of document servitude. According to the evidence presented in court, defendant Zahida Aman arranged for her son’s marriage to the victim in 2002. The victim moved to the United States and lived in a house in Midlothian, Virginia, with her husband and the three defendants (the husband’s mother and his two brothers). The defendants compelled the victim to serve the family as a domestic servant, using physical and verbal abuse, restricting communication with her family in Pakistan, confiscating her immigration documentation and money and eventually threatening to separate her from her children by deporting her to Pakistan.

The defendants slapped, kicked, and pushed the victim, even beat her with wooden boards, and on one occasion hog-tied her hands and feet and dragged her down the stairs in front of her children. Even after the victim’s husband moved away, the defendants kept the victim in their Virginia home, often forcing her to perform increasingly laborious tasks, including stripping and staining a deck by hand, mowing the one-acre lawn with a push mower, hand-washing and line-drying area rugs, painting the inside and outside of their two-story home, picking out debris from car carpets with a tweezer and constructing a concrete walkway in front of the home — a task that required the victim to haul 80-pound bags of concrete before mixing and pouring cement.  

The evidence further showed that the defendants required the victim to work every day, beginning early each morning. They restricted her food, forbade her from learning to drive or speaking to anyone except the defendants’ family members and prohibited her from calling her family in Pakistan.

The sentencing has not yet been scheduled. Defendants Aman and Rehan Chaudhri face a maximum sentence of 20 years for forced labor. The convictions for conspiracy to commit forced labor and for document servitude carry a maximum sentence of five years each. Restitution in this case is mandatory under the law.

The FBI investigated the case. It is being prosecuted by Trial Attorney Leah Branch of the Civil Rights Division’s Human Trafficking Prosecution Unit and Assistant U.S. Attorneys Stephen Miller and Shea Gibbons for the Eastern District of Virginia.

At the Council of Europe (COE) headquarters in Strasbourg, France, on May 12, Deputy Assistant Attorney General (DAAG) Richard Downing of the U.S. Department of Justice’s Criminal Division signed the Second Additional Protocol to the Convention on Cybercrime on enhanced cooperation and disclosure of electronic evidence on behalf of the U.S. government. This strengthening and expansion of the multilateral international treaty commonly called the Budapest Convention is part of the United States’ steadfast commitment to helping nations, including the United States, fight cybercrime by obtaining access to needed electronic evidence.

The Second Additional Protocol to the Budapest Convention will accelerate cooperation among parties to protect our citizens from cybercrime and hold criminals accountable. As cybercrime proliferates, electronic evidence is increasingly stored in different jurisdictions. The Second Additional Protocol is specifically designed to help law enforcement authorities obtain access to such electronic evidence, with new tools including direct cooperation with service providers and registrars, expedited means to obtain subscriber information and traffic data associated with criminal activity, and expedited cooperation in obtaining stored computer data in emergencies. All these tools are subject to a system of human rights and rule of law safeguards.

At the signing, DAAG Downing said, “The Budapest Convention is a truly remarkable international instrument. Its technology-neutral approach to cybercrime has created an enduring framework for cooperation that ensures law enforcement has the tools they need to respond to new criminal methods.” He noted that 66 countries are currently party to the Convention and more accede every year.

Today’s signing, which took place within the framework of an international conference on enhanced cooperation and disclosure of electronic evidence held in cooperation with the Italian Presidency of the COE Committee of Ministers, was the culmination of nearly four years of negotiation by the U.S. delegation, composed of U.S. Department of Justice and Department of State representatives.

The U.S. Department of State’s Bureau of International Narcotics and Law Enforcement Affairs is a leading donor to the Council of Europe Cybercrime Program, which provides crucial advice and technical assistance to help countries join and implement the Budapest Convention.

The United States remains committed to the Budapest Convention as the premier international legal instrument for fighting cybercrime. As DAAG Downing said today, “It is our collective vision that every country that is serious about fighting cybercrime and that provides for the protection of human rights should become party to the Budapest Convention. The Convention strikes the right balance between imposing obligations on nations to have robust laws and capabilities and providing the flexibility necessary for nations with different legal systems to join.”

Additional information about the Second Additional Protocol to the Budapest Convention may be found here.

The Department of Justice and the Equal Employment Opportunity Commission (EEOC) today each released a technical assistance document about disability discrimination when employers use artificial intelligence (AI) and other software tools to make employment decisions.

Employers increasingly use AI and other software tools to help them select new employees, monitor performance, and determine pay or promotions. Employers may give computer-based tests to applicants or use computer software to score applicants’ resumes. Many of these tools use algorithms or AI. These tools may result in unlawful discrimination against people with disabilities in violation of the Americans with Disabilities Act (ADA).

The Justice Department’s guidance document, Algorithms, Artificial Intelligence, and Disability Discrimination in Hiring, provides a broad overview of rights and responsibilities in plain language, making it easily accessible to people without a legal or technical background. This document:  

• Provides examples of the types of technological tools that employers are using;
• Clarifies that, when designing or choosing technological tools, employers must consider how their tools could impact different disabilities;
• Explains employers’ obligations under the ADA when using algorithmic decision-making tools, including when an employer must provide a reasonable accommodation; and
• Provides information for employees on what to do if they believe they have experienced discrimination.

The EEOC released a technical assistance document, The Americans with Disabilities Act and the Use of Software, Algorithms, and Artificial Intelligence to Assess Job Applicants and Employees, focused on preventing discrimination against job seekers and employees with disabilities. Based on the ADA, regulations, and existing policy guidance, this document outlines issues that employers should consider to ensure that the use of software tools in employment does not disadvantage workers or applicants with disabilities in ways that violate the ADA. The document highlights promising practices to reduce the likelihood of disability discrimination. The EEOC technical assistance focuses on three primary concerns under the ADA:

• Employers should have a process in place to provide reasonable accommodations when using algorithmic decision-making tools;
• Without proper safeguards, workers with disabilities may be “screened out” from consideration in a job or promotion even if they can do the job with or without a reasonable accommodation; and
• If the use of AI or algorithms results in applicants or employees having to provide information about disabilities or medical conditions, it may result in prohibited disability-related inquiries or medical exams.

“Algorithmic tools should not stand as a barrier for people with disabilities seeking access to jobs,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This guidance will help the public understand how an employer’s use of such tools may violate the Americans with Disabilities Act, so that people with disabilities know their rights and employers can take action to avoid discrimination.”

“New technologies should not become new ways to discriminate. If employers are aware of the ways AI and other technologies can discriminate against persons with disabilities, they can take steps to prevent it,” said EEOC Chair Charlotte A. Burrows. “As a nation, we can come together to create workplaces where all employees are treated fairly. This new technical assistance document will help ensure that persons with disabilities are included in the employment opportunities of the future.”

The EEOC’s technical assistance document is part of its Artificial Intelligence and Algorithmic Fairness Initiative to ensure that the use of software, including artificial intelligence (AI), used in hiring and other employment decisions complies with the federal civil rights laws that the EEOC enforces. In addition to its technical assistance, the EEOC released a summary document providing tips for job applicants and employees.

For more information on the Justice Department’s Civil Rights Division and its disability work, please visit www.justice.gov/crt. For more information on the ADA, please call the Justice Department’s toll-free ADA information line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov. Individuals who believe they may have been victims of discrimination may file a complaint at https://civilrights.justice.gov/.

U.S. Attorney General Merrick B. Garland met yesterday in Washington, D.C. with Colombian Attorney General Francisco Barbosa Delgado. In the meeting, Attorney General Garland expressed his appreciation for the extraordinary law enforcement partnership between the United States and Colombia and thanked the Attorney General for his leadership during the first two years of his four-year term in office.

“The Department of Justice works every day to keep the American people safe. Fulfilling that obligation depends upon our cooperation with partners – both here at home and around the world,” said Attorney General Garland. “When it comes to law enforcement, Colombia is an indispensable partner to the United States. Over the past two years, Attorney General Francisco Barbosa Delgado and his office have been the cornerstone of our law enforcement efforts with Colombia. I hope that under his leadership our partnership will continue to grow even stronger in the years ahead.”

Both leaders committed to strengthening the close law enforcement relationship between the United States and Colombia, which has led to the successful investigation and prosecution of drug traffickers, transnational crime, human smuggling, money laundering, and malicious cyber activities, among others.

Attorney General Garland was joined by DEA Administrator Anne Milgram and Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division.

United States Attorney Bob Murray announced today that BENITA LOUISE SMITH, 56, of Kinnear, Wyoming was sentenced for making a false statement relating to a sexual assault investigation before United States District Judge Nancy D. Freudenthal. Smith was sentenced to time-served with two years of supervised release and a $100 special assessment fee.

On October 26, 2020, law enforcement responded to a call for service on the Wind River Reservation. At the scene, officers learned that Benita Smith had an active arrest warrant. Smith was arrested and transported to the Wind River Detention Center. After arriving at the facility, Smith falsely claimed she was sexually assaulted by the arresting officer during transport to the facility. Dash camera footage from inside the patrol car refuted Smith’s claims, and she retracted her allegation after a formal investigation was launched.  

“Actual victims of sexual assault never really stop suffering. They suffer physical pain during and after the assault. They must become stronger every day because they suffer emotionally every day. And when they bravely stand up and speak the truth, they still face devastating attacks on their credibility,” said United States Attorney Bob Murray. “A false accusation of sexual abuse is a despicable criminal act. It is a silent thief that steals so much from actual victims. This office and our law enforcement partners will continue to work hard and do our part to ensure these crimes are punished.”

This crime was investigated by the Federal Bureau of Investigation. Assistant United States Attorney Michael J. Elmore prosecuted the case.  

Case No. 21-cr-00091-NDF

The Justice Department today released the following statement from spokesman Anthony Coley:

“Attorney General Garland continues to be briefed on security matters related to the Supreme Court and Supreme Court Justices. The Attorney General directed the U.S. Marshals Service to help ensure the Justices’ safety by providing additional support to the Marshal of the Supreme Court and Supreme Court Police.”

In honor of National Police Week, Attorney General Merrick B. Garland recognizes the service and sacrifice of federal, state, local, territorial, and Tribal law enforcement. This year, the week is observed Wednesday, May 11 through Tuesday, May 17, 2022.

“This week, we gather to pay tribute to the law enforcement officers who sacrificed their lives in service to our country,” said Attorney General Garland. “We remember the courage with which they worked and lived. And we recommit ourselves to the mission to which they dedicated their lives. On behalf of a grateful Justice Department and a grateful nation, I extend my sincerest thanks and gratitude to the entire law enforcement community.”

In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices. Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty. Based on data submitted to and analyzed by the National Law Enforcement Officer Memorial Fund (NLEOMF), over 67% of the law enforcement officers who died in the line of duty in 2021 succumbed to COVID-19.

Additionally, according to 2021 statistics reported by the FBI through the Law Enforcement Officer Killed and Assaulted (LEOKA) Program, 73 law enforcement officers who died in the line of duty in 2021 were killed as a result of felonious acts, whereas 56 died in accidents.  Deaths resulting from felonious acts increased in 2021, rising more than 58% from the previous year. In 2021, unprovoked attacks[1] were the cause of 24 deaths, significantly outpacing all other line of duty deaths resulting from felony acts and reaching the highest annual total in over 30 years of reporting. Additional LEOKA statistics can be found on FBI’s Crime Data Explorer website for the LEOKA program. 

The names of the 619 fallen officers added this year to the wall at the National Law Enforcement Officer Memorial will be read on Friday, May 13, 2022, during a Candlelight Vigil in Washington, D.C., starting at 8:00 p.m. ET. Those who wish to view the vigil live online can watch on the NLEOMF YouTube channel found at https://www.youtube.com/TheNLEOMF. The schedule of National Police Week events is available on NLEOMF’s website.

[1] An unprovoked attack is defined as an attack on an officer not prompted by official contact at the time of the incident between the officer and the offender.  Source:  Federal Bureau of Investigation (FBI) through the Law Enforcement Officer Killed and Assaulted (LEOKA) Program.

A former Arkansas resident was sentenced today to 14 months in prison for evading his federal income taxes.

According to court documents and statements made in court, Joshua Wood, formerly of Alma, instructed his employer not to withhold income taxes from his paycheck and then did not file tax returns with the IRS from 2014 through 2016. During those years, Wood earned more than $378,000 selling recreational vehicles and automobiles. When questioned by IRS investigators, Wood falsely claimed to have been shot down and wounded on a Navy mission, causing him to suffer from post-traumatic stress disorder. He also falsely stated that a CPA had prepared tax returns on his behalf.

In addition to the term of imprisonment, U.S. District Judge P.K. Holmes III ordered Wood to serve three years of supervised release and to pay approximately $99,000 in restitution.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney David Clay Fowlkes for the Western District of Arkansas made the announcement.

IRS-Criminal Investigation investigated the case.

Trial Attorneys Robert Kemins and Nicholas Schilling of the Justice Department’s Tax Division prosecuted the case.

A resident of Montego Bay, Jamaica, was extradited to the United States and made his initial appearance in Miami federal court on charges relating to his participation in a bogus lottery scheme that targeted elderly victims in the United States.

Greg Warren Clarke, 29, of Montego Bay, was charged in a six-count indictment with conspiracy, mail fraud, wire fraud and international money laundering. The indictment was filed in the U.S. District Court for the Southern District of Florida in April 2019 and was unsealed upon the defendant’s extradition to the United States. 

According to the indictment, Clarke and his co-conspirators sought to unlawfully enrich themselves through a fraudulent lottery scheme targeting the elderly. Victims throughout the United States received mailings or phone calls in which they were falsely informed that they had won over $1 million dollars in a lottery and needed to pay fees to claim their winnings. The indictment alleges the victims were instructed on how, and to whom, to send their money, and that they were told to send their money through wire transfers, the U.S. Postal Service, and private commercial mail carriers to certain individuals, including Clarke’s cousin, Claude Anthony Shaw. The indictment further alleges that Clarke and Shaw discussed plans to receive victims’ money over the phone and via text messages, and that at Clarke’s direction, Shaw received money from victims and sent the funds to Clarke in Jamaica. The victims never received any lottery winnings. Shaw pleaded guilty in U.S. District Court for the Southern District of Florida in February 2017 for his role in the scheme and was sentenced to 36 months in prison.

“The Department of Justice’s Consumer Protection Branch is committed to pursuing criminals who defraud U.S. consumers from abroad and to vigorously prosecuting them in federal court after they are apprehended,” said Principal Deputy Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “In this case, the defendant targeted and exploited elderly Americans, and I thank the government of Jamaica for extraditing him to the United States to face charges.”

“The U.S. Postal Inspection Service stands ready to stop overseas criminals from illegally enriching themselves by using the mail to defraud consumers in the United States,” said Inspector in Charge Joseph Cronin of the U.S. Postal Inspection Service Miami Division. “We will continue to work with foreign governments to track down these criminals and bring them to justice.”

The case is being prosecuted by Senior Trial Attorney Arturo DeCastro of the Civil Division's Consumer Protection Branch. The U.S. Postal Inspection Service investigated the case. The Justice Department’s Office of International Affairs, the U.S. Attorney’s Office of the Southern District of Florida, and the Jamaica Constabulary Force’s Jamaica Fugitive Apprehension Team provided critical assistance. 

The department’s extensive and broad-based efforts to combat elder fraud seek to halt the widespread losses seniors suffer from fraud schemes. The best method for prevention, however, is by sharing information about the various types of elder fraud schemes with relatives, friends, neighbors and other seniors who can use that information to protect themselves.

If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. ET. English, Spanish and other languages are available.

Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice.

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

Two owners of a popular South Philadelphia cheesesteak restaurant pleaded guilty today to conspiring to defraud the IRS.

According to court documents and statements made in court, Anthony Lucidonio Sr., 82, and his son, Nicholas Lucidonio, 55, both of New Jersey, owned and operated Tony Luke’s, a cheesesteak and sandwich restaurant located in South Philadelphia. In an indictment returned on July 24, 2020, both were charged with a 10-year conspiracy to defraud the IRS by concealing more than $8 million in business receipts from the IRS, providing incomplete information to their accountant and causing their accountant to file false tax returns with the IRS that understated business receipts and income as well by engaging in a payroll tax scheme.

As part of their plea, the Lucidonios admitted to conspiring to evade employment taxes by paying employees a portion of their salaries “off the books” in cash. Anthony and Nicholas also admitted they caused their accountant to prepare and file with the IRS fraudulent quarterly employment tax returns that understated the actual wages paid to their employees and the taxes due.

Anthony and Nicholas Lucidonio are scheduled to be sentenced at a later date, and both men face a maximum sentence of five years in prison for conspiring to defraud the United States. They also face a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Jennifer Williams for the Eastern District of Pennsylvania made the announcement.

IRS-Criminal Investigation is investigating the case.

Assistant Chief John Kane of the Tax Division and Assistant U.S. Attorney Richard Barrett for the Eastern District of Pennsylvania are prosecuting the case.

The Department of Justice today announced that it has reached a settlement agreement with Cloud Peritus Inc., a California IT consulting services company. The settlement resolves the department’s claims that Cloud Peritus discriminated against a non-U.S. citizen by requesting that he present additional and unnecessary documents to prove his permission to work because of his citizenship status.

“Once employees have presented valid, acceptable documentation to prove their permission to work, employers cannot ask for more documentation because of the employees’ citizenship, immigration status, or national origin,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Civil Rights Division is committed to ensuring all workers have the right to prove their permission to work free from unlawful discrimination.”

The department’s investigation determined that Cloud Peritus discriminated against a non-U.S. citizen by asking him for additional documentation to prove his permission to work, even though he had already provided sufficient documentation, based on his citizenship status. The investigation also revealed that the company’s discriminatory document request was partly caused by its misunderstanding of the software it used to verify employees’ permission to work, which the company believed required these documents from non-U.S. citizens.

The anti-discrimination provision of the Immigration and Nationality Act (INA) prohibits employers from asking for more or different documents than necessary to prove their permission to work in the United States because of a worker’s citizenship, immigration status or national origin. Employers should allow workers to present whatever valid documentation the workers choose and cannot reject valid documentation that reasonably appears to be genuine.

Under the settlement, Cloud Peritus will pay a civil penalty to the United States. The settlement also requires Cloud Peritus to train staff on the requirements of the INA’s anti-discrimination provision and be subject to departmental monitoring and reporting requirements. 

The Civil Rights Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. The statute prohibits discrimination based on citizenship status and national origin in hiring, firing or recruitment or referral for a fee; unfair documentary practices; and retaliation and intimidation. 

Learn more about IER’s work and how to get assistance through this brief video. Find more information on how employers can avoid citizenship status discrimination on IER’s website. Applicants or employees who believe they were discriminated against based on their citizenship, immigration status, or national origin in hiring, firing, recruitment, or during the employment eligibility verification process (Form I-9 and E-Verify); or subjected to retaliation, may file a charge. The public can also call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); email IER@usdoj.gov; sign up for a free webinar; or visit IER’s English and Spanish websites. Subscribe to GovDelivery to receive updates from IER. View the Spanish translation of this release here.

Today, the U.S. Department of Justice announced the availability of approximately $40 million in funding in Community Policing Development (CPD) grants and roughly $5 million for the Collaborative Reform Initiative. Attorney General Merrick B. Garland first announced the expansion of technical assistance services offered to law enforcement agencies through the Collaborative Reform Initiative in March 2022.

The Community Oriented Policing Services’ (COPS Office) CPD funds are used to help law enforcement implement community policing through the development and testing of innovative strategies; building knowledge about effective practices and outcomes; and supporting creative approaches to preventing crime and promoting safe communities. The Collaborative Reform Initiative offers a range of intermediary and intensive forms of technical assistance, including targeted assistance following a critical incident, issue-specific reviews and analysis, and in-depth assessments on systemic issues that damage community trust and confidence. Each level of the initiative’s assistance is voluntary and provided at the request of law enforcement agencies.

“Nothing is more important than keeping our communities safe,” said Associate Attorney General Vanita Gupta. “Each day, approximately half a million people throughout the United States call 911 for help and there are hundreds of thousands more daily interactions between law enforcement and members of the communities they serve. The funding we are announcing today is critical to the department’s commitment to public safety and best practices in community policing.”

Highlights of the 2022 CPD funding include:

• Crisis Intervention Teams (CIT). Up to $10 million will support crisis intervention teams.
• De-escalation Training. Up to $15 million will support national level de-escalation training for officers through a network of regional centers.
• Accreditation. Up to $8 million to expand state accreditation programs and assist agencies with gaining accreditation will ensure compliance with state and national standards, covering all aspects of law enforcement policies, procedures and practices.
• COPS Microgrants. Up to $5 million will support local agencies’ demonstration or pilot projects, known as COPS Microgrants. These projects offer creative ideas to advance crime fighting, community engagement, problem solving or organizational changes to support community policing.
• Tolerance, Diversity and Anti-Bias Training. Up to $2 million will support the delivery of tolerance, diversity and anti-bias training for law enforcement officers.

The Collaborative Reform Initiative continuum includes:

• A continuation of the Collaborative Reform Initiative Technical Assistance Center (CRI-TAC). Established in 2017, CRI-TAC provides a wide range of targeted technical assistance services and involves a coalition of support and expertise from ten leading law enforcement stakeholder organizations. Through CRI-TAC’s “by the field, for the field” approach, the department facilitates customizable, short-term technical assistance on more than 60 topics. Last year, CRI-TAC worked with over 170 law enforcement agencies. The new initiative will maintain CRI-TAC as its first level of support.
• An updated Critical Response. A law enforcement agency experiencing a high-profile event or other special circumstance will be able to reach out to the COPS Office for needed technical assistance. Like CRI-TAC, this program is also customizable and provides flexible assistance to law enforcement agencies in a variety of ways. Once an agency connects with the Department of Justice, tools will be in place to offer support ranging from after-action reviews, to peer-to-peer exchanges, to data analysis and recommendations, to facilitating discussions with experts. The initiative will maintain the Critical Response program as its second level of support.
• An updated Organizational Assessments. This program will offer the most intensive form of support, involving in-depth assessments on systemic issues. Under the new initiative, areas for reform will be addressed with timely, ongoing and actionable guidance. Participating agencies will be provided with the technical assistance they need to accomplish reforms as they are identified. This program is a voluntary opportunity for an agency that knows it needs to make changes and wants to make changes. The department will prioritize offering this third level of support to agencies that have a clear desire to engage with the model and advance community policing.

The CPD solicitation will close on June 23, 2022, and the Collaborative Reform solicitation will close on July 8, 2022. Additional information can be found on the COPS website at https://cops.usdoj.gov/grants.

The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. The only Department of Justice agency with policing in its name, the COPS Office was established in 1994 and has been the cornerstone of the nation’s crime fighting strategy with grants, a variety of knowledge resource products, and training and technical assistance. Through the years, the COPS Office has become the go-to agency for law enforcement agencies across the country and continues to listen to the field and provide the resources that are needed to reduce crime and build trust between law enforcement and the communities served. The COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and Tribal law enforcement agencies to fund the hiring and redeployment of more than 135,000 officers.

El Departamento de Justicia anunció hoy que ha llegado a un acuerdo conciliatorio con Cloud Peritus, Inc., una compañía de servicios de consultoría en el ámbito de la informática radicada en California. La conciliación resuelve las acusaciones del Departamento de que Cloud Peritus había discriminado a un no ciudadano de los EE. UU. al pedir que presentara documentos adicionales e innecesarios para demostrar su permiso para trabajar, debido a su estatus de ciudadanía.

«Una vez que un empleado haya presentado documentación válida y aceptable para demostrar su permiso para trabajar, el empleador no puede pedir documentos adicionales simplemente por motivos de la ciudadanía, estatus migratorio o nacionalidad de origen del empleado», afirmó la Fiscal Federal Auxiliar Kristen Clarke, de la División de Derechos Civiles del Departamento de Justicia. «La División de Derechos Civiles se ha comprometido a garantizar que todo trabajador tenga el derecho a demostrar su permiso para trabajar libre de la discriminación ilícita».

La investigación del Departamento determinó que Cloud Peritus discriminó a un no ciudadano de los EE. UU. al pedir que presentara documentos adicionales para demostrar su permiso para trabajar, a pesar de haber ya presentado suficiente documentación, por motivos de su estatus de ciudadanía. Por otra parte, la investigación reveló que la solicitud documental discriminatoria de la compañía fue el resultado, en parte, de su falta de entendimiento del software que usaba para verificar el permiso para trabajar de sus empleados y la compañía creía que el sistema requería esos documentos de no ciudadanos.

La disposición antidiscriminatoria de la ley de Ley de Inmigración y Nacionalidad («INA», por sus siglas en inglés) prohíbe que los empleadores pidan documentos adicionales o diferentes a los necesarios para demostrar el permiso para trabajar con base en el estatus migratorio o de ciudadanía del empleado o bien por su nacionalidad de origen. Los empleadores deben permitir que sus trabajadores presenten cualquier documentación válida que dichos trabajadores quieran y no pueden rechazar documentación válida que parece ser genuina.

Conforme al acuerdo, Cloud Peritus pagará una sanción civil a los Estados Unidos. Asimismo, el acuerdo requiere que Cloud Peritus capacite a sus empleados en cuanto a los requisitos de la disposición antidiscriminatoria de la INA y que se someta a los requisitos de supervisión y declaración del Departamento.

La Sección de Derechos de Inmigrantes y Empleados de la División de Derechos Civiles es responsable de hacer cumplir la disposición antidiscriminatoria de la INA. La ley prohíbe la discriminación por motivos de estatus de ciudadanía o nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión; prácticas documentales injustas y represalias e intimidación.   

Para aprender más sobre la labor de la IER y cómo conseguir ayuda, vea este vídeo corto. Aprenda más sobre cómo los empleadores pueden evitar la discriminación por motivos de estatus de ciudadanía en el sitio web de la IER. Aquellos aspirantes o empleados que creen haber sido discriminados por motivos de su estatus de ciudadanía o nacionalidad de origen en los procesos de contratación, despido, reclutamiento o verificación de la elegibilidad para trabajar (Formulario I-9 e E-Verify) o sujetos a represalias pueden presentar una denuncia. El público también puede llamar a la línea directa de la IER para trabajadores al 1-800-255-7688 (1-800-237-2515, TTY para personas con discapacidades auditivas); llamar a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); enviar un correo electrónico a IER@usdoj.gov; inscribirse a un seminario en línea gratuito; o visitar los sitios web de la IER en inglés o español. Para recibir las últimas noticias de la IER, inscríbase a GovDelivery.

Voice over Internet Protocol (VoIP) service providers, VoIP Terminator Inc. and BLMarketing Inc., and their owner, Muhammed Usman Khan, agreed to a court order resolving Federal Trade Commission (FTC) allegations that they facilitated tens of millions of illegal telemarketing calls, including some calls to numbers listed on the “Do Not Call” Registry and robocalls that displayed “spoofed” or fake caller ID numbers. This stipulated order resolves a lawsuit the United States filed in federal district court in the Middle District of Florida.

The government’s complaint alleges that Florida-based VoIP Terminator, Virginia-based BLMarketing and Pakistan resident and citizen Khan violated the FTC Act and the FTC’s Telemarketing Sales Rule (TSR). The defendants violated the TSR by assisting and facilitating the transmission of illegal calls for their customers, continuing to do so even after learning that their services were being used to initiate calls to numbers on the Do Not Call Registry and to place spoofed robocalls. The complaint alleges that the illegal calls transmitted by defendants included recorded messages about air duct cleaning services that purportedly filtered out COVID-19, preying on consumers’ fears of the virus, as well as messages involving credit card interest rate reduction and tech support scams.

The stipulated order bars the defendants from similar misconduct in the future, requires them to screen and monitor customers, terminate customers if they are engaged in improper telemarketing activity and imposes a $3.2 million civil penalty, payment of which is suspended due to defendants’ inability to pay. This is the FTC’s third case against VoIP services providers.

The FTC referred this case and the proposed stipulated order to the Department of Justice.  The case was handled by attorneys in the Civil Division’s Consumer Protection Branch, including Trial Attorneys Ellen Bowden McIntyre and Zachary Dietert and Assistant Director Lisa Hsiao, in conjunction with attorneys at the FTC’s Bureau of Consumer Protection/Division of Marketing Practices. 

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. Run out of the Office of the Deputy Attorney General, the Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international actors committing civil and criminal fraud and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866 720 5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form

Assistant Attorney General Jonathan Kanter of the Antitrust Division led the Department of Justice’s delegation at the International Competition Network’s (ICN) 21st annual conference, hosted by the German Bundeskartellamt in Berlin, Germany, on May 4-6. Delegates from the ICN’s member jurisdictions included agency leadership and staff, competition experts from international organizations and the legal, business, academic and consumer communities. Over 80 jurisdictions participated in the conference. Assistant Attorney General Kanter delivered a keynote address on criminal enforcement policy and cooperation with law enforcement partners.

“The pandemic compelled us to find creative ways to maintain and deepen our international cooperation efforts,” said Assistant Attorney General Kanter. “Nevertheless, it is wonderful to engage again in-person with our ICN counterparts, especially to discuss the pressing competition issues we currently face.”

The conference showcased the achievements of the ICN’s Advocacy, Agency Effectiveness, Cartel, Merger and Unilateral Conduct Working Groups and examined a range of competition enforcement and policy issues. A main theme of the conference focused on planning for the third decade of the network. The continuing impact of the COVID-19 pandemic and digital markets on competition law also featured prominently.

During his keynote, Assistant Attorney General Kanter discussed the division’s updates to its leniency policy, expanding its litigation capabilities and cooperating with our enforcement partners. Deputy Assistant Attorney General Richard Powers discussed cartel enforcement in the next decade with a focus on priorities and trends beyond the COVID-19 pandemic. The Cartel Working group breakout sessions focused on bid rigging in public procurement, international cooperation in cross-border cartels and leniency. 

The Merger Working Group’s plenary focused on challenges in merger control. Patty Brink, Senior Counsel for International and Intergovernmental Engagement, participated in a breakout session discussing killer acquisitions and reverse killer acquisitions. An additional Merger Working Group breakout session focused on economic tools to assist competition agencies analyze large volumes of data. The Merger Working Group also began reviewing the ICN Recommended Practices Chapter on entry and expansion. 

Lynda Marshall, Chief of the International Section, also participated in a breakout session discussing the ICN Framework on Competition Agency Procedures (CAP). Introduced in 2019, the CAP provides a non-binding, opt-in framework that promotes agreement between competition agencies on procedural norms in competition law enforcement. There are currently 73 CAP participants.

The Advocacy Working Group’s plenary focused on enabling effective international enforcement through competition advocacy. Advocacy Working Group breakout sessions focused on the interplay between regulators and competition agencies, advocating competition principles for the provision of digital services and gender-inclusive competition policy. 

The Agency Effectiveness Working Group’s plenary focused on how the COVID-19 pandemic changed competition agencies’ investigative process. Agency Effectiveness Working Group breakout sessions focused on tools competition agencies use to better understand markets affected by the pandemic, strategic planning and the digital transformation of competition agencies. 

The Unilateral Conduct Working Group’s plenary focused on regulatory and competition law tools in digital markets. Unilateral Conduct Working Group breakout sessions focused on procedural tools, theories of harm in digital markets, and remedies. 

The ICN was created in October 2001 to increase understanding of competition policy and promote convergence toward sound antitrust enforcement around the world. It was founded by 15 agencies, including the Antitrust Division, has grown to 140 agencies from 130 jurisdictions, supported by a wide network of non-governmental advisors from around the world.

An indictment was unsealed yesterday charging the CEO of Mining Capital Coin (MCC), a purported cryptocurrency mining and investment platform, for allegedly orchestrating a $62 million global investment fraud scheme.

“Cryptocurrency-based fraud undermines financial markets worldwide as bad actors defraud investors and limits the ability of legitimate entrepreneurs to innovate within this emerging space,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division.  “The department is committed to following the money — whether physical or digital — to expose criminal schemes, hold these fraudsters accountable, and protect investors.”

According to the indictment, Luiz Capuci Jr., 44, of Port St. Lucie, Florida, the CEO and founder of MCC, misled investors about MCC’s cryptocurrency mining and investment program, under which investors could invest in MCC by purchasing “Mining Packages.” Under this program, Capuci and his co-conspirators touted MCC’s purported international network of cryptocurrency mining machines as being able to generate substantial profits and guaranteed returns by using investors’ money to mine new cryptocurrency. Capuci also touted MCC’s own cryptocurrency, Capital Coin, as a purported decentralized autonomous organization that was “stabilized by revenue from the biggest cryptocurrency mining operation in the world.” As alleged in the indictment, however, Capuci operated a fraudulent investment scheme and did not use investors’ funds to mine new cryptocurrency, as promised, but instead diverted the funds to cryptocurrency wallets under his control.  

“This office is committed to protecting consumers from unscrupulous fraudsters seeking to capitalize on the relative novelty of digital currency,” said U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida. “As with any emerging market, those who invest in cryptocurrency must beware of profit-making opportunities that appear too good to be true.”

The indictment further alleges that Capuci touted and fraudulently marketed MCC’s purported “Trading Bots” as an additional investment mechanism for investors to invest in the cryptocurrency market. Capuci claimed that MCC joined with “top software developers in Asia, Russia, and the U.S.A. to create an improved version of Trading Bot[s] that [were] tested with new technology never seen before.” Capuci further represented that MCC’s Trading Bots operated in “very high frequency, being able to do thousands of trades per second,” and that each of MCC’s Trading Bots would generate daily returns for investors. As he did with the Mining Packages, however, Capuci allegedly operated an investment fraud scheme with the Trading Bots and was not, as he promised, using MCC Trading Bots to generate income for investors, but instead was diverting the funds to himself and co-conspirators.  

“Virtual currency markets are growing rapidly, and unfortunately so are crypto currency investment scams,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI and our law enforcement partners are committed to investigating financial fraud wherever it occurs, including in the virtual currency space.” 

Capuci is also alleged to have recruited promoters and affiliates to promote MCC and its various investment programs through a multi-level marketing scheme, commonly known as a pyramid scheme. For successfully luring investors to invest, Capuci promised MCC’s network of promoters and affiliates a range of gifts, from Apple watches and iPads to luxury vehicles such as a Lamborghini, Porsche, and even Capuci’s personal Ferrari. Capuci further concealed the location and control of the fraud proceeds obtained from investors by laundering the funds internationally through various foreign-based cryptocurrency exchanges. 

“This case should serve as a warning to any individuals who look to illegally capitalize on the perceived ambiguity of the emerging crypto market to take advantage of innocent investors” said HSI Miami Special Agent in Charge Anthony Salisbury. “HSI will continue to work with our partners to pursue anyone who utilizes these types of schemes to victimize would be customers.”

Capuci is charged with conspiracy to commit wire fraud, conspiracy to commit securities fraud, and conspiracy to commit international money laundering. If convicted of all counts, he faces a maximum total penalty of 45 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. 

The FBI Miami Field Office and HSI’s Miami Field Office are investigating the case.

Trial Attorneys Kevin Lowell and Sara Hallmark of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Yisel Valdes of the Southern District of Florida are prosecuting the case.

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

TEXARKANA, Texas– A Maud, Texas, man has pleaded guilty to COVID-relief fraud in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.

Samuel Yates, 32, pleaded guilty to two counts of wire fraud today before U.S. Magistrate Judge Caroline Craven.   Yates admitted to seeking millions of dollars in forgivable loans guaranteed by the Small Business Administration (SBA) from two different banks by claiming to have over 400 employees earning wages when, in fact, no employees worked for his purported business.

According to court documents, on April 14, 2020, Yates submitted two fraudulent applications to two different lenders fraudulently seeking more than $5 million in forgivable loans guaranteed by the SBA under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.  In the application submitted to the first lender, Yates sought $5 million in PPP loan proceeds by fraudulently claiming to have over 400 employees with an average monthly payroll of more than $2 million. In the second application, Yates claimed to employ over 100 individuals and was able to obtain a loan over $500,000. With each application, Yates submitted a list of purported employees that he obtained from a publicly available random name generator on the internet. He also submitted forged tax documents with each application.

“These Government loans, funded by taxpayers, were designed to aid businesses in weathering the pandemic-related economic storm,” said U.S. Attorney Brit Featherston.  “Yates chose to fraudulently take advantage of the good-will of the American people by attempting to steal CARES Act funding.  Those who seek to misappropriate these vital funds should tread carefully as they will be identified, investigated, and prosecuted . . . period.”

The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic.  One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP.  In April 2020, Congress authorized over $300 billion in additional PPP funding.

The PPP allows qualifying small-businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent.  PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities.  The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within eight weeks of receipt and use at least 75 percent of the forgiven amount for payroll. 

A federal grand jury returned an indictment charging Yates with federal violations on Jan. 14, 2021.   He faces up to 20 years in federal prison.  The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors.  A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.

This case is being investigated by the Treasury Inspector General for Tax Administration’s Cybercrime Investigations Division; SBA Office of Inspector General’s (OIG) Central Region; and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Dallas.

Trial Attorney Louis Manzo and Brandon Burkart of the Criminal Division’s Fraud Section and Criminal Chief Frank Coan and Assistant U.S. Attorney Jonathan R. Hornok for the Eastern District of Texas are prosecuting the case.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

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U.S. Attorney General Merrick B. Garland met virtually yesterday with Ukraine’s Prosecutor General, Iryna Venediktova, together with the Attorneys General of the Five Eyes countries: the United Kingdom’s Attorney General, Suella Braverman; Australia’s Attorney General, Michaelia Cash; Canada’s Minister of Justice and Attorney General, David Lametti; and New Zealand’s Attorney General, David Parker.

The leaders received an update from Prosecutor General Venediktova, affirmed their solidarity with the Ukrainian people, and discussed their coordinated efforts to hold accountable individuals whose criminal actions are enabling war crimes in Ukraine. They committed to continued close consultation and coordination.

“America, and the world, are watching very closely what is happening in Ukraine. Every day, we see the heartbreaking images and read the horrific accounts of brutality,” said Attorney General Merrick B. Garland. “But there is no hiding place for war criminals. The Justice Department has a long history of holding accountable those who perpetrate war crimes. Our commitment to working with our international partners, including Ukraine’s Prosecutor General, to investigate and prosecute those responsible for atrocities in Ukraine remains steadfast. We will be relentless in our efforts to bring to justice those who facilitate the death and destruction we are witnessing in Ukraine.”

In the meeting, Attorney General Garland underscored America’s support for Ukraine’s sovereignty and territorial integrity in the face of Russia’s brutal aggression. He highlighted how the United States is continuing to surge security, humanitarian, economic, and legal assistance to Ukraine. He updated Prosecutor General Venediktova and Five Eyes partners on the actions the Justice Department is taking in coordination with international partners to further raise the costs on Russia, including through the Justice Department’s Task Force KleptoCapture. Attorney General Garland also discussed the $33 billion supplemental budget request to support Ukraine and package of legislative proposals that President Biden sent to Congress on April 28, which would enhance the Justice Department’s ability to hold the Kremlin and Russian oligarchs accountable for the ongoing invasion of Ukraine.

Liquimar Tankers Management Services Inc. and Evridiki Navigation Inc. were sentenced after being convicted at trial on all charges, including violating the Act to Prevent Pollution from Ships, falsifying ships’ documents, obstructing a U.S. Coast Guard inspection and making false statements to U.S. Coast Guard inspectors. 

U.S. District Court Judge Richard G. Andrews for the District of Delaware sentenced the corporations to a total of $3 million criminal fine, and a five-year period of probation. Evridiki was  fined $2 million and Liquimar was fined $1 million.

In March 2019, the Evridiki was inspected by the Coast Guard in Big Stone Anchorage, within Delaware Bay after a delivery of crude oil. The jury found that during the inspection, Liquimar, Evridiki and the ship’s Chief Engineer, Nikolaos Vastardis, tried to deceive Coast Guard inspectors regarding the use of the ship’s oily water separator (OWS) and oil content meter (OCM), a required pollution prevention device. Chief Engineer Vastardis used a hidden valve to trap fresh water inside the sample line so that the OCM sensor registered zero parts per million concentration of oil instead of what was really being discharged overboard. The Coast Guard and government experts were able to prove that the OCM was being tricked with fresh water by analyzing historic data recovered from the machine’s memory chip. When the Coast Guard opened the OWS, they found it was inoperable and fouled with copious amounts of oil and soot. Vastardis’ conviction was upheld in December 2021 by the Third Circuit Court of Appeals, which rejected a challenge to U.S. jurisdiction over foreign vessels.

“Ocean outlaws and polluters such as these will continue to be vigorously prosecuted to the full extent of the law,” said Assistant Attorney General Todd Kim for the Justice Department’s Environment and Natural Resources Division.

At sentencing today, the government provided new evidence, based on a forensic examination of the ship’s computers, that Liquimar was also making and using fake and forged certificates regarding safety and environmental requirements. Fake certificates and fake seals, to imprint on the certificates, were e-mailed to the ship by senior shore side employees including the Designated Person Ashore – a required manager under international law who is charged with ensuring the vessel and its crew abide by the law. At least three senior employees of Liquimar were involved with creating and sending the fake certificates. The fake certificates related to the calibration of the OCM and whether pressure relief valves for the cargo were actually tested properly. A fake OCM certificate was used during the Coast Guard inspection and Vastardis was specifically asked about the validity of the certificate. The Coast Guard further discovered that the data stored on the OCM indicated the OCM was not energized on the date that the fake certificate claimed the OCM was calibrated. In addition, the certificate for the pressure relief valves was noted to be false because it had claimed that the system was tested on a date that the cargo tanks were full, which is impossible. Referring to the forged documents as the “elephant in the room” which the defendants asked judge to ignore, federal prosecutors told the court that the companies “failure to address, let along mention this willful misconduct, demonstrates that these defendants are willfully blind if not completely unrepentant.”

Senior Litigation Counsel Richard A. Udell and Senior Trial Attorney Kenneth E. Nelson, both of the Environmental Crimes Section of the Department of Justice, represented the government at trial. Assisting in the prosecution were Trial Attorney Joel La Bissonniere with the Environmental Crimes Section, and Lieutenant Commander Ben Robinson, attorney with the Coast Guard’s Office of Maritime and International Law. The Coast Guard’s Investigative Service investigated the case with assistance from the Coast Guard’s Sector Delaware Bay and Marine Safety Detachment in Lewes, Delaware.

The Justice Department announced that Christopher Scott Pritchard, 46, has been charged with hate crime and arson violations for burning down the Church of Jesus Christ of Latter-day Saints in Cape Girardeau, Missouri.

Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Sayler A. Fleming for the Eastern District of Missouri and Acting Special Agent in Charge Akil Davis for the FBI St. Louis Field Office made the announcement.

According to court documents, Pritchard is charged with intentionally obstructing parishioners of the church in the enjoyment of their free exercise of religious beliefs and using fire to commit a federal felony. If convicted, Pritchard faces up to 20 years in prison for obstructing the parishioners and a mandatory minimum of 10 years in prison, consecutive to any other sentence, for using fire to commit a federal felony. Pritchard also faces a fine of up to $250,000 with respect to each charge.

These charges are the result of an investigation by the Cape Girardeau County Sheriff’s Office, the FBI, the Missouri State Fire Marshal’s Office and the Bureau of Alcohol, Tobacco, Firearms & Explosives. The case is being prosecuted by Trial Attorneys Shan Patel and Noah Coakley of the Justice Department’s Civil Rights Division and Assistant U.S. Attorney Paul Hahn for the Eastern District of Missouri.

For more information and resources on the department’s efforts to combat hate crimes, visit www.justice.gov/hatecrimes.

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

Today, the Department of Justice, together with the Federal Trade Commission (FTC), announced that Kohl’s Inc. (Kohl’s) and Walmart Inc. (Walmart) have agreed to pay $2.5 million and $3 million in civil penalties, respectively, in as part of settlements to resolve allegations that Kohl’s and Walmart violated the Textile Fiber Products Identification Act (Textile Act) and associated rules (Textile Rules) and the Federal Trade Commission Act (FTC Act) by making deceptive claims about products supposedly made of bamboo. 

In complaints filed in the U.S. District Court for the District of Columbia, the government alleged that since 2015, Kohl’s and Walmart violated the Textile Act and Rules and the FTC Act by advertising products as made of bamboo when such products were actually made of rayon and did not contain bamboo fibers. The complaints also alleged that Walmart and Kohl’s made deceptive claims that their products supposedly made of bamboo were environmentally friendly, and that Kohl’s further claimed such products were produced free of harmful chemicals, when in fact rayon is produced using a chemical process that requires toxic chemicals and results in the emission of hazardous pollutants. Kohl’s and Walmart did so even though, in 2010, both had received letters from the FTC warning them that improperly advertising products made of rayon as bamboo violated the Textile Rules and FTC Act. 

“Consumers should be able to trust retailers’ representations about the materials from which their clothes and linens are made,” said Deputy Assistant Attorney General Arun G. Rao, head of the Justice Department’s Consumer Protection Branch. “The Department of Justice will not tolerate companies that generate sales by making false claims about their textile products.”

“Kohl’s and Walmart are paying millions of dollars under the FTC’s Penalty Offense Authority for mislabeling their rayon products as bamboo,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “False environmental claims harm both consumers and honest businesses, and companies that greenwash can expect to pay a price.”

The stipulated orders require Kohl’s to pay $2.5 million and Walmart to pay $3 million in civil penalties. The orders also bar Kohl’s and Walmart from making misleading or unsubstantiated claims that products are made of bamboo or provide environmental benefits because they are derived from bamboo. More generally, the orders bar Kohl’s and Walmart from advertising textiles comprised of manufactured fibers in a way that is false or deceptive as to their constituent fibers and requires them to satisfy ongoing recordkeeping, certification and compliance obligations. 

This matter is being handled by Trial Attorney Rachael Doud of the Civil Division’s Consumer Protection Branch and Miriam Lederer of the FTC.

For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch. For more information about the FTC, visit its website at https://www.FTC.gov.

Today, Secretary of the Interior Deb Haaland and Deputy Attorney General Lisa Monaco will recognize National Missing or Murdered Indigenous Persons Awareness Day with a virtual event to highlight the Not Invisible Act Commission. During the event, panelists will discuss the Missing and Murdered Indigenous Peoples crisis and the importance of the Not Invisible Act Commission in the collaborative efforts to address the crisis.

The event will be livestreamed at 2:30 PM ET today on the Interior Department’s website.  

The Departments of the Interior and Justice are working to implement the Not Invisible Act, sponsored by Secretary Haaland during her time in Congress. The law established the Not Invisible Act Commission, a cross jurisdictional advisory committee composed of law enforcement, Tribal leaders, federal partners, service providers, family members of missing and murdered individuals, and most importantly — survivors. Today, the Departments announced the Not Invisible Act Commission members.

“The Justice Department is committed to addressing the crisis of missing or murdered Indigenous persons with the urgency it demands,” said Attorney General Merrick B. Garland.  “That commitment is reflected in the strength of our partnerships across the federal government, including with the Department of the Interior as we take the next steps in launching the Not Invisible Act Commission.  The Commissioners announced today will play a critical role in our efforts to better meet the public safety needs of Native communities. The Justice Department will continue to work alongside our Tribal partners with respect, sincerity, and a shared interest in the wellbeing of Tribal communities.”

“Everyone deserves to feel safe in their community, but a lack of urgency, transparency and coordination have hampered our country’s efforts to combat violence against American Indians and Alaska Natives,” said Interior Secretary Deb Haaland. “As we work with the Department of Justice to prioritize the missing and murdered Indigenous people’s crisis, the Not Invisible Act Commission will help address the underlying roots of the Missing and Murdered Indigenous Peoples crisis by ensuring the voices of those impacted by violence against Native people are included in our quest to implement solutions.” 

The Not Invisible Act Commission will make recommendations to the Departments of the Interior and Justice to improve intergovernmental coordination and establish best practices for state, Tribal, and federal law enforcement, to bolster resources for survivors and victim’s families, and to combat the epidemic of missing persons, murder, and trafficking of Native American, Alaska Native, and Native Hawaiian people. 

Among its missions, the Commission will:  

• Identify, report and respond to instances of missing and murdered Indigenous peoples (MMIP) cases and human trafficking,
• Develop legislative and administrative changes necessary to use federal programs, properties, and resources to combat the crisis, 
• Track and report data on MMIP and human trafficking cases, 
• Consider issues related to the hiring and retention of law enforcement offices, 
• Coordinate Tribal-state-federal resources to combat MMIP and human trafficking offices on Indian lands, and  
• Increase information sharing with Tribal governments on violent crimes investigations and other prosecutions on Indian lands.  

The Commission has the authority to hold hearings, gather testimony, and receive additional evidence and feedback from its members to develop recommendations for the Secretary and Attorney General. 

Attorney General Merrick B. Garland was joined by EPA Administrator Michael S. Regan today in announcing a series of actions to secure environmental justice for all Americans. In addition to launching a new Office of Environmental Justice within the Justice Department, Attorney General Garland also announced a new comprehensive environmental justice enforcement strategy to guide the Justice Department’s work and issued an Interim Final Rule that will restore the use of supplemental environmental projects in appropriate circumstances.

“Although violations of our environmental laws can happen anywhere, communities of color, indigenous communities, and low-income communities often bear the brunt of the harm caused by environmental crime, pollution, and climate change,” said Attorney General Garland. “For far too long, these communities have faced barriers to accessing the justice they deserve. The Office of Environmental Justice will serve as the central hub for our efforts to advance our comprehensive environmental justice enforcement strategy. We will prioritize the cases that will have the greatest impact on the communities most overburdened by environmental harm.”

“EPA and the Justice Department’s partnership to protect overburdened and underserved communities across America has never been stronger,” said EPA Administrator Regan. “This environmental justice enforcement strategy epitomizes the Biden-Harris Administration’s commitment to holding polluters accountable as a means to deliver on our environmental justice priorities. Critical to that is the return of Supplemental Environmental Projects as a tool to secure tangible public health benefits for communities harmed by environmental violations.”

Consistent with President Biden’s Executive Order on Tackling the Climate Crisis at Home and Abroad, Associate Attorney General Vanita Gupta issued a comprehensive environmental justice enforcement strategy to guide the Justice Department’s litigators, investigators, and U.S. Attorneys’ Offices nationwide to advance the cause of environmental justice through the enforcement of federal laws. Developed by the Environment and Natural Resources Division (ENRD) in partnership with EPA, the strategy will ensure that the entire Department is using all available legal tools to promote environmental justice.

The Justice Department also launched its first-ever Office of Environmental Justice (OEJ) within ENRD today. This new office will be a critical resource as the Justice Department implements the new comprehensive enforcement strategy. Assistant Attorney General Todd Kim named Cynthia Ferguson, an experienced ENRD attorney with more than a decade working on environmental justice issues, as Acting Director.

Finally, the Justice Department issued an Interim Final Rule today that will restore the use of supplemental environmental projects in appropriate circumstances and subject to guidelines and limitations set forth in a separate memorandum issued by the Attorney General today. For decades before 2017, EPA and ENRD relied upon such projects to provide redress to communities most directly affected by violations of federal environmental laws. For this reason, they are particularly powerful tools for advancing environmental justice. The Justice Department’s Interim Final Rule invites public comment on the new guidelines and limitations, including to inform any future changes to the Justice Department’s approach.

“The Justice Department is committed to addressing the crisis of missing or murdered Indigenous persons with the urgency it demands. That commitment is reflected in the strength of our partnerships across the federal government, including with the Department of the Interior as we take the next steps in launching the Not Invisible Act Commission. The Commissioners announced today will play a critical role in our efforts to better meet the public safety needs of Native communities. The Justice Department will continue to work alongside our Tribal partners with respect, sincerity, and a shared interest in the wellbeing of Tribal communities.”

--Attorney General Merrick B. Garland, May 5, 2022

The Justice Department joins its partners across the federal government, as well as people through American Indian and Alaska Native communities, in recognizing May 5, 2022 as National Missing or Murdered Indigenous Persons Awareness Day. Today and every day, the Department of Justice considers it a priority to respond to the crisis of Missing or Murdered Indigenous Persons (MMIP).

Earlier today, the Departments of Justice and Interior announced the members of the joint Commission under the Not Invisible Act. Deputy Attorney General Lisa Monaco joined Secretary of the Interior Deb Haaland at a virtual event announcing the members of the Commission. Read Deputy Attorney General Monaco’s remarks here. 

The Director of the Justice Department’s Office of Tribal Justice, Tracy Toulou, will serve as a co-chair of the Commission. He will be joined by representatives from across the department, including from law enforcement and grantmaking components. The Commissioners announced today represent a diverse range of experiences, expertise and perspectives, and include survivors who can speak firsthand to the urgency of the Commission’s work, as well as Tribal leaders and members.

Commissioners will issue recommendations to the Attorney General and Secretary of the Interior on how to improve intergovernmental coordination, as well as how to identify best practices for federal, state, local and Tribal law enforcement when responding to the violence directed at American Indians and Alaska Natives.   

 MMIP Steering Committee

In November 2021, the President issued a new Executive Order, which reflected a whole-of-government response to promoting public safety in Native communities. In a November 15 directive, Deputy Attorney General Monaco identified the department’s work to address missing or murdered indigenous persons as “a priority for its law enforcement components,” and launched a Steering Committee dedicated to marshalling the department’s personnel and resources to this effort. The Steering Committee has made Tribal engagement the cornerstone of its work, and through those ongoing conversations, has heard the need for better communication and coordination between federal, state, local and Tribal law enforcement.

Consistent with Savanna’s Act, the department has directed each of its U.S. Attorney’s Offices with Tribal land to develop regionally appropriate guidelines for responding to MMIP cases.  The Department has also issued guidance to and conducted training with each of its 94 U.S. Attorneys’ Offices on how to develop these guidelines. U.S. Attorney’s Offices have held consultations with federal, state, and Tribal partners in their districts to develop guidelines tailored to their specific communities and will finalize those plans this month. Once those plans are finalized, the department’s relevant law enforcement components will modify their own protocols to incorporate the guidelines. State, local and Tribal law enforcement should contact their local U.S. Attorney’s Office for more information on the department’s guidance. You can learn more about the department’s efforts to implement Savanna’s Act here.

Department Announces New National Native American Outreach Services Liaison

The department announced today a new position to spearhead its efforts better reach Native victims, survivors and families: a National Native American Outreach Services Liaison. The Liaison will work in our Executive Office for U.S. Attorneys and help ensure that victims and their families have a voice within the department as they navigate all stages of the criminal justice system. You can find the posting for this new position here. 

Department Launches New Dedicated MMIP Website

Last month, the Department launched a new page on our Tribal Justice and Safety website dedicated to elevating the issue of MMIP. This new website serves as a central hub of resources for families and victims and also promotes transparency about the Department’s law enforcement efforts. 

VAWA Reauthorization Promotes Public Safety in Tribal Communities 

Also this year, the department helped advance the reauthorization of the Violence Against Women Act and its important provisions to promote safety in Tribal communities, including the expansion of Special Tribal Criminal Jurisdiction, which recognizes the authority of Tribal courts to exercise jurisdiction over crimes of family violence, including child abuse, that are often precursors to missing or murdered person cases. 

The Justice Department today entered into an agreement under the Americans with Disabilities Act (ADA) with the Holiday Inn Express Hotel & Suites in Columbus, Ohio. The department reached the agreement with Badrivishal LLC, which owns and operates the hotel. The agreement requires a series of modifications to provide better access for customers with disabilities, including those who use wheelchairs. 

The Civil Rights Division launched an investigation after it received a complaint from a couple who claimed that they reserved accessible rooms after being told by hotel staff that the rooms had accessible “roll-in” showers fitted for wheelchairs. Upon arrival during the Thanksgiving holiday, neither of the bathrooms had a roll-in shower and the couple were forced to find a different hotel.

The ADA requires that hotels provide access to individuals with disabilities, including those who use wheelchairs. After conducting an architectural assessment, the department alleged that the hotel here failed to comply with the accessibility standards under the ADA and presented barriers for people using wheelchairs. These barriers prevented such individuals from entering showers in the room, safely transferring into beds, enjoying the breakfast offered at the hotel, accessing the front desk and getting from accessible parking into the hotel.

“As the country reopens from the COVID-19 pandemic and people travel with more frequency, people who use wheelchairs should not face barriers at hotels because of their disabilities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Civil Rights Division is committed to enforcing the rights of people with disabilities so that they may travel worry-free and enjoy access to hotels.”

Under the agreement, the hotel will remove these barriers by modifying parking spaces, building entrances, public restrooms, the front desk, drinking fountains and routes within the hotel to ensure that they are accessible. The hotel will also ensure that its rooms, including bathrooms, that are required and advertised as accessible to people who use wheelchairs are, in fact, accessible. The agreement further requires the hotel’s managers, front desk personnel and reservations staff undergo training regarding the ADA’s requirements to accommodate individuals with disabilities. Finally, the hotel will pay $20,000 in damages to the couple harmed by the discrimination.

People interested in finding out more about the agreement, or the ADA can call the Justice Department’s toll-free ADA information line at 800-514-0301 or 800-514-0383 (TDD), or access the ADA website at http://www.ada.gov.

Today, Deputy Attorney General Lisa O. Monaco and Office on Violence Against Women (OVW) Principal Deputy Director Allison Randall announced the launch of an updated and expanded resource aimed at health care professionals. Originally developed in 2008 with OVW funding by the Dartmouth Medical School’s Interactive Media Laboratory, the Sexual Assault Medical Forensic Examination: A Virtual Practicum (SAMFE VP) teaches every step of a victim-centered sexual assault medical forensic examination and serves as a training tool for law enforcement, prosecutors and other professionals. The revised and improved SAMFE VP is designed to enhance care for patients from diverse communities, including transgender patients, young people, elders and incarcerated patients. The SAMFE VP provides interactive training on various topics including evidence collection, physical examinations, medical and forensic documentation, crime laboratory analysis and courtroom testimony. Earlier this year, President Biden signed into law the historic reauthorization of the Violence Against Women Act (VAWA), which expands access to justice, safety and services for survivors and enhances training for sexual assault forensic examiners.

“All survivors of sexual violence deserve access to compassionate and competent care, and professionals must be able to obtain the resources, training and institutional support required to meet survivors’ needs. Medical forensic care providers can have an enormous impact on survivors, as well as on the investigation and prosecution of these cases,” said Deputy Attorney General Monaco. “Programs, initiatives and projects funded under the Violence Against Women Act, including the SAMFE Virtual Practicum announced today, support practices that save lives and help build coordinated community responses to sexual and domestic violence.” 

“Forensic medical examiners are often among the first people survivors encounter in the aftermath of sexual assault, on what might have been the worst day of their lives, when they are just beginning to process the trauma of what they’ve been through. It is not an easy job, but it is critical in so many ways: research shows that survivors who work with forensic medical examiners have much better outcomes when compared to those who do not,” said OVW Principal Deputy Director Randall. “The SAMFE Virtual Practicum ensures that nurses and other professionals have the knowledge and skills they need to respond effectively when a survivor needs medical treatment and evidence collection after an assault.”

With funding from the department’s National Institute of Justice, OVW collaborated to update the SAMFE VP with End Violence Against Women International; the Academy of Forensic Nursing; the International Association of Forensic Nurses; and more than 30 multidisciplinary experts – the full list of people and institutions who made the project possible is available as a pdf file. For more information about SAMFEs and Sexual Assault Nurse Examiners (SANEs), OVW’s Patchwork Podcast has an episode titled “Sexual Assault Nurse Examiners Assist Survivors at the Intersection of Health and Justice Systems.”

OVW provides funding under several grant programs to provide sexual assault patients with medical forensic exams to treat their post-assault healthcare needs and to collect evidence of their sexual assault. OVW provides leadership in developing the nation’s capacity to reduce violence through the implementation of the Violence Against Women Act and subsequent legislation. Created in 1995, OVW administers financial and technical assistance to communities across the country that are developing programs, policies and practices aimed at ending domestic violence, dating violence, sexual assault, and stalking. In addition to overseeing federal grant programs, OVW undertakes initiatives in response to special needs identified by communities facing acute challenges. Learn more at http://www.justice.gov/ovw.  

The Department of Justice, together with federal and state law enforcement partners, today announced criminal charges against 14 defendants in eight federal districts across the United States for their alleged involvement in crimes related to the unlawful distribution of opioids. Twelve of the defendants were medical professionals at the time of these alleged offenses.

“Today’s Opioid Enforcement Action highlights the Justice Department’s latest efforts in responding to the nation’s opioid epidemic, which last year alone caused the tragic loss of life for more than 75,000 people in the United States due to overdose,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “The Department of Justice will continue to work tirelessly with its partners to combat this epidemic, and to seek to prevent the next tragic loss of life.”

One of the cases announced today charged a Kentucky dentist with unlawfully prescribing morphine. In August 2020, this dentist issued three opioid prescriptions to a 24-year-old patient in a five-day period. The patient died from a morphine overdose, allegedly from one of the prescriptions the dentist issued during those five days. Another case charged a former nurse and clinic director in Tennessee with unlawfully obtaining opioid pain pills for personal use and further distribution by filling fraudulent prescriptions in the names of current and former hospice patients. According to the indictment, the defendant then used the patients’ hospice benefits to cover the costs of the unlawfully obtained prescriptions opioids. A third case charged a Kentucky doctor with unlawfully prescribing opioids to patients whose health care treatments were paid for by taxpayer-funded programs like Medicare and Medicaid. The defendant allegedly preyed on these patients for continued access in order to bill these programs for medically unnecessary procedures.

“When we helped announce ARPO strike forces in 2019 we said it would be an enduring commitment to stamp out illegal opioid trafficking by prescription pad and we meant it,” said U.S. Attorney Kenneth L. Parker for the Southern District of Ohio. “As is evident by the results announced today, we will continue to bring coordinated enforcement actions to address the opioid scourge plaguing the region.”

Today’s announcement also highlighted the continued efforts of the Health Care Fraud Unit’s Appalachian Regional Prescription Opioid (ARPO) Strike Force. Over the past three years, ARPO has charged 111 defendants with crimes related to the unlawful distribution of prescription opioids. Together, these defendants issued prescriptions for over 115 million controlled substance pills.

Since its inception, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids

“The FBI and our partners are working together to combat the opioid crisis and hold accountable those abusing their prescription privileges,” said Special Agent in Charge J. William Rivers of the FBI’s Cincinnati Field Office. “We urge the public to assist us in keeping the community safe by calling 1-800-CALL-FBI with tips about those illegally prescribing opioids.”

“Those who illegally prescribe opioids not only undermine critical efforts to address the epidemic; they also put patients at risk of overdose and physical harm,” said Inspector General Christi A. Grimm of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “This enforcement action demonstrates HHS-OIG’s commitment to working with our law enforcement partners to hold accountable bad actors who abuse their status as health care providers and exploit the opioid epidemic for personal gain.”

“Doctors and health care professionals are entrusted with prescribing medicine responsibly and in the best interests of their patients. Today’s takedown targets medical providers across the country whose greed drove them to abandon this responsibility in favor of criminal profits,” said Administrator Anne Milgram of the Drug Enforcement Administration (DEA). “DEA will use every tool at our disposal to stop drug diversion and fraud. And we are working tirelessly each day to make our communities safer and healthier.”

Additionally, the Centers for Medicare & Medicaid Services’ (CMS) Center for Program Integrity has taken six administrative actions against providers for their alleged involvement in these offenses.

“Patient care and safety are top priorities for us, and CMS has taken administrative action against six providers to protect critical resources entrusted to Medicare while also safeguarding people with Medicare,” said CMS Administrator Chiquita Brooks-LaSure. “These actions to combat fraud, waste, and abuse in our federal programs would not be possible without the close and successful partnership of the Centers for Medicare & Medicaid Services, the Department of Justice, and the U.S. Department of Health and Human Services Office of Inspector General.”

U.S. Attorneys William S. Thompson for Southern District of West Virginia, Carlton S. Shier IV for the Eastern District of Kentucky, and Francis M. Hamilton III for the Eastern District of Tennessee joined the announcement today.

Today’s enforcement actions were led and coordinated by Principal Deputy Chief Kilby Macfadden and ARPO Assistant Chiefs Alexis Gregorian and Jillian Willis. The Fraud Section’s ARPO Strike Force and the Health Care Fraud Unit’s Strike Forces in Miami and New Jersey, as well as the U.S. Attorneys’ Offices for the Northern District of Alabama, Eastern District of Kentucky, District of New Jersey, Eastern District of Tennessee, and Southern District of West Virginia are prosecuting these cases. Descriptions of each case involved in today’s enforcement action are available on the department’s website at https://www.justice.gov/criminal-fraud/opioid-enforcement-action-2022. 

In addition to the DEA, FBI, and HHS-OIG, the Kentucky and Ohio Medicaid Fraud Control Units; Tennessee Bureau of Investigation; U.S. Postal Inspection Service; and other federal and local law enforcement agencies participated in the law enforcement action.

An indictment, complaint, or information is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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For any patients impacted by the law enforcement operations, information regarding available treatment programs and where patients can turn for assistance is available as follows:

Alabama: The Alabama Department of Mental Health has a dedicated telephone number to connect those affected by the closure. The toll-free substance abuse number is 1-844-307-1760. Information about substance abuse and opioids is available at the following websites:

http://www.alabamapublichealth.gov/pharmacy/opioid-and-heroin.html

https://mh.alabama.gov/understanding-the-opioid-crisis/

Florida: If you are in Florida and are suffering with addition you can find help by calling 1-800-662-4357 or by finding local services at https://www.myflfamilies.com/service-programs/samh/get-help.shtml.

Kentucky: If you are in Kentucky and are suffering with addiction you can find help by calling 833-8KY-HELP or logging in at Findhelpnowky.org.

Ohio: If you are seeking help in Ohio, please call the OhioMHAS patient helpline, at 1-877-275-6364

Tennessee: If you are seeking help in Tennessee:

• For a referral to addiction treatment services, call the Tennessee REDLINE: 800-889-9789.
• In a mental health crisis, call the Statewide Crisis Line: 855-CRISIS-1 (855-274-7471).
• For help accessing substance abuse or mental health services call the Tennessee Department of Mental Health and Substance Abuse Services Helpline: 800-560-5767 or 615-532-6700. This line is staffed Monday-Friday, 8 a.m. - 4:30 p.m. CT.

New Jersey: If you are seeking help in New Jersey, please call the REACH Helpline at 1-844-732-2465.

West Virginia: If you are in West Virginia and are suffering with addiction you can find help by calling 1-844-HELP-4WV or logging in at https://HelpandHopeWV.org.

For individuals seeking help in other states, please call 1-800-662-HELP

The Fraud Section uses the Victim Notification System (VNS) to provide victims with case information and updates related to this case. Victims with questions may contact the Fraud Section’s Victim Assistance Unit by calling the Victim Assistance phone line at 1-888-549-3945 or by emailing Victimassistance.fraud@usdoj.gov. To learn more about victims’ rights, please visit: https://www.justice.gov/criminal-vns/victim-rights-derechos-de-las-v-ctimas. If you believe you are a victim of the conduct described in any of these cases, please visit https://www.justice.gov/criminal-vns/case/ARPO.  

A former California man made a court appearance earlier this week after being apprehended and deported from Costa Rica, so that he could be sentenced by a federal judge on his U.S. conviction for tax crimes.

In December 2000, Robin J. McPherson, formerly of San Diego, and two co-conspirators were found guilty at trial of conspiring to defraud the IRS and tax evasion. According to evidence presented at trial, McPherson was the President, Chief Operating Officer and co-owner of Continental Wireless Cable Inc., a telemarketing company that sold more than $30 million in purported partnership interests in wireless cable systems before being shut down by the Securities and Exchange Commission. McPherson and his co-conspirators took steps to evade paying taxes on profits earned by Continental Wireless Cable Inc., causing a tax loss to the IRS of more than $1 million in taxes.

Following McPherson’s trial conviction in 2000, the district court ordered him and his co-defendants to appear for sentencing in March 2001. Instead, McPherson fled the United States and did not return for the sentencing hearing.

“It is fitting that Robin McPherson was arrested and returned to the United States to be sentenced on his tax crime convictions,” said Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division. “While honest Americans are paying their fair share this filing season, they will be reminded that the department and IRS will ensure that those who have defrauded the IRSs are held fully accountable, no matter how long it takes.”

“This defendant dodged both his taxes and his sentencing hearing,” said U.S. Attorney Randy S. Grossman for the Southern District of California. “Thanks to the FBI and Costa Rican authorities, he’ll now be held responsible for both.”

“The defendant was convicted for his role in a complex financial fraud scheme in 2000 and fled the U.S. before he was sentenced,” said Special Agent in Charge Stacey Moy of the FBI’s San Diego Field Office. “This international arrest and deportation, more than two decades later, should serve as notice to FBI fugitives worldwide - neither time nor distance will deter the FBI from tracking down wanted fugitives and holding them accountable in U.S. courts. The FBI is proud to work alongside IRS-Criminal Investigation, and I specifically want to thank the FBI’s Legal Attaché Office in Panama City for their outstanding work in coordinating with local authorities in Costa Rica to locate and arrest the defendant.”      

“It has been more than 20 years since the defendant was convicted in federal court for tax crimes,” said Special Agent in Charge Ryan L. Korner of IRS-Criminal Investigation. “After eluding the authorities as a fugitive, McPherson was finally caught and is now being brought back to the United States to face his crimes. Criminals may think that they can run and evade justice, but we as a law enforcement agency will continue to hold them accountable.”

McPherson is scheduled to be sentenced at a later date. McPherson faces a maximum penalty of five years in prison on each of the conspiracy and tax evasion counts. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

McPherson is also wanted to stand trial in the District of Oregon for fraud and money laundering charges. In October 2020, McPherson was charged by criminal complaint in the District of Oregon for his role in a fraud scheme in which he allegedly solicited $1.2 million in investments from victims in a fake Costa Rican real estate development opportunity. McPherson allegedly used investor funds to pay for various personal expenses including his own mortgage.

The United States is grateful to the Government of Costa Rica for its cooperation and support in apprehending McPherson, as well as the Justice Department’s Office of International Affairs, the U.S. Marshals Service and the FBI Legat Panama City.

IRS-Criminal Investigation conducted the investigation. The U.S. Attorney’s Office for the Southern District of California provided significant assistance.

Former Tax Division trial attorneys Danny N. Roetzel and Lori A. Hendrickson prosecuted the case.

A criminal complaint is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

The Department of Justice, together with the Federal Trade Commission (FTC), announced today that the government will collect $105,319.56 in civil penalties from Lithionics Battery LLC and its general manager, Steven Tartaglia (together, Lithionics), as part of a settlement to resolve allegations that Lithionics violated the FTC’s “Made in USA” Labeling Rule and the FTC Act in connection with marketing its battery products.

In a complaint filed in the U.S. District Court for the Middle District of Florida, the government alleged that Lithionics violated the rule by improperly labeling and advertising batteries, battery modules and battery management systems as “Made in USA,” even though key components of the products — including the lithium ion cells that powered the batteries — were imported. This is the first action under the FTC’s new “Made in USA” rule.

“The Department of Justice will not tolerate companies who deceive customers by falsely claiming that their products were made in the United States,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to protecting consumers from the deceptive practices of companies who hope to gain an unfair advantage through dishonesty.” 

“As our country works to onshore production of lithium ion batteries, it’s critical that honest businesses have a chance to compete, and that consumers can buy American,” said Director Sam Levine of the FTC’s Bureau of Consumer Protection. “Falsely labeling batteries as made in the United States is against the law, and the FTC is using its new Made in USA rule to make sure this misconduct comes with a price.”

In addition to the civil penalties, the stipulated order entered by the court today prohibits Lithionics from making “Made in USA” and other unsubstantiated origin misrepresentations in the future. The stipulated order also requires Lithionics to notify affected customers and to submit compliance reports to the FTC for over a decade.

This matter is being handled by Trial Attorneys Deborah Sohn and Zachary Cowan of the Civil Division’s Consumer Protection Branch. Julia Ensor represented the FTC.

For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch. For more information about the FTC, visit its website at https://www.FTC.gov.

Note: To download fugitive reward posters in English and Spanish, click on: Tito Montes Bobadilla, Herlinda Bobadilla, and Juan Carlos Montes Bobadilla.

Today, the U.S. Department of State announced a reward of up to $5 million each for information leading to the arrest and conviction of three Honduran nationals indicted in the Eastern District of Virginia on charges stemming from their roles as leading figures in a drug-trafficking operation.

On Oct. 8, 2015, a federal grand jury returned an indictment charging Tito Montes-Bobadilla, aka Alejandro Montes-Bobadilla or Pimpi, 32; Herlinda Bobadilla, aka Erlinda Ramos-Bobadilla or Chinda, 61; Juan Carlos Montes-Bobadilla, aka Mono, 35; Noe Montes-Bobadilla aka Ton, 38; and two others with conspiracy to distribute five kilograms or more of cocaine. The Department of State is offering $5 million for information leading to the arrest and/or conviction of Tito Montes-Bobadilla, Herlinda Bobadilla, or Juan Carlos Montes Bobadilla. The three Bobadillas are currently fugitives and are believed to be armed and dangerous.

According to court documents and allegations in the indictment, from 2006 until the date of the indictment, Juan Carlos Montes-Bobadilla, his mother Herlinda Bobadilla, and his brother Tito Montes-Bobadilla allegedly were leaders in the Montes-Bobadilla drug-trafficking organization (DTO), or “Los Montes,” one of the largest drug cartels in Honduras. Noe Montes-Bobadilla led the Montes DTO prior to his arrest and extradition to the United States in 2017. Noe Montes-Bobadilla’s brothers, Tito Montes-Bobadilla and Juan Carlos Montes-Bobadilla, allegedly led cells within the DTO with their own supply and distribution networks. Their mother, Herlinda Bobadilla, allegedly assisted her sons in the importation, transportation, and distribution of cocaine. Through these efforts, the Montes DTO allegedly distributed thousands of kilograms of cocaine destined for the United States.

The Montes DTO allegedly had its base of operations around Francia, Honduras, in the Department of Colón. The Montes DTO allegedly received shipments of cocaine via boats, clandestine aircraft, and even submarines by South American suppliers. Individual shipments allegedly carried hundreds of, and sometimes more than a thousand kilograms of cocaine. The Montes DTO allegedly worked closely with other drug-trafficking organizations to import the cocaine in Honduras and transport it north through Central America and Mexico to the United States.

After his extradition, Noe Montes-Bobadilla was convicted, and, in April 2019, sentenced to 37 years’ imprisonment on the drug-trafficking charge.

If you have information regarding this case, please contact the U.S. Drug Enforcement Administration (DEA) at +504-9452 4032 or +504-9430 7106, which can accept messages from the social messaging applications WhatsApp and Signal, or by email at Montes.tips@usdoj.gov. If you are located outside of the United States, please contact the nearest U.S. Embassy or Consulate. If in the United States, please contact the local DEA office in your city.

Assistant U.S. Attorneys James L. Trump, Thomas W. Traxler, and Anthony Aminoff of the Eastern District of Virginia and Trial Attorneys Teresita Mutton and Douglas Meisel of the Criminal Division’s Narcotic and Dangerous Drug Section are prosecuting the case. The Justice Department’s Office of International Affairs provided substantial assistance in securing the arrest and extradition of Noe Montes-Bobadilla. 

This case is being investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) Operation Harpoon.

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

A New Jersey man pleaded guilty today to filing a false corporate tax return with the IRS.

According to court documents and statements made in court, Gabriel Ferrari, of Edison, owned Buses and Trucks Inc. (B&T), an automotive repair business located in Edison. Ferrari used B&T funds to pay for personal items, including gambling on horse races. He did not inform his tax preparer about the diverted corporate funds for tax years 2011 through 2014 and, as a result, B&T’s corporate tax returns and his personal income tax returns for each of these years were false.

Ferrari is scheduled to be sentenced on Sept. 14 and faces a maximum penalty of three years in prison for filing a false tax return. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement.

IRS-Criminal Investigation investigated the case.

Trial Attorney Ann M. Cherry of the Tax Division and Assistant U.S. Attorney Andrew Trombly of the U.S. Attorney’s Office for the District of New Jersey are prosecuting the case.

The Justice Department announced today the appointment of August E. Flentje as the interim Special Master of the September 11th Victim Compensation Fund (VCF). Rupa Bhattacharyya resigned as Special Master on April 29. The VCF was created by Congress to compensate those who suffered personal injuries or died as a result of the terrorist attacks of September 11, 2001, and the rescue, recovery, and debris removal efforts undertaken in the aftermath of the attacks.

“I want to convey my sincere appreciation for Rupa’s 27 years of dedicated public service,” said Attorney General Merrick B. Garland. “I am especially grateful for her service as Special Master for the September 11th VCF. In her six years as Special Master, Rupa enhanced the efficiency of this vital program, helped it achieve permanent status, and garnered the support of the 9/11 community and Members of Congress.”  

Bhattacharyya was appointed to the position of VCF Special Master by the Attorney General in July 2016. She is a career civil servant who has held numerous leadership positions within the Department of Justice and the Department of the Treasury.

Under Bhattacharyya’s leadership, the VCF has significantly reduced the time it takes to review and decide a claim, and has awarded over $8 billion in compensation to more than 35,000 responders and survivors who have become sick or died because of their exposure to 9/11 toxins. Bhattacharyya helmed the program when a bipartisan Congress reauthorized the VCF in 2019 to accept claims until 2090 and appropriated to it such funds as may be necessary to pay all eligible claims, thus ensuring both the program’s financial stability and that it would remain operational to assist victims of the 9/11 terror attacks for decades to come. 

The Attorney General appointed Flentje as the VCF’s Special Master on an interim basis while a search for a permanent Special Master is conducted. Flentje is a career civil service attorney with the Department’s Civil Division and has managed several Civil Division components for temporary periods, including the Torts Branch, through which the Civil Division has provided administrative oversight of VCF operations. 

The Department does not expect any interruption in VCF claim review or in the issuance of awards during this interim period.    

Learn more information on the VCF at: https://www.vcf.gov.

Nery A. Martinez Vasquez, 54, and Maura N. Martinez, 54, both of Shasta Lake, California, were both sentenced today for conspiring to subject three victims to forced labor, a crime to which the defendants had previously pleaded guilty. Vasquez was sentenced to six and a half years in prison and Martinez was sentenced to three years in prison. Both defendants were also sentenced to three years of supervised release and a fine of $25,000. The couple was also required to pay $300,000 in restitution to seven total victims. Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division and U.S. Attorney Phillip A. Talbert for the Eastern District of California made the announcement.

According to court documents, from September 2016 to February 2018, the defendants — who owned and operated a restaurant and janitorial service — used various coercive means to force their victims into working long hours of physically demanding work, seven days a week, for minimal to no pay. In August 2016, the defendants convinced the victims, a Guatemalan relative and her two minor daughters, ages 15 and 8, to come to the United States by falsely promising the victims a better life and arranging for them to enter the United States and overstay their temporary visitor visas. The defendants then conspired with each other to impose an inflated debt on the victims that they required the victims to pay back through working for them. When the adult victim complained and expressed an interest in leaving, the defendants threatened to have the victims arrested for overstaying their visas unless they continued working the same long hours, seven days a week, for little pay. Similarly, the defendants kept the two minor victims working at their businesses instead of attending school by telling the victims that immigration authorities would find and arrest them if the minor victims attempted to go to school. The defendants housed the victims in a dilapidated, unheated trailer with no running water, and degraded and humiliated them in front of others. Finally, the defendants used force and threats of force to intimidate the victims.  For instance, Nery Martinez Vasquez beat the children with a stick that had the children’s name and nickname written on it along with the phrase “what goes up, must come down.”

“These defendants used the promise of a better life to lure a mother and her children to travel to the United States, only to betray their familial relationship and exploit the victims’ precarious situation to cruelly oppress and degrade them, and to turn a profit off their backs,” said Assistant Attorney General Clarke. “Forced labor has no place in our civilized society. This sentencing makes clear our commitment to holding perpetrators accountable and our dedication to eradicating human trafficking.”

“These defendants exploited vulnerable victims, forcing them to work in their businesses, failing to pay wages, and depriving them of basic human rights,” said U.S. Attorney Talbert. “Now they have been sentenced to years in prison and have paid hundreds of thousands of dollars in restitution to their victims. The U.S. Attorney’s Office continues its commitment to protect and defend vulnerable members of our society from human trafficking, and we appreciate the partnerships we have with the Civil Rights Division and the FBI that led to the result in this case.”

“We hope today’s sentencing will offer the victims confidence as they continue to reclaim their lives,” said Special Agent in Charge Sean Ragan for the FBI Sacramento Field Division. “Forced labor, a form of human trafficking, is of significant concern for the FBI, but is difficult to identify and investigate without cooperation of fearful victims who believe escape is not an option because of the lies they have been told by their exploiters. This case highlights how such crimes may occur in public view at a legitimate business yet go unnoticed. The FBI is deeply commitment to seeking justice for all victims of human trafficking — regardless of immigration status or background — to ensure victims receive the care and support they need to break free from their exploiters.”

This case is the product of an investigation by the FBI. Assistant U.S. Attorneys Katherine T. Lydon and Audrey Hemesath for the Eastern District of California, and Trial Attorney Avner Shapiro of the Civil Rights Division prosecuted the case.

Attorney General Merrick B. Garland has appointed Mary R. Jensen as the Acting U.S. Trustee for the judicial districts established for the States of Minnesota, Iowa, North Dakota and South Dakota effective May 7, 2022, the Executive Office for U.S. Trustees (EOUST) announced today. She will replace James L. Snyder, who is retiring after more than 32 years of government service. 

Ms. Jensen has been with the U.S. Trustee Program (USTP) for 13 years, first as a Trial Attorney in the Madison, Wisconsin, office before being appointed as its Assistant U.S. Trustee in 2014. She received her law degree summa cum laude from Duquesne University and holds a bachelor’s degree in psychology magna cum laude from the University of Dallas and a master’s degree in professional writing with a concentration in management from Carnegie Mellon University.

“Ms. Jensen is an established leader within the USTP who will bring great focus and energy to this broader role,” said EOUST Acting Director Ramona D. Elliott. “I extend my best wishes and sincere thanks to Mr. Snyder for his immeasurable contributions to the Program and Region 12 over his long tenure with us.”   

The U.S. Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. The USTP has 21 regions and 90 field office locations. Region 12 has offices in Cedar Rapids and Des Moines, Iowa, and Minneapolis, Minnesota. 

The Justice Department’s Environment and Natural Resources Division, Environmental Crimes Section, unsealed an indictment charging a major seafood distributor and eight of its employees and associates with smuggling, Lacey Act violations and conspiracy to violate the Endangered Species Act, stemming from their trafficking in large volumes of highly imperiled eels. The defendants facing these felony charges are:

• American Eel Depot Corporation of Totowa, New Jersey
• Yi Rui Huang, aka Ricky, 47, of Oakland Gardens, New York
• Fen Liu, aka Emily, 45, of Oakland Gardens, New York
• Chao Jin Shi, aka Kevin, 49, of Flushing, New York
• Guo Tuan Zhou, aka Jason, 45, of Woodhaven, New York
• Liang Chen, aka Jackie, 33, of Fujian, China
• Yundong Wei, 42, of Fuzhou, China
• Xiajuan Huang Zhouyi, 46, of Changle, China
• Hong Lee, aka John, 75, of Yuen Long, Hong Kong

American Eel Depot is the largest importer and wholesale distributor of eel meat in the United States. Eel poaching and smuggling is one of the world’s biggest wildlife trafficking problems, based on both the number of animals and the amount of money that changes hands in the black market.

Following a crackdown on the poaching and smuggling of American eels, eel traffickers, including the defendants in this case, shifted their efforts to European eels, a species facing an even greater threat of extinction. It has been illegal since 2010 to export European eels out of any European Union country. European eels are also protected by the Convention on International Trade in Endangered Species (CITES) wildlife protection treaty, which is enforced in the United States through the Endangered Species Act.

Despite this ban, the indictment alleges, the defendants conspired to unlawfully smuggle large quantities of live baby European eels out of Europe, to their eel-rearing factory in China. After rearing the baby eels to maturity, defendants’ Chinese facility would then slaughter and process the eels for shipping to the United States, to be sold as sushi products.

The indictment alleges that, over a four-year period, the defendants imported approximately 138 ocean containers full of eel meat into the United States, with a market value exceeding $160 million. The indictment focuses on six containers, seized by the government, which were determined to contain all or mostly European eel, mislabeled as American eel to avoid law enforcement detection. American eel fishing is highly regulated but still lawful in limited quantities in some areas. As alleged in the indictment, the defendants knew the eels’ true species, knew what they were doing was unlawful, and intentionally lied to U.S. authorities to conceal the illegalities and avoid detection.

“This case demonstrates the effectiveness and importance of the Endangered Species Act in cracking down on the international trafficking of protected wildlife,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “We will not allow United States-based businesses and their executives and associates to cause – and profit off of – the systemic decline of the world’s protected aquatic species.”

“This investigation highlights the global trade pressures facing freshwater eels, and the Service's commitment to stand as a united front with our international partners in protecting both foreign and domestic species,” said Assistant Director Edward Grace of the U.S Fish and Wildlife Service’s (USFWS) Office of Law Enforcement. “This indictment sends a clear message to individuals and corporations that if they unlawfully profit and decimate wildlife, domestically or abroad, investigators will work tirelessly to seek justice.”

This case was investigated by the Department of Homeland Security, USFWS and Customs and Border Protection. Trial Attorneys Mathew D. Evans and Ethan Eddy of the Justice Department’s Environmental Crimes Section are prosecuting the case.  

If convicted, each defendant faces up to 20 years in prison and a fine of $250,000 (for individual defendants) or $500,000 (for business organizations), or twice the financial gain to the defendant or twice the financial loss to another, whichever is greater. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

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

U.S. Attorney General Merrick B. Garland today announced the release of a report by the Reentry Coordination Council entitled Coordination to Reduce Barriers to Reentry: Lessons Learned from COVID-19 and Beyond. The report summarizes the Council’s interagency collaboration and offers recommendations to Congress to further reduce barriers to successful reentry for those returning from incarceration.

Attorney General Garland first convened the Reentry Coordination Council in October 2021, bringing together representatives from a wide range of federal departments, including the U.S. Department of Housing and Urban Development, the U.S. Department of Labor, the U.S. Department of Education, the U.S. Department of Health and Human Services, the U.S. Department of Veterans Affairs, and the U.S. Department of Agriculture. Since then, the Council has held several sessions focused on learning from the expertise and experience of a variety of individuals and organizations involved in several aspects of reentry, culminating in today’s report.

“Removing barriers to successful reentry for previously incarcerated individuals is an important part of the Justice Department’s mission to keep our country safe, uphold the rule of law, and pursue equal justice under law,” said Attorney General Merrick B. Garland. “Whether it is safe, secure housing, employment, or food on the table, supporting formerly incarcerated people in accessing tools to reach their potential makes our communities safer and stronger. I look forward to continued collaboration with our partners across all levels of government and beyond to develop innovative, evidence-based approaches that advance our shared goals of ensuring equal access to justice and economic opportunity for all, including individuals returning from incarceration into our communities.”

Bringing multiple federal agencies together under the Reentry Coordination Council offers an opportunity to break down silos between federal agencies, to understand the broad impact of the justice system, and to pursue a comprehensive approach to reducing recidivism and promoting enhanced public safety. Today’s report provides preliminary recommendations to facilitate successful reentry, particularly addressing needs related to housing, food security, health care, education, and employment. The Council will continue its broader collaboration to identify effective strategies to promote successful reentry.

In conjunction with the release of the Council’s report and to highlight April as Second Chance Month, the Justice Department’s Office for Access to Justice will host a Reentry Simulation for senior officials and staff at RCC member agencies. The goal of the Reentry Simulation is to illustrate, through a two-hour interactive experience and facilitated discussions, the significant obstacles faced by individuals returning from incarceration to the community. This learning experience will aim to encourage and inform continued collaboration across government to mitigate these barriers. The discussions will include perspectives from individuals and organizations with wide-ranging experience and expertise in promoting successful reentry.

The Justice Department today filed a complaint challenging a recently enacted Alabama law, Senate Bill (S.B.) 184, that denies necessary medical care to children based solely on who they are, and that threatens criminal prosecution and jail time to doctors, parents, and anyone else who provides or “causes” that care. The United States’ complaint alleges that the new law’s felony ban on providing certain medically necessary care to transgender minors violates the Fourteenth Amendment’s Equal Protection Clause. The department is also asking the court to issue an immediate order to prevent the law from going into effect.

S.B. 184 makes it a felony for any person to “engage in or cause” specified types of medical care for transgender minors. S.B. 184 thus discriminates against transgender youth by denying them access to certain forms of medically necessary care. It further discriminates against transgender youth by barring them from accessing particular procedures while allowing non-transgender minors to access the same or similar procedures. The penalties for violating the law include up to 10 years of imprisonment and a fine of up to $15,000. S.B. 184 would force parents of transgender minors, medical professionals, and others to choose between forgoing medically necessary procedures and treatments, or facing criminal prosecution. The United States’ complaint alleges that S.B. 184 violates the Equal Protection Clause by discriminating on the basis of sex and transgender status.

Today’s filing is the latest action by the Justice Department to combat discrimination based on gender identity, including unlawful restrictions on medical care for transgender youth. On March 31, 2022, the Civil Rights Division issued a letter to all state attorneys general reminding them of federal constitutional and statutory provisions that protect transgender youth against discrimination.

The complaint in intervention is being handled by Deputy Chief Coty Montag and Trial Attorneys Alyssa Lareau, Kaitlin Toyama, and Renee Williams of the Civil Rights Division’s Federal Coordination and Compliance Section; John Powers, Counsel to the Assistant Attorney General for Civil Rights; Assistant U.S. Attorney Jason Cheek for the Northern District of Alabama; and Assistant U.S. Attorney Stephen Wadsworth for the Middle District of Alabama.

Additional information about the Civil Rights Division’s work to uphold and protect the civil and constitutional rights of LGBTQI+ individuals is available on its website at https://www.justice.gov/crt/lgbtqi-working-group. Complaints about discriminatory practices may be reported to the Civil Rights Division through its internet reporting portal at https://civilrights.justice.gov.

The Justice Department announced today that it has reached a settlement to resolve its complaint filed on behalf of Virginia Army National Guard Major Mark Gunn against Prince George County, Virginia, and the Virginia Retirement System (VRS) to enforce the employment and pension rights guaranteed Major Gunn under the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA). As part of the settlement Major Gunn will receive $9,756 in back pension pay, $3,000 in lost benefits, and adjusted pension payments going forward to incorporate two additional years of service time.

“The Department of Justice is committed to enforcing the laws that protect the civilian careers of the brave men and women who serve our country,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Members of the Reserves are often called away from their civilian jobs to provide the security upon which our nation depends. They should not have to fear losing their jobs and, as here, their pension benefits, when they answer that call.”

“Members of our military Reserves who put their civilian careers and lives on hold to serve our country should not suffer adverse employment effects,” said U.S. Attorney Jessica D. Aber for the Eastern District of Virginia. “The U.S. Attorney’s Office will continue to use all legal remedies to enforce the rights of servicemembers to the correct reemployment positions upon their return from honorably serving our nation.”

In its complaint, the United States alleged that the Prince George County Police Department (PGCPD) violated USERRA when it reemployed Major Gunn, a 14-year PGCPD veteran, as a patrol officer instead of a detective upon his return from active duty service in the Virginia Army National Guard. In violating the statute, PGCPD also denied Major Gunn his proper seniority and employment benefits and forced him to leave his employment with PGCPD and return to active duty in the Virginia Army National Guard. In its settlement with PGCPD and VRS, Major Gunn will receive his lost employment benefits, as well as all of the pension benefits from VRS that he would have accrued but for the alleged USERRA violation.

USERRA protects the rights of uniformed servicemembers to retain their civilian employment following absences due to military service obligations and provides that servicemembers shall not be discriminated against because of their military obligations. USERRA also requires employers to provide pension benefits when their employees are called to active duty. The Justice Department, including the Civil Rights Division and U.S. Attorney’s Office for the Eastern District of Virginia gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.justice.gov/crt-military/employment-rights-userra and www.justice.gov/servicemembers as well as on the Department of Labor’s (DOL) website at www.dol.gov/vets/programs/userra.

This case stems from a referral by the Department of Labor, at Major Gunn’s request, after an investigation by that agency’s Veterans’ Employment and Training Service. The case is being handled by Assistant U.S. Attorneys Deirdre Brou, Lauren Oberheim and Robert McIntosh for the Eastern District of Virginia; and as a part of the Servicemember and Veterans’ Initiative within the U.S. Attorney’s Office for the Eastern District of Virginia, and Trial Attorney Shan Shah in the Employment Litigation Section of the Justice Department’s Civil Rights Division.

Assistant Attorney General Kristen Clarke of the Civil Rights Division and U.S. Attorney Roger Handberg for the Middle District of Florida announced today that a federal grand jury in Tampa, Florida, returned a two-count indictment charging Jordan Patrick Leahy, 29, with committing hate crimes for his racially-motivated attack on a Black man who was driving along a public road in Seminole, Florida. 

The indictment alleges that on Aug. 8, 2021, Leahy willfully intimidated and interfered with J.T., and attempted to injure, intimidate and interfere with J.T. through the use of a dangerous weapon (Leahy’s vehicle), because of J.T.’s race and color, and because J.T. was traveling on a public road in Seminole, Florida. According to the indictment, J.T.’s girlfriend and daughter were also in the car with J.T. when Leahy allegedly committed the attack.

If convicted, Leahy faces a maximum sentence of 10 years in prison, three years of supervised release, and a fine of up to $250,000. An indictment is merely an accusation, and the defendant is presumed innocent unless proven guilty.

The case was investigated by the FBI, the Pinellas County Sheriff’s Office and the Florida Highway Patrol. Assistant U.S. Attorney Carlton Gammons for the Middle District of Florida and Trial Attorneys David Reese and Laura-Kate Bernstein of the Civil Rights Division are prosecuting the case.

Attorney General Merrick B. Garland, joined by Deputy Attorney General Lisa O. Monaco and Associate Attorney General Vanita Gupta, today recognized 14 individuals, organizations, and teams for their advocacy on behalf of victims of crime. The award recipients were honored during the annual National Crime Victims’ Service Awards Ceremony.

“Empowering and encouraging people who have been victimized to participate in our legal system is essential to justice,” said Attorney General Garland. “For the past 41 years, the Department of Justice has recognized the challenges, struggles, and achievements of crime victims and victim advocates in their efforts to secure the rights, access, and equal justice that all survivors deserve. I am pleased to congratulate this year's honorees on their selection for these distinguished awards and extend my deepest gratitude for their continued work.”

The awardees were selected from public nominations in multiple categories, including federal service, public policy, victim services, and a Special Courage award. The Office for Victims of Crime (OVC), a component of the Department’s Office of Justice Programs (OJP), leads communities across the country in observing National Crime Victims’ Rights Week. President Ronald Reagan proclaimed the first Victims’ Rights Week in 1981, placing crime victims' rights, needs and concerns in prominence on the American agenda.

President Reagan also established the President's Task Force on Victims of Crime, which laid the groundwork for a national network of services and legal safeguards for crime victims. This year is the 40th anniversary of the Task Force’s Final Report and marks 50 years since the establishment of the first three victim assistance organizations — Bay Area Women Against Rape in Oakland, California; the D.C. Rape Crisis Center in Washington, D.C.; and Aid for Victims of Crime (now the Crime Victim Advocacy Center) in St. Louis, Missouri. The creation of these organizations, all of which still exist today, is considered to be the genesis of the crime victims’ movement in the United States.

The 41st observance of NCVRW takes place this year, April 24-30, and features the theme, “Rights, Access, Equity, for All Victims.”

“This time every year, we honor and remember victims of crime, not only for the trauma that they have endured and the adversity they have encountered, but also for their courage and resilience and for paving the way toward justice and healing for countless other survivors across the country,” said OJP Principal Deputy Assistant Attorney General Amy L. Solomon. “These extraordinary individuals and teams embody an ethic of service and compassion that distinguishes them from an already exceptional field of victim-serving professionals. We join the Attorney General in expressing our deepest appreciation for providing crime victims — all crime victims — a place to turn in their time of need.”

Following is a list of the 2022 NCVRW award recipients:

• The Allied Professional Award recognizes individuals working outside the victim assistance field for their service to victims.
  • Recipients:  Deborah Flowers, Pittsboro, North Carolina, and Dr. Linda Laras, Caguas, Puerto Rico.

• The Award for Professional Innovation in Victim Services recognizes a program, organization or individual who expands the reach of victims’ rights and services.
  • Recipients: Barrier Free Living, Bronx, New York, and LGBTQ+ Victim Advocacy Initiative at Eskenazi Health, Indianapolis, Indiana.

• The Financial Restoration Award recognizes individuals, programs, organizations, or teams that have instituted innovative approaches for securing financial restoration for crime victims.
  • Recipient: Asset Forfeiture Unit and Financial Litigation Program in the U.S. Attorney’s Office for the Middle District of Tennessee, Nashville.

• The Victims Research Award recognizes individual researchers or research teams who made a significant contribution to the nation’s understanding of crime victim issues.
  • Recipient: John Chapin, Ph.D., Monaca, Pennsylvania.

• The Crime Victims’ Rights Award honors the dedicated champions throughout our nation whose efforts to advance or enforce crime victims’ rights have benefited victims of crime at the state, Tribal, or national level.
  • Recipient: Derek Marchman, Conyers, Georgia.

• The Federal Service Award recognizes federal agency personnel for service to victims of federal, Tribal, or military crimes.
  • Recipient: Environmental Crime Victim Assistance Team, Washington, D.C.

• The National Crime Victim Service Award honors extraordinary efforts to provide direct services to crime victims.
  • Recipient: Brenda J. Muhammad, Atlanta, Georgia and Michelle L. Shae, Abbottstown, Pennsylvania.
• The Ronald Wilson Reagan Public Policy Award honors leadership, innovation, and vision that lead to noteworthy changes in public policy on behalf of crime victims.
  • Recipient: The Every Voice Coalition, Boston, Massachusetts.

• The Special Courage Award honors extraordinary bravery in the aftermath of a crime or courageous act on behalf of a victim or potential victim.
  • Recipients: Gail Frances Gardner, Ocoee, Florida and Suamhirs Piraino-Guzman, Seattle, Washington.

• The Volunteer for Victims Award recognizes individuals who serve without compensation.
  • Recipient: Linda Stambaugh, Newell, South Dakota.

“The Office for Victims of Crime works every day to support victims in every corner of our country, ensuring that no crime survivor feels voiceless, marginalized, or alone,” said OVC Director Kristina Rose. “Through their tireless work, boundless capacity for empathy, and fierce devotion to justice, these award recipients have made it possible for victims to find their voice and to begin, with a feeling of hope, the long journey toward healing.”

During National Crime Victims’ Rights Week, victim advocacy organizations, community groups and state, local, and Tribal agencies traditionally host rallies, candlelight vigils, and other events to raise awareness of victims’ rights and services. This year, many communities are organizing virtual gatherings and online public awareness campaigns.

To learn more about past NCVRW recipients, visit the OVC Gallery.

The Office of Justice Programs provides federal leadership, grants, training, technical assistance, and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims, and enhance the rule of law. More information about OJP and its components can be found at www.ojp.gov.

In an indictment unsealed yesterday, a federal grand jury in Anchorage, Alaska, charged an Alaska dentist and his wife with tax evasion, conspiring to defraud the United States, bankruptcy fraud, wire fraud, money laundering and other federal crimes.

According to the indictment, from approximately 2013 to present, Glenn and Saray Lockwood, of Kenai, evaded payment of millions of dollars of federal income taxes and filed false bankruptcy petitions to impede the IRS’s collection efforts. To conceal their assets from both the IRS and their bankruptcy creditors, the Lockwoods allegedly formed an LLC and transferred assets into the LLC. During the bankruptcy proceedings, the Lockwoods allegedly denied ownership of the LLC and other assets. According to the indictment, the Lockwoods attempted to evade more than $3.5 million in taxes.

If convicted, both defendants face a maximum of five years in prison for each count of tax evasion, conspiracy to defraud the United States and bankruptcy fraud, and 20 years in prison for each count of wire fraud, conspiracy to commit wire fraud, money laundering and conspiracy to commit money laundering.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney S. Lane Tucker for the District of Alaska made the announcement.

IRS-Criminal Investigation is investigating the case.

Trial Attorney Ahmed Almudallal of the Tax Division and Assistant U.S. Attorney Michael Heyman for the District of Alaska are prosecuting the case.

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

NEW ORLEANS, LA – U.S. Attorney Duane A. Evans announced that U.S. District Court Judge Wendy B. Vitter today sentenced KENDRICK DEMOURELLE, age 40, a resident of Slidell, Louisiana, to 120 months of imprisonment, five years of supervised release, and $300 in mandatory special assessment fees for conspiring to distribute cocaine, crack, and heroin, and for the illegal use of phones in furtherance of drug trafficking, in violation of 21 U.S.C. §§ 841(a)(1), (b)(1)(B), 843(b), and 846. DEMOURELLE plead guilty on November 2, 2021.

According to court records, the United States is seeking to forfeit approximately $120,308.00, two vehicles, and two properties acquired by DEMOURELLE with suspected drug proceeds which have been seized in connection with the investigation. DEMOURELLE and four others, Joseph Brown, Lionel Cooley, Kevin Gray, and Blake Monroe, conspired to sell illegal narcotics in New Orleans, including using a broken-down yellow school bus in the ‘Goose’ neighborhood in New Orleans East as a stash house. All five were indicted in February 2020. A seized GMC Sierra pickup truck used by Lionel Cooley contained nearly two kilograms of cocaine and 430 grams of crack.

As part of his guilty plea, DEMOURELLE agreed that he was responsible for at least 5 kilograms of cocaine, at least 280 grams of crack, and at least 1.5 kilograms of a mixture or substance containing a detectable amount of heroin, through his own conduct and the reasonably foreseeable conduct of his co-conspirators.

This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

U.S. Attorney Evans praised the work of the Drug Enforcement Administration, Jefferson Parish Sheriff’s Office, Hammond Police Department, New Orleans Police Department, and Slidell Police Department in investigating this matter.  Assistant United States Attorney David Howard Sinkman is in charge of the prosecution. 

This week, Deputy Attorney General (DAG) Lisa O. Monaco traveled to New York City for a series of engagements that highlighted the department’s efforts to root out corporate crime, reduce violence and reform the Bureau of Prisons (BOP).

On Tuesday, DAG Monaco visited the U.S. Attorney’s Office for the Eastern District of New York (EDNY), where she met with U.S. Attorney Breon Peace and his leadership team. She received an update on the investigation into the recent mass shooting on the New York Subway in Brooklyn, and she commended the case team for their hard work. The DAG also chaired a roundtable discussion with federal and local law enforcement leaders on violent crime, and she answered questions from the EDNY office during an all-hands meeting.

Also on Tuesday, DAG Monaco visited the Metropolitan Detention Center (MDC) in Brooklyn to observe its operation and integration of inmates from the Metropolitan Correctional Center in Manhattan. The DAG made the decision to close that facility following a visit last year. At the MDC in Brooklyn, she met with BOP staff, heard about their efforts to improve facility operations and thanked them for their commitment to BOP’s dual mission of providing safe, humane custody while also preparing individuals for a return to society.

On Wednesday morning, DAG Monaco participated in a moderated discussion as the keynote address at the New York City Bar Association’s 10th Annual White Collar Crime Institute. The DAG warned that the department is seeing a growing overlap between corporate crime and national security, in areas such as terrorist group financing, money laundering to evade sanctions and cybercrime. In the course of her conversation, the DAG reiterated that the Department of Justice is committed to enforcing the sweeping sanctions imposed on Russia in response to its unprovoked invasion of Ukraine and stressed that it is critically important for financial institutions and international corporations alike to pay close attention to these sanctions.

From there, the DAG went to the U.S. Attorney’s Office for the Southern District of New York (SDNY), where she joined the U.S. Attorney and other law enforcement leaders to announce the unsealing of charges against four individuals for the multibillion-dollar collapse of Archegos Capital Management. In her remarks, the DAG stressed that the Department of Justice’s first priority in corporate criminal matters is unambiguously “to prosecute the individuals who commit and profit from corporate malfeasance — including when those individuals occupy the C-Suite.”

The DAG also met with U.S. Attorney Damian Williams and his leadership team, and she received a series of case briefings from SDNY personnel. Her visit to SDNY concluded with an all-hands meeting, where she addressed an office-wide gathering and fielded questions. In her remarks to the office, she thanked the women and men of SDNY for their hard work on behalf of the citizens throughout the district.

Finally, on Wednesday afternoon, the DAG met with NYPD Commissioner Keechant Sewell. She discussed the work of the Department of Justice to combat violent crime and gun trafficking and thanked the Commissioner for the work of the NYPD, and for the vital partnerships among state, local and federal law enforcement that are essential to keeping our communities safe. The DAG also acknowledged the recent, tragic shootings of NYPD officers and the sacrifices made by law enforcement around the country every day.

The DAG returned to Washington this morning.

A New York man pleaded guilty today to conspiracy to commit health care fraud and unlawfully spending the proceeds of his $6.8 million fraud.

According to court documents, Robert John Sabet, 46, of Brooklyn, the owner of two New York City pharmacies, conspired to bill Medicare and Medicaid for expensive prescription drugs that were not needed by patients, were dispensed in connection with kickbacks, or, in some cases, not dispensed at all. As part of the conspiracy, Sabet and others paid kickbacks and bribes to customers to convince them to fill prescriptions at his pharmacies, and paid customers cash in exchange for the ability to bill Medicare and Medicaid for over-the-counter health care-related products on their behalf. Sabet used proceeds of the scheme to purchase luxury items, such as a 2020 Porsche Taycan worth over $250,000.

Sabet pleaded guilty to conspiracy to commit health care fraud and committing unlawful financial transactions. He is scheduled to be sentenced on July 29 and faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Breon Peace for the Eastern District of New York; Special Agent in Charge Scott J. Lampert of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Office of Investigations, New York Regional Office; Special Agent in Charge Thomas Fattorusso of IRS-Criminal Investigation (IRS-CI), New York; and Acting Medicaid Inspector General Frank T. Walsh Jr. of the New York State Office of the Medicaid Inspector General (OMIG) made the announcement.

HHS-OIG, IRS-CI, and OMIG investigated the case.

Trial Attorney Miriam Glaser Dauermann of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Brendan King for the Eastern District of New York are prosecuting the case.

In an indictment unsealed today, a federal grand jury in Chicago charged a former Illinois tax preparer with filing false returns for clients, filing false returns on her own taxes, and wire fraud.

According to the indictment, from 2014 to 2019, Erica Early, formerly of Robbins and Richton Park, prepared income tax returns for her clients that included false education expenses and business income, in an effort to secure refunds from the IRS for the clients that they were not entitled to receive. Early, who was employed by the U.S. Postal Service at the time, allegedly charged clients $1,000 or more for each return. Early also allegedly falsified her personal income tax returns for 2014 through 2018, claiming education credits she knew she was not eligible to receive.

If convicted, Early faces a maximum penalty of three years for each count of filing false tax returns and helping clients file false tax returns, and 20 years in prison for each count of wire fraud. She also faces a period of supervised release and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney John R. Lausch Jr. for the Northern District of Illinois made the announcement.

IRS-Criminal Investigation is investigating the case.

Assistant Chief Matthew J. Kluge and Trial Attorney Boris Bourget of the Tax Division are prosecuting the case.

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

“The Justice Department is putting all available resources to use to hold accountable individuals whose criminal actions are enabling Russia’s unjust war in Ukraine. The President’s proposals will give the United States and our international partners critical resources and tools to dismantle the criminal networks that enable sanctions evasion; to freeze, seize, and forfeit kleptocrat assets; and to transfer the proceeds of those assets to remediate the harms the people of Ukraine are enduring from Russia’s aggression.”

~ Attorney General Merrick B. Garland, April 28, 2022

Today, as part of the President’s supplemental budget request to support Ukraine, the Administration will send a package of proposals to Congress that would enhance the Justice Department’s ability to hold the Kremlin and Russian oligarchs accountable for the ongoing invasion of Ukraine. 

In March, Attorney General Garland launched Task Force KleptoCapture, an interagency law enforcement task force led by Justice Department prosecutors that is dedicated to enforcing the sweeping sanctions, export restrictions, and economic countermeasures that the United States has imposed, along with allies and partners, in response to Russia’s unprovoked military invasion of Ukraine. Since that time, the Justice Department has worked with international partners to seize a Russian oligarch’s $90 million luxury yacht and seized approximately $625,000 associated with sanctioned parties held at nine U.S. financial institutions. Those seizures are based on sanctions violations by several specially designated Russian nationals. The Justice Department has also charged Russian oligarchs and their associates for evading sanctions, as well as foreign malign influence operations, arising from illegal efforts to promote Russian propaganda and undermine Ukrainian democracy and society. 

The President’s supplemental budget request and accompanying proposals will give the Justice Department critical resources and tools to impose serious costs for Russia’s unjustified aggression, and to isolate and target the crimes of Russian officials, government-aligned elites, and those who aid or conceal their unlawful conduct. In addition to the Administration’s announced proposal to streamline asset forfeiture proceedings in certain circumstances, the following critical proposals would strengthen the Justice Department’s efforts:

• Enabling the Transfer of the Proceeds of Forfeited Kleptocrat Property to Ukraine to Remediate Harms of Russian Aggression. The proposal would improve the United States’ ability to use forfeited funds to remediate harms caused to Ukraine by Russia’s war of aggression against Ukraine. Generally, forfeited funds are used to compensate victims of the crimes underlying the forfeitures and for law enforcement purposes. This proposal would permit the Departments of Justice, the Treasury, and State to work together to return funds forfeited to the U.S. government to remediate harms of Russian aggression toward Ukraine. Providing this authority requires amendments to multiple statutes governing the use of forfeited funds.
• Clamping Down on Facilitation of Sanctions Evasion. This proposal would expand forfeiture authorities under the International Emergency Economic Powers Act (IEEPA) to reach property used to facilitate sanctions violations enabling the government to take away the violators’ “tools of the trade.” This proposal would amend IEEPA’s penalty provision to extend the existing forfeiture authorities to facilitating property, not just to proceeds of the offenses. 
• Modernizing Racketeering to Include Sanctions Evasion. This proposal would improve the United States’ ability to investigate and prosecute sanctions evasion and export control violations by adding criminal violations of IEEPA and the Export Control Reform Act (ECRA) to the definition of racketeering activity in the Racketeer Influenced and Corrupt Organizations (RICO) Act. This proposal would extend a powerful forfeiture tool against racketeering enterprises engaged in sanctions evasion. 
• Expanding the Time Limit to “Follow the Money.” This proposal would ensure that the United States can prosecute violators and seek forfeitures based on foreign offenses more effectively by extending the statute of limitations from five years to 10 years. The change would also extend the statute of limitations for seeking forfeiture of property based on these offenses, as a critical tool to deprive criminals of their ill‑gotten gains.
• Leveraging Foreign Partners’ Ability to Recover Oligarch Wealth. This proposal would improve the United States’ ability to work with our international partners to recover assets linked to foreign corruption. As kleptocrats and other criminals commit crimes and launder money in multiple jurisdictions, this proposal would expand upon existing U.S. law to facilitate enforcement of foreign restraint and forfeiture orders for criminal property. The proposal would improve our ability to take these actions here in the United States in support of international efforts to forfeit criminal property.

A California doctor was sentenced today to 93 months in prison for defrauding Medicare, re-packaging single-use catheters for re-use on patients, and submitting false declarations in a bankruptcy proceeding. 

According to court documents, Donald Woo Lee, 55, of Temecula, recruited Medicare beneficiaries to his clinics, falsely diagnosed the beneficiaries, and provided the beneficiaries with medically unnecessary procedures. Lee billed these unnecessary procedures to Medicare using an inappropriate code in order to obtain a higher reimbursement, a practice known as “upcoding.” In addition, the evidence showed that Lee re-packaged used, contaminated catheters for re-use on patients. These catheters had been cleared by the Food and Drug Administration (FDA) for marketing as single-use only and the re-use of these devices put patients at risk of infection and other bodily injury. Lee submitted claims of approximately $12 million to Medicare for the vein ablation procedures he performed, and received $4.5 million as a result. 

In October 2019, Lee was convicted after a five-day trial, when a jury found him guilty of seven counts of health care fraud and one count of adulteration of a medical device. Lee also pleaded guilty on March 2, 2020, to one count of submitting false declarations in a bankruptcy proceeding. In addition to the term of imprisonment, Lee was sentenced to serve three years of supervised release and ordered to pay more than $4.5 million in restitution to Medicare.

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Tracy L. Wilkison for  the Central District of California; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; Assistant Director in Charge Kristi K. Johnson of the FBI’s Los Angeles Field Office; Special Agent in Charge Timothy DeFrancesca of the U.S. Department of Health and Human Services Office of the Inspector General’s (HHS-OIG) Los Angeles Regional Office; and Special Agent in Charge Lisa Malinowski of the FDA’s  Office of Criminal Investigations’ (FDA-OCI) Los Angeles Field Office, made the announcement.

The FBI, HHS-OIG, and FDA-OCI investigated the case.

Assistant Chief Alexis Gregorian and Trial Attorney Emily Culbertson of the Criminal Division’s Fraud Section prosecuted the case.

The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

EAST ST. LOUIS, Ill. – Bernard L. Mosley, Jr., 23, of East St. Louis, Illinois, was sentenced to 84  months in federal prison on Tuesday, April 26, 2022, for being a Felon in Possession of a Firearm. 
As part of his sentence, Mosley will serve a two-year term of supervised release following his  release from federal prison.

On August 4, 2020, the United States Marshals Service located Mosley at a house in East St. Louis  and arrested him on an active warrant. At the time of his arrest, Mosley was in possession of a  loaded  handgun.  Federal  law  prohibits  convicted  felons  from  possessing  firearms  or   firearm ammunition.   A federal grand jury indicted Mosley in October of 2020, and Mosley pled  guilty on February 22, 2022.

The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF),  United States Marshals Service Great Lakes Regional Fugitive Task Force, and the Illinois State 
Police.
Assistant U.S. Attorneys Ali Burns and David Dean prosecuted the case.

A Cameroonian national was sentenced today to 21 months in prison and two years of supervised release for his role in a scheme to trick American consumers into paying fees for pets that were never delivered and for using the COVID-19 crisis as an excuse to extract higher fees from victims.

“The Department of Justice will pursue criminals anywhere in the world when they target and exploit American consumers through fraud schemes, including when they take advantage of the circumstances presented by the COVID-19 pandemic,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We appreciate our partners at the U.S. Attorney’s Office for the Western District of Pennsylvania and the FBI, as well as the assistance from Romanian law enforcement in arresting and extraditing this defendant.”

Desmond Fodje Bobga, 29, was extradited to the United States from Romania in April 2021. According to court documents, from approximately June 2018 to approximately June 2020, Bobga conspired with others to offer pets for sale on internet websites. He and others communicated by text message and email with potential victims to induce purchases. Following each purchase, Bobga and co-conspirators claimed that a transportation company would deliver the pet and provided a false tracking number for the pet. Bobga and his co-conspirators, posing as the transportation company, then claimed the pet transport was delayed and that the victim needed to pay additional money for delivery of the pet.

Bobga and co-conspirators told some victims that they needed to pay more money for delivery because the pet had been exposed to COVID-19. The perpetrators used false promises and bogus documents regarding shipping fees and COVID-19 exposure to extract successive payments from victims. Once Bobga and the co-conspirators received money directly and indirectly through wire communications from the victims, they never delivered any pets.

“While many people came together to support each other during the pandemic, this defendant chose to use COVID-19 as a means to defraud the victims in this matter and he will now serve a prison sentence to answer for that crime,” said U.S. Attorney Cindy K. Chung for the Western District of Pennsylvania. “Our office remains committed to addressing all types of fraud committed in relation to the pandemic.”

“Mr. Bobga was a scam artist, plain and simple,” said Special Agent in Charge Mike Nordwall of the FBI’s Pittsburgh Field Office. “He exploited those who were looking for comfort during the COVID pandemic and cashed in at their expense. The FBI is firmly committed to holding fraudsters like Mr. Bobga accountable.”

The FBI’s Pittsburgh Field Office investigated the case. The Justice Department’s Office of International Affairs provided substantial assistance. Law enforcement authorities in Romania, including the Romanian National Police, Directorate for Combating Organized Crime and the Cluj Brigade for Combating Organized Crime, provided significant cooperation.

Assistant U.S. Attorney Christopher M. Cook for the Western District of Pennsylvania and Trial Attorney Wei Xiang of the Civil Division’s Consumer Protection Branch prosecuted the case.

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The task force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866‑720‑5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.