Eastern District of New York

Earlier today, at the federal courthouse in Brooklyn, Joseph Harris, also known as “Luis Santana,” and “Joey Moscato,” was sentenced by United States District Judge LaShann DeArcy Hall to 21 years in prison for sex trafficking multiple victims by force, fraud, and coercion. 

Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the sentence.

Mr. Peace expressed his appreciation to the Kings County District Attorney’s Office for their assistance in the investigation.

From July 2017 until his arrest in May 2018, Harris used violence and threats of violence, along with abusive and coercive tactics, to compel multiple victims to engage in commercial sex acts for his financial benefit.  The defendant’s crimes were uncovered when NYPD officers responded to several 911 calls about girls being held at his apartment in Brooklyn.  Inside the apartment, the officers found two of the defendant’s adult victims along with a 16-year-old minor female, and recovered a loaded semi-automatic handgun, a birth certificate for a 17-year-old female, hotel receipts, hand-written instructions written by Harris for posting advertisements for commercial sex, and other items. 

The investigation revealed that Harris used force and threats to compel his victims to work in prostitution and give him the money that they were paid. He also punished women who withheld money from him and, in at least on one dispute over money, dragged a victim through a pool of bleach he had poured on the floor.  On another occasion, he menaced a victim at gunpoint and posted a photograph of it on his Instagram account.  Harris had sexual intercourse with his victims, including underage girls as young as 14, and provided them with drugs including ecstasy, cocaine, marijuana, and pills. The defendant used Backpage.com and social media websites to facilitate his business. 

The federal prosecution of the defendant was led by the U.S. Attorney’s Office for the Eastern District of New York and the FBI and NYPD’s Child Exploitation and Human Trafficking Task Force, with substantial assistance from the Kings County District Attorney’s Office. 

The government’s case is being handled by the Office’s Civil Rights Unit.  Assistant United States Attorneys Lauren Elbert and Erin Reid are in charge of the prosecution.

The Defendant:

JOSEPH HARRIS
Age:  41
Brooklyn, New York

E.D.N.Y. Docket No. 18-CR-616 (LDH)

Earlier today, a two-count indictment was unsealed in federal court in Central Islip charging Odera Odabi, a resident of Georgia, with conspiring to commit mail fraud, wire fraud and money laundering.  Odabi was arrested today in Georgia and made his initial appearance in federal court in Atlanta where he was ordered detained pending trial.  Odabi will be arraigned in federal court in Central Islip at a later date.

Breon Peace, United States Attorney for the Eastern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrest and charges.

“Odabi and his co-conspirators callously abused the trust of an elderly victim to line their pockets with millions in stolen cash,” stated United States Attorney Peace.  “This Office and our partners will work tirelessly to ensure that those who prey upon some of the most vulnerable members of our community are called to account for their crimes.”

“As alleged, the defendant and his co-conspirators took advantage of an elderly individual, deceiving the victim into sending more than five million dollars, which the schemers used for their own personal benefit.  Financial frauds targeting elderly members of our communities are sadly rising at an alarming rate.   The FBI is resolute in ensuring those who financially exploit the elderly face the consequences in the criminal justice system,” stated Assistant Director-in-Charge Driscoll.

As alleged in the Indictment and in court filings and proceedings, between approximately April 2020 and December 2021, Odabi and his co-conspirators falsely informed an elderly Suffolk County resident (John Doe) that he needed to send around $5.3 million to various bank accounts in order to obtain a purported “Certificate of Origination” from the International Monetary Fund (IMF) and claim a purported inheritance in Singapore.  In fact, the IMF does not issue such Certificates and has posted a warning on its website alerting the public to fraudulent schemes involving purported IMF certificates. 

As a result of the false communications, John Doe sent Odabi and his co-conspirators approximately $5.3 million, including approximately $2 million to accounts held in the name of Oh-Dabi Properties, LLC and American Commodity Exchange, Inc., two Georgia-based companies that Odabi operated.  Ultimately, Odabi and his co-conspirators stole nearly all of John Doe’s funds to benefit themselves, including through purchases at an Apple Store and Louis Vuitton, except for $197,000 that was frozen by bank officials on suspicion of fraud.

If convicted of the charges in the Indictment, Odabi faces up to a maximum term of 40 years’ imprisonment.

If you or someone you know is a victim of elder fraud, please call the Department of Justice’s National Elder Fraud Hotline at 833–FRAUD–11 (833–372–8311). The U.S. Attorney’s Office for the Eastern District of New York conducts presentations by Assistant U.S. Attorneys about ways to protect yourself and your community against scams, especially those targeting seniors. To request a presentation please email USANYE-SpeakersBureau@usdoj.gov.

The government’s case is being prosecuted by the Office’s Long Island Criminal Division.  Assistant United States Attorney Bradley T. King and Madeline O’Connor are in charge of the prosecution.

The Defendant:

ODERA ODABI (also known as “Chief Odera Odabi”)
Age:  54
Lawrenceville, Georgia

E.D.N.Y. Docket No. 23-CR-169 (JS)

Earlier today in federal court in Brooklyn, former New York City correction officer Katrina Patterson was sentenced by United States District Judge Carol B. Amon to a year and a day in prison for accepting more than $34,000 in bribe payments in exchange for smuggling contraband into Rikers Island.  Patterson was employed by the New York City Department of Correction (DOC) and worked as a correction officer at Rikers Island. 

Breon Peace, United States Attorney for the Eastern District of New York, announced the sentence.

Mr. Peace expressed his appreciation to Department of Homeland Security, Homeland Security Investigations, New York Field Office (HSI), New York City Department of Investigation (DOI), and the New York City Police Department (NYPD) for their assistance on the case.

According to court documents and facts presented at today’s sentencing proceeding, Patterson accepted at least $34,090 in bribes from co-conspirators in exchange for Patterson’s smuggling contraband into the Robert N. Davoren Center on Rikers Island for inmate (and co-defendant) Michael Ross.  Ross, who was incarcerated on unrelated offenses, arranged for the bribes to be sent to Patterson.  DOC subsequently located narcotics and cell phones in Ross’ cell.  Law enforcement also recovered Patterson’s text messages, including messages where a co-conspirator told Patterson that some of the contraband would be “4 black joints in 1 paper,” and Patterson responded, “it better be wrapped so many times I don’t want to smell it.”  Patterson also discussed with her co-conspirator the need to delete their text messages. 

Ross previously pleaded guilty in July 2022 to bribing Patterson and was sentenced today by Judge Amon to 18 months’ imprisonment to run consecutive to the 16 years to life sentence he is serving in state custody for an unrelated conviction.

The government’s case is being handled by Assistant United States Attorney Philip Pilmar in the Office’s Public Integrity Section.  

The Defendants:

KATRINA PATTERSON
Age:  32
Jamaica, New York

E.D.N.Y. Docket No. 22-CR-196 (CBA)

Breon Peace, United States Attorney for the Eastern District of New York, announced today that the United States has entered into a consent decree barring USA Halal Foods, Inc., also known as As-Salaam Halal and Fine Foods Wholesale Distributors (USA Halal Foods), and its President, Kashiif Saeed (Saeed), from offering for sale or transporting any misbranded meat or poultry products to the general public. 

“Consumers deserve confidence that the food they purchase is properly inspected and safe to eat,” stated United States Attorney Peace.  “We have, and will continue, to enforce food safety laws that hold food distributors accountable to the required standards and protect the public from misbranded products.”

The consent decree, approved April 18, 2023 by United States District Judge LaShann DeArcy Hall, requires USA Halal Foods and Saeed to keep records that fully and accurately disclose the offer for sale or transportation or other transactions of meat and poultry products.

The decree also provides for escalating monetary fines if USA Halal Foods violates the Federal Meat Inspection Act (FMIA) and the Poultry Products Inspection Act (PPIA). 

The court-ordered relief resolves a lawsuit filed on April 11, 2023.  According to the complaint, the government’s claims arose from several investigations conducted by the Food Safety and Inspection Service of the United States Department of Agriculture (FSIS).  These investigations revealed that between 2017 and 2022, USA Halal Foods and Saeed repeatedly offered for sale or transportation goat, lamb, beef and chicken products that were misbranded and not federally inspected and passed, and failed to keep and maintain records that fully and accurately disclosed all transactions.

The FMIA and PPIA prohibit the sale, transportation, offer for sale or transportation, or receipt for transportation, in commerce, of meat or meat and poultry products that are misbranded or that have not been inspected and passed by FSIS when inspection is required.  Meat and poultry products are “misbranded” under the FMIA and PPIA if, among other things, the products fail to bear a label showing the name and place of business of the manufacturer, packer, or distributor, an accurate statement of the quantity of the contents in terms of weight, measure, or numerical count, and the inspection legend.  Businesses that engage in buying, selling, or transporting meat or poultry products must also keep records that fully and accurately disclose their business transactions and afford FSIS access to such records. 

This case is being handled by Assistant United States Attorney Kevin Yim from the Office’s Civil Division. 

In March 2022, the United States Attorney’s Office for the Eastern District of New York announced a Consumer Protection Team in the Office’s Civil Division.  The Consumer Protection Team pursues all appropriate measures to stop culpable entities and individuals that engage in conduct threatening the health, safety, economic security, or dignity of potentially vulnerable individuals.  For more information on the U.S. Attorney’s Office, or to report suspected consumer fraud, please visit https://www.justice.gov/usao-edny. 

The Defendants:

USA HALAL FOODS, INC.

KASHIIF SAEED

E.D.N.Y. Docket No. 23-CV-2689 (LDH)

A federal jury in Brooklyn returned a guilty verdict today against Marvin Pippins, also known as “Mukk,” a member of the Brooklyn-based street gang 5-9 Brims, on counts of racketeering conspiracy, murder-in-aid-of racketeering, murder conspiracy, narcotics trafficking and use of a firearm.  The verdict followed a two-week trial before United States District Judge Pamela K. Chen.  When sentenced, Pippins faces a mandatory term of life imprisonment.

Breon Peace, United States Attorney for the Eastern District of New York, announced the verdict.

Mr. Peace expressed his thanks to the Federal Bureau of Investigation, New York Field Office, the Bureau of Alcohol, Tobacco, Firearms & Explosives, New York Division, and the New York City Police Department for their outstanding investigative work and dedication. 

“As found by the jury, Pippins brazenly committed a gang-related murder with a gun, in broad daylight in Brooklyn, taking another human’s life on behalf of his criminal enterprise which also trafficked drugs and perpetrated fraud in our community,” stated United States Attorney Peace.  “Pippins will now face very serious consequences for a brutal crime that was motivated by a senseless feud with rivals.  Today’s verdict demonstrates the commitment of this Office and our law enforcement partners to dismantle violent gangs that threaten the safety of our communities.” 

The evidence at trial established that between January 2012 and December 2019, Pippins and other members and associates of the 5-9 Brims engaged in drug trafficking and fraud, and committed acts of violence, including murder.  Pippins sold crack and cocaine and committed numerous financial frauds, including possession and use of stolen identities, fraudulent checks and access devices such as credit cards and bank account information.

During this time period, the 5-9 Brims were feuding with a rival faction, known as “Real Ryte,” whose members also operated in Brooklyn.  On December 19, 2015, Pippins killed Sean Peart, a Real Ryte member, by shooting at him six times while Peart sat in a car in Bedford Stuyvesant, Brooklyn.

The government’s case is being handled by the Office’s Organized Crime and Gangs Section.  Assistant U.S. Attorneys Jennifer M. Sasso, Lindsey R. Oken and Dana Rehnquist are in charge of the prosecution, with the assistance of Paralegal Specialist Celine Laruelle.

The Defendant:

MARVIN PIPPINS (also known as “Mukk”)
Age:  32
Brooklyn, New York

E.D.N.Y. Docket No. 19-CR-378 (PKC)

Today in federal court in Brooklyn, Kevin Edwards was convicted of being a felon in possession of ammunition in connection with the February 8, 2020 fatal shooting of a man in Corona, Queens.  The verdict followed a five-day trial before United States District Judge Edward R. Korman.  When sentenced, Edwards faces up to 10 years in prison.

Breon Peace, United States Attorney for the Eastern District of New York, announced the verdict.

“Today, the jury has served justice on the defendant for his violent crime and disregard for the law, which tragically cost a young man his life,” stated United States Attorney Peace.  “I commend the prosecutors and the investigators for their dedication to reducing gun violence in our district and holding repeat offenders accountable for their actions.”

Mr. Peace thanked the Federal Bureau of Investigation, New York Field Office, and the New York City Police Department (NYPD) for their outstanding investigative work on the case.

As proven at trial, on February 8, 2020, shortly after 12 p.m., the defendant drove to Northern Blvd. and 101st Street in Queens, New York near a bodega where the victim Dontae Hambrick was standing with other men.  As captured on a nearby surveillance camera, after double parking his vehicle, the defendant walked over to the group of men, shook hands with three of the men before pulling out a handgun, and fired at least six rounds of .40 caliber ammunition at Hambrick, hitting him in the torso and legs.  Edwards got back into the SUV and fled.  Hambrick was transported to Elmhurst Hospital Center where he was pronounced dead.  NYPD officers canvassed the area and recovered video from a security camera near the crime scene and six .40 caliber shell casings. 

At the time of the shooting, Edwards had three prior felony drug convictions. 

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

Assistant United States Attorneys Adam Amir and Lauren Bowman are in charge of the prosecution with the assistance of Paralegal Specialist Bridget Donovan.

The Defendant:

KEVIN EDWARDS (also known as “Cuzzo”)
Age:  42
Queens, New York

E.D.N.Y. Docket No. 21-CR-165 (ERK)

Five individuals, including two certified nurse midwives, one licensed practical nurse and two health care business owners, have been charged for their participation in separate schemes that fraudulently distributed more than 2,600 fake COVID-19 vaccination records cards and defrauded the Paycheck Protection Program and Economic Injury Disaster Loan Program of more than $1.7 million.  The charges filed in federal court in Brooklyn, New York, are part of a nationwide COVID-19 enforcement action led by the Criminal Division’s Fraud Section, which resulted in criminal charges against 18 individuals for their alleged participation in health care fraud schemes involving approximately $490 million in fraudulent claims.

The charges were announced by Breon Peace, United States Attorney for the Eastern District of New York; Kenneth A. Polite, Jr., Assistant Attorney General of the Justice Department’s Criminal Division; Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Thomas M. Fattorusso, Acting Special Agent-in-Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI).  

“The defendants in these cases used the COVID-19 pandemic as an opportunity to engage in fraud, including faking vaccine cards and stealing vital funds designed to keep struggling businesses afloat,” stated United States Attorney Peace.  “My Office remains committed to combating the opportunistic fraud that occurred in connection with the pandemic.”

Mr. Peace thanked the New York State Department of Health for their assistance with the case.

The results of the nationwide enforcement action were announced today by Assistant Attorney General Polite.

“Today’s announcement marks the largest-ever coordinated law enforcement action in the United States targeting health care fraud schemes that exploit the COVID-19 pandemic,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “The Criminal Division’s Health Care Fraud Unit and our partners are committed to rooting out pandemic-related fraud and holding accountable anyone seeking to profit from a public health emergency.”

“Since the start of the pandemic, we have seen the aid for businesses and individuals stolen through fraud and deceit.  Fraudsters have lined their pockets and built real estate empires through illicit gains, showing no regard for those who truly need the funds.  IRS Criminal Investigation and our investigative partners stay committed to targeting the criminals taking advantage of COVID relief benefits to see that the only pockets they line are those of a prison jumper,” said Thomas M. Fattorusso, Special Agent in Charge of IRS-CI New York.

“The defendants allegedly operated a COVID-19 vaccination card fraud scheme distributing vaccine cards to individuals not vaccinated while also destroying doses of the vaccine intended to protect members of the community.  COVID-19 health care fraud schemes put the well-being of society at risk.  The FBI will continue to ensure schemers defrauding the government face the consequences in the criminal justice system,” stated Assistant Director-in-Charge Driscoll. 

Schemes charged in the Eastern District of New York, detailed in two indictments and one criminal information, include the following:

United States v. Kathleen Breault and Kelly McDermott

The indictment charges certified nurse midwives Kathleen Breault and Kelly McDermott with conspiracy to defraud the United States.  The indictment alleges that McDermott, who owns Sage-Femme Midwifery PLLC, a midwife clinic in Albany, New York, and Breault, who worked at Sage-Femme, conspired to enroll Sage-Femme as an authorized COVID-19 vaccine administration site and to provide COVID-19 vaccination record cards to individuals who were not vaccinated, including minors who were not at the time eligible to be vaccinated and non-United States citizens who were not present in the United States when they were purportedly vaccinated.  The defendants allegedly destroyed vials of COVID-19 vaccines that were intended to be used to vaccinate patients. Even though Sage-Femme was a small midwife practice, the defendants’ fraud turned it into one of the busiest Johnson & Johnson vaccination sites in New York State, outpacing large, state-run vaccination sites.

United States v. Sherilyn Pellitteri

The information charges Sherilyn Pellitteri, a licensed practical nurse, with conspiracy to defraud the United States.   The information alleges that Pellitteri, an employee of Sage-Femme Midwifery PLLC, a midwife clinic in Albany, New York, conspired to enroll Sage-Femme as an authorized COVID-19 vaccine administration site and to provide COVID-19 vaccination record cards to individuals who were not vaccinated, including minors who were not at the time eligible to be vaccinated and non-United States citizens who were not present in the United States when they were purportedly vaccinated.  The defendant allegedly destroyed vials of COVID-19 vaccines that were intended to be used to vaccinate patients. Even though Sage-Femme was a small midwife practice, the defendant’s fraud turned it into one of the busiest vaccination sites in New York State, outpacing large, state-run vaccination sites. 

United States v. Kate Spencer and Ziv Biton

The indictment charges Kate Spencer and Ziv Biton with conspiracy to commit wire fraud and bank fraud, money laundering conspiracy and money laundering.  The indictment alleges that Spencer and Biton caused the submission of numerous fraudulent loan applications to the Paycheck Protection Program and the Economic Injury Disaster Loan Program on behalf of purported health care businesses, among others.  The applications contained false statements and included falsified documents regarding the purported businesses and the intended use of the loan funds, resulting in the distribution of over $1.7 million in fraudulent loans.  The funds were allegedly used for personal expenses, such as purchases of residential properties. 

The cases are being prosecuted by Trial Attorneys Patrick J. Campbell and Andrew Estes of the Criminal Division’s Fraud Section.

The charges are allegations and the defendants are presumed innocent unless and until proven guilty.

The Defendants:

SHERILYN PELLITTERI
Age:  41
Somerset, KY

E.D.N.Y. Docket No.: 23-CR-113 (RPK)

KATHLEEN BREAULT
Age:  65
Cambridge, NY

E.D.N.Y. Docket No. 23-CR-158 (RPK)

KELLY MCDERMOTT
Age:   61
Albany, NY

E.D.N.Y. Docket No.: 23-CR-158 (RPK)

KATE SPENCER
Age:  39
North Miami Beach, FL

E.D.N.Y. Docket No. 23-CR-145 (HG)

ZIV BITON
Age:   34
North Miami Beach, FL

E.D.N.Y. Docket No.: 23-CR-145 (HG)

Earlier today, in federal court in Houston, Jose Wilfredo Ayala-Alcantara, also known as “Indio de Hollywood,” a high-ranking leader of La Mara Salvatrucha, also known as “MS-13,” was transferred to the Eastern District of New York where he, together with 12 other high-ranking MS-13 leaders, are charged with directing the transnational criminal organization’s criminal activities in the United States, El Salvador, Mexico, and elsewhere over the past two decades.  Ayala-Alcantara was arrested by the Federal Bureau of Investigation (FBI), Homeland Security Investigations (HSI), and the United States Marshals Service (USMS) on April 18, 2023 when he arrived at George Bush Intercontinental Airport in Houston, Texas.  The day before, Ayala-Alcantara had been located by Mexican authorities, who determined that he was an El Salvadoran citizen with no valid status in Mexico.  He was expelled from Mexico to El Salvador but arrested while transiting through the United States.  Specifically, Ayala-Alcantara is charged with racketeering conspiracy, conspiracy to provide or conceal material support to terrorists, and narco-terrorism conspiracy. 

Breon Peace, United States Attorney for the Eastern District of New York (EDNY); Donald Alway, Assistant Director-in-Charge of the Federal Bureau of Investigation (FBI)’s Los Angeles Field Office; Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI); and John J. Durham, Director of Joint Task Force Vulcan (JTFV), announced Ayala-Alcantara’s arrest and initial appearance.

“Jose Wilfredo Ayala-Alcantara’s abominable MS-13 career has come full circle — having joined the transnational gang when he lived in the United States, he was deported to El Salvador where he ascended to a leadership position, he is returning to face justice in the Eastern District of New York where MS-13 has wrought so much violence in our communities,” stated United States Attorney Peace.

“As most Angelenos know too well, MS-13 is a criminal enterprise that has wreaked havoc on communities in the United States and beyond for decades,” stated FBI Assistant Director-in-Charge Alway.  “The FBI is dedicated to dismantling this scourge on society and will work with our local and international partners to do so, regardless of where they hide. There is no safe haven for criminals who do the bidding of transnational gangs.”

“As alleged, Jose Wilfredo Ayala-Alcantara has led a life of violence and crime, which propelled him to a leadership position within the Mara Salvatrucha or MS-13 street gang,” stated HSI Special Agent-in-Charge Arvelo.  “Ayala-Alcantara is accused of leading MS-13, directing the gang’s vicious appetite for power through carnage and bloodshed. HSI New York will exhaust every resource at our disposal to ensure criminals like Ayala-Alcantara are located and brought to justice.  I commend the unified efforts of Homeland Security Investigations New York, Las Vegas, Los Angeles, Houston, and Mexico City, as well as the Federal Bureau of Investigation Los Angeles Field Division for locating and apprehending Ayala-Alcantara.”

“For over two decades, Ayala-Alcantara has been a zealous member and leader of MS-13, who directed violence and criminal activity across the United States, El Salvador, Mexico, and beyond,” said JTFV Director Durham.  “This arrest marks an important step towards holding Ayala-Alcantara accountable for decades of terrorist and criminal acts that he and his MS-13 co-conspirators have carried out internationally.”

Ayala-Alcantara’s indictment was unsealed on February 23, 2023, following the arrests of three of his co-defendants, Vladimir Antonio Arevalo-Chavez, also known as “Vampiro de Monserrat Criminales,” Walter Yovani Hernandez-Rivera, also known as “Baxter de Park View” and “Bastard de Park View,” and Marlon Antonio Menjivar-Portillo, also known as “Rojo de Park View,” but he remained a fugitive until earlier this week.  As set forth in court filings, Ayala-Alcantara and his co-defendants are part of MS-13’s command and control structure, consisting of the Ranfla Nacional, Ranfla en Las Calles, and Ranfla en Los Penales, and play significant leadership roles in the organization’s operations in El Salvador, Mexico, the United States, and throughout the world.  In total, 27 of the highest-ranking leaders of MS-13 have been charged in this indictment and the related case of United States v. Henriquez, et al.  A grand jury in the Eastern District of New York previously indicted 14 members of the Ranfla Nacional, who functioned as MS-13’s “Board of Directors.”   

As further alleged, Ayala-Alcantara, who was one of the founding members of the Hollywood clique of the MS-13 in Los Angeles, California, and later rose to become one of the criminal organization’s highest-ranking leaders, and his co-defendants have engaged in numerous violent terrorist activities aimed at influencing the government of El Salvador (GOES).  The defendants have used terrorist violence to obtain benefits and concessions from the GOES and to target GOES law enforcement and military officials.  The defendants have actively engaged in public displays of violence to threaten and intimidate civilian populations, to obtain and control territory and to manipulate the electoral process in El Salvador.  Several of these defendants have played prominent roles in MS-13’s past and current negotiations with the GOES.

Further, these defendants are alleged to have authorized and directed violence in the United States, Mexico, and elsewhere as part of a concerted effort to expand MS-13’s influence and territorial control.  As the leaders of the MS-13 transnational criminal organization, these defendants were an integral part of the leadership chain responsible for supervising MS-13 cliques in the United States that engaged in extreme violence, including numerous murders, attempted murders, assaults, and related offenses.  For example, this Office’s Long Island Criminal Division has prosecuted hundreds of MS-13 leaders, members, and associates for carrying out more than 65 murders in the Eastern District of New York between 2009 and the present. 

Three co-defendants, Jorge Alexander De La Cruz, also known as “Cruger de Peatonales,” Juan Antonio Martinez-Abrego, also known as “Mary Jane de Hollywood,” and Francisco Javier Roman-Bardales, also known as “Veterano de Tribus,” remain at large.  Members of the public with information concerning their whereabouts are strongly encouraged to contact the FBI’s toll-free MS-13 tip line, 1-866-STP-MS13 (1-866-787-6713), or HSI’s tip line at (866) 347-2423 or https://www.ice.gov/webform/ice-tip-form.  Together, FBI and HSI have offered a $20,000 reward for information leading to the arrest and conviction of the fugitives.  Six other co-defendants, Edwin Ernesto Cedillos-Rodriguez, also known as “Renuente de Abriles Dangers,” Carlos Tiberio Ramirez-Valladares, also known as “Snayder de Pasadena,” Dany Fredy Ramos-Mejia, also known as “Cisco de Teclas,” Dany Balmore Romero-Garcia, also known as  “Big Boy de Normandies,” “Dig Boy de Normandies,” and “D Boy de Normandies,” Ruben Antonio Rosa-Lovo, also known as “Chivo de Centrales,” and Miguel Angel Serrano-Medina, also known as “Cabro de Park View,” are believed to be in custody in El Salvador. 

Since its creation in August 2019, JTFV has successfully implemented a whole-of-government approach to combatting MS-13, including increasing coordination and collaboration with foreign law enforcement partners, including El Salvador, Mexico, Honduras, and Guatemala. JTFV has also identified and targeted for prosecution the MS-13 programs, cliques and individuals that have had the most violent impact in the United States, and it has coordinated significant MS-13 indictments in U.S. Attorney’s Offices across the country, including the first use of national security charges against MS-13 leaders.

JTFV has been comprised of members from U.S. Attorney’s Offices across the country, including the EDNY; the District of New Jersey; the Northern District of Ohio; the District of Utah; the District of Massachusetts; the Eastern District of Texas; the Southern District of New York; the Eastern District of Virginia; the Southern District of Florida; the Southern District of California; the District of Nevada; the District of Alaska; and the District of Columbia, as well as the Department of Justice’s National Security Division and the Criminal Division.  In addition, all Department of Justice law enforcement agencies are involved in the effort, including the FBI; the U.S. Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the USMS; and the U.S. Bureau of Prisons.  In addition, HSI also plays a critical role in JTFV.

Mr. Peace expressed his thanks to the FBI’s Los Angeles, Sacramento, Salt Lake City, Houston, and Newark Field Offices, who spearheaded this investigation, with essential partnership provided by the Criminal Investigative Division’s Safe Streets Gang Unit, along with HSI’s National Gangs and Violent Crime Unit and HSI’s New York, Las Vegas, Los Angeles, and Houston Field Offices.  Additionally, FBI Legal Attachés in Mexico City and San Salvador, HSI Attaché Mexico City, USMS Legal Attaché in Mexico City, and the United States Customs and Border Protection Officers at the George Bush Intercontinental Airport in Houston provided critical support in connection with the arrest, as well as the U.S. Attorney's Office and the USMS for the Southern District of Texas for coordinating the initial appearance in Houston.

Mr. Peace also thanked the numerous Department of Justice components that contributed to this indictment, including: the National Security Division’s Counterterrorism Section; the Organized Crime Drug Enforcement Task Forces Executive Office; the Justice Department’s Office of International Affairs; and the Criminal Division’s Office of Overseas Prosecutorial Development, Assistance and Training, and Organized Crime and Gangs Section.  In addition, the Department of State, Bureau of International Narcotics and Law Enforcement Affairs, and the United States Agency for International Development, Office of Inspector General, have provided critical support for JTFV’s mission. 

These charges are allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.  If convicted, Ayala-Alcantara faces a maximum sentence of life in prison.

The government’s case is being prosecuted by Assistant U.S. Attorneys James Donnelly, Matthew Shepherd, and Stewart M. Young from JTFV, with assistance from Assistant U.S. Attorneys Paul G. Scotti, Justina L. Geraci, and Megan E. Farrell from the Office’s Long Island Criminal Division.

Newly Arrested Defendant in U.S. Custody:

JOSE WILFREDO AYALA-ALCANTARA (also known as “Indio de Hollywood”)
Age:  55

Defendants Previously Arrested and in U.S. Custody:

VLADIMIR ANTONIO AREVALO-CHAVEZ (also known as “Vampiro de Monserrat Criminales”)
Age:  47

WALTER YOVANI HERNANDEZ-RIVERA (also known as “Baxter de Park View” and “Bastard de Park View”)
Age:  29

MARLON ANTONIO MENJIVAR-PORTILLO (also known as “Rojo de Park View”)
Age:  47

Fugitive Defendants:

JORGE ALEXANDER DE LA CRUZ (also known as “Cruger de Peatonales”)
Age:  45

JUAN ANTONIO MARTINEZ-ABREGO (also known as “Mary Jane de Hollywood”)
Age:  42

FRANCISCO JAVIER ROMAN-BARDALES (also known as “Veterano de Tribus”)
Age:  45

Defendants Believed to be in El Salvador Custody:

EDWIN ERNESTO CEDILLOS-RODRIGUEZ (also known as “Renuente de Abriles Dangers”)
Age:  35

CARLOS TIBERIO RAMIREZ-VALLADARES (also known as “Snayder de Pasadena”)

DANY FREDY RAMOS-MEJIA (also known as “Cisco de Teclas”)
Age:  44

DANY BALMORE ROMERO-GARCIA (also known as “Big Boy de Normandies,” “Dig Boy de Normandies,” and “D Boy de Normandies”)
Age: 48

RUBEN ANTONIO ROSA-LOVO (also known as “Chivo de Centrales”)
Age:  52

MIGUEL ANGEL SERRANO-MEDINA (also known as “Cabro de Park View”)
Age:  47

E.D.N.Y. Docket No.: 22-CR-429 (JMA)

Earlier today, a 22-count indictment was unsealed in federal court in Central Islip charging Jussiah Herbert, a leader of the Bloodhound Brims (BHB) street gang, and BHB gang members Brandon Hicks and Janell Johnson with racketeering, attempted murders in aid of racketeering, assaults and attempted assaults in aid of racketeering, firearms charges and narcotics possession and distribution.  Herbert was arrested today in North Carolina and will make an initial appearance tomorrow in federal court in Winston-Salem.  Hicks and Johnson were previously arrested and will be arraigned at a later date. 

Breon Peace, United States Attorney for the Eastern District of New York, Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), and Rodney K. Harrison, Commissioner, Suffolk County Police Department (SCPD), announced the arrest and charges. 

“As alleged, Herbert showed zero regard for others by ordering his underlings to carry out shootings that wounded numerous victims and endangered the community just so he could maintain and increase the violent reputation of the ruthless street gang that he led,” stated United States Attorney Peace.  “This Office and our law enforcement partners will continue working relentlessly to address gun violence in our district and bring to justice members of violent gangs.”  

“Jussiah Herbert is accused of using violence, fear, and intimidation to maintain his leadership of the Bloodhound Brims (BHB) street gang,” said HSI New York Special Agent in Charge Ivan J. Arvelo. “He is alleged to have ruthlessly ordered gang members to commit horrific acts, to include attempted murder against suspected rival gang members to further his criminal enterprise and control Long Island neighborhoods so the BHB could thrive. HSI will continue to work with our law enforcement partners to keep our communities safe and free of violent gang members.”

As alleged in the indictment and court filings and proceedings, Herbert directed other BHB gang members, including Hicks, to shoot at members of rival gangs on August 16, 2020, August 25, 2020 and October 15, 2020 at locations in Brentwood, Central Islip and West Babylon, New York.  During those shootings, four individuals were shot and suffered injuries as a result of the shootings.  In a fourth incident, which occurred on September 15, 2021, in Bay Shore, New York, Herbert and other BHB members, including Johnson, shot at individuals whom they believed to be rival gang members. 

Hicks was previously arrested on federal narcotics and firearms offenses in April 2021 and Johnson was previously arrested in December 2022 in connection with New York State conspiracy offenses.  Both Hicks and Johnson are currently incarcerated and awaiting trial on the earlier charges. 

The charges in the indictment are allegations, and the defendants are presumed to be innocent unless and until proven guilty.  If convicted, Herbert faces up to a maximum sentence of 60 years’ imprisonment.

The government’s case is being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorney Bradley T. King is in charge of the prosecution.    

The Defendant Arrested Today:

JUSSIAH HERBERT (also known as “Loko” and “Lokkoo BeenHoundin”)
Age: 26
Blanch, North Carolina

The Defendants Previously Arrested:

BRANDON HICKS (also known as “Bang Swoop” and “Swoopy”)
Age: 21
Hauppauge, New York

JANELL JOHSNON (also known as “Jahh Jahh” and “Glizzy”)
Age: 20
Shirley, New York

E.D.N.Y. Docket No. 23-CR-164 (GRB)

A nine-count indictment was unsealed today in United States District Court for the Eastern District of New York charging Nazem Ahmad and eight co-defendants with conspiring to defraud the United States and foreign governments, evade U.S. sanctions and customs laws, and conduct money laundering transactions by securing goods and services for the benefit of Ahmad, a Lebanese resident and dual Belgian-Lebanese citizen who was sanctioned by the United States for being a financier for Hizballah, a foreign terrorist organization.  Despite being sanctioned and prohibited from engaging in transactions with U.S. persons since December 2019, Ahmad and his coconspirators relied on a complex web of business entities to obtain valuable artwork from U.S. artists and art galleries and to secure U.S.-based diamond-grading services all while hiding Ahmad’s involvement in and benefit from these activities.  Approximately $160 million worth of artwork and diamond-grading services were transacted through the U.S. financial system.  One defendant was arrested today in the United Kingdom at the request of the United States, and the eight remaining defendants, including Ahmad, are believed to reside outside the United States and remain at large. The government obtained seizure warrants for millions of dollars in assets that include a diamond ring, cash in an account, and artwork.

Breon Peace, United States Attorney for the Eastern District of New York; Matthew G. Olsen, Assistant Attorney General for the Justice Department’s National Security Division; Tae D. Johnson, U.S. Immigration and Customs Enforcement Deputy Director and Senior Official Performing the Duties of the Director, Department of Homeland Security; and Matthew S. Axelrod, Assistant Secretary of Commerce for Export Enforcement, U.S. Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement (BIS), announced the charges.

“The United States implemented terrorism sanctions so that terrorist organizations like Hizballah would be cut off from the goods and services needed to fund violent acts of terrorism.  As alleged, Nazem Ahmad and his co-defendants benefitted from the multi-million-dollar trade in diamonds and artwork even after Ahmad was sanctioned for his involvement with a terrorist organization,” stated United States Attorney Peace.  “Our Office will continue to prosecute individuals who evade these sanctions and thereby offer a lifeline to designated foreign terrorist organizations.”

“Despite being sanctioned for his dealings with a terrorist organization, Mr. Ahmad remained active in the US-based art and diamond trade while concealing his illicit involvement,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “Today we hold Ahmad and his associates accountable and demonstrate that those who would flout our sanctions cannot hide from US justice.”  

“This HSI investigation speaks to the unwavering commitment of the U.S. and U.K. governments to prevent art and diamond markets from becoming a haven of illicit financial activity,” said U.S. Immigration and Customs Enforcement Deputy Director and Senior Official Performing the Duties of the Director Tae D. Johnson. “I commend HSI and our investigative partners for their dedication in seeing this investigation through – over many years – to substantial actions. We will utilize every tool at our disposal to dismantle these illicit networks.”

“The funding of foreign terrorist organizations like Hizballah is illegal, regardless of whether that funding comes in the form of cash or the export of high-priced diamonds and art,” said Assistant Secretary of Commerce for Export Enforcement Matthew S. Axelrod.  “We are proud to have partnered with DOJ and HSI to bring this significant enforcement action.” 

As alleged, Nazem Ahmad was involved in real estate development, the international trade of diamonds, and the international acquisition and sale of artwork, and operated these enterprises through a complex web of business entities.  Ahmad was also an associate of high-level members of Hizballah, a Lebanon-based terrorist group that was designated by the United States as a Foreign Terrorist Organization and Specially Designated Global Terrorist.  On December 13, 2019, pursuant to the International Emergency Economic Powers Act (IEEPA) and the Global Terrorism Sanctions Regulations, the U.S. Department of Treasury’s Office of Foreign Assets Control (OFAC) designated Ahmad and 11 businesses associated with Ahmad as Specially Designated Nationals (SDN) for Ahmad’s material support of, and provision of goods and services to, Hizballah.  At the time of the designation, OFAC explained that Ahmad was “considered a major Hizballah financial donor who laundered money through his companies for Hizballah and provided funds personally to Hizballah Secretary-General Hassan Nasrallah” and was also “involved in ‘blood diamond’ smuggling” who “stores some of his personal funds in high-value art.”

Despite being sanctioned and prohibited from engaging in most transactions with U.S. persons, Ahmad continued to secure valuable goods and services from U.S. persons notwithstanding that such transactions constituted violations of U.S. sanctions and other federal laws.  Specifically, Ahmad, together with his son Firas Michael Ahmad, daughter Hind Nazem Ahmad and brother-in-law Rami Yaacoub Baker, as well as associates Mohamad Hijazi, Mohamad Hassan Ismail, Sarya Nemat Martin, Ali Said Mossalem Sundar Nagarajan, and others, used numerous corporate entities and individuals to disguise Ahmad’s control and beneficial interest in the companies and in financial transactions, and facilitate the acquisition of multiple pieces of valuable artwork and diamond-grading services for millions of dollars’ worth of diamonds from U.S. persons. 

Evasion of Terrorism Sanctions in the Diamond Trade

The defendants conspired to violate and evade U.S. sanctions by obtaining grading determinations and other services from a U.S.-based diamond grading company (Diamond Grading Company-1).  The services of Diamond Grading Company-1, which were secured through multiple entities operating for Ahmad’s benefit, were valuable to the defendants because the services provided can affect the sales price of those diamonds and thus increase the amount that Ahmad can receive for the sale of his property.  Collectively, the defendants and other conspirators sent approximately 482 diamond submissions to Diamond Grading Company-1 facilities after Ahmad was designated by OFAC in December 2019.  The total weight of the diamonds submitted and graded post-sanctions was approximately 1,546 carats.  For example, on or about March 18, 2021, an entity operating for the benefit of Ahmad shipped an approximately 45-carat diamond—valued at $80 million—to a facility belonging to Diamond Grading Company-1 in New York.  Following the receipt of services from Diamond Grading Company-1, the 45-carat diamond was exported from the United States on April 26, 2021, back to the same entity. 

Evasion of Terrorism Sanctions in the Art Market

The defendants also conspired to violate and evade U.S. sanctions by acquiring contemporary art from the United States, from U.S. persons outside the United States, or through U.S.-based financial transactions, on behalf of and for the benefit of Ahmad, despite his status as an OFAC-sanctioned SDN.  Artwork allegedly obtained from the United States after Ahmad was sanctioned in December 2019 was valued at more than $450,000, while an additional $780,000 in artwork from U.S. persons located outside the United States was also acquired in violation of terrorism sanctions. 

For example, in or about and between April 2021 and July 2021, Ahmad and several other defendants engaged in multiple transactions with a Chicago-based art gallery (Chicago Art Gallery-1), on behalf of and for the benefit of Ahmad.  Ahmad allegedly commissioned multiple pieces of artwork, at least one of which can be seen in a picture with Ahmad, as depicted below:

Chicago Art Gallery-1 Painting Hanging (on Right) Before Ahmad Sitting at a Desk

Chicago Art Gallery-1 Paintings Commissioned by Ahmad

Between approximately February 2021 and November 2021, Ahmad and two other defendants engaged in transactions with a New York-based artist (New York Artist-1), on behalf of and for the benefit of Ahmad.  After Ahmad directly negotiated the sale of artwork from New York Artist-1—pointedly directing the artist not to mention Ahmad’s name to anyone—six paintings valued at $199,800 were exported from the United States via John F. Kennedy International Airport to a Lebanese business entity used by Ahmad.  At least one piece of artwork acquired from New York Artist-1 was hung in Ahmad’s residence in Lebanon as shown in the images below, which show Ahmad and co-defendant Firas Ahmad (two other uncharged individuals are obscured in the image below) in front of the artwork:

Between in or about May 2021 and June 2021, Nazem Ahmad and co-defendant Ali Said Mossalem allegedly paid for artwork acquired from a Nigerian-based artist through a wire transfer that was facilitated by a U.S. financial institution located in New York, New York.  An image of one of the pieces of artwork acquired by Ahmad through the services of U.S. financial institutions is depicted below:

As part of this criminal scheme, the defendants also caused the undervaluation of goods in U.S. customs records in violation of federal law, and took other steps to obscure the value of the goods they received in order to avoid the payment of foreign taxes when the goods were imported into the relevant country.

The defendants and other conspirators engaged in this scheme to benefit Ahmad and themselves while at the same time evading terrorism-related sanctions, to avoid the payment of taxes to foreign governments on the import of valuable goods into foreign countries, and to make it more difficult for the United States government to carry out its lawful functions.  Entities controlled by or operating for the benefit of Ahmad engaged in more than $400 million worth of financial transactions between approximately January 2020 and August 2022; the conspirators were responsible for importing more than $207 million of goods to the United States and exporting more than $234 million of goods from the United States between approximately December 2019 and December 2022, consisting primarily of diamonds and artwork; and approximately $160 million worth of transactions involved the U.S. financial system.  At least $6 million of the proceeds of the criminal scheme was transferred to Lebanon for use by Ahmad and his associates. 

The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Craig R. Heeren and Nicholas J. Moscow, and Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section, are in charge of the prosecution with assistance from Paralegal Specialists Benjamin Richmond and Magdalena St. Surin.  Assistant United States Attorney Claire Kedeshian of the Office’s Asset Recovery Section is in charge of asset forfeiture.  The Department of Justice Office of International Affairs is assisting with extradition and international legal assistance in this case. 

This investigation was a collaboration between HSI Cedar Rapids, New York, Cultural Property Art and Antiquities Program and Trade Transparency Unit which was made possible through support from HSI Chicago, Dallas, Houston, Kansas City, Los Angeles, Raleigh, St. Paul, and Santa Rosa. HSI Attaché Offices in Africa, Asia, Europe, and the Middle East played critical roles in the investigation. U.S. Customs and Border Protection and U.S. Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement, New York Field Office were also key investigative partners.

The Department of Justice’s Office of International Affairs provided critical assistance in this case.  The Department also appreciates the significant cooperation and assistance provided by the United Kingdom authorities.

The Defendants:

NAZEM AHMAD (also known as “N.A.,” “Naz,” “Naz Ahmad,” “Nazem Ali Ahmad,” “Nazem Saeed Ahmad,” “Nazim Sa’id Ahmad,” “Nizam Saed Ahmad,” “Nazem Said Ahmed,” “Nazem Saied Ahmed,” “Nazeem Said Ahmad” and “Kariumu Muhamadi”)
Lebanon and Belgium

FIRAS MICHAEL AHMAD (also known as “Firas Ahmed” and “Firas Nazem Ahmad”)
Lebanon and Belgium

HIND NAZEM AHMAD (also known as “Dida Ahmad,” “Hind El Ris,” “Hind El-Riz” and “Julie”
Belgium

RAMI YAACOUB BAKER (also known as “Ramy Kamel Yaqoub Baker”)
Lebanon and Belgium

MOHAMAD HASSAN ISMAIL
Lebanon

MOHAMAD HIJAZI
Lebanon

SARYA NEMAT MARTIN (also known as “Sarya N. Marie”)
United States

ALI SAID MOSSALEM
Lebanon

SUNDAR NAGARAJAN (also known as “Nagarajan Sundar Poongulam Kasiviswanathan Naga” and “Sundar Poongulam K. Nagarajan Nagarajan”)
India

E.D.N.Y. Docket No. 23-CR-139 (DG)

A nine-count indictment was unsealed today in the Eastern District of New York charging Nazem Ahmad and eight co-defendants with conspiring to defraud the United States and foreign governments, evade U.S. sanctions and customs laws and conduct money laundering transactions by securing goods and services for the benefit of Ahmad, a Lebanese resident and dual Belgian-Lebanese citizen who was sanctioned by the United States for being a financier for Hezbollah, a foreign terrorist organization.

According to court documents, despite being sanctioned and prohibited from engaging in transactions with U.S. persons since December 2019, Ahmad and his co-conspirators relied on a complex web of business entities to obtain valuable artwork from U.S. artists and art galleries and to secure U.S.-based diamond-grading services all while hiding Ahmad’s involvement in and benefit from these activities. Approximately $160 million worth of artwork and diamond-grading services were transacted through the U.S. financial system. One defendant was arrested today in the United Kingdom at the request of the United States, and the eight remaining defendants, including Ahmad, are believed to reside outside the United States and remain at large. The government obtained seizure warrants for millions of dollars in assets that include a diamond ring, cash in an account and artwork.

“Despite being sanctioned for his dealings with a terrorist organization, Mr. Ahmad remained active in the U.S.-based art and diamond trade while concealing his illicit involvement,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “Today, we hold Ahmad and his associates accountable and demonstrate that those who would flout our sanctions cannot hide from U.S. justice.”  

“The United States implemented terrorism sanctions so that terrorist organizations like Hezbollah would be cut off from the goods and services needed to fund violent acts of terrorism,” said U.S. Attorney Breon Peace for the Eastern District of New York. “As alleged, Nazem Ahmad and his co-defendants benefitted from the multimillion-dollar trade in diamonds and artwork even after Ahmad was sanctioned for his involvement with a terrorist organization. Our office will continue to prosecute individuals who evade these sanctions and thereby offer a lifeline to designated foreign terrorist organizations.”

“Let this action against Nazem Ahmad’s international criminal organization serve as a reminder that the U.S. government and its allies will tirelessly prosecute those who are sanctioned for illicitly financing terrorist activities and wantonly violate those sanctions in order to continue accruing substantial wealth that can be used to continue financing Hezbollah,” said Deputy Secretary John K. Tien of Department of Homeland Security. “We are grateful to our partners across the federal government and our partnership with the United Kingdom that demonstrates international commitment and cooperation to preventing future atrocities by dismantling illicit financial networks supporting terrorism.”

“The funding of foreign terrorist organizations like Hezbollah is illegal, regardless of whether that funding comes in the form of cash or the export of high-priced diamonds and art,” said Assistant Secretary Export Enforcement Matthew S. Axelrod of the Department of Commerce. “We are proud to have partnered with the Justice Department and HSI to bring this significant enforcement action.” 

As alleged, Ahmad was involved in real estate development, the international trade of diamonds, and the international acquisition and sale of artwork, and operated these enterprises through a complex web of business entities. Ahmad was also an associate of high-level members of Hezbollah, a Lebanon-based terrorist group that was designated by the United States as a Foreign Terrorist Organization and Specially Designated Global Terrorist. On Dec. 13, 2019, pursuant to the International Emergency Economic Powers Act (IEEPA) and the Global Terrorism Sanctions Regulations, the U.S. Department of Treasury’s Office of Foreign Assets Control (OFAC) designated Ahmad and 11 businesses associated with Ahmad as Specially Designated Nationals (SDNs) for Ahmad’s material support of, and provision of goods and services to, Hezbollah. At the time of the designation, OFAC explained that Ahmad was “considered a major Hezbollah financial donor who laundered money through his companies for Hezbollah and provided funds personally to Hezbollah Secretary-General Hassan Nasrallah” and was also “involved in ‘blood diamond’ smuggling” who “stores some of his personal funds in high-value art.”

Despite being sanctioned and prohibited from engaging in most transactions with U.S. persons, Ahmad continued to secure valuable goods and services from U.S. persons notwithstanding that such transactions constituted violations of U.S. sanctions and other federal laws. Specifically, Ahmad, together with his son Firas Michael Ahmad, daughter Hind Nazem Ahmad and brother-in-law Rami Yaacoub Baker, as well as associates Mohamad Hijazi, Mohamad Hassan Ismail, Sarya Nemat Martin, Ali Said Mossalem Sundar Nagarajan and others, used numerous corporate entities and individuals to disguise Ahmad’s control and beneficial interest in the companies and in financial transactions, and facilitate the acquisition of multiple pieces of valuable artwork and diamond-grading services for millions of dollars’ worth of diamonds from U.S. persons.

Evasion of Terrorism Sanctions in the Diamond Trade

As alleged, the defendants conspired to violate and evade U.S. sanctions by obtaining grading determinations and other services from a U.S.-based diamond grading company (Diamond Grading Company-1). The services of Diamond Grading Company-1, which were secured through multiple entities operating for Ahmad’s benefit, were valuable to the defendants because the services provided can affect the sales price of those diamonds and thus increase the amount that Ahmad can receive for the sale of his property. Collectively, the defendants and other conspirators sent approximately 482 diamond submissions to Diamond Grading Company-1 facilities after Ahmad was designated by OFAC in December 2019. The total weight of the diamonds submitted and graded post-sanctions was approximately 1,546 carats. For example, on or about March 18, 2021, an entity operating for the benefit of Ahmad shipped an approximately 45-carat diamond – valued at $80 million – to a facility belonging to Diamond Grading Company-1 in New York. Following the receipt of services from Diamond Grading Company-1, the 45-carat diamond was exported from the United States on April 26, 2021, back to the same entity.

Evasion of Terrorism Sanctions in the Art Market

The defendants also conspired to violate and evade U.S. sanctions by acquiring contemporary art from the United States, from U.S. persons outside the United States, or through U.S.-based financial transactions, on behalf of and for the benefit of Ahmad, despite his status as an OFAC-sanctioned SDN. Artwork allegedly obtained from the United States after Ahmad was sanctioned in December 2019 was valued at more than $450,000, while an additional $780,000 in artwork from U.S. persons located outside the United States was also acquired in violation of terrorism sanctions.

For example, in or about and between April 2021 and July 2021, Ahmad and several other defendants engaged in multiple transactions with a Chicago-based art gallery (Chicago Art Gallery-1), on behalf of and for the benefit of Ahmad. Ahmad allegedly commissioned multiple pieces of artwork, at least one of which can be seen in a picture with Ahmad, as depicted below:

Between approximately February 2021 and November 2021, Ahmad and two other defendants engaged in transactions with a New York-based artist (New York Artist-1), on behalf of and for the benefit of Ahmad. After Ahmad directly negotiated the sale of artwork from New York Artist-1 – pointedly directing the artist not to mention Ahmad’s name to anyone – six paintings valued at $199,800 were exported from the United States via John F. Kennedy International Airport to a Lebanese business entity used by Ahmad. At least one piece of artwork acquired from New York Artist-1 was hung in Ahmad’s residence in Lebanon.

As part of this criminal scheme, the defendants also caused the undervaluation of goods in U.S. customs records in violation of federal law and took other steps to obscure the value of the goods they received in order to avoid the payment of foreign taxes when the goods were imported into the relevant country.

The defendants and other conspirators engaged in this scheme to benefit Ahmad and themselves while at the same time evading terrorism-related sanctions, to avoid the payment of taxes to foreign governments on the import of valuable goods into foreign countries and to make it more difficult for the United States government to carry out its lawful functions. Entities controlled by or operating for the benefit of Ahmad engaged in more than $400 million worth of financial transactions between approximately January 2020 and August 2022; the conspirators were responsible for importing more than $207 million of goods to the United States and exporting more than $234 million of goods from the United States between approximately December 2019 and December 2022, consisting primarily of diamonds and artwork; and approximately $160 million worth of transactions involved the U.S. financial system. At least $6 million of the proceeds of the criminal scheme was transferred to Lebanon for use by Ahmad and his associates.

Assistant U.S. Attorneys Craig R. Heeren and Nicholas J. Moscow for the Eastern District of New York and Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section are in charge of the prosecution, with assistance from Paralegal Specialists Benjamin Richmond and Magdalena St. Surin. Assistant U.S. Attorney Claire Kedeshian of the is handling asset forfeiture. The Department of Justice Office of International Affairs is assisting with extradition and international legal assistance in this case.

This investigation was a collaboration between HSI Cedar Rapids, New York, HSI New York Counter Proliferation Investigations and Trade Transparency Unit which was made possible through support from HSI Chicago, Dallas, Houston, Kansas City, Los Angeles, Raleigh, St. Paul, and Santa Rosa. HSI Attaché offices in Africa, Asia, Europe, and the Middle East played critical roles in the investigation. U.S. Customs and Border Protection was also a key investigative partner.

The Department also appreciates the significant cooperation and assistance provided by the United Kingdom authorities.

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

A criminal complaint was unsealed today in federal court in Brooklyn charging Quandelle Joseph, a correctional officer currently employed by the United States Bureau of Prisons (BOP), with receiving bribes in exchange for providing contraband to prison inmates at the Metropolitan Detention Center (MDC) in Brooklyn.  Joseph was arrested this morning in Brooklyn, and his initial appearance was this afternoon before United States Magistrate Judge James R. Cho and he was released on $50,000 bond pending trial.

Breon Peace, United States Attorney for the Eastern District of New York, Ryan T. Geach, Special Agent-in-Charge, United States Department of Justice, Office of Inspector General, New York Field Office (DOJ-OIG), and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrest and charges.

“As alleged, the defendant violated his duty as a correction officer and accepted tens of thousands of dollars in bribes to smuggle contraband into the Metropolitan Detention Center,” stated United States Attorney Peace.  “By accepting bribes, the defendant violated the public’s trust and promoted conditions that risked the safety of the officers and inmates in the MDC.  This Office will continue rooting out corruption at our federal and local jails, and holding corrupt public officials accountable.” 

“As alleged, Joseph’s corrupt actions of accepting bribes to smuggle contraband into MDC Brooklyn endangered his fellow correctional officers, inmates, and the public. The Department of Justice Office of the Inspector General is committed to rooting out these kinds of dangerous schemes,” stated DOJ-OIG Special Agent-in-Charge Geach.

“We allege the defendant participated in a scheme to smuggle contraband into a federal prison in exchange for money, breaking not only his oath of duty but also the law.  The defendant’s actions put both the inmates of MDC and his fellow correctional officers at risk.   The FBI will continue to ensure corrupt individuals abusing the authority given to them by the public are held responsible in the criminal justice system,” stated FBI Assistant Director-in-Charge Driscoll.

As alleged in the complaint, Joseph became a correctional officer at the MDC in May 2020.  During his employment, Joseph accepted tens of thousands of dollars from at least two different inmates to smuggle narcotics, cigarettes, and cell phones into the MDC.  In one instance, Joseph entered a unit he was not guarding during a lockdown, opened an inmate’s cell and provided him with contraband.  A few hours later, MDC staff smelled marijuana in that inmate’s cell and recovered a contraband cell phone from the cell during a search; the inmate had flushed the marijuana down the toilet prior to the search.  In June 2020, Joseph texted the inmate’s contact outside the facility that the inmate owed him $12,000.  Joseph also used a “burner” telephone to communicate with another inmate about the bribery scheme and warn him about upcoming contraband searches.  For example, on January 26, 2021, Joseph texted an inmate from whom he was receiving bribes, “[t]ighten up search comin clean phones out call logs n text n try to stash it.”  The next day, Joseph texted the inmate, “keep your phones cleannnnnnnnnn erase texts and call logs every night.” 

The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty.  If convicted, Joseph faces a maximum sentence of fifteen years’ imprisonment. 

The government’s case is being handled by the Office’s Public Integrity Section.  Assistant United States Attorneys Philip Pilmar and Marietou Diouf are in charge of the prosecution. 

The Defendant:

QUANDELLE JOSEPH
Age: 32
Brooklyn, NY

E.D.N.Y. Docket No. 23-MJ-359

美國紐約東區檢察官辦公室今天在布魯克林聯邦法院公佈兩起刑事訴訟，指控 44 名被告犯有與中華人民共和國國家員警—公安部（MPS）騷擾居住在紐約大都市區和美國其他地區的中國公民有關的各種罪行。被告包括 40 名公安部官員和兩名中國網信辦官員。他們涉嫌對政治觀點和行為(例如在中國宣導民主)不受中國政府青睞的美國居民實施跨國鎮壓陰謀。

在這兩項陰謀中，被告創建並使用虛假社交媒體帳戶，騷擾和恐嚇居住在國外的中國異見者，並試圖壓制異見者在一家美國電信公司（公司1）平臺上的言論自由。據信，這些陰謀中受控的被告居住在中國或亞洲其他地方，並且仍然在逃。

美國司法部國家安全司助理司法部長馬修·奧爾森說：“這些案件表明，中華人民共和國政府會竭盡全力，壓制和騷擾那些行使基本權利公開反對中華人民共和國壓迫的美國人士，包括非法利用一家總部位於美國的科技公司。” “此類行為違反了我們的法律，是對我們民主價值觀和基本人權的侮辱。”

美國聯邦調查局反情報司代理助理主任庫爾特·羅諾（Kurt Ronnow）表示：“中國公安部利用特工，針對那些有勇氣公開反對中國共產黨的華裔人士，其中一種是秘密傳播宣傳，破壞人們對我們民主進程的信心，另一種是壓制美國視頻會議用戶的言論自由。” “我們不會容忍中共在美國的鎮壓—即其威脅、騷擾和恐嚇人民的行為。聯邦調查局將繼續對抗中國政府違反我們法律並壓制我國人民權利和自由的行為。”

披露：紐約東區美國檢察官布倫·皮士(Breon Peace) 回避本案，未參與美國訴朱利安·金(Julien Jin) 等人 (20-mj-1103) 的案件。

美國訴白雲鵬等人。

該兩項罪名起訴書指控 34 名公安部官員串謀傳播州際威脅和串謀進行州際騷擾。據信所有被告均居住在中國，但仍然在逃。

據指控，這些官員與北京市公安局合作，目前或曾經被分配到一個名為“912特別項目工作組”（簡稱“工作組”）的精英特遣隊。該工作組的目的，是對付世界各地（包括美國）的中國異見者。

紐約東區美國檢察官布倫·皮斯表示：“正如所指控，中國政府部署國家員警和912特別項目工作組不是作為維護法律和保護公共安全的工具，而是作為一個酸民農場，對在我國以其認為令人不快的方式行使言論自由的人實施攻擊，並進行宣傳，其唯一目的是在美國境內煽動分裂。” “我讚揚調查團隊，因為其全面揭露了一項針對美國居民的國家主導犯罪陰謀的陰險性。”

起訴書列出該工作組成員如何在推特等社交媒體網站上創建數千個虛假網路角色，通過線上騷擾和威脅，針對中國異見者。此類網路人物還傳播中華人民共和國政府的官方宣傳和敍事，以對抗中國異見人士的民主言論。例如，據稱，工作組成員通過臨時電子郵件，創建和維護虛假社交媒體帳戶，發佈中國政府官方內容，並與其他線上用戶互動，以避免工作組帳戶涉嫌“淹沒”特定社交媒體平臺。工作組跟蹤成員履行線上職責的表現，並在成功運營多個線上角色的工作組成員，而不會被託管平臺的社交媒體公司或平臺的其他用戶發現時對其獎勵。

調查還發現，公安部官方要求該工作組成員根據某些主題撰寫文章和視頻，例如針對海外中國異見者的活動或美國政府的政策。

據稱，被告還試圖通過傳播中華人民共和國政府的宣傳或敍事，招募美國人在不知情的情況下，充當中華人民共和國政府的代理人。被告多次利用網路角色聯繫被評估為同情和支持中國政府言論的個人，並要求這些人傳播工作組內容。

此外，該工作組成員多次採取明確的行動，將中國異見者及其會議從公司1的平臺上刪除。例如，該工作組成員通過平臺的聊天功能，發佈針對參與者的威脅，擾亂了異見者通過視頻會議，紀念天安門廣場大屠殺的努力。在中國異見者組織的另一場以反共為主題的第一連視頻會議中，工作組成員擠滿了視頻會議，大聲的音樂、粗俗的尖叫聲和針對民主派參與者的威脅淹沒了會議。

美國訴 朱利安·金等人。

該修訂後起訴書指控 10 名人士，包括一名前駐中華人民共和國 公司1 員工、六名公安部官員和兩名網信辦官員，串謀實施州際騷擾和非法串謀實施轉移身份識別手段。據信，其中九名被告居住在中國，目前仍在逃。據信第十名被告居住在印尼或中國，並且仍然在逃。

紐約東區美國第一助理檢察官波科尼(Pokorny)說：“對一名美國電信公司前駐中國員工提出的修訂後起訴書中的指控表明，在中國運營的美國公司面臨著內部威脅。”他感謝公司1 在政府調查中的合作。 “據指控，朱利安·金及其在中國公安部和網信辦的同謀將雇傭他的美國電信公司武器化，以恐嚇和壓制異見者並執行中國法律，從而損害了紐約等地的中國活動人士的利益，後者我國尋求庇護，以和平方式表達其民主觀點。”

“此類案件表明，中國共產黨再次試圖恐嚇、騷擾和鎮壓在美國的中國異見者，”聯邦調查局華盛頓辦事處助理主任大衛·桑德伯格(David Sundberg)說。 “在美國，言論自由是我們民主的基石，聯邦調查局將不懈努力，捍衛每個人對自由言論的權利，而不必擔心中共的報復。這些複雜的調查揭示，公安部通過利用美國通訊平臺和虛假社交媒體帳戶審查政治和宗教言論來鎮壓個人。”

2020 年 12 月，該部門首次宣佈對朱利安•金提出指控，罪名是他努力擾亂 2020 年 5 月和 6 月在公司1 平臺上舉行的一系列紀念 1989 年天安門廣場大屠殺的會議。 金擔任公司1 與中國政府執法和情報部門的主要聯絡人。在那個角色中，他定期回應中國政府的要求，終止會議並遮罩公司1 視頻通信平臺上的用戶。

正如原起訴書詳細描述，金和其他人在中國政府的指示下，合謀使用公司1 的美國系統，審查位於美國和其他地區人士的政治和宗教言論。例如，金和其他人擾亂了公司1 平臺上舉行的會議，討論中國政府不可接受的政治敏感話題，包括天安門廣場大屠殺。金及其同謀捏造了所謂不當行為的證據，導致公司1 的美國員工終止會議。

經修訂起訴書中的指控顯示，金與公安部和網信辦的被告直接合作，並接受被告的命令，擾亂公司1 平臺上的會議，且同案被告自 2018 年以來，始終對付在美異見者在公司1 平臺上的言論。

從 2018 年起，金和他的同案被告多次試圖終止一名居住在紐約市的中國異見人士組織的視頻聊天會議，該人士一直直言不諱地批評中國政府和中國共產黨。在 網信辦要求公司1 終止異見者在公司1 平臺上的會議後，金努力查明與異見者相關的所有帳戶，使與異見者相關的會議在“隔離區”（即回應時間已知滯後的伺服器上）舉行，隨後努力封鎖與異見者相關的所有帳戶。同樣，2019 年，金與公安部和網信辦合作，封鎖了紀念天安門廣場大屠殺的帳戶。

聯邦調查局華盛頓辦事處對上述案件進行了調查。

紐約東區的美國助理檢察官亞歷山大·所羅門 (Alexander A. Solomon)、安托瓦內特·蘭格爾 (Antoinette N. Rangel)、伊恩·理查森 (Ian C. Richardson)、尼古拉斯·莫斯科 (Nicholas J. Moscow) 和潔西嘉·威格爾 (Jessica K. Weigel) 以及國家安全部反情報和出口管制科的審判律師斯科特·克拉菲 (Scott A. Claffee) 正在起訴這些案件。

聯邦調查局創建了一個網站，供受害者舉報外國政府跟蹤、恐嚇或襲擊美國民眾的行為。請訪問： www.fbi.gov/investigate/counterintelligence/transnational-repression 。

美国纽约东区检察官办公室今天在布鲁克林联邦法院公布两起刑事诉讼，指控 44 名被告犯有与中华人民共和国国家警察—公安部（MPS）骚扰居住在纽约大都市区和美国其他地区的中国公民有关的各种罪行。被告包括 40 名公安部官员和两名中国网信办官员。他们涉嫌对政治观点和行为(例如在中国倡导民主)不受中国政府青睐的美国居民实施跨国镇压阴谋。

在这两项阴谋中，被告创建并使用虚假社交媒体账户，骚扰和恐吓居住在国外的中国持不同政见者，并试图压制持不同政见者在一家美国电信公司（公司1）平台上的言论自由。据信，这些阴谋中受控的被告居住在中国或亚洲其他地方，并且仍然在逃。

美国司法部国家安全司助理司法部长马修·奥尔森说：“这些案件表明，中华人民共和国政府会竭尽全力，压制和骚扰那些行使基本权利公开反对中华人民共和国压迫的美国人士，包括非法利用一家总部位于美国的科技公司。” “此类行为违反了我们的法律，是对我们民主价值观和基本人权的侮辱。”

美国联邦调查局反情报司代理助理主任库尔特·罗诺（Kurt Ronnow）表示：“中国公安部利用特工，针对那些有勇气公开反对中国共产党的华裔人士，其中一种是秘密传播宣传，破坏人们对我们民主进程的信心，另一种是压制美国视频会议用户的言论自由。” “我们不会容忍中共在美国的镇压—即其威胁、骚扰和恐吓人民的行为。联邦调查局将继续对抗中国政府违反我们法律并压制我国人民权利和自由的行为。”

披露：纽约东区美国检察官布伦·皮士(Breon Peace) 回避本案，未参与美国诉朱利安·金(Julien Jin) 等人 (20-mj-1103) 的案件。

美国诉白云鹏等人。

该两项罪名起诉书指控 34 名公安部官员串谋传播州际威胁和串谋进行州际骚扰。据信所有被告均居住在中国，但仍然在逃。

据指控，这些官员与北京市公安局合作，目前或曾经被分配到一个名为“912特别项目工作组”（简称“工作组”）的精英特遣队。该工作组的目的，是对付世界各地（包括美国）的中国持不同政见者。

纽约东区美国检察官布伦·皮斯表示：“正如所指控，中国政府部署国家警察和912特别项目工作组不是作为维护法律和保护公共安全的工具，而是作为一个酸民农场，对在我国以其认为令人不快的方式行使言论自由的人实施攻击，并进行宣传，其唯一目的是在美国境内煽动分裂。” “我赞扬调查团队，因为其全面揭露了一项针对美国居民的国家主导犯罪阴谋的阴险性。”

起诉书列出该工作组成员如何在推特等社交媒体网站上创建数千个虚假网络角色，通过在线骚扰和威胁，针对中国持不同政见者。此类网络人物还传播中华人民共和国政府的官方宣传和叙事，以对抗中国持不同政见人士的民主言论。例如，据称，工作组成员通过临时电子邮件，创建和维护虚假社交媒体帐户，发布中国政府官方内容，并与其他在线用户互动，以避免工作组账户涉嫌“淹没”特定社交媒体平台。工作组跟踪成员履行在线职责的表现，并在成功运营多个在线角色的工作组成员，而不会被托管平台的社交媒体公司或平台的其他用户发现时对其奖励。

调查还发现，公安部官方要求该工作组成员根据某些主题撰写文章和视频，例如针对海外中国持不同政见者的活动或美国政府的政策。

据称，被告还试图通过传播中华人民共和国政府的宣传或叙事，招募美国人在不知情的情况下，充当中华人民共和国政府的代理人。被告多次利用网络角色联系被评估为同情和支持中国政府言论的个人，并要求这些人传播工作组内容。

此外，该工作组成员多次采取明确的行动，将中国持不同政见者及其会议从公司1的平台上删除。例如，该工作组成员通过平台的聊天功能，发布针对参与者的威胁，扰乱了持不同政见者通过视频会议，纪念天安门广场大屠杀的努力。在中国持不同政见者组织的另一场以反共为主题的第一连视频会议中，工作组成员挤满了视频会议，大声的音乐、粗俗的尖叫声和针对民主派参与者的威胁淹没了会议。

美国诉 朱利安·金等人。

该修订后起诉书指控 10 名人士，包括一名前驻中华人民共和国 公司1 员工、六名公安部官员和两名网信办官员，串谋实施州际骚扰和非法串谋实施转移身份识别手段。据信，其中九名被告居住在中国，目前仍在逃。据信第十名被告居住在印度尼西亚或中国，并且仍然在逃。

纽约东区美国第一助理检察官波科尼( Pokorny)说：“对一名美国电信公司前驻中国员工提出的修订后起诉书中的指控表明，在中国运营的美国公司面临着内部威胁。”他感谢公司1 在政府调查中的合作。 “据指控，朱利安·金及其在中国公安部和网信办的同谋将雇佣他的美国电信公司武器化，以恐吓和压制持不同政见者并执行中国法律，从而损害了纽约等地的中国活动人士的利益，后者我国寻求庇护，以和平方式表达其民主观点。”

“此类案件表明，中国共产党再次试图恐吓、骚扰和镇压在美国的中国持不同政见者，”联邦调查局华盛顿办事处助理主任大卫·桑德伯格(David Sundberg)说。 “在美国，言论自由是我们民主的基石，联邦调查局将不懈努力，捍卫每个人对自由言论的权利，而不必担心中共的报复。这些复杂的调查揭示，公安部通过利用美国通讯平台和虚假社交媒体账户审查政治和宗教言论来镇压个人。”

2020 年 12 月，该部门首次宣布对朱利安•金提出指控，罪名是他努力扰乱 2020 年 5 月和 6 月在公司1 平台上举行的一系列纪念 1989 年天安门广场大屠杀的会议。 金担任公司1 与中国政府执法和情报部门的主要联络人。在那个角色中，他定期响应中国政府的要求，终止会议并屏蔽公司1 视频通信平台上的用户。

正如原起诉书详细描述，金和其他人在中国政府的指示下，合谋使用公司1 的美国系统，审查位于美国和其他地区人士的政治和宗教言论。例如，金和其他人扰乱了公司1 平台上举行的会议，讨论中国政府不可接受的政治敏感话题，包括天安门广场大屠杀。金及其同谋捏造了所谓不当行为的证据，导致公司1 的美国员工终止会议。

经修订起诉书中的指控显示，金与公安部和网信办的被告直接合作，并接受被告的命令，扰乱公司1 平台上的会议，且同案被告自 2018 年以来，始终对付在美持不同政见者在公司1 平台上的言论。

从 2018 年起，金和他的同案被告多次试图终止一名居住在纽约市的中国持不同政见人士组织的视频聊天会议，该人士一直直言不讳地批评中国政府和中国共产党。在 网信办要求公司1 终止持不同政见者在公司1 平台上的会议后，金努力查明与持不同政见者相关的所有帐户，使与持不同政见者相关的会议在“隔离区”（即响应时间已知滞后的服务器上）举行，随后努力封锁与持不同政见者相关的所有帐户。同样，2019 年，金与公安部和网信办合作，封锁了纪念天安门广场大屠杀的账户。

联邦调查局华盛顿办事处对上述案件进行了调查。

纽约东区的美国助理检察官亚历山大·所罗门 (Alexander A. Solomon)、安托瓦内特·兰格尔 (Antoinette N. Rangel)、伊恩·理查森 (Ian C. Richardson)、尼古拉斯·莫斯科 (Nicholas J. Moscow) 和杰西卡·威格尔 (Jessica K. Weigel) 以及国家安全部反情报和出口管制科的审判律师斯科特·克拉菲 (Scott A. Claffee) 正在起诉这些案件。

联邦调查局创建了一个网站，供受害者举报外国政府跟踪、恐吓或袭击美国民众的行为。请访问： www.fbi.gov/investigate/counterintelligence/transnational-repression 。

Today, a complaint was unsealed in federal court in Brooklyn charging two defendants in connection with opening and operating an undeclared overseas police station, located in lower Manhattan, for the Ministry of Public Security (“MPS”) of the People’s Republic of China (“PRC”).  Lu Jianwang and Chen Jinping were arrested earlier this morning at their homes in New York City.  Their initial appearances are scheduled this afternoon before United States Magistrate Judge James R. Cho. 

Breon Peace, United States Attorney for the Eastern District of New York; Matthew G. Olsen, Assistant Attorney General of the Justice Department’s National Security Division; and Michael J. Driscoll, Assistant Director-in-Charge, FBI, New York Field Office, announced the arrests and charges.

“This prosecution reveals the Chinese government’s flagrant violation of our nation’s sovereignty by establishing a secret police station in the middle of New York City,” stated United States Attorney Peace.  “As alleged, the defendants were directed to do the PRC’s bidding, including helping locate a Chinese dissident living in the United States, and obstructed our investigation by deleting their communications with a Chinese Ministry of Public Security official.  Such a police station has no place here in New York City—or any American community.”

“The PRC, through its repressive security apparatus, established a secret physical presence in New York City to monitor and intimidate dissidents and those critical of its government,” stated Assistant Attorney General Olsen. “The PRC’s actions go far beyond the bounds of acceptable nation-state conduct. We will resolutely defend the freedoms of all those living in our country from the threat of authoritarian repression.”

“The defendants, operating on behalf of the government of the People’s Republic of China, are alleged to have operated an undeclared police station in downtown New York City,” stated FBI Assistant Director-in-Charge Driscoll.  “Upon learning of the FBI’s investigation into the police station, the defendants erased their communications to conceal their activities.  Clandestine police stations operating within our communities are not only illegal but infringe on the United States' freedom - they will not be tolerated.   The FBI is unwavering in our mission to protect the American people and uphold our Constitution; anyone working on behalf of a hostile foreign nation to violate our national security and freedoms will be held accountable.”

As alleged in the complaint, Lu Jianwang and Chen Jinping are charged with conspiring to act as agents of the PRC government as well as obstructing justice by destroying evidence of their communications with an MPS official (the “MPS Official”).  While acting under the direction and control of the MPS Official, the defendants worked together to establish the first known overseas police station in the United States on behalf of the Fuzhou branch of the MPS.  The police station—which closed in the fall of 2022—occupied an entire floor in an office building in Manhattan’s Chinatown.  Lu and Chen helped open and operate the clandestine police station.  None of the participants in the scheme informed the U.S. government that they were helping the PRC government surreptitiously open and operate an undeclared MPS police station on U.S. soil.

Before helping open the police station in early 2022, Lu had a longstanding relationship of trust with PRC law enforcement, including the MPS.  Since 2015, and through the operation of the secret police station, Lu was directed to assist the PRC government’s repressive activities on U.S. soil:

• In 2015, during PRC President Xi Jinping’s visit to the United States, Lu participated in counterprotests in Washington, D.C. against members of a religion that is forbidden under PRC law.  A deputy director of the MPS awarded Lu a plaque for the work he performed on behalf of the PRC government. 
• In 2018, Lu was enlisted in efforts to cause a purported PRC fugitive to return to the PRC.  The victim reported being repeatedly harassed to return to the PRC, including through threats of violence made to the victim and the victim’s family in the United States and in the PRC. 
• In 2022, the MPS Official sought Lu’s assistance in locating an individual living in California who is a pro-democracy activist.  In turn, Lu enlisted the help of another co-conspirator.  Later, when confronted by the FBI about these conversations, Lu denied that they occurred.

In October 2022, the FBI conducted a judicially authorized search of the illegal police station.  In connection with the search, FBI agents interviewed both Lu and Chen and seized their phones.  In reviewing the contents of these phones, FBI agents observed that communications between Lu and Chen, on the one hand, and the MPS Official, on the other, appeared to have been deleted.  In subsequent consensual interviews, Lu and Chen admitted to the FBI that they had deleted their communications with the MPS Official after learning about the ongoing FBI investigation, thus preventing the FBI from learning the full extent of the MPS’s directions for the overseas police station.  

If convicted of conspiring to act as agents of the PRC, the defendants face a maximum sentence of five years in prison.  The obstruction of justice charge carries a maximum sentence of 20 years in prison.

The charges in the complaints are allegations, and the defendants are presumed innocent unless and until proven guilty.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Alexander A. Solomon, and Antoinette N. Rangel are in charge of the prosecution, with assistance from Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section.

The FBI has created a website for victims to report efforts by foreign governments to stalk, intimidate, or assault people in the United States.  If you believe that you are or have been a victim of transnational repression, please visit https://www.fbi.gov/investigate/counterintelligence/transnational-repression.

The Defendants:

Lu Jianwang
Age:  61
Bronx, New York

E.D.N.Y. Docket No.  23-MJ-265

Chen Jinping
Age: 59
Manhattan, New York

E.D.N.Y. Docket No.  23-MJ-265

A complaint was unsealed today in federal court in Brooklyn, New York, charging two defendants in connection with opening and operating an illegal overseas police station, located in lower Manhattan, New York, for a provincial branch of the Ministry of Public Security (MPS) of the People’s Republic of China (PRC). “Harry” Lu Jianwang, 61, of the Bronx, and Chen Jinping, 59, of Manhattan, were arrested earlier this morning at their homes in New York City. Their initial appearances are scheduled this afternoon in Brooklyn before U.S. Magistrate Judge Ramon E. Reyes Jr.

As alleged in the complaint, Lu and Chen are charged with conspiring to act as agents of the PRC government as well as obstructing justice by destroying evidence of their communications with an MPS official. The defendants worked together to establish the first overseas police station in the United States on behalf of the Fuzhou branch of the MPS. The police station – which closed in the fall of 2022 after those operating it became aware of the FBI’s investigation – occupied a floor in an office building in Manhattan’s Chinatown. While acting under the direction and control of an MPS Official, Lu and Chen helped open and operate the clandestine police station. None of the participants in the scheme informed the U.S. government that they were helping the PRC government surreptitiously open and operate an illegal MPS police station on U.S. soil.

“The PRC, through its repressive security apparatus, established a secret physical presence in New York City to monitor and intimidate dissidents and those critical of its government,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The PRC’s actions go far beyond the bounds of acceptable nation-state conduct. We will resolutely defend the freedoms of all those living in our country from the threat of authoritarian repression.”

“This prosecution reveals the Chinese government’s flagrant violation of our nation’s sovereignty by establishing a secret police station in the middle of New York City,” said U.S. Attorney Breon Peace for the Eastern District of New York. “As alleged, the defendants and their co-conspirators were tasked with doing the PRC’s bidding, including helping locate a Chinese dissident living in the United States, and obstructed our investigation by deleting their communications. Such a police station has no place here in New York City – or any American community.”   

“It is simply outrageous that China’s Ministry of Public Security thinks it can get away with establishing a secret, illegal police station on U.S. soil to aid its efforts to export repression and subvert our rule of law,” said Acting Assistant Director Kurt Ronnow of the FBI Counterintelligence Division. “This case serves as a powerful reminder that the People’s Republic of China will stop at nothing to bend people to their will and silence messages they don’t want anyone to hear. The FBI is dedicated to protecting everyone in the United States against efforts to undermine our democratic freedoms, and we’ll hold any state actors – and those who help them – accountable for breaking our laws.”

Before helping to open the police station in early 2022, Lu had a longstanding relationship of trust with PRC law enforcement, including the MPS. Since 2015, and through the operation of the secret police station, Lu was tasked with carrying out various activities, including to assist the PRC government’s repressive activities on U.S. soil:

• In 2015, during PRC President Xi Jinping’s visit to the United States, Lu participated in counterprotests in Washington, D.C,. against members of a religion that is forbidden under PRC law. A deputy director of the MPS awarded Lu a plaque for the work he performed on behalf of the PRC government.
• In 2018, Lu was enlisted in efforts to cause a purported PRC fugitive to return to the PRC. The victim reported being repeatedly harassed to return to the PRC, including through threats of violence made to the victim and the victim’s family in the United States and in the PRC.
• In 2022, the MPS Official sought Lu’s assistance in locating an individual living in California who is a pro-democracy activist. In turn, Lu enlisted the help of another coconspirator. Later, when confronted by the FBI about these conversations, Lu denied that they occurred.

In October 2022, the FBI conducted a judicially authorized search of the illegal police station. In connection with the search, FBI agents interviewed both Lu and Chen and seized their phones. In reviewing the contents of these phones, FBI agents observed that communications between Lu and Chen, on the one hand, and the MPS Official, on the other, appeared to have been deleted. In subsequent consensual interviews, Lu and Chen admitted to the FBI that they had deleted their communications with the MPS Official after learning about the ongoing FBI investigation, thus preventing the FBI from learning the full extent of the MPS’s directions for the overseas police station.

If convicted of conspiring to act as agents of the PRC, the defendants face a maximum sentence of five years in prison. The obstruction of justice charge carries a maximum sentence of 20 years in prison.

The FBI New York Field Office investigated the case.

Assistant U.S. Attorneys Alexander A. Solomon and Antoinette N. Rangel for the Eastern District of New York, and Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.

The FBI has created a website for victims to report efforts by foreign governments to stalk, intimidate, or assault people in the United States. If you believe that you are or have been a victim of transnational repression, please visit: www.fbi.gov/investigate/counterintelligence/transnational-repression.

The charges in the complaint are merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

Today, an amended complaint was unsealed charging a total of 10 defendants, including a former executive of a U.S. telecommunications company (Company-1) who worked in the People’s Republic of China (PRC), six officers of the PRC Ministry of Public Security (MPS), two officials with the Cyberspace Administration of China (CAC), and one other civilian with conspiracy to commit interstate harassment and unlawful conspiracy to transfer means of identification.  All the defendants are believed to reside in the PRC and remain at large.

Carolyn Pokorny, First Assistant United States Attorney for the Eastern District of New York[1]; Matthew G. Olsen, Assistant Attorney General of the Justice Department’s National Security Division; and David Sundberg, Assistant Director-in-Charge, Federal Bureau of Investigation, Washington Field Office (FBI), announced the charges.

“The amended complaint charging a former PRC-based employee of a U.S. telecommunications company illustrates the insider threat faced by U.S. companies operating in the PRC,” stated First Assistant United States Attorney Pokorny, who thanked Company-1 for its cooperation in the government’s investigation.  “As alleged, Julien Jin and his co-conspirators in the Ministry of Public Security and Cyberspace Administration of China weaponized the U.S. telecommunications company he worked for to intimidate and silence dissenters, and enforce PRC law to the detriment of Chinese activists in New York, among other places, who had sought refuge in this country to peacefully express their pro-democracy views.”

“These cases demonstrate the lengths the PRC government will go to silence and harass U.S. persons who exercise their fundamental rights to speak out against PRC oppression, including by unlawfully exploiting a U.S.-based technology company,” stated Assistant Attorney General Olsen.   “These actions violate our laws and are an affront to our democratic values and basic human rights.”

“These cases demonstrate that the Chinese Communist Party, once again, attempted to intimidate, harass, and suppress Chinese dissidents in the United States,” stated FBI Assistant Director-in-Charge Sundberg.  “In the U.S., freedom of speech is a cornerstone of our democracy, and the FBI will work tirelessly to defend everyone's right to speak freely without fear of retribution from the CCP. These complex investigations revealed an MPS-wide effort to repress individuals by using a U.S. communications platform and fake social media accounts to censor political and religious speech.”

As alleged in the amended complaint, ten individuals, including a former PRC-based Company-1 executive, six MPS officers, and two officials with the Cyberspace Administration of China (CAC), are charged with conspiracy to commit interstate harassment and unlawful conspiracy to transfer means of identification.

In December 2020, the Department first announced charges against Julien Jin in connection with his efforts to disrupt a series of meetings on the Company-1 platform held in May and June 2020 commemorating the 1989 Tiananmen Square Massacre.  Julien Jin served as Company-1’s primary liaison with PRC government law enforcement and intelligence services.  In that capacity, he regularly responded to requests from the PRC government to terminate meetings and block users on Company-1’s video communications platform.

As detailed in the original complaint, Jin and others conspired to use Company-1’s U.S. systems to censor the political and religious speech of individuals located in the United States and elsewhere at the direction of the PRC government. For example, Jin and others disrupted meetings held on the Company-1 platform to discuss politically sensitive topics unacceptable to the PRC government – including the Tiananmen Square Massacre. Jin and his co-conspirators fabricated evidence of purported misconduct to cause U.S.-based employees of Company-1 to terminate the meetings.

The allegations in the amended complaint reveal that Jin worked directly with and took orders from defendants at the MPS and the CAC to disrupt meetings on the Company-1 platform and that the co-defendants had targeted U.S.-based dissidents’ speech on Company-1’s platform since 2018.

Starting in 2018, Jin and his co-defendants repeatedly sought to terminate video chat meetings organized by a Chinese dissident residing in New York City who has been a vocal critic of the PRC government and the Chinese Communist party. After the CAC requested that Company-1 terminate the dissident’s meetings on the Company-1 platform, Jin worked to identify all accounts associated with the dissident, caused meetings related to the dissident to be hosted in a “quarantine zone” – that is, on a server with known lags in response time – and later worked to block all accounts associated with the dissident. Similarly, in 2019, Jin collaborated with the MPS and CAC to block accounts seeking to commemorate the Tiananmen Square Massacre.

The charges in the amended complaint are allegations, and the defendants are presumed innocent unless and until proven guilty.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant U.S. Attorneys Alexander A. Solomon, Ian C. Richardson, Nicholas J. Moscow and Jessica K. Weigel of the United States Attorney’s Office for the Eastern District of New York, with Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section are in charge of the prosecution.

The FBI has created a website for victims to report efforts by foreign governments to stalk, intimidate, or assault people in the United States. Please visit: www.fbi.gov/investigate/counterintelligence/transnational-repression.

The Defendants:

JIN XINJIANG (also known as “Julien Jin”)
Age: 42
PEOPLE’S REPUBLIC OF CHINA

CHEN YUANYUAN (陈媛媛)
Age: Unknown
PEOPLE’S REPUBLIC OF CHINA

FU YIBIN (傅一彬)
Age: 39
PEOPLE’S REPUBLIC OF CHINA

HUANG YIWEN (黄奕雯) also known as “Nicole Huang”
Age: 25
PEOPLE’S REPUBLIC OF CHINA

JIN TAO (金涛)
Age: Unknown
PEOPLE’S REPUBLIC OF CHINA

LIU ZHIYANG (刘智洋)
Age: 43
PEOPLE’S REPUBLIC OF CHINA

SHEN ZHENHUA (沈振华)
Age: 41
PEOPLE’S REPUBLIC OF CHINA

SONG GUORONG (宋国荣)
Age: 43
PEOPLE’S REPUBLIC OF CHINA

TIAN XINNING (田心宁)
Age: Unknown
PEOPLE’S REPUBLIC OF CHINA

XU WEI (徐威)
Age: 35
PEOPLE’S REPUBLIC OF CHINA

[1] U.S. Attorney Breon Peace for the Eastern District of New York is recused from and has not participated in this case.

Today, a complaint was unsealed in federal court in Brooklyn charging 34 officers of the national police of the People’s Republic of China (PRC) – the Ministry of Public Security (MPS) – with harassing Chinese nationals residing in the New York metropolitan area and elsewhere in the United States. The defendants allegedly perpetrated transnational repression schemes targeting U.S. residents whose political views and actions are disfavored by the PRC government, such as advocating for democracy in the PRC.  All the defendants are believed to reside in the PRC, and they remain at large.

Breon Peace, United States Attorney for the Eastern District of New York; Matthew G. Olsen, Assistant Attorney General of the Justice Department’s National Security Division; Kurt Ronnow, Acting Assistant Director, Federal Bureau of Investigation, Counterintelligence Division (FBI), and David Sundberg, Assistant Director-in-Charge, FBI, announced the charges.

“As alleged, the Chinese government deploys an elite task force of its national police—the 912 Special Project Working Group—as a troll farm to attack Chinese dissidents in our country for exercising free speech in a manner that the PRC government disfavors, and spread disinformation and propaganda to sow divisions within the United States,” stated United States Attorney Peace.  “I commend the investigative team for comprehensively revealing the insidiousness of a state-directed criminal scheme directed at residents of the United States.”

“These cases demonstrate the lengths the PRC government will go to silence and harass U.S. persons who exercise their fundamental rights to speak out against PRC oppression, including by unlawfully exploiting a U.S.-based technology company,” stated Assistant Attorney General Olsen.  “These actions violate our laws and are an affront to our democratic values and basic human rights.”

“China’s Ministry of Public Security used operatives to target people of Chinese descent who had the courage to speak out against the Chinese Communist Party – in one case by covertly spreading propaganda to undermine confidence in our democratic processes and, in another, by suppressing U.S. video conferencing users’ free speech,” stated FBI Acting Assistant Director Ronnow.  “We aren’t going to tolerate CCP repression – its efforts to threaten, harass, and intimidate people – here in the United States. The FBI will continue to confront the Chinese government’s efforts to violate our laws and repress the rights and freedoms of people in our country.”

“These cases demonstrate that the Chinese Communist Party, once again, attempted to intimidate, harass, and suppress Chinese dissidents in the United States,” stated FBI Assistant Director-in-Charge Sundberg.  “In the U.S., the freedom of speech is a cornerstone of our democracy, and the FBI will work tirelessly to defend everyone's right to speak freely without fear of retribution from the CCP. These complex investigations revealed an MPS-wide effort to repress individuals by using the U.S. communications platform and fake social media accounts to censor political and religious speech.”

As alleged, the officers are or were assigned to a task force called the “912 Special Project Working Group” (the Group) and worked out of an MPS facility in Beijing.  The purpose of the Group is to influence and shape public perceptions of the PRC government, the CCP, and its leaders in the United States and around the world.  The Group carries out this mission by using a host of accounts created under false names on multiple social media platforms to promote narratives that portray the PRC government and the Chinese Communist Party (CCP) in a favorable light, while criticizing and attacking their perceived adversaries, including the United States, and Chinese pro-democracy activists located throughout the world, including in the United States.  As alleged, the defendants carried out this mission in part through a campaign of threats, harassment and intimidation directed at critics of the PRC government and the CCP in the United States and around the world.

The complaint alleges that members of the Group created thousands of fake online personas on social media sites, including Twitter, to target Chinese democracy activists and critics of the CCP through online harassment and threats.  These online personas also disseminate official PRC government propaganda and narratives to counter and overwhelm the critical speech of the Chinese activists.  The topics of the propaganda and official narratives are directed by MPS headquarters, and have included the advantages of the PRC’s CCP-dominated political system over democracy, U.S. domestic and foreign policy, human rights issues in Hong Kong and Xinjiang Province, the Russian invasion of Ukraine, civil unrest following the murder of George Floyd and the COVID-19 pandemic.

As further alleged, the investigation has obtained a policy guide issued to new Group members for detailing how to create and maintain fake social media accounts through temporary email addresses; posting official PRC government content; and interacting with other online users to avoid the appearance that the Group accounts are “flooding” a given social media platform. 

Some of these online personas purport to be U.S. persons, giving U.S. users of social media platforms the false impression that individuals located in the United States advocate positions and policies favored by the PRC government and the CCP.  The Group tracks the performance of the MPS officers assigned to the Group and rewards Group members who successfully operate multiple online personas without detection by the social media companies who host the platforms or by other users of the platforms. 

The investigation has also uncovered official MPS directions to Group members to compose articles and videos based on certain themes targeting, for example, the activities of Chinese pro-democracy activists located abroad or the policies of the U.S. government.  As alleged, the Group executed a standing order from MPS headquarters to harass a well-known critic of the PRC government and the CCP (Victim-1) by using a host of Group-controlled social media accounts to, among other things, make death threats and demand that U.S. authorities arrest Victim-1.

In addition, Group members took repeated affirmative actions to have Chinese dissidents and their meetings interfered with on the platform of Company-1. For example, Group members disrupted a pro-democracy activist’s efforts to commemorate the Tiananmen Square Massacre through a videoconference meeting by posting threats against the participants through the platform’s chat function.  In another Company-1 videoconference on the topic of countering communism organized by a Chinese pro-democracy activist, Group members flooded the videoconference and drowned out the meeting with loud music, vulgar screams and threats directed at the pro-democracy participants. 

The charges in the complaint are allegations, and the defendants are presumed innocent unless and until proven guilty.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Alexander A. Solomon, Ian C. Richardson, Nicholas J. Moscow, and Jessica K. Weigel of the Eastern District of New York with assistance from Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section, are in charge of the prosecution.

The FBI has created a website for victims to report efforts by foreign governments to stalk, intimidate, or assault people in the United States.  If you believe that you are or have been a victim of transnational repression, please visit https://www.fbi.gov/investigate/counterintelligence/transnational-repression.

The Defendants:

BAI YUNPENG (白云鹏)
Age: 31

CHEN ZHICHEN (陈之琛)
Age: 26

GAO CAINAN (高彩楠)

GAO HONGTING (高宏亭)
Age: 35

HU XIAOHUI (呼啸慧)
Age: 32

HUANG CHUNHUI (黄春晖)
Age: 37

JIN YI (金乙)
Age: 32

JU QIANG (居强)
Age: 32

LI BOLUN (李博伦)
Age: 42

LI XUAN (李轩)
Age: 31

LI XUEYANG (李雪阳)
Age: 31

LI ZHEFENG (李哲峰)

LIANG SHUANG (梁爽)
Age: 39

LIN YUQIONG (林玉琼) (also known as “Lin Huishan (林慧姗),”)
Age: 35

LIU ZHAOXI (刘朝夕)
Age: 35

MIAO SHIHUI (苗世辉)
Age: 34

SHI LIANGTIAN (史粮田)
Age: 29

SONG YANG (I) (宋杨)
Age: 43

SONG YANG (II) (宋阳)

TAN JINYAN (覃金燕)
Age: 43

WANG CHUNJIE (王春杰)

WANG SHIPENG (王士朋)
Age: 37

WEN JIANXUN (温建勋)

XI SHUO (西硕)
Age: 34

XI YUE (袭岳) (also known as “Qi Dong (齐栋),”)
Age: 36

XU YANAN (徐亚楠)
Age: 32 or 33

XU ZHEN (徐震)
Age: 29

XUE WENFENG (薛文峰) (also known as “Feng Xu (徐丰),”)
Age: 41

YANG DALIN (杨大林)
Age: 34

YANG MIAO (杨淼)
Age: 30 or 31

YIN YINA (尹贻娜)
Age: 33

YU MIAO (余苗)
Age: 38 or 39

ZHANG DI (张迪)

ZHOU GUOQIANG (周国强)
Age: 52

Earlier today, at the federal courthouse in Brooklyn, Anthony Zottola, Sr. and Himen Ross were sentenced by United States District Judge Hector Gonzalez to mandatory life imprisonment plus 112 years for their roles in the October 4, 2018 killing of 71-year-old Sylvester Zottola, the father of Anthony Zottola, Sr.  The additional years represent 41 years for Salvatore Zottola’s age when he was shot and 71 years for Sylvester Zottola’s age when he was killed.  In October 2022, following a six-week trial, a federal jury found the defendants guilty of murder-for-hire, conspiracy to commit murder-for-hire, and firearms offenses.

Breon Peace, United States Attorney for the Eastern District of New York and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the sentence.

“Over the course of more than a year, the elderly victim, Sylvester Zottola, was stalked, beaten, and stabbed, never knowing who orchestrated the attacks.  It was his own son, who was so determined to control the family’s lucrative real estate business, that he hired a gang of hit men to murder his father,” stated United States Attorney Peace.  “For sentencing his father to a violent death, Anthony Zottola and his co-defendant will spend the rest of their lives in prison.  I commend our prosecutors, the FBI Special Agents and NYPD detectives for their tremendous investigative work solving this cold-blooded crime and bringing the defendants to justice.”

“Today’s sentence justly punishes Mr. Zottola and Mr. Ross to life imprisonment for their roles in the heartless murder of Sylvester Zottola.  The FBI and the NYPD worked relentlessly to investigate this case and ensure the defendants paid the price for their senseless actions.  Today’s result is a direct reflection of their effort, as well as that of the skilled and dedicated professionals from the Eastern District of New York who prosecuted the case,” stated Assistant Director-in-Charge Driscoll.

Sylvester Zottola controlled a residential real estate portfolio consisting of multi-family rental properties that was valued at tens of millions of dollars at the time of his death. Defendant Anthony Zottola helped manage his father Sylvester Zottola’s real estate business by maintaining the properties, collecting rent, and helping to run A&S Maintenance, a company that was jointly owned by Anthony and his brother Salvatore Zottola.  Anthony Zottola plotted to kill his father and his brother so that he could take control of the family business.

As proven at trial, Anthony Zottola hired co-conspirator Bushawn Shelton to kill his father and his brother, Salvatore.  Shelton recruited others to commit the murders, and together they engaged in a year-long conspiracy to carry out a series of violent attacks against Sylvester and Salvatore Zottola.  Among other attempts, on November 26, 2017, Sylvester Zottola was menaced at gunpoint by a masked individual.  On December 27, 2017, three men invaded Sylvester Zottola’s residence, struck him on the head with a gun, stabbed him multiple times, and slashed his throat.  Zottola survived the attack.  Then on July 11, 2018, a gunman shot Salvatore Zottola in the head, chest, and hand in front of his residence.  Zottola survived the shooting.

The conspirators placed a tracking device on Sylvester Zottola’s car, allowing Ross to track him to a McDonald’s restaurant on Webster Avenue in the Bronx where Ross fatally shot the victim multiple times while the victim waited to pick up a cup of coffee in the drive-through.  Ross and Shelton exchanged texts immediately after the hit, and then Shelton and Anthony Zottola exchanged texts, in which Anthony was informed that his father had just been murdered.   Shelton texted Anthony Zottola: “Can we party today or tomorrow?”  Anthony Zottola assured Shelton that he would have Shelton’s payment for carrying out the murder ready soon: “I have the cases of water in a day or so.”  A photograph later recovered from one of Shelton’s cellular telephones shows a cardboard box of bottled water, as well as over $200,000 in banded currency. 

Shelton pleaded guilty in August 2022 to murder-for-hire conspiracy and murder-for-hire.  He is awaiting sentencing.  Co-defendants Herman Blanco, Arthur Codner, Jason Cummings, and Branden Peterson previously pleaded guilty and were sentenced to 240 months’ imprisonment, 228 months’ imprisonment, 204 months’ imprisonment, and 192 months’ imprisonment, respectively.

The government’s case is being handled by the Office’s Organized Crime and Gangs Section.  Assistant United States Attorneys Kayla C. Bensing, Emily J. Dean, Devon Lash, and Andrew M. Roddin are in charge of the prosecution, with the assistance of paralegal specialist Brittany Wissel.  Assistant United States Attorney Brian Morris assisted with forfeiture matters.

The Defendants:

HIMEN ROSS (also known as “Ace” and “A Boggie”)
Age:  37
Bronx, New York

ANTHONY ZOTTOLA, SR.
Age:  45
Larchmont, New York

Defendants Who Previously Pleaded Guilty:

HERMAN BLANCO (also known as “Taliban” and “L”)
Age:  38
Bronx, New York

ARTHUR CODNER (also known as “Feddi,” “Feddi Bossgod,” and “Scary”)
Age:  34
New Hampton, New York

JASON CUMMINGS (also known as “The Hat” and “Stacks”)
Age:  34
Brooklyn, New York

KALIK MCFARLANE (also known as “Dottkom” and “Dot”)
Age:  40
Brooklyn, New York

BUSHAWN SHELTON (also known as “Shelz”)
Age:  38
Brooklyn, New York

JULIAN SNIPE (also known as “Biz” and “Bizzzy”)
Age:  37  
Bronx, New York

E.D.N.Y. Docket No. 18-CR-609 (S-3) (HG)

Earlier today, in federal court in Central Islip, a 59-count indictment was unsealed charging eight members and associates of a violent subset of the Crips street gang known as the Insane Crip Gang or “ICG,” with various offenses including racketeering, conspiracy to commit murder, attempted murder, and firearms offenses, as well as fraud schemes. 

The indictment charges seven defendants with racketeering and conspiracy to commit murder; six defendants are charged with multiple attempted murders, assaults, and related firearms offenses; four defendants are charged in connection with their respective roles in three murders committed in Nassau County between 2016 and 2021.  Six defendants were taken into custody this morning in New York and will be arraigned this afternoon before United States Magistrate Judge Arlene R. Lindsay.  A seventh defendant, Jonathan Gonzalez, was arrested in North Carolina and will be arraigned in federal court in Winston-Salem this afternoon. One additional defendant remains at large.

Breon Peace, United States Attorney for the Eastern District of New York; Anne T. Donnelly, District Attorney, Nassau County District Attorney’s Office (NCDA); Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the arrests and indictment.

“As alleged, the defendants participated in a staggering amount of extreme violence that shattered lives, maimed rivals and endangered countless innocent bystanders on Long Island.  As of today, after three brutal murders, over a dozen shootings, hundreds of thousands of dollars of fraud, their chokehold of fear and violence over our community is finally over,” stated United States Attorney Peace.  “This Office and our law enforcement partners will continue working tirelessly to protect our communities from gang violence and fraud.” 

Mr. Peace expressed his appreciation to the FBI’s Long Island Gang Task Force and the Nassau County Police Department’s Homicide Squad and Gang Investigation Squad for their tireless efforts to bring these violent offenders to justice.  Mr. Peace also thanked the Bureau of Alcohol, Tobacco, Firearms and Explosives and the United States Department of Labor, Office of the Inspector General for their efforts in assisting the investigation.

NCDA Donnelly stated: “This Crips faction has wreaked havoc in the Hempstead area for nearly a decade, killing perceived rivals and innocent bystanders alike.  In just two years, Akeem Chambers allegedly participated in two homicides and more than a dozen shootings. This gang celebrated its violence on social media, using that same social media as a recruiting tool, and financed its activities by systematically stealing from government benefit programs designed to aid the unemployed and those adversely impacted by COVID.  Dismantling gang networks is incredibly difficult work and I thank my staff and our partners at the U.S. Attorney’s Office, the FBI and NCPD for the collaborative spirit used during this year-long investigation.”

“The defendants allegedly engaged in multiple acts of gang violence, bringing undue fear and harm to the streets of our neighborhoods,” stated FBI Assistant Director-in-Charge Driscoll.  “Gang violence menacing communities is something no one should have to endure; people have the right to feel safe where they live.  Today’s indictment serves as a reminder that the FBI’s Long Island Gang Task Force is persistent in its efforts to keep the neighborhoods of Long Island safe and free of violent crime.”           

“This multi-agency law enforcement investigation has led to the arrest of numerous Crips gang members for homicides, shootings and racketeering.  These defendants have terrorized our communities in Nassau County and now our residents can show a sign of relief that these criminals will no longer be able to inflict harm in our neighborhoods.  I would like to congratulate all of the dedicated law enforcement professionals for their hard work and diligence during the course of this investigation. A job well done by all,” stated NCPD Commissioner Ryder.

As alleged in the indictment and court filings, the defendants engaged in a pattern of gang violence which resulted in dozens of gang-related shootings, as well as multiple murders in Nassau County between 2015 and the present.  The defendants, as part of their membership and association with the ICG, together with others, committed dozens of violent crimes in and around Hempstead, New York, including shootings, assaults, murders, robberies, and kidnappings. 

Akeem Chambers is charged with participating in over a dozen shootings and two homicides between 2020 and 2022, including the August 1, 2020, murder of 28-year-old Thiasia Williams in Hempstead, New York.  In that incident, Chambers, along with Rob Pardo and another associate of the ICG learned of a party on Martin Luther King Drive in Hempstead that was going to be attended by members of the rival D Block Bloods.  Chambers and the others decided to commit a drive-by shooting of the party.  Jonathan Gonzalez was enlisted to be the driver for the shooting.  Chambers and the other associate, each armed with a 9mm firearm, planned to shoot the rivals, while Rob Pardo remained in the area to assist their flight from the scene of the crime. As Chambers and the others drove down Martin Luther King Drive shortly after midnight on August 1, 2020, they fired at least eight times at party goers, striking and killing Thiasia Williams, an innocent bystander who was sitting in her car outside the party to pick up a friend.  Another innocent female bystander was also struck by gunfire and suffered a non-life-threatening gunshot wound to her leg. 

Chambers was also charged with his role in the 2021 robbery and murder of James Diamond in Freeport, New York.  In that incident, Chambers, together with others, planned to rob Diamond of a large sum of cash.  Chambers and another individual, both armed with firearms, approached the victim and another man, and attempted to rob them at gunpoint. During the course of the robbery, Chambers’ coconspirator shot and killed Diamond.  Chambers and several accomplices were indicted and arrested for this murder by Nassau County authorities. 

Notably, Jalen Rogers, who is charged with over a half-dozen violent crimes ranging from attempted murder and assault to attempted kidnapping, committed at least three of those violent crimes while he was wearing a court-ordered GPS ankle monitor imposed as a condition of supervision.  In each of those shootings, records for Rogers’ ankle monitor place him at the scene of the crime at the time of the shootings.

Jonathan Vazquez is charged with the November 19, 2016 murder of 19 year-old Joecephus Vanable in Hempstead, New York.  Vanable, an individual who was repeatedly targeted by the ICG in Hempstead, was shot and killed on a Hempstead street by Vazquez.  In the wake of Vanable’s murder, members and associates of the ICG took to social media to brag about the killing.  In addition, the gang boasted about the killing in rap videos and graffiti around Hempstead.  In addition to violence directed at rivals, Vazquez is also charged with attempted murder for opening fire on two Nassau County Police Officers who were attempting to conduct a stop of his vehicle.  Vazquez is also charged with the gunpoint robbery of a woman in Levittown, New York and several other gang-related shootings. 

To finance their criminal conduct and enrich themselves, the defendants and other ICG members and associates engaged in a wide array of fraud schemes, including defrauding state unemployment systems, the federal Covid-19 Paycheck Protection Program (PPP), various forms of identity theft and bank fraud.  The frauds perpetrated by ICG members and associates netted the gang’s members and associates hundreds of thousands of dollars since early 2020.  For example, the ICG stole approximately $200,000 from the State of California by submitting fraudulent unemployment benefits applications.  In addition to their fraud schemes, the defendants regularly purchased, maintained and sold a wide array of firearms.  The investigation linked a total of 26 guns to the defendants and their associates; 14 of the 26 guns were linked to multiple shootings committed by the defendants or other ICG members. 

Law enforcement executed multiple search warrants this morning and recovered a 9mm, fully-loaded semiautomatic pistol and a .45 caliber semiautomatic pistol with an extended magazine and additional ammunition.

The charges in the indictment are allegations, and the defendants are presumed to be innocent unless and until proven guilty.  If convicted, Chambers, Dindyal, Gonzalez, Lesly Pardo, Rogers, and Vazquez face up to a maximum sentence of life imprisonment.  Pardo faces up to 20 years’ imprisonment.

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

The government’s case is being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorneys Nicole Boeckmann, Michael Maffei and Samantha Alessi are in charge of the prosecution, with the assistance of Paralegal Specialist Kerry Ucci   and Automated Litigation Specialist Michael Compitello.

This prosecution is the product of investigations led by the FBI’s Long Island Gang Task Force, which is comprised of agents and officers of the FBI, Suffolk County Police Department, NCPD, Nassau County Sheriff’s Department, Suffolk County Probation Office, Suffolk County Sheriff’s Office, New York State Police, Hempstead Police Department, Rockville Centre Police Department, and the NCDA. 

The Defendants:

Akeem Chambers, also known as “Luca”
Age: 21
Uniondale, New York

JAHZIAH DINDYAL, also known as “JZ” and “Nine”
Age: 19
Hempstead, New York

Jonathan Gonzalez, also known as “Grizz”
Age: 23
Greensboro, North Carolina   

LESLY PARDO, also known as “Chop” and “Chopavelli”
Age: 26
Mount Sinai, New York

ROB PARDO, also known as “Static”
Age: 25
Mount Sinai, New York

JALEN ROGERS, also known as “Drama” and “Moonie”
Age: 20
Hempstead, New York

JONATHAN VAZQUEZ, also known as “Chulo” and “Clutch”
Age: 21
Hempstead, New York

E.D.N.Y. Docket No. 23-CR-157 (JMA)

Today, in federal court in Brooklyn, Rashawn Russell, a former investment banker and registered broker, will be arraigned on an indictment charging him with perpetrating a cryptocurrency investment fraud scheme.  Russell was arrested yesterday in Brooklyn and will be arraigned this afternoon before United States Magistrate Judge Ramon E. Reyes, Jr.

Breon Peace, United States Attorney for the Eastern District of New York; Kenneth A. Polite, Jr., Assistant Attorney General of the Justice Department’s Criminal Division; and Eric Shen, Inspector-in-Charge, U.S. Postal Inspection Service, Criminal Investigations Group (USPIS), announced the arrest and indictment.

“As alleged, Russell turned the demand for cryptocurrency investments into a scheme to defraud numerous investors in order to fund his lifestyle,” stated United States Attorney Peace.  “This Office will continue to aggressively pursue fraudsters perpetrating these schemes against investors in the digital asset markets.”   

As alleged in court documents, Russell engaged in a scheme to defraud multiple investors by falsely promising that their money would be used for cryptocurrency investments that would generate large—and sometimes “guaranteed”—returns.  In truth, much of the investors’ money was misappropriated by Russell and used for his personal benefit, to gamble, and to repay other investors.  Russell formerly worked as an investment banker and was a registered broker with the Financial Industry Regulatory Authority.

As part of the scheme, Russell lied to investors about the status of their investments and fabricated multiple documents that he sent to investors.  As alleged, Russell sent one investor an altered image of a bank balance displayed on a bank website that purported to show Russell’s substantial liquidity.  When another investor sought to recoup their investment, Russell never sent the money and instead sent the investor a fabricated bank wire transfer confirmation that purported to show the return of the investor’s money.   

The charge in the indictment is an allegation and Russell is presumed innocent until proven guilty beyond a reasonable doubt.  If convicted, he faces a maximum of 20 years in prison.

If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at victimassistance.fraud@usdoj.gov.

The government’s case is being handled by Assistant United States Attorney Drew Rolle from the Business and Securities Fraud Section of the United States Attorney’s Office for the Eastern District of New York and.  Assistant Chief Scott Armstrong and Trial Attorney Kyle Crawford from of the Department of Justice’s Criminal Division, Fraud Section.

The Defendant:

RASHAWN RUSSELL
Age:  27
Brooklyn, New York

E.D.N.Y. Docket No.: 23-CR-152 (HG)

A former investment banker, who was a registered broker with the Financial Industry Regulatory Authority, was arrested yesterday in Brooklyn, New York, on criminal charges related to his alleged role in operating a cryptocurrency investment fraud scheme.

According to court documents, Rashawn Russell, 27, of Brooklyn, New York, allegedly engaged in a scheme to defraud multiple investors by inducing them to invest with him based on false promises that, among other things, he would use their funds for cryptocurrency investments and that the investors would earn large – and sometimes guaranteed – returns from those investments. Russell allegedly misappropriated much of the investors’ assets and used them for his personal benefit, to gamble, and to repay other investors.

In addition, the indictment alleges that Russell repeatedly failed to repay investors’ principal investments and failed to provide investors with promised rates of return. After certain investors requested to be repaid their investments, Russell also allegedly falsely represented that he had wired them money.

Russell is charged with one count of wire fraud. If convicted, he faces a maximum penalty of 20 years in prison.

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, and Inspector in Charge Eric Shen of the U.S. Postal Inspection Service (USPIS) Criminal Investigations Group made the announcement.

The USPIS is investigating the case.

Trial Attorney Kyle Crawford and Assistant Chief Scott Armstrong of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Drew Rolle for the Eastern District of New York are prosecuting the case.

If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at victimassistance.fraud@usdoj.gov.

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

Christian Brazoban, also known as “Bison,” will be arraigned this afternoon at the federal courthouse in Central Islip on an indictment charging him with distributing child pornography to a minor and sending death threats to a minor.  Brazoban was arrested on March 15, 2023 on a complaint charging him with distributing child pornography.  He was indicted on March 29, 2023 and has been detained pending trial.  Today’s arraignment was be held before United States District Judge Joan M. Azrack.  

Breon Peace, United States Attorney for the Eastern District of New York, Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the indictment.

“As alleged, the defendant traumatized a child by sending her graphic images of child sexual abuse and then went even further in threatening to kill the child after she told him to stop,” stated United States Attorney Peace.  “The defendant’s actions demonstrate the dangers of sextortion directed to children on the Internet.  I urge parents and caregivers to talk to their children about the dangers of communicating online with strangers and anyone who may exploit them.” 

“HSI New York works tirelessly to protect children from sexual predators that lurk online behind the veil of social media platforms,” said Special Agent in Charge of Homeland Security Investigations New York, Ivan J. Arvelo. “Christian Brazoban is accused of despicable criminal acts that have victimized our most innocent, robbing them of their childhoods and interfering with their emotional and psychological development. HSI will do everything in its power and use every tool at its disposal to track down these heinous criminals and ensure that they are brought to justice. We are appealing to anyone who has awareness about this defendant’s alleged activities or past contacts to come forward. Please reach out to the toll-free Tip Line at 1-866-347-2423 or complete the online tip form. Both are staffed around the clock.”

As set forth in court filings, between approximately March 2021 and March 2023, the victim, a minor who resided in Nassau County, engaged in online communications, including video chats, with Brazoban.  On March 3, 2023, Brazoban sent online messages to the victim that contained numerous images of child pornography, including images which depicted the sexual abuse of children between the ages of 3 and 11.  When the victim told Brazoban to stop, he sent her additional online messages threatening to kill her and her family.  For example, Brazoban wrote: “lil girl shot dead on Long Island”; “I’m thinkin I tie you and just beat you to death with a mallet.” 

On March 15, 2023, HSI agents and NCPD officers executed a search warrant at the defendant’s Bronx residence and recovered a cellphone containing images of child pornography and threats that the defendant sent to the minor victim.   

Anyone with information about sexual exploitation by Brazoban is asked to contact HSI at https://www.ice.gov/tipline or 1-866-DHS-2-ICE (866-347-2423).

The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.

If convicted of the charges, Brazoban faces a mandatory minimum term of 5 years’ imprisonment and up to 20 years in prison.

The government’s case is being prosecuted by Assistant United States Attorney Bradley T. King of the Long Island Criminal Division.

The Defendant:

CHRISTIAN BRAZOBAN, also known as “Bison”
Age:  24
Bronx, New York

E.D.N.Y. Docket No. 23-CR-138 (JMA)

An eighteen-count indictment was unsealed today in Brooklyn charging Andrey Shevlyakov, an Estonian national, with conspiracy and other charges related to procuring U.S.-made electronics on behalf of the Russian government and military.

Shevlyakov was arrested on March 28, 2023 in Estonia.  As alleged in the indictment and other court filings, at the time of his arrest, the Estonian seized inbound shipments addressed to Shevlyakov’s front companies, including one that contained approximately 130 kilograms (286 pounds) of radio equipment.

Breon Peace, United States Attorney for the Eastern District of New York, James Smith, Special Agent in Charge, FBI Houston and Trey McClish, Special Agent in Charge of the U.S. Department of Commerce, Bureau of Industry and Security – Office of Export Enforcement’s Dallas Field Office announced the charges.

“As alleged, for more than a decade, the defendant has been acquiring sensitive electronics from U.S. manufacturers on behalf of the Russian government, in defiance of U.S. export controls,” stated United States Attorney Peace.  “Our Office will not relent in its efforts to stop those who unlawfully procure U.S. technology for Russia or any other sanctioned countries, entities or individuals.”

Mr. Peace expressed his appreciation for Task Force KleptoCapture, the Department of Justice’s Office of International Affairs, and the Estonian Internal Security Service (KAPO) for their valuable assistance.

“For years, Mr. Shevlyakov’s elaborate web of deceit allowed him to allegedly procure sensitive American-made electronics on behalf of the Russian military,” said FBI Houston Special Agent in Charge James Smith. “His illegal acquisitions of sophisticated U.S. technology endangered citizens in both Ukraine and the United States. FBI Houston will continue to work with our valued international partners, especially the Estonian Internal Security Service (KAPO), to investigate and disrupt actors who illicitly support the unprovoked invasion of Ukraine by Russian armed forces.”

“As these actions have proven, BIS will continue to hunt down and bring to justice those who harm our national security and illicitly supply the Russian regime,” said Special Agent in Charge McClish.       

As alleged in the indictment and other court filings, Shevlyakov procured sensitive electronics from U.S. manufacturers on behalf of Russian end-users, including defense contractors and other Russian government agencies.  Most of these items would have been unavailable to Russian end-users if ordered directly for shipment to Russia. 

The items that Shevlyakov purchased included low-noise pre-scalers and synthesizers (used to conduct high-frequency communications) and analog-to-digital converters, which can be found in most defense systems that must respond to environmental conditions, including software-defined radio, avionics, missiles, and electronic warfare systems.  Shevlyakov’s communications with Russia-based customers included explicit discussions of whether there were “military” goods in certain orders.

Shevlyakov also attempted to acquire computer hacking tools.  In May 2020, one of Shevlyakov’s front companies exchanged messages with a Russia-based individual about acquiring a licensed copy of Metasploit Pro, a U.S.-made software tool that is used to penetrate computer networks.  Metasploit is intended for use in assessing network vulnerabilities, but is also widely used by computer hackers.  A license to use Metasploit Pro costs approximately $15,000.  In the email, the individual asked Shevlyakov’s front company to acquire Metasploit and detailed a history of prior failed attempts to acquire the software through third parties in countries outside Russia.  The individual added that the software was “dual use” and that accordingly, “sales to Russia are virtually impossible.”  Thus, the individual said, “we cannot reveal the end user, nor can we identify ourselves.”  On or about June 1, 2020, the front company email address wrote back, listing prices for different versions of Metasploit Pro. 

To deliver his goods, Shevlyakov ran an intricate logistics operation involving frequent smuggling trips across the Russian border by himself and others.  Shevlyakov engaged in this conduct despite being listed on a Department of Commerce-maintained list (the “Entity List”) that designates individuals and companies who are barred from exporting items from the United States without a license.  Shevlyakov was added to the Entity List in 2012, after the U.S. government identified him as a procurement agent charged with pursuing U.S. technology for Russian government and military end users. Shevlyakov used false names and a web of front companies to evade the Entity List’s restrictions.

If convicted, the defendant faces a maximum of 20 years’ imprisonment.  The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorney Alexander Mindlin is in charge of the prosecution, along with Trial Attorney Matthew Anzaldi of the National Security Division’s Counterintelligence and Export Control Section, with assistance from Litigation Analyst Mary Clare McMahon.  The Office thanks the Estonian authorities for their valuable support.

The Defendant:

ANDREY SHEVLYAKOV
Age: 45
Tallinn, Estonia

E.D.N.Y. Docket No. 22-CR-490 (RPK)

Earlier today, at the federal courthouse in Central Islip, Jordan Velez was sentenced by United States District Judge Joanna Seybert to 14 years’ imprisonment for his organizing role in the armed robberies of 10 pharmacies.  Velez pleaded guilty to a Hobbs Act robbery conspiracy and firearm charges in October 2021.

Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the sentence.

“Jordan Velez recruited and directed a crew of robbers that put our citizens in grave danger when they entered numerous pharmacies wielding their semi-automatic weapons.  They stole drugs and money and terrorized many victims.” stated United States Attorney Peace.  “Today, Velez has been justly punished for these violent crimes.”  

“Velez and his coconspirators brought violence and fear to multiple communities throughout the New York metropolitan area when they used semi-automatic weapons to rob pharmacies of money and prescription pills.  As the sentence today shows, the FBI will ensure anyone willing to commit crimes of this nature faces consequences in the criminal justice system,” stated FBI Assistant Director-in-Charge Driscoll.

“Defendant Jordan Velez and his associates committed numerous pharmaceutical robberies from Nassau County to New Jersey while they were armed placing the public in danger.  I would like to thank all of the dedicated law enforcement professionals from numerous agencies for a job well done.  Hopefully Velez will receive an appropriate punishment upon sentencing which will keep him incarcerated so he is not a threat to the public,” said NCPD Commissioner Ryder.

Between February 2018 and May 2019, Velez participated in 10 separate armed robberies of pharmacies.  During each robbery, acting on Velez’s orders, Velez’s co-conspirators donned masks and entered pharmacies in Long Island, Queens and New Jersey armed with semi-automatic weapons.  They demanded prescription pills and money from the pharmacy’s employees.  During a robbery that took place in April 2018, Velez’s crew duct-taped a victim inside a CVS pharmacy in Port Jefferson Station, New York.  Velez and his crew stole more than $200,000 worth of prescription pills and money during their robbery spree.  Co-defendants Ricky Torres and Steven Valenzuela previously pleaded guilty and were sentenced by Judge Seybert to 102 months’ imprisonment and 84 months’ imprisonment, respectively.

The Robberies

• February 17, 2018, CVS in Valley Stream, Long Island
• February 19, 2018, Walgreens in Bethpage, Long Island
• February 23, 2018, Walgreens in Linden, New Jersey
• March 7, 2018, Walgreens in South Ozone Park, Queens
• March 11, 2018, CVS in Queens Village, Queens
• March 15, 2018, CVS in Glen Cove, Long Island
• March 21, 2018, CVS in Rahway, New Jersey
• March 30, 2018, CVS in East Orange, New Jersey
• April 3, 2018, CVS in Port Jefferson Station, Long Island
• May 22, 2018, Walgreens in South Ozone Park, Queens

The government’s case is being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorney Mark E. Misorek is in charge of the prosecution.

The Defendant:

JORDAN VELEZ
Age:  24
Flushing, Queens

E.D.N.Y. Docket No. 18-CR-265 (S-2) (JS)

Douglass Mackey, also known as “Ricky Vaughn,” was convicted today by a federal jury in Brooklyn of the charge of Conspiracy Against Rights stemming from his scheme to deprive individuals of their constitutional right to vote.  The verdict followed a one-week trial before United States District Judge Ann M. Donnelly.  When sentenced, Mackey faces a maximum of 10 years in prison.

Breon Peace, United States Attorney for the Eastern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict.

“Mackey has been found guilty by a jury of his peers of attempting to deprive individuals from exercising their sacred right to vote for the candidate of their choice in the 2016 Presidential Election,” stated United States Attorney Peace.  “Today’s verdict proves that the defendant’s fraudulent actions crossed a line into criminality and flatly rejects his cynical attempt to use the constitutional right of free speech as a shield for his scheme to subvert the ballot box and suppress the vote.”

In 2016, Mackey established an audience on Twitter with approximately 58,000 followers.  A February 2016 analysis by the MIT Media Lab ranked Mackey as the 107th most important influencer of the then-upcoming Presidential Election.

As proven at trial, between September 2016 and November 2016, Mackey conspired with other influential Twitter users and with members of private online groups to use social media platforms, including Twitter, to disseminate fraudulent messages that encouraged supporters of presidential candidate Hillary Clinton to “vote” via text message or social media which, in reality, was legally invalid.  For example, on November 1, 2016, in or around the same time that Mackey was sending tweets suggesting the importance of limiting “black turnout,” the defendant tweeted an image depicting an African American woman standing in front of an “African Americans for Hillary” sign. The ad stated: “Avoid the Line. Vote from Home,” “Text ‘Hillary’ to 59925,” and “Vote for Hillary and be a part of history.” The fine print at the bottom of the deceptive image stated: “Must be 18 or older to vote. One vote per person. Must be a legal citizen of the United States. Voting by text not available in Guam, Puerto Rico, Alaska or Hawaii. Paid for by Hillary For President 2016.”  The tweet included the typed hashtag “#ImWithHer,” a slogan frequently used by Hillary Clinton.  On or about and before Election Day 2016, at least 4,900 unique telephone numbers texted “Hillary” or some derivative to the 59925 text number, which had been used in multiple deceptive campaign images tweeted by Mackey and his co-conspirators.

Several hours after tweeting the first image, Mackey tweeted an image depicting a woman seated at a conference room typing a message on her cell phone.  This deceptive image was written in Spanish and mimicked a font used by the Clinton campaign in authentic ads.  The image also included a copy of the Clinton campaign’s logo and the “ImWithHer” hashtag. 

The government’s case is being handled by the Office’s Public Integrity Section.  Assistant United States Attorneys Erik D. Paulsen and F. Turner Buford of the Office’s Public Integrity Section, and Trial Attorney William J. Gullotta of the Department of Justice’s Public Integrity Section are in charge of the prosecution, with the assistance of Paralegal Specialist Shivani Parshad.

The Defendant:

DOUGLASS MACKEY
Age:  33
West Palm Beach, Florida

E.D.N.Y. Docket No. 21-CR-80 (AMD)

Jonathan Deutsch was sentenced today in federal court in Brooklyn by United States District Judge Frederic Block to 20 years in prison for four counts of sexual exploitation of a minor and six counts of attempted sexual exploitation of a minor.  Deutsch is employed as a teacher by the New York City Department of Education, and immediately prior to his arrest, he was teaching at Leon M. Goldstein High School for the Sciences in Brooklyn.  The defendant was convicted in June 2022 following a one-week trial.

Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the sentence.

“The defendant will be incarcerated for many years and deservedly so because he is the most dangerous type of predator, a teacher who enjoys victimizing children.  Instead of using his training and skills as a teacher to enrich children, he used those skills to gain the trust of minors in order to sexually exploit them,” stated United States Attorney Peace.  “We will continue to do all that we can to protect our children from sexual exploitation.”

 “Deutsch was convicted at trial of sexually exploiting children as young as 10-years old, and with today’s sentence, he learned the consequences of his depraved actions.  He will rightfully serve a lengthy term in federal prison, where he will no longer pose a threat to our society’s most vulnerable members,” stated FBI Assistant Director-in-Charge Driscoll.

“Mr. Deutsch violated, in a truly reprehensible way, the sacred trust that exists between teachers and young people,” stated NYPD Commissioner Sewell. “Today’s sentencing sends an unequivocal message that the NYPD and our law enforcement partners will never tolerate the appalling acts of such criminal predators. I commend and thank all of the involved investigators at the city, state, and federal levels, and everyone at the office of the U.S. Attorney for the Eastern District and the Department of Justice Child Exploitation and Obscenity Section, for their critical efforts on this important case.”    

As set forth in the government’s sentencing memorandum and related court proceedings, in 2016 and 2017, Deutsch used multiple Facebook accounts to meet minors online.  In one of his Facebook accounts, Deutsch posed as a 33-year-old teacher from New York, and in another account, he posed as a 14-year-old boy.  Deutsch joined Facebook groups frequented by LGBTQ+ minors who were struggling with their sexuality and gender identity.  After meeting in groups, Deutsch directly messaged children to develop relationships with them.  When chatting with children, the defendant flattered them to gain their trust, and he offered support, comfort and affirmation when they expressed sadness, insecurity or pain.  Then, Deutsch engaged the children in hyper-sexual conversation and enticed them to engage in sexually explicit conduct so that he could get videos and photos of that conduct.  He also sent minors sexual photos that he represented to be of himself.  Ultimately, Deutsch requested and received sexually explicit images or videos from at least four children, ranging in age from 10 to 16 years old.

This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse.  Led by United States Attorneys’ Offices and the Department of Justice Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov

The government’s case is being handled by the Office’s Civil Rights Section.  Assistant United States Attorneys Megan E. Farrell and Rachel A. Bennek are in charge of the prosecution with the assistance of Paralegal Specialist Adam Bernard.

The Defendant:

JONATHAN DEUTSCH
Age:  39
Brooklyn, New York

E.D.N.Y. Docket No. 18-CR-502 (S-1) (FB)

আজকের আগে, ব্রুকলিনের ফেডারেল আদালতে, রাশিদুন বোখারী (Rashidun Bokhari) একটি কথিত রিয়েল এস্টেট বিনিয়োগ প্রকল্প থেকে উদ্ভূত ওয়্যার জালিয়াতির জন্য দোষী সাব্যস্ত হয়েছেন। বোখারী-কে 2022 সালের অক্টোবরে গ্রেপ্তার করা হয়েছিল। মার্কিন যুক্তরাষ্ট্রের জেলা জজ পামেলা কে. চেন (Pamela K. Chen)-এর সম্মুখে আজকের কার্যক্রম অনুষ্ঠিত হয়। দণ্ডিত হলে, বোখারী-কে 20 বছরের কারাদণ্ডের সম্মুখীন হতে হয়।

নিউ ইয়র্কের ইস্টার্ন ডিস্ট্রিক্টের ইউনাইটেড স্টেট অ্যাটর্নি ব্রিয়ন পিস দোষী সাব্যস্ত করার ঘোষণা দিয়েছেন।

কোর্ট ফাইলিংয়ে উল্লেখ করা হয়েছে, সেপ্টেম্বর 2015 এবং এপ্রিল 2018 এর মধ্যে, বোখারী ভুক্তভোগীকে লং আইল্যান্ড সিটি এবং কুইন্সের অ্যাস্টোরিয়াতে অবস্থিত চারটি ভিন্ন রিয়েল এস্টেট সম্পত্তিতে প্রায় 935,000 মার্কিন ডলার বিনিয়োগ করতে প্ররোচিত করেছিলেন। বোখারী মিথ্যা দাবি করেছেন যে কথিত রিয়েল এস্টেট লেনদেনে তার বিনিয়োগের বিনিময়ে, ভুক্তভোগী বিনিয়োগকারী সম্পত্তিতে 50 শতাংশ মালিকানা পাবেন। বোখারী রিয়েল এস্টেট লেনদেনের নথি জাল করেছেন যা তিনি ভুক্তভোগী বিনিয়োগকারীকে প্রদান করেছিলেন। প্রায় 1 মিলিয়ন মার্কিন ডলার পাওয়ার পরে, বিবাদী বিদেশে তহবিল স্থানান্তর, বন্ধকী এবং জীবন বিমায় পেমেন্ট এবং এটিএম থেকে নগদ উত্তোলন সহ তার নিজের ব্যক্তিগত ব্যবহারের জন্য অর্থ অপব্যবহার করেন। তার আবেদনের চুক্তির অংশ হিসাবে, বোখারী ভুক্তভোগীকে 935,000 মার্কিন ডলার পরিমাণ ক্ষতিপূরণ দিতে সম্মত হয়েছেন।

সরকারের তদন্তে আরো জানা গেছে যে 20 ডিসেম্বর 2020 এবং মে 2022 এর মধ্যে, বোখারী কুইন্সে আরো দুইজন ভুক্তভোগীকে প্রতারণার জন্য একটি পৃথক স্কিমে নিযুক্ত ছিলেন। তার আবেদন চুক্তির অংশ হিসাবে, বোখারী এই দুই ভুক্তভোগীকে 191,100 মার্কিন ডলার পরিমাণ ক্ষতিপূরণ দিতে সম্মত হয়েছেন। 

বোখারী এর দ্বারা ভুক্তভোগীরা বাঙালি বংশোদ্ভূত এবং তিনি তার স্কিমের জন্য তাদের শেয়ার করা জাতিগত পটভূমিকে কাজে লাগিয়েছেন। 

যারা মনে করেন যে তারা বোখারী এর দ্বারা সংঘটিত অপরাধের শিকার হয়েছেন, তাদেরকে মার্কিন যুক্তরাষ্ট্রের নিম্নোক্ত অ্যাটর্নি অফিসে যোগাযোগ করতে বলা হয়েছে এই ঠিকানায় https://www.justice.gov/usao-edny/report-crime

সরকারের মামলাটি ব্যবসা এবং সিকিউরিটিজ জালিয়াতি সেকশনের অফিস দ্বারা পরিচালিত হচ্ছে। যুক্তরাষ্ট্রের সহকারি অ্যাটর্নি লরেন বোম্যান (Lauren Bowman) প্রসিকিউশনের দায়িত্বে রয়েছেন এবং তদন্তের নেতৃত্বে ছিলেন নিউ ইয়র্কের ইস্টার্ন ডিস্ট্রিক্টের বিশেষ এজেন্ট মার্টিন সুলিভান (Martin Sullivan)।

বিবাদী:

রাশিদুন বোখারী

বয়স 57

অ্যাস্টোরিয়া, কুইন্স  (Astoria, Queens)

E.D.N.Y. Docket No. 23-CR-58 (PKC)

Breon Peace, United States Attorney for the Eastern District of New York, announced today that an agreement has been reached with Orthopaedics, Spine, and Sports Medicine, LLC, d/b/a Total Orthopedics & Sports Medicine (Total Orthopedics), under Title III of the Americans with Disabilities Act, to resolve allegations that Total Orthopedics failed to comply with its communications obligations for individuals who are deaf or hard of hearing.  Title III of the ADA prohibits discrimination against people with disabilities in places of public accommodations such as medical centers.  Individuals who are deaf or hard of hearing fall within the protection of the ADA. 

Total Orthopedics is an orthopedic clinic with locations throughout New York City, New Jersey, and on Long Island.  The settlement resolves claims made by an individual who is deaf, that Total Orthopedics refused to provide her with appropriate auxiliary aids and services, including a qualified sign-language interpreter, to ensure effective communication during a medical appointment at Total Orthopedics’ location in Massapequa in January 2020.

Under the settlement agreement, Total Orthopedics has agreed to provide appropriate auxiliary aids and services, including qualified sign-language interpreters, to patients who are deaf or hard of hearing.  Total Orthopedics also agreed to update and maintain appropriate policies, to revise its training materials and provide annual training to its personnel, to post notices in its medical centers and on its website to inform patients of their right to auxiliary aids and services, and to cooperate with the United States Attorneys’ Office for the Eastern District of New York to ensure ongoing compliance with the terms of the settlement agreement.  Total Orthopedics will pay $1,500 to the complainant.

“This Office is deeply committed to protecting the civil rights of all individuals and will not hesitate to vigorously enforce the laws protecting people with disabilities when necessary,” stated United States Attorney Peace.  “Today’s resolution ensures that the deaf and hard of hearing will be able to effectively and efficiently communicate with health care professionals at Total Orthopedics locations throughout New York City, Long Island, and New Jersey.”

The United States’ case was handled by Assistant U.S. Attorney Ekta Dharia of the Office’s Civil Division with assistance from Civil Rights Investigator Laura Riley. 

Any member of the public who wishes to file a complaint alleging that the office of a health care provider or any other place of public accommodation or public entity in the Eastern District of New York is not accessible to persons with disabilities may contact  this Office via the following link: https://www.justice.gov/usao-edny/civil-rights.

Earlier today, in federal court in Brooklyn, Rashidun Bokhari pleaded guilty to wire fraud stemming from a purported real estate investment scheme.  Bokhari was arrested in October 2022.  Today’s proceeding was held before United States District Judge Pamela K. Chen.  When sentenced, Bokhari faces up to 20 years in prison.

Breon Peace, United States Attorney for the Eastern District of New York, announced the guilty plea.

As set forth in court filings, between September 2015 and April 2018, Bokhari induced the victim to invest approximately $935,000 in four different real estate properties located in Long Island City and Astoria in Queens.  Bokhari falsely claimed that in exchange for his investment in the purported real estate transactions, the victim investor would receive a 50 percent ownership in the properties.  Bokhari fabricated real estate transaction documents which he provided to the victim investor.  After receiving almost $1 million, the defendant misappropriated the money for his own personal use, including transferring funds overseas, making mortgage and life insurance payments, and withdrawing cash from ATMs.  As part of his plea agreement, Bokhari has agreed to pay restitution in the amount of $935,000 to the victim.

The government’s investigation also revealed that between December 20, 2020 and May 2022, Bokhari engaged in a separate scheme to defraud two additional victims in Queens.  As part of his plea agreement, Bohkari has agreed to pay these two victims restitution in the amount of $191,100. 

Bokhari’s victims are of Bengali descent and he exploited their shared ethnic background in furtherance of his schemes. 

Anyone who believes they are a victim of a crime committed by Bokhari is asked to contact the United States Attorney’s Office at https://www.justice.gov/usao-edny/report-crime

The government’s case is being handled by the Office’s Business and Securities Fraud Section.  Assistant United States Attorney Lauren Bowman is in charge of the prosecution and the investigation was led by Special Agent Martin Sullivan of the Eastern District of New York.

The Defendant:

RASHIDUN BOKHARI
Age: 57
Astoria, Queens

E.D.N.Y. Docket No. 23-CR-58 (PKC)

Today, in federal court in Central Islip, Surage Roshan Perera, the Founder and Executive Director of Janues Capital, Inc. (Janues) in Bellerose, Queens, will be arraigned on a 16-count indictment charging him with securities fraud, investment advisor fraud, wire fraud, and money laundering, in connection with a scheme to induce an investor (Jane Doe) to purchase stock in companies that traded on the NASDAQ and New York Stock Exchange (NYSE).  Perera was arrested this morning and the arraignment will be held before United States Magistrate Judge Steven L. Tiscione.

Breon Peace, United States Attorney for the Eastern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrest and charges.

“As alleged, the victim trusted Perera with millions of dollars of her hard-earned money for what she was assured would be a safe investment,” stated United States Attorney Peace.  “In reality, the defendant deceived the victim and used the money to enrich himself.  This Office will hold the defendant accountable for his acts of greed and dishonesty.”

Mr. Peace thanked the Securities and Exchange Commission and the Financial Industry Regulatory Authority, Inc., Criminal Prosecution Assistance Group for their cooperation and assistance.

As alleged in the indictment, between February 2022 and March 2023, Perera contacted Jane Doe via telephone calls, emails and text messages to solicit her to purchase stock in companies that traded on the NASDAQ and NYSE, in exchange for a fee.  Perera falsely told Jane Doe that he had relationships with large institutions, and could purchase shares of those publicly-traded companies at discounted prices.  The defendant also told Jane Doe that her investment was a low risk venture and he would use her investment capital to purchase shares in those public-traded companies.  As a result, Jane Doe gave Perera more than $4.2 million.  However, instead of investing Jane Doe’s money in those securities, Perera misappropriated those funds by, among other things: (1) paying redemptions to Jane Doe, (2) paying personal expenses, and (3) funding his day trading.  To conceal his fraudulent scheme, Perera sent fraudulent confirmation notices and account statements to Jane Doe.

If convicted, Perera faces a maximum sentence of 20 years’ incarceration.

The charges in the indictment are allegations, and Perera is presumed innocent unless and until proven guilty.  If convicted, Perera faces a maximum term of 20 years in prison.

In July 2022, Mr. Peace was selected as the Chairperson of the White Collar Fraud subcommittee for the Attorney General’s Advisory Committee (AGAC).  As the leader of the subcommittee, Mr. Peace will play a key role in making recommendations to the AGAC to facilitate the prevention, investigation and prosecution of various financially motivated, non-violent crimes including mail and wire fraud, bank fraud, health care fraud, tax fraud, securities and commodities fraud, and identity theft. 

The government’s case is being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorney Christopher Caffarone is in charge of the prosecution. 

The Defendant:

SURAGE ROSHAN PERERA
Age: 50
Bellerose, Queens

E.D.N.Y. Docket No. 23-CR-129 (GRB)

Dieuverson Caille was convicted today by a federal jury in Brooklyn on all counts of an indictment charging him with committing multiple armed carjackings.  Between August 28, 2020 and June 20, 2021, Caille, together with his co-conspirators, robbed victims at gunpoint, kidnapped one of them, and stole their cars and personal items. The verdict followed a one-week trial before United States Circuit Judge Denny Chin sitting by designation.  When sentenced, Caille faces a mandatory minimum of 21 years’ imprisonment and a maximum of life imprisonment.

Breon Peace, United States Attorney for the Eastern District of New York, and John B. DeVito, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the verdict. 

“The defendant has been convicted of repeatedly using firearms to force innocent victims to give up their cars, confronting them with a terrifying choice of being seriously injured or killed,” stated United States Attorney Peace.  “The verdict today reflects this Office’s ongoing commitment to vigorously prosecute defendants who commit violent, gun-related crimes in our district.” 

ATF Special Agent-in-Charge DeVito stated: “Today’s conviction serves as notice that the use of firearms to terrorize innocent victims will be met with swift and exacting justice.  ATF and NYPD will expend all necessary resources to ensure that offenders such as the defendant are rewarded for their criminal activity with lengthy prison sentences.   I am thankful for the hard work and commitment of the men and women of ATF NY’s Strategic Pattern Armed Robbery Technical Apprehension group, NYPD’s Brooklyn Robbery Squad & the U.S. Attorney’s Office for the Eastern District of New York.  ATF will continue to work with our Federal, State, and local partners to keep our communities safe.”

“Amid a nationwide increase in vehicle thefts that includes a spike in New York City, today’s guilty verdict sends a clear message that such crime – particularly the brazen variety carried out at gunpoint – will never be tolerated in our neighborhoods,” stated NYPD Commissioner Keechant L. Sewell. “The NYPD, along with our law enforcement partners, will continue to aggressively investigate, arrest, and prosecute anyone responsible for violence in our communities. I commend and thank the skilled investigators of the NYPD and the ATF, as well as everyone from the U.S. Attorney’s Office for the Eastern District who were involved in this important case.”

As proven at trial, on August 28, 2020, Caille, a member of both the Eight Tray Crip and Haitian Locc gangs, approached a victim driving an Infiniti in Flatbush and carjacked him at gunpoint.  Caille and several accomplices drove the victim to a nearby drive-through ATM where the defendant attempted to force the victim to withdraw money.  The victim escaped by jumping out of the car’s window.  Also as part of the conspiracy, on September 3, 2020, Caille and several accomplices carjacked a Chevrolet Malibu at gunpoint in Flatbush and attacked an occupant of the car by pistol whipping him.  On November 15, 2020, Caille, acting alone, carjacked at gunpoint the driver of a BMW who was working as a rideshare driver in Flatbush.  The following day, after NYPD officers observed the stolen BMW, the defendant crashed the vehicle and struck a pedestrian.  Finally, on June 20, 2021, the defendant, together with at least one other accomplice, carjacked at gunpoint the driver of a Porsche in East New York.

Caille was convicted of one count of conspiracy to commit carjacking, three substantive carjacking offenses, and three instances of brandishing a firearm in furtherance of those carjackings. 

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

Assistant United States Attorneys Sara K. Winik, Ellen H. Sise, and Antoinette N. Rangel are in charge of the prosecution with assistance from Paralegal Specialist Magdalena St. Surin.

The Defendant:

DIEUVERSON CAILLE
Age: 22
Brooklyn, New York

E.D.N.Y. Docket No. 20-CR-547 (DC)

Nicholas Welker, also known as “King ov Wrath,” was arrested today in San Jose, California based on a complaint filed in Brooklyn federal court charging him with conspiring to make threatening statements.  The complaint charges that Welker, the one-time leader of Feuerkrieg Division (FKD), an international racially or ethnically motivated violent extremist group, posted death threats against a Brooklyn-based journalist (the “Journalist”) in a public online forum and his co-conspirators tweeted the death threats at the Journalist for reporting on the extremist group.  Welker is expected to appear in federal district court in the Northern District of California in San Jose this afternoon.

Breon Peace, United States Attorney for the Eastern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the charges. 

“As alleged, Nicholas Welker used threats of violence in an effort to stop a journalist from reporting on the white supremacist hate group that he led.  He sought to quell freedom of expression and to intimidate and instill fear in a journalist and the journalist’s employer—a well-known news media organization,” stated United States Attorney Peace.  “We will not hesitate to prosecute those who threaten the core values on which our society was founded, including freedom of the press.” 

Mr. Peace praised the outstanding investigative work of the FBI’s New York Joint Terrorism Task Force, which consists of investigators and analysts from the FBI, the New York City Police Department, and over 50 other federal, state, and local agencies, and the FBI’s San Francisco Field Office.  Mr. Peace also thanked the U.S. Attorney’s Office for the Northern District of California for its assistance, as well as the Estonian Internal Security Service and the Prosecutor’s Office for their valuable support.

“As alleged, Mr. Welker and those he encouraged attempted to silence a journalist with threats of violence.  Freedom of both speech and the press are integral to our nation, and we will not allow it to be restricted through violence or intimidation. Today’s action serves as a reminder to anyone willing to attack these rights - the FBI will do everything in our power to fulfill our mission of protecting the American people and upholding the Constitution,” stated FBI Assistant Director-in-Charge Driscoll.

Welker’s threat included an image that featured a gun aimed at the Journalist’s head with the words “Race Traitor” over the Journalist’s eyes and stated, “JOURNALIST F[***] OFF!  YOU HAVE BEEN WARNED.”  The threat highlighted that the Journalist “Works as a Reporter” at a news media company and is “Responsible for Stalking our Boys for Information.”  After Welker posted the threat to an online forum, Welker’s two minor-aged co-conspirators (who were also members of the white supremacist group) tweeted the threat directly at the Journalist’s twitter handle, in the hope that the Journalist would see the death threat and stop reporting.

As alleged in the complaint, Welker was the leader of an extremist group whose members share a common goal of challenging laws, social order, and the government via terrorism and other violent acts.  The organization encourages attacks on racial minorities, the Jewish community, the LGBTQ+ community, the U.S. Government, journalists, and critical infrastructure.  FKD has members in the United States and abroad.

The charge in the complaint is an allegation, and the defendant is presumed innocent unless and until proven guilty.  If convicted, Welker faces a maximum sentence of five years’ imprisonment.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorney Ellen H. Sise is in charge of the prosecution with assistance from Trial Attorney Jennifer Levy of the National Security Division’s Counterterrorism Section and EDNY Litigation Analyst Ben Richmond.

The Defendant:

NiCHOLAS WELKER (also known as “King ov Wrath”)
Age: 31

San Jose, California

E.D.N.Y. Docket No. 23-MJ-230

Earlier today, in federal court in Brooklyn, former federal correction officer Jeremy Monk pleaded guilty to receiving bribes in exchange for providing contraband to prison inmates detained at the Metropolitan Detention Center (MDC) in Brooklyn.  Today’s proceeding was held before United States Magistrate Judge James R. Cho.  When sentenced, the defendant faces a maximum sentence of 15 years’ imprisonment.

Breon Peace, United States Attorney for the Eastern District of New York, announced the guilty plea.

“The defendant has admitted to violating his duty as a federal correction officer by taking bribes in exchange for smuggling contraband into the Metropolitan Detention Center, a serious betrayal of his fellow correction officers and staff, incarcerated individuals, and the trust placed in him by the government,” stated United States Attorney Peace.  “This Office is focused on rooting out corruption that threatens the safety and security of our federal and local jails.” 

Mr. Peace expressed his thanks to the Department of Justice, Office of Inspector General, and the Federal Bureau of Investigation, New York Field Office, for their investigative work on the case.

According to court documents and facts presented at the guilty plea proceeding, Monk worked as a correction officer at the MDC from May 2020 until he voluntarily resigned on April 18, 2022.  On multiple occasions, Monk smuggled contraband into the MDC in exchange for bribes.  For example, on December 5, 2020, MDC staff members conducted a search of the cell of an incarcerated individual (Inmate-1) because they suspected that Inmate-1 was in possession of marijuana due to an odor coming from his cell.  Although no marijuana was found, MDC staff recovered a cellular telephone, which is contraband in a federal correctional facility.  Financial records show that three days before MDC staff recovered the cellular telephone, the romantic partner of Inmate-1 attempted to make seven payments to Monk via Cash App in amounts ranging from $750 to $4,000.  All seven transactions were blocked by Cash App.  On April 15, 2022, three days before Monk resigned, MDC staff learned that Monk had agreed to accept $10,000 from inmates in exchange for his smuggling contraband into the MDC and leaving it in a staff restroom.  That afternoon, Monk was observed entering the staff restroom consistent with the information MDC staff received.  After Monk left the restroom, MDC staff found more than nine ounces of marijuana hidden on a shelf under floor buffing pads. 

The government’s case is being handled by the Office’s Public Integrity Section.  Assistant United States Attorney Philip Pilmar is in charge of the prosecution.

The Defendant:

JEREMY MONK
Age:  32
Brooklyn, New York

E.D.N.Y. Docket No. 22-CR-442

BROOKLYN – Earlier today, in federal court in Brooklyn, Vladislav Kotlyar pleaded guilty to defrauding insurance plans and medical suppliers by fraudulently procuring specialty baby formula.  When sentenced for mail fraud, Kotlyar faces up to 20 years in prison.  The proceeding was held before United States District Judge William F. Kuntz, II.

Breon Peace, United States Attorney for the Eastern District of New York, Kenneth A. Polite, Jr., Assistant Attorney General of the Justice Department’s Criminal Division, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.

According to court filings, Kotlyar submitted forged prescriptions and medical records for specialty baby formula that was paid for by health insurers. Kotlyar obtained prescriptions and medical records for infants who were prescribed specialty baby formula and forged those records to obtain additional specialty baby formula. After receiving the specialty baby formula, Kotlyar fabricated issues with the shipments, including falsely claiming they were damaged or the incorrect formula in order to obtain additional formula at no additional cost. As part of the scheme, Kotlyar and his co-conspirators submitted more than $1.9 million in fraudulent claims to health insurers, including during a national shortage of baby formula.  Kotlyar agreed to forfeit approximately $1 million and pay more than $738,000 in restitution. 

Trial Attorney Patrick J. Campbell of the Justice Department’s Fraud Section is prosecuting the case.

The Defendant:

VLADISLAV KOTLYAR
Age:  43
Staten Island, New York

E.D.N.Y. Docket Number: 23-CR-75 (WFK)

Earlier today, in federal court in Brooklyn, Rogelio Vega was sentenced by United States District Judge Eric R. Komitee to 16 years in prison for enticing three minors to engage in sexual conduct.  As part of his sentence, Vega will be required to register as a sex offender upon his release from prison.  Vega pleaded guilty to the charges in September 2022. 

Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the sentence. 

Between approximately 2015 and January 2021, the defendant, while also serving as an ordained Deacon in the Catholic Church, used the Kik Internet messaging application, which is marketed to teens, and the Grindr Internet application, which is marketed to the LGBTQ+ community, to express his interest in “young guys” and coerce and entice three male victims between the ages of 14 and 16 to meet him for sexual acts.  Messages found on the defendant’s cell phones revealed a series of communications in which the victims identified themselves as underage and the defendant arranged to meet them multiple times for sexual encounters in his car or at motels. 

Anyone with information about crimes perpetrated by Vega is asked to contact the FBI at 1-800-CALL-FBI and reference this case.

Department of Justice Trial Attorney Patrick J. Campbell is in charge of the prosecution.   

The Defendant:

ROGELIO VEGA
Age: 52
Maspeth, New York

E.D.N.Y. Docket No. 21-CR-563 (EK)

Earlier today, in federal court in Central Islip, Kamal Zafar was sentenced by United States District Judge Joan M. Azrack to 41 months in prison for conspiracy to commit wire fraud in connection with a fraudulent scheme directed at thousands of individuals in the United States.  As part of the sentence, Zafar was also ordered to pay restitution in the amount of $3.2 million and forfeiture of $232,362.  Zafar pleaded guilty to the charge in June 2022.    

Breon Peace, United States Attorney for the Eastern District of New York, announced the sentence.

Mr. Peace thanked the Internal Revenue Service-Criminal Investigation, Treasury Inspector General for Tax Administration and New York City Police Department for their assistance with the case.

As alleged in the indictment and other court filings and proceedings, Zafar managed the fraud scheme by recruiting individuals to open bank accounts in the names of inactive and shell corporations and also assisted in the laundering of fraud proceeds.  Between January 2018 and September 2018, operating from call centers in India, the scheme targeted victims in the United States and falsely claimed to be employees of the Internal Revenue Service, the Social Security Administration or the Drug Enforcement Administration.  The victims who were taxpayers were informed that they owed a sum of money to the Internal Revenue Service.  The victims who were medical professionals were informed that they owed a sum of money to the DEA in connection with their licenses. Both groups of victims were told that they would be arrested the next day if the debts were not immediately paid.  After the victims wired payments to bank accounts that Zafar had opened or directed to be opened to receive the fraud proceeds, the funds were either withdrawn and laundered through additional bank accounts or wired to foreign countries.  The scheme netted over $2 million from victims across the United States.

Zafar’s six co-conspirators previously pleaded guilty.  In January 2022, Ajay Sharma, the leader and organizer of the fraud scheme, was sentenced to 78 months in prison and five others are awaiting sentencing.

The government’s case is being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorneys Charles P. Kelly, Charles N. Rose and Diane Leonardo are in charge of the prosecution.

The Defendant:

KAMAL ZAFAR
Age: 53
South Huntington, New York

Defendants Who Have Previously Pleaded Guilty:

AJAY SHARMA
Age: 44
Mumbai, India

ANKUR SHARMA
Age:  25
Bellerose, New York

RICARDO URBINO, also known as “Ricardo Urbina”
Age: 30
Queens, New York

HARPREET SINGH
Age:  33
Queens Village, New York

E.D.N.Y. Docket No. 19-CR-024 (JMA)

JAMAL ZAFAR
Age:  48
Huntington, New York

ARMUGHANUL ASAR
Age:  68
College Point, New York

E.D.N.Y. Docket No. 19-CR-385 (JMA)

A criminal complaint was unsealed today in federal court in Brooklyn charging Sagar Steven Singh and Nicholas Ceraolo with wire fraud and conspiracy to commit computer intrusions.  The charges stem from Singh’s and Ceraolo’s efforts to extort victims by threatening to release their personal information online.  Singh was arrested this morning in Pawtucket, Rhode Island, and will make his initial appearance this afternoon in federal court in Providence, Rhode Island. Ceraolo remains at large.

In pursuit of victims’ personal information, Singh and Ceraolo unlawfully used a police officer’s stolen password to access a restricted database maintained by a federal law enforcement agency that contains (among other data) detailed, nonpublic records of narcotics and currency seizures, as well as law enforcement intelligence reports.  Ceraolo (with Singh’s knowledge) also accessed without authorization the email account of a foreign law enforcement officer, and used it to defraud social media companies by making purported emergency requests for information about the companies’ users.

Breon Peace, United States Attorney for the Eastern District of New York, and Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), announced the charges.

“Singh and Ceraolo aptly belonged to a group called, as their crime was, ‘Vile.’ That conduct ends today,” stated United States Attorney Peace.  “As alleged, the defendants shamed, intimidated and extorted others online.  This Office will not tolerate those who impersonate law enforcement officers and misuse the public safety infrastructure that exists to protect our citizens.”

“As these charges make clear, the alleged unauthorized access of a US federal law enforcement system and impersonation of law enforcement officials are serious offenses, and the criminals who perpetrate these schemes will be held accountable for their crimes.” stated HSI New York Special Agent-in-Charge Arvelo.  “HSI and its law enforcement partners are committed to safeguarding public safety infrastructure from cyber criminals and ensuring that those seeking to compromise these systems face the fullest extent of the law.”

As alleged in the criminal complaint, Singh and Ceraolo belonged to a group called “ViLE,” whose logo is the body of a hanging girl, as depicted below in the group’s official roster:

Members of ViLE sought to collect victims’ personal information, such as names, physical addresses, telephone numbers, social security numbers and email addresses.  ViLE then posted that information (or threatened to post it) on a public website administered by a ViLE member – an action known as “doxxing.” Victims could pay to have their information removed from or kept off the website. 

ViLE members acquired victims’ information by various means, including by impersonating law enforcement officers and sending forged requests or orders purporting to be from law enforcement to social media companies, often demanding victim information on the pretense that loss of life was imminent.

As alleged in the complaint, in pursuit of victims’ personal information. Singh and Ceraolo used a police officer’s credentials to access without authorization a nonpublic, password-protected web portal (the “Portal”) maintained by a U.S. federal law enforcement agency, whose purpose is to share intelligence from government databases with state and local law enforcement agencies.  After both Singh and Ceraolo accessed the Portal, Ceraolo wrote to Singh: “were all gonna get raided one of these days i swear.”  Later that day, Singh wrote to a contact that the “portal [] i accessed i was not supposed to be there not one bit.”  Singh said he had “jacked into a police officer’s account” and “that portal had some fucking potent tools.”  Singh continued: “it gave me access to gov databases,” followed by the names of five search tools accessible through the Portal.

Within one day of this unauthorized access, Singh was using his access to the Portal to extort victims.  Singh wrote to a victim (Victim-1) that he would “harm” Victim-1’s family unless Victim-1 gave Singh the credentials for Victim-1’s Instagram accounts – and appended Victim-1’s social security number, driver’s license number, home address, and other personal details.  During the conversation, Singh told Victim-1 that he had “access to [] databases, which are federal, through [the] portal, i can request information on anyone in the US doesn’t matter who, nobody is safe.”  Singh added: “you’re gonna comply to me if you don’t want anything negative to happen to your parents.”  Singh ultimately directed Victim-1 to sell Victim-1’s accounts and give the proceeds to Singh.

In addition to accessing the Portal without authorization, Ceraolo posed as a police officer to obtain subscriber information from various online service providers. For example, between February 2022 and May 2022, Ceraolo accessed without authorization an official email account belonging to a Bangladeshi police official.  Ceraolo used the account to pose as a Bangladeshi police officer in communication with U.S.-based social media platforms.  In one instance, Ceraolo induced a social media platform (Platform-1) to provide information about one of its subscribers, including the subscriber’s address, email address and telephone number, by asserting that the subscriber had participated in “child extortion” and blackmail and had threatened officials of the Bangladeshi government.  Ceraolo shared the information with another ViLE member, who sent the information to Singh.  Ceraolo also used the Bangladeshi police account to attempt to purchase a license from a facial recognition company whose services are not available to the general public.

Similarly, between March 2022 and May 2022, Ceraolo targeted a company (Platform-2) that operates an online gaming platform.  Ceraolo used the Bangladeshi police account to request data about one of Platform-2’s users.  Employees of Platform-2 detected Ceraolo’s fraud and publicly discussed the attempted fraud.  Ceraolo told an associate that he would “hack” Platform-2 in retaliation for “acting like their [sic] untouchable,” that he would “handle dumping and defacing everything for trying to snitch to homeland security” and that he could “easily get 6 figs” for selling Platform-2’s information “on one of the dark web markets.”  At Ceraolo’s behest, an associate posed as a U.S. local police officer and sent a forged subpoena to one of Platform-2’s vendors, seeking registration details about Platform-2’s administrators.  The vendor did not provide the information.

If convicted, Ceraolo faces up to 20 years’ imprisonment for conspiracy to commit wire fraud, and both Ceraolo and Singh face five years’ imprisonment for conspiracy to commit computer intrusions. The charges in the complaint are allegations, and the defendants are presumed innocent unless and until proven guilty.

The Office extends its appreciation the New York City Police Department and the Federal Bureau of Investigation for their assistance on this case.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Alexander Mindlin, Ellen Sise and Adam Amir are in charge of the prosecution. 

The Defendants:

NICHOLAS CERAOLO (also known as “Convict,” “Anon” and “Ominous”)
Age:  25
Queens, New York

SAGAR STEVEN SINGH (also known as “Weep”)
Age:  19
Pawtucket, Rhode Island

E.D.N.Y. Docket No. 23-MJ-213

Earlier today, in federal court in Brooklyn, Tawanna Hilliard was sentenced by United State District Judge Pamela Chen to 33 months in prison.  The defendant was previously convicted, following a one-week trial, of witness retaliation, conspiracy to commit witness retaliation, obstruction of justice and conspiracy to obstruct justice.  The evidence at trial showed that the defendant, who was the mother of a 5-9 Brim member and had long-standing ties with other members, was responsible for uploading the post-arrest statements of witnesses suspected of cooperating against the gang to YouTube—knowing that violent consequences were likely to follow.  At the time of her crimes, Hilliard was a paralegal working in the Civil Division of another United States Attorney’s Office.  Her co-defendant and son, Tyquan Hilliard, pleaded guilty to witness tampering conspiracy in November 2020 and was sentenced to 63 months’ imprisonment.

Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD) announced the sentence.

“The defendant, whose job it was to serve justice, instead threatened the integrity of our justice system and the safety of government witnesses,” stated United States Attorney Breon Peace.  “Today’s sentence reflects the seriousness of her crimes and serves as a warning that obstructive and retaliatory conduct by anyone will not be tolerated and will be punished.” 

Mr. Peace thanked Department of Justice’s Office of Inspector General for their assistance in the investigation and prosecution of the case. 

In May 2018, the defendant’s son, a member of the 5-9 Brims, participated in an armed robbery of a cell phone store in Monticello, New York, with another individual (John Doe) and that individual’s girlfriend (Jane Doe).  All three were arrested by local police, and John Doe and Jane Doe thereafter made video-recorded post-arrest statements to law enforcement, including to federal task force officers investigating a string of commercial robberies committed by members of the 5-9 Brims.  In August 2018, the defendant received discovery in her son’s robbery case, which included the video-recorded statements of John Doe and Jane Doe.  The defendant discussed the videos in detail over recorded phone calls with her son, who was incarcerated pending trial for the robbery. 

On August 5, 2018, the defendant uploaded the video of John Doe’s post-arrest statement to YouTube, through an Internet Protocol address assigned to the defendant’s account at her home address in Brooklyn.  The video was entitled, “NYC Brim Gang Member SNITCHING! Pt. 1.” 

Also on August 5, 2018, over a recorded jail call, the defendant’s son asked the defendant to send the video of Jane Doe’s post-arrest statement to one of his gang associates.  The defendant and her son also discussed “tagging” John Doe in the video, to make it clear he had also “snitched.”   Later that day, the video of Jane Doe’s statement was uploaded to YouTube with the title, “NYC Brim Gang Member Girlfriend SNITCHING ([Facebook name of John Doe]).”  The video of John Doe’s statement quickly garnered over 10,000 views, and a substantial amount of attention on social media, including comments that included threats of violence against Jane Doe and John Doe. 

Shortly thereafter, Jane Doe began receiving numerous death threats and reported hearing gunshots outside her apartment.  She was relocated by law enforcement as a result.  John Doe also received numerous death threats in jail. 

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

The government’s case is being prosecuted by the Office’s Organized Crime and Gangs Section.  Assistant United States Attorneys Nicholas Moscow and Lindsey Oken are in charge of the prosecution, with assistance from Paralegal Specialist Celine Laruelle. 

The Defendant:

TAWANNA HILLIARD
Age:  48
Brooklyn, New York

Previously Sentenced Defendant

TYQUAN HILLIARD
Age:  32
Brooklyn, New York

E.D.N.Y. Docket No. 19-CR-358 (S-1) (PKC)

BROOKLYN, NY – Earlier today, Ng Chong Hwa, also known as “Roger Ng,” a citizen of Malaysia and a former Managing Director of The Goldman Sachs Group, Inc. (Goldman Sachs), was sentenced by United States District Judge Margo K. Brodie to 10 years’ imprisonment for conspiring to launder billions of dollars embezzled from 1Malaysia Development Berhad (1MDB), conspiring to violate the Foreign Corrupt Practices Act (FCPA) by paying more than $1.6 billion in bribes to a dozen government officials in Malaysia and Abu Dhabi, and conspiring to violate the FCPA by circumventing the internal accounting controls of Goldman Sachs.  The forfeiture amount will be determined at a later date.  In April 2022, Ng was convicted by a federal jury on all counts following a nine-week trial.

Breon Peace, United States Attorney for the Eastern District of New York; Kenneth A. Polite, Jr., Assistant Attorney General of the Justice Department’s Criminal Division; Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Tyler Hatcher, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, Los Angeles Field Office (IRS-CI), announced the sentence.

“Roger Ng was a central player in a brazen and audacious scheme that not only victimized the people of Malaysia, but also risked undermining the public’s confidence in governments, markets, businesses and other institutions on a global scale,” stated United States Attorney Peace.  “Today’s sentence serves as a just punishment for the defendant’s crimes and a warning that there is a significant price to pay for corporate corruption.”

“Today, Roger Ng was sentenced for his role in a massive and egregious bribery and money laundering scheme involving the bribery of high-level foreign officials in Malaysia and the United Arab Emirates and theft of billions of dollars meant to benefit the Malaysian people,” stated Assistant Attorney General Polite.  “The Justice Department remains firmly committed to holding accountable individuals who engage in corruption, undermine the rule of law, and abuse our financial system to launder their illicit funds.  This sentence sends a strong message to criminals around the world:  if you violate our laws, we will bring you to justice.”

“Roger Ng, a former Managing Director of Goldman Sachs, played a significant role in a corrupt financial scheme to launder billions of dollars embezzled from 1MDB that ultimately victimized the people of Malaysia.  Today’s sentence serves as both punishment for Ng’s crimes and a stark reminder to those who endeavor to engage in similar conduct – the FBI and our partners remain vigilant in combatting corruption in all its forms,” stated FBI Assistant Director-in-Charge Driscoll.

“The 1MDB case and the sentencing of Mr. Ng, highlight IRS Criminal Investigation’s enforcement efforts to abolish international bribery schemes.  U.S. Financial Institutions have safeguards in place to combat these frauds and Mr. Ng intentionally circumvented these safeguards.  This sentence is a testament to what happens when you break US laws to bribe international government officials,” stated IRS-CI Special Agent-in-Charge Hatcher.  “This case represents a model for domestic and international cooperation in significant cross-border money laundering investigations and we are proud of our domestic and international law enforcement partners in this complex financial investigation.”

1MDB is a Malaysian state-owned and controlled fund created to pursue investment and development projects for the economic benefit of Malaysia and its people. 

Ng was employed as a Managing Director by various subsidiaries of Goldman Sachs and acted as an agent and employee of Goldman Sachs from approximately 2005 to May 2014. 

Between approximately 2009 and 2014, Ng conspired with others to launder billions of dollars misappropriated and fraudulently diverted from 1MDB, including funds 1MDB raised in 2012 and 2013 through three bond transactions it executed with Goldman Sachs, known as “Project Magnolia,” “Project Maximus,” and “Project Catalyze.”  As part of the scheme, Ng and others, including Tim Leissner, the former Southeast Asia Chairman and participating managing director of Goldman Sachs, and co-defendant Low Taek Jho, a wealthy Malaysian socialite also known as “Jho Low,” conspired to pay more than a billion dollars in bribes to a dozen government officials in Malaysia and Abu Dhabi to obtain and retain lucrative business for Goldman Sachs, including the 2012 and 2013 bond deals.  They also conspired to launder the proceeds of their criminal conduct through the U.S. financial system by funding major Hollywood films such as “The Wolf of Wall Street,” and purchasing, among other things, artwork from New York-based Christie’s auction house including a $51 million Jean-Michael Basquiat painting, a $23 million diamond necklace, millions of dollars in Hermes handbags from a dealer based on Long Island, and luxury real estate in Manhattan.

Ng, Leissner, Low and their co-conspirators used Low’s close relationships with high-ranking government officials in Malaysia and Abu Dhabi to obtain and retain business for Goldman Sachs through the promise and payment of hundreds of millions of dollars in bribes.  In the course of executing the scheme, Ng conspired with others at Goldman Sachs to circumvent the investment bank’s internal accounting controls.  Through its work for 1MDB during that time, Goldman Sachs received approximately $600 million in fees and revenues, while Ng received more than $35 million for his role in the bribery and money laundering scheme.  In total, Ng and the other co-conspirators misappropriated more than $2.7 billion from 1MDB. 

As proven at trial, Ng spent years cultivating a relationship with Low in order to get him to bring business to Goldman Sachs.  In the process of doing so, Ng attempted to onboard Low as a private wealth management client for Goldman Sachs and, when confronted with questions from Goldman Sachs compliance personnel about Low’s government connections and source of wealth, lied about the extent of his relationship with Low; Ng communicated with Low about business opportunities using personal email accounts to avoid detection by Goldman Sachs compliance personnel; and Ng and Leissner attempted to work with Low on a series of side deals that were not disclosed to Goldman Sachs, and in one such potential deal, Ng, Leissner and Low discussed paying a bribe to get a deal completed.  With respect to the charged conduct, the trial evidence shows that Ng was instrumental in creating the structure of the bond deals, which enabled the theft of billions of dollars, and in lying to Goldman Sachs about Low’s involvement in the deals and the payment of bribes and kickbacks in order to get the deals approved.  To receive his $35 million in kickbacks, Ng set up a shell company in the name of his mother-in-law, and he and his wife used a bank account in the name of that company, in addition to a number of other bank accounts in the names of family members, to conceal and further launder his ill-gotten gains.  And when news about the 1MDB scheme started to become public, Ng deleted the contents of four email accounts that had been used in furtherance of the crimes, and lied to law enforcement authorities in Malaysia and Singapore investigating the scheme.

Low remains a fugitive.  In August 2018, Leissner pleaded guilty to a two-count criminal information charging him with conspiring to launder money and conspiring to violate the FCPA by both paying bribes to various Malaysian and Abu Dhabi officials and circumventing the internal accounting controls of Goldman Sachs. Leissner has been ordered to forfeit $43 million and shares of stock valued at more than $200 million.  Leissner is awaiting sentencing.

In October 2020, Goldman Sachs and Goldman Sachs (Malaysia) Sdn. Bhd. (GS Malaysia), its Malaysian subsidiary, admitted to conspiring to violate the anti-bribery provisions of the FCPA in connection with the scheme.  Goldman Sachs entered into a deferred prosecution agreement with the United States Attorney’s Office for the Eastern District of New York and the Department of Justice’s Criminal Division, Fraud Section and Money Laundering and Asset Forfeiture Section (MLARS), and GS Malaysia pleaded guilty in the U.S. District Court for the Eastern District of New York to a one-count criminal information.  Goldman Sachs also paid more than $2.9 billion as part of a coordinated resolution with criminal and civil authorities in the United States, the United Kingdom, Singapore, and elsewhere.

The investigation was jointly conducted by the FBI’s International Corruption Unit and IRS-Criminal Investigation.  The government’s criminal case is being handled by the Business and Securities Fraud Section of the United States Attorney’s Office for the Eastern District of New York, MLARS and the Fraud Section.  Assistant United States Attorneys Alixandra E. Smith, Drew G. Rolle and Dylan Stern, and MLARS Chief Brent Wible and FCPA Chief David Last are prosecuting the case; Jennifer Ambuehl, former Chief of MLARS’ Bank Integrity Unit, also prosecuted the case.  Assistant United States Attorneys Tanisha Payne and Brian Morris of the Office’s Asset Recovery Section are handling forfeiture matters.  The Criminal Division’s Office of International Affairs provided critical assistance in this case. 

The Department also appreciates the significant cooperation and assistance provided by the U.S. Securities and Exchange Commission, and the Board of Governors of the Federal Reserve System along with the Federal Reserve Bank of New York.  The Department also appreciates the significant assistance provided by the government of Malaysia, including the Attorney General’s Chambers of Malaysia, the Royal Malaysia Police and NCB Interpol Malaysia.  The Department also appreciates the significant assistance provided by the Attorney General’s Chambers of Singapore, the Singapore Police Force-Commercial Affairs Division, the Office of the Attorney General of Switzerland, the Judicial Investigating Authority of the Grand Duchy of Luxembourg and the Criminal Investigation Department of the Grand-Ducal Police of Luxembourg.

The Defendant:

NG CHONG HWA (also known as “Roger Ng”)
Age:  50
Kuala Lumpur, Malaysia

E.D.N.Y. Docket No. 18-CR-538 (MKB)

A former managing director of The Goldman Sachs Group Inc. (Goldman Sachs) was sentenced today to 10 years in prison for his role in a multibillion-dollar bribery and money laundering scheme involving Malaysia’s state-owned investment and development fund, 1Malaysia Development Berhad (1MDB).

“Today, Roger Ng was sentenced for his role in a massive and egregious bribery and money laundering scheme involving the bribery of high-level foreign officials in Malaysia and the United Arab Emirates and theft of billions of dollars meant to benefit the Malaysian people,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “The Justice Department remains firmly committed to holding accountable individuals who engage in corruption, undermine the rule of law, and abuse our financial system to launder their illicit funds.  This sentence sends a strong message to criminals around the world:  if you violate our laws, we will bring you to justice.”

According to court documents, between approximately 2009 and 2014, Ng Chong Hwa, aka Roger Ng, of Malaysia, and his co-conspirators laundered billions of dollars misappropriated and fraudulently diverted from 1MDB, including funds 1MDB raised in 2012 and 2013 through three bond transactions it executed with Goldman Sachs. As part of the scheme, Ng and his co-conspirators, including Tim Leissner, the former Southeast Asia Chairman and participating managing director of Goldman Sachs, conspired to and did pay more than $1 billion in bribes to 12 government officials in Malaysia and the United Arab Emirates to obtain and retain lucrative business for Goldman Sachs, including the 2012 and 2013 bond deals. They also conspired to and did launder the proceeds of their criminal conduct through the U.S. financial system, including funding major Hollywood films such as “The Wolf of Wall Street,” and purchasing, among other things, a $51 million Jean-Michel Basquiat painting from New York-based Christie’s auction house, a $23 million diamond necklace from a New York jeweler, millions of dollars in Hermès handbags from a dealer based on Long Island, and luxury real estate in Manhattan.

“Roger Ng was a central player in a brazen and audacious scheme that not only victimized the people of Malaysia, but also undermined the public’s confidence in governments, markets, businesses and other institutions on a global scale,” said U.S. Attorney Breon Peace for the Eastern District of New York. “Today’s sentence serves as a just punishment for the defendant’s crimes and a stern warning that there is a significant price to pay for corporate corruption.”

Ng and his co-conspirators, including Low Taek Jho, aka Jho Low, a wealthy Malaysian socialite, used Low’s close relationships with high-ranking government officials in Malaysia and the United Arab Emirates to obtain and retain business for Goldman Sachs through the promise and payment of more than a billion dollars in bribes. In the course of executing the scheme, Ng, with others at Goldman Sachs, conspired to and did circumvent the investment bank’s internal accounting controls. Through its work for 1MDB during that time, Goldman Sachs received approximately $600 million in fees and revenue, while Ng received $35 million for his role in the bribery and money laundering scheme. In total, Ng and his co-conspirators misappropriated more than $2.7 billion from 1MDB.

“This sentencing sends a strong message that those who abuse the U.S. financial system for their own gain will be held accountable,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI and our domestic and international partners remain committed to combating international corruption and will continue to investigate and pursue those who perpetrate complex criminal schemes for profit.”

“The 1MDB case and the sentencing of Mr. Ng highlight IRS Criminal Investigation’s enforcement efforts to abolish international bribery schemes,” said Special Agent in Charge Tyler Hatcher for the IRS Criminal Investigation (IRS-CI). “U.S. financial institutions have safeguards in place to combat these frauds and Mr. Ng intentionally circumvented these safeguards. This sentence is a testament to what happens when you break U.S. laws to bribe international government officials. This case represents a model for domestic and international cooperation in significant cross-border money laundering investigations and we are proud of our domestic and international law enforcement partners in this complex financial investigation.”

In August 2018, Leissner pleaded guilty to conspiring to launder money and conspiring to violate the FCPA. Leissner agreed to forfeit $43 million and shares of stock valued at more than $200 million and is awaiting sentencing. Low was indicted in November 2018 and remains a fugitive.

In October 2020, Goldman Sachs and Goldman Sachs (Malaysia) Sdn. Bhd. (GS Malaysia), its Malaysian subsidiary, admitted to conspiring to violate the anti-bribery provisions of the FCPA in connection with the scheme. Goldman Sachs entered into a deferred prosecution agreement with the Criminal Division’s Fraud Section and Money Laundering and Asset Recovery Section (MLARS), and the U.S. Attorney’s Office for the Eastern District of New York. GS Malaysia pleaded guilty in the U.S. District Court for the Eastern District of New York. Goldman Sachs paid more than $2.9 billion as part of a coordinated resolution with criminal and civil authorities in the United States, the United Kingdom, Singapore, and elsewhere.

In April 2022, Ng was found guilty by a jury of conspiring to violate the FCPA and conspiring to launder billions of dollars.

The FBI’s International Corruption Unit and IRS-CI investigated the case.

Chief Brent Wible of the Criminal Division’s MLARS, Chief David Last of the Fraud Section’s FCPA Unit, and Assistant U.S. Attorneys Alixandra E. Smith, Drew G. Rolle, and Dylan Stern for the Eastern District of New York prosecuted the case. Former Chief of MLARS’ Bank Integrity Unit Jennifer Ambuehl also prosecuted the case. The Justice Department’s Office of International Affairs provided critical assistance.

The department also appreciates the significant cooperation and assistance provided by the U.S. Securities and Exchange Commission, and the Board of Governors of the Federal Reserve System along with the Federal Reserve Bank of New York. The department also appreciates the significant assistance provided by the government of Malaysia, including the Attorney General’s Chambers of Malaysia, the Royal Malaysia Police, NCB Interpol Malaysia, and the Malaysian Anti-Corruption Commission. The department also appreciates the significant assistance provided by the Attorney General’s Chambers of Singapore, the Singapore Police Force-Commercial Affairs Division, the Office of the Attorney General of Switzerland, the Judicial Investigating Authority of the Grand Duchy of Luxembourg, the Criminal Investigation Department of the Grand-Ducal Police of Luxembourg, the United Kingdom National Crime Agency, the United Kingdom Financial Conduct Authority, the United Kingdom Prudential Regulation Authority, the Attorney General's Chambers of the Territory of the British Virgin Islands, and the Attorney General’s Office of the Bailiwick of Guernsey and the Guernsey Economic Crime Division.

The Criminal Division’s Fraud Section is responsible for investigating and prosecuting FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.

The Bank Integrity Unit in MLARS investigates and prosecutes complex, multi-district, and international criminal cases involving financial institutions. The unit’s prosecutions focus on banks and other financial institutions, including their officers, managers, and employees, whose actions threaten the integrity of the individual institution or the wider financial system.

Former 21st-Century Fox Executive Hernan Lopez and Argentine sports marketing company Full Play Group S.A., were convicted today by a federal jury in Brooklyn on all counts of a superseding indictment charging them with wire fraud and money laundering conspiracies for their participation in schemes to bribe executives of soccer’s highest governing bodies—FIFA, CONMEBOL, and, in Full Play’s case, CONCACAF—for the media and broadcasting rights to lucrative soccer tournaments.  The verdict followed a seven-week trial before United States District Judge Pamela K. Chen.  When sentenced, Lopez faces up to 40 years in prison and millions of dollars in penalties to be determined by Judge Chen.  Full Play faces millions of dollars in financial penalties.  Co-defendant Carlos Martinez was acquitted on both counts. 

Breon Peace, United States Attorney for the Eastern District of New York; Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Tyler Hatcher, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, Los Angeles Field Office (IRS-CI), announced the verdict.

“Today’s verdict is a resounding victory for justice and for soccer fans around the world.  The defendants cheated by bribing soccer officials to act in their own greedy interests rather than in the best interests of the sport,” stated United States Attorney Peace.  “The verdict today reflects this Office’s ongoing commitment to rooting out corruption at the highest levels.  Companies and individuals alike should understand that, regardless of their wealth or power, they will be brought to justice if they use the U.S. financial system to further corrupt ends.” 

Mr. Peace extended his thanks to the agents and other investigative personnel at the FBI New York Eurasian Joint Organized Crime Squad, the FBI’s Integrity in Sport and Gaming Initiative and the IRS-CI Los Angeles Field Office, as well as their colleagues and law enforcement partners in the United States and abroad. 

“The many bribery schemes that the beautiful game has endured are brought one step closer to justice by the convictions of Mr. Lopez and Full Play Group S.A..  Soccer fans around the world had a front row seat to these schemes as we watched tournaments by FIFA, CONMEBOL, and, in Full Play’s case, CONCACAF, through the media and broadcasting rights procured by fraud,” stated IRS-CI Special Agent-in-Charge Hatcher.  “The defendants hid their corrupt acts behind middlemen, offshore bank accounts, and a facade of respectability, but they could not hide from justice.  The IRS and our partners at the FBI and the Department of Justice work tirelessly to expose these corrupt acts, and today these defendants were held accountable for their actions.” 

The international soccer federation known as FIFA is comprised of six continental confederations, including the Confederation of North, Central American and Caribbean Association Football (CONCACAF), headquartered in the United States, and the Confederación Sudamericana de Fútbol (CONMEBOL).

As proven at trial, the defendants used their positions in the world of international soccer to engage in schemes involving the solicitation, offer, acceptance, payment and receipt of bribes and kickbacks, principally to obtain lucrative broadcast rights to various international soccer tournaments and events.  

Full Play, a sports marketing company incorporated in Uruguay, based in Buenos Aires, Argentina, and owned by father-and-son defendants Hugo Jinkis and Mariano Jinkis, participated in numerous schemes to pay bribes to officials of CONMEBOL and CONCACAF in exchange for media and marketing rights to various soccer events, including World Cup qualifier and friendly matches, the Copa Libertadores, and multiple editions of the Copa América, a national team tournament administered by CONMEBOL.  Hugo and Mariano Jinkis, charged in the first indictment in the case unsealed on May 27, 2015, remain fugitives.

Lopez, a formerly high-ranking executive of Fox subsidiaries responsible for developing and carrying out Fox’s sports broadcasting businesses in Latin America, joined Full Play and other co-conspirators in a scheme involving the annual payment of millions of dollars in bribes to officials of CONMEBOL in exchange for the lucrative broadcasting rights to the Copa Libertadores, the region’s most popular club tournament, among other events.  Lopez also relied on loyalty secured through the payment of bribes to certain CONMEBOL officials to advance the business interests of Fox, including to obtain confidential bidding information for the rights to broadcast the 2018 and 2022 World Cup tournaments in the United States, rights that Fox successfully obtained.

Today’s conviction is the latest accomplishment in the investigation of corruption in international soccer being led by the U.S. Attorney’s Office of the Eastern District of New York, the FBI’ s New York Field Office and the IRS-CI Los Angeles Field Office.  Criminal charges have been brought against more than 50 defendants from more than 20 countries, resulting to date in guilty pleas by more than 30 individual and corporate defendants and trial convictions of 3 individuals and 1 corporation.  In addition, 2 corporations have resolved via deferred prosecution agreements and 3 corporations have resolved via non-prosecution agreements.  Each has agreed to pay substantial financial penalties.

The government’s case was prosecuted by Assistant United States Attorneys Kaitlin T. Farrell, Robert T. Polemeni, Victor Zapana and Eric Silverberg, with key assistance provided by Assistant United States Attorneys Kristin Mace and Brian D. Morris, paralegals Matthew Flink, Jordi Martinez and Kavya Kannan, and the Justice Department’s Office of International Affairs and Organized Crime and Gang Section.

The Defendants:

HERNAN LOPEZ
Age: 52
Los Angeles, California

FULL PLAY GROUP S.A.
Buenos Aires, Argentina

E.D.N.Y. Docket No. 15-CR-252 (S-3) (PKC)

Earlier today, in federal court in Brooklyn, Brian Quinones was sentenced by United States District Judge Hector Gonzalez to 15 years in prison for sexually exploiting a child.  As part of his sentence, Quinones will be required to register as a sex offender upon his release from prison.  Quinones pleaded guilty to the charge in September 2022.

Breon Peace, United States Attorney for the Eastern District of New York, announced the sentence.

“The defendant’s sextortion of a minor is unconscionable, cruel, and deserving of the punishment he received today in order to protect our communities for the lifetime of harm he has inflicted on his victims,” stated United States Attorney Peace.  “I urge parents and caregivers to have frank conversations with their children about the dangers of communicating online with strangers who can pretend to be anyone or anything while making inappropriate requests for photos and videos.”

Mr. Peace thanked the Federal Bureau of Investigation, New York Field Office, and the New York City Police Department for their investigative work on the case.

Between September 2019 and January 2020, Quinones, who worked as a paraprofessional (a teaching assistant) at Midwood High School, used an instant messaging mobile application to trade dozens of videos and images depicting child pornography with another individual who has since been charged with child pornography-related offenses.  Following a court-authorized search of Quinones’s residence and the seizure of his electronic devices, FBI special agents discovered a series of sexually explicit messages between Quinones, who was impersonating a woman, and a minor male victim, who Quinones lured into creating and sending sexually explicit videos.  Quinones then threatened to post the victim’s material on the Internet unless the victim agreed to make additional sexually explicit content.  For example, Quinones discussed an extortion scheme in a series of direct messages with another user on his Twitter account, urging the other user: “Threaten him to do more . . . I like making boys into slaves[.]”

This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse.  Led by United States Attorneys’ Offices and the Department of Justice Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

The government’s case is being handled by the Office’s General Crimes section.  Assistant United States Attorney Eric Silverberg is in charge of the prosecution. 

The Defendant:

BRIAN QUINONES
Age:  30
Brooklyn, New York

E.D.N.Y. Docket No. 22-CR-218

The United States of America obtained a warrant to seize a Boeing 737-7JU aircraft owned by PJSC Rosneft Oil Company (Rosneft), a Russian integrated energy company headquartered in Moscow, Russia headed by Igor Ivanovich Sechin.  The United States District Court for the Eastern District of New York authorized the seizure, finding probable cause that the Boeing aircraft was subject to seizure based on violations of the Export Control Reform Act (ECRA) and the recent sanctions issued against Russia.

Breon Peace, United States Attorney for the Eastern District of New York, Task Force KleptoCapture Director Andrew C. Adams, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Jonathan Carson, Special Agent-in-Charge, US Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement, New York Field Office (BIS), announced the unsealing of the seizure warrant.

“Today’s enforcement action demonstrates there is a price to pay for Russian companies and oligarchs that flagrantly evade sanctions that the United States has imposed in response to the unjustified war against the people of the Ukraine,” stated United States Attorney Peace.  “This Office, together with our law enforcement partners, will relentlessly pursue the proceeds of unlawful conduct, be it on land, in the air, or at sea.”

Mr. Peace thanked the Justice Department’s National Security Division, Office of International Affairs, and the U.S. Treasury Department’s Office of Foreign Assets Control for their assistance in the investigation.

“By violating Commerce Department export controls, Rosneft has converted its jet into contraband.  Today’s unsealing provides a roadmap to those in the private sector and to our foreign partners who are committed to upholding the rule of law – and to stifling the Russian state’s efforts to wage an illegal war – who will refuse to provide refuge and support to the operators of this aircraft as the United States pursues its seizure and forfeiture in aid of Ukraine,” said Task Force KleptoCapture Director Adams.  

“Our enforcement action today makes clear that the U.S. Government will not tolerate Russian companies and oligarchs evading BIS export controls in order to support Russia’s war effort,” stated BIS Special Agent-in-Charge Carson.  “BIS’s Office of Export Enforcement, working with our Kleptocapture partners, will continue to aggressively investigate export violations and bring violators to justice.”

According to the seizure warrant and affidavit unsealed today:

In response to Russia’s invasion of Ukraine, in February 2022, the U.S. Department of Commerce’s Bureau of Industry and Security issued sanctions against Russia. The sanctions impose export controls and license requirements to protect U.S. national security and foreign policy interests. The Russia sanctions expanded prohibitions on the export, reexport or in-country transfer of, among other things, U.S.-manufactured aircraft to or within Russia without a valid license or license exception for aircraft owned or controlled, or under charter or lease, by Russia and/or Russian nationals. In this case, these sanctions bar a plane that was built or manufactured in the United States from entering Russia without a valid license.

Since February 2022, when the Russia sanctions went into effect, the plane has left and reentered Russia at least seven times, in violation of federal law. The Boeing jet, which was manufactured in the United States, was last in the United States in March 2014, and is currently believed to be in, or traveling to or from, Russia.  

Rosneft—which is headed by sanctioned oligarch Igor Ivanovich Sechin—owns the Boeing aircraft.  The Boeing was flown from a foreign country to Russia in violation of the ECRA and regulations issued thereunder, including the Russia sanctions.  The Boeing (pictured below) is believed to be valued at over $25 million.

The government’s case is being investigated by the Eastern District of New York’s International Narcotics and Money Laundering Section and the Criminal Division’s Money Laundering and Asset Recovery Section.  Assistant United States Attorneys Francisco J. Navarro, Tara B. McGrath and Madeline M. O’Connor are investigating the case in partnership with Trial Attorney Barbara Levy.

The seizure action is being coordinated through the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export controls and economic countermeasures that the United States, along with its foreign allies and partners, has imposed in response to Russia’s unprovoked military invasion of Ukraine.  Announced by the Attorney General on March 2, 2022, and run out of the Office of the Deputy Attorney General, the task force will continue to leverage all the department’s tools and authorities to combat efforts to evade or undermine the collective actions taken by the U.S. government in response to Russian military aggression.

E.D.N.Y. Docket No. 23-MJ-174

A complaint was unsealed this morning in federal court in Brooklyn charging Mayo Gilbert McNeil with conspiracy to commit wire fraud in connection with a scheme involving counterfeit sports trading cards.  McNeil was arrested this morning in Denver and is scheduled to make his initial appearance this afternoon in the U.S. District Court for the District of Colorado.  McNeil will be arraigned in the Eastern District of New York at a later date.

Breon Peace, United States Attorney for the Eastern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge, FBI, New York Field Office, announced the arrest and charge.    

“Protection from fraud extends to all consumers, regardless of what team they root for,” stated United States Attorney Peace.  “As alleged, the defendant orchestrated a years’ long and far-reaching scheme to defraud sports trading cards enthusiasts and the sports memorabilia industry. Our Office is committed to addressing counterfeiting at all levels of the market.”

Mr. Peace expressed his appreciation to the New York City Police Department, which conducted this investigation with the FBI. 

“As alleged, Mr. McNeil defrauded sports memorabilia collectors of more than $800,000 by intentionally misrepresenting the authenticity of the trading cards he was peddling when, in fact, they were counterfeit.  The FBI remains committed to investigating fraud at all levels and bringing the subjects who engage in it to justice,” stated FBI Assistant Director-in-Charge Driscoll.  

As set forth in court filings, between April 2015 and July 2019, the defendant conspired with others to sell and trade sports trading cards, including 1986 Fleer Michael Jordan rookie cards, with victims he found via the Internet and through online selling platforms.  The defendant misrepresented that the sports trading cards he was offering were graded by a professional authentication company, when in reality the trading cards were not authentic.  The defendant defrauded his victims of over $800,000 in cash and authentic sports trading cards that were traded for the counterfeits. 

The case is being handled by the Office’s Business and Securities Fraud Section.  Department of Justice Trial Attorney Patrick J. Campbell and Assistant United States Attorney Alexander Mindlin are in charge of the prosecution.   

The Defendant:

MAYO GILBERT MCNEIL
Age: 82
Denver, Colorado

E.D.N.Y. Docket No. 23-MJ-203

Earlier today, in federal court in Brooklyn, former New York City correction officer Eduardo Trinidad pleaded guilty to federal program fraud, admitting that he fraudulently obtained his salary from the New York City Department of Correction (DOC) by taking sick leave even though he was able to work.  On February 15, 2023, and February 27, 2023, respectively, former New York City correction officers Steven Cange and Monica Coaxum also pleaded guilty to the same charge.  Today’s proceeding was held before United States Magistrate Judge Vera M. Scanlon.  When sentenced, all three defendants face a maximum sentence of 10 years’ imprisonment.

Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, New York Field Office (FBI), and Jocelyn E. Strauber, Commissioner, New York City Department of Investigation (DOI), announced the guilty pleas.

“The defendants have admitted stealing taxpayer funds by collecting their full salaries while falsely claiming they were too sick to work,” stated United States Attorney Peace.  “Sick leave abuse is a plague on the New York City Department of Correction that puts fellow officers and inmates at risk during the ongoing staffing crisis in the jails.  This Office is working with our federal and local law enforcement partners to identify those who exploit the sick leave policy and hold them accountable.”

DOI Commissioner Strauber stated:  “These correction officers faked medical documentation to take sick leave they were not entitled to in the midst of a city jail staffing crisis.  They violated DOC policy, and they broke the law.  Their conduct — including travel around the country, partying, bowling, and home repairs, on stolen sick leave time — is an insult to the correction officers who do their jobs, who show up to work and risk their personal safety on a daily basis.  I thank the United States Attorney’s Office for the Eastern District of New York and the Federal Bureau of Investigation for their partnership in bringing this case to a close.”

According to court documents and facts presented at the guilty plea proceedings, Cange fraudulently obtained more than $139,000 in salary while on sick leave from March 2021 to November 2022.  During that period of time, Cange submitted more than 100 fraudulent medical notes to DOC claiming that he was at physical therapy or another medical provider when records subpoenaed from those providers demonstrate that Cange was not at those appointments.  Law enforcement also observed Cange engaging in normal life activities with no apparent difficulty.

Coaxum fraudulently obtained more than $80,000 in salary while on sick leave from March 2021 to April 2022, and Trinidad, her fiancée, fraudulently obtained more than $119,000 in salary while on sick leave from June 2021 to October 2022.  Although Coaxum claimed to suffer from multiple injuries, evidence collected by investigators showed that she was able to work.  During her sick leave, Coaxum submitted nearly 50 fraudulent medical notes to DOC stating that she had gone to a medical appointment at a time when law enforcement determined she was elsewhere.  Additionally, evidence showed that on some occasions when Coaxum claimed to be injured and at home, she was traveling and attending parties.

Trinidad also claimed that he was unable to work for over a year due to an injury. But video and photographic surveillance showed Trinidad performing home improvement work, bowling, and traveling abroad without any difficulty or help from equipment like an orthopedic boot, sling or cane which he used when attending required check-ins with DOC medical officials.

The defendants were arrested in November 2022 and resigned from the DOC in January 2023.

The government’s case is being handled by the Office’s Public Integrity Section. The government’s case is being prosecuted by Assistant United States Attorneys Andrew Grubin and Philip Pilmar.

The Defendants:

STEVEN CANGE

Age:  49

Brooklyn, NY

E.D.N.Y. Docket No. 23-CR-060 (NGG)

MONICA COAXUM

Age:  36

Harrison, NY

E.D.N.Y. Docket No. 23-CR-064 (LDH)

EDUARDO TRINIDAD

Age:  42

Yonkers, NY

E.D.N.Y. Docket No. 23-CR-051 (DG)

Earlier today, in federal court in Central Islip, a 15-count indictment was unsealed charging David M. Amin (D. Amin) and Bryce K. Amin (B. Amin), who are brothers, with sex trafficking by force, interstate prostitution, and distribution and possession with intent to distribute controlled substances, including fentanyl, heroin, cocaine and cocaine base.  As alleged in court filings, D. Amin and B. Amin are both members of the Bloods street gang.  D. Amin was arrested this morning and will be arraigned this afternoon before United States Magistrate Judge Lee G. Dunst.  B. Amin is presently incarcerated on state narcotics charges and will be arraigned at a later date.

Breon Peace, United States Attorney for the Eastern District of New York, Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), Rodney K. Harrison, Commissioner, Suffolk County Police Department (SCPD), and Errol D. Toulon, Jr., Suffolk County Sheriff, announced the indictment.

“As alleged, these two brothers used physical and sexual violence as well as the power of drugs to manipulate and coerce vulnerable female victims for their own financial gain,” stated United States Attorney Peace.  “The federal charges unsealed today hold the defendants accountable for their despicable acts of sex trafficking and the related distribution of dangerous drugs in our communities on Long Island.”

Mr. Peace expressed his thanks to the Nassau County District Attorney’s Office and the Nassau County Police Department for their assistance with the case.

“The indictments of brothers David and Bryce Amin highlight HSI’s steadfast commitment in the fight against both human trafficking and the distribution of fentanyl in our Long Island communities,” stated HSI Special Agent-in-Charge Arvelo.  “Bringing justice to victims of human trafficking and stopping the flow of illicit narcotics is a priority for this office. We will continue to work with our law enforcement partners and exhaust all of our resources to ensure vicious criminals like the Amin brothers who, as alleged, exploit young women and peddle poison in our communities are swiftly brought to justice.”

“The sexually depraved actions taken by the Amin brothers are nothing short of reprehensible,” stated SCPD Commissioner Harrison.  “The Suffolk County Police Department is dedicated to working with its law enforcement partners to target perpetrators of human trafficking and it is my hope these arrests bring justice to their victims.”

“Thank you to all the law enforcement agencies that collaborated on this taskforce to take down these alleged gang members and sex traffickers and to get their dangerous drugs off our streets. Criminals have no place in our communities and the Suffolk County Sheriff’s Office is committed to continuing to work with our partners to keep our neighborhoods safe,” stated Suffolk County Sheriff Toulon.

Sex Trafficking

As set forth in the court filings, between January 2020 and March 2023, the defendants allegedly conspired to use violence and threats of violence to compel multiple women to engage in commercial sex acts for the defendants’ financial benefit.  D. Amin and B. Amin recruited drug addicted women for their sex trafficking operation on Long Island, taking advantage of their vulnerability to coerce victims into prostitution who were beholden to the defendants’ supply of illegal drugs.  These defendants controlled the money derived from that business and manipulated their victims into believing that they were actually in debt to the defendants.  Additionally, D. Amin forced victims to have sex with him, which at times came with humiliating and degrading rules.  D. Amin choked and struck his victims, left one or more victims stranded in public places without money, telephones or identification, deprived them of drugs to force withdrawal symptoms, and forced at least one victim to drink his blood after claiming that he was HIV positive.  Similarly, B. Amin subjected the victims to violence and drug-related manipulation.  In a recorded call from jail in January 2021, B. Amin boasted about one of his victims, saying “You can groom a person to do something they’re not used to doing . . . .When I tell her sit, she listens, she does whatever I tell her to do.  She’s my little puppet.”

The majority of the sex trafficking activity occurred in Suffolk County in cars, apartments and hotels, including at locations in Bohemia, Islandia, Patchogue and Bayport, as well as at the Sayville Motor Lodge, which has since been closed.  Additionally, at least one victim was forced to work in Virginia, in various hotels around the Norfolk area. 

If you are a victim or have information about sex trafficking, call HSI at 1-866-347-2423.  To get help from the National Human Trafficking Hotline, call 1-888-373-7888 or text HELP or INFO to BeFree (233733).  HSI is ready to work with you in your native language, regardless of your immigration status.

Drug Trafficking

Further, the court filings allege that between August 2019 and March 2023, D. Amin conspired to distribute and possess with intent to distribute multiple controlled substances, including heroin, fentanyl, a fentanyl precursor known as “ANPP,” cocaine and cocaine base, including eight sales of narcotics to an undercover SCPD detective (Undercover).  Specifically, between November 2022 and February 2023, D. Amin met the Undercover at various locations in Suffolk County, selling him/her a substance that masqueraded as heroin, but which oftentimes was actually a dangerous cocktail of fentanyl, heroin, cocaine and ANPP.  Both defendants sold drugs through female trafficking victims to customers who were also paying them for commercial sex acts.  These sales were usually advertised online as “party favors.”  On December 22, 2021, B. Amin was arrested in Nassau County for distributing and possessing with intent to distribute a controlled substance containing cocaine base.  On that occasion, B. Amin was caught while directing a victim to a date with “party favors,” and the purported customer was actually an undercover NCPD detective.

Searches executed today at D. Amin’s homes in Freeport and Wyandanch, as well as two storage units in Suffolk County, revealed numerous electronic devices, large sums of U.S. currency and two luxury vehicles, both registered to D. Amin.               

The government’s case is being prosecuted by the Office’s Long Island Criminal Division.  Assistant United States Attorney Megan E. Farrell is in charge of the prosecution.

The Defendants:

DAVID M. AMIN (also known as “Sonny B,” “Rico,” “Tone,” “Anthony,” and “Jonathan Santos”)
Age:  28
Coram, Freeport and Wyandanch, New York

BRYCE K. AMIN (also known as “Busy B”)
Age:  23
Coram, New York

E.D.N.Y. Docket No. 23-CR-92 (GRB)

Ismael Quintero Arellanes, also known as “Fierro,” was arraigned today before United States Magistrate Judge Sanket J. Bulsara at the federal courthouse in Brooklyn on an indictment charging him with participating in a large-scale narcotics distribution conspiracy and using one or more firearms in connection with narcotic offenses.  The defendant, a Mexican citizen, was arrested in Mexico on a provisional arrest warrant issued from the Eastern District of New York and subsequently extradited from Mexico to the United States on March 1, 2023.  Quintero Arellanes was ordered detained pending trial. 

Breon Peace, United States Attorney for the Eastern District of New York, and Frank A. Tarentino III, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), announced the extradition and arraignment.

“As alleged, the defendant was a top lieutenant and head of security for Rafael Caro Quintero, an infamous drug lord whose violent organization has for decades sent thousands of kilograms of drugs to the United States,” stated United States Attorney Peace.  “Dismantling the leadership of drug trafficking organizations that have wreaked havoc here and abroad is a top priority for our Office.”

Mr. Peace extended his appreciation to the DEA’s office in Mexico City, the United States Marshals Service, the Department of Justice’s Office of International Affairs, and the Government of Mexico.

“Quintero Arellanes was the executor for RCQ's narcotics empire responsible for distributing drugs, violence, and death throughout Mexico and the United States," said DEA Special Agent in Charge Frank Tarentino.  "This extradition marks another victory for American rule of law in bringing to justice drug traffickers who have caused the most harm in our communities.   I commend the men and women who spent tireless hours on this investigation in the pursuit of Justice.”  

According to the indictment and court filings, the defendant was a high-ranking member of the Caro Quintero DTO, a violent Mexican drug trafficking organization that was led by Rafael Caro Quintero.    

As the leader of the drug trafficking organization, Caro Quintero employed numerous individuals, each of whom played a role to ensure the success of the organization, including “sicarios” or hit men who carried out acts of violence in Mexico such as murder and kidnappings to silence potential witnesses and retaliate against anyone who provided information to law enforcement; security personnel for the leadership of the enterprise; “plaza bosses” who controlled the enterprise’s territories; transporters of narcotics; and money launderers.  Quintero Arellanes served as Caro Quintero’s top lieutenant and head of security.  In that role, Quintero Arellanes served as Caro Quintero’s personal bodyguard, relayed messages and orders between Caro Quintero and other members of the organization to facilitate drug trafficking activities, and protected Caro Quintero to enable him to avoid capture.    

For his conduct, Quintero Arellanes is charged with participating in an international heroin, methamphetamine and cocaine distribution conspiracy from February 2015 through June 2018 and an international marijuana distribution conspiracy from January 1980 through June 2018, as well as using firearms in relation to his drug trafficking organization. 

Caro Quintero was arrested in Mexico on July 15, 2022 and is pending extradition to the United States.

The prosecution of Quintero Arellanes is the result of an ongoing Organized Crime Drug Enforcement Task Forces (OCDETF) investigation led by the United States Attorney’s Office for the Eastern District of New York and the DEA.  The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.  OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, the defendant faces up to life in prison.

The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section.  Assistant United States Attorneys Saritha Komatireddy, Francisco J. Navarro, Erin M. Reid, and Andrew D. Wang are in charge of the prosecution. 

The investigation was led by the New York Strike Force, a crime-fighting unit comprising federal, state and local law enforcement agencies supported by the Organized Crime Drug Enforcement Task Force and the New York/New Jersey High Intensity Drug Trafficking Area. The Strike Force is based at the DEA’s New York Division and includes agents and officers of the DEA, New York City Police Department, New York State Police, Homeland Security Investigations, U.S. Internal Revenue Service Criminal Investigation Division, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Customs and Border Protection, U.S. Secret Service, United States Marshals Service, New York National Guard, Clarkstown Police Department, U.S. Coast Guard, Port Washington Police Department and New York State Department of Corrections and Community Supervision.

The Defendant:

ISMAEL QUINTERO ARELLANES
Age: 51
Mexico

E.D.N.Y. Docket No. 15-CR-208 (S-3) (FB)

Earlier today, in federal court in Brooklyn, a five-count indictment was unsealed charging Justin Dixon, a member of the Crips street gang, with sex trafficking, coercion and enticement of a minor, sexual exploitation of a minor and felon in possession.  On February 6, 2023, Dixon was arraigned on a complaint before United States Magistrate Judge Taryn A. Merkl and a permanent order of detention was issued.

Breon Peace, United States Attorney for the Eastern District of New York; Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the indictment.

As set forth in court filings, in January 2023, Dixon allegedly used violence and threats of violence to compel the commission of commercial sex acts by a 14-year-old minor for his financial benefit.  Dixon transported the minor victim – as well as other women – to a small geographical area off of Pennsylvania Avenue in East New York, Brooklyn, which is known as the “Penn Track” or the “Blade.”  Dixon would then force the women to engage in prostitution and demanded that the proceeds of prostitution be turned over to him.  Any resistance from the victims was met with violence. 

Dixon used social media and other internet applications to establish relationships with potential victims, groom them and manipulate them into working for him as prostitutes.  The 14-year-old minor was forced to live in a Staten Island house, along with Dixon and various other women.  In that house, Dixon continued to enslave the women by forcing them to clean the house, cook for him and bathe him.  The defendant would not allow the women to be clothed inside the house and would physically punish the women if they disobeyed any of these rules.

The investigation revealed that the defendant would call Jane Doe “tiny,” presumably due to her petite figure as a small fourteen-year-old.  Dixon constantly overfed Jane Doe and consistently told her that she needed to eat more, in order to look older than her current age. The defendant also told Jane Doe he was arranging a trip to Florida for Jane Doe to have plastic surgery, including breast implants, in order to make her appear older than her current age.

The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.  If convicted of sex trafficking of a minor through force, fraud and coercion, the defendant faces a mandatory minimum sentence of 15 years’ imprisonment and a maximum of life in prison. 

If you are a victim or have information, there are several ways to contact the FBI: send a tip online at https://tips.fbi.gov or call 1-800-CALL-FBI.  They are  ready to work with you in your native language, regardless of your immigration status. 

This prosecution is part of Project Safe Childhood, a nationwide initiative led by the Department of Justice to combat the epidemic of child sexual exploitation and abuse.  Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

The government’s case is being prosecuted by Assistant United States Attorney Lauren Elbert and Lorena Michelen.

The Defendant:

JUSTIN DIXON
Age:  32
Staten Island, New York

E.D.N.Y. Docket No. 23-CR-90

Earlier today, in federal court in Brooklyn, Joseph Modile, a Nigerian national, pleaded guilty to an indictment in the Eastern District of New York charging him with conspiracy to commit bank and wire fraud and aggravated identity theft, and an information filed in the Southern District of Texas and transferred to the Eastern District of New York, charging him with money laundering and wire fraud.  The proceeding was held before United States Magistrate Judge Ramon E. Reyes, Jr.  When sentenced, Modile faces up to 20 years’ imprisonment for each of the fraud counts and the money laundering count and a consecutive sentence of two years’ imprisonment for the aggravated identity theft count.  Upon completion of his sentence, Modile faces deportation from the United States.

Breon Peace, United States Attorney for the Eastern District of New York, and Alamdar S. Hamdani, United States Attorney for the Southern District of Texas (SDTX), announced the guilty plea.

“With today’s guilty plea, Modile is revealed as a prolific fraudster and money launderer who has left a trail of fake documents, plundered bank accounts, and financial victims from Brooklyn all the way across the country,” stated United States Attorney Peace.  “I commend all of the law enforcement agencies for pulling together the threads of the defendant’s complex schemes in order to hold him accountable for his multiple crimes.”

“A major figure in fraud has been taken out of the equation,” stated United States Attorney Hamdani.  “Thanks to the partnerships in law enforcement and the sophisticated techniques used during the investigation, this prolific money launderer had no choice but admit his guilt and will be held accountable for his crimes.”

Mr. Peace expressed his thanks to the Federal Bureau of Investigation, U.S. Homeland Security Investigations, and the New York City Police Department, which conducted this investigation as part of an enterprise Priority Transnational Organized Crime (PTOC) of the Organized Crime Drug Enforcement Task Forces (OCDETF), the FBI’s Houston Field Office which led the OCDETF operation, the FBI’s Boston Field Office, U.S. Postal Inspection Service, Department of State, Diplomatic Security Service, New York County District Attorney’s Office, the Houston Police Department, and the Harris County District Attorney’s Office for their substantial assistance.  

In a scheme that was charged in the Eastern District of New York, from January 2014 and September 2018, Modile and others defrauded victims, businesses, and financial institutions in the United States through a sophisticated home equity line of credit (HELOC) scheme involving a series of bank account takeovers.  During this time, Modile and others also laundered proceeds from the bank account takeovers.  In furtherance of the HELOC fraud scheme, Modile and others acquired personal identifying information (PII) of the actual holders of the targeted bank accounts at the financial institutions.  The co-conspirators then used the PII to impersonate the actual holders of the targeted bank accounts, thereby gaining control of the accounts.  In some cases, members of the conspiracy recruited “runners,” who impersonated the actual account holders inside bank branches using forged and fraudulent identification documents created at the direction of Modile and others.  In most instances, the stolen funds were first deposited into fraudulent bank accounts set up and controlled by co-conspirators in the names of the actual victims from whom the money had been stolen.  In other cases, the bank accounts into which the stolen funds were first deposited were in the names of sham corporations, which were opened using false and fraudulent identification.  In total, Modile and others stole at least $5 million as part of the HELOC fraud scheme.

In a related scheme charged in the Eastern District of New York, in May 2018, Modile and others engaged in a separate Business Email Compromise scheme, using fraudulent emails and telephone calls to steal approximately $10.2 million from a victim company.  The co-conspirators impersonated a contractor of an entity located in St. Paul, Minnesota, through a fraudulent email address and directed representatives of the entity to deposit the funds in an account controlled by members of the conspiracy.  Modile and others then laundered those stolen funds through bank accounts controlled by members of the conspiracy.

Finally, as set forth in the information filed in the Southern District of Texas, from November 2017 until May 2018, Modile knowingly devised a scheme to defraud victims.  Modile used his cellular phone to communicate with others about financial transactions for the purpose of executing his scheme to defraud. In particular, he directed an individual already convicted in Houston, Texas to withdraw cash from their bank account and provide to others.  Modile also directed the individual in Houston to lie to their financial institution regarding the reason for withdrawing money from their account.  In February 2018, Modile orchestrated and directed a substantial amount of money into an account of the individual in Houston.  The money derived from wire fraud and Modile was aware the money came from unlawful activity. 

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

The government’s case is being prosecuted by the Office’s Business and Securities Fraud Section.  Assistant United States Attorney David Pitluck is in charge of the prosecution, with assistance from Paralegal Specialist William Daniels, along with Assistant United States Attorney Rodolfo Ramirez of the Southern District of Texas.

The Defendant:

JOSEPH MODILE
Age:  45
Los Angeles, California

E.D.N.Y. Docket Nos. 21-CR-108 and 23-CR-50 (DG)