Eastern District of New York

Earlier today, in federal court in Central Islip, Jonathan Hernandez, a member of the Sailors Locos Salvatruchas Westside (Sailors) clique of La Mara Salvatrucha, also known as the MS-13, a transnational criminal organization, pleaded guilty to racketeering charges in connection with his participation in the January 28, 2016 murder of Michael Johnson, the April 29, 2016 murder of Oscar Acosta, an attempted murder on August 10, 2016, and a conspiracy to distribute cocaine and marijuana.  The proceeding was held before United States Magistrate Judge Anne Y. Shields.  

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 Rodney K. Harrison, Commissioner, Suffolk County Police Department (SCPD), announced the guilty plea.

“In service to a violent gang and without regard for human life, the defendant and his MS-13 cohorts murdered two people, attempted to murder a third victim, and distributed dangerous narcotics,” stated United States Attorney Peace.  “With today’s guilty plea, this Office and our law enforcement partners continue to dismantle MS-13, gang member by gang member, bringing them to justice for their horrendous crimes and we will not rest until our communities are safe from gang violence.  Furthermore, it is our hope that the families of the victims find some consolation that Hernandez has been held to account for his crimes.”

“It is evident by these incomprehensible crimes, that MS-13 members have zero regard for human life and their violence has no limits,” Suffolk County Police Commissioner Harrison said. “We will continue to work with our law enforcement partners to decimate this transnational gang and I thank those involved in this case for their tireless efforts to hold this individual accountable for his heinous actions.”

According to prior court filings and statements by the defendant at the guilty plea proceeding, on January 28, 2016, a Sailors clique leader and other MS-13 members and associates were present at the Jocorena Deli in Brentwood, where they saw 29-year-old Michael Johnson, and claimed to recognize him as a member of the rival Bloods street gang.  At that point, Johnson was marked as their “food,” meaning they were going to kill him.  After receiving the requisite approval from the New York leader of the Sailors clique to commit this murder, Hernandez and several other MS-13 members were contacted, informed of the plan to kill Johnson, and instructed to bring weapons, including a machete and a baseball bat, to a wooded area near Second Avenue in Brentwood.  Johnson was lured to the secluded meeting location where MS-13 members and associates, including Hernandez, struck Johnson with the baseball bat, stabbed him with a knife, and took turns hacking him with a machete.  Johnson’s body was recovered by the SCPD on February 2, 2016. 

In early 2016, Hernandez and his fellow Sailors clique members decided to kill 19-year-old Oscar Acosta because they suspected that he was associating with the rival 18th Street gang.  The Sailors clique leader assigned roles as to which members would take the lead in planning and carrying out the murder.  On April 29, 2016, several MS-13 members encountered Acosta in a wooded area near an elementary school in Brentwood, where he had been lured under the guise of smoking marijuana.  They beat Acosta with tree limbs, knocking him unconscious.  They then bound Acosta’s hands and feet, wrapped an article of clothing around his mouth to prevent him from making noise, and summoned other MS-13 members, including Hernandez.  The MS-13 members loaded Acosta into the trunk of a car and drove to a more secluded area in Brentwood, near an abandoned psychiatric hospital.  They took Acosta, who was still alive, out of the car and carried him into the woods, where they all took turns hacking him to death with a machete.  The MS-13 members then buried Acosta’s body in a shallow grave.  Acosta’s body was discovered by law enforcement on September 16, 2016.

On August 10, 2016, Hernandez and other MS-13 members attempted to kill suspected rival gang members in Brentwood.  Hernandez and another MS-13 member, both armed with handguns, approached a house on Lukens Avenue, where the suspected rival gang members were standing outside, and fired numerous shots in their direction.  No one was struck, but a stray bullet entered a neighbor’s house and struck the headboard of a bed in which the neighbor was sleeping.  Hernandez also pleaded guilty to participating in a drug distribution conspiracy, admitting that between April 2016 and October 2017, he and other members of the Sailors clique conspired to distribute cocaine and marijuana for the financial benefit of the MS-13.

When sentenced, Hernandez faces a maximum term of life in prison.

Today’s conviction is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent, transnational criminal organization.  The MS-13’s leadership is based in El Salvador, Honduras, Guatemala and Mexico, but the gang has thousands of members across the United States.  With numerous branches, or “cliques,” the MS-13 is the most violent criminal organization on Long Island.  Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York.  A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders and assaults.  Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 60 murders in the Eastern District of New York, resulting in the convictions of dozens of MS-13 leaders and members in connection with those murders.  These prosecutions are the product of investigations led by the FBI’s Long Island Gang Task Force, which is comprised of agents and officers of the FBI, SCPD, Nassau County Police Department, Nassau County Sheriff’s Department, Suffolk County Probation Office, Suffolk County Sheriff’s Office, the New York State Police, the Hempstead Police Department, the Rockville Centre Police Department and the New York State Department of Corrections and Community Supervision. 

The government’s case is being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorneys Paul G. Scotti, Justina L. Geraci and Megan E. Farrell are in charge of the prosecution.

The Defendant:

JONATHAN HERNANDEZ (also known as “Travieso,” and “Kraken”)
Age: 24
Brentwood, New York

E.D.N.Y. Docket No. 16-CR-403 (GRB)

Earlier today, in federal court in Central Islip, Arkadiy Khaimov was sentenced by United States District Judge Joan M. Azrack to 51 months in prison for defrauding a pharmaceutical manufacturer of approximately $7.2 million by submitting fraudulent claims under the manufacturer’s Co-pay Coupon Program. As part of the sentence, Khaimov was ordered to forfeit approximately $489,000 as proceeds involved in the fraudulent scheme and to pay restitution of approximately $7.2 million. In August 2020, Khaimov pleaded guilty to conspiracy to commit mail and wire fraud.

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

“Khaimov selfishly stole from a program that was intended to reduce the cost of a medication to uninsured individuals and those in need of financial assistance, who were suffering from a serious and potentially life-threatening disease,” stated United States Attorney Peace. “Today’s sentence sends a message that incarceration and significant financial penalties are the criminal justice system’s remedies for those who would abuse such beneficial programs to benefit themselves.”

Mr. Peace expressed his appreciation to the Federal Bureau of Investigation, New York Field Office, the United States Postal Inspection Service and Internal Revenue Service-Criminal Investigation for their exemplary work on the case.

The pharmaceutical manufacturer, referred to in the indictment as “John Doe Company 1,” established the Co-pay Coupon Program to reimburse pharmacies for dispensing a prescription medication, which was described as a “priceless breakthrough” and potential “cure” for a serious and possibly deadly disease, to the uninsured and those in need of financial assistance. Between February 2017 and July 2018, Khaimov and his co-conspirators used the computers of pharmacies they operated in Queens and Manhattan to submit claims for approximately $7.2 million in reimbursements under the Co-pay Coupon Program for medications that the pharmacies never actually dispensed. In some cases, Khaimov and his co-conspirators fraudulently used the credentials of a Nassau County-based physician to submit the false claims.

The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Bradley T. King, Madeline O’Connor and Department of Justice Trial Attorney Andrew Estes are in charge of the prosecution.

The Defendant: ARKADIY KHAIMOV (also known as “Alex”)
Age: 39
Forest Hills, Queens

E.D.N.Y. Docket No. 20-CR-267 (JMA)

A two-count indictment was unsealed today in United States District Court for the Eastern District of New York charging Cory Zeidman with conspiracy to commit wire fraud, mail fraud and money laundering conspiracy in connection with a sports betting fraud scheme he operated from Long Island and Florida. The defendant was arrested this morning and Florida and will make his initial appearance at the federal courthouse in Miami.  

Breon Peace, United States Attorney for the Eastern District of New York, Ricky Patel, Acting Special Agent-in-Charge, Homeland Security Investigations (HSI), New York, Patrick Ryder, Commissioner, Nassau County Police Department, and Daniel Brubaker, United States Postal Inspector in Charge, announced the charges.  

“As alleged, Zeidman defrauded his victims, stole their life savings and persuaded them to drain their retirement accounts to invest in his bogus sports betting group, all so he could spend it on international vacations, a multi-million dollar residence and poker tournaments,” stated United States Attorney Breon Peace. “Today’s indictment serves as a reminder to all of us to be wary of so-called investment opportunities that purport to have inside information, as they are really a gamble not worth taking.” 

“As alleged, Zeidman preyed on individuals who were led to believe he had inside information that would lead them to easy money. In reality, he was selling nothing but lies and misinformation— bilking millions from victims along the way, leaving their lives in financial ruin and their bank accounts empty,” said HSI New York Acting Special Agent in Charge Ricky J. Patel. “HSI will continue to work together with our partners to follow the money and tackle complex financial investigations to bring to justice fraudsters like Zeidman, who finance their lavish lifestyles by concocting ways to bamboozle the innocent when their only real goal is lining their pockets with ill-gotten cash.” 

“Mr. Zeidman took advantage of the public’s interest to “get in on the ground floor” of his sports betting organization.  He devised a criminal scheme to fatten his pockets using nothing more than people’s love for sports and his clever words wrapped around a fraud.  Postal Inspectors remind investors to thoroughly review all investment offers to ensure they are not left with a line of empty promises and a drained bank account,” said Inspector in Charge Brubaker.  

The defendant was the leader of an organization that placed national radio advertisements to lure victims to retain the organization for sports betting advice.  The victims were led to believe that the organization had privileged information that made betting on sporting events a no risk proposition.  Victims were required to pay a fee to obtain this information which, unbeknownst to them, was either fictitious or obtained from an internet search by defendant and his co-conspirators.  Many victims lost their life savings. 

The defendant used the following aliases:  Richard Barnes, Walter Barr, Mr. Carlyle, Ray Palmer, Rick Cash, Elliot Stern, Gordon Howard, David Coates, Simon Coates, Paul Knox, Mark Lewis, Joel Orenstein and Steve Nash.  Some of the company names used by defendant’s scheme were Gordon Howard Global, Ray Palmer Group and Grant Sports International.    

Any individuals who believe they may have been the victim of the alleged crimes perpetrated in connection with this release can contact HSI at 1-866-347-2423. 

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

The government’s case is being prosecuted by Assistant United States Attorneys Anthony Bagnuola, Charles P. Kelly and Diane Beckmann.

The Defendant: 

CORY ZEIDMAN 
Age:  61 
Boca Raton, Florida

E.D.N.Y. Docket No. 22-CR-228 (JS)

A New York man was found guilty by a federal jury in Brooklyn, following a three-week trial before U.S. District Judge Nicholas G. Garaufis, of one count of conspiracy to provide material support to the Islamic State of Iraq and al-Sham (ISIS), and five substantive counts of providing material support to ISIS.

According to court documents and evidence presented at trial, Mirsad Kandic, 40, of Brooklyn, New York, and Kosovo, Bosnia and Herzegovina, was a high-ranking member of ISIS, a designated foreign terrorist organization. He had multiple responsibilities within the global terrorist organization, including recruiting foreign fighters, trafficking foreign fighters from the West through Turkey and into Syria, and obtaining weapons, military equipment, maps, money, and false identifications for ISIS fighters. In carrying out these responsibilities, the defendant worked directly with ISIS emirs and battlefield commanders, including Bajro Ikanovic, who commanded an ISIS training camp in Syria beginning in or around 2014. Ikanovic, in turn, reported to Omar Shishani, then the top military commander for ISIS, and a key advisor to Abu Bakr al-Baghdadi, who was, at the time, the leader of ISIS and the self-declared Caliph of the Islamic State. 

According to the testimony of 36 witnesses and evidence drawn from six continents, Kandic attempted to leave the United States to fight jihad as early as the summer of 2012. He was denied boarding at the United States point of departure and notified that he was on the no-fly list. In January 2013, Kandic attempted to fly from Toronto, Canada, to Istanbul, Turkey, on a direct flight. He was again denied boarding. The defendant then took a two-day Greyhound bus ride from New York City to Monterrey, Mexico, in November 2013, and flew through Panama, Brazil, Portugal, Germany, Kosovo, and Turkey before arriving in Syria at the end of 2013. In Syria, Kandic joined ISIS and became a fighter for the group in Haritan, an ISIS stronghold in the outskirts of Aleppo, wielding Russian-made PK machine guns and AK-47 assault rifles.

ISIS leadership then directed Kandic to Turkey to take up the role of smuggling foreign fighters and weapons into Syria from abroad, and to serve as an emir for ISIS media. Kandic disseminated ISIS recruitment messages and gruesome propaganda using more than 120 Twitter accounts. For example, Kandic sent out an ISIS-produced “documentary” titled the “Flames of War.” This video celebrated ISIS conquests and macabre executions of ISIS captives, including instances where victims were forced to dig their own graves before being summarily executed by gunshot. The defendant tweeted that this video was the “best thing ever seen on screen.”

Kandic was also a dedicated and prolific recruiter of foreign fighters for ISIS. He sent thousands of radicalized ISIS volunteer fighters from Western countries into ISIS-controlled territories in Syria and elsewhere in the Middle East. This included a fellow New Yorker who became an ISIS sniper and sniper trainer, and another individual who became an emir for ISIS safehouses in the Idlib province of Syria.

One foreign fighter recruited by the defendant was Jake Bilardi of Australia. Bilardi contacted the defendant in June 2014 for assistance in traveling to Syria to join ISIS. Kandic provided Bilardi – who had just turned 18 years old and had never traveled internationally before – with instructions and guidance for reaching Istanbul, Turkey. Kandic then arranged for Bilardi to be picked up at the airport in Istanbul and smuggled him into Syria. Kandic maintained contact with Bilardi as he became an ISIS fighter and ISIS suicide bomber. Bilardi went on to commit a suicide truck attack with fellow ISIS members on March 11, 2015, in Ramadi, Iraq, killing himself, more than 30 Iraqi soldiers, and an Iraqi policeman. Prior to the attack, the defendant wished Bilardi well and stated, “May Allah make [their] inner organs implode.” After the attack, Kandic praised Bilardi, both on Twitter and to a co-conspirator. In audio recordings referencing similar suicide attacks, the defendant praised the killing of more than 90 people as “good.”

In addition, Kandic provided battlefield intelligence and maps to ISIS battlefield commanders and fighters on the ground, including Ikanovic. Kandic also conspired with Ikanovic and other ISIS members in Syria to dig tunnels under the Turkey-Syria border to move 800-1000 fighters into ISIS at a time. Kandic also shaped the information environment in which ISIS operated by enforcing ISIS media and publicity discipline. For example, the defendant directed other ISIS supporters to refrain from posting any information about the success (or failure) of ISIS recruitment efforts as well as to minimize any reporting about ISIS military action. Kandic also managed money for ISIS fighters in Syria, including two ISIS fighters who gave the defendant their bank cards, from which bank records showed more than $40,000 was transacted. Kandic smuggled weapons to ISIS in Syria, including a rifle scope for an ISIS sniper. Kandic operated a private market via Telegram – called “Khilafah (Caliphate) Market” – for which the defendant was the group administrator with authority to restrict access to the group. Members frequently posted firearms and military equipment for sale, including mortars, suicide belts, assault rifles, and other firearms. Among the members of the defendant’s private Telegram market was Abu Luqman, who, at the time, was the ISIS governor for the Raqqa province, ISIS’s de facto capital in Syria.

Kandic was arrested in Sarajevo, Bosnia and Herzegovina. He was convicted of one count of conspiracy to provide material support to ISIS and five substantive counts of providing material support to ISIS in the forms of personnel, including himself, Bilardi, and others, as well as services, weapons, property, and equipment, and false documentation and identification. At sentencing, he faces a maximum sentence of life imprisonment on the two counts resulting in death, and 20 years’ imprisonment on each of the other four charges. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant U.S. Attorneys Saritha Komatireddy, J. Matthew Haggans, and Josh Hafetz for the Eastern District of New York are prosecuting the case, with valuable assistance provided by Trial Attorney Jennifer Levy of the National Security Division’s Counterterrorism Section and paralegals Matt Wulf and Huda Abouchaer.

The Justice Department’s Office of International Affairs, the FBI’s Legal Attachés abroad, and foreign authorities in multiple countries on three continents provided critical assistance in this case. The Department of State’s Regional Security Office in Sarajevo provided critical assistance in this case. In addition, the Bosnian and Herzegovina State Investigation and Protection Agency, the Bosnian and Herzegovina State Intelligence and Security Agency, the Bosnian and Herzegovina Foreigners’ Affairs Service, the Bosnian and Herzegovina State Prosecutor’s Office, the Ministry of Justice of Bosnia and Herzegovina, the Australian Federal Police, the Victoria Police (Australia), the Australian Border Force, the Australian Department of Foreign Affairs and Trade, the Australian Attorney-General’s Department, the Prosecutor General’s Office of the Republic of Kazakhstan, the Iraqi Ministry of Defense, Joint Operations Command in Iraq, and the FBI Legal Attaché Offices in Sarajevo, Canberra, Nur-Sultan, and Baghdad, provided extraordinary assistance in the investigation and prosecution. The Ministry of Justice for the Republic of Finland, and Federal Office of Justice in the Federal Republic of Germany, the Department of Justice & Constitutional Development in the Republic of South Africa, and the central authorities responsible for mutual legal assistance in Albania, North Macedonia, Montenegro, and Ukraine; and the FBI’s Legal Attaché Offices in those countries provided valuable support in the investigation.

The department also thanks the Ministry of Justice for the Republic of Finland, the Stuttgart Police Department and Federal Office of Justice in the Federal Republic of Germany, the Department of Justice & Constitutional Development in the Republic of South Africa, and the central authorities responsible for mutual legal assistance in Albania, North Macedonia, Montenegro, and Ukraine, as well as FBI’s Legal Attaché Offices in those countries for their assistance in the investigation.

A federal jury in Brooklyn returned a guilty verdict yesterday against Mirsad Kandic on one count of conspiracy to provide material support to the Islamic State of Iraq and al-Sham (ISIS), and five substantive counts of providing material support to ISIS in the form of personnel, including himself, Australian citizen Jake Bilardi, and others, as well as services, weapons, property, equipment, false documentation and identification, all between January 2013 and June 2017, when the defendant was arrested in Sarajevo, Bosnia and Herzegovina.  The verdict followed a three-week trial before United States District Judge Nicholas G. Garaufis.  When sentenced, Kandic faces a maximum sentence of life imprisonment on the two counts of the indictment resulting in death, and 20 years’ imprisonment on each of the other four charges.

Breon Peace, United States Attorney for the Eastern District of New York, Matthew Olsen, Assistant Attorney General of the Justice Department’s National Security Division, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Ricky J. Patel, Acting Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the verdict.

“Kandic was a high-ranking member of ISIS who recruited countless fanatics, helping them travel to Syria and other territories to become ISIS fighters.  In addition to fueling the front lines of the ISIS army, the defendant aided the extremist group in many other ways, including by providing weapons and spreading its violent propaganda across the globe, to further its bloody and brutal terrorist campaign.  Kandic’s actions were directly linked to attacks and significant loss of life,” stated United States Attorney Peace.  “With today’s verdict, Kandic has been held accountable for his barbaric crimes.  This Office and our law enforcement partners will never rest in our mission to protect the United States from those who threaten its safety and security.”

“Kandic helped to build a secret supply chain of willing fighters for ISIS, recruiting them over social media and ensuring their illegal transit into Syria so they could wage war. He played a vital role in the terrorist group's communications network allowing ISIS to maintain its stranglehold on territory within Syria, and propagating ISIS fighters around the world to plot attacks. Although the threat posed by ISIS has evolved, we must continue our pursuit and punishment of those who support the terrorist organization,” stated Assistant Director-in-Charge Driscoll.

“Kandic’s blind loyalty and dedication to engage in jihad was evident in his determination to join and then support the horrific actions of ISIS, whose terror campaigns have resulted in countless deaths around the world.  For years, Kandic was deeply entrenched, orchestrating the movement of personnel and materiel and even helping to shape the messaging and image of ISIS in an effort to recruit and radicalize new followers,” said Homeland Security Investigations (HSI) New York Acting Special Agent in Charge Ricky J. Patel.  “The verdict returned today is the result of years of multi-jurisdictional cooperation between international and domestic partners. HSI will continue to work alongside our partners to ensure the safety of individuals around the world from the actions of radical terrorists and bring those who seek to engage in terrorist acts to justice.”

As proven at trial, the evidence and testimony established that the defendant was a high-ranking member of ISIS—the deadliest terrorist organization in the world.  He had multiple responsibilities within the global terrorist organization, including recruiting foreign fighters, trafficking foreign fighters from the West through Turkey and into Syria, and obtaining weapons, military equipment, maps, money, and false identifications for ISIS fighters.  In carrying out these responsibilities, the defendant worked directly with ISIS emirs and battlefield commanders, including Bajro Ikanovic, who commanded an ISIS training camp in Syria beginning in or around 2014.  Ikanovic, in turn, reported to Omar Shishani, then the top military commander for ISIS, and a key advisor to Abu Bakr al-Baghdadi, at the time the leader of ISIS and the self-declared Caliph of the Islamic State. 

The witness testimony—which included 36 witnesses and evidence drawn from six continents—established the following:  Kandic attempted to leave the United States to fight jihad as early as the summer of 2012.  He was denied boarding and notified that he was on the No-Fly List.  In January 2013, Kandic attempted to fly from Toronto, Canada to Istanbul, Turkey on a direct flight.  He was again denied boarding.  The defendant then took a two-day Greyhound bus ride from New York City to Monterrey, Mexico, in November 2013, and flew through Panama, Brazil, Portugal, Germany, Kosovo, and Turkey before arriving in Syria at the end of 2013.  In Syria, Kandic joined ISIS and became a fighter for the group in Haritan, an ISIS stronghold in the outskirts of Aleppo, wielding Russian-made PK machine guns and AK-47 assault rifles.

ISIS leadership then directed Kandic to Turkey to take up the role of smuggling foreign fighters and weapons into Syria from abroad, and to serve as an emir for ISIS media.  Kandic disseminated ISIS recruitment messages and gruesome propaganda using more than 120 Twitter accounts.  For example, Kandic sent out an ISIS-produced “documentary” titled the “Flames of War.”  This video celebrated ISIS conquests and macabre executions of ISIS captives, including instances where victims were forced to dig their own graves before being summarily executed by gunshot.  The defendant tweeted that this video was the “best thing ever seen on screen.”

Kandic was also a dedicated and prolific recruiter of foreign fighters for ISIS.  He sent thousands of radicalized ISIS volunteer fighters from Western countries into ISIS-controlled territories in Syria and elsewhere in the Middle East.  This included a fellow New Yorker who became an ISIS sniper and sniper trainer, and another individual who became an emir for ISIS safehouses in the Idlib province of Syria.

One foreign fighter recruited by the defendant was Jake Bilardi of Australia.  Bilardi contacted the defendant in June 2014 for assistance in traveling to Syria to join ISIS.  Kandic provided Bilardi—who had just turned 18 years old and had never traveled internationally before—with instructions and guidance for reaching Istanbul, Turkey.  Kandic then arranged for Bilardi to be picked up at the airport in Istanbul and smuggled him into Syria.  Kandic maintained contact with Bilardi as he became an ISIS fighter and ISIS suicide bomber.  Bilardi went on to commit a suicide truck attack with fellow ISIS members on March 11, 2015, in Ramadi, Iraq, killing himself, more than 30 Iraqi soldiers, and an Iraqi policeman.  Prior to the attack, the defendant wished Bilardi well and stated, “May Allah make there inner organs implode.”  After the attack, Kandic praised Bilardi, both on Twitter and to a co-conspirator.  In audio recordings referencing similar suicide attacks, the defendant praised the killing of more than 90 people as “good.”

In addition, Kandic provided battlefield intelligence and maps to ISIS battlefield commanders and fighters on the ground, including Ikanovic.  Kandic also conspired with Ikanovic and other ISIS members in Syria to dig tunnels under the Turkey-Syria border to move 800-1000 fighters into ISIS at a time.  Kandic also shaped the information environment in which ISIS operated by enforcing ISIS media and publicity discipline.  For example, the defendant directed other ISIS supporters to refrain from posting any information about the success (or failure) of ISIS recruitment efforts as well as to minimize any reporting about ISIS military action.  Kandic also managed money for ISIS fighters in Syria, including two ISIS fighters who gave the defendant their bank cards, from which bank records showed more than $40,000 in transactions.  Kandic smuggled weapons to ISIS in Syria, including a rifle scope for an ISIS sniper.  Kandic operated a private market via Telegram—called “Khilafah (Caliphate) Market”—for which the defendant was the group administrator with authority to restrict access to the group.  Members frequently posted firearms and military equipment for sale, including mortars, suicide belts, assault rifles, and other firearms.  Among the members of the defendant’s private Telegram market was Abu Luqman, who, at the time, was the ISIS governor for the Raqqa province, ISIS’s de facto capital in Syria.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Saritha Komatireddy, J. Matthew Haggans, and Josh Hafetz are in charge of the prosecution, with assistance from Trial Attorney Jennifer Levy of the Counterterrorism Section of the National Security Division of the Department of Justice and Office Paralegals Matt Wulf and Huda Abouchaer.

The Justice Department’s Office of International Affairs, the FBI’s Legal Attachés abroad, and foreign authorities in multiple countries on three continents provided critical assistance in this case.  The Office extends its appreciation to the Bosnian State Investigation and Protection Agency, the Bosnian State Intelligence and Security Agency, the Bosnian Foreigner’s Affairs Service, Ministry of Justice of Bosnia and Herzegovina, the Bosnian State Prosecutor’s Office, the Australian Federal Police, the Victoria Police (Australia), the Australian Border Force, the Australian Department of Foreign Affairs and Trade, the Australian Attorney-General’s Department, the Prosecutor General’s Office of the Republic of Kazakhstan, the Iraqi Ministry of Defense, Joint Operations Command in Iraq, and the FBI Legal Attaché Offices in Sarajevo, Canberra, Nur-Sultan, and Baghdad, for their extraordinary assistance in the investigation and prosecution.  The Office also thanks the Ministry of Justice for the Republic of Finland, the Stuttgart Police Department and Federal Office of Justice in the Federal Republic of Germany, the Department of Justice & Constitutional Development in the Republic of South Africa, and the central authorities responsible for mutual legal assistance in Albania, North Macedonia, Montenegro, and Ukraine, as well as the FBI’s Legal Attaché Offices in those countries for their assistance in the investigation.

The Defendant:

MIRSAD KANDIC
Age: 40
Brooklyn, New York; Kosovo

E.D.N.Y. Docket No. 17-CR-449 (NGG)

Earlier today, in federal court in Brooklyn, Nalerton Charles, also known as “Lite,” was sentenced by United States District Judge I. Leo Glasser to 210 months’ imprisonment for distribution and possession with intent to distribute narcotics.  Charles pleaded guilty to the charge in November 2021.  

Breon Peace, United States Attorney for the Eastern District of New York, Frank A. Tarentino III, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), and Kevin P. Bruen, Superintendent, New York State Police (NYSP), announced the sentence.

“Charles contributed to the terrible opioid epidemic in our district by selling heroin laced with fentanyl, and on occasion fentanyl alone, with flagrant disregard for the potentially deadly consequences of the drugs to users,” stated United States Attorney Peace.  “The defendant’s conviction and today’s sentence are the result of the relentless efforts by this Office and our law enforcement partners to prosecute traffickers dealing lethal drugs for profit and bring justice for the victims and families devastated by the opioid scourge.”

“Fentanyl is responsible for nearly 80% of all drug-related overdose deaths in New York,” stated DEA Special Agent-in-Charge Tarentino.  “It is cases like this that highlight the dangers of synthetic drugs and the consequences associated with illicit drug use and drug trafficking.  I commend the members of the New York Drug Enforcement Task Force and the U.S. Attorney’s Office Eastern District of New York for their relentless work in keeping the communities safe.”

“As this case demonstrates, anyone who peddles this deadly poison in our city will be arrested and prosecuted to the fullest extent of the law,” stated NYPD Commissioner Sewell. “The callous disregard for human life displayed by this defendant is indicative of the reckless and negligent depravity of dealing illegal drugs. These criminals prey on some of our community’s most vulnerable people, and the NYPD will never cease in our efforts to bring them to justice. I want to thank the U.S. Attorney for the Eastern District, the DEA, and all of our investigators for their outstanding work on this case.”

“Mr. Charles sentencing illustrates the work of a strong law enforcement partnership that has resulted in a dangerous individual being taken off the streets. Drugs such as heroin and fentanyl destroy families, communities and put lives at risk. This sentencing sends a clear message that we will not tolerate the illegal drug activity and the deadly consequences associated with it. We will remain vigilant in pursuing and prosecuting criminals who threaten the safety of our neighborhoods,” stated NYSP Superintendent Bruen.

Between July 2018 and April 2019, Charles sold at least 40 grams of fentanyl and heroin laced with fentanyl.  The investigation revealed that on September 9, 2018, a 43-year-old individual (John Doe-1) died of a drug-related overdose at his residence on Staten Island.  Drug packaging found near John Doe -1’s body was consistent with the packaging that Charles used for the narcotics he sold, and a search of John Doe-1’s phone indicated that he had purchased narcotics from Charles the night before his death. On April 23, 2019, a 29-year-old individual (John Doe -2) died of a drug-related overdose at his residence on Staten Island.   A search of John Doe -2’s phone revealed text messages between Charles and John Doe -2.  On the morning of John Doe-2’s death, he texted Charles, “Is it mix w fentonal…Just wanna know to be careful”.  Shortly before John Doe -2’s body was discovered, Charles texted Victim-2: “U good”.  Autopsies performed on both victims revealed traces of heroin and fentanyl in their bodies.  Additionally, Charles sold pure fentanyl to a confidential source and an undercover NYPD officer in doses that could have been lethal if consumed.

According to the Centers for Disease Control and Prevention (CDC) and the Department of Justice, in 2019, nearly 71,000 people died from drug overdoses, making it a leading cause of injury-related death in the United States. The increase in overdose deaths has been driven in large part by fentanyl ­­– a drug that has been described as 50 to 100 times more potent than morphine.  In 2019, over 14,000 people died in the United States from a drug overdose involving heroin.  From 2013 to 2019, the synthetic opioid death rate increased by more than 1,000 percent.  Of those deaths, over 70% involved a prescription or illicit opioid.  Among New York State residents, the number of overdose deaths involving any opioid increased each year between 2010 and 2017, with an overall increase of 200.2 percent from 1,074 in 2010 to 3,224 in 2017, according to the New York State Health Department.   

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

The government’s case is being prosecuted by Department of Justice Trial Attorney Miriam L. Glaser Dauermann of the Criminal Division’s Fraud Section under the supervision of the U.S. Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section. 

The Defendant:

NALERTON CHARLES (also known as “Lite”)
Age: 38
Staten Island, New York

E.D.N.Y. Docket No. 19-CR-293 (ILG)

Earlier today, in federal court in Central Islip, Christian Romandetti, Sr., the former Chief Executive Officer of First Choice Healthcare Solutions, Inc. (FCHS), a publicly traded company based in Melbourne, Florida pleaded guilty before United States District Judge Joanna Seybert to conspiracy to commit securities fraud. When sentenced, Romandetti faces up to 5 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 guilty plea.

“Through deceptive means, the defendant cheated his investors, many of whom were elderly,” stated United States Attorney Peace. “With today’s guilty plea, Christian Romandetti, Sr. is held responsible for orchestrating and profiting from a pump-and-dump scheme involving shares of his own healthcare services company.”

Mr. Peace also expressed his grateful appreciation to the United States Securities and Exchange Commission for their significant cooperation and assistance in the investigation.

As alleged in the indictment, between May 2013 and June 2016, the defendant and others engaged in a multi-million dollar scheme to defraud investors and potential investors in FCHS by artificially controlling the price and volume of traded shares in FCHS through, among other things:

• artificially generating price movements and trading volume in the shares, and
• material misrepresentations and omissions in their communications with victim investors about FCHS stock, relating to, among other things, the advisability of purchasing such stock.

To execute this scheme, the defendant and others fraudulently concealed their control of shares of FCHS stock that were held in brokerage accounts in the names of other individuals or entities.

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

The Defendant: CHRISTIAN ROMANDETTI, SR.
Age: 61
Indiatlantic, Florida

E.D.N.Y. Docket No. 18-CR-614 (JS)

A 10-count indictment was unsealed today in federal court in Brooklyn charging Somorie Moses, also known as “Somorie Barfield,” “Sugar Bear,” “Bear” and “Daddy,” with the 2017 murder of one woman, Leondra Foster, and with sex trafficking eight women.  This indictment is believed to be the first use of the federal statute criminalizing murder in the course of sex trafficking.  Moses will be arraigned this afternoon before United States Magistrate Judge Robert M. Levy.

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 charges.

“Sex trafficking is a modern form of slavery that uses violence and fear to force vulnerable individuals to work for someone else’s profit, in this case resulting in the alleged brutal murder of one of the victims,” stated United States Attorney Peace.  “This Office will continue to prioritize investigation and prosecution of these heinous crimes.  I thank the victims for their bravery in coming forward to report the defendant’s crimes and hope that this prosecution will help bring them and Ms. Foster’s family closure.” 

Mr. Peace also expressed his grateful appreciation to the FBI, the NYPD, and the Kings County District Attorney’s Office for their work and assistance in this investigation and prosecution.

“Words do not adequately convey the depravity of the long list of actions Moses allegedly took to torment and terrorize women so he could traffic them for money,” stated FBI Assistant Director-in-Charge Driscoll.  “He's accused of storing a woman's head in his freezer after he killed her. Imagine how hard it is for his victims to come forward - but they have and should be commended for their bravery. They will help us bring Moses to justice for his alleged crimes, and will keep him from harming another human being.”

“The NYPD is committed to protecting the survivors of sex trafficking and holding fully accountable anyone who would seek to profit through the abuse and exploitation of another human being,” stated NYPD Commissioner Sewell. “The level of depravity allegedly shown in this case is truly beyond the pale. I thank and commend the U.S. Attorney’s Office for the Eastern District, and our partners at the FBI and the Kings County District Attorney’s Office, for their support in building this critical case.”

According to the indictment in this case and other court filings, since at least 2003, Moses allegedly forced women and girls, including minors, into prostitution for his benefit using violence, threats of violence, and psychological manipulation.  After meeting his victims, Moses used false promises of love and marriage to initiate sexual relationships with them before demanding that they work as prostitutes and turn over the money they earned to him.  Moses used brutal beatings, rape, torture, and threats to coerce his victims to work in prostitution in Brooklyn and Queens and to comply with his orders.  Moses pressured many of his victims into getting his first name, “Somorie,” tattooed on their bodies. 

As alleged, Moses used extreme violence to force his victims to work in prostitution for his benefit.  For example, when one victim refused to engage in prostitution, Moses used a taser against her until she complied.  On another occasion, Moses slashed a victim’s arms and back with a razor and beat her with a belt before pouring lemon juice on her wounds, leaving her permanently scarred.  When another victim did not do as Moses ordered, he beat her with an extension cord and threatened to rub salt in her wounds.  When another victim told Moses she did not want to work as a prostitute, he put a shotgun in her mouth and threatened to kill her and her child.

In the early morning hours of January 13, 2017, Moses allegedly murdered Leondra Foster, one of his many sex trafficking victims, by beating her until she died.  The following morning, using a knife and a saw, Moses dismembered Foster’s body inside their shared apartment in Brooklyn, New York.  Four days later, on the morning of January 17, 2017, Moses brought Foster’s torso and limbs to the Bronx for disposal at a sanitation site.  Foster’s head, hands and feet — including a foot with the name “Somorie” tattooed on it — were subsequently recovered by law enforcement inside the deep freezer of Moses’s apartment. 

The government’s investigation is ongoing.  Anyone with information about crimes perpetrated by Somorie Moses is asked to contact the FBI at 1-800-CALL-FBI, and reference this case.

The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.  If convicted of the murder charge, Moses faces life imprisonment, and is eligible for the death penalty.

The government’s case is being handled by the Office’s Civil Rights Section.  Assistant United States Attorneys Jonathan Siegel and Tanya Hajjar are in charge of the prosecution.

The Defendant:

SOMORIE MOSES (also known as “Somorie Barfield,” “Sugar Bear,” “Bear” and “Daddy”)
Age:  45
Brooklyn, New York

E.D.N.Y. Docket No. 22-CR-232 (CBA)

Earlier today, at the federal courthouse in Brooklyn, Luis Enrique Martinelli Linares (Luis Martinelli Linares) and Ricardo Alberto Martinelli Linares (Ricardo Martinelli Linares) were each sentenced to 36 months’ imprisonment and a $250,000 fine for their roles in a massive bribery and money laundering scheme involving Odebrecht S.A. (Odebrecht), a Brazil-based global construction conglomerate.  The proceedings were held before United States District Judge Raymond J. Dearie.

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 of the Federal Bureau of Investigation, New York Field Office (FBI), announced the sentences.

“The Martinelli brothers used American banks to commit their selfish, greedy fraud – and now it is the American legal system serving justice with today’s sentencing, especially for the people of Panama,” stated United States Attorney Peace. “Together, the Department of Justice, this Office and our law enforcement partners stand firm against international corruption and will use all tools at our disposal to root it out.”

“Ricardo and Luis Martinelli Linares directed millions of dollars in bribes through U.S. banks to their own Swiss accounts in order to help Odebrecht gain corrupt influence at the highest levels of the Panamanian government,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Today’s sentences show that the Department of Justice remains committed to prosecuting individuals who enable and profit from laundering corrupt payments to foreign officials through the U.S. financial system, as well as those who attempt to spend the proceeds of corruption in the United States.”

“The defendants laundered millions of dollars in bribes through the U.S. financial system to benefit a close relative and maintain their luxury lifestyles,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “Today’s sentencing shows that the FBI and our law enforcement partners are committed to bringing to justice anyone who enables the corruption of public officials for personal gain.”

The overarching Odebrecht scheme involved the payment of more than $700 million in bribes to government officials, public servants, political parties, and others in Panama and other countries around the world to obtain and retain business for the company.  On December 21, 2016, Odebrecht pleaded guilty in the Eastern District of New York to a criminal information charging it with conspiracy to violate the anti-bribery provisions of the Foreign Corrupt Practices Act for its involvement in the bribery and money laundering scheme. 

In December 2021, both defendants pleaded guilty to conspiracy to commit money laundering and admitted that they had agreed with others to establish offshore bank accounts in the names of shell companies to receive and disguise over $28 million in bribe proceeds from Odebrecht for the benefit of a close relative, a high-ranking public official in Panama.  According to court documents, approximately $19 million of the bribes were transferred through U.S. banks.  Luis Martinelli Linares also used some of the proceeds of the scheme to purchase a $1.7 million yacht and a $1.3 million condominium in the United States, and Ricardo Martinelli Linares spent hundreds of thousands of dollars in proceeds to pay personal expenses. 

Luis Martinelli Linares and Ricardo Martinelli Linares were initially arrested at el Aeropuerto Internacional la Aurora in Guatemala on July 6, 2020, pursuant to a provisional arrest request from the United States, as they were attempting to depart Guatemala on a private plane.  The defendants were charged on February 4, 2021, in an indictment in connection with this bribery and money laundering scheme.  Both defendants were ultimately extradited from Guatemala. 

The case is being prosecuted by Assistant United States Attorney Alixandra Smith of the Office's Business and Securities Fraud Section, Trial Attorney Michael Culhane Harper of the Criminal Division's Fraud Section, and Trial Attorneys Michael Redmann and Barbara Levy of the Criminal Division's Money Laundering and Asset Recovery Section.  Assistant United States Attorneys Laura Mantell and Tanisha Payne of the Office's Asset Recovery Sectin are handling forefiture matters.  The FBI's International Corruption Unit in New York is investigating this case. 

The Defendants:

LUIS ENRIQUE MARTINELLI LINARES
Age: 40
Panama City, Panama

RICARDO ALBERTO MARTINELLI LINARES
Age: 43
Panama City, Panama

E.D.N.Y. Docket No. 21-CR-65 (RJD)

Two brothers, each a dual-citizen of Panama and Italy, were each sentenced to 36 months in prison for laundering $28 million in a bribery and money laundering scheme involving Odebrecht S.A. (Odebrecht), a Brazil-based global construction conglomerate. The defendants were also ordered to forfeit more than $18.8 million, pay a $250,000 fine and serve two years’ supervised release.

Luis Enrique Martinelli Linares, 40, and Ricardo Enrique Martinelli Linares, 42, each pleaded guilty to conspiracy to commit money laundering and admitted to agreeing with others to establish offshore bank accounts in the names of shell companies to receive and disguise over $28 million in bribe proceeds from Odebrecht for the benefit of a close relative, a high-ranking public official in Panama. According to court documents, approximately $19 million of the bribes were transferred through U.S. banks. Luis Martinelli Linares also used some of the proceeds of the scheme to purchase a $1.7 million yacht and a $1.3 million condominium in the United States, and Ricardo Martinelli Linares spent hundreds of thousands of dollars in proceeds to pay personal expenses.

On Dec. 21, 2016, Odebrecht pleaded guilty in the Eastern District of New York to a criminal information charging it with conspiracy to violate the anti-bribery provisions of the Foreign Corrupt Practices Act (FCPA) for its involvement in the bribery and money laundering scheme. According to court documents, the scheme involved the payment of more than $700 million in bribes to government officials, public servants, political parties, and others in Panama and other countries around the world to obtain and retain business for the company.

The defendants were initially charged by criminal complaint on June 27, 2020. Pursuant to a provisional arrest request from the United States, they were arrested at el Aeropuerto Internacional la Aurora in Guatemala on July 6, 2020, as they were attempting to depart Guatemala on a private plane, and later held on extradition requests from the United States. Both defendants filed multiple challenges and appeals opposing the extradition request in Guatemalan courts before ultimately being extradited to the United States, Luis Martinelli Linares on Nov. 15, 2021, and Ricardo Martinelli Linares on Dec. 10, 2021.

On Feb. 4, 2021, Luis Martinelli Linares and Ricardo Martinelli Linares were charged with conspiracy and money laundering charges by an indictment filed in federal court in Brooklyn.

“Ricardo and Luis Martinelli Linares directed millions of dollars in bribes through U.S. banks to their own Swiss accounts in order to help Odebrecht gain corrupt influence at the highest levels of the Panamanian government,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Today’s sentences show that the Department of Justice remains committed to prosecuting individuals who enable and profit from laundering corrupt payments to foreign officials through the U.S. financial system, as well as those who attempt to spend the proceeds of corruption in the United States.”

“The Martinelli brothers used American banks to commit their selfish, greedy fraud – and now it is the American legal system serving justice with today’s sentencing, especially for the people of Panama,” said U.S. Attorney Peace. “Together, the Department of Justice, this office and our law enforcement partners stand firm against international corruption and will use all tools at our disposal to root it out.”

“The defendants laundered millions of dollars in bribes through the U.S. financial system to benefit a close relative and maintain their luxury lifestyles,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “Today’s sentencing shows that the FBI and our law enforcement partners are committed to bringing to justice anyone who enables the corruption of public officials for personal gain.”

The FBI’s International Corruption Unit in New York is investigating this case, with the support of FBI Legal Attaché Panama. The Justice Department’s Office of International Affairs provided significant assistance in securing their arrest and extradition from Guatemala.

Trial Attorney Michael Culhane Harper of the Criminal Division’s Fraud Section, Trial Attorneys Barbara Levy and Michael Redmann of the Criminal Division’s Money Laundering and Asset Recovery Section (MLARS), and Assistant U.S. Attorney Alixandra E. Smith of the U.S. Attorney’s Office for the Eastern District of New York are prosecuting the case. Assistant U.S. Attorney Laura Mantell of U.S. Attorney’s Office for the Eastern District of New York’s Civil Division is handling forfeiture matters.

Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.

The Kleptocracy Asset Recovery Initiative in MLARS was formed to prosecute money launderers and forfeit the proceeds of foreign official corruption and, where appropriate, to use those recovered assets to benefit the people harmed by the corruption and abuse of office. Individuals with information about possible proceeds of foreign corruption located in or laundered through the United States should contact federal law enforcement or send an email to kleptocracy@usdoj.gov.

Two Defendants Used Online Ads to Conspire to Cause and Repeatedly Caused a Long Island Minor to Engage in Prostitution

Earlier today, in federal court in Central Islip, Robert Gallimore, a resident of Sebring, Florida, was sentenced by United States District Judge Joanna Seybert to 144 months’ imprisonment for coercion and enticement of a minor to engage in sexual activity.

Also earlier today, in federal court in Central Islip, Terron Newsome, also known as “Loso,” and Fredjy Exavier pleaded guilty before United States Magistrate Judge James M. Wicks to conspiracy to commit sex trafficking of a minor and sex trafficking of minor (Jane Doe #1).  Newsome also admitted during his plea hearing to attempting to engage in the sex trafficking of a 12-year-old victim (Jane Doe #2) in December 2018.  When sentenced, each defendant faces up to life 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 sentence, Rodney K. Harrison, Commissioner, Suffolk County Police Department (SCPD) joined in announcing the guilty pleas. 

“These defendants manipulated, abused and exploited children who they saw as objects to control rather than as young people to be cherished and protected,” stated United States Attorney Peace. “Along with our law enforcement partners, we are committed to protecting our children and ensuring that those who perpetrate sex crimes against them face serious consequences.” 

“These individuals committed unthinkable acts against children, exploiting them for their own personal gain,” Suffolk County Police Commissioner Harrison said. “I hope today’s guilty pleas help the victims move forward from these tragedies and I extend my thanks to Eastern District of New York and our law enforcement partners for ensuring these criminals are answering for their heinous crimes.”

The Sentencing

As indicated in court filings, Gallimore was a Florida state corrections officer who, over the period of a week in 2018, caused a 16-year-old Long Island girl to repeatedly generate sexually explicit and masochistic child pornography of herself and to send it to him under the threat that images and videos would be disseminated throughout her school if she did not continue to comply.  In addition to terrorizing the victim into producing child pornography at his direction, Gallimore also unsuccessfully sought to solicit sex from the minor victim. 

The Guilty Pleas

As charged in the indictment and as stated at the plea hearing, in or about and between March 2014 and December 2018, Newsome and Exavier conspired to engage in the sex trafficking of Jane Doe #1 and used the internet to set up “dates,” i.e. sexual intercourse or other sex acts, with “Johns” for money at various motels on Long Island. During the conspiracy, the defendants knew that Jane Doe #1 was under the age of 18.  Newsome also admitted that in December 2018, he attempted to cause Jane Doe #2 to engage in sex trafficking. 

Both of the government’s cases are being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorney Charles N. Rose is in charge of the prosecution.

The Defendants:

ROBERT GALLIMORE
Age:  32
Sebring, Florida

E.D.N.Y. Docket No. 18-CR-363 (JS)

TERRON NEWSOME (also known as “Loso”)
Age:  25
Central Islip, New York

FREDJY EXAVIER
Age:  25
Central Islip, New York

E.D.N.Y. Docket No. 19-CR-70 (DRH)

An indictment was unsealed today in federal court in Central Islip charging Sharon Gardner, the former Director of Food Services for the Hempstead Union Free School District (HUFSD), and Maria Caliendo, the owner of food service providers Smart Starts NY, Inc. (Smart Starts) and Prince Umberto’s restaurant in Franklin Square, with conspiracy to commit honest services wire fraud in connection with a kickback scheme involving HUFSD procurement contracts. The indictment also charges Caliendo with making false statements to a federal agent investigating the fraudulent scheme. The defendants are scheduled to be arraigned this afternoon before United States District Judge Joanna Seybert at the federal courthouse in Central Islip.

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); Beth Dinkins, Special Agent-in-Charge United States Department of Agriculture, Inspector General's Office; Terry Harris, Special Agent in Charge, U.S. Department of Education Office of Inspector General’s Eastern Regional Office; Thomas Fattorusso, Special Agent-in-Charge, Internal Revenue Service-Criminal Investigation, New York; Anne T. Donnelly, Nassau County District Attorney; and Thomas P. DiNapoli, New York State Comptroller, announced the arrests and charges.

“As alleged, with little regard for the taxpaying public, the defendants secretly steered lucrative food service contracts to themselves and then illegally shared the profits,” stated United States Attorney Peace. “This Office will continue to vigorously investigate and prosecute those who attempt to corrupt our public institutions through illegal bribes and kickbacks, as well as the officials who enrich themselves at the expense of the public they serve.”

"As alleged, Ms. Gardner and Ms. Caliendo engaged in a scheme in which Ms. Gardner steered more than $1 million in sole-source school breakfast contracts to Ms. Caliendo's company, in spite of the fact more cost-effective options existed. In exchange, Ms. Caliendo illicitly paid more than $100,000 in kickbacks to Ms. Gardner, which she used to purchase a variety of personal luxuries. Today's action demonstrates the FBI's commitment to bringing to justice those who seek to illegally benefit from taxpayer-funded programs intended to serve the public," stated Assistant Director-in-Charge Driscoll.

“Instead of following the legitimate bidding process for a food services contract, the defendants allegedly used the Hempstead School District as their own piggy bank,” Nassau County District Attorney Donnelly said. “This prosecution sends a strong message to public officials that anyone using tax dollars to unjustly enrich themselves will be prosecuted to the fullest extent of the law.”

“There is no place for corruption in the United States, especially as it relates to programs set up to feed hungry children and provide assistance to the most vulnerable in our society,” stated Special Agent-in-Charge Beth Dinkins.

“It’s alleged this duo conspired together in this fraud scheme where Gardner procured millions of dollars in contracts for Caliendo’s business, choosing Caliendo’s company’s bid in exchange for high-value kickbacks,” said IRS-CI Special Agent in Charge Fattorusso. “While Gardner accepted the higher bid for her own personal gain, the taxpayers of the Hempstead Union Free School District were left holding the bill. IRS-CI continues to work with our law enforcement partners to ensure that those who choose to cheat the public to support their own extravagant lifestyle face the consequences of their criminal acts.”

“Stealing money meant to feed students in need is reprehensible,” said State Comptroller DiNapoli. “Due to my partnership with United States Attorney Peace, District Attorney Donnelly, the FBI and our federal partners, this former school employee and her co-conspirator will be held accountable for their alleged actions. I will continue to work with law enforcement across the state to root out public corruption and protect taxpayers.”

As alleged in the indictment, in her capacity as the Director of Food Services for HUFSD, Gardner helped secure lucrative contracts for Caliendo’s company, Smart Starts, to provide prepackaged breakfast meals for Hempstead public school students. For example, during the 2016-17 school year, Gardner persuaded HUFSD officials to treat Caliendo as a “sole source” vendor (a designation typically reserved for providers of unique or rare supplies for which sourcing is limited) of breakfast foods, thereby avoiding competitive bidding for the district’s business. Subsequently, in the 2017-18 school year, Gardner oversaw a supposedly competitive bidding scenario for the breakfast items, only to award a second procurement contract to Smart Starts despite the existence of more cost-effective bids. In total, pursuant to these procurement contracts, Caliendo’s company received more than $1.2 million from HUFSD.

In exchange, Caliendo kicked back a portion of the contract proceeds totaling more than $100,000 to Gardner through fraudulent payroll deposits and other payments. To conceal the illegal nature of the arrangement, those payments were deposited into a bank account that was created in the name of one of Gardner’s family members. Yet, the kicked back funds were spent by Gardner on international vacations, a leased vehicle and home furnishings, among other things. Approximately $13,000 in kicked back funds were also withdrawn by Gardner in cash from ATMs located near her home and workplace.

In voluntary interviews with investigators, Caliendo made materially false statements concerning the justification for the payments, falsely claiming that they represented repayment for a startup loan from Gardner’s family member, despite having received no capital contribution, work or labor from that individual.

If convicted, the defendants face up to 20 years’ imprisonment for the conspiracy to commit wire fraud charge. The charges in the indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.

The government’s case is being prosecuted by the Office’s Long Island Criminal Division. Assistant United States Attorneys Anthony Bagnuola and Charles P. Kelly are in charge of the prosecution.

The Defendants: SHARON GARDNER
Age: 56
Lindenhurst, New York

MARIA CALIENDO
Age: 57
Elmont, New York

E.D.N.Y. Docket No. 22-CR-229 (JS) (JMW)

昨天，布魯克林聯邦法院公佈了一份起訴書，對一名美國公民和四名中國國家安全部官員提起共謀及與其他指控，涉及間諜活動和跨國鎮壓計畫。

根據法庭檔，王書軍，73 歲，紐約皇后區人；何峰，又名何老闆，廣東人；季潔，青島人；李明，又名唐老、小李，廣東人；青島的陸克慶（又名陸老闆）據稱參與了美國和國外的間諜活動和跨國鎮壓計畫。王先生于3月16日根據刑事起訴被捕，並將於晚些時候提審。何、季、李、陸仍逍遙法外(以上姓名均為音譯)。

“我們不會容忍中華人民共和國或任何獨裁政府向我國輸出鎮壓措施，”司法部國家安全司助理司法部長馬修·奧爾森 (Matthew G. Olsen) 說。 “這些指控表明，對凡是違反我們法律、試圖壓制美國境內不同聲音，並阻止我們居民行使其合法權利的人，司法部堅定不

移，致力於追究其責任。”

紐約東區美國檢察官布倫·皮斯 (Breon Peace) 表示：“據指控，王在自己的社區中充當秘密情報人員，監視並向他的同案被告（中國政府國家安全部成員）報告有關著名親民主活動人士和組織的敏感資訊。” “今天的起訴書揭露並擾亂了中華人民共和國的一項行動，該行動威脅居住在美國的中國公民因為他們的民主信仰和言論的安全和自由。我們的辦公室和執法合作夥伴將保持警惕，阻止針對我們公民和居民的外國間諜活動。”

“如果有人懷疑中國政府對箝制批評者有多認真，瞭解本案後即可消除任何懷疑，”聯邦調查局國家安全部門代理執行助理主任小艾倫·科勒 (Alan E. Kohler Jr.) 表示。 “中國政府的咄咄逼人的策略曾經僅限於其境內。現在，中華人民共和國正在針對美國和世界各地的人民。聯邦調查局及其合作夥伴繼續致力於打擊跨國鎮壓。”

根據法庭檔，王是一位著名的學者和作家，他幫助在皇后區創立了一個反對中國現行共產主義政權的親民主組織。然而，據指控，至少自 2011 年以來，王一直利用其在華人僑界和異見者群體中的地位和身份，代表國家安全部和中國，秘密收集有關著名活動人士和人權領袖的資訊。正如起訴書所稱，何、季、李和陸是王的操縱者，指示王針對中國認為具有顛覆性的特定個人和團體，例如香港親民主活動人士、台獨宣導者、維吾爾族和藏族活動人士，並獲取有關國家安全部認為重要的特定主題和事項的資訊。

正如起訴書中所指控，王通過使用加密的消息傳遞應用程式和電子郵件，並在中國舉行的面對面會議上，向國家安全局--包括何、季、李和陸--傳達和提供資訊。王經常將他收集的資訊記錄在電子郵件“日記”中，供國家安全部查閱。此類“日記”包括王與著名異見者的私人談話，及民主活動人士和人權組織活動的細節。王被捕後，在對其住所進行的搜查中，發現了王寫給何、季、李、陸以及其他國安部官員的大約 163 篇“日記”。

例如，在 2016 年 11 月 22 日左右的一系列通訊中，季指示王在即將舉行的一場親民主活動中，與特定與會者互動，並“完成“老闆”（指的是陸）分配的任務。季指出，相關與會者與“藏族人、維吾爾族人和蒙古族人”有過接觸，並祝王好運，取得“好成績。”在 2016 年 11 月 16 日左右的另一次交流中，王告訴李，他“剛剛結束與一位著名人權活動人士的交談，”並指出他提出了“必要的問題”並得到了“坦誠”的答復。李回應“太好了，”並用豎起大拇指的表情符號，指示王將其寫在“日記”中。王向國安部舉報的至少一名香港民主活動家和異見者（在起訴書中被稱為“香港異見者一號”）隨後被中國逮捕。

除了這一行為之外，起訴書還指控王向國家安全部轉移並擁有屬於中國異見者的電話號碼和聯繫資訊，並向聯邦執法部門做出重大虛假陳述，虛假地否認他與中國官員或國家安全部有聯繫。

紐約東區美國助理檢察官阿蒂·麥康奈爾 (Artie McConnell) 正在國家安全部反情報和出口管制司的審判律師斯科特·A·克拉菲 (Scott A. Claffee) 的寶貴協助下起訴此案。

起訴書只是一項指控，所有被告均被假定無罪，直到在法庭上排除合理懷疑而被證明有罪。

昨天，布鲁克林联邦法院公布了一份起诉书，对一名美国公民和四名中国国家安全部官员提起共谋及与其他指控，涉及间谍活动和跨国镇压计划。

根据法庭文件，王书军，73 岁，纽约皇后区人；何峰，又名何老板，广东人；季洁，青岛人；李明，又名唐老、小李，广东人；青岛的陆克庆（又名陆老板）据称参与了美国和国外的间谍活动和跨国镇压计划。王先生于3月16日根据刑事起诉被捕，并将于晚些时候提审。何、季、李、陆仍逍遥法外(以上姓名均为音译)。

“我们不会容忍中华人民共和国或任何独裁政府向我国输出镇压措施，”司法部国家安全司助理司法部长马修·奥尔森 (Matthew G. Olsen) 说。 “这些指控表明，对凡是违反我们法律、试图压制美国境内不同声音，并阻止我们居民行使其合法权利的人，司法部坚定不

移，致力于追究其责任。”

纽约东区美国检察官布伦·皮斯 (Breon Peace) 表示：“据指控，王在自己的社区中充当秘密情报人员，监视并向他的同案被告（中国政府国家安全部成员）报告有关著名亲民主活动人士和组织的敏感信息。” “今天的起诉书揭露并扰乱了中华人民共和国的一项行动，该行动威胁居住在美国的中国公民因为他们的民主信仰和言论的安全和自由。我们的办公室和执法合作伙伴将保持警惕，阻止针对我们公民和居民的外国间谍活动。”

“如果有人怀疑中国政府对箝制批评者有多认真，了解本案后即可消除任何怀疑，”联邦调查局国家安全部门代理执行助理主任小艾伦·科勒 (Alan E. Kohler Jr.) 表示。 “中国政府的咄咄逼人的策略曾经仅限于其境内。现在，中华人民共和国正在针对美国和世界各地的人民。联邦调查局及其合作伙伴继续致力于打击跨国镇压。”

根据法庭文件，王是一位著名的学者和作家，他帮助在皇后区创立了一个反对中国现行共产主义政权的亲民主组织。然而，据指控，至少自 2011 年以来，王一直利用其在华人侨界和持不同政见者群体中的地位和身份，代表国家安全部和中国，秘密收集有关著名活动人士和人权领袖的信息。正如起诉书所称，何、季、李和陆是王的操纵者，指示王针对中国认为具有颠覆性的特定个人和团体，例如香港亲民主活动人士、台独倡导者、维吾尔族和藏族活动人士，并获取有关国家安全部认为重要的特定主题和事项的信息。

正如起诉书中所指控，王通过使用加密的消息传递应用程序和电子邮件，并在中国举行的面对面会议上，向国家安全局--包括何、季、李和陆--传达和提供信息。王经常将他收集的信息记录在电子邮件“日记”中，供国家安全部查阅。此类“日记”包括王与著名持不同政见者的私人谈话，及民主活动人士和人权组织活动的细节。王被捕后，在对其住所进行的搜查中，发现了王写给何、季、李、陆以及其他国安部官员的大约 163 篇“日记”。

例如，在 2016 年 11 月 22 日左右的一系列通讯中，季指示王在即将举行的一场亲民主活动中，与特定与会者互动，并“完成“老板”（指的是陆）分配的任务。季指出，相关与会者与“藏族人、维吾尔族人和蒙古族人”有过接触，并祝王好运，取得“好成绩。”在 2016 年 11 月 16 日左右的另一次交流中，王告诉李，他“刚刚结束与一位著名人权活动人士的交谈，”并指出他提出了“必要的问题”并得到了“坦诚”的答复。李回应“太好了，”并用竖起大拇指的表情符号，指示王将其写在“日记”中。王向国安部举报的至少一名香港民主活动家和持不同政见者（在起诉书中被称为“香港持不同政见者一号”）随后被中国逮捕。

除了这一行为之外，起诉书还指控王向国家安全部转移并拥有属于中国持不同政见者的电话号码和联系信息，并向联邦执法部门做出重大虚假陈述，虚假地否认他与中国官员或国家安全部有联系。

纽约东区美国助理检察官阿蒂·麦康奈尔 (Artie McConnell) 正在国家安全部反情报和出口管制司的审判律师斯科特·A·克拉菲 (Scott A. Claffee) 的宝贵协助下起诉此案。

起诉书只是一项指控，所有被告均被假定无罪，直到在法庭上排除合理怀疑而被证明有罪。

在昨天呈交到布鲁克林联邦法院的一份起诉书中，美国公民、皇后区居民王书君和中国国家安全部（国安部）的四名官员被指控犯有与间谍和跨国镇压有关的阴谋和其他罪行. 国安部的四名官员分别是贺锋，又称“贺老板”, 纪杰，李明，又称“唐长老”和“小李子”，以及吕可清，又称“吕老板”. 王书君此前于2022年3月16日因刑事指控被捕，稍后将被传讯。贺、纪、李、吕仍然在逃.

美国纽约东区检察官布雷昂皮尔斯, 司法部国家安全司助理部长马修 G.奥尔森, 以及联邦调查局纽约分局助理局长迈克尔.德里斯科尔宣布了这些指控.

“正如指控所述，王书君在自己社区充当地下情报人员，监视著名民运人士和组织，并将敏感信息报告给他的同案被告：中国国家安全部的成员”，美国检察官皮尔斯表示. “在美的中国公民支持民主信仰和言论，导致中国政府威胁他们的人身安全和自由. 今天的起诉书揭露并扰乱了这种行为. 我们办公室和我们的执法伙伴将保持警惕，挫败针对我国公民和居民的外国间谍活动”.

“我们不会容忍中国或任何权威政府向我国公民施压，”助理司法部长奥尔森说. 这些指控表明，司法部将坚定不移地把所有试图压制美国境内的不同政见，阻止我们的居民行使其合法权利的违法者绳之以法”.

助理局长德里斯科尔指出，我们指控，王为中国工作.他参加了一个民运组织，意图监视那些成员.他把居住在美国的持不同政见者作为目标，危及他们的生命与安全. 中国政府一次又一次地证明，它愿意无视我们的法律来追捕那些公开反对该政权的人. 我们正在与我们的执法伙伴积极合作，以阻止这些行为. 我们希望那些担心自己安全的人能够与我们联系”.

王是一位知名学者和作家. 他在皇后区帮助建立了一个反对中国现行共产党政权的民运组织. 然而，正如指控所述，至少自2011年以来，王利用自己在中国侨民和持不同政见社团的身份和地位，为国安部和中国政府秘密收集有关著名活动人士和人权领袖的信息. 作为王的联络人，贺、纪、李、吕指使王把中国认为有颠覆性的个人和团体作为目标，如香港民运人士、台独倡导者， 支持维吾尔和西藏的人士等，并获取对国安部至关重要的特定主题和事件的信息.   

如起诉书所述，王通过加密通讯应用程序和电子邮件，以及在中国会面等方式，与包括贺、纪、李、吕在内的国安部沟通并提供信息. 王经常将所收集的信息记录到电子邮件“日记”，供国安部查阅. 这些“日记”包括王与知名异议人士的私人谈话以及民运人士和人权组织的活动细节. 王被捕后，从他家中搜查发现， 王曾给贺、纪、李、吕以及其他国安部官员写了大约163篇“日记”. 

比如，在2016年11月22日前后的一系列沟通中，纪指示王在即将到来的民运活动中与某位特定与会者见面，以“完成老板（指吕）所指派的任务”. 纪说，他们感兴趣的与会者和“藏族人、维吾尔族人、蒙古族人”有联系，希望王能有“好的成绩”. 在2016年11月16日左右的另一次沟通中，王告诉李，他刚刚结束与一位知名人权活动人士“交谈”，他问了“必要的问题”并得到了“坦诚”的回答. 李回复“很好”，加以竖起拇指的表情符号，指示王记录到“日记”里.  在王向国安部报告的人员里，至少有一名香港民运人士和持不同政见者(在起诉书中称为“香港持不同政见者1”)随后被中国政府逮捕.

除上述行为外，起诉书还指控王持有并向国安部转交中国持不同政见者人士的电话号码和联系方式，并向联邦执法部门严重撒慌，抵赖与中国官员或国安部有联系.   

起诉书中的罪名仅仅是指控，除非被告证明有罪，否则假定无罪.

政府的案件由纽约东区检察官办公室的国家安全和网络犯罪科办理。美国助理检察官阿迪麦康奈负责起诉，国家安全处反情报和出口管制科的出庭律师斯科特A.克拉菲协助。

被告：

王书君
年龄：73
纽约皇后区

贺锋（又称“贺老板”）
年龄：49
广东，中国

纪杰
年龄：50
青岛，中国

李明（又称“唐长老”和“小李子”）
年龄：40
广东，中国

吕可清，又称（“吕老板”）
年龄：61
青岛，中国

E.D.N.Y. Docket No. 22-CR-00230(SJ)(JRC)

在昨天呈交到布鲁克林联邦法院的一份起诉书中，美国公民、皇后区居民王书君和中国国家安全部（国安部）的四名官员被指控犯有与间谍和跨国镇压有关的阴谋和其他罪行. 国安部的四名官员分别是贺锋，又称“贺老板”, 纪杰，李明，又称“唐长老”和“小李子”，以及吕可清，又称“吕老板”. 王书君此前于2022年3月16日因刑事指控被捕，稍后将被传讯。贺、纪、李、吕仍然在逃.

美国纽约东区检察官布雷昂皮尔斯, 司法部国家安全司助理部长马修 G.奥尔森, 以及联邦调查局纽约分局助理局长迈克尔.德里斯科尔宣布了这些指控.

“正如指控所述，王书君在自己社区充当地下情报人员，监视著名民运人士和组织，并将敏感信息报告给他的同案被告：中国国家安全部的成员”，美国检察官皮尔斯表示. “在美的中国公民支持民主信仰和言论，导致中国政府威胁他们的人身安全和自由. 今天的起诉书揭露并扰乱了这种行为. 我们办公室和我们的执法伙伴将保持警惕，挫败针对我国公民和居民的外国间谍活动”.

“我们不会容忍中国或任何权威政府向我国公民施压，”助理司法部长奥尔森说. 这些指控表明，司法部将坚定不移地把所有试图压制美国境内的不同政见，阻止我们的居民行使其合法权利的违法者绳之以法”.

助理局长德里斯科尔指出，我们指控，王为中国工作.他参加了一个民运组织，意图监视那些成员.他把居住在美国的持不同政见者作为目标，危及他们的生命与安全. 中国政府一次又一次地证明，它愿意无视我们的法律来追捕那些公开反对该政权的人. 我们正在与我们的执法伙伴积极合作，以阻止这些行为. 我们希望那些担心自己安全的人能够与我们联系”.

王是一位知名学者和作家. 他在皇后区帮助建立了一个反对中国现行共产党政权的民运组织. 然而，正如指控所述，至少自2011年以来，王利用自己在中国侨民和持不同政见社团的身份和地位，为国安部和中国政府秘密收集有关著名活动人士和人权领袖的信息. 作为王的联络人，贺、纪、李、吕指使王把中国认为有颠覆性的个人和团体作为目标，如香港民运人士、台独倡导者， 支持维吾尔和西藏的人士等，并获取对国安部至关重要的特定主题和事件的信息.   

如起诉书所述，王通过加密通讯应用程序和电子邮件，以及在中国会面等方式，与包括贺、纪、李、吕在内的国安部沟通并提供信息. 王经常将所收集的信息记录到电子邮件“日记”，供国安部查阅. 这些“日记”包括王与知名异议人士的私人谈话以及民运人士和人权组织的活动细节. 王被捕后，从他家中搜查发现， 王曾给贺、纪、李、吕以及其他国安部官员写了大约163篇“日记”. 

比如，在2016年11月22日前后的一系列沟通中，纪指示王在即将到来的民运活动中与某位特定与会者见面，以“完成老板（指吕）所指派的任务”. 纪说，他们感兴趣的与会者和“藏族人、维吾尔族人、蒙古族人”有联系，希望王能有“好的成绩”. 在2016年11月16日左右的另一次沟通中，王告诉李，他刚刚结束与一位知名人权活动人士“交谈”，他问了“必要的问题”并得到了“坦诚”的回答. 李回复“很好”，加以竖起拇指的表情符号，指示王记录到“日记”里.  在王向国安部报告的人员里，至少有一名香港民运人士和持不同政见者(在起诉书中称为“香港持不同政见者1”)随后被中国政府逮捕.

除上述行为外，起诉书还指控王持有并向国安部转交中国持不同政见者人士的电话号码和联系方式，并向联邦执法部门严重撒慌，抵赖与中国官员或国安部有联系.   

起诉书中的罪名仅仅是指控，除非被告证明有罪，否则假定无罪.

政府的案件由纽约东区检察官办公室的国家安全和网络犯罪科办理。美国助理检察官阿迪麦康奈负责起诉，国家安全处反情报和出口管制科的出庭律师斯科特A.克拉菲协助。

被告：

王书君
年龄：73
纽约皇后区

贺锋（又称“贺老板”）
年龄：49
广东，中国

纪杰
年龄：50
青岛，中国

李明（又称“唐长老”和“小李子”）
年龄：40
广东，中国

吕可清，又称（“吕老板”）
年龄：61
青岛，中国

E.D.N.Y. Docket No. 22-CR-00230(SJ)(JRC)

Breon Peace, United States Attorney for the Eastern District of New York, announced today that $15,111,453.84 in illicit proceeds derived from an international digital fraud scheme has been transferred by Switzerland to the United States government pursuant to a Final Order of Forfeiture entered by United States District Judge Eric R. Komitee in the matter of United States v. Sergey Ovsyannikov, et al.

“This forfeiture is the largest international cybercrime recovery in the history of the Eastern District of New York and sends a powerful message to those involved in cyber fraud that there are no boundaries to prosecuting these bad actors and locating their ill-gotten assets wherever they are in the world,” stated United States Attorney Peace. “This Office will continue working with our law enforcement partners to take the economic gain out of crime through all available resources, including asset forfeiture, and protect the integrity of our marketplace.”

Mr. Peace thanked the Federal Bureau of Investigation, New York Field Office, and the New York City Police Department for their outstanding investigative work, the Swiss Federal Office of Justice, and the Justice Department’s Office of International Affairs for their invaluable assistance in this matter.

The Criminal Scheme
The internet is, in large part, freely available to users worldwide because it runs on digital advertising: website owners display advertisements on their sites and are compensated for doing so by intermediaries representing businesses seeking to advertise their goods and services to real human customers. In general, digital advertising revenue is based on how many users click or view the ads on those websites. The defendants in this case represented to others that they ran legitimate companies that delivered advertisements to real human internet users accessing real internet webpages. In fact, the defendants faked both the users and the webpages; they programmed computers they controlled to load advertisements on fabricated webpages, via an automated program, in order to fraudulently obtain digital advertising revenue.

Between December 2015 and October 2018, Sergey Ovsyannikov and Yevgeniy Timchenko, citizens of the Republic of Kazakhstan, and Aleksandr Isaev, a citizen of the Russian Federation, carried out a digital advertising fraud scheme known as “3ve.2 Template A” or “Eve.” The defendants used a global “botnet”-a network of malware-infected computers operated without the true owner’s knowledge or consent-to perpetrate digital advertising fraud. The defendants developed an intricate infrastructure of command-and-control servers to direct and monitor the infected computers and check whether a particular infected computer had been flagged by cybersecurity companies as associated with fraud. By using this infrastructure, the defendants accessed more than 1.7 million infected computers belonging to individuals and businesses in the United States and elsewhere, including more than 1,500 at residences and businesses in the Eastern District of New York—and used hidden browsers on those infected computers to download fabricated webpages and load ads onto those fabricated webpages. As a result of this scheme, the defendants falsified billions of ad views and spoofed more than 86,000 domains associated with online publishers, causing businesses to pay more than $29 million for ads that were never actually viewed by real human internet users and diverting that money away from the real online publishers for whom it was intended. The $15.1 million recovered from financial accounts in Switzerland were the proceeds of this digital advertising fraud scheme.

Ovsyannikov was arrested in October 2018 in Malaysia and extradited to the United States. Timchenko was arrested in November 2018 in Estonia and extradited to the United States. Both pleaded guilty and have been sentenced. Isaev remains at large.

Following the arrest of Ovsyannikov by Malaysian authorities, U.S. law enforcement authorities, in conjunction with various private sector companies, began the process of dismantling the criminal cyber infrastructure utilized in the botnet-based scheme, which involved computers infected with malicious software known in the cybersecurity community as “Kovter.” The FBI executed seizure warrants to sinkhole 23 internet domains used to further the charged botnet-based scheme or otherwise used to further the Kovter botnet. The FBI also executed search warrants at 11 different U.S. server providers for 89 servers related to the charged botnet-based scheme or Kovter.

Forfeiture matters related to the sentencings in this case were handled by Assistant United States Attorney Brendan G. King and former Assistant United States Attorney Karin K. Orenstein of the Office’s Asset Recovery Section. Assistant United States Attorneys Saritha Komatireddy, Artie McConnell, and Alexander F. Mindlin are in charge of the criminal prosecution.

An indictment was returned yesterday in federal court in Brooklyn charging Shujun Wang, a U.S. citizen and Queens resident, and four officials from China’s Ministry of State Security (MSS), with conspiracy and other charges related to an espionage and transnational repression scheme.  The four MSS officers are Feng He, also known as “Boss He,” Jie Ji, Ming Li, also known as “Elder Tang” and “Little Li,” and Keqing Lu, also known as “Boss Lu.”  Wang was previously arrested on March 16, 2022, pursuant to a criminal complaint, and he will be arraigned at a later date.  He, Ji, Li, and Lu 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, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the charges.

“As alleged, Wang acted as a covert intelligence asset in his own community, spying on and reporting sensitive information on prominent pro-democracy activists and organizations to his co-defendants: members of the Chinese government’s Ministry of State Security,” stated United States Attorney Peace.  “Today’s indictment exposes and disrupts an operation by the PRC that threatens the safety and freedom of Chinese nationals residing in the United States on account of their pro-democracy beliefs and speech.  Our Office and our law enforcement partners will remain vigilant to thwart foreign espionage activities aimed at our citizens and residents.”

“We will not tolerate efforts by the PRC or any authoritarian government to export repressive measures to our country,” stated Assistant Attorney General Olsen. “These charges demonstrate the Justice Department’s unwavering commitment to hold accountable all those who violate our laws in seeking to suppress dissenting voices within the United States and to prevent our residents from exercising their lawful rights.”

“Working for the People's Republic of China, we allege Wang participated in a pro-democracy organization with the insidious intent to spy on those who joined. He targeted dissidents living in the United States, putting their lives at risk. The Chinese government has proven time and again it is willing to overlook our laws to hunt down those who speak out against the regime. We are working aggressively with our law enforcement partners to thwart these actions, and we hope those who fear for their safety will reach out to us," stated Assistant Director-in-Charge Driscoll.

Wang is a well-known academic and author who helped start a pro-democracy organization in Queens that opposes the current communist regime in China.  However, as alleged, since at least 2011, Wang has used his position and status within the Chinese diaspora and dissident communities to covertly collect information about prominent activists and human rights leaders on behalf of the MSS and PRC.  He, Ji, Li, and Lu acted as Wang’s handlers, directing Wang to target specific individuals and groups that the PRC considers subversive, such as Hong Kong pro-democracy activists, advocates for Taiwanese independence, and Uyghur and Tibetan activists, and obtain information on particular topics and matters of importance to the MSS. 

As alleged in the indictment, Wang communicated and provided information to the MSS, including to He, Ji, Li, and Lu, by using encrypted messaging applications and emails, as well as during face-to-face meetings in the PRC.  Wang often memorialized the information he collected in email “diaries” to be accessed by the MSS.  These “diaries” included details about Wang’s private conversations with prominent dissidents, as well as the activities of pro-democracy activists and human rights organizations.  A search of Wang’s residence incident to his arrest revealed approximately 163 “diary” entries Wang wrote to He, Ji, Li, and Lu and other MSS officials. 

For example, in one series of communications on or about November 22, 2016, Ji instructed Wang to interface with a particular attendee at an upcoming pro-democracy event and to “accomplish the task” assigned by the “Boss,” referring to Lu.  Ji noted that the attendee of interest had contacts with “Tibetans, Uyghurs and Mongolians” and wished Wang good luck at getting “good results.”  In another exchange on or about November 16, 2016, Wang informed Li that he “just finished chatting” with a prominent human rights activist, noting that he asked the “necessary questions” and received “candid” answers.  Li responded “great” and with a thumbs-up emoji, instructing Wang to write it in a “diary.”  At least one Hong Kong democracy activist and dissident that Wang reported on to the MSS, identified as “Hong Kong Dissident #1” in the indictment, was subsequently arrested by the PRC. 

In addition to this conduct, the indictment alleges that Wang transferred to the MSS and possessed telephone numbers and contact information belonging to Chinese dissidents, as well as made materially false statements to federal law enforcement, falsely denying that he had contacts with PRC officials or the MSS. 

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 Artie McConnell is 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 Defendants:

WANG SHUJUN
Age:  73
Queens, New York

FENG HE (also known as “Boss He”)
Age: 49
Guangdong, PRC

JIE JI
Age: 50
Qingdao, PRC

MING LI (also known as “Elder Tang” and “Little Li”)
Age: 40
Guangdong, PRC

KEQING LU (also known as “Boss Lu”)
Age: 61
Qingdao, PRC

E.D.N.Y. Docket No. 22-CR-00230 (SJ) (JRC)

A U.S. citizen and four officials from China’s Ministry of State Security (MSS) were charged in an indictment, unsealed in federal court in Brooklyn yesterday, with conspiracy and other charges related to an espionage and transnational repression scheme.

According to court documents, Wang Shujun, 73, of Queens, New York; Feng He, aka Boss He, of Guangdong; Jie Ji, of Qingdao; Ming Li, aka Elder Tang and Little Li, of Guangdong; and Keqing Lu aka Boss Lu, of Qingdao, allegedly participated in an espionage and transnational repression scheme in the United States and abroad. Wang was arrested on March 16, pursuant to a criminal complaint, and will be arraigned at a later date. He, Ji, Li and Lu remain at large.

“We will not tolerate efforts by the PRC or any authoritarian government to export repressive measures to our country,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “These charges demonstrate the Justice Department’s unwavering commitment to hold accountable all those who violate our laws in seeking to suppress dissenting voices within the United States and to prevent our residents from exercising their lawful rights.”

“As alleged, Wang acted as a covert intelligence asset in his own community, spying on and reporting sensitive information on prominent pro-democracy activists and organizations to his co-defendants, who are members of the Chinese government’s Ministry of State Security,” said U.S. Attorney Breon Peace for the Eastern District of New York. “Today’s indictment exposes and disrupts an operation by the PRC that threatens the safety and freedom of Chinese nationals residing in the United States on account of their pro-democracy beliefs and speech. Our office and our law enforcement partners will remain vigilant to thwart foreign espionage activities aimed at our citizens and residents.”

“If anyone doubts how serious the Chinese government is about silencing its critics, this case should eliminate any uncertainty,” said Acting Executive Assistant Director Alan E. Kohler Jr. of the FBI’s National Security Branch. “The Chinese government’s aggressive tactics were once confined to its borders. Now, the PRC is targeting people in the United States and around the world.  The FBI and its partners remain committed to combatting transnational repression.” 

According to court documents, Wang is a well-known academic and author who helped start a pro-democracy organization in Queens that opposes the current communist regime in China. However, as alleged, since at least 2011, Wang has used his position and status within the Chinese diaspora and dissident communities to covertly collect information about prominent activists and human rights leaders on behalf of the MSS and PRC. As alleged in the indictment, He, Ji, Li and Lu acted as Wang’s handlers, directing Wang to target specific individuals and groups that the PRC considers subversive, such as Hong Kong pro-democracy activists, advocates for Taiwanese independence, and Uyghur and Tibetan activists, and obtain information on particular topics and matters of importance to the MSS. 

As alleged in the indictment, Wang communicated and provided information to the MSS, including to He, Ji, Li and Lu, by using encrypted messaging applications and emails, as well as during face-to-face meetings in the PRC. Wang would often memorialize the information he collected in email “diaries” to be accessed by the MSS. These “diaries” included details about Wang’s private conversations with prominent dissidents, as well as the activities of pro-democracy activists and human rights organizations. A search of Wang’s residence incident to his arrest revealed approximately 163 “diary” entries Wang wrote to He, Ji, Li and Lu and other MSS officials. 

For example, in one series of communications on or about Nov. 22, 2016, Ji instructed Wang to interface with a particular attendee at an upcoming pro-democracy event and to “accomplish the task” assigned by the “Boss,” referring to Lu. Ji noted that the attendee of interest had contacts with “Tibetans, Uyghurs and Mongolians” and wished Wang luck at getting “good results.”  In another exchange on or about Nov. 16, 2016, Wang informed Li that he “just finished chatting” with a prominent human rights activist, noting that he asked the “necessary questions” and received “candid” answers. Li responded “great” and with a thumbs-up emoji, instructing Wang to write it in a “diary.” At least one Hong Kong democracy activist and dissident that Wang reported on to the MSS, identified as “Hong Kong Dissident #1” in the indictment, was subsequently arrested by the PRC. 

In addition to this conduct, the indictment alleges that Wang transferred and possessed telephone numbers and contact information belonging to Chinese dissidents to the MSS, as well as making materially false statements to federal law enforcement, falsely denying that he had contacts with PRC officials or the MSS. 

Assistant U.S. Attorney Artie McConnell of the Eastern District of New York is prosecuting the case with valuable assistance from Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section.

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

Earlier today, in federal court in Brooklyn, Brian Maiorana was sentenced by United States District Judge Frederic Block to 36 months in prison for being a convicted felon in possession of a firearm.  Maiorana pleaded guilty to the charge in April 2021.

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.

“This sentencing demonstrates that individuals, like the defendant, who espouse violent views on social media concerning the ‘extermination’ and ‘assassination’ with ‘pipebombs’ and ‘firearms’ of those who don’t share their hateful, bigoted views, and who illegally possess guns and ammunition will be brought to justice,” stated United States Attorney Peace.  “Our nation is facing a fatal epidemic of racism and hatred, and this Office and our law enforcement partners are working tirelessly to remove the illegal guns that turn these social media trolls into dangerous criminals, with the capacity to do irreparable harm to our communities.  This Office and our law enforcement partners are so grateful that we apprehended the defendant before he turned his violent social media rants into fatal actions, and that we are not once again grieving a mass shooting.”

Beginning in September 2020, Maiorana used a social media platform to post multiple threats to kill protestors, politicians and law enforcement officers and to encourage others to do the same.  For example, on October 19, 2020, Maiorana posted that “[i]ts come to the point where pipe bombs need to be thrown into these mobs of potentially non violent violent protesters.”  On or about November 5, 2020, Maiorana posted, “The carnage needs to come in the form of extermination of anyone that claims to be democrat…as well as their family members.” On November 8, 2020, following the news media’s projection of the result of the 2020 Presidential Election, Maiorana posted that “The Turner Diaries must come to life.  We blow up the FBI building for real.” The investigation culminated in the execution of a court-ordered search warrant of the defendant’s Staten Island residence where members of the FBI’s Joint Terrorism Task Force seized a semiautomatic .45 caliber Glock handgun, two magazines loaded with .45 caliber ammunition, .22 caliber ammunition, and “ghost gun” parts for a .22 caliber firearm.  A taser, a crossbow, an expandable baton, a skull balaclava, and a copy of the “Anti-Government Movement Guidebook” were also recovered.  Maiorana has a previous felony conviction from Pennsylvania for statutory sexual assault, stemming from a sexual relationship he had with a 13-year old that began when the defendant was 38.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Artie McConnell and Jonathan E. Algor are in charge of the prosecution.

The Defendant:

BRIAN MAIORANA
Age:  55
Staten Island, New York

E.D.N.Y. Docket No. 20-CR-519 (FB)

Earlier today, in federal court in Central Islip, Jhonny Contreras, a member of the Brentwood Locos Salvatruchas clique of La Mara Salvatrucha, also known as the MS-13, a transnational criminal organization, pleaded guilty in federal court in Central Islip to racketeering and related firearms charges in connection with his participation in the May 26, 2013 murder of Derrick Mayes, the May 28, 2013 murder of Keenan Russell, and the November 19, 2015 murder of Cesar Rivera-Vasquez.  The proceeding was held before United States District Judge Gary R. Brown.  

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 Rodney K. Harrison, Commissioner, Suffolk County Police Department (SCPD), announced the guilty plea.

"With today’s guilty plea, the defendant has admitted to participating in a murderous rampage that was senseless and demonstrated a total disregard for human life by hunting down victims based on an offending article of clothing or a tattoo.  His heinous acts were motivated by a twisted desire to increase his status within the MS-13 gang.  This case underscores the resolve of this Office and the Long Island Gang Task Force to bring the MS-13 to justice for their crimes against our communities,” stated United States Attorney Peace. “We offer our sympathy to the victims’ families and loved ones who join the tragic community of those devastated by gun violence, and hope today’s plea will bring some measure of closure on their path to healing.”

“These murders are a grim reminder of the violence and lack of regard for human life that MS-13 exudes - killing innocent people simply because they are wearing a certain color or are believed to be from a rival gang,” stated SCPD Commissioner Harrison said.  “With today’s guilty plea, Suffolk County is undoubtedly a safer place and I commend the Eastern District of New York and the members of the Long Island Task Force for their tireless efforts ridding communities of gang violence.”

According to court filings and statements by the defendant at the guilty plea proceeding, Contreras participated in the murders of Derrick Mayes and Keenan Russell over the Memorial Day weekend in 2013.  On May 26, 2013, Contreras and another MS-13 member armed themselves with a .25 caliber handgun and 20-gauge shotgun and drove around Central Islip in a stolen minivan looking for rival gang members to kill.  While on Wilson Boulevard, Contreras and his co-conspirator observed Mayes, an African-American man, who they did not know and wrongly assumed to be a member of the Bloods street gang because he was wearing an article of red clothing.  The MS-13 members approached Mayes, shot him multiple times, killing him.  The following night, Contreras and several other MS-13 members, who were armed with the same .25 caliber handgun and 20-gauge shotgun, as well as a 9mm handgun, again drove around Central Islip in the stolen minivan and other vehicles, looking for rival gang members to kill, and observed several African-Americans, including Russell, outside of a house party on Acorn Street.  The MS-13 members approached Russell, who they did not know and again mistakenly assumed to be a member of the Bloods, opened fire with the weapons, killing him.  Later, the MS-13 members learned that the minivan had been linked to the murders and they agreed to destroy it.  Contreras and several other gang members drove the minivan to a wooded area in Ronkonkoma, wiped it down to remove any fingerprints, doused it with gasoline, and set it on fire.

In addition, Contreras admitted during his guilty plea today to participating in the murder of Cesar Rivera-Vasquez on November 19, 2015, in Babylon.  Rivera-Vasquez was murdered by Contreras and other MS-13 members because they suspected him of belonging to a rival Mexican gang, Raza Loca.  On the night of the murder, Contreras and his co-conspirators saw Rivera-Vasquez at a deli located close to the Babylon Long Island Railroad station.  Contreras and the other MS-13 members convinced the victim to leave with them to smoke marijuana and brought him to an isolated area behind a nearby baseball field.  The gang members, who were armed with knives and a baseball bat, told the victim to take off his shirt so they could observe a tattoo they believed signified the victim’s membership in the rival gang.   After observing the tattoo, Contreras and the other MS-13 members attacked Rivera-Vasquez, beating him with the bat and stabbing him repeatedly with knives before one of the co-conspirators took one of the knives and cut his throat.  After Rivera-Vasquez was dead, the MS-13 members buried his body near a large mound of dirt, and Rivera-Vasquez’s body was not discovered until April 2018.  When sentenced, Contreras faces a maximum sentence of life in prison.

Today’s conviction is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent, transnational criminal organization.  The MS-13’s leadership is based in El Salvador, Honduras, Guatemala and Mexico, but the gang has thousands of members across the United States.  With numerous branches, or “cliques,” the MS-13 is the most violent criminal organization on Long Island.  Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York.  A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders and assaults.  Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 60 murders in the Eastern District of New York, resulting in the convictions of dozens of MS-13 leaders and members in connection with those murders.  These prosecutions are the product of investigations led by the FBI’s Long Island Gang Task Force, which is comprised of agents and officers of the FBI, SCPD, Nassau County Police Department, Nassau County Sheriff’s Department, Suffolk County Probation Office, Suffolk County Sheriff’s Office, the New York State Police, the Hempstead Police Department, the Rockville Centre Police Department and the New York State Department of Corrections and Community Supervision. 

The government’s case is being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorneys Paul G. Scotti, Justina L. Geraci and Megan E. Farrell are in charge of the prosecution.

The Defendant:

JHONNY CONTRERAS
Age: 28
Brentwood, New York

E.D.N.Y. Docket No. 16-CR-403 (GRB)

A criminal complaint was unsealed today in federal court in Brooklyn, New York, charging Moises Luis Zagala Gonzalez (Zagala), also known as “Nosophoros,” “Aesculapius” and “Nebuchadnezzar,” a citizen of France and Venezuela who resides in Venezuela, with attempted computer intrusions and conspiracy to commit computer intrusions.  The charges stem from Zagala’s use and sale of ransomware, as well as his extensive support of, and profit sharing arrangements with, the cybercriminals who used his ransomware programs.  

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, the multi-tasking doctor treated patients, created and named his cyber tool after death, profited from a global ransomware ecosystem in which he sold the tools for conducting ransomware attacks, trained the attackers about how to extort victims, and then boasted about successful attacks, including by malicious actors associated with the government of Iran,” stated United States Attorney Peace.  “Combating ransomware is a top priority of the Department of Justice and of this Office.  If you profit from ransomware, we will find you and disrupt your malicious operations.”

"We allege Zagala not only created and sold ransomware products to hackers, but also trained them in their use. Our actions today will prevent Zagala from further victimizing users. However, many other malicious criminals are searching for businesses and organizations that haven't taken steps to protect their systems - which is an incredibly vital step in stopping the next ransomware attack," stated Assistant Director-in-Charge Driscoll.

As charged in the criminal complaint, Zagala, a 55-year-old cardiologist who resides in Ciudad Bolivar, Venezuela, has designed multiple ransomware tools—malicious software that cybercriminals use to extort money from companies, nonprofits and other institutions, by encrypting those files and then demanding a ransom for the decryption keys.  Zagala sold or rented out his software to hackers who used it to attack computer networks. 

One of Zagala’s early products, a ransomware tool called “Jigsaw v. 2,” had, in Zagala’s description, a “Doomsday” counter that kept track of how many times the user had attempted to eradicate the ransomware.  Zagala wrote: “If the user kills the ransomware too many times, then its clear he won’t pay so better erase the whole hard drive.”

Beginning in late 2019, Zagala began advertising a new tool online—a “Private Ransomware Builder” he called “Thanos.”  The name of the software appears to be a reference to a fictional cartoon villain named Thanos, who is responsible for destroying half of all life in the universe, as well as a reference to the figure “Thanatos” from Greek mythology, who is associated with death.  The Thanos software allowed its users to create their own unique ransomware software, which they could then use or rent for use by other cybercriminals.  The user interface for the Thanos software is shown below:[1]

The screenshot shows, on the right-hand side, an area for “Recovery Information,” in which the user can create a customized ransom note.  Other options include a “data stealer” that specifies the types of files that the ransomware program should steal from the victim computer, an “anti-VM” option to defeat the testing environments used by security researchers, and an option, as advertised, to make the ransomware program “self-delete.” 

Rather than simply sell the Thanos software, Zagala allowed individuals to pay for it in two ways.  First, a criminal could buy a “license” to use the software for a certain period of time.  The Thanos software was designed to make periodic contact with a server in Charlotte, North Carolina that Zagala controlled for the purpose of confirming that the user had an active license.[2]  Alternatively, a Thanos customer could join what Zagala called an “affiliate program,” in which he provided a user access to the Thanos builder in exchange for a share of the profits from Ransomware attacks.  Zagala received payment both in fiat currency and cryptocurrency, including Monero and Bitcoin.

Zagala advertised the Thanos software on various online forums frequented by cybercriminals, using screennames that referred to Greek mythology.  His two preferred nicknames were “Aesculapius,” referring to the ancient Greek god of medicine, and “Nosophoros,” meaning “disease-bearing” in Greek.  In public advertisements for the program, Zagala bragged that ransomware made using Thanos was nearly undetectable by antivirus programs, and that “once encryption is done,” the ransomware would “delete itself,” making detection and recovery “almost impossible” for the victim. 

In private chats with customers, Zagala explained to them how to deploy his ransomware products—how to design a ransom note, steal passwords from victim computers, and set a Bitcoin address for ransom payments.  As Zagala explained to one customer, discussing Jigsaw: “Victim 1 pays at the given btc [Bitcoin] address and decrypts his files.”  Zagala also noted that “there is a punishment… [i]f user reboots.  For every rerun it will punish you with 1000 files deleted.”  After Zagala explained all the features of the software, the customer replied: “Sir, I really need to say this . . . You are the best developer ever.”  Zagala responded: “Thank you that is nice to hear[.]  Im very flattered and proud.”  Zagala had only one request: “If you have time and its not too much trouble to you please describe your experience with me” in an online review.

On or about May 1, 2020, a confidential human source of the FBI (CHS-1) discussed joining Zagala’s “affiliate program.”  Zagala responded: “Not for now.  Don’t have spots.”  But Zagala offered to license the software to CHS-1 for $500 a month with “basic options,” or $800 with “full options.” 

On or about October 7, 2020, CHS-1 asked Zagala how to establish an affiliate program of his own using Thanos.  Zagala responded with a short tutorial on how to set up a ransomware crew.  He explained that CHS-1 should find people “versed…in LAN hacking” and supply them with a version of the Thanos ransomware that was programmed to expire after a given period of time.[3]  Zagala said that he personally had “a maximum of between 10-20” affiliates at a given time, and “sometimes only 5.”  He added that hackers approached him for his software after they had gained access to a victim network:  “they come with access to [b]ig LAN, I check and then I accept[.]  they lock several big networks and we wait…If you lock networks without tape or cloud (backups)[,] almost all pay[.]” 

Zagala further explained that, sometimes, a victim network turned out to have an unexpected backup: “so no point in locking because they have backups, so in that case we only exfiltrate data,” referring to stealing victim information.  Zagala further added that he had an associate who “knows how to corrupt tapes,” meaning backups, and how to “disable[] AV,” meaning antivirus software.  Finally, Zagala offered to give CHS-1 an additional two weeks free after CHS-1’s one-month license expired, explaining “because 1 month is too little for this business…sometimes you need to work a lot to get good profit.”

Zagala’s customers favorably reviewed his products.  One individual posted a message praising Thanos in July 2020, writing “i bought the ransomware from nosophoros and it is very powerful,” and claiming that he had used Zagala’s ransomware to infect a network of approximately 3000 computers.  And, in December 2020, another user wrote a post in Russian: “We have been working with this product for over a month now, we have a good profit!  Best support I’ve met.”  Zagala has publicly discussed his knowledge that his clients used his software to commit ransomware attacks, including by linking to a news story about an Iranian state-sponsored hacking group’s use of Thanos to attack Israeli companies.

In or around November 2021, Zagala began using a third screenname – “Nebuchadnezzar.”  In chats with a second confidential source of the FBI (CHS-2), Zagala stated that he had switched aliases to preserve “OPSEC… operational security” because “malware analysts are all over me.” 

On or about May 3, 2022, law enforcement agents conducted a voluntary interview of a relative of Zagala who resides in Florida and whose PayPal account was used by Zagala to receive illicit proceeds.  The individual confirmed that Zagala resides in Venezuela and had taught himself computer programming.  The individual also showed agents contact information for Zagala in his phone that matched the registered email for malicious infrastructure associated with the Thanos malware.

If convicted, the defendant faces up to five years’ imprisonment for attempted computer intrusion, and five years’ imprisonment for conspiracy to commit computer intrusions. 

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys David K. Kessler and Alexander F. Mindlin are in charge of the prosecution. 

The Defendant:

MOISES LUIS ZAGALA GONZALEZ
Age:  55
Ciudad Bolivar, Venezuela

E.D.N.Y. Docket No. 21-M-276

[1] On September 14, 2020, an FBI agent surreptitiously purchased a license for Thanos from Zagala, and downloaded the software. 

[2] This server has been taken offline.  

[3] “LAN” stands for “local area network” and refers to a computer network that interconnects computers within a limited area such as an office building.

In honor of National Police Week, United States Attorney Breon Peace recognizes the service and sacrifice of federal, state, and local law enforcement. This year, the week is observed Wednesday, May 11 through Tuesday, May 17, 2022.

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

“These are challenging times for the brave members of law enforcement who, at great risk to themselves from gun violence, COVID-19 and other threats endemic to their profession, answer the call of duty every day to protect the communities in our district,” stated United States Attorney Peace.  “This week, join me in honoring and thanking these selfless men and women for their public service, and their families, too, who share in the sacrifices made for our benefit.”  

In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices.  Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty. Based on data submitted to and analyzed by the National Law Enforcement Officer Memorial Fund (NLEOMF), 472 law enforcement officers died nationwide in the line of duty in 2021.  Of that number, 319 succumbed to the Coronavirus, including Lieutenant Robert John Van Zeyl of the Suffolk County Police Department, Sergeant John Lowry of the Suffolk County Sheriff’s Office, and Police Officers Leonardo Chavez and Marze Murray, Jr., of the New York City Police Department’s Transit Bureau.  

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

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

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

An 11-count indictment was unsealed today in federal court in Brooklyn charging Brian Quinones, a paraprofessional at Midwood High School, with sexual exploitation of a child, distribution of child of pornography, cyberstalking, and related offenses. The charges relate to sexually explicit videos of a child that the defendant allegedly requested and received from a boy he met over the Internet, as well as other sexually explicit images and videos that the defendant possessed and distributed. Quinones was arrested today and is scheduled to be arraigned this afternoon before United States Magistrate Judge Peggy Kuo.

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 arrest and charges.

“As alleged, Quinones was a prolific trader of child pornography who posed as a woman in order to solicit sexually explicit videos from a minor boy, then blackmailed the victim with cruel threats to post the material on the Internet,” stated United States Attorney Peace. “This Office is working diligently with our law enforcement partners to address the online exploitation of minors and protect our children from predators like Quinones. Today’s prosecution should also serve as a reminder to parents and caregivers to remain vigilant about your children’s communications over the Internet and the importance of educating our children about the dangers of communicating online with strangers.”

Mr. Peace thanked the FBI/NYPD Child Exploitation and Human Trafficking Task Force for its investigative work on the case.

“Sexual predators often prey on the terror children experience when they are coerced and manipulated into creating explicit photos and videos,” stated FBI Assistant Director-in-Charge Driscoll. “We allege Quinones threatened to expose the images his victim created if the child didn't continue to send him more. Children often fear going to an adult to report what's happened because they're humiliated, and they believe the threats. The FBI Child Exploitation and Human Trafficking Task Force believes Quinones may have more victims, and we ask anyone with information to contact us at 1-800-CALL-FBI or tips.fbi.gov so we can hold him fully accountable for his actions.”

“Any kind of sexual exploitation of a minor is absolutely detestable behavior,” stated NYPD Commissioner Sewell. “But when the suspect has also been entrusted with our communities’ children, it is especially disturbing. Decades ago, predators would go to a playground or a park to find young victims. Now, there’s an entire virtual world full of potential targets. These types of crimes have devastating effects on children and their families, and I commend and thank all of the investigators at the NYPD, FBI, and the U.S. Attorney’s Office for the Eastern District who are dedicated to identifying and bringing to justice those who commit such offenses.”

As set forth in court filings, between September 2019 and January 2020, Quinones 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 (John Doe), 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. The defendant stated in a WhatsApp message: “I got everything you sent,” adding that he would “ruin” John Doe. The defendant directed John Doe to do “[e]verything I tell u to do” and to “behave.” He then wrote, “Get on your hands and knees.” When John Doe declined to do so, the defendant threatened, “I’m ready to make u famous[.] Any last words?’

If convicted of sexual exploitation of a child, Quinones faces a mandatory minimum of 15 years’ imprisonment.

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

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 prosecuted by Assistant United States Attorney Eric Silverberg.

The Defendant: BRIAN QUINONES
Age: 30
Sheepshead Bay, Brooklyn

E.D.N.Y. Docket No. 22-CR-218 (HG)

 美国纽约东区地方法院今天公布了一项两项罪名起诉书，指控Qing Ming Yu （又名“Allen Yu”）、Antony Abreu，又名“Antony”，You You，又名 “Eddie”，和 Zhe Zhang，又名“Zack” 2019 年 2 月 12 日谋杀31 岁的皇后区居民Xin Gu。

Qing Ming Yu和You You今天在纽约被捕，Zhe Zhang在加州被捕。  Antony Abreu 已被联邦拘留，因一件不相关的事情正在服刑，稍后将被转移到纽约东区。 Qing Ming Yu和You You定于今天下午在美国地方法官 Kuo面前被提审。 Zhe Zhang的首次出庭将在美国加州中区地方法院举行。 美国纽约东区检察官 Breon Peace、纽约外地办事处 (FBI) 联邦调查局助理主管 Michael J. Driscoll 和纽约市专员 Keechant L. Sewell 警察局 (NYPD) 宣布了逮捕和指控。

正如指控的那样，被告无情地使用枪支暴力来解决商业纠纷，将一个人的生命价值降低到美元数字，给社区带来创伤和哀悼，”美国检察官Peace说。  “起诉凶手永远是这个办公室的首要任务——无论是被告扣动扳机，还是付钱给别人为他做肮脏的工作。”

Peace先生对皇后区地方检察官办公室在调查中的协助表示感谢。 据称，Qing Ming Yu聘请他的侄子谋杀他认为的商业对手。 他的行为远远超出了糟糕的商业实践，表现出对人类生命的冷酷无情。 由于我们今天与合作伙伴采取的行动，Qing Ming Yu和参与剧情的每个人都不必再为生意操心了——因为他们被指控的罪行将面临正义和终身监禁的可能性，  ”助理主管 Driscoll 说。

“我们之前已经说过：如果有人参与了纽约市的谋杀案，我们会找到他们并确保伸张正义，”纽约警察局局长 Sewell 说。“不知疲倦的工作 在本案中，侦探、特工和检察官帮助追究涉嫌对这起谋杀案负责的人对他们的行为负责。这是我们机构合作致力于公共安全的另一个例子，进一步证明没有人是无法控制的。

法庭文件详述，2015 年至 2018 年间，Xin Gu在Qing Ming Yu的房地产开发公司曼哈顿办公室工作。 几年来，Xin Gu开始担心公司的财务状况。 此后，Xin Gu辞职，成立了自己的房地产开发公司。

Xin Gu离职后，数名客户和员工也与Qing Ming Yu的公司断绝关系，该公司于 2018 年底关闭。Qing Ming Yu对Xin Gu不忠的行为感到愤怒，聘请侄子You You杀了Xin Gu以换取报酬。 You You 又聘请了 Zhang 和 Antony Abreu 协助执行谋杀。 

2019 年 2 月 11 日晚，一直到第二天早上，Xin Gu的新公司在纽约皇后区的一家卡拉 OK 酒吧举办了一场农历新年庆祝活动。 被告人得知Xin Gu一行人的消息，决定当晚将其杀死，由You You看守，Zhe Zhang为逃跑司机，Abreu多次向新谷开枪，将其杀死。

如果罪名成立，每位被告都将面临终身监禁或死刑的强制性判决。

起诉书中的指控仅仅是指控，除非被证明有罪，否则假定无罪。

政府的案件由办公室的有组织犯罪和帮派科处理。 美国助理检察官 Devon Lash、Nadia E. Moore 和 Gabriel Park 负责起诉。

被告人：

QING MING YU，又名“Allen”
年龄：54
纽约州牡蛎湾 

Antony ABREU，又名“Anthony”
年龄：34
纽约皇后区

YOU YOU，又名“Eddie”
年龄：34
Plainview, New York

ZHE ZHANG，又名“Zack”
年龄：34
Arcadia, California

E.D.N.Y.Docket No。 22-CR-208

A two-count indictment was unsealed today in federal court in Brooklyn charging Qing Ming Yu, also known as “Allen Yu,” Antony Abreu, also known as “Anthony,” You You, also known as “Eddie,” and Zhe Zhang, also known as “Zack,” with the February 12, 2019 murder of Xin Gu, a 31-year-old Queens resident.

Qing Ming Yu and You You were arrested today in New York and Zhe Zhang was arrested in California. Antony Abreu is already in federal custody serving a sentence in an unrelated matter and will be transferred to the Eastern District of New York at a later date. Qing Ming Yu and You You are scheduled to be arraigned this afternoon before United States Magistrate Judge Peggy Kuo. Zhe Zhang’s initial appearance will take place in the United States District Court in Los Angeles.

Breon Peace, the 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 arrests and charges.

“As alleged, the defendants callously used gun violence to resolve a business dispute, reducing the value of a man’s life to a dollar figure, and bringing trauma and mourning to the community,” stated United States Attorney Peace. “Prosecuting killers will always be a top priority for this office—whether the defendant pulls the trigger, or pays someone else to do his dirty work for him.”

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

“As alleged, Qing Ming Yu hired his nephew to murder his perceived business rival. His conduct went well beyond poor business practice demonstrating a callous disregard for human life. As a direct result of the action we have taken with our partners today, Qing Ming Yu and everyone involved in the plot won't have to worry about business anymore - as they face justice for their alleged crimes and the possibility of life in prison,” stated FBI Assistant Director-in-Charge Driscoll.

“We have said it before: If anyone is involved in a murder in New York City, we will find them and ensure that justice is served,” stated NYPD Commissioner Sewell. “The tireless work of the detectives, agents, and prosecutors in this case helped hold the men allegedly responsible for this murder accountable for their actions. It is another example of our agencies’ collaborative commitment to public safety, and further proof that no one is beyond the reach of the law.”

As detailed in court documents, between 2015 and 2018, Xin Gu worked for Qing Ming Yu’s property development company at its Manhattan office. After several years, Xin Gu became concerned about the company’s financial viability. Thereafter, Xin Gu resigned and formed his own property development company.

After Xin Gu’s departure, several clients and employees also cut ties with Qing Ming Yu’s company, which then closed at the end of 2018. Enraged at Xin Gu’s perceived disloyalty, Qing Ming Yu allegedly hired his nephew You You to kill Xin Gu in exchange for payment. You You in turn allegedly hired Zhang and Antony Abreu to assist in carrying out the murder.

On the evening of February 11, 2019, into the following morning, Xin Gu’s new company hosted a celebration of the Lunar New Year at a karaoke bar in Queens, New York. The defendants learned of Xin Gu’s party and decided to kill him that night, with You You acting as a lookout, Zhe Zhang serving as the getaway driver and Abreu shooting Xin Gu multiple times, killing him.

If convicted, each defendant faces a mandatory sentence of life in prison, or the death penalty.

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 Organized Crime and Gangs Section. Assistant United States Attorneys Devon Lash, Nadia E. Moore and Gabriel Park are in charge of the prosecution.

The Defendants: QING MING YU (also known as “Allen”)
Age: 54
Oyster Bay, New York

ANTONY ABREU (also known as “Anthony”)
Age: 34
Queens, New York

YOU YOU (also known as “Eddie”)
Age: 34
Plainview, New York

ZHE ZHANG (also known as “Zack”)
Age: 34
Arcadia, California

E.D.N.Y. Docket No. 22-CR-208 (CBA)

A criminal complaint was unsealed today in federal court in Brooklyn charging Idris Dayo Mustapha, a citizen of the United Kingdom, with computer intrusion, securities fraud, money laundering, bank fraud and wire fraud, among other offenses.  The charged crimes stem from a variety of alleged criminal conduct between 2011 and 2018 in which Mustapha gained access to U.S.-based computers, including email servers and computers belonging to U.S. financial institutions, in order to steal money from online bank accounts and securities brokerage accounts.  Mustapha was arrested in the United Kingdom in August 2021 and the United States is seeking his extradition to the Eastern District of New York.

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 in the complaint, the defendant was part of a nefarious group that caused millions of dollars in losses to victims by engaging in a litany of cybercrimes, including widespread hacking, fraud, taking control of victims’ securities brokerage accounts, and trading in the name of the victims,” stated United States Attorney Peace.  “Protecting residents of the Eastern District and financial institutions from cybercriminals is a priority of this Office.” 

"Cyber crimes are insidious because the criminals lurk in places most people don't see, and many don't understand. Taking over victims' email accounts and then stealing millions of dollars are just some of the crimes we allege Mustapha committed over the course of many years. Using digital platforms for banking and investing are now part of our everyday life, and the FBI is focused on making these tools safe from criminals like Mustapha,” stated Assistant Director-in-Charge Driscoll.

As charged in the criminal complaint, starting in 2011, Mustapha and his co-conspirators engaged in a long-running scheme to steal money through a variety of computer intrusions and frauds.

In one part of the scheme, Mustapha and his co-conspirators allegedly obtained login information for victims’ securities brokerage accounts through various methods.  The conspirators then used their access to those accounts to steal money and conduct trades to their own benefit.  Initially, conspirators accessed the victims’ brokerage accounts and transferred money from those accounts to other accounts under their control.  After financial institutions began to block those unauthorized transfers, Mustapha and his co-conspirators accessed other victims’ brokerage accounts and placed unauthorized stock trades within those accounts while simultaneously trading profitably in the same stocks from accounts that they controlled.  For example, on or about April 16, 2016, Mustapha and a co-conspirator exchanged electronic chat messages in discussing this unauthorized trading.  During the exchange, Mustapha’s co-conspirator announced access to the computers of a brokerage firm and questioned whether to engage in unauthorized trading or simply to wire money out of the brokerage account.  Mustapha wrote back: “better to go trade up and down and [] not direct fraud wire.” Additionally, as part of the scheme, Mustapha flew to New York in June 2015 and opened an account at a U.S. financial institution in New Jersey; Mustapha and his co-conspirators later transferred approximately $104,000 from a brokerage account used to conduct unauthorized trading to Mustapha’s U.S. bank account.

In another part of the scheme, Mustapha and his co-conspirators allegedly obtained login information for victims’ email accounts and accessed those accounts without authorization to obtain financial and personal identifying information about their victims.  The conspirators then contacted the victims’ financial institutions—by phone and by email messages —requesting that the victims’ financial institutions wire money from the victims to overseas bank accounts that the conspirators controlled.  For example, in May 2013, Mustapha and his co-conspirators obtained $50,000 from an investment account that belonged to U.S. victims, and Mustapha directed the transfer of those funds to a series of bank accounts controlled by the conspirators.  In April 2013, Mustapha and his co-conspirators attempted to defraud a victim located in the Eastern District of New York by obtaining control over the victims’ email account and using it to send written instructions—which falsely appeared to have been signed by the victim—to transfer $225,000 from one of the victim’s accounts, but the victim’s financial institution rejected the transfer request. 

As a result of these schemes, Mustapha and his co-conspirators realized financial gains while causing losses of more than $5 million to financial institutions, including brokerage firms.

If convicted, the defendant faces up to 20 years’ imprisonment for each of the money laundering and wire and securities fraud charges, and a mandatory consecutive two-year sentence for the charge of aggravated identity theft.

The government’s case is being handled by the Office’s National Security and Cybercrime Section and Business and Securities Fraud Section.  Assistant United States Attorneys David K. Kessler, Alexander F. Mindlin, Sarah M. Evans and Jonathan E. Algor are in charge of the prosecution.  The Justice Department’s Office of International Affairs is also providing substantial assistance. 

The Defendant:

IDRIS DAYO MUSTAPHA
Age:  32
United Kingdom

E.D.N.Y. Docket No. 17-M-367

Earlier today, in federal court in Brooklyn, Ronald Williams, a leader of the ‘90s Crew street gang based in the Canarsie and East Flatbush neighborhoods of Brooklyn, was sentenced by United States District Judge LaShann DeArcy Hall to 24 years’ imprisonment for conspiracy to commit murder-for-hire, conspiracy to commit obstruction of justice murder, conspiracy to distribute marijuana, use of a firearm during a drug trafficking crime, and being a felon in possession of a firearm and ammunition.  Williams was convicted by a federal jury on January 24, 2018 following a two-week trial.  Williams’ co-defendant, Leon Campbell, pleaded guilty in June 2019 to murder-for-hire conspiracy and conspiracy to distribute marijuana, and was sentenced in November 2019 to nine years’ imprisonment. 

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 sentence.

“Ronald Williams showed his indifference for a human life when, without any hesitation, he accepted money to kill someone suspected of being an informant for federal law enforcement,” stated United States Attorney Peace.  “Today’s lengthy sentence demonstrates the seriousness of obstructing justice and that those who seek to do so will be punished.  Our district is a safer place with this dangerous and ruthless felon off the streets.  I commend the DEA for taking swift action in warning the victim and preventing the planned murder from being carried out.”

“This sentencing demonstrates DEA’s relentless pursuit to seek justice for drug trafficking and violent crimes,” stated DEA Special Agent-in-Charge Tarentino.  “The investigation underscores the relationship between drug trafficking and violence, and further demonstrates our commitment and resolve to holding those accountable for causing the most harm in our communities.  I commend the hard work of the agents, prosecutors, and law enforcement partners who worked tirelessly on this investigation.”

On April 26, 2013, DEA agents were following Campbell as he was making a delivery of marijuana to a customer in Brooklyn.  Campbell spotted the agents and fled, suspecting that his marijuana customer was an informant providing information to federal law enforcement.  On April 30, 2013, Campbell called Williams and offered to pay him $5,000 to kill the individual he suspected was a federal informant.  Williams agreed to commit the murder and began planning the murder, including selecting a gang member to carry out the contract.  Federal agents, however, were able to identify the potential victim, and the murder was not carried out.   

Williams was also convicted of being a felon in possession of a firearm and ammunition found during the execution of a search warrant at his residence and using a firearm in connection with the charged drug trafficking crime.  The items recovered during a search of Williams’ residence on East 96th Street in Brooklyn included three handguns and several pounds of marijuana, a drug ledger, a safe, and a police scanner.

The government’s case is being prosecuted by Assistant United States Attorney Hiral D. Mehta. 

The Defendant:

RONALD WILLIAMS
Age:  47
Brooklyn, New York

E.D.N.Y. Docket No. 13-CR-419 (LDH)

Earlier today, in federal court in Brooklyn, Patrick McCrann and Richard Zavada, two former managers in the facilities department of the New York utility company National Grid, were sentenced by United States District Judge Carol Bagley Amon for their participation in a years-long bribery and kickback scheme.  Zavada was sentenced to a year and one day in prison, with a $10,000 fine and $330,735 forfeiture and McCrann was sentenced to a year and one day of prison, with a $10,000 fine and $200,000 forfeiture.  The defendants each pleaded guilty to a violation of the Travel Act in October 2021.

Carolyn Pokorny, First Assistant 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 sentences.

“Today’s sentence metes out just punishment to these bid riggers who accepted hundreds of thousands of dollars in bribes and kickbacks, including cash, international vacations, home improvements, and recreational vehicles,” stated First Assistant United States Attorney Pokorny.  “This Office will continue to root out corruption that undermines the integrity of competitive bidding in the procurement process.”

McCrann and Zavada were National Grid managers employed in the facilities department, who steered contracts to certain contractors in exchange for hundreds of thousands of dollars in bribes and kickbacks.  One contractor (the “Contractor”) secured more than $50 million in facility maintenance contracts from National Grid during the time that the Contractor was paying bribes to the defendants.  As managers, the defendants had the authority to approve “no-bid” contracts valued at less than $50,000.  The Contractor understood that if it did not pay bribes, these defendants would award National Grid’s work to the Contractor’s competitors.  In exchange for the bribe payments, the defendants also took various steps to assist the Contractor in obtaining contracts from National Grid, including, among other things, offering favorable reviews of the Contractor’s work. The Contractor paid bribes to ensure that the defendants did not slow or stop disbursement of project funds to the Contractor, provide negative performance reviews regarding the Contractor’s work, or otherwise claim that the Contractor’s work did not meet contractual specifications. 

The illicit payments to the defendants took multiple forms, including cash, the purchase of recreational vehicles, home improvements, landscaping and overseas vacations.  As part of the investigation, agents recovered approximately $300,000 in cash from a safe deposit box held by Zavada. 

Three other former National Grid managers, Devraj Balbir, Ricardo Garcia and Jevan Seepaul, have previously entered pleas of guilty to accepting bribes from the Contractor and are awaiting sentence. 

The government’s case is being handled by the Office’s Public Integrity Section.  Assistant United States Attorneys Turner Buford and Artie McConnell are in charge of the prosecution.

The Defendants: 

Patrick McCrann
Age:  57
Selden, New York

E.D.N.Y. Docket No. 21-CR-467 (CBA)

Richard Zavada
Age:  65
Hicksville, New York

E.D.N.Y. Docket No. 21-CR-468 (CBA)

Earlier today, at the federal courthouse in Central Islip, Jaime Rivera, a member of the Almighty Latin King and Queen Nation street gang, was sentenced by United States District Court Judge Denis R. Hurley to 220 months’ imprisonment for the 2005 murder of C.W. Post college student and basketball star, Tafare Berryman.  Rivera pleaded guilty to the gang-related murder in March 2019.

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), Frank A. Tarentino III, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the sentence.

“Tafare Berryman, a college student, athlete and beloved member of the Brooklyn and Long Island communities, was senselessly murdered, depriving him of the bright future he worked so hard to achieve and leaving his bereaved family shattered,” stated United States Attorney Peace.  “This murder, which occurred 17 years ago, was never forgotten and is an example of this Office’s unwavering commitment to justice for the victims of gang violence.” 

Mr. Peace expressed his appreciation to the FBI, DEA and NCPD for their outstanding work on the case.

According to court filings and the facts presented at the plea proceeding, on April 2, 2005, Rivera and other Latin King gang members were present at La Mansion bar and nightclub, located on Long Beach Road in North Long Beach.  Also present were several C.W. Post students, including the victim and several of his friends.  At least one altercation occurred in the club between gang members and a C.W. Post student, and later continued outside in the parking lot.  Berryman was not involved in either of the altercations.

After Berryman and one of his friends left the club together, and while walking to their car, the friend was hit in the head with a bottle, causing a laceration.  The two entered a car and Berryman’s friend drove away from the area.  A short time later, Berryman’s friend pulled the car over to the side of the road to tend to the cut on his head.  Rivera then drove up alongside the car and fatally shot Berryman, under the erroneous belief that Berryman and his friend had been involved in the prior altercation that posed a threat to the gang.

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

The Defendant:

Jamie Rivera
Age: 35
Freeport, New York

E.D.N.Y. Docket No. 17-CR-50 (DRH)

BROOKLYN – Today, May 5, Breon Peace, United States Attorney for the Eastern District of New York will lead a press conference with Anne Milgram, Administrator for the Drug Enforcement Administration, Ricky J. Patel, Acting Special Agent in Charge, Homeland Security Investigations, New York Office, Michael Driscoll, Assistant Director in Charge, FBI New York Field Office, Captain Thomas Kelly, Commanding Officer of the Drug Enforcement Task Force New York City Police Department, Lieutenant Tim Mannix and Senior Investigator Fabricio Plaskocinski, New York State Police to discuss the extradition of Dairo Antonio Úsuga David “Otoniel,” the leader of the Clan del Golfo drug trafficking organization.

WHEN: Today, Thursday, May 5, at 2 p.m.

WHERE: Attend in-person at the U.S. Attorney’s Office library 271-A Cadman Plaza East, Brooklyn, New York 11201 or via videoconference, details on the following page.

PRESS: All media must present government-issued photo I.D. (such as driver’s license) as well as valid media credentials. In-person press should arrive at 1:30 p.m.

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Press inquiries regarding logistics should be directed to 347-988-4580 or John.Marzulli@usdoj.gov and Danielle.Hass@usdoj.gov

Please silence all cell phones and electronic devices before the start of the proceeding. 

LIVESTREAM INFORMATION:

Event Number: 2764 060 7803

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"Good afternoon, I’m Breon Peace, the United States Attorney for the Eastern District of New York.  Thank you all for being here this afternoon in person and online.

With me today are: Anne Milgram, Administrator for the Drug Enforcement Administration, Ricky J. Patel, Acting Special Agent in Charge, Homeland Security Investigations, New York office, from the FBI New York field office, we have Michael Driscoll, Assistant Director in Charge, from the NYPD we have Captain Thomas Kelly, Commanding Officer of the Drug Enforcement Task Force, Chief Marshal Vincent DeMarco from the United States Marshals Service, Captain Michael Sumnick from New York State Police; and my US Attorney’s Office team, AUSAs Gillian A. Kassner Tara B. McGrath and paralegal Sophia Cronin

We are here today to announce the extradition from Colombia of one of the most dangerous, most-wanted drug kingpins in the world, Dairo Antonio Úsuga David (also known as “Otoniel”), to whom murder was meaningless, and violence the ultimate currency.

For the last decade, Úsuga David has been the principal leader of the Clan Del Golfo, or CDG, the most powerful paramilitary and drug trafficking cartel in Colombia.  He is responsible for trafficking vast amounts of cocaine—measured in tons, not pounds or kilograms; for earning enormous profits, measured in billions, not millions; and for overseeing an army of henchmen who murdered, kidnapped and tortured victims—including Colombian law enforcement and military personnel—to maintain control of the cartel and the regions where it operates.

His direct orders to his thousands of military-clad followers sent a ripple effect of drugs, death, and destruction to every community his cocaine shipments touched, from Colombia to right here in the Eastern District of New York.  Today, he will finally face justice in a federal courtroom in Brooklyn for charges based on his role as the supreme leader of the cartel.   

Úsuga David is charged in a three-count superseding indictment with leading a Continuing Criminal Enterprise from June 2003 through October 2021 and participating in an international conspiracy to manufacture and distribute cocaine, knowing and intending that the narcotics would be illegally imported into the United States.

Those are the charges, and the details about Úsuga David and his lethal organization are chilling.  The CDG is one of the largest distributors of cocaine in the world.  

Also known as “Los Urabeños” or “Clan Úsuga,” they are based in the Urabá region of Antioquia, Colombia, with an army of thousands of members (at its peak, around 6,000).  To put that in perspective, he had more employees than the Boston and Miami police departments combined.

On the screen is a map of Colombia and a corridor of countries ultimately leading to the United States.  In red, you can see the expansive territory under CDG control, much of which consisted of coastline.  Within the territory under CDG control, you can see the Antioquia region, which served as the CDG’s base.  You can see the Gulf of Uruba and three important port cities along the Pacific Ocean to the left and the Caribbean Sea to the right.  You can see that the CDG territory is in the northwest part of the country, in closer proximity to the United States, and that these port cities provided direct access to waterways from which vessels could depart.  And by the blue dotted lines, you can see some of the cocaine export routes departing from these areas that the CDG utilized to smuggle drugs into the United States.

Úsuga David’s cartel imported outrageous quantities of cocaine into the United States.  The indictment charges more than 40 instances—40—where his cartel exported a ton or more of cocaine from Colombia.  The CDG exports and coordinates the production, purchase, and transfer of weekly, multi-ton shipments of cocaine from Colombia into Central America and Mexico for ultimate importation into the United States.  Law enforcement has intercepted some of these shipments, including over 10 tons of cocaine seized on boats off the coast of Panama and within a jungle region in Colombia.

As a high-ranking leader within the CDG since its inception and its CEO for the past decade, Úsuga David directed his army to commit brutal acts of violence, terror, and retaliation; to exert control over vast territorial regions of Colombia and its people; and to export staggering quantities of cocaine destined for the United States.  This was incredibly lucrative and earned Úsuga David and his cartel billions in drug proceeds. 

The illicit drugs that were sent into the United States caused addiction, violence and death, and tragically eroded the quality of life for residents of the communities affected, including many within the greater New York City area, and the nation more broadly.

The CDG’s drug trafficking activities funded and enabled Úsuga David’s rise to power.  The CDG has used military tactics and weapons to control the most lucrative cocaine trafficking region within Colombia.  Úsuga David’s paramilitary organization—thousands of soldiers, including “sicarios,” or hitmen - murdered, assaulted, kidnapped, tortured, and assassinated at Usuga David’s direction. and the CDG imposed a “tax” on any drug traffickers operating in its territory, charging fees for every kilogram of cocaine manufactured, stored, or transported through the region.   

Úsuga David’s violence included public demonstrations of his power and repression of innocent civilians.  He imposed mandatory shutdowns or “strikes,” a kind of Martial law where he ordered that all businesses in CDG-controlled territory remain closed and Colombian citizens within those regions had to remain at home.  He ordered CDG soldiers to execute anyone who disobeyed the shutdowns’ rules. 

At Úsuga David’s direction, the CDG also carried out organized campaigns (which they called “Plan Pistolas”) to kill Colombian law enforcement and military personnel using military-grade weapons, including grenades, explosives, and assault rifles, and to assassinate individuals who were believed to be cooperating with law enforcement.  On numerous occasions, Úsuga David personally ordered the murder and torture of individuals deemed to be enemies of the CDG.

For years, Úsuga David evaded capture by moving through a web of rural safe houses in the jungles of Colombia and avoiding modern technology - living off the grid.  At the same time, with an army of ruthless sicarios at his command, Úsuga David was able to expand the CDG’s territory and power.  He believed he was essentially untouchable. Until now.

Úsuga David’s capture was the result of an extensive joint campaign by the Colombian National Police, Colombian Air Force, and National Army of Colombia that began in 2016.  Prior to Úsuga David’s arrest, the Colombian government offered a $800,000 reward for information regarding his whereabouts and the United States offered a $5 million bounty for information leading to his arrest.  Úsuga David was ultimately captured on October 23, 2021, in a rural hideout in Antioquia province, Colombia, near the Colombia-Panama border, following an operation involving 500 soldiers and 22 helicopters.  President Ivan Duque of Colombia described the operation as “the biggest penetration of the jungle ever seen in the military history of our country.” 

A case like this one requires an army of its own, and I am grateful to the work of my office and our partners, for putting an end to his reign of terror, and giving hope to the people of Colombia for a better, safer future. 

To the people of Colombia: we are committed to seeking the truth about Úsuga David’s crimes and those who helped him, ensuring that they face consequences for those crimes, and recovering ill-gotten gains to return to the victims and their families.

I’d like to give special thanks to the DEA, HSI, NYPD and FBI Agents on this case; and to the United States Marshals Service for taking the lead in ensuring that the defendant is held securely and safely in the district while he awaits trial.  

I’d like to extend my deep gratitude to the President of Colombia, the Colombian Attorney General’s Office, the Colombian National Police, the Ministry of National Defense, the Ministry of Justice, and the Ministry of Foreign Affairs.  The Republic of Colombia and its law enforcement officers have risked, and too often lost, their lives in the pursuit of this evildoer.  And the Colombian people have suffered greatly at the hands of Úsuga David and the CDG.  We will honor their sacrifice and honor Colombia’s commitment to combat narco-trafficking by pursuing justice in this case for the victims and their families.

I’d also like to acknowledge the tremendous work by the Justice Department’s Office of International Affairs and the Criminal Division’s Narcotic and Dangerous Drug Section (NDDS) Judicial Attachés in Bogotá, Colombia and DOJ Narcotic and Dangerous Drug Section Special Operations Division Trial Attorneys.

Finally, I’d like to thank the U.S. Attorney’s Offices in the Southern District of Florida, the Middle District of Florida, the Eastern District of Texas, and the Southern District of New York, for collaborating with us in this case.  Prosecutors from those offices have demonstrated extraordinary professionalism and dedication by offering their assistance in furtherance of the case here in the Eastern District of New York."

Watch the video of the press conference here.  

Dairo Antonio Úsuga David, conocido bajo varios aliases incluyendo "Otoniel" fue extraditado esta mañana a los Estados Unidos desde Colombia para enfrentar cargos imputados en el Distrito Este de Nueva York, de ser el líder de una empresa criminal continuada, y de participar en una conspiración internacional en la fabricación y distribución de cocaína dado su posición como jefe de una organización narcotraficante paramilitar y multibillonaria conocida como el "Clan del Golfo" (CDG). El 23 de octubre, 2021, Úsuga David fue capturado en la selva de Colombia después un operativo enorme para su captura por parte de personal de las fuerzas militares, y de orden público de Colombia. Se prevé que el acusado sea instruído formalmente de los cargos imputados en su contra esta tarde ante la Jueza Magistrada Federal Vera M. Scanlon.

“El Departamento de Justicia trabajará incansablemente junto con nuestros socios internacionales para desmantelar las organizaciones narcotraficantes más violentas y extensas y responsabilizar a quienes las dirigen,” dijo el Fiscal General Garland. “Esta extradición es un paso importante para hacer justicia a las comunidades más perjudicadas por el narcotráfico mortal y es parte de nuestros esfuerzos más amplios para proteger a nuestro país de los delitos violentos.”      

Según la acusación formal, entre junio de 2003 y octubre de 2021, Úsuga David era el líder de una empresa criminal continuada responsable por exportar cargamentos de cocaína de múltiples toneladas desde Colombia a México y a Centroamérica para su importación final a los Estados Unidos. Además, Úsuga David participó en una conspiración internacional para fabricar y distribuir la cocaína, a sabiendas y con la intención de que las drogas fuesen importadas ilegalmente dentro de los Estados Unidos. Si resultase condenado por todos los cargos imputados en su contra, Úsuga David enfrenta una condena mínima obligatoria de 20 años de encarcelamiento, y un máximo estatutorio de cadena perpetua.

Breon Peace, Fiscal Federal para el Distrito Este de Nueva York, Merrick B. Garland Fiscal General de los Estados Unidos, Anne Milgram, Directora, Agencia Antidrogas de los Estados Unidos, (la DEA), Ricky J. Patel, Agente Especial Encargado en Funciones, Investigaciones de Seguridad Interna del País (HSI), Michael J. Driscoll, Director Adjunto Encargado, Oficina Federal de Investigaciones, Oficina de Nueva York, (FBI), Keechant L. Sewell, Comisaria, Departamento de la Policía de la Ciudad de Nueva York, (NYPD), y Kevin P. Bruen, Superintendente, Policía Estatal de Nueva York (NYSP), anunciaron los cargos imputados en la extradición.

"El acusado era el líder del Clan del Golfo, la organización paramilitar y narcotraficante más poderosa en Colombia durante este siglo, responsable por importar cocaína valorada en múltiples billones de dólares dentro de los Estados Unidos, contribuyendo a la violencia, el consumo y abuso de drogas, y comprometiendo la calidad de vida en cada comunidad impactada por sus envíos de cocaína desde Colombia hasta aquí en el Distrito Este de Nueva York", dijo el Fiscal Federal Peace. "Nos hemos comprometido a buscar la verdad sobre los delitos de Úsuga David y los que le ayudaron, asegurando que ellos enfrenten las consecuencias, y a recuperar sus ganancias ilícitas para devolverlas a las víctimas y a sus familias. No sólo la gente en este país han sido víctimas de Úsuga David y el Clan del Golfo, el pueblo colombiano ha sufrido demasiado por su culpa, han perdido seres queridos desde civiles inocentes a personal de las fuerzas de orden público, confinados como prisioneros dentro de sus casas, y sobrecogidos por el miedo por la violencia en todos lados. Los Estados Unidos sigue comprometido a cooperar con nuestros socios internacionales para desmantelar las organizaciones criminales transnacionales como el Clan del Golfo y frenar la marea de la destrucción causada por su producto letal y sus métodos violentos para llevar a cabo sus negocios.”

El Fiscal Peace ofreció su agradecimiento a las Oficinas de las Fiscalías Federales para el Distrito Sur de Florida, el Distrito Medio de Florida, el Distrito Este de Texas y el Distrito Sur de Nueva York, y la Oficina de Asuntos Internacionales del Departamento de Justicia y la Sección Contra Estupefacientes y Drogas Peligrosas de la División Criminal (NDDS), los Agregados Judiciales en Bogotá, Colombia, Abogados Litigantes de NDDS SOD, el Servicio de los Marshals Federales de los Estados Unidos, el Departamento de la Policía de la Autoridad Portuaria, y al Presidente de Colombia, la Oficina de la Procuraduría General de Colombia, la Policía Nacional de Colombia, el Ministerio de Defensa Nacional de Colombia, el Ministerio de Justicia de Colombia, y el Ministerio de Asuntos Exteriores de Colombia, por su ayuda en la investigación, captura y extradición del acusado. 

"Este caso hoy envía un mensaje claro a los líderes de los carteles de drogas en todo el mundo - que la DEA no se detiene ante nada para investigar y desmantelar las redes criminales que amenazan la seguridad y la salud del pueblo americano" declaró la Directora de la DEA Milgram. "La DEA lleva casi 20 años investigando a Otoniel, uno de los narcotraficantes más violentos y prolíficos del mundo. Bajo su liderazgo el Clan del Golfo dejó aterrorizado al pueblo colombiano, y despachó cantidades masivas de cocaína a los Estados Unidos. Felicito a los hombres y a las mujeres de la DEA por sus muchos años de trabajo excepcional que culminó en esta extradición hoy."

“El arresto y extradición de Darío Antonio Usuga David, también conocido como ‘Otoniel’, les envía un mensaje claro a los cabecillas narcotraficantes alrededor del mundo: El orden público de Estados Unidos los rastreará y los llevará ante la justicia, independientemente de las medidas que tomen para evadir captura", dijo el agente especial encargado interino de la Oficina de Investigaciones de Seguridad Nacional, Patel. "Se alega que Otoniel controla el Clan del Golfo (CDG, por sus siglas en inglés), un notorio cartel narcotraficante colombiano responsable de la exportación de envíos de múltiples toneladas de cocaína desde Colombia y la pérdida de un sinnúmero de vidas alrededor del mundo. HSI continúa dedicándose a la desestabilización y desarticulación de organizaciones criminales transnacionales que buscan lucrarse del tráfico ilícito de narcóticos —y la extradición de hoy es un ejemplo de la cooperación inquebrantable entre HSI y nuestros socios del orden público.”

"Úsuga David era el líder de uno de los más poderosos y se puede decir una de las más violentas organizaciones paramilitares en el mundo. Alegamos que su cocaína a menudo acababa a menudo aquí en los barrios en los Estados Unidos. Sin embargo, su suerte cambió el año pasado después de que fue capturado por las fuerzas colombianas militares y de orden público. Úsuga David ahora esta mañana enfrenta su nuevo destino esta vez en el sistema de justicia penal americano, donde será obligado a responder por sus delitos" dijo el Director Adjunto Encargado Driscoll.

"Los cargos imputados hoy afirman el compromiso constante del Departamento de la Policía de la Ciudad de Nueva York de erradicar las drogas ilegales de nuestra ciudad", dijo la Comisaria Sewell. "No importa dónde o cómo este veneno se venda, nosotros estamos unidos con nuestros socios locales, estatales, federales e internacionales para el cumplimiento de las leyes en la lucha contra los narcotraficantes violentos. Teniendo eso presente damos las gracias y felicitamos al Distrito Este de Nueva York, la Administración Federal Antidrogas de los Estados Unidos, las Investigaciones Sobre Seguridad Interna del País, la Oficina Federal de Investigaciones, y a todos los demás involucrados en este caso por su trabajo excepcional."

"Doy la enhorabuena y felicito a nuestros socios por la investigación que llevó a la extradición y acusación formal contra el líder de una organización narcotraficante internacional importante. Este caso subraya nuestro compromiso de perseguir a los miembros de las organizaciones violentas que se enriquecen del tráfico de drogas ilegales, peligrosas, a los Estados Unidos y a otros países por todo el mundo," dijo el NYSP Superintendente Bruen.

El Clan del Golfo

Según los expedientes en la Corte, entre 2012 y hasta su captura por las fuerzas de orden público y militares colombianos el 23 de octubre, 2021, Úsuga David era el líder supremo del CDG.

El CDG es una de las organizaciones criminales más violentas y poderosas en Colombia, y uno de los mayores distribuidores de cocaína en el mundo. Con hasta 6,000 miembros, el CDG ejerce control militar sobre cantidades enormes de territorio en la región de Urabá en Antioquia, Colombia, una de las zonas narcotraficantes que genera más ganancias dentro de Colombia dada su proximidad a la frontera entre Colombia-Panamá y las costas Caribeñas y del Pacífico. Vestidos de uniformes militares, los miembros del CDG emplean tácticas y armas militares para reforzar su poder e incitar las guerras y la violencia contra narcotraficantes rivales, organizaciones paramilitares, y las autoridades de orden público en Colombia que amenazan el control del CDG.

El CDG paga la mayoría de sus operaciones con el narcotráfico. Entre otras cosas, impone un "impuesto" a cualesquiera narcotraficantes que operan en el territorio bajo su control, cobrando tarifas por cada kilogramo de cocaína fabricada, guardada, o transportada a través de áreas controladas por la organización. El CDG también exporta cocaína directamente, y coordina la producción, compra y traslado de cargamentos semanales o quincenales de cocaína desde Colombia a Centroamérica y México para su importación final a los Estados Unidos.

El volumen de las drogas exportadas por el CDG bajo el liderazgo de Úsuga David se muestra con las múltiples incautaciones vinculadas a la organización. Por ejemplo:

• El 12 de abril, 2021, aproximadamente 1,365 kilogramos (aproximadamente 1.5 toneladas) de cocaína fueron incautados de dos barcos fuera de las costas de Panamá:
• El 14 de abril, 2021, aproximadamente 2,609 kilogramos (aproximadamente 2.9 toneladas) de cocaína fueron incautados de una lancha rápida fuera de la costa de Panamá, y
• El 18 de julio, 2021, aproximadamente 5,463 kilogramos (aproximadamente 6 toneladas) de cocaína fueron incautados de un barco dentro de la región selvática en Colombia.

Para mantener control sobre el territorio del CDG, Úsuga David y el CDG empleaba un verdadero ejército de "sicarios" o pistoleros, que llevaban a cabo actos de violencia, incluyendo homicidios, agresiones, secuestros, torturas y asesinatos contra los competidores y los declarados traidores a la organización, además de los miembros de sus familias. Con frecuencia el CDG asesinaba y agredía a oficiales de las fuerzas colombianas de orden público, personal de las fuerzas militares colombianas, narcotraficantes rivales y paramilitares, testigos potenciales, y poblaciones civiles. Úsuga David y el CDG utilizaban la violencia para promover y ampliar el prestigio, la fama y la posición del CDG con respeto a organizaciones criminales rivales: preservar, proteger y aumentar el poder y el territorio del CDG: suministrar fondos para las operaciones del CDG y enriquecer a sus líderes a través del cobro de deudas por drogas: mantener la disciplina entre sus miembros y asociados: y proteger a los miembros del CDG de la captura y procesamiento penal al silenciar a testigos potenciales y tomando represalias contra las autoridades de orden público y contra los que ayudaban a las autoridades.

La capacidad increíble del CDG para la violencia se muestra con las múltiples incautaciones de armas de fuego vinculadas a la organización. Por ejemplo:

• El 24 de enero, 2021, armas vinculadas al CDG fueron incautadas en Medellín, Colombia, incluyendo 15 granadas propulsadas por cohetes, seis fusiles Galil, dos fusiles M4, un fusil AK-47, un fusil Remington, 10 cargadores de fusiles, y más de 1.000 cartuchos de municiones de varios calibres.
• El 30 de enero, 2021, otro alijo de armas vinculadas al CDG fue incautado en Medellín, Colombia, incluyendo cinco fusiles, 10 pistolas, un revólver, un silenciador de pistola, y más de 670 cartuchos de municiones de varios calibres: y
• El 28 de julio, 2021, armas adicionales vinculadas al CDG fueron incautadas en Medellín, Colombia, incluyendo cinco lanzagranadas, 31 fusiles, 10 pistolas semi-automáticas, cinco revólveres, 30 cargadores de fusiles, y 55 cartuchos de municiones de varios calibres.

La Conducta del Acusado

Úsuga David actuó como líder de alto nivel dentro del CDG desde su inicio, y era su líder principal durante los últimos 10 años. Durante su presunto reinado, Úsuga David supervisaba todas las actividades del CDG y daba directrices a sus miembros para participar en múltiples actos criminales, incluyendo actos de violencia, "huelgas" organizadas o cierres de todas las actividades comerciales y movimientos de poblaciones civiles dentro de regiones designadas de Colombia, represalias contra las autoridades de orden público y testigos potenciales,  ejercicio de control sobre las instalaciones que fabricaban las drogas, las rutas del narcotráfico, y la exportación de cocaína en cantidades de múltiples toneladas.

Úsuga David asumío el poder y el control territorial sobre territorios enormes de la costa colombiana, y personalmente daba directrices a miembros del CDG para cometer actos de violencia para reforzar ese poder. Esto incluía violencia contra la población civil. Por ejemplo, a principios de 2012, después de la muerte del hermano de Úsuga, Juan de Dios Úsuga David (también conocido como "Giovanni"), en una redada de la Policía, Úsuga David ordenó que un cierre o "huelga" se impusiera sobre los pueblos y las comunidades dentro del control del CDG. Durante la huelga, miembros del CDG dieron órdenes a todos los negocios que se mantuvieran cerrados, y que los residentes se quedasen en sus casas. Durante varios días, las calles seguían vacías, mientras Úsuga David dio órdenes a los miembros del CDG que ejecutasen a aquéllos que no acataban a sus órdenes.

Úsuga David también personalmente dió órdenes a miembros del CDG para cometer asesinatos de individuos específicos en docenas de ocasiones, incluyendo los asesinatos de narcotraficantes rivales y miembros del CDG que le traicionaron a él o a la organización. Por ejemplo, Úsuga David ordenó el asesinato de múltiples individuos que trabajaban para una organización narcotraficante rival, liderada por Daniel Barrera Barrera. Úsuga David también ordenó la tortura y asesinato de un miembro del CDG que dio información a la organización de Barrera. Ese individuo después fue torturado, enterrado vivo, desenterrado y decapitado después de muerto.

Encima de todo eso, Úsuga David solía con frecuencia ordenar a miembros del CDG a emplear la violencia, la intimidación y el asesinato para disuadir a las autoridades de orden público de cumplir con sus cometidos y para silenciar a testigos potenciales. Por ejemplo, bajo órdenes de Úsuga David el CDG llevaba a cabo campañas organizadas, conocidas como el "Plan Pistolas" para asesinar a miembros de las autoridades de orden público y personal militar utilizando armas de calidad militar, para el asesinato de Policías Colombianos y personal militar para intimidar a las autoridades de orden público y así evitar que intentasen capturarle o interferir en los negocios del CDG. La organización de Úsuga David llevó a cabo varios intentos de asesinato de individuos que se creía estaban cooperando con las autoridades. Por ejemplo, miembros del CDG intentaron envenenar a un testigo con cianuro mientras estaba encarcelado en el extranjero, e intentaron asesinar al abogado del testigo.

Úsuga David también estaba muy involucrado en las actividades de drogas que producían los fondos para el CDG y reforzaban su poder. Supuestamente él supervisaba las exportaciones del narcotráfico del CDG y manejaba una red de "cobradores de deudas" cuyo trabajo era asegurar el cumplimiento y cobro de los impuestos pagados por las organizaciones narcotraficantes que operaban en regiones controladas por el CDG. Además, Úsuga David controlaba instalaciones para la fabricación de la cocaína y utilizaba la amplia red de distribución del CDG para exportar la cocaína de manera independiente para su propia ganancia personal.

La Captura y Extradición del Acusado

Durante años, Úsuga David evadía la captura moviéndose periódicamente a través de una red de casas de seguridad rurales y evitando el uso de un teléfono celular, apoyándose en correos humanos para la comunicación. Úsuga David fue capturado el 23 de octubre, 2021, en un escondite rural en la Provincia de Antioquia, Colombia, cerca de la frontera entre Colombia y Panamá, después de un operativo por parte de personal de Colombia militar y de las fuerzas de orden público utilizando 500 soldados y 22 helicópteros.

La extradición de Úsuga David forma parte de una investigación de los Grupos de Trabajo para el Cumplimiento de la Leyes Contra el Crimen Organizado del Narcotráfico (OCDETF). OCDETF identifica, interrumpe y desmantela a los narcotraficantes de alto nivel, los lavadores de dinero, pandillas, y organizaciones criminales transnacionales que son una amenaza para los Estados Unidos, utilizando un enfoque encabezado por Fiscales, apoyado por los servicios de inteligencia, empleando múltiples agencias que aprovechan los puntos fuertes de las agencias de orden público Federales, Estatales y Locales contra las redes criminales.

Los cargos imputados en la Acusación Formal son alegaciones, y el acusado tiene la presunción de inocencia hasta que se demuestre su culpabilidad. Si es condenado, el acusado enfrenta una condena máxima de cadena perpetua.

La causa del Gobierno está en manos de la Sección en la Oficina encargada de Estupefacientes y Lavado de Dinero Internacionales. Los Fiscales Federales Adjuntos Francisco J. Navarro, Gillian A. Kassner, y Tara B. McGrath están encargados del proceso con la ayuda de la Paralegal Especialista Sophia Cronin.

El Acusado:

DAÍRO ANTONIO ÚSUGA DAVID (también conocido como "Otoniel", "Mao", "Gallo", y Mauricio-Gallo")
Edad:  50
Antioquia, Colmbia

E.D.N.Y. Docket No. 14-CR-625 (S-4)(DLI)

According to the allegations contained in the superseding indictment, other court fillings, and statements made during court proceedings, Dairo Antonio Úsuga David, known by various aliases including “Otoniel,” was extradited this morning to the United States from Colombia to face charges in the Eastern District of New York of leading a continuing criminal enterprise and participating in an international cocaine manufacturing and distribution conspiracy for his role as the leader of the paramilitary, multibillion dollar drug organization known as the “Clan del Golfo” (CDG).  On October 23, 2021, Úsuga David was arrested in the jungles of Colombia following an extensive capture operation by Colombian military and law enforcement personnel.  The defendant is scheduled to be arraigned this afternoon before United States Magistrate Judge Vera M. Scanlon. 

“The Justice Department will work relentlessly alongside our international partners to disrupt the most violent and extensive drug-trafficking organizations and hold accountable those who run them,” said Attorney General Garland. “This extradition is an important step in delivering justice for the communities most harmed by deadly drug trafficking and is part of our broader efforts to protect our country from violent crime.”

As alleged in court documents, between June 2003 and October 2021, Úsuga David was the leader of a continuing criminal enterprise responsible for exporting multi-ton shipments of cocaine from Colombia to Mexico and Central America for ultimate importation into the United States.  Additionally, Úsuga David participated in an international conspiracy to manufacture and distribute cocaine, knowing and intending that the narcotics would be illegally imported into the United States. The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.  If convicted, the defendant faces a maximum sentence of life imprisonment.

Breon Peace, United States Attorney for the Eastern District of New York, Merrick B. Garland, United States Attorney General, Anne Milgram, Administrator, U.S. Drug Enforcement Administration (DEA), Ricky J. Patel, Acting Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), and Kevin P. Bruen, Superintendent, New York State Police (NYSP), announced the extradition and charges.

“As alleged, the defendant was the leader of the Clan del Golfo, the most powerful paramilitary and drug trafficking organization in Colombia this century, responsible for importing multibillion dollars’ worth of cocaine into the United States, fueling violence, drug abuse, and compromised quality of life in every community his cocaine shipments touched, from Colombia to right here in the Eastern District of New York,” stated United States Attorney Peace.  “We are committed to seeking the truth about Úsuga David’s crimes and those who helped him, ensuring that they face consequences, and recovering ill-gotten gains to return to the victims and their families. Not only have the people of this country been victimized by Úsuga David and Clan del Golfo, the people of Colombia have suffered too much at his hands, they have lost loved ones from innocent civilians to law enforcement personnel, been kept prisoners inside their homes, and been gripped by fear of violence at every turn. The United States remains committed to cooperating with our international partners to dismantle transnational criminal organizations like the Clan del Golfo and stem the tide of destruction wrought by their lethal product and violent methods of doing business.” 

Mr. Peace extended his grateful appreciation to the United States Attorneys’ Offices for the Southern District of Florida, Middle District of Florida, Eastern District of Texas, and Southern District of New York, and the Justice Department’s Office of International Affairs, the Criminal Division’s Narcotic and Dangerous Drug Section (NDDS) Judicial Attachés in Bogotá, Colombia, NDDS SOD Trial Attorneys, the United States Marshals Service, the Port Authority Police Department, and the President of Colombia, the Colombian Attorney General’s Office, the Colombian National Police, the Colombian Ministry of National Defense, the Colombian Ministry of Justice, and the Colombian Ministry of Foreign Affairs, for assistance in the investigation, arrest, and extradition of the defendant.

“Today’s case sends a clear message—to the leaders of drug cartels around the world—that the DEA will stop at nothing to investigate and dismantle criminal drug networks that threaten the safety and health of the American people,” stated DEA Administrator Milgram. “DEA has been investigating Otoniel—one of the most violent and prolific drug traffickers in the world—for almost 20 years. Under his leadership, Clan del Golfo terrorized the Colombian people and shipped massive quantities of cocaine into the United States. I commend the men and women of the DEA for their many years of outstanding work that culminated in today’s extradition.”

“The arrest and extradition of Dairo Antonio Usuga David, also known as ‘Otoniel’ sends a clear message to narco-kingpins around the globe that United States law enforcement will track you down and bring you to justice no matter what lengths are taken to evade capture,” said Homeland Security Investigations Acting Special Agent in Charge Patel.  “Otoniel is alleged to control Clan del Golfo (CDG), a notorious Colombian drug cartel responsible for the exportation of multi-ton shipments of cocaine from Colombia and the loss of countless lives around the world. HSI remains dedicated to disrupting and dismantling transnational criminal organizations that seek to profit from trafficking illicit narcotics and today’s extradition exemplifies the unwavering cooperation between HSI and our law enforcement partners.”

“Úsuga David was the leader of one of the most powerful, and arguably one of the most violent, paramilitary organizations in the world. We allege his cocaine often ended up here in our neighborhoods in the United States. However, his fortunes changed last year after he was arrested by the Colombian military and law enforcement. Úsuga David now faces a new fate this morning, in the American criminal justice system, where he will be forced to answer for his crimes,” stated Assistant Director-in-Charge Driscoll.

“Today’s charges further affirm the New York City Police Department’s unwavering commitment to ridding our city of illegal drugs,” stated NYPD Commissioner Sewell. “No matter where or how this poison is peddled, we are united with our local, state, federal, and international law-enforcement partners in the fight against violent drug traffickers. To that end, I thank and commend the Eastern District of New York, the U.S. Drug Enforcement Administration, Homeland Security Investigations, the Federal Bureau of Investigation, the New York State Police, and everyone else involved in this case for their exceptional work.”

“I congratulate and commend our partners for the investigation that led to the extradition and indictment of the leader of a major international drug trafficking organization. This case underscores our commitment to pursuing the members of violent organizations who profit off the trafficking of illegal, dangerous narcotics to the United States and other countries around the world,” stated NYSP Superintendent Bruen.

The Clan Del Golfo

According to court filings, between 2012 and through his capture by Colombian military and law enforcement forces on October 23, 2021, Úsuga David was the supreme leader of the CDG.

The CDG is one of the most violent and most powerful criminal organizations in Colombia, and it is one of the largest distributors of cocaine in the world.  With as many as 6,000 members, the CDG exercises military control over vast amounts of territory in the Urabá region of Antioquia, Colombia, one of the most lucrative drug trafficking areas within Colombia due to its proximity to the Colombia-Panama border and the Caribbean and Pacific coasts.  Clad in military uniforms, CDG members employ military tactics and weapons to reinforce their power and incite wars and violence against rival drug traffickers, paramilitary organizations, and Colombian law enforcement authorities who threaten the CDG’s control.  

The indictment further alleges that the CDG funds its operations primarily through drug trafficking.  Among other things, it imposes a “tax” on any drug traffickers operating in territory under its control, charging fees for every kilogram of cocaine manufactured, stored, or transported through areas controlled by the organization.  The CDG also directly exports cocaine, and coordinates the production, purchase, and transfer of weekly and bi-weekly multi-ton shipments of cocaine from Colombia into Central America and Mexico for ultimate importation to the United States. 

The volume of drugs exported by the CDG under the leadership of Úsuga David is illustrated by multiple drug seizures linked to the organization.  For example:

• On April 12, 2021, approximately 1,365 kilograms (approximately 1.5 tons) of cocaine were seized from two boats off the coast of Panama;
• On April 14, 2021, approximately 2,609 kilograms (approximately 2.9 tons) of cocaine were seized from a go-fast boat off of the coast of Panama; and
• On July 18, 2021, approximately 5,463 kilograms (approximately 6 tons) of cocaine were seized from a boat within a jungle region in Colombia.  

To maintain control over CDG territory, court filings allege that Úsuga David and the CDG employed a veritable army of “sicarios,” or hitmen, who carried out acts of violence, including murders, assaults, kidnappings, torture, and assassinations against competitors and those deemed traitors to the organization, as well as their family members.  The CDG frequently murdered and assaulted Colombian law enforcement officers, Colombian military personnel, rival drug traffickers and paramilitaries, potential witnesses, and civilians.  Úsuga David and the CDG used violence to promote and enhance the prestige, reputation, and position of the CDG with respect to rival criminal organizations; preserve, protect, and expand the CDG’s power and territory; finance the CDG’s operations and enrich its leaders through the collection of drug debts; maintain discipline among its members and associates; and protect CDG members from arrest and prosecution by silencing potential witnesses and retaliating against law enforcement authorities and those assisting law enforcement. 

The CDG’s staggering capacity for violence is illustrated by multiple weapons seizures linked to the organization.  For example:

• On January 24, 2021, weapons linked to the CDG were seized in Medellin, Colombia, including 15 rocket propelled grenades, six Galil rifles, two M4 rifles, one AK-47 rifle, one Remington rifle, 10 rifle magazines, and over 1,000 rounds of various caliber ammunition;
• On January 30, 2021, another cache of weapons linked to the CDG was seized in Medellin, Colombia, including five rifles, 10 handguns, one revolver, one handgun silencer, and more than 670 rounds of various caliber ammunition;
• On July 28, 2021, additional weapons linked to the CDG were seized in Medellin, Colombia, including five grenade launchers, 31 rifles, 10 semiautomatic handguns, five revolvers, 30 rifle magazines, and 55 rounds of various caliber ammunition.

The Defendant’s Conduct

According to court filings, Úsuga David served as a high-ranking leader within the CDG from its inception and was its principal leader for the past 10 years.  During his alleged reign, Úsuga David oversaw all of the CDG’s activities and directed its members to engage in extensive criminal acts, including acts of violence, mandated “strikes” or shutdowns of all business activities and civilian movement within designated regions of Colombia, retaliation against law enforcement authorities and potential witnesses, the exertion of control over drug manufacturing facilities and trafficking routes, and the exportation of cocaine in multi-ton quantities.

Court documents allege Úsuga David assumed power and territorial control over vast swaths of the Colombian coastline and personally directed members of the CDG to commit acts of violence to reinforce that power.  This included violence against civilians.  For example, in early 2012, following the death of Úsuga David’s brother, Juan de Dios Úsuga David (also known as “Giovanni”), in a police raid, Úsuga David ordered that a multi-day shutdown or “strike” be imposed on towns and communities within the CDG’s control.  During the strike, CDG members ordered that all businesses remain closed, and that residents stay in their homes.  For multiple days, the streets remained empty, as Úsuga David ordered CDG members to execute those who did not adhere to his orders. 

Úsuga David also personally ordered CDG members to commit murders of specific individuals on dozens of occasions, including the murders of rival drug traffickers and members of the CDG who betrayed him or the organization.  For example, Úsuga David ordered the assassinations of multiple individuals who worked for a rival drug trafficking organization run by Daniel Barrera Barrera.   Úsuga David also ordered the torture and murder of a CDG member who provided information to Barrera’s organization.  That individual was subsequently tortured, buried alive, exhumed, and beheaded post-mortem.

In addition, Úsuga David regularly directed CDG members to use violence, intimidation, and murder to dissuade law enforcement authorities from performing their duties and to silence potential witnesses.  For example, at Úsuga David’s direction, the CDG carried out organized campaigns, referred to as “Plan Pistolas,” to kill Colombian law enforcement and military personnel using military-grade weapons, including grenades, explosives, and assault rifles.  Úsuga David also offered bounties for the murder of Colombian police officers and military personnel to intimidate law enforcement authorities and prevent them from capturing him or interfering in the CDG’s business.  Úsuga David’s organization made numerous attempts to assassinate individuals who were believed to be cooperating with law enforcement.  For example, CDG members attempted to poison a witness with cyanide while he was imprisoned overseas and attempted to assassinate the witness’s attorney.

Úsuga David was also extensively involved in the narcotics activities that funded the CDG and enabled its power.  He allegedly oversaw the CDG’s drug trafficking exports and directed a network of “debt collectors” tasked with the enforcement and collection of taxes paid by drug trafficking organizations that operated in regions controlled by the CDG.   In addition, Úsuga David controlled cocaine manufacturing facilities and used the CDG’s extensive distribution network to export cocaine independently for his own personal profit.

The Defendant’s Arrest and Extradition

According to court documents, for years, Úsuga David evaded capture by periodically moving through a network of rural safe houses and refraining from using a cell phone, instead relying on couriers for communication.  Úsuga David was arrested on October 23, 2021, in a rural hideout in Antioquia province, Colombia, near the Colombia-Panama border, following an operation by Colombian military and law enforcement personnel involving 500 soldiers and 22 helicopters. 

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

The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.  If convicted, the defendant faces a maximum sentence of life imprisonment.

The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section.  Assistant United States Attorneys Francisco J. Navarro, Gillian A. Kassner, and Tara B. McGrath are in charge of the prosecution with assistance from Paralegal Specialist Sophia Cronin.

The Defendant:

Dairo Antonio Úsuga David (also known as “Otoniel,” “Mao,” “Gallo” and “Mauricio-Gallo”)
Age: 50
Antioquia, Colombia

E.D.N.Y. Docket No. 14-CR-625 (S-4) (DLI)

Earlier today, in federal court in Brooklyn, John Shortt pleaded guilty before United States District Judge Eric Komitee to assault of a federal police officer and possessing and brandishing a firearm during a crime of violence in connection with the attempted robbery of a federal officer outside a nightclub in Brooklyn.  When sentenced, Shortt faces up to 27 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 guilty plea. 

“With today’s guilty plea, John Shortt is held responsible for causing a wild shoot-out on a public street that resulted in one death, seriously wounded three victims including a federal officer who was targeted by the defendant for a robbery, and endangered numerous other persons,” stated United States Attorney Peace.  “This Office and our law enforcement partners are working tirelessly to reduce gun-related violence in the district and we will vigorously prosecute criminals like the defendant who use illegal firearms with complete disregard for the consequences of their actions.”  Mr. Peace thanked the New York City Police Department for its assistance with the case.

According to court documents, on September 18, 2021, Shortt and an accomplice, Isiah Greenaway, attempted to rob a United States Park Police Officer and another individual at gunpoint outside a nightclub located at 1440 Utica Avenue in Brooklyn.   The officer drew his weapon and announced himself as a police officer to protect himself and prevent a felony in-progress.  The attempted robbery led to a shoot-out in which the officer and two other individuals were seriously wounded, and another man was killed.  Shortt was also shot by the officer.  Greenaway is charged with assault of a federal police officer and possessing and brandishing a firearm during a crime of violence.  Greenaway’s case is pending and he is presumed innocent unless and until proven guilty.

The government’s case is being handled by the Office’s General Crimes Section.  Assistant United States Attorneys Nick M. Axelrod and Sophia M. Suarez are in charge of the prosecution.

The Defendant:

JOHN SHORTT
Age:  28
Brooklyn, New York

E.D.N.Y. Docket No. 22-CR-7 (EK)

“Buena tarde, soy Breon Peace, el Fiscal de los Estados Unidos del Distrito Este de Nueva York. Gracias a todos por estar aquí esta tarde en persona y en línea.

Hoy me acompañan: Anne Milgram, Administrador de la Administración para el Control de Drogas, Ricky J. Patel, Agente Especial Encargado en funciones, desde la oficina del FBI en Nueva York, tenemos a Michael Driscoll, director Adjunto a cargo, de la policía de Nueva York tenemos al Capitán Thomas Kelly, comandante de la Fuerza de Tarea contra la Droga, el jefe de los Alguaciles Vincent DeMarco del Servicio de Alguaciles de los Estados Unidos, el Capitán Captain Michael Sumnick de la Policía del Estado de Nueva York; y mi equipo de la Oficina del Fiscal de los Estados Unidos, los AUSA Gillian A. Kassner y Tara B. McGrath y la asistente legal Sophia Cronin.

Estamos hoy aquí para anunciar la extradición desde Colombia de uno de los capos de la droga más peligrosos y buscados del mundo, Dairo Antonio Úsuga David (también conocido como "Otoniel"), para quien el asesinato era insignificante, y la violencia la mejor divisa. 

Durante la última década, Úsuga David ha sido el principal líder del Clan del Golfo, o CDG, el cartel paramilitar y de narcotráfico más poderoso de Colombia.  Es responsable del tráfico de cantidades enorme de cocaína -medidas en toneladas, no en libras o kilogramos;  de obtener masivos beneficios, medidos en miles de millones, no en millones- y de supervisar un ejército de secuaces que asesinaron, secuestraron y torturaron a víctimas -incluidos agentes de la ley y militares colombianos- para mantener el control del cartel y de las regiones en las que opera.

Sus órdenes directas a sus miles de secuaces ataviados con ropa militar enviaron un efecto dominó de drogas, muerte y destrucción a todas las comunidades que tocaban sus cargamentos de cocaína, desde Colombia hasta aquí mismo, en el Distrito Este de Nueva York.

Hoy se enfrentará por fin a la justicia en un tribunal federal de Brooklyn por cargos que se basan en su papel como líder supremo del cártel.  

Úsuga David está acusado en una imputación sustitutiva de tres cargos de dirigir una empresa criminal continua desde junio de 2003 hasta octubre de 2021 y de participar en una conspiración internacional para fabricar y distribuir cocaína, a sabiendas y con la intención de que los estupefacientes fueran importados ilegalmente a los Estados Unidos.

Estos son los cargos, y los detalles sobre Usuga David y su letal organización son escalofriantes. El CDG es uno de los mayores distribuidores de cocaína del mundo.  

También conocidos como "Los Urabeños" o "Clan Úsuga", tienen su sede en la región del Urabá antioqueño, en Colombia, y cuentan con un ejército de miles de miembros (en su punto álgido, unos 6.000).  Para ponerlo en perspectiva, tenía más empleados que los departamentos de policía de Boston y Miami juntos. 

En la pantalla hay un mapa de Colombia y un corredor de países que en última instancia conducen a Estados Unidos.  En rojo, se puede ver el extenso territorio bajo control del CDG, gran parte del cual consistía en costas.  Dentro del territorio bajo control del CDG, se puede ver la región de Antioquia, que servía de base al CDG.  Se puede ver el Golfo de Urabá y tres importantes ciudades portuarias a lo largo del Océano Pacífico a la izquierda y el Mar Caribe a la derecha.  Se puede ver que el territorio del CDG está en la parte noroeste del país, más cerca de Estados Unidos, y que estas ciudades portuarias proporcionaban acceso directo a las vías navegables desde las que podían partir los barcos.  Y por las líneas azules punteadas, se pueden ver algunas de las rutas de exportación de cocaína que parten de estas zonas y que el CDG utilizaba para el contrabando de drogas hacia Estados Unidos.

El cartel de Úsuga David importaba cantidades exorbitantes de cocaína a Estados Unidos.  En la acusación se imputan más de 40 casos -40- en los que su cártel exportó una tonelada o más de cocaína desde Colombia.  El CDG exporta y coordina la producción, la compra y el traslado de cargamentos semanales de varias toneladas de cocaína desde Colombia a Centroamérica y México para su importación final a Estados Unidos.

Las autoridades policiales han interceptado algunos de estos envíos, incluidas más de 10 toneladas de cocaína incautadas en barcos frente a la costa de Panamá y en una región selvática de Colombia.

Como líder de alto rango dentro del CDG desde su creación y su director general durante la última década, Úsuga David dirigió a su ejército para que cometiera actos brutales de violencia, terror y represalias; para ejercer el control sobre vastas regiones territoriales de Colombia y su población; y para exportar cantidades abrumadoras de cocaína con destino a Estados Unidos.  Todo ello fue enormemente lucrativo y le reportó a Úsuga David y a su cártel miles de millones de dólares en concepto de ingresos procedentes de la droga. 

Estas drogas ilícitas, que fueron enviados a los Estados Unidos, causaron adicción, violencia y muerte, y deterioran trágicamente la calidad de vida de los residentes de las comunidades afectadas, incluidas muchas del área metropolitana de Nueva York, y del país en general. Las actividades de tráfico de drogas del CDG financiaron y permitieron el ascenso al poder de Úsuga David.  El CDG ha utilizado tácticas militares y armas para controlar la región más lucrativa del tráfico de cocaína dentro de Colombia. La organización paramilitar de Úsuga David tiene miles de soldados, incluidos los "sicarios", que asesinaban, asaltaban, secuestraban, torturaban y asesinaban bajo la dirección de Úsuga David y el CDG imponer un "impuesto" a cualquier narcotraficante que opere en su territorio, cobrando tasas por cada kilogramo de cocaína fabricado, almacenado o transportado a través de la región. 

La violencia de Úsuga David incluyó demostraciones públicas de su poder y la represión de civiles inocentes.  Impuso cierres obligatorios o "huelgas", una especie de ley marcial en la que ordenó que todos los negocios en el territorio controlado por el CDG permanecieran cerrados y que los ciudadanos colombianos de esas regiones se quedaran en casa.  Él ordenó a los soldados del CDG que ejecutaran a cualquiera que desobedeciera las normas de los cierres.

Bajo la dirección de Úsuga David, el CDG también llevó a cabo campañas organizadas (a las que llamaron "Plan Pistola") para matar a personal de las fuerzas públicas y del ejército colombiano utilizando armas de uso militar, como granadas, explosivos y fusiles de asalto, y para asesinar a personas que se creía que cooperaban con las fuerzas del orden.  En numerosas ocasiones, Úsuga David ordenó personalmente el asesinato y la tortura de personas consideradas enemigas del CDG.

Durante años, Úsuga David evadió su captura moviéndose a través de una red de casas rurales seguras en las selvas de Colombia y evitando la tecnología moderna, viviendo por fuera del entorno visible. Al mismo tiempo, con un ejército de despiadados sicarios a sus órdenes, Úsuga David pudo ampliar el territorio y el poder del CDG y creer que era esencialmente intocable.  Hasta ahora.

La captura de Úsuga David fue el resultado de una amplia campaña conjunta de la Policía Nacional de Colombia, la Fuerza Aérea Colombiana y el Ejército Nacional de Colombia que comenzó en 2016.  Antes de la detención de Úsuga David, el gobierno colombiano ofreció una recompensa de 800.000 dólares por información sobre su paradero y Estados Unidos ofreció una recompensa de 5 millones de dólares por información que condujera a su arresto.  Úsuga David fue finalmente capturado el 23 de octubre de 2021 en un escondite rural en una provincia de Antioquia, Colombia, cerca de la frontera entre Colombia y Panamá, tras una operación en la que participaron 500 soldados y 22 helicópteros.  El presidente de Colombia, Iván Duque, describió la operación como "la mayor penetración en la selva jamás vista en la historia militar de nuestro país."

Un caso como éste requiere un ejército propio, y agradezco el trabajo de mi oficina y de nuestros socios, por poner fin a su reinado de terror, y dar esperanza al pueblo de Colombia de un futuro mejor y más seguro.

Al pueblo de Colombia: nos comprometemos a buscar la verdad sobre los crímenes de Úsuga David y de quienes le ayudaron, a garantizar que se enfrenten a las consecuencias de esos crímenes y a recuperar las ganancias mal habidas para devolvérselas a las víctimas y a sus familias.

Me gustaría dar las gracias especialmente a los agentes de la DEA, el HSI, la policía de Nueva York y el FBI en este caso, y al Servicio de Alguaciles de los Estados Unidos por haber tomado la iniciativa de garantizar que el acusado esté retenido de forma segura en el distrito mientras espera el juicio.

Quisiera expresar mi profunda gratitud al presidente de Colombia, a la Fiscalía General de la Nación, a la Policía Nacional de Colombia, al Ministerio de Defensa Nacional, al Ministerio de Justicia y al Ministerio de Relaciones Exteriores.  La República de Colombia y sus funcionarios encargados de hacer cumplir la ley han arriesgado, y con frecuencia han perdido, sus vidas en la persecución de este malhechor.  Y el pueblo colombiano ha sufrido mucho a manos de Úsuga David y del CDG.  Honraremos su sacrificio y honraremos el compromiso de Colombia de luchar contra el narcotráfico haciendo justicia en este caso para las víctimas y sus familias.

También me gustaría reconocer el enorme trabajo realizado por la Oficina de Asuntos Internacionales del Departamento de Justicia y los Agregados Judiciales de la Sección de Estupefacientes y Drogas Peligrosas (NDDS) de la División Penal en Bogotá, Colombia y los Abogados Litigantes de NDDS SOD.

Por último, me gustaría agradecer a las Fiscalías del Distrito Sur de Florida, del Distrito Medio de Florida, del Distrito Este de Texas y del Distrito Sur de Nueva York, por colaborar con nosotros en este caso.  Los fiscales de esas oficinas han demostrado un extraordinario profesionalismo y dedicación al ofrecer su ayuda en la promoción del caso aquí en el Distrito Este de Nueva York.”

El video de la declaración esta aquí.

Earlier today, in federal court in Brooklyn, Patrick Poux pleaded guilty to filing false applications for hundreds of thousands of dollars in COVID-19 emergency relief loans in 2020 under the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan Program (EIDL).  Poux also pleaded guilty to fraudulently generating and submitting false tax return applications claiming millions of dollars in unearned tax refunds between 2016 and 2019.  Today’s proceeding was held before United States Magistrate Judge Robert M. Levy.  When sentenced, Poux faces up to 30 years in prison and a fine of up to $1 million.

Breon Peace, United States Attorney for the Eastern District of New York, and Thomas Fattorusso, Special Agent-in-Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI), announced the guilty plea.

“It was money not well earned, or well spent. The defendant admitted to preparing and filing false applications for millions of dollars’ worth of COVID-19 disaster relief funds and tax refunds and then spending that money on a life coach and luxury goods,” stated United States Attorney Peace.  “This Office will vigorously prosecute individuals who steal taxpayer dollars, especially from critically important government programs designed to help struggling small businesses and families stay afloat during the pandemic.”

“Patrick Poux orchestrated an elaborate scheme to create false W-2 forms with excessively high federal withholdings, attempting to gain millions by using shell companies he controlled to get fraudulent tax refunds for him and his co-conspirators.  Poux’s fraud went on to include COVID-19 loan applications for companies that had no operations or employees,” said Special Agent in Charge Fattorusso.  “Poux lived a rich lifestyle filled with luxury goods while stealing hundreds of thousands of dollars from those who need the funds for their businesses to thrive. U.S. taxpayers have paid the bill for his lavish purchases for far too long, and today’s guilty plea ensures that Poux will soon pay it back by facing the consequences of his actions.”

The CARES Act was enacted on March 29, 2020 to provide emergency financial assistance in connection with economic effects of the COVID-19 pandemic.  One source of relief provided by the CARES Act was the allocation of funds for the issuance of forgivable loans to small businesses for job retention and certain other expenses through the PPP.  The PPP allowed qualifying small businesses to receive unsecured loans on favorable terms, which they were required to use for certain specified expenses, including payroll costs, interest on mortgages, rent, and utilities.  The PPP provided for forgiveness of the loan if recipient businesses spent the proceeds on these specified expenses within a limited time period and used a certain percentage for payroll costs.  

Similarly, the EIDL program was a program that provided low-interest financing to small businesses, renters and homeowners in regions affected by declared disasters. The CARES Act authorized the SBA to provide EIDLs of up to $2,000,000 to eligible small businesses experiencing substantial financial disruption due to the COVID-19 pandemic.

As set forth in court filings, between March 2020 and September 2020, amid the COVID-19 pandemic, Poux fraudulently applied for PPP and EIDL loans and grants totaling approximately $320,000, on behalf of himself and corporate entities he controlled.  Poux received approximately $183,000 in COVID-19 relief loans and grants to which he was not entitled, and he spent those funds on personal expenses, including a life coach and luxury goods from stores such as Saks Fifth Avenue.

As also set forth in court filings, between 2016 and 2019, Poux and others used false wage and withholding information in income tax returns to obtain tax refunds to which they were not entitled.  To advance the scheme, Poux created false tax forms for shell companies that had no operations or employees.  He gave co-conspirators tax forms that falsely reported that the co-conspirator had worked at a shell company and had withheld income—even though the co-conspirator never worked at the shell company.  Using these falsified forms, co-conspirators could claim substantial refunds from the United States Internal Revenue Service (IRS).  In return, Poux received a percentage of such refunds.  Poux and others submitted approximately 250 claims seeking a total of approximately $2.8 million in tax refunds from the IRS.

The government’s case is being handled by the Office’s General Crimes Section.  Assistant United States Attorney Adam Amir is in charge of the prosecution.

The Defendant:

PATRICK POUX
Age: 45
Snellville, GA

E.D.N.Y. Docket No. 22-CR-117 (BMC)

Mohamad Yassine and Hassan Rahman, citizens of Lebanon, will be arraigned today on money laundering charges for operating an international money laundering organization.  Yassine and Rahman were arrested in September 2021 in Georgia and extradited to the United States on April 30, 2022. The defendants are scheduled to be arraigned this afternoon before United States Magistrate Judge Sanket J. Bulsara at the federal courthouse in Brooklyn. 

Breon Peace, United States Attorney for the Eastern District of New York and Susan A. Gibson, Special Agent-in-Charge, Drug Enforcement Administration (DEA), New Jersey Division announced the extraditions.

“The defendants operated a sophisticated money laundering conspiracy that used the international banking system to move bulk cash by sending wire transfers for criminals throughout the world,” stated United States Attorney Peace.  “This Office is committed to working with our international partners to dismantle the money laundering networks upon which drug traffickers and other criminals rely.” 

Mr. Peace thanked the Georgian Ministry of Justice, the Prosecutor’s Office of Georgia, the Georgian Ministry of Internal Affairs, the DEA’s Country Attaché Office in Georgia, and the Justice Department’s Office of International Affairs for their assistance with the arrest and extradition.

“Drug traffickers rely on international money laundering organizations in order to further their criminal operations,” stated Special Agent in Charge Gibson. “The defendants in this investigation have helped to fuel the misery felt by so many affected by illegal drug use. The men and women of DEA will continue to work with our international partners to ensure these criminals are brought to justice.”

According to court filings, between approximately June 2017 and March 2018, Yassine and Rahman participated in a sophisticated Lebanon-based money laundering organization.  Yassine led the organization, and Rahman was a member who reported directly to Yassine.  The organization collected, laundered, and repatriated illicit funds, including drug proceeds, throughout Europe, the Middle East, South America, Australia, and the United States, in exchange for a percentage-based commission of the amount laundered.  The organization typically charged a double-digit commission, as high as 17%.  The organization used a network of workers to pick up and deliver bundles of cash, and it used the banking system to launder money through wire transfers.  Some of the funds the defendants laundered originated in Australia, were sent to Turkey, and ultimately transferred into a bank account in Brooklyn. 

The charges in the superseding indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.  If convicted, the defendants face up to 40 years in prison.

The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section.  Assistant United States Attorneys Francisco J. Navarro, Jonathan P. Lax, Nomi D. Berenson and Tara B. McGrath are in charge of the prosecution. 

The Defendants:

MOHAMAD YASSINE
Age:  51
Majdel Anjar, Lebanon

HASSAN RAHMAN
Age:  38
Majdel Anjar, Lebanon

E.D.N.Y. Docket No. 18-CR-137 (S-1) (EK)

BROOKLYN, NY – Earlier today, in federal court in Brooklyn, Robert John Sabet, the owner of Brooklyn Chemists in Gravesend, Brooklyn, and Lucky Care Pharmacy in Flushing, Queens, pleaded guilty before United States Magistrate Judge Vera M. Scanlon to conspiracy to commit health care fraud and unlawfully spending the proceeds of his $6.8 million fraud.  When sentenced, Sabet faces up to 10 years in prison.

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

According to court documents, Sabet conspired to bill Medicare and Medicaid for expensive prescription drugs that were not eligible for reimbursement because they were not needed or not dispensed, and because they were dispensed in connection with kickbacks. As part of the conspiracy, Sabet and others paid kickbacks and bribes to customers to convince them to fill prescriptions at his pharmacies, and paid customers cash in exchange for the ability to bill Medicare and Medicaid for over-the-counter health care-related products on their behalf. Sabet used proceeds of the scheme to purchase luxury goods and a 2020 Porsche Taycan worth over $250,000.

The case is being prosecuted by Trial Attorney Miriam L. Glaser Dauermann of the Justice Department’s Fraud Section.  Assistant United States Attorney Brendan King of the Eastern District of New York’s Asset Recovery Section, is handling forfeiture matters.  The case was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of New York.

The Defendant:

ROBERT JOHN SABET
Age:  46
Brooklyn, New York

E.D.N.Y. Docket No.: 21-CR-140 (EK)

Breon Peace, United States Attorney for the Eastern District of New York, announced today that Dr. Josef Schenker and two urgent care facilities owned by him, Josef Schenker, M.D., P.C., and Care Partners Medical Management, LLC, have agreed to pay $564,217.70 to resolve allegations that they submitted false claims to Medicare for services not provided in administering COVID-19 vaccines and tests. 

“In billing for medical services that were not provided to patients receiving COVID-19 vaccines and tests, Dr. Schenker exploited the pandemic for his own personal benefit,” stated United States Attorney Breon Peace.  “This Office is committed to combatting fraud and abuse of our taxpayer-funded programs.” 

This resolution follows the Department’s recent announcement of  a nationwide coordinated law enforcement action to combat health care- related Covid-19 fraud.

When health care providers bill Medicare for COVID-19 tests and vaccines, they use certain Current Procedural Terminology (CPT) codes that specify the services that have been provided.  In doing so, they signify that the services were performed as described and properly billed in accordance with industry standards.  Applicable industry standards preclude physicians from billing for mid-level or high-level evaluation and management office visits when a Medicare beneficiary actually receives only a COVID-19 vaccine or test. 

An investigation by the United States Attorney’s Office for the Eastern District of New York revealed that, from July 2020 to December 2021, Dr. Schenker routinely used CPT codes which falsely indicated to Medicare that he had conducted detailed examinations of the patients during mid-level and high-level evaluation and management office visits when, in fact, he had provided only a COVID-19 vaccine or test.  The settlement resolves potential claims that Dr. Schenker’s alleged conduct violated the False Claims Act, 31 U.S.C. §§ 3729-33.  The claims resolved by the settlement are allegations only. 

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

BROOKLYN, NY – Earlier today, in federal court in Brooklyn, a federal jury convicted Jasminder Singh of bank fraud and money laundering based on defrauding American Express of more than $4.7 million in charges for iPhone purchases and spending the fraud proceeds on a $1.3 million home and other luxury items.  Singh was convicted of bank fraud and unlawful monetary transactions. The verdict followed a one-week trial before United States District Judge Carol Bagley Amon.

Breon Peace, United States Attorney for the Eastern District of New York, Assistant Attorney General Kenneth A. Polite, Jr. 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 verdict.

“The jury determined that Singh was a fraudster who used American Express cards to purchase thousands of iPhones, racking up millions of dollars in charges and then spun a web of lies to avoid paying the bill and hide his ill-gotten assets,” stated United States Attorney Peace.  “After stiffing American Express, the defendant was living large, until today, when the bill for his crimes came due with today’s verdict.”

As proven at trial, Singh used four business entities that he created and controlled and 10 American Express credit cards in those entities’ names to purchase thousands of Apple iPhones that he then sold overseas for millions of dollars. Between November 2017 and December 2019, the defendant misrepresented to American Express his inability to repay more than $4.7 million in charges incurred from his purchase of iPhones in order to secure additional credit, and used a series of financial transactions to conceal the money he obtained from selling the purchased iPhones. The defendant used the proceeds from his fraudulent scheme to pay for personal expenses and purchase luxury items, including a $1.3 million home in cash in Fremont, California. The defendant made most of the purchases at Apple stores in Oregon and Washington.

The evidence at trial included financial and phone records, audio recordings, testimony from the defendant’s co-conspirator Mandeep Singh, and an FBI forensic accountant. Mandeep Singh pleaded guilty to money laundering conspiracy in March 2022 and is awaiting sentencing.

Assistant United States Attorney Michael Gibaldi of the Eastern District of New York and Trial Attorney Patrick J. Campbell of the Criminal Division’s Fraud Section are prosecuting the case with the assistance of paralegal Eleanor Fitzgerald.

Defendant:

JASMINDER SINGH
Age:  45
Fremont, California

E.D.N.Y. Docket No.: 21-CR-397 (CBA)

A 35-count, second superseding indictment was unsealed today in federal court in Brooklyn charging Darrius Sutton, also known as “Blizz Meecho,” Trava Selby, also known as “Stoney,” Andrew Simpson, also known was “Drewski,” Tyshawn Sumpter, also known as “GT,” Ronnie Warren, also known as “Bossman Horse,” and Corey Williams, also known as “Moncler Mellz,” with racketeering conspiracy, violent crimes in-aid-of racketeering—including attempted murder and murder conspiracy—firearms offenses, drug-dealing and fraud.  As alleged in the indictment, the defendants were members and associates of a violent East New York gang called “Bamalife,” which has ongoing and violent rivalries with other gangs in East New York and elsewhere in Brooklyn.  Simpson and Warren were arrested earlier today and will be arraigned this afternoon before United States Magistrate Judge Sanket J. Bulsara.  Selby, who is presently in New York State custody, and Sutton, Sumpter and Williams who are already in federal custody on related charges, will be arraigned at a later date.  During Simpson’s arrest in Edison, New Jersey, members of law enforcement recovered a Glock handgun with an extended ammunition clip from the defendant’s pants.

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), Jonathan Mellone, Special Agent-in-Charge, U.S. Department of Labor, Office of Inspector General, New York Region (DOL-OIG), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the arrests and charges.

“As alleged in the superseding indictment, the defendants wreaked havoc in East New York and nearby neighborhoods, with innocent bystanders caught in the crossfire as members of Bamalife carried out senseless violence directed against rival gangs,” stated United States Attorney Peace.  “This Office, together with our law enforcement partners, are working tirelessly to protect our communities by dismantling criminal enterprises that are engines of a broad range of crimes, taking the violent gang members off the street and stopping the cycle of gun-related violence.” 

“Gang members and their rivals aren’t the only ones affected by the hostility they inflict upon themselves. In this case specifically, as we allege, the defendants’ activity threatened the safety and security of the residents of East New York, who deserve to walk their streets without the fear of violence.  Today’s charges should send a message that the FBI remains committed to strengthening our communities by eliminating this type of illegal activity.” stated FBI Assistant Director-in-Charge Driscoll. 

“The Unemployment Insurance Program exists to provide needed assistance to qualified individuals who are unemployed due to no fault of their own.  Fraud against the Unemployment Insurance Program distracts state workforce agencies from ensuring benefits go to individuals who are eligible to receive them. The Office of Inspector General will continue to work closely with our many law enforcement partners to investigate those who exploit the Unemployment Insurance Program,” stated DOL-OIG Special Agent-in-Charge Mellone.

“Today’s charges further illustrate our unwavering commitment to dismantling violent gangs while taking illegal guns off our streets,” said NYPD Commissioner Sewell. “We use every resource available to keep our neighborhoods safe, and any person who puts New Yorkers at risk must be held accountable to the fullest extent of the law. I want to thank the U.S. Attorney’s Office for the Eastern District of New York, the FBI’s New York Field Office, the Office of the Inspector General’s New York Regional Office, and all the investigators involved in this important case.”

As alleged in the indictment and other court filings, the defendants are charged in connection with six non-fatal shootings in East New York and elsewhere in Brooklyn that wounded 12 individuals.  Also as alleged in the indictment, the defendants financed their violent shooting spree through drug-dealing and various forms of fraud, including bank fraud and unemployment benefits fraud. 

The August 11, 2019 Shooting

As alleged, on August 11, 2019, Sutton accosted a member of a rival gang after a party in East New York.  Sutton demanded to know if the victim was a member of the rival gang and then began shooting and pursuing the intended victim as the victim attempted to flee.  Sutton struck and seriously injured his intended target and also struck an innocent bystander in the leg. 

The April 20, 2020 Shooting

As alleged, on April 20, 2020, Sutton ambushed a male victim in the vicinity of 375 Sheffield Avenue in East New York, Brooklyn.  Surveillance video shows Sutton approaching the victim undetected from behind, drawing his weapon, firing several shots and striking the victim in the chest, thigh and wrist before fleeing the scene.  Following Sutton’s arrest on federal charges for this shooting, Warren took images of Sutton shooting his victim that were part of a court filing and posted them to Instagram with the message: “MY BOY GREAT.”

The May 16, 2020 Shooting

As alleged, on May 16, 2020, Sutton and Sumpter, together with others, shot and seriously injured a member of a rival gang in the vicinity of 2211 Pitkin Avenue in East New York, Brooklyn.  Surveillance video of the shooting shows two cars pulling up to a location approximately four blocks from the shooting.  Sutton exited one of the cars and approached 2211 Pitkin Avenue, where members of a rival gang are known to congregate, while Sumpter and other coconspirators waited in the vehicle.  Surveillance video from inside the building shows Sutton in the lobby holding a firearm.  Moments later, Sutton shot the rival in the courtyard of 2211 Pitkin Avenue, ran back to the waiting vehicles, and fled the scene. 

The July 14, 2020 Shooting

As alleged in the indictment, on July 14, 2020, Sutton, Sumpter, and others opened fire on a member of a rival gang member in the vicinity of 620 Vermont Avenue in East New York.  Video surveillance footage of the shooting shows Sutton, Sumpter and others arrive at the scene in two cars.  Sutton and Sumpter exited one of the vehicles and began shooting, striking the rival gang member and seriously injuring him.  Sutton, Sumpter, and several other individuals then ran back to the waiting vehicles, which sped off. 

The February 6, 2021 Shooting

As alleged in the indictment, on February 6, 2021, Sumpter shot at a group of individuals outside a six-year old’s birthday party in the vicinity of 1093 Putnam Avenue in Brooklyn, after a member of Bamalife had an altercation with those individuals at the party.  Video surveillance footage shows Sumpter outside the entrance to the party as guests, including young children, were leaving.  The surveillance footage shows a group of individuals running from the scene and shows Sumpter chasing after them while firing several shots.  Following the shooting, Sumpter fled in a waiting vehicle. 

The August 16, 2021 Shooting

As alleged in the indictment, on August 16, 2021, Simpson and at least two accomplices shot into a crowd outside of 927 Dekalb Avenue in Brooklyn, striking eight individuals. Video surveillance of the incident shows Simpson and his accomplices double-park near the scene of the shooting, after which two of the conspirators approached the large crowd gathered in the courtyard and began firing.  The shooters returned to the waiting vehicle and sped off. 

Murder Conspiracies

As alleged in the indictment, from 2014 to the present, Sutton, Simpson, Sumpter and Williams conspired to murder members and associates of another East New York-based gang and beginning in 2016, Sutton, Selby, Simpson, Warren and Williams conspired to murder John Doe 1, in part in retaliation for an incident in which Warren was shot.  In the course of the conspiracy, Warren released a rap song and accompanying video in which Warren and other members of Bamalife can be heard shouting that John Doe 1 and his girlfriend are “going to die together.”   

Bank Fraud and other Fraudulent Schemes

As alleged in the indictment, members of Bamalife earned money through illicit means, including various fraud schemes.  As alleged, in June 2019, Warren and Williams engaged in a scheme to create and deposit fraudulent checks drawn on bank accounts of unwitting victims.  Warren and Williams used information from victims’ bank accounts to create fraudulent checks, which they deposited into the account of co-conspirators in order to obtain funds.  Williams bragged on social media about the proceeds of his fraud schemes.  For example, on July 9, 2021, he posted the following to his Instagram account with the username “darealmonclermellz”: “I just spent 80k last week like it was nothing.” 

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

The government’s case is being handled by the Office’s Organized Crime and Gangs Section.  Assistant United States Attorneys Kevin Trowel and Nick M. Axelrod are in charge of the prosecution.

The Defendants:

DARRIUS SUTTON (also known as “Blizz Meecho”)
Age:  24
Brooklyn, New York

TRAVA SELBY (also known as “Stoney”)
Age:  27
Brooklyn, New York

ANDREW SIMPSON (also known as “Drewski”)
Age:  24
Brooklyn, New York

TYSHAWN SUMPTER (also known as “GT”)
Age:  28
Brooklyn, New York

Ronnie warren (also known as “Bossman Horse”)
Age:  25
Hoboken, New Jersey

Corey williams (also known as “Moncler Mellz”)
Age:  27
Rembert, South Carolina

E.D.N.Y. Docket No. 20-CR-323 (S-2) (AMD)

Earlier today, at the federal court in Brooklyn, Angelina Barini was sentenced by United States District Judge Brian M. Cogan to 30 years’ imprisonment for distributing narcotics and causing the deaths of multiple victims. In August 2021, Barini pleaded guilty to two counts of distributing narcotics that caused the deaths of a person; one count of distributing fentanyl, methamphetamine, and cocaine; and one count of conspiring to distribute gamma-butyrolactone (GBL).

Breon Peace, United States Attorney for the Eastern District of New York; Ricky J. Patel, Acting Special Agent-in-Charge, Homeland Security Investigations, New York (HSI); and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the sentence.

“The defendant drugged and killed multiple people for a few quick dollars.  She stole their personal belongings while they lay unconscious dying from the lethal drugs she gave them.  The defendant’s substantial prison sentence is warranted by her shocking disregard for human life,” stated United States Attorney Peace.  “Hopefully, today’s sentence will bring some solace to the victims’ families and serve as a warning to future perpetrators that there are significant consequences to these horrific crimes.”

“Displaying complete disregard for human life, Barini peddled fentanyl-laced drugs to her victims who tragically lost their lives to temporary highs.  The plague of addiction continues to devastate families and communities in New York and around the country. This case is a painful reminder that there are people like Barini who prey on addicts, turning deadly fentanyl cocktails into quick profits.  HSI, along with our law enforcement partners, remains committed to investigating and dismantling networks that perpetuate opioid related overdose deaths. Today’s sentencing holds one more dealer responsible for profiting off the addiction of others, several of whom paid the ultimate price,” stated HSI Acting Special Agent-in-Charge Patel.

“For the immense harm her illegal narcotics peddling caused several victims, Angela Barini today will be sent to prison,” said Police Commissioner Sewell. “This sentence underscores the NYPD’s commitment, along with all of our law enforcement partners and the prosecutors in the U.S. Attorney’s Office for the Eastern District of New York, to never stop working to protect lives and ensure justice.”

As detailed in court filings and statements at court proceedings, between July and August of 2019, Barini provided narcotics to her victims to incapacitate and rob them of their belongings while sometimes conducting business as a sex worker. On multiple occasions, those narcotics contained lethal doses of fentanyl. On July 4, 2019, Barini met with a victim at a motel in Astoria, Queens and gave him fentanyl-laced drugs. The victim was found dead later that day. On July 11, 2019, Barini met with a victim at a motel in Woodside, Queens and gave him fentanyl-laced drugs which caused his overdose death. On August 5, 2019, Barini met another victim in College Point, Queens and gave him fentanyl-laced drugs which caused his overdose death. 

Additionally, on August 18, 2019, Barini met a victim inside an Elmhurst, Queens motel room and drugged him with GBL, which is commonly referred to as a “date rape” drug. The victim died shortly after entering the motel room and Barini made repeated attempts to dispose of the victim’s body without being detected. On August 21, 2019, the NYPD found the victim dead in the motel room. The victim’s body had been wrapped in bleach-stained sheets and placed inside of a garbage bin. 

The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section. Assistant United States Attorneys Andrew D. Grubin and Andrew Wang are in charge of the prosecution. 

The Defendant:

ANGELINA BARINI
Age: 43
Queens, New York

E.D.N.Y. Docket No. 19-CR-428 (S-2) (BMC)

Earlier today, following a one-week trial, a federal jury in Brooklyn returned a guilty verdict against Tawanna Hilliard, the mother of a 5-9 Brims gang member, on charges of witness retaliation, conspiracy to commit witness retaliation, obstruction of justice and conspiracy to obstruct justice.   At the time of her crimes, Hilliard was a paralegal working in the Civil Division of another United States Attorney’s Office.  Hilliard’s co-defendant and son, Tyquan Hilliard pleaded guilty in November 2020 to witness tampering conspiracy related to the same scheme and was sentenced to 63 months’ imprisonment.

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), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the verdict.

“As found by the jury, the defendant, a paralegal in a federal prosecutor’s office, obstructed justice to retaliate against, harass and jeopardize the safety of suspected cooperating witnesses against her gang member son,” stated United States Attorney Peace. “Those who brazenly commit such acts, including through the anonymity provided by the use of social media and the internet, will be investigated and prosecuted.” 

Mr. Peace thanked the Office of Inspector General for their assistance in the investigation and prosecution. 

"Hilliard released information obtained in the discovery of a case involving her son in an effort to harass and retaliate against potential cooperating witnesses, which resulted in threats being made to those individuals. This type of behavior, especially from our public servants, won’t be tolerated,” stated Assistant Director-in-Charge Driscoll. 

The evidence at trial proved that in May 2018, the defendant’s son, Tyquan Hilliard, 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”).  Following the robbery, all three individuals were arrested by local police.  John Doe and Jane Doe separately made video-recorded post-arrest statements to law enforcement (the “Videos”), including to federal task force officers investigating a string of commercial robberies committed by 5-9 Brims members. 

In August 2018, the defendant received the discovery in her son’s robbery case, which included the video-recorded statements of John Doe and Jane Doe.  She thereafter discussed the Videos in detail over recorded phone calls with her son, who was incarcerated following his arrest for the robbery.  On August 5, 2018, as captured on a recorded jail call, the defendant’s son asked his mother to upload one of the Videos to the internet, and they discussed possible titles for the video.  During the same call, the defendant’s son also spoke to another one of his associates and referred to the Videos as “ammunition.” 

On August 5, 2018, the defendant uploaded the video of John Doe’s statement to YouTube.  The video was uploaded from a Google account with username primetime59brim on Gmail and on YouTube.  The video was entitled, “NYC Brim Gang Member SNITCHING! Pt. 1.” 

Also on August 5, 2018, the defendant’s son asked the defendant to send the video of Jane Doe’s post-arrest statement to one of his gang associates over a recorded jail call.  The defendant and her son also discussed “tagging” John Doe in the video, to make it clear he had also “snitched.”   Later that day, a different user uploaded the video of Jane Doe’s statement to YouTube with the title, “NYC Brim Gang Member Girlfriend SNITCHING ([Facebook name of John Doe]).”  The video of Jane 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.  John Doe also received numerous death threats in prison, both in Sullivan County and, when he was arrested and charged federally, in the Bureau of Prisons. 

This case was brought as 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.  As part of the program, U.S. Attorneys’ Offices work in partnership with federal, state, local and tribal law enforcement and their local communities to develop effective, locally based strategies to reduce violent crime.   

The government’s case is being handled 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 Celine Laruelle.

The Defendant:

TAWANNA HILLIARD
Age:  47
Brooklyn, New York

Defendant Previously Sentenced:

TYQUAN HILLIARD
Age:  32
Brooklyn, New York

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

An indictment was unsealed today in federal court in Brooklyn charging Elemer Raffai, an orthopedic surgeon, with health care fraud in connection with a $10 million scheme involving the submission of false and fraudulent claims to Medicare and Medicare Part D plans. Raffai was arrested today and will make his initial court appearance this afternoon in United States District Court for the Northern District of New York.

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; Scott J. Lampert, Special Agent-in-Charge, U.S. Department of Health and Human Services, Office of Inspector General’s Office of Investigations (HHS-OIG); and Janeen DiGuiseppi, Special Agent-in-Charge, Federal Bureau of Investigation, Albany Field Office (FBI), announced the arrest and indictment.

“In exchange for kickbacks from telemedicine companies, Dr. Raffai allegedly submitted millions of dollars in false and fraudulent claims to Medicare on behalf of beneficiaries without even examining them or based on conversations on the phone that lasted less than three minutes,” stated United States Attorney Peace. “Dishonest doctors who think Medicare is a cash cow and connect with telemedicine companies to brazenly steal from this vital taxpayer-funded program, will find themselves arrested, prosecuted and their scheme disconnected.”

“These allegations describe a physician who is more motivated by personal enrichment than his duty to provide appropriate and necessary care to his patients,” stated HHS-OIG Special Agent in Charge Lampert. “Dr. Raffai is accused not only of disregarding proper patient care, but also of pilfering funds from a program upon which millions of citizens depend for health services. Our agency and law enforcement partners are dedicated to tracking down individuals who commit health care offenses, and their involvement in a fraud network does not insulate them from our pursuit.”

“Healthcare fraud is a serious crime that impacts every American. Dr. Raffai cheated the system for his own personal gain in the amount of $10 million. Like many others who commit healthcare fraud, Dr. Raffai’s crimes contribute to the rising cost of health care for everyone. The FBI, along with our partners, will continue to investigate healthcare fraud to ensure these individuals who willingly defraud the American people are brought to justice,” stated FBI Special Agent-in-Charge DiGuiseppi.

According to the indictment, Dr. Raffai purported to practice telemedicine with the AffordADoc Network and other telemedicine companies that paid the defendant for each consultation with a beneficiary. Between July 2016 and June 2017, Dr. Raffai allegedly participated in a health care fraud scheme in which he signed prescriptions and order forms via purported telemedicine services for durable medical equipment (DME), including orthotic braces, that were not medically necessary. Dr. Raffai caused the submission of these claims based solely on a short telephone conversation for beneficiaries he had not physically examined and evaluated, and that were induced, in part, by the payments of bribes and kickbacks. Dr. Raffai was paid by telemedicine companies approximately $25 or $30 per patient consultation. The indictment further alleges that Dr. Raffai, together with others, submitted or caused the submission of approximately $10 million in false and fraudulent claims to Medicare for DME on behalf of beneficiaries who were residents of the Eastern District of New York, and Medicare paid more than $4 million on those claims.

The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, Dr. Raffai faces up to 10 years in prison.

The FBI and HHS-OIG are investigating the case, which was brought as part of the Medicare Fraud Strike Force under the supervision by the U.S. Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section. Trial Attorneys Andrew Estes and Kelly M. Lyons of the Criminal Division’s Fraud Section are in charge of the prosecution.

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

Defendant: DR. ELEMER RAFFAI
Age: 56
Malone, New York

E.D.N.Y. Docket No.: 22-CR-177 (SJ)

Earlier today, in federal court in Central Islip, Gregory Settino, a resident of Bethpage, New York, was sentenced by United States District Judge Joanna Seybert to a year and a day’s imprisonment for theft of approximately $750,000 worth of medical products. The Court also ordered Settino to pay restitution of $847,093.

Breon Peace, United States Attorney for the Eastern District of New York, and Ronne G. Malham, Acting Special Agent-in-Charge, Food and Drug Administration, Office of Criminal Investigations, New York Field Office (FDA-OCI), announced the sentence.

“Today’s sentence is the finish line of Gregory Settino’s criminal conduct. He stole thousands of bottles of drugs, ignored safe handling practices, and allowed them to be given to horses at New York racetracks without regard for the health of the animals – only focusing on his own personal gain,” stated United States Attorney Peace. “Those who jeopardize drug safety and risk the health of others will be held accountable and face serious consequences.”

“The FDA ensures that veterinary drugs are safe and effective so that animals remain healthy. Drugs that are taken out of the legitimate supply chain pose a risk to the animals that take them,” said Acting Special Agent in Charge Malham. “We will continue to investigate and bring to justice those who endanger the health of animals.”

As admitted at defendant’s plea, Settino, the production supervisor of manufacturing at a Long Island Drug Manufacturer, American Regent formerly Luitpold Pharmaceuticals, Inc. in Shirley, New York, Settino stole Adequan, a drug manufactured there. Adequan is an injectable equine drug administered to horses to treat degenerative joint disease Settino’s thefts of thousands of bottles of Adequan covered a period of eight years, from 2012 to 2020, and Settino sold those drugs worth $750,000 for hundreds of thousands of dollars to trainers and veterinarians at New York racetracks, including Belmont Park. Settino’s conduct endangered the health of horses because the drugs were not maintained, stored or transported in accordance with proper procedures for ensuring the safety, effectiveness and efficacy of the drugs. At times, Settino transported the drugs in shoeboxes stored in his car.

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

The Defendant: GREGORY SETTINO
Age: 60
Bethpage, New York

E.D.N.Y. Docket No. 20-CR-340 (JS)

An indictment was returned yesterday in Central Islip charging Dr. Perry Frankel with three counts of health care fraud for an alleged scheme to defraud Medicare and Medicaid of over $1.3 million in claims that were billed during the COVID-19 health emergency in connection with COVID-19 testing. Frankel, a cardiologist and the owner and operator of Advanced Cardiovascular Diagnostics PLLC, allegedly caused the submission of claims to Medicare and Medicaid for office visits that were not performed for patients who received COVID-19 tests at Advanced Cardiovascular Diagnostics PLLC’s mobile testing sites across Long Island, including on dates when Frankel was not present in the state of New York. Frankel was arrested this morning and will be arraigned this afternoon before United States District Judge Joanna Seybert.

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 Scott J. Lampert, Special Agent-in-Charge, U.S. Department of Health and Human Services, Office of Inspector General’s Office of Investigations (HHS-OIG), announced the charges.

“As alleged, exploiting a public health crisis by using patients who received COVID-19 tests at mobile testing sites to fraudulently bill Medicare and Medicaid for fictitious office visits is reprehensible,” stated United States Attorney Peace. “This Office and our law enforcement partners will vigorously prosecute those who take advantage of the pandemic to steal from taxpayer-funded programs."

“As alleged, Frankel took advantage of the COVID-19 health crisis to engage in a fraud scheme that undermined our health care system and the people it serves,” said HHS-OIG Special Agent in Charge Lampert. “Such scams waste taxpayer funds and drive up healthcare costs for all of us. HHS-OIG and our law enforcement partners will remain vigilant in our efforts to root out all related fraud schemes during the ongoing public health emergency.”

“The Department of Justice’s Health Care Fraud Unit and our partners are dedicated to rooting out schemes that have exploited the pandemic,” said Assistant Attorney General Polite. “Today’s enforcement action reinforces our commitment to using all available tools to hold accountable medical professionals, corporate executives, and others who have placed greed above care during an unprecedented public health emergency.”

The charges filed in Central Islip are part of a coordinated health care fraud enforcement action across nine federal districts, led by the Medicare Fraud Strike Force, that resulted in criminal charges against 21 defendants for their alleged participation in health care fraud schemes related to COVID-19 involving more than $149 million in false and fraudulent claims.

HHS-OIG is investigating the case, which was brought as part of the Medicare Fraud Strike Force under the supervision of the U.S. Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section. Trial Attorneys Kelly M. Lyons and Patrick J. Campbell of the Fraud Section are in charge of the prosecution.

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

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

The Defendant: PERRY FRANKEL
Age: 64
Roslyn, New York

E.D.N.Y. Docket No. 22-CR-180

Earlier today, in federal court in Brooklyn, Robert Smith, a former New York City Police Department (“NYPD”) police officer, was sentenced by United States District Judge Rachel P. Kovner to 97 months of imprisonment for using interstate facilities to commit bribery and attempting to transport heroin. During the relevant period, Smith was a NYPD police officer assigned to the 105th Precinct in Queens, retiring in March 2020. Smith pleaded guilty to the charges in October 2021. Smith’s co-defendant, Heather Busch, also a former NYPD police officer, was sentenced in February 2022 to six months’ imprisonment, after pleading guilty in August 2021 to using interstate facilities to commit bribery. Another co-defendant, Robert Hassett, also a former NYPD police officer, pleaded guilty in October 2021 to conspiracy to violate the Travel Act and is awaiting sentencing.

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, NYPD, announced the sentence.

“Corruption not only endangers the communities that police officers are sworn to serve, but it also corrodes the public’s trust in law enforcement and the criminal justice system. Robert Smith and his co-defendants were corrupt officers who sold out their badges for personal gain without regard for the betrayal and the harm they caused the NYPD and their fellow officers,” stated United States Attorney Peace. “For his crimes, Smith, self-described as ‘one of the most corrupt cops in the 105’, deservedly will spend years in prison. Today’s sentence should send a message that this Office, together with our law enforcement partners, will work diligently to investigate and prosecute corrupt public servants who exploit their positions of power for profit.”

“We have zero tolerance for corruption of any kind within the NYPD,” stated NYPD Commissioner Sewell. “We and our law-enforcement partners will continue to vigorously pursue corrupt public servants who exploit their positions for personal gain. In addition to eroding public trust in law enforcement, their disgraceful actions tarnish the reputation of the many thousands of police officers who honorably serve our communities each day.”

Smith engaged in several corrupt schemes to solicit and receive bribes while employed by the NYPD. Upon his retirement from the NYPD, Smith agreed to transport illegal drugs while armed with a gun in exchange for cash payments. In recordings obtained by the government during the investigation, Smith repeatedly referred to himself in criminal terms as, for example, “one of the most corrupt cops in the 105,” a “perp[] that got away,” and someone who, had he not been an NYPD officer, would have been “locked up so many times.”

The Tow Truck Scheme

Beginning in September 2016, NYPD Officers Smith and Hassett responded to automobile accidents by directing the damaged vehicles to a licensed tow trucking and automobile repair business (the “Business”) operated by an individual (the “Individual”), instead of using the NYPD’s Directed Accident Response Program (“DARP”), which requires NYPD officers to identify an appropriate licensed tow trucking business to respond to the scene of the automobile accident and remove the damaged vehicles from the scene. Smith and Hassett bypassed DARP and directed damaged vehicles directly to the Business in exchange for thousands of dollars in cash bribe payments. Smith and Hassett continued to participate in the scheme until at least June 2017.

In November 2019, Smith resumed his participation in the scheme and continued to steer vehicles damaged in automobile accidents to the Business in exchange for cash. Beginning in January 2020, Smith discussed his plan to recruit Busch to participate in the scheme in advance of his retirement from the NYPD. In March 2020, Busch, at Smith’s invitation, met with Smith and the Individual and agreed to participate in the scheme. Thereafter, Busch began steering vehicles damaged in automobile accidents to the Business in exchange for cash bribe payments, instead of utilizing DARP as required.

The Victim Database Scheme

Beginning in January 2020, Smith and Hassett obtained the names and identifying information of recent automobile accident victims from NYPD databases and provided that information to the Individual in exchange for cash. Smith and Hassett understood that the Individual would sell that information to physical therapy businesses and personal injury attorneys so that they could seek to solicit the automobile accident victims as customers.

Hassett accessed NYPD databases on numerous occasions in violation of NYPD regulations for the purpose of obtaining the names and identifying information of victims of automobile accidents. Hassett then arranged for that information to be delivered to the Individual, sometimes through Smith. In total, between January 2020 and March 2020, Smith and Hassett sold the names and identifying information of more than 100 victims to the Individual, in exchange for more than $7,000 in cash.

The Armed Drug Trafficking Scheme

Beginning in January 2020, Smith sought opportunities from the Individual to transport illegal narcotics, in exchange for payment, upon Smith’s retirement from the NYPD. In June 2020, Smith met with two undercover law enforcement officers posing as narcotics traffickers to discuss his interest in participating in a scheme to traffic drugs and told them he could carry a firearm and his retired NYPD identification while he was transporting the drugs. In July 2020, Smith met with a third undercover law enforcement officer and accepted a bag containing what Smith believed to be a kilogram of heroin. Smith transported the bag to a location in Queens where he delivered it to another undercover law enforcement officer in exchange for a payment of approximately $1,200 in cash.

The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Ryan C. Harris and Nicholas J. Moscow are in charge of the prosecution.

The Defendants: HEATHER BUSCH
Age: 35
Massapequa, New York

ROBERT HASSETT
Age: 37
Farmingville, New York

ROBERT SMITH
Age: 45
Plainview, New York

E.D.N.Y. Docket No. 21-CR-254 (RPK)

“In the federal courthouse behind me, a short time ago, former Nassau County Executive Edward Mangano was sentenced by the Court to 12 years in prison, and his wife, Linda Mangano, to 15 months in prison.

Nearly two years ago, a federal jury found Edward Mangano guilty of conspiracy to obstruct justice and multiple counts of taking bribes and kickbacks from a businessman in exchange for pressuring local officials to guarantee the businessman’s loans. Linda Mangano was found guilty of obstructing the investigation by lying to the FBI about getting a lucrative “no show” job from that businessman, which was a bribe to her husband.

Edward Mangano’s blatant acts of corruption, and the defendants’ concerted efforts to obstruct a federal grand jury investigation, display a stunning abuse of power. The defendants’ conduct is an affront to our system of government and, quite frankly, a betrayal to the people of Nassau County, especially the residents of the Town of Oyster Bay.

From the moment he was elected, Edward Mangano sold himself and his office. He cashed in the power, the resources, and the influence of his office to enrich himself and his wife. For Ed Mangano, public service was self-service. He received bribes in the form of vacations, an expensive watch, furniture and hardwood flooring for his house. And, most notably, a $100,000-a-year no-show job for his wife, Linda Mangano.

Simply put, Edward Mangano is going to jail for brazenly abusing the power of his office as the top elected official of Nassau County. He is going to jail for betraying not only the people who elected him, but every resident of Nassau County who believes that government is supposed to do good, make our lives better and serve our communities honestly and without public officials lining their pockets with taxpayers’ hard-earned money.

To this day, neither defendant has shown a trace of remorse for their crimes and maintain they did nothing wrong. Their lack of shame is remarkable.

Edward and Linda Mangano’s flagrant disregard for the law has left them convicted felons and headed for prison. Today’s sentence demonstrates that corruption and obstruction will not be tolerated.

I stand here together with the outstanding prosecutors from my Office and the exceptional FBI agents who successfully brought the Manganos to justice, with a very important message. I want to assure the public that their faith in government and our criminal justice system is not misplaced. The disgraceful and greedy conduct of the Manganos has been exposed and punished.

And the same fate awaits those in public service who abuse their positions to serve themselves and not the people. Officials who choose to deprive the people of the honest services they deserve will find themselves in a courtroom learning that there is a serious price to pay for their corruption. No one is above the law.

I will conclude my remarks on a positive note, praising the prosecutors and FBI agents I mentioned moments ago. I want to commend Assistant United States Attorneys Catherine Mirabile, Christopher Caffarone and former Eastern District Assistant U.S. Attorney Lara Treinis Gatz for their tireless, tenacious and terrific work on the case. I also thank Paralegal Specialist Samantha Schroder and Legal Assistant Kerry Ucci. They were ably assisted in the pursuit of justice by FBI Special Agents Laura Spence, Frank Lomonaco and William Sena, Forensic Analyst William Del Gais and Eastern District of New York Special Agent Michael Cassidy.”

Watch the video of the statement here. 

Earlier today, at the federal courthouse in Central Islip, Edward Mangano, the former Nassau County Executive, and his wife Linda Mangano were sentenced by United States District Judge Joan M. Azrack to 12 years, and 15 months’, imprisonment, respectively, following their convictions after a seven-week trial.  Edward Mangano was convicted of multiple counts of accepting bribes and kickbacks in exchange for official government action, and for conspiracy to obstruct justice.  Linda Mangano was also convicted of conspiracy to obstruct justice, obstruction of justice and making false statements to Federal Bureau of Investigation (FBI) agents in connection with her employment by Long Island restaurateur Harendra Singh.  Edward Mangano was also ordered to pay a $20,000 fine.

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 (FBI), announced the sentences.

“Edward Mangano, as County Executive, gave Nassau residents widespread corruption and dishonesty instead of truth and integrity. Linda Mangano took affirmative steps to mislead a federal investigation to keep her husband in power and to maintain their way of life,” U.S. Attorney Peace stated.  “Today’s sentence should send a strong, unambiguous message to any public official willing to place their personal interest above the public’s, and to those inner circle members who corruptly attempt to protect them from prosecution: my Office will employ all resources at its disposal to investigate, prosecute, and convict you in order to restore the public’s faith in our elected officials.” 

Mr. Peace thanked the FBI and the Internal Revenue Service Criminal Investigation for their work on the case.

The evidence at trial established that between January 2010 and February 2015, Edward Mangano engaged in schemes to solicit and receive bribes and kickbacks from Singh.  In return for the cash and personal benefits he received, Mangano, who served as Nassau County Executive from January 2010 to December 2017, performed official actions to benefit Singh in connection with his businesses.

The Town of Oyster Bay (TOB) Loan Scheme

Several weeks after Edward Mangano took office as Nassau County Executive in January 2010, he urged TOB Supervisor to help Singh obtain financing in order to make required capital improvements at TOB Beach and The Woodlands at the TOB golf course, by authorizing the TOB to indirectly guarantee four bank loans totaling approximately $20 million.  Mangano used his official position to ensure that the TOB backed the loans.  In April 2010, Singh hired Linda Mangano for a sham job as the purported Director of Marketing for Singh’s businesses.  Shortly thereafter, the TOB indirectly guaranteed the first of four personal loans to Singh related to the beach and the golf course.  Singh paid for five vacations, hardwood flooring, a custom-made office chair, a massage chair and a watch for the Manganos, as well as over $450,000 in total for Linda Mangano’s no-show job.  

Obstruction of Justice

Edward and Linda Mangano conspired to obstruct a federal grand jury investigation when they schemed with Singh to fabricate examples of work never performed by Linda Mangano at the Water’s Edge, in an attempt to thwart a grand jury investigation.  On May 20, 2015 and May 22, 2015, Linda Mangano made false statements to the FBI and federal prosecutors about the work she claimed to have performed for Singh.

The government’s case is being handled by the Office’s Long Island Criminal Division.  Assistant United States Attorneys Catherine M. Mirabile, Christopher Caffarone and former Eastern District Assistant United States Attorney Lara Treinis Gatz are in charge of the prosecution.  Assistant United States Attorney Madeline O’Connor is responsible for the forfeiture of assets.

The Defendants:

EDWARD MANGANO
Age:  60
Bethpage, New York

LINDA MANGANO
Age:  59
Bethpage, New York

E.D.N.Y. Docket No. 16-CR-540 (S-2) (JMA)