Southern District of New York

United States Attorney for the Southern District of New York, Jay Clayton and Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., announced the unsealing of two separate Indictments charging GORAN SPIRIDONOV and KRISTINA JANEVA, respectively, with federal crimes relating to their fraudulent sale of “Trump Bucks”—a fake form of legal tender—to victims across the United States.  SPIRIDONOV and JANEVA are both citizens and residents of North Macedonia and remain at large.  SPIRIDONOV’s case has been assigned to U.S. District Judge P. Kevin Castel and JANEVA’s case has been assigned to U.S. District Judge Lewis J. Liman, both of the Southern District of New York.

“As alleged, the defendants created a fictitious financial instrument and marketed it to Americans around the country under the false pretense that ‘Trump Bucks’ was affiliated with the funding of President Trump’s re-election campaign and other causes associated with the President and the Trump Organization,” said U.S. Attorney Jay Clayton. “That cannot be further from the truth. ‘Trump Bucks’ has no connection to the President, the campaign, or the Trump Organization. This fraud targets many senior citizens, taking advantage of their support for the President. We commend our FBI partners for detecting and thwarting this scheme. Importantly, this conduct may be ongoing, and we strongly urge anyone targeted not to provide financial information or funds to any entity related to ‘Trump Bucks’ or the fictitious products pictured in this press release.”

“These foreign nationals allegedly leveraged a false affiliation with the President's administration to steal hundreds of thousands of dollars from Americans,” said FBI Assistant Director in Charge James C. Barnacle, Jr. “The FBI continues to target fraudsters that manipulate our country’s citizens, regardless of where they’re located.”

As alleged in the Indictments:[1]

From at least in or about 2023 through in or about the present, SPIRIDONOV, JANEVA, and others based abroad have engaged in a widespread scheme to scam victims out of hundreds of thousands of dollars through the sale of so-called “Trump Bucks.”  SPIRIDONOV and JANEVA have each falsely claimed that “Trump Bucks” are valuable legal tender affiliated with President Donald J. Trump and the Trump Organization.  In reality, these products are worthless and have no such affiliations.

SPIRIDONOV, JANEVA, and other participants in the scheme have each marketed and sold a number of different “Trump Bucks” and other related products to victims, mainly through the use of a certain online marketplace (identified in the Indictments as “Marketplace-1”) and encrypted messaging applications such as Telegram.  Scheme participants have fraudulently sold “Golden Checks,” “Membership Booklets,” “Golden Badges,” “Trump Dollars,” “Trump Checks,” “Golden Trump Checks,” and “Diamond Bucks,” among other fraudulent products, many of which are marketed under the “Trump Rebate Banking System,” or “TRB,” banner.  Pictures of some of the “Trump Bucks” products fraudulently marketed and sold to victims are below:

SPIRIDONOV, JANEVA, and other promoters of this scam have each falsely represented to victims that “Trump Bucks” products are affiliated with President Trump, members of his family, members of the Trump Organization, and members of the Trump administration, and that purchases of “Trump Bucks” would help fund President Trump’s re-election campaign and various causes purportedly associated with President Trump.  SPIRIDONOV, JANEVA, and others have also falsely claimed that these products are preloaded with tens or hundreds of thousands of dollars in cash that would be redeemable at banks during a Trump presidency.  These statements are all lies.  “Trump Bucks” products are worthless; are not redeemable at any bank; and have no affiliation at all with President Trump, his family members, or members of his administration.

During the scheme, JANEVA marketed several different fake “Bank of Trump” products to victims.  Below is an example of a “Ruby Certificate” marketed by JANEVA, which she falsely claimed was issued by the Trump Organization:

SPIRIDONOV has marketed several other fake “Trump Bucks” products to victims.  For example, in the below email, which was later sent to victims, SPIRIDONOV falsely claimed that any victim who purchased a “Patriot Eagle” product could exchange such product for $10,000 upon President Trump’s reelection:

SPIRIDONOV, JANEVA, and others have each used this fraudulent scheme to collect hundreds of thousands of dollars from victims across the country, many of whom are senior citizens.  

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SPIRODONOV, 25, and JANEVA, 39, are each charged with conspiracy to commit wire fraud and wire fraud, which each carry a maximum sentence of 20 years in prison.  SPIRIDONOV and JANEVA are each also charged with aggravated identity theft, which carries a mandatory two-year consecutive sentence.

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.

Mr. Clayton praised the outstanding investigative work of the FBI and the New York Field Office of Homeland Security Investigations.

This case is being handled by the Office’s Complex Frauds and Cybercrime Unit.  Assistant U.S. Attorneys Nicholas W. Chiuchiolo and Jackie Delligatti are in charge of the prosecution.

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

[1] As the introductory phrase signifies, the Indictments and the description of the Indictments set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), Michael Alfonso, and Special Agent in Charge of the New York Division of the Drug Enforcement Administration (“DEA”), Farhana Islam, announced today the unsealing of a Complaint charging RUDDY CENIT-THEN with conspiring to distribute fentanyl and methamphetamine.  CENIT-THEN was presented earlier today before U.S. Magistrate Judge Sarah Netburn and ordered detained pending trial.

“New Yorkers want us to send a message:  New York will not be a safe haven for any level of drug distribution, much less fentanyl and methamphetamine pill factories,” said U.S. Attorney Jay Clayton.  “As alleged, Ruddy Cenit-Then conspired with others to operate a pill mill out of a 20th-floor Manhattan apartment, right next to thousands of innocent New Yorkers just going about their lives.  That conduct will never be tolerated by this Office.  I am deeply grateful for the efforts of our law enforcement partners and the career prosecutors of this Office as we work to keep methamphetamine, fentanyl, and other deadly and debilitating narcotics off our streets.”

“Ruddy Cenit-Then now stands accused of using a Manhattan apartment as the base for a clandestine pill-pressing factory to produce narcotics-laced tablets on an industrial scale,” said HSI Special Agent in Charge Michael Alfonso.  “Pumping these toxic pills into our communities drives overdoses, fuels crime, and erodes the safety and stability of our families and local businesses.  HSI New York, together with our Homeland Security Task Force partners, will continue to utilize every lawful tool at our disposal to dismantle these operations and protect our neighborhoods from this deadly trade.”

“The DEA and our law enforcement partners remain steadfast in holding accountable those individuals responsible for pushing fentanyl and methamphetamine into our neighborhoods,” stated DEA New York Enforcement Division Special Agent in Charge Farhana Islam. “Ruddy Cenit-Then, who is charged with operating an industrial-scale pill press operation in Washington Heights and sought refuge in the Dominican Republic, thought he was safe from the reach of the DEA and our partners. Today he learned that our global footprint remains strong and wide, and that we are committed to holding traffickers accountable both here at home and abroad.”

According to the allegations contained in the Complaint:[1]

On July 24, 2025, pursuant to a judicially authorized warrant, law enforcement officers searched an apartment in the Washington Heights neighborhood in Manhattan that appeared to be used by CENIT-THEN.  Inside the apartment, law enforcement officers found evidence that CENIT-THEN was using the apartment to run a clandestine, industrial-scale pill pressing operation.  Hidden behind panels inside a closet, law enforcement found, among other things, an industrial-scale pill press and approximately 37 pounds of a white crystal substance contained in a series of Ziplock bags for which field tests positively indicated the presence of methamphetamine.  The pill press, drugs, and other items found behind the hidden panels are pictured below in Image 1, and the hidden panels are pictured below in Image 2.

Image 1

Image 2

RUDDY CENIT-THEN, 46, of the Dominican Republic, is charged with one count of conspiring to distribute fentanyl and methamphetamine, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison.

The statutory minimum and maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.

Mr. Clayton praised the outstanding investigative work of HSI New York and the Homeland Security Task Force, DEA Group D-25, the New York State Police, the New York City Police Department, and the Kings County District Attorney’s Office.  Mr. Clayton also thanked the DEA Chemist Team for its processing of the scene and the U.S Marshals Service for the arrest of CENIT-THEN.  The Justice Department’s Office of International Affairs worked with Dominican authorities in securing CENIT-THEN’s arrest and extradition.

This case is being handled by the Office’s Narcotics Unit.  Assistant U.S. Attorneys Getzel Berger, Katherine Cheng, and Joseph H. Rosenberg are in charge of the prosecution.

The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty. 

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.

Last week the Department of Justice announced the launch of the remission compensation process to provide recovery to victims of AirBit Club, a purported virtual currency mining and trading company that was a pyramid scheme.

Beginning in late 2015, promoters marketed AirBit Club as a multilevel marketing club. Promoters promised victims that AirBit Club memberships earned passive, guaranteed daily returns on virtual currency mining and trading, and hosted lavish expos and small community presentations aimed at convincing victims to purchase AirBit Club memberships and further promote the scheme. While victims saw “profits” accumulate on their online portal, those representations were false; no virtual currency mining or trading took place.

In August 2020, the U.S. Attorney’s Office for the Southern District of New York announced charges against five defendants, including the AirBit co-founders Pablo Renato Rodriguez and Gutemberg Dos Santos, who were sentenced in September 2023. Other defendants included promoters Cecilia Millan and Karina Chairez and attorney Scott Hughes, who were sentenced in October 2023 and ordered to forfeit all of their fraudulent proceeds realized from the scheme, which included substantial amounts of virtual currency.

To date, the United States has forfeited over $400 million in assets which are now available to compensate eligible victims for their compensable losses. Any victims who have previously provided their information to the FBI or U.S. Attorney’s Office will be contacted by the remission administrator, RCB Fund Services, LLC, (RCB) to file a petition. For more information about the remission process and to access the petition form, please visit the official website at https://www.airbitvictimfund.com/ or contact RCB at (800) 765-7551.

“The Department will vigorously pursue those that abuse new technologies to steal millions from hard-working individuals,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “The defendants took advantage of virtual currency’s popularity to promote the scheme and recruit additional victims. The criminal convictions and substantial asset recoveries obtained by prosecutors and law enforcement partners have enabled the Department to successfully launch this significant victim compensation effort.”

“Investor euphoria over new technology is all too often fertile ground for fraudsters,” said U.S. Attorney Jay Clayton for the Southern District of New York. “It is our job to root out those fraudsters. Here, the defendants led a multimillion-dollar pyramid scheme based on lies about virtual currency trading and mining. They now face justice, and this outcome should deter anyone who may be tempted to target others with false promises of high returns in virtual currency investments.”

“HSI New York's El Dorado Financial Crimes Task Force, the largest anti-money laundering task force in the United States, is proud to have played a vital role in delivering justice to the victims of the fraudulent AirBit Club," said Acting Special Agent in Charge Michael Alfonso of Homeland Security Investigations (HSI) New York. “Virtual currency fraud is one of the costliest scams affecting victims today. HSI New York, along with our law enforcement partners through our newly formed Homeland Security Task Force, will continue to pursue fraudsters who promote these schemes, and will utilize every tool at our disposal to recover their ill-gotten gains for investor victims.”

Assistant U.S. Attorney Cecilia E. Vogel for the Southern District of New York represented the government in both the criminal prosecution and forfeiture proceedings with valuable assistance from forfeiture contract paralegal Christina Lopresti. HSI’s El Dorado Task Force, HSI Panama, the HSI Panama City Transnational Criminal Investigative Unit, and HSI New Orleans investigated the case. Attorneys and investigators at the SEC brought substantial expertise and diligence to develop the investigation.

The Department of Justice, through the Asset Forfeiture Program, works diligently to compensate victims of crime. Since 2000, the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section (MNF), which oversees the Asset Forfeiture Program’s victim compensation program, has returned more than $12.5 billion in forfeited assets to victims of crime. MNF Senior Attorney Advisor Carly Diroll-Black with MNF’s Program Management and Training Unit is leading the remission process. 

Neither the Remission Administrator nor the Department of Justice will ask for any payment to participate in this remission process. Please be cautious of any individual or organization claiming to represent the Remission Administrator or the federal government in this matter. If you are a victim, any communications will come directly from the Remission Administrator or from government representatives with whom you have already had contact.

PSA: FBI Warns of the Impersonation of Law Enforcement and Government Officials https://www.ic3.gov/PSA/2025/PSA250418

PSA: Fictitious Law Firms Targeting Cryptocurrency Scam Victims Combine Multiple Exploitation Tactics While Offering to Recover Funds https://www.ic3.gov/PSA/2025/PSA250813

How To Avoid a Government Impersonation Scam https://consumer.ftc.gov/articles/how-avoid-government-impersonation-scam 

United States Attorney for the Southern District of New York, Jay Clayton, announced the filing of a Complaint charging BRYAN CRUZ SOLANO with sexual exploitation of a minor.  CRUZ SOLANO was arrested on Saturday, May 9, 2026, presented before U.S. Magistrate Judge Valerie Figueredo in Manhattan federal court and ordered detained pending trial by U.S. District Judge Kenneth M. Karas on May 12, 2026. 

“As alleged, Bryan Cruz Solano sexually abused a 12-year-old child and, even more disgusting, recorded that abuse in order to trade it for other child pornography,” said U.S. Attorney Jay Clayton.  “We have heard it clear and strong from all New Yorkers, particularly New York families: Use all available resources to get sexual predators off our streets.  And New Yorkers should know, predators often act with others, and we are committed to destroying these child sexual abuse networks.  Help us if you can.  Be vigilant. There may be additional victims in this case. If you have information to report about this or any other matter of child sexual abuse, please contact the FBI at 1-800-CALL-FBI (1-800-225-5324) or https://tips.fbi.gov.”

As alleged in the Complaint:[1]

On or about May 1, 2026, an individual (“Witness-1”) reported to New York State Police and the Federal Bureau of Investigation (“FBI”) that CRUZ SOLANO had sent child pornography to Witness-1, including videos depicting CRUZ SOLANO engaging in sexual acts with a minor (“Victim-1”).

A video was recovered from Witness-1’s cellphone depicting a recording of a video on another device depicting a prepubescent female’s hands stroking the erect penis of an adult male (“Video-1”). At the end of the recording, the video transitions to an electronic messaging conversation on Snapchat, which includes, in substance and in part, the account name “lil_cruzyyyy.” CRUZ SOLANO later admitted that the Snapchat account was his.

Law enforcement acted to address the possibility of potentially ongoing harm to Victim-1 and assumed control of Witness-1’s Telegram account to begin communicating directly with CRUZ SOLANO.  From May 4 to May 8, 2026, law enforcement engaged in multiple discussions with CRUZ SOLANO over Telegram, during which CRUZ SOLANO stated, among other things, that he had “new stuff” of himself and Victim-1 that he wanted to “trade,” that he would not send content without first receiving child pornography from Witness-1, and that Witness-1 should “make sure to sen[d] babies.” 

On May 8, 2026, law enforcement executed a search warrant at CRUZ SOLANO’s residence.  Officers obtained a cellphone from CRUZ SOLANO, which included, among other things, video recordings of child pornography involving Victim-1, including acts performed by Victim-1 at CRUZ SOLANO’s direction.

During an interview, CRUZ SOLANO admitted that he had engaged in sexual acts with Victim-1 on approximately 25 occasions in the past year, including at least as recently as two to three weeks ago. CRUZ SOLANO indicated that he had recorded these acts on at least approximately five occasions, while in Middletown, New York, and sent them to Witness-1.  Further, on approximately 20 occasions, CRUZ SOLANO made FaceTime video calls to Witness-1 while engaging in sex acts with Victim-1.  CRUZ SOLANO told law enforcement that he secured Victim-1’s cooperation by enticing Victim-1 with gifts.

There may be other victims.  If you have information to report, please contact the FBI at 1-800-CALL-FBI (1-800-225-5324) or https://tips.fbi.gov.

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CRUZ SOLANO, 20, is charged with one count of sexual exploitation of a child, which carries a mandatory minimum sentence of 15 years in prison and a maximum sentence of 30 years in prison.

The statutory maximum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. 

Mr. Clayton praised the efforts of the FBI New York Hudson Valley Safe Streets Task Force, the FBI New Haven Child Exploitation Task Force, the New York State Police Computer Crimes Unit - Troop F, the Orange County Child Abuse Unit, the Orange County Child Advocacy Center, and the Hartford Police Department.

The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorney Anthony P. Ferrara is in charge of the prosecution.   

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced that RODERIC SAGE pled guilty today to conspiring to defraud the United States in connection with a scheme to help high-value U.S. taxpayer-clients conceal more than $60 million in income and assets held in undeclared, offshore bank accounts and evade U.S. income taxes.  SAGE was presented yesterday and pled guilty earlier today before U.S. Magistrate Judge Valerie Figueredo.  The case has been assigned to U.S. District Judge Gregory H. Woods. 

“As admitted, Roderic Sage helped U.S. taxpayers conceal more than $60 million in offshore accounts through a scheme designed to hide assets from the IRS,” said U.S. Attorney Jay Clayton.  “For years, Sage and his co-conspirators used layers of nominee accounts and offshore entities to disguise the true ownership of these funds and evade U.S. taxes.  Offshore schemes are not beyond the reach of American law enforcement, and this case shows the strength of international cooperation in identifying and dismantling complex financial fraud schemes.  It is straightforward: tax fraud is a fraud on your fellow Americans, and they want tax fraudsters brought to justice.”

According to the allegations in the Indictment, court filings, and statements made in Court:

SAGE was the founder and CEO of a Hong Kong financial services firm.  From in or about 2008 to in or about 2014, SAGE and his co-conspirators defrauded the IRS by concealing income and assets of high-value U.S. taxpayer-clients with undeclared bank accounts at Privatbank IHAG Zurich AG (“IHAG”), a Swiss private bank.  In order to assist the U.S. taxpayer-clients, SAGE and his co-conspirators devised and implemented a scheme dubbed the “Singapore Solution” to fraudulently conceal the bank accounts of the U.S. taxpayer-clients, their assets, and their income from U.S. authorities.  In furtherance of the fraudulent scheme, SAGE and his co-conspirators conspired to transfer more than $60 million from undeclared IHAG bank accounts of the U.S. taxpayer-clients through a series of nominee bank accounts in Hong Kong and other locations before returning the funds to newly opened accounts at IHAG in the name of a Singapore-based asset management firm that a co-conspirator helped establish.  The U.S. taxpayer-clients paid large fees to IHAG and others to help them conceal their funds and assets and evade taxes.           

SAGE was arrested on May 7, 2025, in the United Kingdom and extradited to the United States.

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SAGE, 73, of Gloucestershire, United Kingdom, pled guilty to one count of conspiracy to defraud the United States, which carries a maximum sentence of five years in prison.  SAGE is scheduled to be sentenced by Judge Woods on July 30, 2026. 

The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton praised the outstanding work of IRS-CI.  Mr. Clayton also thanked the Department of Justice’s Office of International Affairs, Interpol, and the United Kingdom’s National Extradition Unit and the Crown Prosecution Service for their assistance in the arrest and extradition of the defendant.  Mr. Clayton further thanked the Justice Department’s Criminal Division for their partnership on this case.

This prosecution is being handled by the Complex Frauds and Cybercrime Unit and the Tax Section of the Justice Department’s Criminal Division.  Assistant U.S. Attorneys Olga I. Zverovich and Matthew Weinberg and Senior Litigation Counsel Mark F. Daly of the Tax Section are in charge of the prosecution.

On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”).  The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people.  The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.

United States Attorney for the Southern District of New York, Jay Clayton, Assistant Director in Charge of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., and Special Agent in Charge of the New York Field Division for the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”), Bryan DiGirolamo, announced today the arrest of MALIK BROMFIELD, FAIZAN ALI, and KAMAL SALMAN, who are charged with multiple offenses relating to the transporting of 89 firearms, including at least 17 that were reported stolen, and attempting to smuggle those firearms to Canada.  BROMFIELD, ALI, and SALMAN were presented before U.S. Magistrate Judge Judith C. McCarthy in White Plains federal court, and detained.

“As alleged, Malik Bromfield, Faizan Ali, and Kamal Salman were caught transporting more than 80 guns, including short-barreled rifles and stolen firearms, to smuggle them out of the country,” said U.S. Attorney Jay Clayton.  “It is critically important to New Yorkers and Americans to keep illegal weapons out of the hands of criminal actors.  The trafficking of dangerous weapons will be relentlessly pursued by this Office.”

“These three defendants, including two foreign nationals, allegedly endangered our communities as they attempted to smuggle 89 firearms—17 of which were stolen—into Canada,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “The FBI is committed to working with our federal and state law enforcement partners to take illegal guns off our streets.”

“Illegal firearms trafficking threatens the safety of our communities and fuels violent crime,” said ATF Special Agent in Charge Bryan DiGirolamo.  “ATF New York’s Hudson Valley personnel were proud to assist the FBI-led investigation alongside the New York State Police to help prevent dozens of firearms, including stolen weapons, from reaching the streets.”

As alleged in the Complaint:[1]

On or about May 7, 2026, personnel with the New York State Police (“NYSP”) initiated a traffic stop of a white Ford Explorer (the “Subject Vehicle”) after observing the vehicle commit traffic violations while driving on State Route 17 near exit 90. Upon approaching the Subject Vehicle, troopers encountered BROMFIELD, ALI, and SALMAN.  After asking the occupants to exit the vehicle, the troopers observed that the occupants gave inconsistent and evasive accounts in response to NYSP questioning. During the interview, ALI consented to a roadside search of his person, during which a trooper recovered an expired Pakistani National Driving Permit issued to an Afghan national in another name concealed in ALI’s buttocks.

An NYSP canine conducted a sweep of the exterior of the Subject Vehicle and alerted to the potential presence of narcotics. During a preliminary search of the Subject Vehicle, the troopers observed an unusually heavy suitcase, which was found to contain a large cache of firearms:

Additional firearms were recovered in the backseat area of the Subject Vehicle:

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BROMFIELD, 22, a citizen of Canada, ALI, 25, a citizen of Pakistan, and SALMAN, 22, a citizen of Canada, the United States, and Jordan, are each charged with one count of smuggling from the United States, which carries a maximum sentence of 10 years in prison; one count of unlicensed dealing in firearms, which carries a maximum sentence of five years in prison; one count of transporting stolen firearms in interstate commerce, which carries a maximum sentence of 10 years in prison; and one count of unlawful possession of firearms, which carries a maximum sentence of 10 years in prison.   BROMFIELD is also charged with unlawful possession of a firearm by an alien, which carries a maximum sentence of 15 years in prison.

The statutory maximum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. 

Mr. Clayton praised the efforts of the New York State Police - Troop F, Community Stabilization Unit, FBI’s New York Hudson Valley Safe Streets Task Force, and the ATF.

The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorney John Sarlitto is in charge of the prosecution.   
 

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced today the unsealing of a Complaint charging ANDREW FORD with sexual exploitation of a minor and transportation of a minor for unlawful sexual activity.  FORD was arrested today and presented before U.S. Magistrate Judge Andrew E. Krause in White Plains federal court.

“As alleged, Andrew Ford sexually abused a 13-year-old child and documented that abuse with photographs—compounding the harm to an already vulnerable victim,” said U.S. Attorney Jay Clayton.  “Sexual predators should know this: In 2025 and 2026, our Office has brought federal charges against an unprecedented volume of individuals for the sexual exploitation of children and child pornography.  If you prey on children in New York, you will be identified, arrested, and prosecuted.  New Yorkers want you in prison.” 

As alleged in the Complaint:[1]

In December 2024, a 13-year-old child (“Victim-1”) disclosed to law enforcement that FORD had sexually abused her on multiple occasions, both in Westchester County, New York, and in Connecticut.

On May 12, 2025, FORD was arrested and charged in the Justice Court of the Town of Rye, New York, with two counts of rape in the second degree.  On or about May 13, 2025, he was arraigned in the Town of Rye Court and released on bail.

Following FORD’s arrest, a search by law enforcement of FORD’s cellphone revealed the existence of sexually explicit images of Victim-1 that were taken in Connecticut after FORD transported Victim-1 from Westchester County to Greenwich, Connecticut.

There may be other victims.  If you have information to report, please contact the Federal Bureau of Investigation (“FBI”) at 1-800-CALL-FBI (1-800-225-5324) or https://tips.fbi.gov. 

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FORD, 42, of Stamford, Connecticut, is charged with one count of sexual exploitation of a child, which carries a mandatory minimum sentence of 15 years in prison and a maximum sentence of 30 years in prison, and one count of transportation of a child for unlawful sexual activity, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison.

The minimum and maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. 

Mr. Clayton praised the efforts of the FBI, the Port Chester Police Department, the Greenwich Police Department, and the Westchester District Attorney’s Office in connection with this investigation.               

The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Marcia S. Cohen and Ioannis D. Drivas are in charge of the prosecution.   

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced today that BRADLEY HEPPNER, the former chairman of GWG Holdings, Inc., a publicly traded company, was found guilty by a jury following a three-week trial before U.S. District Judge Jed S. Rakoff.  HEPPNER was convicted of securities fraud, wire fraud, conspiracy to commit securities fraud and wire fraud, and false statements to auditors in connection with a scheme to fraudulently extract more than $150 million from GWG.

“A unanimous jury has found former public company CEO and Chairman Bradley Heppner guilty of fraudulently extracting $150 million,” said U.S. Attorney Jay Clayton.  “Heppner used shell companies to hide his scheme.  When his house of cards began to collapse, he did not come clean.  Instead, he doubled down by falsifying emails and backdating documents to lie to the auditors, directors, and the SEC.  Our world-leading capital markets are built on trust and transparency.  The honesty and candor of C-Suite executives is essential, and this action should send a message: C-Suite executives who breach the public trust will be pursued by the SDNY’s Securities and Commodities Fraud Task Force and our dedicated partners at FBI, vigorously.  That is what investors and the American people want and deserve.”

As established during the trial:

Between 2018 and 2021, HEPPNER, as chairman of GWG Holdings, Inc.—a Nasdaq-listed financial services company that raised capital through bonds sold predominantly to retail investors and retirees—executed a scheme to fraudulently divert GWG funds to his own benefit through a shell company he controlled, the Highland Consolidated Limited Partnership (“HCLP”).

To effectuate the scheme, HEPPNER fabricated a $141 million debt that Beneficient, a subsidiary of GWG that HEPPNER had founded, purportedly owed to HCLP. Under the guise of repaying that debt, HEPPNER told the board of directors of GWG that it was necessary to transfer millions of dollars to Beneficient.  When a special committee of GWG’s board inquired about who controlled HCLP and would receive the debt payments, HEPPNER falsely represented that HCLP was independent and disclaimed any personal financial interest in payments made on the purported debt.  Those representations were false.  HCLP was controlled by HEPPNER, and when GWG authorized payments to satisfy what it believed were arm’s-length obligations to a third-party lender, those funds flowed through multiple corporate entities and ultimately into HEPPNER’s personal accounts.  HEPPNER used the proceeds for personal expenses, including renovating his Dallas mansion and purchasing a private jet travel and jewelry.

To conceal the scheme, HEPPNER made false and misleading statements and caused the preparation of backdated and fraudulent documents to deceive auditors in connection with their assessment of whether HCLP was independent of HEPPNER.  After GWG received a subpoena from the SEC, HEPPNER also falsified the minutes of an October 2019 board meeting, adding language to create the false appearance that he had previously disclosed to Beneficient his history of borrowing funds from HCLP, and caused the falsified minutes to be transmitted to the SEC.

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HEPPNER, 60, of Dallas, Texas, is scheduled to be sentenced by Judge Rakoff on October 7, 2026.  He faces a maximum sentence of 20 years in prison on each of the counts of securities fraud, wire fraud, and false statements to auditors, and a maximum of five years in prison on the conspiracy count. 

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton praised the outstanding work of the Federal Bureau of Investigation. Mr. Clayton also expressed appreciation for the assistance of the U.S. Securities and Exchange Commission.

This case is being handled by SDNY’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Daniel G. Nessim, Alexandra Rothman, and Kyle Wirshba are in charge of the prosecution.

Today, a Bronx man was sentenced in New York for the June 2021 murder of a U.S. national in Bangladesh.

Ganet Rozario, 54, a U.S. citizen from New York, was sentenced to 15 years in prison. Rozario previously pleaded guilty to one count of foreign murder of a U.S. national.

According to court documents and statements read in court, Rozario used a shotgun to kill his uncle, Michael Rozario, in Bangladesh. Both men are naturalized U.S. citizens originally from Bangladesh. The men had been involved in a years-long property dispute over the family home located in Munshiganji, Bangladesh. During a visit to Bangladesh in 2021, both men were staying at the property.

On the evening of June 11, 2021, Ganet went outside the family home to smoke a cigarette near his uncle’s bedroom window. While outside, he overheard his uncle, who was inside the house, insulting him. Ganet became angry, went back into the house, retrieved a shotgun, and went back outside. After shouting words to the effect of “you will not see the sun tomorrow,” Ganet fired a single shot through an opaque window shutter striking Michael Rozario on his right stomach and abdomen area, killing him. Ganet returned to the United States in July 2023 and was indicted for the murder of his uncle in April 2024.

Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division and U.S. Attorney Jay Clayton for the Southern District of New York made the announcement.

The FBI Los Angeles and New York Field Offices investigated this case.

Acting Deputy Chief Frank Rangoussis of the Criminal Division’s Human Rights and Special Prosecutions Section (HRSP) and Assistant U.S. Attorney Christy Slavik for the Southern District of New York are prosecuting the case. The FBI’s Legal Attaché in Dhaka, Bangladesh and the Justice Department’s Office of International Affairs provided valuable assistance to the case. The Justice Department thanks the Government of Bangladesh for their cooperation.

United States Attorney for the Southern District of New York, Jay Clayton, announced that JADHIAN CORDERO was sentenced today to eight years in prison by U.S. District Judge Jed S. Rakoff for aiding and abetting the brandishing of a firearm in connection with an August 27, 2025, midday armed robbery in which a 69-year-old bystander was shot and killed.

“Jadhian Cordero chose to participate in the armed robbery of a drug dealer in the middle of the day on the street in East Harlem, which led to the death of Robin Wright, a 69-year-old, wholly innocent woman,” said U.S. Attorney Jay Clayton.  “New York City families deserve to live free of senseless and destructive violence on our streets.  Today’s sentence demonstrates that the women and men of this Office are dedicated to holding all participants in violent gun crimes accountable.”

As alleged in public court filings, statements in public court proceedings, and the charging documents in the case:

On August 27, 2025, shortly before 12:30 p.m., CORDERO and two co-conspirators (“CC-1” and “CC-2”) robbed a drug dealer (“Individual-1”) near East 109th Street and Madison Avenue in Manhattan.  During the robbery, CORDERO and his co-conspirators got into a physical altercation with Individual-1 before grabbing backpacks from Individual-1—which contained marijuana—and fleeing north on Madison Avenue.

CC-1 pulled a black firearm—equipped with a machine-gun conversion device—out of his right sweatshirt pocket and discharged 15 shots in quick succession in the general direction of Individual-1.  A 69-year-old woman, Robin Wright, was standing with a walker on the northwest corner of East 110th Street and Madison Avenue—in the direction that CC-1 shot the firearm—when she was struck by gunfire.  The victim was transported to the hospital, where she died.

Multiple members of the victim’s family submitted letters to the Court describing the victim as a loving parent and grandmother who was simply enjoying her afternoon when she fell victim to this senseless crime.

*               *                *

In addition to the prison term, CORDERO, 19, of New York, New York, was sentenced to five years of supervised release.

Mr. Clayton praised the outstanding investigative work of Homeland Security Investigations and the New York City Police Department. He also thanked the Bureau of Alcohol, Tobacco, Firearms and Explosives, the United States Marshals Service, the New York State Department of Corrections and Community Supervision, and the New York State Board of Parole.

This case is being handled by the Office’s Violent Organizations and Crime Unit.  Assistant U.S. Attorneys Alexandra S. Messiter, Kathryn Wheelock, and Brandon D. Harper are in charge of the prosecution.   

United States Attorney for the Southern District of New York, Jay Clayton, Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., and Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch, announced today the unsealing of an Indictment charging SHORAI MOORE with one count of committing a hate crime in connection with his assault of a gay man on April 1, 2026.  MOORE was arrested this morning and will be presented later today before U.S. Magistrate Judge Valerie Figueredo.  The case has been assigned to U.S. District Judge Richard M. Berman.

“All New Yorkers deserve to live in their communities free from hate-fueled violence,” said U.S. Attorney Jay Clayton.  “Hate undermines all that we hold dear in New York, including providing opportunity to all.  No one should be targeted because of their sexual orientation.  This Office, working with our state and federal law enforcement partners, will always protect New Yorkers from hateful, violent crimes.”

“This alleged assault traumatized an innocent victim due to his sexual orientation,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “The FBI’s Hate Crimes Task Force is committed to working with our law enforcement partners to protect our communities against violence driven by hate.”

“This defendant—who was already serving a federal sentence at a residential reentry facility—violently attacked a gay man based on the victim’s sexual orientation,” said NYPD Commissioner Jessica S. Tisch.  “Bias-motivated crimes tear at the fabric of society, and the NYPD will never tolerate hate of any kind in our city.  I thank our NYPD investigators, our partners at the FBI, and the U.S. Attorney’s Office for the Southern District for their work in this case, for their efforts to bring this criminal to justice.”

According to the allegations in the Indictment and other public filings: 

On April 1, 2026, MOORE was serving a term of imprisonment for narcotics trafficking at a Federal Bureau of Prisons residential reentry center in the Bronx, New York.  On that day, MOORE, while standing outside a Bronx deli, yelled anti-gay slurs and statements, including that gay people should “get off the block,” before assaulting a gay victim with his fist, a recycling bin, and a plastic crate. 

*                *                *

MOORE, 31, of the Bronx, New York, is charged with one count of committing a hate crime, which carries a maximum sentence of 10 years in prison.

The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton praised the outstanding investigative work of the FBI and the NYPD.

The prosecution of this case is being handled by the Office’s Civil Rights and Human Trafficking Unit in the Criminal Division.  Assistant U.S. Attorneys Andrew Jones and Madison Reddick Smyser are in charge of the prosecution.

The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.   

United States Attorney for the Southern District of New York, Jay Clayton, announced that FAISIL McCANTS was sentenced today to 37.5 years in prison by U.S. District Judge Jed S. Rakoff for possessing a machine gun in connection with an August 27, 2025, midday armed robbery and shooting in which McCANTS fired 15 rounds on a public street in East Harlem, striking and killing a 69-year-old bystander who was resting on her walker on the sidewalk. 

“Faisil McCants, a repeat violent offender, unloaded 15 bullets in a matter of seconds in the middle of the day on the street in East Harlem, killing Robin Wright, a 69-year-old, wholly innocent woman and forever destroying a family,” said U.S. Attorney Jay Clayton.  “It is an unspeakable tragedy, born of wanton violence that outrages all New Yorkers and all Americans.  New York City families expect and deserve to be free from purveyors of violence.  To deliver for the good people of New York, we must get gun-toting criminals off our streets.  New Yorkers have been clear:  if someone commits a federal gun crime on our streets, New Yorkers want them prosecuted to the fullest extent of the law.  McCants is now where he should be, serving a 37.5-year prison sentence.”     

As alleged in public court filings, statements in public court proceedings, and the charging documents in the case:

On August 27, 2025, shortly before 12:30 p.m., McCANTS and two co-conspirators (“CC-1” and “CC-2”) robbed a drug dealer (“Individual-1”) near East 109th Street and Madison Avenue in Manhattan.  During the robbery, McCANTS and his co-conspirators got into a physical altercation with Individual-1 before both McCANTS and CC-1 grabbed backpacks from Individual-1—which contained marijuana—and then fled north on Madison Avenue, turning onto East 110th Street.

McCANTS pulled a black firearm—equipped with a machine-gun conversion device—out of his right sweatshirt pocket and discharged 15 shots in quick succession in the general direction of Individual-1.  A photograph of McCants firing the machine gun is below:

A 69-year-old woman, Robin Wright, was standing with a walker on the northwest corner of East 110th Street and Madison Avenue—in the direction that McCANTS shot the firearm—when she was struck by gunfire.  The Victim was transported to the hospital, where she died.

Multiple members of the Victim’s family submitted letters to the Court describing the Victim as a loving parent and grandmother who was simply enjoying her afternoon when she fell victim to McCants’ crime.

*               *                *

In addition to the prison term, McCANTS, 19, of New York, New York, was sentenced to five years of supervised release.

Mr. Clayton praised the outstanding investigative work of Homeland Security Investigations and the New York City Police Department. He also thanked the Bureau of Alcohol, Tobacco, Firearms and Explosives, the United States Marshals Service, the New York State Department of Corrections and Community Supervision, and the New York State Board of Parole.

This case is being handled by the Office’s Violent Organizations and Crime Unit.  Assistant U.S. Attorneys Alexandra S. Messiter, Kathryn Wheelock, and Brandon D. Harper are in charge of the prosecution.   

United States Attorney for the Southern District of New York, Jay Clayton, and Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., announced the unsealing of an Indictment charging VLADIMIR SKLAROV, a/k/a “Val Sklarov,” a/k/a “Gregory Mitchell,” a/k/a “Mark Simon Bentley,” with charges relating to his orchestration of an elaborate stock-backed lending scheme that defrauded a victim of at least approximately $450 million in valuable company shares.  SKLAROV was arrested in Chicago and presented before U.S. Magistrate Judge M. David Weisman in the Northern District of Illinois on Monday, May 4, 2026.  The case has been assigned to U.S. District Judge Analisa Torres in the Southern District of New York.

“As alleged, Vladimir Sklarov represented his company to be affiliated with, and have the financial backing of the famed New York Astor family in order to burnish his brand,” said U.S. Attorney Jay Clayton.  “That was a complete lie.  Sklarov used false prestige to gain control of hundreds of millions of dollars in stock and then liquidated those shares for his own benefit.  We urge investors in all sectors of the market to beware of fast talkers and smooth talkers who hide behind prestigious labels and cosmetic signs of wealth and access.  And refer fraudsters, pretenders, and cheats to the SEC, FINRA, the FBI, and the DOJ.  Our Office will continue to protect the integrity of the markets by pursuing bad actors who abuse trust and exploit others.”

“Vladimir Sklarov allegedly betrayed a trusting victim to steal more than $450 million in company shares,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “The FBI is committed to investigating fraudsters looking to selfishly profit.”

As alleged in the Indictment:[1]

From at least in or about 2021, up to and including at least in or about 2024, SKLAROV operated an entity called Astor Asset Group (“Astor”) that held itself out as a legitimate and experienced provider of stock-backed loans affiliated with the prominent Astor family.  In reality, SKLAROV had no such affiliation, and instead ran a sham company designed to steal valuable stock through lies and misleading representations.

SKLAROV used Astor to defraud a victim (“Victim-1”) of at least approximately $450 million through the operation of a purported stock-backed lending agreement (“SLA”).  SKLAROV told several lies in order to induce Victim-1 to transfer valuable shares in a company owned by Victim-1 (the “Company Shares”) as collateral for the loan, including that the loan would be funded with capital from the Astor family. Victim-1 received no such loan. Instead, soon after Victim-1 transferred the Company Shares, SKLAROV sold them; used some of the proceeds from the sale of Victim-1’s own property to fund the purported loan; and kept the hundreds of millions of dollars in remaining proceeds for himself and other members of the conspiracy.

At all times during the scheme, SKLAROV hid and lied about his true identity and instead claimed to be “Gregory Mitchell,” the “Managing Director” of Astor. Another individual acting at SKLAROV’s direction (“CC-1”) also used an alias and falsely claimed to be “Thomas Mellon,” the “CEO” of Astor. SKLAROV and his co-conspirators falsely claimed that their sham company was “[o]riginally set up on the foundations of the wealth of John Jacob Astor” and that they had various high-profile clients, including prestigious universities and investment funds.  In addition to lying about his own identity and the identity, history, and intentions of Astor, SKLAROV and other members of the scheme falsely represented that Victim-1’s Company Shares would not be sold unless Victim-1 defaulted on the loan.  Instead, shortly after liquidating Victim-1’s Shares, SKLAROV directed the proceeds through a complex web of domestic and international accounts associated with him, his co-conspirators, and his family members.

*                *                *

SKLAROV, 63, of Athens, Greece, is charged with one count of conspiracy to commit wire fraud, one count of wire fraud, and one count of conspiracy to commit money laundering, all of which carry a maximum sentence of 20 years in prison.

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton praised the outstanding investigative work of the FBI.

This case is being handled by the Office’s Complex Frauds and Cybercrime Unit.  Assistant U.S. Attorneys Jackie Delligatti and Shaun Werbelow are in charge of the prosecution.

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

[1] As the introductory phrase signifies, the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, Acting Attorney General for the United States, Todd Blanche, Director of the Federal Bureau of Investigation (“FBI”), Kash Patel, and Assistant Director in Charge of the New York Field Office of the FBI, James C. Barnacle, Jr., announced today the results of Operation Iron Pursuit, a one-month, nationwide enforcement effort to find child victims of sex abuse and arrest child sex predators.  More than 200 child victims were located and over 350 child sexual abuse offenders were arrested.  All 56 FBI field offices and U.S. Attorneys’ offices around the country participated in the coordinated takedown effort.

The operation commenced April 1 and ended April 30.  The Administration for Children and Families recognizes April as National Child Abuse Prevention Month.

“Every New Yorker wants, and every American wants, those who sexually exploit children and traffic in child pornography to be brought to justice and to be removed from our streets,” said U.S. Attorney Jay Clayton.  “The Department of Justice is committed to that mission, and under the leadership of Acting Attorney General Blanche we are delivering with a coordinated, all-hands-on-deck effort to identify, charge, and convict sexual predators.  The unified message we’re sending is clear: if you think you can get away with targeting children—you’re wrong.”

“This operation puts every child predator on notice: we are coming for you,” said Acting Attorney General Todd Blanche.  “The sexual exploitation of minors is an abomination with no place in our society.  We will hunt down these offenders, hold them fully accountable under the law, and deliver justice for victims.”

“Every single day this FBI is working 24/7 to break networks of child abusers all across this country,” said FBI Director Kash Patel.  “Last year we joined our partners delivering a record year, identifying and rescuing over 6,300 missing children, and today’s announcement of Operation Iron Pursuit is just the latest success in that work—with over 200 victims located and over 350 offenders arrested.  Let this be a message to criminal actors who seek to target America’s children: you will be pursued, and you will be brought to justice.”

“Removing dangerous child sex predators from our streets—such as the arrest of a Rockland County man for his alleged sexual exploitation of a minor—protects some of our most innocent and vulnerable members of society,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “We will never take our foot off the gas in the crimes against children fight.  May today’s announcement emphasize FBI New York’s commitment to holding accountable those who commit this horrific abuse.”

Victims recovered include a 10-year-old from Utah who was flown from Cuba to home and the child’s biological mother.  The child was supposed to be on a camping trip with a transgender parent, partner, and another child.  The group instead flew from Canada to Mexico and then to Cuba; concerns existed that the 10-year-old child was taken to Cuba for gender reassignment surgery.  FBI Victim Services Division (“VSD”) assisted with the recovery of the children, providing crisis support and stabilization.

Those arrested are alleged to have committed various crimes, including sexual exploitation, sex trafficking, abuse, kidnapping, and possessing, distributing, or receiving child sexual abuse materials.  Some of the alleged offenders include:

• A Columbus, Ohio, man who pleaded guilty to creating AI-generated obscene material of adults and children and to cyberstalking exes;
• A District of Columbia man charged with producing child pornography;
• A New York man charged with sexually exploiting a child; and
• A Pennsylvania man and former felon charged with sexually exploiting a child and illegally possessing a gun.

This effort follows three other successful operations last year.  Operation Relentless Justice, concluded in December 2025, resulted in the rescue of 205 children and arrests of 293 offenders.  Operation Enduring Justice, concluded in August 2025, resulted in the rescue of 133 children and the arrests of 234 offenders.  And Operation Restore Justice, concluded in May 2025, resulted in the rescue of 115 children and the arrests of 205 child sex abuse offenders.

The FBI’s VSD assisted victims during Operation Iron Pursuit and provided services such as forensic interviews, referrals for medical and mental health resources, and coordination with partners.  VSD's mission is to inform, support, and assist victims in navigating the aftermath of crime and the criminal justice process with dignity and resilience.

The Department of Justice partners with and oversees funding grants for the National Center for Missing and Exploited Children, which receives and shares tips about possible child sexual exploitation received through its 24/7 hotline at 1-800-THE-LOST and on missingkids.org.

The Department urges the public to remain vigilant and report suspected exploitation of a child through the FBI's tipline at 1-800-CALL-FBI (225-5324), tips.fbi.gov, or by calling your local FBI field office.

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

United States Attorney for the Southern District of New York, Jay Clayton, Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), Michael Alfonso, and Director of the New York Field Office of U.S. Customs and Border Protection (“CBP”), Frank Russo, announced today that MIGUEL FRANCISCO MORA NUNEZ pled guilty to possessing ammunition as an illegal alien in connection with the July 19, 2025, shooting of an off-duty CBP Officer in Manhattan.  MORA NUNEZ pled guilty today before U.S. District Judge Loretta A. Preska and is scheduled to be sentenced on September 1, 2026.

“Miguel Mora Nunez shot a federal officer in the face,” said U.S. Attorney Jay Clayton.  “Gun-toting criminals threaten our families, our communities, and our law enforcement professionals, who strive every day to keep us safe.  New Yorkers want criminals who use guns off the streets, and we are committed to delivering that result.”

“Last year's shooting of an off-duty CBP officer was an attack on the greater law enforcement community and on the rule of law itself, and this guilty plea is a significant step toward holding the defendant accountable and making clear that such violence will not be tolerated,” said HSI Special Agent in Charge Michael Alfonso.  “Together with our vital partners, HSI New York will continue to disrupt and dismantle criminal networks, ensuring our city, and our country, remain safe.”

“This guilty plea is an important step toward accountability for a brazen act of violence against one of our officers,” said CBP’s Director of New York Field Operations Frank Russo.  “Our focus remains on the well-being and recovery of our colleague, and on safeguarding the men and women who serve our communities every day.  We are grateful to the U.S. Attorney’s Office, Homeland Security Investigations, and the NYPD for their exceptional work.  Their continued partnership helps keep New York City safer and ensures that those who commit violent acts are brought to justice.”

As alleged in the charging instruments and statements made in public filings and public court proceedings:

On or about July 19, 2025, at approximately 11:50 p.m., MORA NUNEZ shot an off-duty CBP Officer in Fort Washington Park in Manhattan.  A bullet MORA NUNEZ fired struck the CBP Officer in the face and right arm.  The CBP Officer appeared to return fire, hitting MORA NUNEZ twice, before MORA NUNEZ fled on a motorbike driven by his co-defendant.

MORA NUNEZ entered the U.S. illegally, is in the U.S. unlawfully, and is subject to an order of removal from the U.S.

*                *                *

MORA NUNEZ, 22, of the Dominican Republic, pled guilty to one count of possession of ammunition as an illegal alien, which carries a maximum sentence of 15 years in prison.

The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton thanked Homeland Security Investigations, CBP, and the New York City Police Department for their assistance in this case.

This case is being handled by the Office’s General Crimes Unit.  Assistant U.S. Attorneys Mostafa Khairy, Samantha Fry, and Christy Slavik are in charge of the prosecution.

United States Attorney for the Southern District of New York, Jay Clayton, announced today that CARSEN MANSFIELD was sentenced to six years in prison by U.S. District Judge Cathy Seibel for receipt and distribution of child pornography and extortionate interstate communications.  MANSFIELD previously pled guilty to one count of receiving and distributing child sex abuse material and one count of extortionate interstate communications.

“Carsen Mansfield didn’t just traffic in sexually explicit images and videos of children—he threatened them to create more,” said U.S. Attorney Jay Clayton.  “In a city where kids are online every day, that kind of conduct is especially dangerous, and we will go after anyone who uses the internet to prey on them.  New Yorkers want their children protected from this heinous conduct and we’re listening.”

According to the Information, plea agreement, other public court filings, and statements made in court:

On August 1, 2024, MANSFIELD, while in Newburgh, New York, communicated with an individual (“Individual-1”) on X (then Twitter).  MANSFIELD used the X username “expogirlsss.”  MANSFIELD and Individual-1 discussed exchanging sexually explicit content with each other.  The defendant said, “[b]et and is there anything you’d like to trade in return? Or just take a look?”  Individual-1 replied, “just take a look and if I like I’ll maybee trade.”  The defendant replied, “[o]kay, I’ll send some tonight.”       

MANSFIELD then sent Individual-1 approximately 2 videos. One of the videos is of a topless woman on her knees with a penis in her mouth (“Adult-1”).  MANSFIELD described Adult-1 as his “sister.”[1]

Individual-1 then messaged MANSFIELD, “u expose ppl?” MANSFIELD replied, “[y]eah I do, but upon request.”  MANSFIELD then sent Individual-1 approximately 7 additional videos and 5 images, one of which was a sexually explicit video of a minor, Minor Victim-1, fully naked and masturbating (“Video-1”).  MANSFIELD then messaged Individual-1, “[u] got anything for me or nah? I was really hoping for at least a lil sum.”  MANSFIELD had originally received the video of Minor Victim-1 on SnapChat from Minor Victim-1.  Minor Victim-1 confirmed that MANSFIELD shared the video without her consent.

On or about August 4, 2024, MANSFIELD, while in Newburgh, New York, communicated with Minor Victim-2, who was located in Michigan, on Discord.  MANSFIELD used the Discord username “nonme45.#0.”  The defendant sent Minor Victim-2 a series of sexually explicit photographs (the “Minor Victim-2 Photos”).   At the time that the Minor Victim-2 Photos were taken, Minor Victim-2 was 14 years old.

After sending Minor Victim-2 the Minor Victim-2 Photos, MANSFIELD then demanded that Minor Victim-2 send him additional sexually explicit material.  MANSFIELD threatened that if Minor Victim-2 did not send him additional content, then he would release nude photos of Minor Vicitm-2.  MANSFIELD stated, “[w]ell I have these pictures and if you don’t send me more I’m going to send them to your friends and family.”  He added, “[y]our my slut now [and] failure to make me happy will end up exposed to your friends and family.”  Minor Victim-2 told MANSFIELD that she was not going to send him pictures and asked him to delete them.  MANSFIELD replied that he was “gonna pay you to make some stuff for me while I had these pics,” and “[b]ut if you don’t wanna do stuff I’ll just post everything it’s fine.”  Minor Victim-2 asked MANSFIELD why he was threatening her.  MANSFIELD replied, “I love power, and tbh most of the time I do this to sisters of people to get videos of them sucking off their brothers but you are an exception.”

*                *                *

In addition to the prison term, MANSFIELD, 24, of Newburgh, New York, was sentenced to five years of supervised release.           

Mr. Clayton praised the efforts of the Federal Bureau of Investigation Hudson Valley Safe Streets Task Force, Detroit Field Office, as well as the Town of Newburgh Police Department.                         

The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Patricia M. Reville and Margaret Vasu are in charge of the prosecution.

[1] Adult-1, who is not MANSFIELD’s sister, confirmed that MANSFIELD shared the video without her consent.

United States Attorney for the Southern District of New York, Jay Clayton, announced today that JORDAN WATSON was sentenced to 78 months in prison by U.S. District Judge Nelson S. Román for receipt and distribution of child pornography.  WATSON previously pled guilty to two counts of receiving and distributing child sex abuse material. 

“Jordan Watson crossed a clear legal and moral line by pressuring children to produce sexually explicit images,” said U.S. Attorney Jay Clayton.  “This kind of conduct deepens the harm to victims and spreads far beyond a single interaction.  It affects families and communities here in New York, and we will hold accountable those who engage in this reprehensible conduct.”

According to the Information, plea agreement, other public court filings, and statements made in court:

In July and August 2021, WATSON—who was 23 years old at the time, but pretended to be 16 years old—while in Wappingers Falls, New York, communicated with a 12-year-old girl in Arizona (“Victim-1”) and a 12-year-old girl in Indiana (“Victim-2”) online, and persuaded each to engage in sexually explicit conduct, to produce a visual depiction of such conduct, and to transmit one or more images or videos depicting that conduct to him over the Internet. 

For example, over Snapchat, WATSON engaged in sexually explicit conversations with Victim-1. On July 18, 2021, WATSON described in graphic detail how he wanted to have sex with Victim-1 and asked Victim-1’s age.  Victim-1 initially told WATSON that she was “14” years old, although she was 12 years old at the time.  Later that same day, WATSON messaged Victim-1 “Send the pics”; “Send me stuff if you’re horny . . .”

On July 26, 2021, WATSON engaged in further conversations with Victim-1, the context surrounding which indicated that suggested that he was requesting or had requested sexually explicit material. Among other things, WATSON directed Victim-1 to “[p]ut them on infinity,” which is a reference to a setting on Snapchat that makes a video play on loop, so the video keeps repeating without stopping until the recipient closes it.  The same day, Vicitm-1 messaged Snapchat Account-1 “I’m almost 13,” reflecting her true age of 12.

On August 1, 2021, Victim-1 sent WATSON a sexually explicit video of herself masturbating.

WATSON also engaged in sexually explicit conversations with Victim-2 over Snapchat.  For example, on August 3, 2021, WATSON asked Victim-2 “how old are you”; Victim-2 responded that she was “13,” although she was in fact 12 years old.  WATSON then messaged Victim-2 “[l]ater TN you should show me something and I wanna fuck you it’ll be nice to see your titties bounce.” Several hours later, on August 4, 2021, WATSON sent Victim-2 numerous messages asking her to send sexually explicit images or videos of herself to him.  WATSON messaged Victim-2 “What would you send me”; “You can go to the bathroom and do some stuff please I’ll fuck you whenever you want”; “No pussy that’s what my dicks gonna be in and send videos playing with them”; “If you do it in the red you gotta send another pic of just your pussy.”  WATSON then directed Victim-2 to send “[t]its and face in bathroom and a video fingering yourself.”  When Victim-2 expressed concern that, if she sent WATSON sexually explicit videos, he would post them online, WATSON responded, “Please a quick pussy playing video no one will know.”

On August 5, 2021, WATSON messaged Victim-2, among other things, “Finger yourself for me”; “Show me and send like 20 videos put them on infinity so I can jerk off to them”; “And spit on the brush and suck on the brush and show your face cuz I wanna think that I’m fucking you.” Victim-2 responded “my wifi is slow but some are sending”; “6 videos.”  WATSON responded, “Send more please I’m horny asf for you.”

Shortly thereafter, on August 5, 2021, Victim-2 sent two videos to WATSON: a sexually explicit video of herself masturbating with a hairbrush, and video in which her face is visible, in which Victim-2 puts the same hairbrush in her mouth.

*                *                *

In addition to the prison term, WATSON, 27, of Wappingers Falls, New York, was sentenced to five years of supervised release.       

Mr. Clayton praised the efforts of the Federal Bureau of Investigation Hudson Valley Safe Streets Task Force, the Dutchess County Sheriff’s Office, and the Putnam County Sheriff’s Office.                                

The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Patricia M. Reville and Stephanie Simon are in charge of the prosecution.

United States Attorney for the Southern District of New York, Jay Clayton, announced that NYDIRA ADAMS, a/k/a “Nadira Adams,” a/k/a “Nadira Adams-McMillan,” pled guilty today to carrying out a scheme in which she caused federal student loan borrowers to submit documents containing misrepresentations and false statements to the U.S. Department of Education to take advantage of the Public Service Loan Forgiveness program.  ADAMS’s scheme sought to cause the Department of Education to forgive over $5 million in federal student loan debt based on lies, misrepresentations, and falsehoods.  ADAMS pled guilty before U.S. District Judge Denise L. Cote.

“Nydira Adams marketed herself as a guru, but what she was really selling was fraud,” said U.S. Attorney Jay Clayton.  “Adams’s greed cost an important federal program servicing the American public over $5 million.  Programs funded by taxpayers and designed to reward genuine public service cannot be treated as personal profit centers.  New Yorkers and all Americans want us to make sure their tax dollars are not stolen.”

According to court filings and statements made in court proceedings:

From at least in or about March 2023 through at least in or about January 2025, Adams held herself out as the “Student Loan Default Guru” and operated a business under the same name.  In reality, AdAMS used misrepresentations, false statements, and false documents to deceive the Department of Education into forgiving federal student loans issued to borrowers who paid Adams thousands of dollars for her purported services. On multiple occasions, Adams knowingly and intentionally caused applications for Department of Education relief programs to be submitted that contained falsehoods pertaining to the borrowers’ eligibility for the relief programs. Among other falsehoods, Adams claimed that one California-based borrower worked full-time at a New York-based religious institution and falsely represented that another borrower worked full-time for a public school district.  Adams’s scheme resulted in an intended loss of over $5 million to the Department of Education.       

*                *                *

Adams, 38, of Pensacola, Florida, pled guilty to one count of conspiracy to commit wire fraud, which carries a maximum sentence of 60 months in prison.

The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton praised the outstanding investigative work of the Department of Education Office of Inspector General – Eastern Regional Office, the New York Division of the U.S. Postal Inspection Service, and the Special Agents assigned to the U.S. Attorney’s Office for the Southern District of New York.

This case is being handled by the Office’s Complex Frauds and Cybercrime Unit.  Assistant U.S. Attorney Brandon C. Thompson is in charge of the prosecution. 

On April 7, the Department of Justice announced the creation of the Fraud Division.  The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people.  The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.

United States Attorney for the Southern District of New York, Jay Clayton, Acting Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), Michael Alfonso, Special Agent in Charge of the New York Task Enforcement Division of the Drug Enforcement Administration (“DEA”), Farhana Islam, Special Agent in Charge of the New York Field Division for the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”), Bryan DiGirolamo, and Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch, announced today the unsealing of an Indictment charging DARYL RUTHERFORD with firearms trafficking, the unlicensed dealing of firearms, interstate transportation and distribution of firearms, and possession of firearms and ammunition after a felony conviction for his involvement in illegally transporting over a dozen firearms, as well as ammunition, from South Carolina to New York City.  RUTHERFORD was arrested earlier today in South Carolina and is expected to be presented tomorrow morning before U.S. Magistrate Judge William S. Brown in the U.S. District Court for the District of South Carolina.

“Gun trafficking into New York fuels violent crime and New Yorkers want it stopped,” said U.S. Attorney Jay Clayton.  “As alleged, Daryl Rutherford contributed to the illegal flow of guns into New York City, endangering New Yorkers for nothing more than personal, financial gain.  New Yorkers deserve to live in communities free from illegal firearms and those who use them to commit crimes.  So, anyone who is thinking about trafficking firearms to New York should think again.  We and our law enforcement partners are watching, and we will hold you accountable.”

“As alleged, this defendant turned the South Carolina-to-New York City corridor into a freeway of illegal guns—smuggling semiautomatic pistols, rifles, and a high-capacity drum magazine through several states, and into the hands of an individual he believed was a criminal with bad intentions,” said HSI Acting Special Agent in Charge Michael Alfonso.  “This alleged reckless behavior arms criminals, endangers families, and fuels violence.  Each illicit weapon intercepted in this case prevents potentially tragic shootings that can destroy families and children’s futures.  HSI New York, together with HSI Greenville and our Homeland Security Task Force partners, will relentlessly target and dismantle gun pipelines that threaten the safety of all individuals residing in our communities.”

“Illegal interstate firearm trafficking schemes are a significant driver of gun violence in New York City and put communities at risk,” said ATF Special Agent in Charge Bryan DiGirolamo.  “The conduct alleged—a convicted felon transporting and selling an array of illegal firearms for profit—demonstrates a clear disregard for public safety & had the potential to cause devastating harm.  This case reflects the strength of coordinated law enforcement efforts—ATF NY Crime Gun Enforcement Team working with HSI, DEA, NYPD, and our prosecutorial partners—to disrupt these dangerous networks and hold offenders accountable.”

“Gun violence has plagued our city streets, many times fueled by illegal firearms being funneled into New York City by individuals who operate with no regard for human life, driving violence, turmoil, and fear in our neighborhoods,” said DEA New York Enforcement Division Special Agent in Charge Farhana Islam.  “Today’s arrest and indictment of Daryl Rutherford expose a dangerous pipeline responsible for trafficking multiple semiautomatic pistols and rifles, and other illegal firearms from South Carolina to New York City.  The DEA, along with our federal, state, and local partners, will continue to identify and target these criminal organizations at every level.  Let our message be clear: whether you traffic guns or drugs into New York City, you will be held accountable and justice will be delivered.  DEA New York’s Enforcement Division remains committed to protecting our communities and saving lives.”  

“The defendant allegedly transported a large cache of firearms—including semiautomatic rifles and a shotgun—along with ammunition across state lines and sold them illegally on our streets for profit,” said NYPD Commissioner Jessica S. Tisch.  “Thanks to the work of our NYPD investigators, law enforcement partners, and the U.S. Attorney’s Office for the Southern District of New York, this interstate gun trafficking pipeline has been shut down, dangerous firearms are off our streets, and this alleged criminal is being held accountable.” 

As alleged in the Indictment unsealed today in Manhattan federal court and in public court proceedings:[1]

From at least in or about December 2025 through at least in or about February 2026, RUTHERFORD, a convicted felon, illegally transported firearms and ammunition from South Carolina to New York City and sold them to a purchaser whom RUTHERFORD understood to be a prohibited person and an unlawful reseller of firearms.  Specifically, in four transactions, RUTHERFORD illegally sold approximately 14 firearms to an undercover law enforcement agent.  The firearms included multiple semiautomatic pistols, semiautomatic rifles, including one with a high-capacity drum magazine, as well as a 12-gauge shotgun.

Firearms RUTHERFORD sold on December 12, 2025

Firearms RUTHERFORD sold on December 18, 2025

Firearms RUTHERFORD sold on February 17, 2026

Firearms RUTHERFORD sold on February 24, 2026

*                *                *

RUTHERFORD, 51, of South Carolina, is charged with one count of firearms trafficking, which carries a maximum sentence of 15 years in prison; one count of unlicensed dealing of firearms, which carries a maximum sentence of five years in prison; one count of illegally transporting and distributing firearms, which carries a maximum sentence of five years in prison; and one count of possession of firearms and ammunition after a felony conviction, which carries a maximum sentence of 15 years in prison.

The statutory maximum and minimum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. 

Mr. Clayton praised the outstanding investigative work of the HSI New York Field Office, ATF, DEA New York Division, the NYPD, HSI Greenville, the New York Field Office of U.S. Customs and Border Protection, the South Carolina Law Enforcement Division, and the Union Public Safety Department.  

The case is being prosecuted by the Office’s Violent Organizations and Crime Unit.  Assistant U.S. Attorney Diarra M. Guthrie is in charge of the prosecution.

The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty. 

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, and Administrator of the U.S. Drug Enforcement Administration (“DEA”), Terrance C. Cole, announced today the unsealing of an indictment charging RUBEN ROCHA MOYA, ENRIQUE INZUNZA CAZAREZ, ENRIQUE DIAZ VEGA, DAMASO CASTRO ZAAVEDRA, MARCO ANTONIO ALMANZA AVILES, ALBERTO JORGE CONTRERAS NUNEZ, a/k/a “Cholo,” GERARDO MERIDA SANCHEZ, JOSE ANTONIO DIONISIO HIPOLITO, a/k/a “Tornado,” JUAN DE DIOS GAMEZ MENDIVIL, and JUAN VALENZUELA MILLAN, a/k/a “Juanito,” with drug trafficking and related weapons offenses.  MILLAN is additionally charged with offenses related to his participation in kidnappings of a DEA source and the source’s relative that resulted in their deaths.  The defendants are all current or former high-ranking government and law enforcement officials in the Mexican State of Sinaloa (“Sinaloa”), including the current Governor of Sinaloa, RUBEN ROCHA MOYA, and are alleged to have partnered with the Sinaloa Cartel to distribute massive quantities of narcotics to the United States.  The case is assigned to U.S. District Judge Katherine Polk Failla.

“The Sinaloa Cartel is a ruthless criminal organization that has flooded this community with dangerous drugs for decades,” said U.S. Attorney Jay Clayton.  “As the indictment lays bare, the Sinaloa Cartel, and other drug trafficking organizations like it, would not operate as freely or successfully without corrupt politicians and law enforcement officials on their payroll.  The support of corrupt foreign officials for deadly trafficking of drugs must end.  Let these charges send a clear message to all officials around the globe who work with narco-traffickers: no matter your title or position, we are committed to bringing you to justice.”

“The Sinaloa Cartel is not just trafficking deadly drugs, it is a designated terrorist organization that relies on corruption and bribery to drive violence and profit,” said DEA Administrator Terrance Cole.  “This indictment exposes a deliberate effort to undermine public institutions and put American lives at risk.  The defendants allegedly used positions of trust to protect cartel operations, enabling a pipeline of deadly drugs into our country.  No one is above the law.  We are grateful for our U.S. and Mexican partners who choose integrity every day and stand with us to safeguard our communities.  Together, we will continue to apply sustained pressure against the Sinaloa Cartel and the networks that support it to protect the American people and save lives.”

According to the allegations contained in the Indictment, other court filings, and statements made during court proceedings:[1]

The Sinaloa Cartel (the “Cartel”) is one of the most violent criminal organizations in the world and has transformed the Mexican State of Sinaloa into the geographic epicenter of the global narcotics trade.  From its home base in Sinaloa, the Cartel has worked with criminal elements around the world—cocaine producers and distributors in Colombia and Venezuela, drug traffickers and corrupt politicians throughout Central and South America, and precursor chemical manufacturers in China and elsewhere—to distribute massive quantities of narcotics into the United States and inflict severe damage on communities throughout this country.  The Cartel has also carried out rampant violence, including thousands of murders, throughout Mexico and elsewhere around the world, including in the United States.

To protect and grow this drug trafficking empire, the Cartel has allegedly partnered with corrupt politicians and law enforcement officials, including the defendants, who have abused their authority in support of the Cartel, exposed and subjected victims to threats and violence, and sold out their offices in exchange for massive bribes.  Indeed, certain police officials in Mexico, including, as alleged, certain of the defendants, have directly participated in the Cartel’s violence and retribution, including by murdering enemies of the Cartel and kidnapping individuals in Mexico suspected of cooperating with U.S. law enforcement in this investigation.

The defendants charged in this Indictment are current and former government or law enforcement officials in Sinaloa.  As alleged, each of the defendants has participated in a corrupt and violent drug trafficking conspiracy with the Cartel to import massive amounts of fentanyl, heroin, cocaine, and methamphetamine from Mexico into the United States.  The defendants have played a variety of essential roles for the Cartel:  among other things, the defendants have allegedly shielded Cartel leaders from investigation, arrest, and prosecution; caused sensitive law enforcement and military information to be provided to members of the Cartel and allied drug traffickers to assist the Cartel’s criminal activities; directed members of state and local law enforcement agencies, such as the Sinaloa State Police, the Investigative Police for the Sinaloa State Attorney General’s Office, and the Culiacan Municipal Police, to protect drug loads stored in and transiting through Mexico to the United States; and allowed brutal drug-related violence to be committed by members of the Cartel without consequence.  In exchange, the defendants have collectively received millions of dollars in drug money from the Cartel. 

As alleged, the defendants have been most closely aligned with the faction of the Cartel run by the sons of Joaquin Archivaldo Guzman Loera, a/k/a “El Chapo,” the Cartel’s notorious former leader, who are themselves known collectively as the “Chapitos.”  The defendants have operated at all levels of government and law enforcement in Sinaloa and each abused their positions of trust and authority to help facilitate the Chapitos’ operations.  For example, ROCHA MOYA was elected Governor of Sinaloa, a position he has held since on or about November 1, 2021, after the Chapitos allegedly helped him get elected by, among other things, kidnapping and intimidating his rivals.  In exchange, both before and after he became Governor, ROCHA MOYA allegedly attended meetings with the Chapitos, at which he promised to protect the Chapitos as they distributed massive quantities of drugs to the United States and, as Governor, ROCHA MOYA has allowed the Chapitos to operate with impunity in Sinaloa.  Similarly, the other defendants have directly and repeatedly helped the Chapitos in exchange for massive drug-fueled bribes.  For example, ZAAVEDRA, who is the Deputy Attorney General for the Sinaloa State Attorney General’s Office, has received approximately $11,000 U.S. dollars each month from the Chapitos and, in exchange, has protected Chapitos members from arrest and informed the Chapitos of planned U.S.-backed law enforcement operations.

Certain of the defendants are also alleged to have themselves directly participated in the Cartel’s campaign of violence and retribution.  For example, MILLAN, a high-level commander in the Culiacan Municipal Police, allegedly received more than approximately $1,600 U.S. dollars each month from the Chapitos.  In exchange, MILLAN gave the Chapitos unfettered access to the Culiacan Municipal Police and used officers from the police force to help the Chapitos maintain their control over Culiacan, including through arrests, kidnappings, and murder.  In or about October 2023, MILLAN allegedly helped the Chapitos kidnap a DEA confidential source and the source’s relative, who the Chapitos then had tortured and killed, because the source was suspected of providing information to the Government in connection with this investigation.

*               *                *

This Indictment is the latest in a series of indictments issued in this District since 2023, charging more than 30 members and associates of the Cartel, including members of the leadership of the Cartel, for their involvement in distributing massive quantities of narcotics into the United States and related crimes, which has resulted in a meaningful disruptive impact on the Cartel’s drug trafficking operations.

A chart containing the charges and minimum and maximum penalties each defendant faces is below.  All of the defendants are believed to currently reside in Mexico.

The statutory minimum and maximum penalties are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.

Mr. Clayton praised the outstanding investigative work of the DEA’s Special Operations Division, Bilateral Investigations Unit and the DEA offices in Mexico and Phoenix, as well as the assistance of the Office of International Affairs of the Justice Department’s Criminal Division, and the Government of Mexico.  Mr. Clayton also thanked the U.S. Attorney’s Offices in the Northern District of Illinois and Southern District of California, and the Justice Department’s Money Laundering, Narcotics and Forfeiture Section.

Mr. Clayton also thanked the Homeland Security Task Force, a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad.

This prosecution is being handled by the Office’s National Security and International Narcotics Unit.  Assistant U.S. Attorneys Jane Y. Chong, Sarah L. Kushner, and David J. Robles are in charge of the prosecution.

The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

This case is part of the Homeland Security Task Force ("HSTF") initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. 

Defendant

Title

Age

Charges

Minimum and Maximum Penalties

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices

Narcotics importation conspiracy;

Possession of machineguns and destructive devices;

Conspiracy to possess machineguns and destructive devices;

Kidnapping resulting in death;

Conspiracy to commit kidnapping resulting in death

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced today that KEROME LENDON PAISLEY was sentenced to 10 years in prison for conspiring, while already imprisoned, to traffic more than a kilogram of fentanyl.  PAISLEY’s sentence was imposed by U.S. District Judge Cathy Seibel, who also presided over his guilty plea.

“After serving nearly 22 years in federal prison for a prior narcotics conspiracy, Kerome Paisley was given a chance to reenter society,” said U.S. Attorney Jay Clayton.  “Instead, he brazenly chose to traffic more than 10,000 counterfeit fentanyl pills from behind bars, potentially endangering countless New Yorkers.  Those who are committed to dealing deadly drugs as a way of life—even from prison—will earn themselves substantial federal prison time.”

According to the Complaint, the Indictment, and other documents in the public record:

During February 2025, as part of a narcotics trafficking conspiracy, PAISLEY used a contraband cellphone to organize the sale of over 10,000 counterfeit fentanyl pills that resembled legitimate 30 mg oxycodone pills.  After a co-conspirator of PAISLEY’s brought the pills to Peekskill, New York, to sell them, law enforcement officers found and seized them.  At the time, PAISLEY was approaching the end of a nearly 22-year federal prison sentence due to his role in a prior narcotics trafficking conspiracy.  After determining PAISLEY’s identity, law enforcement officers arrested PAISLEY on the day he was due to be released from his prior sentence.

*                *                *

In addition to the prison term, PAISLEY, 49, of Jamaica, was sentenced to five years of supervised release.

Mr. Clayton praised the investigative work of Homeland Security Investigations and the Drug Enforcement Administration.  

The case is being handled by the Office’s White Plains Division. Assistant U.S. Attorney Carmi Schickler is in charge of the prosecution.

United States Attorney for the Southern District of New York, Jay Clayton, Acting Special Agent in Charge of the Washington, D.C., Field Office of the Internal Revenue Service - Criminal Investigation (“IRS-CI”), Cynthia Hearn, and Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., announced today that MAXIMILIEN DE HOOP CARTIER was sentenced to eight years in prison for his role in a sophisticated international money laundering network that laundered hundreds of millions of dollars in illicit proceeds, including the proceeds of drug trafficking, through the United States.  CARTIER was sentenced today before U.S. District Judge Mary Kay Vyskocil.  On October 23, 2025, CARTIER pled guilty to one count of operating an unlicensed money transmitting business and one count of conspiracy to commit bank fraud. 

“Maximilien de Hoop Cartier exploited his knowledge of U.S. and international financial systems to launder drug money and other crime proceeds,” said U.S. Attorney Jay Clayton.  “De Hoop Cartier created a network of shell companies and crypto accounts to wash and conceal criminal proceeds.  He used that network to funnel hundreds of millions of dollars from the United States to overseas criminal organizations, fueling their continued illicit operations.  Stopping money laundering stops crime more broadly.  This federal prison sentence sends a clear message that those who launder criminal proceeds will face serious consequences.” 

“Today’s announcement demonstrates IRS Criminal Investigation’s commitment to disrupting the illicit flow of money that enables narcotics traffickers to illegally launder millions in illicit drug money,” said IRS-CI Acting Special Agent in Charge Cynthia Hearn.  “Our Global Illicit Financial Team is proud to have provided its financial expertise in this investigation.  CI and our law enforcement partners are committed to aggressively investigating individuals who engage in money laundering and other financial crimes.”

“Maximilien de Hoop Cartier exploited U.S. companies and banks to launder hundreds of millions of dollars in support of international criminal enterprises,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “The FBI and our law enforcement partners on the New York Homeland Security Task Force remain determined to stopping illegal cash flow into foreign countries.”

According to charging documents and other filings and statements made in court:

Since at least 2018 through the date of the defendant’s arrest, CARTIER, a descendant of the Cartier family known for luxury jewelry, ran an unlicensed money transmitting business that operated an over-the-counter (“OTC”) cryptocurrency exchange to buy and sell cryptocurrency on behalf of his clients.  This operation played a key role in a sophisticated international money laundering network that exploited the U.S. financial system to launder hundreds of millions of dollars in criminal proceeds through the United States to Colombia, among other countries.

CARTIER’s OTC cryptocurrency exchange consisted of a large network of U.S.-based shell companies that CARTIER operated and controlled for the sole purpose of converting cryptocurrency into hard currency.  CARTIER opened more than a dozen accounts at U.S. banks, lying to the banks about the nature of his businesses and the purposes of the bank accounts.  CARTIER fraudulently claimed the businesses operated in the software publishing and software development industries, when in fact they existed for the sole purpose of receiving and transmitting drug money and other crime proceeds.  CARTIER used forged contracts, invoices, and other business records to make it appear to banks that the funds related to legitimate business rather than crime.  CARTIER received drug money in the form of cryptocurrency, converted that cryptocurrency into hard currency, deposited it into shell company accounts that CARTIER opened and controlled, and then transmitted the funds to other nodes in the money-laundering network to further conceal their nature and origin before the funds were ultimately withdrawn in local currency in Colombia.  CARTIER knew that he was operating a money services business for criminals but did not register as a money transmitting business or follow the anti-money laundering protocols required by law.  In total, CARTIER personally helped launder more than $470 million through his shell companies.

In April 2021, as part of a separate investigation, a court issued warrants to seize three accounts held by CARTIER’s shell companies because they had received approximately $937,000 in drug trafficking proceeds from an undercover law enforcement account.  After the seizure, CARTIER and his lawyer met with federal agents and prosecutors with the U.S. Attorney’s Office for the Eastern District of Pennsylvania to persuade law enforcement to return the seized funds.  During this meeting, CARTIER admitted that he told banks he was in the business of technology software services—instead of stating that he operated as a cryptocurrency exchange—and also acknowledged that he was operating as an unlicensed money remitter.  CARTIER also lied to the federal agents, however, falsely claiming that he had know-your-customer and other compliance procedures and that he was in the process of applying for a money transmitting license; and provided forged business records to support his claim to the funds.  Based on CARTIER’s lies and forged records, a portion of the seized money was returned to him.

*                *                *

In addition to his term of prison, CARTIER, 58, a resident of France and citizen of Argentina, was ordered to pay $2,362,160.62 in forfeiture, representing funds CARTIER kept as a commission for his work with the Network converting cryptocurrency to hard currency.  He was additionally ordered to forfeit certain of his shell companies’ bank accounts.

Mr. Clayton praised the outstanding investigative work of the Federal Bureau of Investigation (“FBI”) and its New York Field Office; Homeland Security Investigations’ New York El Dorado Task Force; and IRS-Criminal Investigation, Global Illicit Financial Team.  Mr. Clayton also thanked the FBI’s Legal Attaché Office in Colombia, the Colombian National Police, the Department of Justice’s Office of International Affairs, and the U.S. Embassy in Colombia.

This case is being handled by the Office’s Illicit Finance & Money Laundering Unit. Assistant U.S. Attorneys Jennifer N. Ong, Eli J. Mark, and David A. Markewitz are in charge of the prosecution.

United States Attorney for the Southern District of New York, Jay Clayton, and Special Agent in Charge of the Special Operations Division of the Drug Enforcement Administration (“DEA”), Cindy Marx, announced today the unsealing of an Indictment charging WENFENG CUI, a/k/a “Vincen,” and FAN PANG, a/k/a “Jerry,” with conspiracy to traffic methamphetamine, conspiracy to import methamphetamine precursor chemicals, and methamphetamine importation related to a nearly year-long effort to research, develop, and put into operation a technologically sophisticated factory to mass produce methamphetamine.  The defendants were arrested in New York City on February 2, 2026, after a meeting in which they provided detailed instructions for the chemical synthesis of the drug, as well as the technological operation of industrial machinery the defendants created to produce it.  Law enforcement authorities later seized shipping containers packed with the equipment at a port in Europe.  Both defendants were previously charged by criminal complaint and presented before U.S. Magistrate Judge Gabriel W. Gorenstein, who ordered them detained pending trial.  The case is assigned to U.S. District Judge Lorna G. Schofield.

“As alleged, the defendants worked with chemists and engineers to develop and deploy a sophisticated technology for the industrial production of methamphetamine capable of producing 400 kilograms of ‘meth’ every day,” said U.S. Attorney Jay Clayton.  “Their goal was terrifying in its ambition.  The potential harm of this scale of methamphetamine on our streets should give all New Yorkers and all Americans pause.  This Office will find and prosecute not only the dealers distributing poison to New Yorkers, but also the people behind those operations.  Working with our international law enforcement partners, we will bring narcotics traffickers to justice—no matter where they are in the world, and no matter whether they commit their crimes in laboratories or on street corners.” 

“This indictment underscores the evolving threat posed by the synthetic drug market, in particular the increase we are seeing in methamphetamine,” said DEA Special Agent in Charge Cindy Marx, Special Operations Division. “The level of technical expertise, industrial-scale machinery, and international reach revealed in this case is a stark reminder that today’s illicit drug trade is driven by innovation and relentless adaptation. The cartels are adapting, and so are we. DEA will continue to leverage its resources to protect our communities from the devastating impact of synthetic drugs.”

According to the allegations contained in the Indictment and other public court filings:[1]

Over the course of approximately eight months, confidential sources acting at the direction of the DEA and posing as narcotics traffickers communicated regularly with CUI and PANG in order to broker chemical agreements.  During one recorded call, CUI said that he could produce customized machinery to produce methamphetamine over the course of several months, and additional machines with subsequently refined designs in as few as 30 days.  CUI said that he could provide training in the assembly, installation, and operation of the equipment once it was produced, and offered ongoing parts and technical support on-site in Central America to a narcotics trafficker who purported to be located in Guatemala.

During a June 5, 2025, meeting, CUI said that he had many repeat customers who purchased hundreds of kilograms of precursor chemical from which methamphetamine could be synthesized from CUI and PANG.

During a June 17, 2025, meeting, CUI said, in sum and substance, that prototype machinery was already working.  PANG said that a completed machine could be ready by July and would produce as much as 800 kilograms of methamphetamine per production cycle.  During the meeting, CUI and PANG also offered to facilitate the sale of a sample of approximately forty kilograms of methylamine hydrochloride, a List I chemical used in the synthesis of methamphetamine.  CUI offered to deliver the chemical from China to New York in exchange for $4,000.  After the meeting, on or about June 18, 2025, CUI sent a confidential source screenshots of the chemical compositions of controlled substances his synthesis techniques could produce, including the CAS Registry number for methamphetamine. In August 2025, the defendant directed the shipment of methamphetamine precursor chemicals to New York.

In the course of developing the technology, CUI produced and disseminated detailed blueprints and schematics, technical specifications, equipment lists, and instruction manuals for both the assembly of the machinery into an industrial laboratory and the operational synthesis of methamphetamine using the machinery.  For example, CUI provided: a spreadsheet identifying dozens of necessary component parts, including stainless steel reactors, condensers, storage tanks, valves, explosion-proof pumps, refrigeration and hydrogenation systems, cylinders, centrifuges, and compressors; a detailed, nearly 5,000-word instruction manual for synthesizing meth using the technology, specifying, among other things, chemical proportions, pressure levels, and temperature controls; a flowchart visualizing the steps of production; and renderings of the laboratory assembly:

In January 2026, CUI sent a confidential source multiple photos and videos of the machinery as it neared completion, including the below:

After completing fabrication in December 2025, CUI and PANG directed the shipment of the full-scale methamphetamine production factory to a port in a European country.  According to freight records, the laboratory equipment—weighing more than 21,120 kilograms and measuring nearly 200 cubic meters—was packed into multiple shipping containers and dispatched from a port in Shanghai.  CUI sent a confidential source photographs of workers loading the equipment into shipping containers.  Standing next to the machine, CUI’s workers boasted that the technology—a “complete set of automated equipment”—represented the “future of the global chemical industry”:

In February 2026, law enforcement officials in a European country seized multiple shipping containers containing the machinery, including the components pictured below:

*               *                *

CUI, 41, and PANG, 26, both citizens of the People’s Republic of China, are charged with one count of conspiracy to distribute methamphetamine, which carries a maximum sentence of life in prison; one count of conspiracy to import methamphetamine precursor chemical with intent to manufacture narcotics, which carries a maximum sentence of 20 years in prison; and one count of importation of methamphetamine precursor chemical, which carries a maximum sentence of 20 years in prison.

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.

Mr. Clayton praised the outstanding investigative work of the DEA’s Special Operations Division Bilateral Investigations Unit.  Mr. Clayton also thanked the Polish Provincial Police of Wroclaw and the Lower Silesian Branch of the National Prosecutors Office, and the German Zentrale Kriminalinspektion (“ZKI”) Osnabrück.

The case is being handled by the Office’s Narcotics Unit.  Assistant U.S. Attorney Ryan T. Nees is in charge of the prosecution.

The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
 

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth below constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced today that ARSEN LUSHER was sentenced to 42 months in prison by U.S. District Judge Dale E. Ho for perpetrating a scheme to defraud more than 20 investors of nearly nine million dollars.  On August 18, 2025, LUSHER pled guilty to one count of wire fraud.

“Today’s 42-month sentence comes at the end of a too common story:  a fast-talking fraudster promising exceptional returns but not giving investors basic information,” said U.S. Attorney Jay Clayton.  “Arsen Lusher lied to victims about the nature of his business to line his own pockets.  When the walls came closing in, Lusher doubled down, creating false documents to try to lull his victims into a false sense of security about their investments.  Lusher’s fraud was brazen, and it cost his victims nearly $9 million.  A good rule of thumb for investors:  no audit, no investment.”

According to the charging documents and other filings and statements made in court:     

From at least 2017 through at least February 2021, the defendant engaged in a scheme in which he and his associates solicited investments from victims, usually by representing that the defendant had a profitable trucking business that enjoyed delivery and installation contracts with multiple large retailers.  The defendant and his associates typically represented that the victims’ investments would fund the purchase of trucks and guaranteed the victims high rates of return over a fixed period—typically between 30 and 40 percent over one or two years.  In that way, the defendant succeeded in raising approximately more than $40 million from his victims during the scheme.  But the defendant did not have a large trucking business, and he did not invest the victims’ money into any trucking business.  Instead, the defendant paid earlier victims with later victims’ funds, sustaining the scheme for years.

While he was stealing money from the victims, the defendant lived a lavish life.  For example, the defendant gambled millions of dollars at casinos and online, winning as much as $100,000 in a single sitting.  The defendant also used funds from his companies’ corporate bank accounts to finance personal expenses.  On a trip to China in April 2019, the defendant spent thousands of dollars in a high-end shopping spree, including a $3,210.76 charge from a Louis Vuitton store and a $12,932.24 charge at a Hermès store in Hong Kong.  The defendant paid those expenses from his business bank accounts. During the scheme, neither the defendant in his personal capacity nor any of the companies that the defendant used to perpetrate the scheme filed federal tax returns.

After years of fraud, in late 2020 and early 2021, the scheme collapsed, leaving the victims with losses of at least $8,740,440.  As the scheme came crashing down, the defendant created numerous false documents and caused them to be shared with his victims for the purpose of continuing to solicit investments and lulling victims into a false sense of security with respect to their investments.  For example, in January 2021, the defendant created and caused to be sent to a particular victim (“Victim-1”) a falsified email, in which the defendant altered account balances for two of the companies that the defendant used to perpetrate the scheme that had been reported to the defendant by an employee from a particular bank (“Bank-1”).  The email that the defendant received from Bank-1 is shown below left; the email that the defendant altered and caused to be sent to Victim‑1 is below right.  Instead of “8,767.26,” and “$320.76,” the defendant altered the email to state that his companies had account balances of $1,228,767.26 and $987,320.76 (italics and bold added).

*                *                *

In addition to the prison term, LUSHER, 49, of Millstone, New Jersey, was sentenced to three years of supervised release and ordered to pay $8,740,440 in forfeiture and $8,740,440 in restitution.

Mr. Clayton praised the outstanding investigative work of the Federal Bureau of Investigation, the Internal Revenue Service, and U.S. Customs and Border Protection.

This case is being handled by the Office’s General Crimes Unit.  Assistant U.S. Attorney Joseph H. Rosenberg is in charge of the prosecution.

The Justice Department announced today the unsealing of an indictment charging Gannon Ken Van Dyke, a U.S. Army soldier, with unlawful use of confidential government information for personal gain, theft of nonpublic government information, commodities fraud, wire fraud, and making an unlawful monetary transaction. The charges arise from an alleged scheme in which Van Dyke used sensitive classified information to make wagers on Polymarket, a prediction marketplace. As alleged in the indictment, Van Dyke participated in the planning and execution of the U.S. military operation to capture Nicolás Maduro, called “Operation Absolute Resolve,” and Van Dyke used his access to classified information about that operation to personally profit. Van Dyke will be presented today before U.S. Magistrate Judge Brian S. Meyers in the Eastern District of North Carolina. The case has been assigned to U.S. District Judge Margaret M. Garnett in the Southern District of New York.

“Our men and women in uniform are trusted with classified information in order to accomplish their mission as safely and effectively as possible, and are prohibited from using this highly sensitive information for personal financial gain,” said Acting Attorney General Todd Blanche. “Widespread access to prediction markets is a relatively new phenomenon, but federal laws protecting national security information fully apply.”

“Today’s announcement makes clear no one is above the law, and this FBI will do whatever it takes to defend the homeland and safeguard our nation’s secrets,” said FBI Director Kash Patel. “Any clearance holders thinking of cashing in their access and knowledge for personal gain will be held accountable.”

“Prediction markets are not a haven for using misappropriated confidential or classified information for personal gain,” said U.S. Attorney Jay Clayton for the Southern District of New York. “The defendant allegedly violated the trust placed in him by the United States Government by using classified information about a sensitive military operation to place bets on the timing and outcome of that very operation, all to turn a profit. That is clear insider trading and is illegal under federal law. Those entrusted to safeguard our nation’s secrets have a duty to protect them and our armed service members, and not to use that information for personal financial gain. Our Office will continue to hold accountable those who misuse confidential or classified information in a way that undermines and exploits our national security.”

“Gannon Ken Van Dyke allegedly betrayed his fellow soldiers by utilizing classified information for his own financial gain,” said FBI Assistant Director in Charge James C. Barnacle Jr. “Van Dyke profited more than $400,000 by trading various outcomes related to Venezuela after learning of the operation because of his role as a U.S. Army soldier. The FBI will continue to investigate threats to our nation's security especially from those entrusted to safeguard sensitive classified information and military operations.”

As alleged in the Indictment unsealed today in Manhattan federal court, Van Dyke has been an active-duty soldier in the U.S. Army, stationed at Fort Bragg, a military base located in Fayetteville, North Carolina. In connection with his work, Van Dyke signed nondisclosure agreements in which he promised to “never divulge, publish, or reveal by writing, words, conduct, or otherwise . . . any classified or sensitive information” relating to military operations. Starting around Dec. 8, 2025, and continuing through at least Jan. 6, Van Dyke was involved in the planning and execution of Operation Absolute Resolve, a military operation to capture Maduro, and had access to sensitive, nonpublic, classified information about that operation.

In 2025, Polymarket, a prediction marketplace operated by Blockratize Inc., began offering binary event contracts related to whether certain events involving Venezuela and/or Maduro would, or would not, occur. Those event contracts included the future likelihood of “US forces in Venezuela by” certain dates, the future likelihood of Maduro being “out” of or removed from power by certain dates, the future likelihood of the U.S. invading Venezuela by on or before Jan. 31, and the future likelihood of President Trump “invoking War Powers against Venezuela” by a certain date.

As alleged, on or about Dec. 26, 2025, Van Dyke created a Polymarket account, funded it, and began trading on Maduro- and Venezuela-related markets. In total, Van Dyke made approximately 13 bets from Dec. 27, 2025, through the evening of Jan. 26. Those bets all took the “YES” position on “U.S. Forces in Venezuela . . . by January 31, 2026”; “Maduro out by . . . January 31, 2026”; “Will the U.S. invade Venezuela by . . . January 31,”; or “Trump invokes War Powers against Venezuela by . . . January 31.”  Van Dyke bet a total of approximately $33,034 on those outcomes while in possession of classified nonpublic information about Operation Absolute Resolve.

In the predawn hours of Jan. 3, the U.S. apprehended Maduro and his wife at a residence in Caracas, Venezuela, and hours later the President of the United States announced the successful operation. Following the President’s public announcement, Polymarket resolved several Maduro- and Venezuela-related contracts to “YES,” including the markets “Maduro out by . . . January 31, 2026,” and “US forces in Venezuela by . . . January 31, 2026.”  As a result, Van Dyke won his wagers on those contracts. In total, Van Dyke allegedly profited approximately $409,881.

Following his successful trading relating to Maduro- and Venezuela-related contracts, Van Dyke allegedly sent most of his proceeds to a foreign cryptocurrency vault before depositing them into a newly created online brokerage account. The same day of the operation, Van Dyke withdrew the majority of his allegedly unlawful proceeds from his Polymarket account. Shortly after the announcement of Operation Absolute Resolve, reports of unusual trading in Maduro-related contracts on Polymarket appeared in the press and on social media. Van Dyke then took steps to conceal his identity as the trader in the Maduro- and Venezuela-related markets. On or about January 6, 2026, for example, Van Dyke asked Polymarket to delete his Polymarket account, falsely claiming that he had lost access to the email address to which the account had been associated. That same day, Van Dyke changed the email registered to his cryptocurrency exchange account to an email address that was not subscribed to in his name, and which he had created on or about Dec. 14, 2025.

Van Dyke, 38, of Fayetteville, North Carolina, is charged with three counts of violating the Commodity Exchange Act, each of which carries a maximum sentence of 10 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; and one count of an unlawful monetary transaction, which carries a maximum penalty of 10 years in prison.

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

This case is being handled by the Office’s Securities and Commodities Fraud Task Force and National Security and International Narcotics Unit. Assistant U.S. Attorneys Nicholas W. Chiuchiolo, Ryan B. Finkel, and Juliana N. Murray for the Southern District of New York are in charge of the prosecution, with assistance from Acting Deputy Chief Tanner Kroeger and Trial Attorney Eli Ross of the National Security Division’s Counterintelligence & Export Control Section.

United States Attorney for the Southern District of New York, Jay Clayton, Acting Attorney General for the United States, Todd Blanche, Director of the Federal Bureau of Investigation (“FBI”), Kash Patel, and Assistant Director in Charge of the New York Field Office of the FBI, James C. Barnacle, Jr., announced today the unsealing of an Indictment charging GANNON KEN VAN DYKE, a U.S. Army Soldier, with unlawful use of confidential government information for personal gain, theft of nonpublic government information, commodities fraud, wire fraud, and making an unlawful monetary transaction.  The charges arise from an alleged scheme in which VAN DYKE used sensitive classified information to make wagers on Polymarket, a prediction marketplace.  As alleged in the Indictment, VAN DYKE participated in the planning and execution of the U.S. military operation to capture Nicolás Maduro, called “Operation Absolute Resolve,” and VAN DYKE used his access to classified information about that operation to personally profit.  VAN DYKE will be presented today before U.S. Magistrate Judge Brian S. Meyers in the Eastern District of North Carolina.  The case has been assigned to U.S. District Judge Margaret M. Garnett in the Southern District of New York.

“Prediction markets are not a haven for using misappropriated confidential or classified information for personal gain,” said U.S. Attorney Jay Clayton.  “The defendant allegedly violated the trust placed in him by the United States Government by using classified information about a sensitive military operation to place bets on the timing and outcome of that very operation, all to turn a profit.  That is clear insider trading and is illegal under federal law.  Those entrusted to safeguard our nation’s secrets have a duty to protect them and our armed service members, and not to use that information for personal financial gain.  Our Office will continue to hold accountable those who misuse confidential or classified information in a way that undermines and exploits our national security.”

“Our men and women in uniform are trusted with classified information in order to accomplish their mission as safely and effectively as possible, and are prohibited from using this highly sensitive information for personal financial gain,” said Acting Attorney General Todd Blanche.  “Widespread access to prediction markets is a relatively new phenomenon, but federal laws protecting national security information fully apply.”

“Today’s announcement makes clear no one is above the law, and this FBI will do whatever it takes to defend the homeland and safeguard our nation’s secrets,” said FBI Director Kash Patel.  “Any clearance holders thinking of cashing in their access and knowledge for personal gain will be held accountable.”

“Gannon Ken Van Dyke allegedly betrayed his fellow soldiers by utilizing classified information for his own financial gain,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “Van Dyke profited more than $400,000 by trading various outcomes related to Venezuela after learning of the operation because of his role as a U.S. Army soldier.  The FBI will continue to investigate threats to our nation's security especially from those entrusted to safeguard sensitive classified information and military operations.”

As alleged in the Indictment unsealed today in Manhattan federal court:[1]

VAN DYKE has been an active-duty soldier in the U.S. Army, stationed at Fort Bragg, a military base located in Fayetteville, North Carolina.  In connection with his work, VAN DYKE signed nondisclosure agreements in which he promised to “never divulge, publish, or reveal by writing, words, conduct, or otherwise . . . any classified or sensitive information” relating to military operations.  Starting around December 8, 2025, and continuing through at least January 6, 2026, VAN DYKE was involved in the planning and execution of Operation Absolute Resolve, a military operation to capture Maduro, and had access to sensitive, nonpublic, classified information about that operation.

In 2025, Polymarket, a prediction marketplace operated by Blockratize, Inc., began offering binary event contracts related to whether certain events involving Venezuela and/or Maduro would, or would not, occur.  Those event contracts included the future likelihood of “US forces in Venezuela by” certain dates, the future likelihood of Maduro being “out” of or removed from power by certain dates, the future likelihood of the U.S. invading Venezuela by on or before January 31, 2026, and the future likelihood of President Trump “invokeing War Powers against Venezuela” by a certain date.

As alleged, on or about December 26, 2025, VAN DYKE created a Polymarket account, funded it, and began trading on Maduro- and Venezuela-related markets.  In total, VAN DYKE made approximately 13 bets from December 27, 2025, through the evening of January 2, 2026.  Those bets all took the “YES” position on “U.S. Forces in Venezuela . . . by January 31, 2026”; “Maduro out by . . . January 31, 2026”; “Will the U.S. invade Venezuela by . . . January 31,”; or “Trump invokes War Powers against Venezuela by . . . January 31.”  VAN DYKE bet a total of approximately $33,034 on those outcomes while in possession of classified nonpublic information about Operation Absolute Resolve.

In the predawn hours of January 3, 2026, U.S. special forces apprehended Maduro and his wife at a residence in Caracas, Venezuela, and hours later the President of the United States announced the successful operation.  Following the President’s public announcement, Polymarket resolved several Maduro- and Venezuela-related contracts to “YES,” including the markets “Maduro out by . . . January 31, 2026,” and “US forces in Venezuela by . . . January 31, 2026.”  As a result, VAN DYKE won his wagers on those contracts.  In total, VAN DYKE allegedly profited approximately $409,881.

Following his successful trading relating to Maduro- and Venezuela-related contracts, VAN DYKE allegedly sent most of his proceeds to a foreign cryptocurrency vault before depositing them into a newly created online brokerage account.  The same day of the operation, VAN DYKE withdrew the majority of his allegedly unlawful proceeds from his Polymarket account.  Shortly after the announcement of Operation Absolute Resolve, reports of unusual trading in Maduro-related contracts on Polymarket appeared in the press and on social media.  VAN DYKE then took steps to conceal his identity as the trader in the Maduro- and Venezuela-related markets.  On or about January 6, 2026, for example, VAN DYKE asked Polymarket to delete his Polymarket account, falsely claiming that he had lost access to the email address to which the account had been associated.  That same day, VAN DYKE changed the email registered to his cryptocurrency exchange account to an email address that was not subscribed to in his name, and which he had created on or about December 14, 2025.

*                *                *

VAN DYKE, 38, of Fayetteville, North Carolina, is charged with three counts of violating the Commodity Exchange Act, each of which carries a maximum sentence of 10 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; and one count of an unlawful monetary transaction, which carries a maximum sentence of 10 years in prison.

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton praised the outstanding work of the FBI.  Mr. Clayton also thanked the United States Department of War, and the Commodity Futures Trading Commission.  Mr. Clayton also acknowledged Polymarket’s cooperation in this investigation.

This case is being handled by the Office’s Securities and Commodities Fraud Task Force and National Security and International Narcotics Unit.  Assistant U.S. Attorneys Nicholas W. Chiuchiolo, Ryan B. Finkel, and Juliana N. Murray are in charge of the prosecution, with assistance from Acting Deputy Chief Tanner Kroeger and Trial Attorney Eli Ross of the National Security Division’s Counterintelligence & Export Control Section.

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch, and United States Marshal for the Southern District of New York, Ricky J. Patel, announced today the unsealing of a seven-count Indictment charging two individuals, ALEJANDRO COLON, a/k/a “Ale,” and OSCAR OLIVENCIA, a/k/a “Jon-O,” a/k/a “Young O,” with federal crimes, including racketeering conspiracy, attempted murder, assault with a dangerous weapon, attempted assault with a dangerous weapon, and firearms offenses.  The defendants are charged for their roles in the “A-Town” set of the Trinitarios street gang and associated acts of violence, including a shooting on February 7, 2023, in the Bronx where COLON and OLIVENCIA, acting together, shot at multiple people, resulting in gunshot wounds to two victims.  In a coordinated operation, COLON was arrested last night and OLIVENCIA was arrested this morning.  Both defendants will be presented later this afternoon before U.S. Magistrate Judge Henry J. Ricardo.  The case is assigned to U.S. District Judge Arun Subramanian.

“As alleged, Oscar Olivencia and Alejandro Colon were members of the A-Town Trinitarios who shot at three individuals outside a restaurant in the Bronx, seriously injuring two of them,” said U.S. Attorney Jay Clayton.  “Gang violence is a threat to the safety and security of our neighborhoods, and together with our law enforcement partners, the women and men of this Office will continue to work relentlessly to give New Yorkers what they want and deserve: safe neighborhoods free from the terror of gun violence.”

“These alleged members of the ‘A-Town’ Trinitarios crew used gun violence to further their illicit operations, shooting two people and putting many more Tremont residents at risk,” said NYPD Commissioner Jessica S. Tisch.  “Today’s indictment underscores the NYPD’s focus on taking down gangs, removing guns, and keeping our communities safe.  I thank our NYPD detectives for their hard work on this case and the U.S. Attorney’s Office for the Southern District of New York for its partnership in holding these criminals accountable.”

“The alleged actions committed by these two brazen defendants endangered our communities and required precision in our law enforcement operations to safely take them off of our streets to face justice,” said U.S. Marshal for the Southern District of New York, Ricky J. Patel.  “The United States Marshals Service and our law enforcement partners’ unwavering commitment to ensure neighborhoods are safe made that a reality.”

As alleged in the Indictment and other documents filed in federal court and based on statements made in public court proceedings:[1]

“A-Town” is a criminal organization based in the Tremont neighborhood of the Bronx and affiliated with the Trinitarios.  Since at least 2018, its members and associates have engaged in narcotics trafficking, the use of firearms, and numerous acts of violence against rival gang members.  A-Town members have also participated in various fraudulent schemes, including stealing checks from mailboxes and altering and cashing them.  

On or about February 7, 2023, COLON and OLIVENCIA confronted an individual (“Victim-1”) outside a Bronx restaurant over money Victim-1 owed OLIVENCIA from the sale of stolen checks.  As the encounter escalated, COLON brandished a firearm, and OLIVENCIA drew his own firearm and fired two shots—one striking a nearby bystander (“Victim-2”) and the other striking Victim-1.  As COLON and OLIVENCIA fled, another individual (“Victim-3”) produced a firearm and fired at them.  COLON returned fire in Victim-3’s direction.

COLON brandishing firearm

Firearms recovered

OLIVENCIA firing his firearm into the crowd

*                *                *

A chart containing the names, charges, and minimum and maximum penalties for the defendants is set forth below. 

The minimum and maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.  

Mr. Clayton praised the outstanding investigative efforts of the NYPD and thanked the Bronx County District Attorney’s Office, the Drug Enforcement Administration, the U.S. Marshals Service, and the NYPD Intelligence Division’s Intelligence Analysis Unit for their assistance.

The case is being prosecuted by the Office’s Violent Organizations and Crime Unit.  Assistant U.S. Attorneys Timothy Ly and Dominic A. Gentile are in charge of the prosecution.

The charges in the Indictment are merely accusations and the defendants are presumed innocent unless and until proven guilty.

Count One

Racketeering Conspiracy

18 U.S.C. § 1962(d)

ALEJANDRO COLON

OSCAR OLIVENCIA

Count Two

Assault with a Dangerous Weapon and Attempted Assault with a Dangerous Weapon in Aid of Racketeering

18 U.S.C. §§ 1959(a)(3) and (a)(6), and 2

ALEJANDRO COLON

OSCAR OLIVENCIA

Count Three

Firearms Offense

18 U.S.C. §§ 924(c)(1)(A)(i), (ii), and (iii), and 2

ALEJANDRO COLON

OSCAR OLIVENCIA

Maximum: Life in prison

Minimum: 10 years in prison, which must be consecutive to any other term imposed

Count Four

Assault with a Dangerous Weapon in Aid of Racketeering

18 U.S.C. §§ 1959(a)(3) and 2

ALEJANDRO COLON

OSCAR OLIVENCIA

Count Five

Firearms Offense

18 U.S.C. §§ 924(c)(1)(A)(i), (ii), and (iii), and 2

ALEJANDRO COLON

OSCAR OLIVENCIA

Maximum: Life in prison

Minimum: 10 years in prison, which must be consecutive to any other term imposed

Count Six

Attempted Murder, Assault with a Dangerous Weapon, and Attempted Assault with a Dangerous Weapon in Aid of Racketeering

18 U.S.C. §§ 1959(a)(3), (a)(5), (a)(6), and 2

ALEJANDRO COLON

OSCAR OLIVENCIA

Count Seven

Firearms Offense

18 U.S.C. §§ 924(c)(1)(A)(i), (ii), and (iii), and 2

ALEJANDRO COLON

OSCAR OLIVENCIA

Maximum: Life in prison

Minimum: 10 years in prison, which must be consecutive to any other term imposed

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth in this release constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, Acting Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), Michael Alfonso, and Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch, announced today the arrest of WILLIAM ANTONIO SOLIS, a/k/a “Vegano,” a/k/a “La Vega,” in connection with the June 21, 1993, execution-style murders of Luis Guerrero and his wife, Danis Sime, in the Bronx.  SOLIS was arrested earlier today in Tampa, Florida, by HSI agents and is expected to be presented later this afternoon before U.S. Magistrate Judge Lindsay Saxe Griffin in the Middle District of Florida.  The case has been assigned to U.S. District Judge Laura Taylor Swain.

“For more than 30 years, this Bronx double murder has haunted a family and the people of New York,” said U.S. Attorney Jay Clayton. “That ends today.  This Office always will pursue perpetrators of violence, and time is no bar to our investigation and prosecution of these horrific crimes.  We will always pursue justice for victims in New York and elsewhere.”

“The defendant in this case allegedly executed two New Yorkers in cold blood over 30 years ago, right in front of their three-year-old child,” said NYPD Commissioner Jessica S. Tisch.  “Today’s indictment sends a clear message: the NYPD will always work to make sure criminals are held accountable, no matter how long it takes or how far they may run.  This long-term investigation underscores the tireless efforts of our NYPD investigators, in collaboration with our partners at HSI, who were undeterred in solving these brutal murders.  I thank the U.S. Attorney’s Office for the Southern District of New York for its partnership in bringing these charges.”

“As alleged, William Solis spent decades hiding in plain sight more than a thousand miles from where he viciously murdered the Guerreros in front of their young child,” said HSI Acting Special Agent in Charge Michael Alfonso.  “This arrest is the result of years of meticulous investigative work by dedicated special agents and task force officers who refused to let this case go cold.  Regardless of the time that has passed or the distance traveled, HSI New York, together with the Southern District of New York and the NYPD, will stop at nothing to ensure those responsible for senseless violence face justice on behalf of New Yorkers.”

As alleged in the Indictment, other documents filed in federal court, and statements made in public court proceedings:[1]

On or about June 21, 1993, SOLIS and two co-conspirators participated in the planned robbery of Guerrero, a narcotics supplier, at an apartment in the Bronx.  During the course of that robbery, SOLIS and his co-conspirators restrained Guerrero, took his drugs, then lured his wife, Danis Sime, into the apartment, where she too was overpowered and bound.  SOLIS then executed both victims by shooting them in the head.  The murders were carried out in the presence of the victims’ three-year-old child.

*                *                *

SOLIS, 62, of Tampa, Florida, is charged with intentional killing while engaged in a narcotics conspiracy, which carries a mandatory minimum sentence of 20 years in prison and a maximum sentence of life in prison or death.

The minimum and maximum potential sentences are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.

Mr. Clayton praised the outstanding investigative work of HSI’s Violent Gang Task Force, the NYPD, and the Special Agents of the U.S. Attorney’s Office for the Southern District of New York.  Mr. Clayton also thanked U.S. Customs and Border Protection, the U.S. Attorney’s Office for the Middle District of Florida, HSI Tampa and the Tampa Police Department for their assistance in this investigation.

This case is being handled by the Office’s Violent Organizations and Crime Unit.  Assistant U.S. Attorneys Dominic A. Gentile and Joseph H. Rosenberg are in charge of the prosecution.

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth in this release constitute only allegations, and every fact described should be treated as an allegation.

Attorney for the United States, Sean S. Buckley, announced today that JARED SOLOMON, a former vice president of leasing at the commercial real estate company Vornado Realty Trust, was convicted of wire fraud, aggravated identity theft, and bank fraud, in connection with a years-long scheme to defraud his former employer, forge signatures, and lie to banks.  The defendant was found guilty following a one-week jury trial before U.S. District Judge Loretta A. Preska. 

“Jared Solomon engaged in a decade-long scheme to defraud his former employer of over $9.5 million,” said Deputy U.S. Attorney Sean S. Buckley.  “Solomon submitted fake invoices and agreements for work never performed, concealing his identity behind forged signatures and sham businesses he set up to receive the payments.  Using the fraudulent proceeds, Solomon purchased real estate and other luxury goods.  This Office is committed to holding accountable those who seek to defraud, deceive, and victimize others through lies, misrepresentations, and identity theft.”

According to the Indictment, statements made in public court proceedings and filings, and the evidence at trial:

Beginning in 2009, SOLOMON, a Vornado leasing agent, created fake commercial real estate broker companies. Over approximately the next fourteen years, SOLOMON lied to his then-employer, Vornado Realty Trust, by claiming that brokers were owed broker fees or construction reimbursement expenses on certain commercial real estate deals that he worked on.  In fact, no work had been performed on those deals, and the payments were sent to bank accounts that SOLOMON controlled in the names of his fake businesses.  SOLOMON spent the fraud proceeds on a $4.5 million house in Purchase, New York; an apartment in the Upper East Side; a country club membership; and a Porsche, among other luxury expenses.  SOLOMON also forged the signatures of real people on the fake agreements that he submitted to his employer, provided a fraudulent business certificate to a bank to open a business bank account, and provided false information and a doctored bank statement to a mortgage lender to obtain an $850,000 mortgage loan. SOLOMON made approximately $9.5 million from his scheme to defraud Vornado.

*                      *                      *

SOLOMON, 48, of New York, New York, was convicted of one count of wire fraud, which carries a maximum sentence of 20 years in prison, one count of aggravated identity theft, which carries a mandatory consecutive sentence of two years in prison, and two counts of bank fraud, which each carries a maximum sentence of 30 years in prison.

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. Sentencing is scheduled for August 4, 2026.

Mr. Buckley praised the outstanding investigative work of the U.S. Postal Inspection Service.

This case is being handled by the Office’s General Crimes Unit.  Assistant U.S. Attorneys Adam Z. Margulies, Rita K. Maxwell, Joe Zabel, and Daniel C. Richenthal are in charge of the prosecution, with assistance from Paralegal Specialists Saadhana Jakka and Olivia Sebade.

United States Attorney for the Southern District of New York, Jay Clayton, and Inspector in Charge of the New York Division of the U.S. Postal Inspection Service (“USPIS”), Ketty Larco-Ward, announced today the arrest of OPEYEMI OLUJOBI, a/k/a “Tyler Olujobi,” and JENNIE DAVIDSON.  OLUJOBI and DAVIDSON are charged with using stolen credit cards in the names of hundreds of victims, which they had mailed to them as part of a conspiracy to fraudulently take over those victims’ accounts and make over half a million dollars in unauthorized purchases.  OLUJOBI and DAVIDSON were arrested in Poughkeepsie, New York, this morning and are expected to appear this afternoon in White Plains federal court before U.S. Magistrate Judge Andrew E. Krause.

“As alleged, Tyler Olujobi and Jennie Davidson enriched themselves by impersonating hard-working New Yorkers and exploiting the good credit their victims had spent years building,” said U.S. Attorney Jay Clayton.  “After using the U.S. Postal Service to further their scheme, the defendants embarked on a half-million-dollar spending spree at retail stores across the Tri-State Area.  This Office and our law enforcement partners are committed to protecting New Yorkers from thieves who profit from other people’s hard-earned credit, and we will continue to bring perpetrators of these shameless fraud schemes to justice.”

“The U.S. Postal Inspection Service is firmly committed to investigating those who use the U.S. Mail to steal personally identifying information and take advantage of the American public,” said USPIS Inspector in Charge Ketty Larco-Ward.  “The deliberate use of someone else’s identity for financial gain will not be tolerated, and postal inspectors will continue to work tirelessly to put a stop to complex bank and mail fraud schemes such as this.”

As alleged in the Complaint:[1]

From at least May 2023 through October 2024, OLUJOBI, DAVIDSON, and/or their co-conspirators contacted a publicly traded consumer financial services company (“Victim Bank-1”) and used other people’s names, Social Security numbers, dates of birth, phone numbers, and addresses to falsely identify themselves as the true accountholders of over 200 store credit card accounts.  After gaining access to the cardholders’ accounts, the perpetrators changed the address listed on the account to one of four addresses in Hopewell Junction, New York (one of which was OLUJOBI and DAVIDSON’s residence).  They also changed victims’ phone numbers to one of many controlled by participants in the scheme.  Once they completed these steps, the perpetrators reported the victims’ card lost or stolen and requested that a new card be shipped to the address on file (i.e., one of the Hopewell Junction addresses).

After they obtained their victims’ credit cards, OLUJOBI, DAVIDSON, and/or their co-conspirators used those cards at various retail locations to make around $575,000 in unauthorized purchases of gift cards and other merchandise.  Video surveillance associated with many of these transactions shows OLUJOBI and DAVIDSON using the stolen cards.  If a transaction was declined or a credit limit was approached, OLUJOBI, DAVIDSON, and/or their co-conspirators promptly contacted Victim Bank-1 and requested to have the charges approved or the credit limit raised.  At times, DAVIDSON disposed of the proceeds of certain fraudulent transactions by loading tens of thousands of dollars of her fraud proceeds into an online betting account to obscure the illicit source and then transfer those funds into her personal bank account.

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OLUJOBI, 28, and JENNIE DAVIDSON, 29, both of Poughkeepsie, New York, are each charged with conspiracy to commit mail fraud, wire fraud, and bank fraud, which carries a maximum sentence of 30 years in prison; conspiracy to commit access device fraud, which carries a maximum sentence of seven and a half years in prison; access device fraud, which carries a maximum sentence of 15 years in prison; and aggravated identity theft, which carries a mandatory minimum sentence of two years in prison.  DAVIDSON is also charged with money laundering, which carries a maximum sentence of 20 years in prison.

The minimum and maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge. 

Mr. Clayton praised the outstanding efforts of the USPIS. 

The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Reyhan Watson and Isabelle Lelogeais are in charge of the prosecution. 

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced today that the United States has settled a federal Fair Housing Act (“FHA”) lawsuit against LETTIRE CONSTRUCTION CORP. (“LETTIRE”) and other parties involved in the design and construction of the Chestnut Commons rental building located in Brooklyn.  Through three settlements filed in federal court (two of which were filed previously), LETTIRE and other defendants in the lawsuit have agreed to make retrofits at three rental buildings: The Tapestry located in Manhattan, the Atrium at Sumner located in Brooklyn, and Chestnut Commons located in Brooklyn.  The parties further agreed to provide up to $100,000 to compensate aggrieved persons who sustained damages from inaccessible conditions at The Tapestry and Chestnut Commons, the retrofits at the Atrium at Sumner having been made prior to occupancy.  The parties also agreed to pay civil penalties totaling $70,000.

The settlement with the parties who designed and constructed Chestnut Commons was approved today by U.S. District Judge Alvin K. Hellerstein, thereby resolving the case.  On April 29, 2025, Judge Hellerstein approved a settlement with the parties who designed and constructed The Tapestry, and a settlement with the parties who designed and constructed the Atrium at Sumner.

“The Fair Housing Act is about whether people with disabilities can actually live in and move through their homes—in other words, Fair Access means just that,” said U.S. Attorney Jay Clayton.  “As alleged, these buildings were constructed with barriers—high thresholds, inaccessible bathrooms—that can make daily life difficult or even impossible for those with disabilities.  New Yorkers want their neighbors with disabilities to have housing they can access and use, and we will continue to enforce the law to ensure they have it.  We appreciate the cooperation of Lettire and its partners in working constructively with the government and in committing to remedying these conditions.”

The FHA’s accessible design and construction provisions require multifamily housing complexes constructed after January 1991 to have basic features accessible to persons with disabilities.  

According to the allegations in the Complaint, the inaccessible conditions in the buildings that LETTIRE constructed included excessively high thresholds at building entrances and entrances to common use areas, common use bathrooms that lack grab bars and pipe insulation, excessively high thresholds at entrances to individual apartments and within the apartments, and bathrooms in individual apartments that lack sufficient clear floor space for people who use wheelchairs.  The Complaint alleges that these features in the common use areas of LETTIRE’s buildings, as well as in the buildings’ apartment interiors, did not meet the specifications set forth in the Fair Housing Accessibility Guidelines, Design Guidelines for Accessible/Adaptable Dwellings.

Under today’s settlement, LETTIRE, CHESTNUT COMMONS HOUSING DEVELOPMENT CORP. and MHANY MANAGEMENT, INC. agreed to make retrofits to the public and common use areas as well as the individual units at Chestnut Commons to improve accessibility.  The settlement also requires CHESTNUT COMMONS HOUSING DEVELOPMENT CORP. and MHANY MANAGEMENT, INC. to establish procedures to ensure FHA compliance at its future development projects, including to retain an FHA compliance consultant to assess the design documents and conduct site visits to identify non-compliant conditions.  In addition, CHESTNUT COMMONS HOUSING DEVELOPMENT CORP. and MHANY MANAGEMENT, INC agreed to institute policies and training to ensure that its employees and agents will comply with the FHA’s accessibility requirements.  LETTIRE agreed to these terms in a previously approved settlement.

Aggrieved persons may be entitled to monetary compensation from the fund created through today’s settlement.  Aggrieved individuals may include those who:

• Were discouraged from living at Chestnut Commons because of the lack of accessible features;
• Have been hurt in any way by the lack of accessible features at Chestnut Commons;
• Paid to have an apartment at one of Chestnut Commons made more accessible to persons with disabilities; or
• Otherwise were discriminated against on the basis of disability at Chestnut Commons as a result of inaccessible design and construction.

The Office has reached over two dozen agreements in recent years with developers and architects to remedy inaccessible housing in this District, including suits against The Durst Organization, Glenwood Management, Silverstein Properties, Related Companies, Atlantic Development, and Toll Brothers.

Any individual who may be entitled to compensation can file a claim by using the Civil Rights Complaint Form available on the United States Attorney’s Office’s website http://www.justice.gov/usao/nys/civilrights.html, or by sending a written claim to:

U.S. Attorney’s Office, Southern District of New York     

86 Chambers Street, 3rd Floor                     

New York, New York 10007     

Attention: Chief, Civil Rights Unit

The case is being handled by the Office’s Civil Rights Unit in the Civil Division.  Assistant U.S. Attorney Danielle J. Marryshow is in charge of the case.

Attorney for the United States, Acting under Authority Conferred by 28 U.S.C. § 515, Sean S. Buckley, announced that ALI RASHAN, a medical doctor and the CEO and founder of ClearMD LLC, a provider of COVID-19 testing services in New York City, pled guilty to fraudulently billing insurance companies for COVID-19 testing services and submitting fraudulent medical records in furtherance of his scheme, causing at least $24 million in losses.  RASHAN pled guilty today before U.S. District Judge Paul A. Engelmayer.

“Ali Rashan exploited a public health crisis to bill tens of millions in fraudulent claims purportedly filed on behalf of New Yorkers—costs ultimately borne by New York residents and the public more generally,” said Deputy U.S. Attorney Sean S. Buckley.  “That kind of conduct will be pursued, investigated, and prosecuted.”

According to statements made in court and publicly filed documents in this case:

RASHAN, an anesthesiologist, founded and ran ClearMD LLC (“ClearMD”), which operated medical clinics that offered testing for COVID-19 during the global coronavirus pandemic.  From at least 2021 through 2023, RASHAN, through his ownership and operation of ClearMD, engaged in a widespread scheme to defraud healthcare benefit programs, including Medicare, Medicaid, the Health Resources and Services Administration’s Uninsured Program, and private insurance providers (collectively, the “Insurance Providers”), which ultimately caused losses to the Insurance Providers of over $24 million.

RASHAN opened ClearMD’s first medical clinic in early 2021 and went on to open several others throughout New York City during the pandemic.  ClearMD clinics operated primarily as COVID-19 testing facilities.  Individuals came to ClearMD for a variety of reasons, including for diagnosis after suspected COVID-19 exposure, or to obtain clearance to engage in certain activities, like returning to work or air travel.  ClearMD clinics conducted—and billed for—tens of thousands of COVID-19 tests during the pandemic.

Although the defendant served as ClearMD’s “laboratory director,” he rarely interacted with patients.  ClearMD clinics were typically staffed not with licensed doctors or nurses, but with “medical assistants,” many of whom were college-aged and had no formal training in healthcare prior to working at ClearMD.  Medical assistants swabbed patients and typically put their sample into a machine, which processed the test.  Test results were then emailed to patients.  Medical assistants generally took patient vitals, but there were typically no licensed doctors on site to conduct physical exams of patients, take pertinent medical history, or answer any questions a patient might have.

Even so, ClearMD often advertised itself as a full-service testing clinic.  Many patients who booked an appointment received an email confirmation from ClearMD, which stated that the appointment would include not only a “COVID-19 Diagnostic Test” but also a “Focused patient exam” and a “Follow up telehealth visit to discuss your results.”  In practice, however, patients did not receive the level of care that was claimed in ClearMD’s email confirmations.  Instead, patients typically (1) were not given a “Focused patient exam,” or any physical exam, at the time of testing; (2) were never seen by a qualified healthcare professional and instead interacted only with a medical assistant who performed a swab for a single COVID-19 test; and (3) had no such “telehealth” visit following receipt of their test results, which were instead emailed to them, with no medical guidance.

In addition to advertising services that it ultimately did not provide to patients, during certain periods, ClearMD also routinely billed Insurance Providers for multiple services it did not provide.  For example, RASHAN directed ClearMD to submit or cause the submission of thousands of claims that billed for evaluation and management (“E/M”) services that were never performed and for two to four COVID-19 testing codes, even though ClearMD had administered only a single COVID-19 test to patients.  Insurance Providers were frequently billed as much as $5,000 for a single COVID-19 test administered by ClearMD.

By in or around early 2022, Insurance Providers requested that ClearMD provide documentation, such as progress notes of patient encounters and test results, to support its claims for reimbursement.  At the time, at least one Insurance Provider also requested a refund of millions of dollars that the Insurance Provider believed to have been fraudulently paid to ClearMD.  In response to such requests, the defendant instructed ClearMD staff to write a software program to generate fake medical records to support ClearMD’s fraudulent billings.  Specifically, the defendant instructed ClearMD staff to write software that would fabricate (1) patient progress notes that it could use to justify billing for E/M codes; and (2) test results for patient visits that it could use to justify ClearMD’s billing for COVID-19 testing codes.  Thereafter, ClearMD staff wrote software that created fabricated records.  The fake patient progress notes typically included both information that was collected at the time of patient visits to ClearMD (e.g., vitals such as heart rate, temperature, and blood oxygen saturation) and information that was never collected (e.g., information for physical examinations that never occurred).  Similar to the fabricated progress notes, the fake test result records contained information that was fabricated by ClearMD.  For example, where the full results of a patient’s panel test for COVID-19, RSV, and influenza were not available, the software was written to indicate that the results of the RSV and influenza components of the test were negative.

*                *                *

RASHAN, 42, of New York, New York, pled guilty to one count of conspiracy to commit health care fraud and one count of false statements relating to health care matters, each of which carries a maximum sentence of five years in prison.

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.  RASHAN will be sentenced by Judge Engelmayer on September 22, 2026.

Mr. Buckley praised the outstanding investigative work of the Federal Bureau of Investigation.  Mr. Buckley also thanked the Office of Personnel Management’s Office of Inspector General and the U.S. Department of Labor, Employee Benefits Security Administration for their assistance in this investigation.

This case is being handled by the Office’s Complex Frauds and Cybercrime Unit.  Assistant U.S. Attorneys Timothy V. Capozzi, Jackie Delligatti, and Qais Ghafary are in charge of the prosecution. 

On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division. The core mission of the Fraud Division is to zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars.  Department of Justice efforts to combat fraud support President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.

United States Attorney for the Southern District of New York, Jay Clayton, announced the filing of a Complaint charging ALBER RODRIGEZ with sexual exploitation of a minor.  RODRIGUEZ was arrested yesterday, presented before U.S. Magistrate Judge Judith C. McCarthy in White Plains federal court, and detained.

“As alleged, Alber Rodriguez sexually abused a 12-year-old child and recorded that abuse—conduct that is as cruel as it is criminal,” said U.S. Attorney Jay Clayton.  “This Office has zero tolerance for those who prey on children.  Protecting New Yorkers, especially our youngest and most vulnerable, is our priority.  If you exploit a child in this District, we will find you, we will charge you, and we will prosecute you to the fullest extent of the law.  We will not stop until those who endanger our children are taken off our streets and held fully accountable.”

As alleged in the Complaint:[1]

On or about April 11, 2026, an individual (“Witness-1”) reported to the Ramapo Police Department that Witness-1 had observed sexually explicit images of a minor (“Victim-1”) on a cellphone belonging to RODRIGUEZ.

The images discovered by Witness-1 appeared in the photo gallery of RODRIGUEZ’s cellphone.  The images appeared consecutively (one after another) in the photo gallery and were taken at a location in Rockland County, New York, on or about September 10, 2024, and September 13, 2024, when Victim-1 was 12 years old.

Victim-1, who is now 13 years old, disclosed that RODRIGUEZ sexually abused Victim-1 on numerous occasions over the past two years, and on at least one occasion when Victim-1 was in Rockland County, RODRIGUEZ took photos of Victim-1 naked.

On about April 11, 2026, RODRIGUEZ was arrested and charged in the Justice Court Village of Montebello, in Rockland County with Course of Sexual Conduct against a Child in the 1st Degree, Sexual Abuse, Possessing an Obscene Sexual Performance by a Child, and Sexual Misconduct, among other charges.

There may be other victims.  If you have information to report, please contact the FBI at 1-800-CALL-FBI (1-800-225-5324) or https://tips.fbi.gov.

*                *                *

RODRIGUEZ, 48, of Montebello, New York, is charged with one count of sexual exploitation of a child, which carries a mandatory minimum sentence of 15 years in prison and a maximum sentence of 30 years in prison. 

The statutory minimum and maximum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. 

Mr. Clayton praised the efforts of the Federal Bureau of Investigation, the Ramapo Police Department, the Rockland County Sheriff’s Office, and the Rockland County District Attorney’s Office in connection with this investigation.           

The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Samantha Briggs and Marcia S. Cohen are in charge of the prosecution.   

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced today that KAMERIN STOKES, a/k/a “TheMFNPlug,” was sentenced to 30 months in prison for his role in a scheme to hack user accounts on a fantasy sports and betting website (the “Betting Website”) and sell access to those accounts, resulting in losses of hundreds of thousands of dollars to the users.  STOKES was sentenced today before U.S. District Judge Naomi Reice Buchwald.  On April 25, 2024, STOKES pled guilty to one count of conspiring to commit computer intrusion.

“Kamerin Stokes victimized thousands of users of an online betting website though a cyberattack,” said U.S. Attorney Jay Clayton.  “After pleading guilty to federal crimes, Stokes audaciously reopened his criminal business, marketed using the tagline ‘fraud is fun,’ and said that he opened the new Shop in part because ‘gotta pay my attorneys,’ referring to his prosecution in this case.  Fraud is not fun; fraud on the street or fraud online will not be tolerated.  Today’s federal prison sentence is a direct message to any others who think online fraud is different.”

According to the charging documents and other filings and statements made in court:

On or about November 18, 2022, several individuals launched a “credential stuffing attack” on the Betting Website.  During a credential stuffing attack, a cyber threat actor collects stolen credentials, or username and password pairs, obtained from other large-scale data breaches of other companies, which can be purchased on the dark web.   The threat actor then systematically attempts to use those stolen credentials to obtain unauthorized access to accounts held by the same user with other companies and providers, in order to compromise accounts where the user has maintained the same password.   Here, in connection with the attack on the Betting Website, there was a series of attempts to log into the Betting Website accounts using a large list of stolen credentials.

Those individuals successfully accessed approximately 60,000 accounts at the Betting Website (the “Victim Accounts”) through the credential stuffing attack.  In some instances, the individuals who unlawfully accessed the Victim Accounts were able to add a new payment method on the account, deposit $5 into that account through the new payment method to verify that method, and then withdraw all the existing funds in the Victim Account through the new payment method (i.e., to a newly added financial account belonging to the hacker), thus stealing the funds in the Victim Account.

Access to the Victim Accounts was sold on various websites that traffic in stolen accounts, which are frequently referred to as “Shops.”  STOKES controlled his own Shop, used the alias “TheMFNPlug,” and purchased Victim Accounts in bulk.  STOKES obtained Victim Accounts from the Betting Website with a total listed account value of over $125,000 and then offered access to those accounts for sale on his Shop.

After pleading guilty, STOKES reopened his Shop website, offering for sale access to stolen accounts of various retailers.  STOKES advertised his reopened Shop using the tagline “fraud is fun,” and said that he had been running these types of shops for three years.  He further said that he opened the new Shop in part because “gotta pay my attorneys,” referring to his prosecution in this case.  After reopening his Shop website, STOKES was rearrested for violating the conditions of his pretrial release and remanded into federal custody.

*               *                *

In addition to the prison term, STOKES, 23, of Memphis, Tennessee, was sentenced to three years of supervised release and ordered to pay $125,965.53 in forfeiture and $1,327,061 in restitution.

Mr. Clayton praised the outstanding work of the Federal Bureau of Investigation. 

The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Kevin Mead and Micah Fergenson are in charge of the prosecution.

United States Attorney for the Southern District of New York, Jay Clayton, Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., and Special Agent in Charge of the Newark Field Office of Internal Revenue Service Criminal Investigation (“IRS-CI”), Jennifer L. Piovesan, announced today the unsealing of an Indictment charging STEFAN PILDES with wire fraud.  PILDES was arrested today in Manhattan and will be presented before U.S. Magistrate Judge Katharine H. Parker.  The case has been assigned to U.S. District Judge Colleen McMahon.

“As alleged, Stefan Pildes promoted SantaCon as an event grounded in charitable giving, but instead of donating the millions of dollars he raised, he ran his own con game,” said U.S. Attorney Jay Clayton.  “He took advantage of New Yorkers’ generous holiday spirit to finance his lifestyle through personal expenses, big and small. No matter how you dress it up, fraud is fraud.  We are committed to protecting New Yorkers from those who exploit their enthusiasm and generosity.”

“Stefan Pildes, the president of SantaCon, allegedly pocketed over half of the proceeds generated by his nonprofit to make personal purchases,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “Pildes allegedly stole Christmas from tens of thousands of victims and deprived local charities of more than one million dollars.  The FBI continues to root out scrooges that greedily exploit the goodwill of New Yorkers.”

“When individuals exploit charitable causes for personal gain, they undermine the trust our communities place in organizations meant to serve the public good,” said IRS-CI Special Agent in Charge Jennifer L. Piovesan.  “IRS-CI remains committed to working with our law enforcement partners to uncover deceptive financial schemes and ensure those who abuse their positions for personal enrichment are held accountable.”

According to the allegations contained in the Indictment:[1]

From at least November 2019 through April 2026, PILDES defrauded tens of thousands of individuals and small business owners who participated in a popular, Christmas-themed event organized and promoted by PILDES, referred to as “SantaCon.”  SantaCon is a ticketed bar crawl that takes place annually in December in New York City, during which over approximately 25,000 attendees dress as Santa Claus and other holiday characters and travel to participating bars and restaurants throughout the day.  At all relevant times, PILDES served as the president of and controlled the nonprofit entity that organizes SantaCon called Participatory Safety, Inc. (“PSI”). 

SantaCon primarily generates proceeds through (i) sales of tickets to bar crawl attendees (“Attendees”) and (ii) sales commissions from bars and restaurants that serve as host venues along the bar crawl route (“Venues”).  PILDES, through PSI and its representatives, represented to Attendees and Venues that SantaCon was an event to benefit charity.

PILDES maintained a website for SantaCon (the “SantaCon Website”) that was used to promote and communicate information about SantaCon.  The SantaCon Website advertised that Attendees who purchased a ticket to SantaCon would receive access to the Venues and that proceeds from ticket sales would be distributed to various charities.  For example, in or about December 2024, PILDES promoted on the SantaCon Website that ticket money went “directly to Santa’s charity drive,” and that “[y]our money will be split between the various charities listed on this page as well as local neighborhood charities along Santa’s route.”  Additionally, the SantaCon Website described SantaCon as a “charitable, non-political, nonsensical Santa Claus convention.”  PILDES also solicited bars and restaurants to participate in SantaCon through representations regarding the event’s charitable mission.  Venues that were signed up as official stops on the SantaCon route agreed to give PSI a designated percentage of their food and beverage sales during the event.  This contribution was characterized as a “charitable commission” or “donation” and was typically between 10% and 25% of sales. In exchange, PILDES, through PSI and its representatives, agreed to distribute the charitable commission to various charities.

In reality, PILDES defrauded the Attendees and Venues.  SantaCon events from 2019 to 2024 generated approximately $2.7 million in proceeds, including over $2 million in ticket sales and over $675,000 in charitable commissions from Venues.  PILDES donated only a small fraction of the millions of dollars he raised for charity. Instead, PILDES siphoned off more than half of the charitable proceeds to an entity that PILDES controlled, Creative Opportunities Group, Inc. (“COG”), that had no public connection to SantaCon, where he used these funds freely to finance various personal ventures. PILDES also abused his control over PSI’s bank accounts to spend hundreds of thousands of dollars of the remaining proceeds for his own personal use.  Among other things, PILDES spent SantaCon proceeds on extensive renovations to a lakefront property in New Jersey, concert tickets, luxury vacations, extravagant meals, and a luxury vehicle.  PILDES did so despite claiming that he did not receive any compensation from SantaCon or PSI.  PILDES told one representative of a potential Venue that “[n]o producer receives income from this event, this is a charity event.”

If you have been victimized by STEFAN PILDES, as either an attendee or a venue that participated in SantaCon, please fill out the short form found here: https://www.fbi.gov/SantaConVictims.

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PILDES, 50, of Hewitt, New Jersey, is charged with one count of wire fraud, which carries a maximum sentence of 20 years in prison.

The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton thanked the FBI and IRS-CI.  He also expressed appreciation for the assistance of the U.S. Attorney’s Office for the District of New Jersey.

This case is being supervised by the Office’s General Crimes Unit.  Assistant U.S. Attorney Varun A. Gumaste and Special Assistant U.S. Attorney Andrew N. Stahl are in charge of the prosecution.

The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.  

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth below constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, Special Agent in Charge of the New York Task Enforcement Division of the Drug Enforcement Administration (“DEA”), Farhana Islam, and Acting Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), Michael Alfonso, announced the arrests of KAREEM ANTOINE TURNER and ALEXANDER DARAVINA on narcotics and firearms charges for operating a fentanyl manufacturing facility in a Brooklyn residential apartment building.  TURNER and DARAVINA were arrested on April 13, 2026 and presented today before U.S. Magistrate Judge Katharine H. Parker, where they were ordered detained.

“As alleged, Kareem Turner and Alexander Daravina ran an industrial-scale pill mill in a Brooklyn apartment, pumping deadly fentanyl pills onto the streets of New York in mass quantities,” said U.S. Attorney Jay Clayton.  “Fentanyl is poison.  It kills New Yorkers every day.  If you are dealing in fentanyl, you are dealing in death.  Together with our law enforcement partners, we will use all resources available to give New Yorkers what they want and what they deserve: the destruction of these deadly factories and their operators in federal prison.”

“These individuals allegedly transformed an apartment into a fentanyl processing plant: mixing, pressing, and packaging fentanyl alongside other deadly narcotics with absolutely no regard for the health and safety of their neighbors,” said DEA New York Enforcement Division Special Agent in Charge Farhana Islam.  “This was not just alleged drug trafficking; it was a potential death sentence to others living in the building.  The magnitude of this alleged operation, which resulted in the seizure of two pill press machines, one capable of producing thousands of deadly pills per hour, as well as two kilo press machines, underscores the scale and lethality of the threat we face every day.  Restoring safety to our neighborhoods is critical, but above all, saving lives remains our top priority.”

“For years, HSI New York special agents and investigators have confronted the devastating impacts of fentanyl and other illicit narcotics, which fracture families, corrode neighborhoods, and turn ordinary apartments into covert pill mills that imperil entire communities,” said HSI Special Agent in Charge Michael Alfonso.  “These arrests are a stark reminder that these crimes are not just numbers on a page, but direct threats to the public's safety and well-being.  Through the disciplined collaboration of HSI New York, DEA New York, the U.S. Attorney’s Office for the Southern District of New York, and our Homeland Security Task Force partners, we are committed to safeguarding our city and dismantling the criminal enterprises that profit from poison in our neighborhoods.”

According to the allegations contained in the Complaint:[1]

TURNER and DARAVINA converted a residential apartment in Brooklyn into a “Pill Mill” where they manufactured, stored, and sold kilograms of drugs, including fentanyl.   The Pill Mill contained an industrial-scale pill-press machine capable of manufacturing approximately 4,800 tablets per hour, a hand-cranked pill-press machine, two kilogram presses, and other industrial-grade equipment.

Electronic evidence gathered during the investigation revealed multiple pictures of the Pill Mill; messages in which TURNER and DARAVINA discussed the assembly of the pill-press machine; documents, including a troubleshooting guide and handwritten notes, relating to the manufacture of fentanyl; and FaceTime screenshots in which DARAVINA is seen examining drugs and guns.  Some of these photographs are included below:

Handwritten Summary of Fentanyl Ingredients

DARAVINA Looking at Bags Containing Narcotics During a FaceTime Call

On April 13, 2026, DEA and HSI agents searched the Pill Mill pursuant to a judicially authorized search warrant and found kilograms of fentanyl and other narcotics in powder and pill form, along with kilograms of ingredients used in the manufacture of fentanyl.  They also recovered two loaded guns hidden in a speaker inside the Pill Mill.  One of the guns had an extended magazine.  In ongoing testing, multiple kilograms of suspected narcotics found in the Pill Mill have tested positive for fentanyl.  Photographs from inside the Pill Mill that law enforcement agents took while executing the search warrant are below:

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TURNER, 47, of Brooklyn, New York, and DARAVINA, 45, of the Bronx, New York, are each charged with (i) conspiring to distribute and to possess with intent to distribute 400 grams and more of fentanyl, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison, and (ii) using a firearm during and in relation to, and possessing a firearm in furtherance of, that drug trafficking crime, which carries a mandatory minimum sentence of five years in prison, which must be served consecutive to any other prison term imposed, and a maximum term of life in prison.

The minimum and maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.

Mr. Clayton praised the outstanding investigative work of the DEA and HSI.  Mr. Clayton also thanked the New York State Police for its assistance in this case.

This case is being handled by the Office’s Narcotics Unit.  Assistant U.S. Attorneys Getzel Berger and Joseph H. Rosenberg are in charge of the prosecution.

The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, Rockland County Sheriff, Louis Falco III, and Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., announced that ANTHONY MITCHELL was sentenced today to 135 months in prison by U.S. District Judge Vincent L. Briccetti for enticement and coercion of a minor spanning multiple years when the victim was 13 and 14 years old.

“Anthony Mitchell is a sexual predator,” said U.S. Attorney Jay Clayton.  “He enticed a 14-year-old victim numerous times, both in person and while incarcerated and awaiting trial on state charges for a 2022 murder.  New Yorkers know how important it is that Anthony Mitchell and those like him are off the streets.  This Office will use all our tools to deliver on that mission.  We ask that all New Yorkers be proactive and vigilant in holding predators accountable and ensuring every child can grow up free from exploitation.  Individuals with information concerning the sexual exploitation of children are urged to call 1-800-CALL-FBI (1-800-225-5324) or use the tips page: https://tips.fbi.gov.”

“The Rockland County Sheriff’s Office was proud to work alongside our federal partners, including the FBI and the United States Attorney’s Office, in this investigation,” said Rockland County Sheriff Louis Falco III.  “Through strong collaboration and a shared commitment to protecting our community, our collective efforts helped lead to the successful prosecution and sentencing of an individual who preyed on a child.  Those who exploit the most vulnerable members of our society will be identified, investigated, and held fully accountable under the law.”

“Already incarcerated, Anthony Mitchell’s depravity extended beyond the walls of his cell as he continued to seek sick satisfaction from the sexual coercion and exploitation of a young teenage girl,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “The FBI continues to stand alongside our local law enforcement partners to hold accountable sexual predators who target our communities’ children.”

According to documents filed in this case and statements made in related court proceedings: 

Between January 2021 and September 2022, MITCHELL induced a 14-year-old female minor (the “Victim”) to create sexually explicit photographs and videos of herself and send them to him. 

In or about July 2022, MITCHELL was arrested on state murder and other charges and incarcerated at the Rockland County Jail. For a period of months while incarcerated awaiting trial, the defendant continued to communicate with and demand sexually explicit material from the Victim, which the Victim created and sent to MITCHELL at his direction. 

Individuals with information concerning the sexual exploitation of children are urged to call 1-800-CALL-FBI (1-800-225-5324) or use the online tips page: https://tips.fbi.gov.

*               *                *

In addition to the prison term, MITCHELL, 26, of Haverstraw, New York, was sentenced to five years of supervised release.

Mr. Clayton praised the efforts of the Federal Bureau of Investigation, the Rockland County Sheriff’s Office, the Town of Haverstraw Police Department, the Town of Ramapo Police Department, and the Village of Spring Valley Police Department.  Mr. Clayton also thanked the Rockland County District Attorney’s Office for its assistance in this case.  

The prosecution is being handled by the Office’s White Plains Division.  Assistant U.S. Attorneys Ben Arad, Kathryn Wheelock, and Jeffrey C. Coffman are in charge of the prosecution.  

Today, the Department of Justice announced the beginning of the remission compensation process to provide recovery for victims of the international investment scheme involving OneCoin Ltd.

Between 2014 and 2019, Ruja Ignatova and Karl Sebastian Greenwood, co-founders of OneCoin Ltd. (OneCoin), and others orchestrated a large, international cryptocurrency investment scheme defrauding investors from around the globe. OneCoin, which began operations in 2014 and was based in Sofia, Bulgaria, marketed and sold a fraudulent cryptocurrency by the same name through a global multi-level-marketing (MLM) network. As a result of misrepresentations made about OneCoin, victims invested over $4 billion worldwide in the fraudulent cryptocurrency. The Department of Justice filed a number of OneCoin-related prosecutions in the Southern District of New York. Several key figures involved in the scheme have been sentenced, and the Department pursued criminal forfeiture of property derived from the proceeds of the fraud scheme. More than $40 million in forfeited assets are currently available for victim compensation.

Through the remission process, victims who purchased the fraudulent OneCoin cryptocurrency between 2014 and 2019 may be eligible for compensation. Individuals who believe they may be victims may obtain a petition form online at www.onecoinremission.com. Victims may also call, email, or write to the Remission Administrator to request that a Petition Form be sent to them. The deadline for filing a petition is June 30. The Criminal Division’s Money Laundering, Narcotics and Forfeiture Section manages the remission compensation process.

“Victims are at the core of everything we do at the Department of Justice,” said Assistant Attorney General A. Tysen Duva of the Justice Department's Criminal Division. “As we did in this complex investment fraud case, the Department pursues forfeiture to take the profit out of crime and then use that money to compensate victims wherever possible. I commend the efforts of our colleagues in the Southern District of New York, our law enforcement partners, and our Money Laundering, Narcotics and Forfeiture Section, which manages the Asset Forfeiture Program, for all of their work on behalf of the victims in this important case.”

“Between 2014 and 2019, OneCoin’s founders sold a lie disguised as cryptocurrency, costing victims more than $4 billion worldwide,” said U.S. Attorney Jay Clayton for the Southern District of New York. “Today’s announcement marks an important step toward returning funds to those harmed. While no recovery can fully undo the damage, our Office will continue working to seize criminal proceeds and prioritize getting money back into the hands of victims. If you believe you may be a victim of OneCoin, you may obtain a petition form online at www.onecoinremission.com.”

“The victim losses accrued in this case are monumental,” said Assistant Director in Charge James C. Barnacle Jr of the FBI New York Field Office. “Misled by falsified statements and empty promises, many unknowingly depleted their savings for a fraudulent investment scheme in an emerging financial ecosystem that would never pay out. With the unwavering support from the Department of Justice, the FBI maintains its commitment to returning these stolen funds to their rightful owners. Our office will continue its investigative pursuit of these criminal fraudsters — especially locating Ruja Ignatova, an FBI Top Ten Fugitive — alongside our partners at the Internal Revenue Service Criminal Investigation (IRS-CI) and the Southern District of New York. Any information concerning this fugitive can be submitted online at tips.fbi.gov or via our tipline at 1-800-CALL-FBI.”

“The victims of the OneCoin scheme were misled and financially devastated by promises that were never real,” said Special Agent in Charge Jenifer L. Piovesan of IRS-CI. “Alongside our law enforcement partners, we worked tirelessly to trace illicit funds and recover them for victims. This compensation process represents a critical step toward returning stolen assets to those who were deceived. IRS-CI remains steadfast in its mission to follow the money and dismantle complex financial fraud schemes like OneCoin.”

More information regarding the remission process, including eligibility criteria, updates, and frequently asked questions are available at www.onecoinremission.com or by calling 1-833-421-9748. Kroll Settlement Administration LLC is serving as the remission administrator in this matter.

The FBI and IRS-CI conducted the criminal fraud investigation. The Justice Department’s Office of International Affairs (OIA) provided significant assistance.

The Department of Justice, through the Asset Forfeiture Program, works diligently to compensate victims of crime. Since 2000, the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section (MNF), which oversees the Asset Forfeiture Program’s victim compensation program, has returned more than $12.5 billion in forfeited assets to victims of crime. MNF Attorney Advisor Drew Halter with the section’s Program Management and Training Unit is leading the remission process.

Neither the Remission Administrator nor the Department of Justice will ask for any payment to participate in this remission process. Please be cautious of any individual or organization claiming to represent the Remission Administrator or the federal government in this matter. If you are a victim, any communications will come directly from the Remission Administrator or from government representatives with whom you have already had contact.

PSA: FBI Warns of the Impersonation of Law Enforcement and Government Officials https://www.ic3.gov/PSA/2025/PSA250418

PSA: Fictitious Law Firms Targeting Cryptocurrency Scam Victims Combine Multiple Exploitation Tactics While Offering to Recover Funds https://www.ic3.gov/PSA/2025/PSA250813

How To Avoid a Government Impersonation Scam https://consumer.ftc.gov/articles/how-avoid-government-impersonation-scam 

Today the Justice Department announced that the U.S. District Court for the Southern District of New York revoked the naturalized U.S. citizenship of Michael Pizzuti, a native of Italy, after finding that he had illegally procured his citizenship. The court determined that Pizzuti had committed crimes involving moral turpitude and unlawful acts and had given false testimony about those crimes during his naturalization proceedings, all of which prevented him from establishing the good moral character necessary to naturalize. The court additionally found that Pizzuti obtained his naturalization through fraudulent concealment and willful misrepresentations of material fact relating to his crimes.

From July 1998 through August 2000, Pizzuti dealt in counterfeit money, trafficked contraband cigarettes, and conspired to steal a truck and commit mail fraud. He was arrested and indicted for those crimes on December 5, 2001, pleaded guilty, and was sentenced to 15 months’ imprisonment. Then, between May 2001 and September 30, 2001, Pizzuti violently extorted his financial advisor after discovering that the advisor was running a Ponzi scheme with Pizzuti’s money. Pizzuti broke into his house, held him at gunpoint, ordered him to maintain the Ponzi scheme until he had enough money to pay back Pizzuti’s investment, and then destroyed computer records to hide his crimes. For that violent extortion and obstruction of justice, Pizzuti was convicted in 2005 (after he naturalized) and sentenced to 17½ years in prison.

“Violent criminals like this have no place in our society, and when they lie about those crimes to obtain U.S. citizenship, this Administration will stop at nothing to correct that travesty,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division.

But on May 2, 2002 — less than five months after his first indictment and arrest — Pizzuti appeared at his naturalization interview and falsely testified, under oath, that he had never been arrested and had never committed a crime for which he had not been arrested. Based on that false testimony, Pizzuti naturalized unlawfully on July 24, 2002.

Pizzuti’s naturalization revocation case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the ICE Office of the Principle Legal Advisor. The cases were civilly prosecuted jointly by the Civil Division’s Office of Immigration Litigation, Affirmative Litigation Unit and the U.S. Attorney’s Office for the Southern District of New York. Pizzuti’s underlying criminal cases were prosecuted by the U.S. Attorney’s Office for the Southern District of New York. 

United States Attorney for the Southern District of New York, Jay Clayton, and Acting Commissioner of the New York City Department of Investigation (“DOI”), Christopher Ryan, announced that Leah Mathieu, a correction officer with the New York City Department of Correction (“DOC”) and a Sailor in the United States Navy Reserve and New York Naval Militia, pled guilty to defrauding the DOC by falsely claiming tens of thousands of dollars in military leave pay.  MATHIEU pled guilty today before U.S. District Judge Naomi Reice Buchwald.

“As admitted, Leah Mathieu used forged documents to collect tens of thousands of dollars in military leave pay she had not earned,” said U.S. Attorney Jay Clayton.  “That money came from New Yorkers’ pockets.  New Yorkers expect those who serve them to follow the rules on all pay—regular wages, overtime, leave pay, etc.—and when there is cheating, New Yorkers want justice.”

“Falsifying military leave to obtain City pay is a crime and undermines the service members who rightfully earn those benefits,” said DOI Acting Commissioner Christopher Ryan.  “As charged, this Correction Officer betrayed the trust granted in her by the City and the New York State Naval Militia.  I thank the U.S. Attorney’s Office for the Southern District of New York for their continued partnership and commitment to protect City funds.”

According to the allegations in the Information:

MATHIEU is a correction officer employed by the DOC and a member of the United States Navy Reserve.  MATHIEU repeatedly made false representations and provided forged documentation, including purported military orders, to the DOC falsely claiming that she was on state active duty with the New York Naval Militia and therefore entitled to leave from her employment with the DOC.  Based on MATHIEU’s false representations and forged documentation, MATHIEU fraudulently obtained military leave pay from the DOC from December 2022 through March 2024, totaling approximately $80,297.90.

*               *                *

MATHIEU, 34, of Freeport, New York, pled guilty to one count of wire fraud, which carries a maximum sentence of 20 years in prison.

The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.  MATHIEU will be sentenced by Judge Buchwald on August 27, 2026.

Mr. Clayton praised the outstanding investigative work of DOI, the Naval Criminal Investigative Service, the Defense Finance and Accounting Service, the New York State Department of Military and Naval Affairs, the U.S. Customs and Border Protection – New York Field Office, and the Special Agents and Task Force Officers of the U.S. Attorney’s Office for the Southern District of New York.

The case is being handled by the Office’s Public Corruption Unit.  Assistant U.S. Attorney Rebecca T. Dell is in charge of the prosecution.

United States Attorney for the Southern District of New York, Jay Clayton, announced the conviction at trial today of BRIAN HERNANDEZ, a/k/a “Malaki,” for his role in an assault carried out at the Metropolitan Detention Center (“MDC”) in Brooklyn, New York on December 3, 2023.  The conviction comes after a four-day jury trial before U.S. District Judge Lewis J. Liman.  HERNANDEZ is scheduled to be sentenced on July 28, 2026. 

“With today’s verdict, the jury has found that the defendant, a member of the Trinitarios, committed this brutal attack in which another inmate was horribly stabbed and slashed across the face,” said U.S. Attorney Jay Clayton.  “They also found that this heinous and senseless crime was committed for the purpose of retaliating against his victim because the defendant believed he was cooperating with the government.  We commend the jury for its careful consideration of the evidence, and this verdict repeats loud and clear for all to hear that New Yorkers will not tolerate the harassment and intimidation of any witness, let alone the kind of violence a notorious and violent street gang committed here.  Regardless of who you are or who you may be affiliated with, if you retaliate against a witness, the women and men of this Office and our partners in law enforcement will bring you to justice.”

As alleged in the Indictment and statements made in public filings and public court proceedings:

On December 3, 2023, HERNANDEZ and other members of the Trinitarios, while incarcerated at MDC, coordinated and carried out an attack on another inmate believed by the attackers to be providing information to the Government.   During the attack, the victim was slashed and stabbed multiple times, including by HERNANDEZ who slashed the victim above the eye, leaving a deep gash and causing substantial bleeding.

*               *               *

HERNANDEZ, 26, of New York, New York, was convicted of three total counts and faces up to 50 years in prison.

The maximum potential sentences are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. 

Mr. Clayton praised the outstanding work of the Federal Bureau of Investigation and the United States Bureau of Prisons. 

This case is being handled by the Office’s Violent Organizations and Crime Unit.  Assistant U.S. Attorneys Frank J. Balsamello, Lisa Daniels, and William K. Stone are in charge of the prosecution.  The team was assisted by paralegal specialist Ananya Sankar.

The Justice Department announced today that Muhammad Shahzeb Khan, also known as “Shahzeb Jadoon,” pleaded guilty to attempting to commit acts of terrorism transcending national boundaries, for attempting to enter the United States and carry out a mass shooting with automatic weapons at a prominent Jewish center in Brooklyn, New York. Khan pleaded guilty today before U.S. District Judge Paul G. Gardephe and is scheduled to be sentenced on Aug. 12, 2026.

“Khan planned a mass shooting at a Jewish center in New York City, timed to coincide with the anniversary of the October 7th Hamas attacks, with the explicit goal of killing as many Jews as possible,” said Assistant Attorney General for National Security John A. Eisenberg. “Khan declared that New York City was the ‘perfect’ venue for his attack because of its large Jewish population and boasted that his plot could be the largest attack on U.S. soil since 9/11. The National Security Division will work tirelessly to ensure that terrorists like Khan face the full weight of American law.”

“Muhammad Khan planned to carry out a horrendous attack on a venerated Jewish center in New York City in support of ISIS,” said U.S. Attorney Jay Clayton for the Southern District of New York. “Thanks to the work of our law enforcement partners at the New York Joint Terrorism Task Force of the FBI, Khan’s plan was disrupted before he reached the United States. Today’s guilty plea makes unequivocally clear: terrorism and other hate-based violence have zero place in New York City. We will continue to ensure the safety of religious groups who have the fundamental right to gather peaceably and without fear of harm. That’s what New Yorkers want and that’s the American way.”

“Khan planned to illegally enter the United States and conduct an ISIS-inspired attack on the Jewish community around the one-year anniversary of the attacks in Israel by Hamas,” said Acting Assistant Director Coult Markovsky of the FBI’s Counterterrorism Division. “With this guilty plea, he will now face the consequences of planning a mass shooting in New York City that might have killed or injured many people. I want to thank the FBI teams and our partners for their work to prevent an attack and to bring this individual to justice.”

“Muhammad Khan targeted a prominent Jewish religious center in Brooklyn to honor the October 7th anniversary by attempting to conduct what he hoped would be the largest terrorist attack on US soil since 9/11,” said Assistant Director in Charge James C. Barnacle Jr. of the FBI New York Field Office. “Khan planned to inflict significant casualties and fear before he was intercepted 12 miles from our northern border. May today’s plea emphasize the FBI’s unwavering commitment to stand alongside our local law enforcement partners to defend our city from terrorists seeking to harm any of our citizens.”

“Muhammad Shahzeb Khan intended to come to New York City and carry out an ISIS-inspired act of terror against our city’s Jewish community,” said NYPD Commissioner Jessica S. Tisch. “The NYPD, in close coordination with our federal partners, was able to stop this dangerous plot before it could become a devastating attack. This case is yet another example of the sophisticated work that the NYPD does to protect our communities from harm and our ongoing commitment to stop hate-fueled violence.”

As alleged in the charging instruments and other public filings:

In or about November 2023, Khan, a Pakistani national residing in Canada, began posting on social media and communicating with others about his support for ISIS, including by distributing ISIS propaganda videos and literature. Khan subsequently began planning terrorist attacks in the United States in support of ISIS, including by communicating his plans with two individuals who, unbeknownst to Khan, were undercover officers (the UCs). Khan told the UCs that he and a U.S.-based associate (Associate-1) had been planning to carry out a terrorist attack in a particular U.S. city (City-1) using AR-style assault rifles to “target[] Israeli Jewish chabads . . . scattered all around [City-1].”[1] Khan repeatedly instructed the UCs to obtain AR-style assault rifles, ammunition, and other materials to carry out the attacks, and identified locations in City-1 where the attacks would take place. Khan also told the UCs that he had identified a human smuggler who would help him cross the border from Canada into the United States for the attack.

In or about August 2024, Khan changed his target to New York City, telling the UCs that the target location would now be a prominent Jewish religious center in Brooklyn, New York (Location-1). Khan conveyed that he hoped to carry out this attack on or around October 7, 2024 — which Khan recognized as the one-year anniversary of the brutal and deadly terrorist attacks in Israel carried out by the foreign terrorist organization Hamas on October 7, 2023. Khan told the UCs that “New york is perfect to target jews” because it has the “largest Jewish population in america,” and, as such, “even if we dont attack a[n] Event[,] we could rack up easily a lot of jews.” Khan told the UCs that “we are going to nyc to slaughter them,” and later sent a photograph to the UCs of the specific enclosed area inside of Location-1 where Khan planned to carry out his attack. In the days that followed, Khan continued to urge the UCs to acquire AR-style rifles, hunting knives to “slit their throats,” and other equipment for the attack, and reiterated his desire to carry out this attack in support of ISIS. During one such communication, Khan noted that “if we succeed with our plan this would be the largest Attack on US soil since 9/11.”

On or about Sept. 4, 2024, Khan attempted to reach the U.S.-Canada border using a human smuggler. Khan traveled from the vicinity of Toronto, Canada, toward the United States, before he was stopped and arrested in or around Ormstown, Canada, approximately 12 miles from the U.S.-Canada border.

Khan, 21, a Pakistani citizen who was residing in Canada, pleaded guilty to one count of attempting to commit acts of terrorism transcending national boundaries, which carries a maximum penalty of life in prison.

The potential maximum penalty in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.

Mr. Clayton praised the outstanding efforts of the New York Joint Terrorism Task Force of the FBI, which consists of investigators and analysts from the FBI, the New York City Police Department, and over 50 other federal, state, and local agencies, and thanked the FBI’s Los Angeles and Chicago Field Offices, the New York State Police, the U.S. Customs and Border Protection, and the Counterterrorism Section of the Department of Justice’s National Security Division for their assistance. The Office of International Affairs of the Justice Department’s Criminal Division worked with authorities in Canada to secure the arrest and June 2025 extradition of Khan. Mr. Clayton also thanked our law enforcement partners in Canada, including the Royal Canadian Mounted Police and Department of Justice Canada’s International Assistance Group, for their assistance.

This case is being handled by the Office’s National Security and International Narcotics Unit. Assistant U.S. Attorneys Kaylan E. Lasky and David J. Robles for the Southern District of New York are in charge of the prosecution, with assistance from Trial Attorney Kevin Nunnally of the National Security Division’s Counterterrorism Section.

[1] “Chabad” is a branch of Hasidic Judaism, as well as a movement that operates Jewish religious and educational institutions around the world.

United States Attorney for the Southern District of New York, Jay Clayton, Assistant Attorney General for National Security, John A. Eisenberg, Acting Assistant Director of the Counterterrorism Division of the Federal Bureau of Investigation (“FBI”), Coult Markovsky, Assistant Director in Charge of the New York Field Office of the FBI, James C. Barnacle, Jr., and Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch, announced today that Muhammad Shahzeb Khan, a/k/a “Shahzeb Jadoon,” pled guilty to attempting to commit acts of terrorism transcending national boundaries, for attempting to enter the United States and carry out a mass shooting with automatic weapons at a prominent Jewish center in Brooklyn, New York.  KHAN pled guilty today before U.S. District Judge Paul G. Gardephe and is scheduled to be sentenced on August 12, 2026. 

“Muhammad Khan planned to carry out a horrendous attack on a venerated Jewish center in New York City in support of ISIS,” said U.S. Attorney Jay Clayton.  “Thanks to the work of our law enforcement partners at the New York Joint Terrorism Task Force of the FBI, Khan’s plan was disrupted before he reached the United States.  Today’s guilty plea makes unequivocally clear: terrorism and other hate-based violence have zero place in New York City.  We will continue to ensure the safety of religious groups who have the fundamental right to gather peaceably and without fear of harm.  That’s what New Yorkers want and that’s the American way.”

“Khan planned a mass shooting at a Jewish center in New York City, timed to coincide with the anniversary of the October 7th Hamas attacks, with the explicit goal of killing as many Jews as possible,” said Assistant Attorney General for National Security John A. Eisenberg.  “Khan declared that New York City was the ‘perfect’ venue for his attack because of its large Jewish population and boasted that his plot could be the largest attack on U.S. soil since 9/11.  The National Security Division will work tirelessly to ensure that terrorists like Khan face the full weight of American law.” 

“Khan planned to illegally enter the United States and conduct an ISIS-inspired attack on the Jewish community around the one-year anniversary of the attacks in Israel by Hamas,” said Acting Assistant Director Coult Markovsky of the FBI’s Counterterrorism Division.  “With this guilty plea, he will now face the consequences of planning a mass shooting in New York City that might have killed or injured many people.  I want to thank the FBI teams and our partners for their work to prevent an attack and to bring this individual to justice.”

“Muhammad Khan targeted a prominent Jewish religious center in Brooklyn to honor the October 7th anniversary by attempting to conduct what he hoped would be the largest terrorist attack on U.S. soil since 9/11,” said FBI New York Assistant Director in Charge James C. Barnacle, Jr.  “Khan planned to inflict significant casualties and fear before he was intercepted 12 miles from our northern border.  May today’s plea emphasize the FBI’s unwavering commitment to stand alongside our local law enforcement partners to defend our city from terrorists seeking to harm any of our citizens.”

“Muhammad Shahzeb Khan intended to come to New York City and carry out an ISIS-inspired act of terror against our city’s Jewish community,” said NYPD Commissioner Jessica S. Tisch.  “The NYPD, in close coordination with our federal partners, was able to stop this dangerous plot before it could become a devastating attack.  This case is yet another example of the sophisticated work that the NYPD does to protect our communities from harm and our ongoing commitment to stop hate-fueled violence.”

As alleged in the charging instruments and other public filings:

In or about November 2023, KHAN, a Pakistani national residing in Canada, began posting on social media and communicating with others about his support for ISIS, including by distributing ISIS propaganda videos and literature.  KHAN subsequently began planning terrorist attacks in the United States in support of ISIS, including by communicating his plans with two individuals who, unbeknownst to KHAN, were undercover officers (the “UCs”).  KHAN told the UCs that he and a U.S.-based associate (“Associate-1”) had been planning to carry out a terrorist attack in a particular U.S. city (“City-1”) using AR-style assault rifles to “target[] Israeli Jewish chabads . . . scattered all around [City-1].”[1]  KHAN repeatedly instructed the UCs to obtain AR-style assault rifles, ammunition, and other materials to carry out the attacks, and identified locations in City-1 where the attacks would take place.  KHAN also told the UCs that he had identified a human smuggler who would help him cross the border from Canada into the United States for the attack.

In or about August 2024, KHAN changed his target to New York City, telling the UCs that the target location would now be a prominent Jewish religious center in Brooklyn, New York (“Location-1”).  KHAN conveyed that he hoped to carry out this attack on or around October 7, 2024—which KHAN recognized as the one-year anniversary of the brutal and deadly terrorist attacks in Israel carried out by the foreign terrorist organization Hamas on October 7, 2023.  KHAN told the UCs that “New york is perfect to target jews” because it has the “largest Jewish population in america,” and, as such, “even if we dont attack a[n] Event[,] we could rack up easily a lot of jews.”  KHAN told the UCs that “we are going to nyc to slaughter them,” and later sent a photograph to the UCs of the specific enclosed area inside of Location-1 where KHAN planned to carry out his attack.  In the days that followed, KHAN continued to urge the UCs to acquire AR-style rifles, hunting knives to “slit their throats,” and other equipment for the attack, and reiterated his desire to carry out this attack in support of ISIS.  During one such communication, KHAN noted that “if we succeed with our plan this would be the largest Attack on US soil since 9/11.”

On or about September 4, 2024, KHAN attempted to reach the U.S.-Canada border using a human smuggler.  KHAN traveled from the vicinity of Toronto, Canada, toward the United States, before he was stopped and arrested in or around Ormstown, Canada, approximately 12 miles from the U.S.-Canada border.

*                *               *

KHAN, 21, a Pakistani citizen who was residing in Canada, pled guilty to one count of attempting to commit acts of terrorism transcending national boundaries, which carries a maximum sentence of life in prison.

The potential maximum sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.

Mr. Clayton praised the outstanding efforts of the New York Joint Terrorism Task Force of the FBI, which consists of investigators and analysts from the FBI, the NYPD, and over 50 other federal, state, and local agencies, and thanked the FBI’s Los Angeles and Chicago Field Offices, the New York State Police, the U.S. Customs and Border Protection, and the Counterterrorism Section of the Department of Justice’s National Security Division for their assistance. The Office of International Affairs of the Justice Department’s Criminal Division worked with authorities in Canada to secure the arrest and June 2025 extradition of KHAN.  Mr. Clayton also thanked our law enforcement partners in Canada, including the Royal Canadian Mounted Police and Department of Justice Canada’s International Assistance Group, for their assistance.

This case is being handled by the Office’s National Security and International Narcotics Unit.  Assistant U.S. Attorneys Kaylan E. Lasky and David J. Robles are in charge of the prosecution, with assistance from Trial Attorney Kevin Nunnally of the National Security Division’s Counterterrorism Section.

[1] “Chabad” is a branch of Hasidic Judaism, as well as a movement that operates Jewish religious and educational institutions around the world.

United States Attorney for the Southern District of New York, Jay Clayton, Director of the Federal Bureau of Investigation (“FBI”), Kash Patel, Assistant Director in Charge of the New York Field Office of the FBI, James C. Barnacle, Jr., and Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch, announced today an eight-count indictment charging EMIR BALAT and IBRAHIM KAYUMI in connection with their alleged terrorist attack in Manhattan on March 7, 2026.  The case has been assigned to U.S. District Judge Vernon S. Broderick.

“As alleged, just weeks ago, Emir Balat and Ibrahim Kayumi carried out a terrorist attack on the streets of New York,” said U.S. Attorney Jay Clayton.  “They sought to murder multiple innocent victims in the name of ISIS.  The brave women and men of the NYPD responded immediately, and Balat and Kayumi were arrested on site.  Since their attack, our partners at the FBI’s Joint Terrorism Task Force have uncovered evidence revealing the alleged meticulous planning by the defendants in their attack, including a notebook with detailed attack plans and a storage unit containing explosive residue and bomb-making materials.  Today’s indictment is another step in holding the defendants accountable for their alleged conduct.  We, the NYPD, the FBI, and our other law enforcement partners will continue to work every day to keep New Yorkers safe.”

“These individuals allegedly prepared explosive devices and attempted to detonate them on the streets of New York in the name of ISIS, but their plan failed thanks to the brave police officers who acted quickly,” said FBI Director Kash Patel.  “The FBI and our law enforcement partners are determined to protect the homeland from terrorism or other acts of violence, and our partnerships are key to carrying out that mission.  We also will make sure anyone who tries to harm our citizens in the name of ISIS, or any other terrorist organization, will face justice.”

“As alleged, Emir Balat and Ibrahim Kayumi traveled to New York City with IEDs to kill as many people as possible in an ISIS-inspired terrorist attack,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “The alleged notes and instructions recovered from their vehicle demonstrate just how much cruelty they had planned.  The FBI New York’s Joint Terrorism Task Force continues to work with the NYPD to defend our community against those who wish to cause mass casualties and tragedy.”

“Emir Balat and Ibrahim Kayumi planned this attack, transported explosive devices, and came to New York City intending to kill innocent people, as alleged in the indictment,” said NYPD Commissioner Jessica S. Tisch.  “What they allegedly set in motion was an ISIS-inspired act of terrorism with the potential for mass casualties.  It was stopped because of the quick-thinking, decisive actions of the men and women of the NYPD, who moved toward the threat and took these individuals into custody before more lives were put at risk.  I thank our partners at the FBI and the U.S. Attorney’s Office for the Southern District for their work in securing this indictment.  Anyone who seeks to bring terror to this city will be found, stopped, and held accountable.”

As alleged in the Complaint and in the Indictment:[1]

The Attack

On or about March 7, 2026, a protest called “Stop the Islamic Takeover of New York City, Stop New York City Public Muslim Prayer” and a counter-protest called “Run Nazis Out of New York City” were held outside of Gracie Mansion in New York, New York.  Gracie Mansion is the official residence of the Mayor of New York City.

That morning, BALAT and KAYUMI drove from Pennsylvania to Manhattan and parked near Gracie Mansion.  They then walked to the site of the protest and counter-protest, and at approximately 12:15 p.m., BALAT ignited and threw an improvised explosive device (“Device-1”) toward the area where the protesters were gathered. Immediately after throwing Device-1, BALAT ran to another location down the block, where KAYUMI passed BALAT a second improvised explosive device (“Device-2,” and together with Device-1, the “Devices”).  BALAT ignited and dropped Device-2 on the ground near several NYPD officers and then ran from the scene, jumping over a barricade in the process.  NYPD officers tackled and arrested BALAT shortly thereafter, and KAYUMI was arrested nearby moments later.

BALAT’s and KAYUMI’s Post-Arrest Statements About ISIS

Following his arrest, while en route to the NYPD precinct, BALAT stated to NYPD officers transporting him: “This isn’t a religion that just stands when people talk bad about . . . our prophet.  We take action! We take action!”; and “If I don’t do it, someone else will come and do it.”  Later, at the NYPD precinct, BALAT requested a piece of paper and, after being given a paper and pen, wrote the following: “All praise is due to Allah lord of all worlds! I pledge my allegiance to the Islamic State.  Die in your rage yu [sic] kuffar!  Emir B.” “Kuffar” is an Arabic term that refers to “non-believers” or “infidels,” and “Die in your rage” is a slogan used by ISIS.  When law enforcement officers asked BALAT if he was familiar with the Boston Marathon bombing, and if that was what BALAT had hoped to accomplish, BALAT responded: “No, even bigger.  It was only three deaths.”

After KAYUMI was arrested and waiting to be placed inside an NYPD vehicle, an individual from the surrounding crowd yelled to KAYUMI and asked, in substance and in part, why KAYUMI had done this.  KAYUMI responded, “ISIS.”  At the NYPD precinct, KAYUMI stated, in substance and part, that he had watched “radical content” online.

Evidence Recovered from the Defendants’ Vehicle

Following the Attack, law enforcement officers found the vehicle, registered to BALAT’s relative, that BALAT and KAYUMI had parked a few blocks south of Gracie Mansion.  Inside the vehicle, officers recovered, among other things, a long coil of fuse, a notebook (the “Notebook”), and a dashboard camera containing a memory card on which approximately three days of video and audio recordings had been recorded (the “Dashcam Recordings”).

The Notebook contained pages of handwritten notes.  One page listed “acetone peroxide synthesis” and “TATP explosive.”  Other pages listed (i) ingredients and equipment for mixing explosives (for example, “hydrogen peroxide,” “sulfuric acid,” “glass container,” “syringe,” and “glass jar”), (ii) bomb components (for example, “aluminum can 6x” and “a box of bolts ect 2x”), (iii) steps and warnings for constructing a bomb (for example, “now add 25 ml of hydrogen perioxide into GC” and “DO NOT leave in open—the drier it becomes, the more sensitive to pressure, friction, and heat”) and (iv) steps for “detonat[ing] a bomb with burning fuse.”  Another page described an apparent alternate plan for an attack by vehicle, including: (i) the “Ideal vehicle” for conducting an attack, which was to be “load bearing,” “large in size,” “reasonably fast,” and “heavy in weight”; (ii) a list of possible “target[s],” including “festivals,” “parades,” “protest,” and “celebrations”; and (iii) “steps to making napalm.”

The Dashcam Recordings captured video footage of the defendants’ travel from Pennsylvania to Manhattan on the morning of March 7, 2026, as well as audio recordings of their detailed discussion that morning of how they would conduct the attack, the likely outcome of the attack, whom they were targeting, and their use of social media websites to try to locate one of their intended targets (“Individual-1”).  For example:

• KAYUMI stated, “All I know is I want to start terror bro,” and “I want to petrify these people.”  BALAT responded, “Just for safety, as soon as you light it, just do it as soon as possible.  Because I was testing the fuses, and some just go really fast sometimes, and some just are a bit slower.”
• KAYUMI stated, “First call, they’re going to be like this is us targeting [Individual-1].”  BALAT responded that he was targeting “the government” and “civilians also.”  KAYUMI replied, “Yeah, I know.”
• BALAT stated, “what I have here is called TATP,” that he had “calculated it,” and that “it’s gonna kill about 8 to 16 people,” or as many as 30 to 60 people if the area was crowded.
• BALAT instructed KAYUMI on how to throw the bomb and to “hide it” until BALAT gave “a sign.”  BALAT further explained, “I’m going to say 3, 2, 1, and I’m going to take it out as fast and controlled as possible.  We light it, as soon as you see it going underhand, go in his direction, trying to aim at him and at his feet.  And then run to the car.  Together.”
• BALAT discussed that they would be engaging in “martyrdom” and described having left behind a note.

The Storage Unit

In addition, FBI agents searched a storage unit in Langhorne, Pennsylvania, that BALAT had rented just days before the attack, and recovered residue that a subsequent forensic analysis confirmed contained triacetone triperoxide (“TATP”).  The unit also contained bomb-making supplies, including a bottle labeled “12% hydrogen peroxide,” an ingredient of TATP; syringes; a digital scale; gloves; an open package of nuts and bolts; and glass jars similar in appearance to the ones used to build the Devices.  In the center of the floor inside the storage unit was a piece of paper containing the handwritten words, “All praise is due to Allah!!! Die in your rage ya kuffar!”

Forensic Analysis

Finally, a forensic analysis has revealed that Device-1, which BALAT had thrown into the crowd of protesters, consisted of a glass jar wrapped in duct tape and containing nuts, bolts, an energy drink can filled with TATP, and a fuse.  TATP is a highly sensitive primary explosive that is colloquially known as the “Mother of Satan”; is extremely sensitive to impact, friction, and heat; and has been used in multiple terrorist attacks over the last decade.  Forensic analysis also revealed that Device-2, which KAYUMI had handed to BALAT before BALAT dropped it on the ground near police officers, contained TATP.

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BALAT, 18, of Langhorne, Pennsylvania, and KAYUMI, 19, of Newtown, Pennsylvania, are each charged with: (i) conspiracy to provide material support and resources to a designated foreign terrorist organization, which carries a maximum sentence of 20 years in prison; (ii) provision and attempted provision of material support and resources to a designated foreign terrorist organization, which carries a maximum sentence of 20 years in prison; (iii) conspiracy to use a weapon of mass destruction, which carries a maximum sentence of life in prison; (iv) attempted use of a weapon of mass destruction, which carries a maximum sentence of life in prison; (v) carrying of explosive materials during the commission of a federal felony, which carries a mandatory sentence of 10 years in prison to run consecutively to any other sentence imposed for the underlying federal felony; (vi) transportation of explosive materials, which carries a maximum sentence of 10 years in prison; (vii) interstate transportation and receipt of explosives, which carries a maximum sentence of 10 years in prison; and (viii) unlawful possession of destructive devices, which carries a maximum sentence of 10 years in prison.

The minimum and maximum potential sentences are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.

Mr. Clayton praised the outstanding efforts of the New York Joint Terrorism Task Force of the FBI, which consists of investigators and analysts from the FBI, the NYPD, and over 50 other federal, state, and local agencies.  Mr. Clayton also thanked the Counterterrorism Section of the Department of Justice’s National Security Division, U.S. Customs and Border Protection, the New York State Police, Homeland Security Investigations, the FBI Newark Field Office, the FBI Philadelphia Field Office, and the Bureau of Alcohol, Tobacco, Firearms and Explosives for their assistance.

This case is being handled by the Office’s National Security and International Narcotics Unit.  Assistant U.S. Attorneys Jonathan L. Bodansky and Jane Y. Chong are in charge of the prosecution, with assistance from Trial Attorney James Donnelly of the Counterterrorism Section and paralegal specialist Juan Muñoz.

[1] As the introductory phrase signifies, the entirety of the charging instruments to date constitutes only allegations, and every fact described herein should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced today that ANTHONY MICHAEL SOUZA was sentenced to 150 months in prison for receipt and distribution of child pornography.  SOUZA’s sentence was imposed by U.S. District Judge Katherine Polk Failla, who also presided over the guilty plea.

“New York City parents trusted Anthony Michael Souza to keep their children safe,” said U.S. Attorney Jay Clayton.  “Souza betrayed that trust by sharing ghastly child pornography and preying on minors, including his own students.  Today’s sentence affirms yet again this Office’s unwavering commitment to protect our children and to find and prosecute individuals who traffic in child pornography.”

According to the Information, public filings, the plea agreement, and statements made in court proceedings:

For three years leading up to his 2024 arrest, SOUZA served as an arts and theater teacher in multiple New York City public schools.  His students included children between kindergarten and high school.  During this time, SOUZA sent and received approximately 250 videos and approximately 1,050 images containing child pornography.  Some of those videos and images showed abuse and rape of children, infants, and toddlers.  SOUZA also took sexualized photographs and videos of young (clothed) children inside his classrooms and sent them to individuals with whom SOUZA shared child pornography. 

In addition to the child-pornography conduct, SOUZA maintained a sexual relationship with a minor (“Minor-1”) for more than a year.  SOUZA and Minor-1 had sex on multiple occasions, and SOUZA filmed himself having sex with Minor-1.  SOUZA also invited other men who joined SOUZA for group sex with Minor-1.  Additionally, SOUZA and another individual discussed SOUZA’s unsuccessful attempt to “groom” one of SOUZA’s fifth-grade students (“Minor-2”).  The attempt was foiled when Minor-2 hung up the phone and blocked SOUZA.   

If you believe you have information concerning exploitation of children, please contact the Federal Bureau of Investigation (“FBI”) at 1-212-384-1000 or https://tips.fbi.gov/.

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In addition to the prison term, SOUZA, 38, of Manhattan, was sentenced to five years of supervised release.

Mr. Clayton praised the outstanding investigative work of the FBI. 

This case is being handled by the Office’s General Crimes Unit. Assistant U.S. Attorney Getzel Berger is in charge of the prosecution.

United States Attorney for the Southern District of New York, Jay Clayton, and Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., announced criminal charges against ANTHONY PARENTE for communicating online and over the phone with an individual he believed to be a 14-year-old girl and attempting to meet the individual to engage in sexual activities.  PARENTE was taken into federal custody on April 2, 2026, and presented before Chief U.S. Magistrate Judge Judith C. McCarthy in White Plains federal court on April 3, 2026.

“There is little we take more seriously than protecting our children,” said U.S. Attorney Jay Clayton.  “As alleged, Anthony Parente targeted someone he believed to be a teenaged girl for explicit enticement to participate in sexual activity and then traveled into the Southern District of New York with the intention of engaging in sex with a minor.  New Yorkers abhor this alleged conduct; it has no place here.  Our prosecutors and our FBI partners are committed to identifying and holding accountable those who attempt to prey on our children.”

“Anthony Parente allegedly engaged in sexually explicit conversations with a purported minor girl and planned to sexually abuse her before authorities arrested him,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “The FBI continues to partner with state and local law enforcement agencies to hold accountable any sexual predator who targets minors online for perverted gratification.”

As alleged in the Complaint:[1]

PARENTE was identified on March 27, 2026, as part of a multi-agency operation.  PARENTE communicated with an undercover law enforcement officer (“Officer-1”) that PARENTE believed to be a 14-year-old girl using online chat applications, text messaging, and phone calls.  During these exchanges, PARENTE discussed his sexual preferences with Officer-1 and provided instructions to Officer-1 as to how she might gratify them, in addition to asking for nude photographs.  During their communications, PARENTE sent Officer-1 a number of photos of his face, including this one:

After a period of approximately six days, Officer-1 and PARENTE arranged a meet-up for sex.  On April 2, 2026, PARENTE drove approximately two hours to the agreed-upon location, where he was taken into custody by New York State Police and found to have bondage equipment on his person.  In a post-arrest statement made after being advised of his rights, PARENTE admitted that he had communicated with a 14-year-old girl and intended to engage in oral and vaginal intercourse with her.

Please read the allegations in this complaint and, if you think you see something similar, say something:  call 1-800-CALL-FBI (1-800-225-5324) or use the online tips page: https://tips.fbi.gov.

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PARENTE, 30, of Loudonville, New York, is charged with one count of coercion and enticement of a minor.  The statutory minimum for this charge is 10 years in prison, and the maximum is life in prison.

The statutory minimum and maximum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton praised the outstanding investigative work of the FBI New York Office Hudson Valley Safe Streets Task Force, New York State Police Troop F – Computer Crimes Unit and Community Stabilization Unit, FBI Albany Field Office, New York State Police Troop G, and U.S. Attorney’s Office for the Northern District of New York.

The prosecution is being handled by the Office’s White Plains Division.  Assistant U.S. Attorney Samantha Briggs is in charge of the prosecution.   

The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, announced that ALIEU JARJOU, a/k/a “Scally,” a/k/a “Lu Scally,” pled guilty today before U.S. District Judge Edgardo Ramos to his criminal activities as a member of the “Rollin 20s” set of the Crips, including the March 2021 murder of Jadon Robinson. 

“On March 9, 2021, Alieu Jarjou shot and killed 30-year-old Jadon Robinson on a busy Bronx street in the middle of the day,” said U.S. Attorney Jay Clayton.  “Jarjou committed this brutal murder to enhance his status within the Rollin 20s Crips, a violent street gang that has terrorized our communities through senseless violence and drug trafficking.  There is stark reality that we need to face: for gangs like the Crips, murder is a part of business, and for gang members, murder is a status symbol.  Those who tolerate, or worse, celebrate gang culture could not be more out of touch.  New York families want gangs dismantled and their murderous members off the streets.  The women and men of our Office are committed to relentlessly pursuing all gangs that threaten the safety of New Yorkers.”

As alleged in the Indictment and statements made in public filings and public court proceedings: 

From at least January 2021 through at least January 2022, JARJOU was a member of the Rollin 20s Crips, which is based in the Bronx, New York.  In order to fund the gang, protect its territory, and promote its standing, members of the Rollin 20s Crips engaged in, among other things, murders, assaults, threats of violence, and narcotics trafficking.  In connection with his membership in the Rollin 20s Crips, JARJOU, together with other members of the gang, sold drugs, including oxycodone and marijuana.

On March 9, 2021, JARJOU shot and killed Jadon Robinson in the vicinity of 1268 Morrison Avenue in the Bronx.  After learning that Robinson was suspected of assaulting a member of the Rollin 20s Crips, JARJOU murdered Robinson to retaliate for the suspected assault. Robinson was 30 years old.

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JARJOU, 31, of the Bronx, New York, pled guilty to one count of racketeering conspiracy, during which he committed murder, which carries a maximum sentence of life in prison; and one count of using and carrying a firearm during and in relation to, and possessing a firearm in furtherance of, a crime of violence, which firearm was brandished and discharged, which carries a maximum sentence of life in prison and a mandatory minimum sentence of 10 years in prison.  JARJOU is scheduled to be sentenced by Judge Ramos on August 18, 2026.

The minimum and maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. 

Mr. Clayton praised the outstanding investigative work of the NYPD.

The case is being handled by the Office’s Violent Organizations and Crime Unit.  Assistant U.S. Attorneys Christy Slavik and Jim Ligtenberg are in charge of the prosecution.

United States Attorney for the Southern District of New York, Jay Clayton, announced that DAVID MALDONADO pled guilty today before U.S. District Judge Jed S. Rakoff to possessing a machine gun in connection with a November 14, 2025, daytime shooting during which MALDONADO fired 12 rounds from a machinegun on a public street in the Bronx, New York.

“The illegal possession of a machine gun is unacceptable and will not be tolerated,” said U.S. Attorney Jay Clayton.  “The families of New York City deserve to live free of fear from the type of gun violence these weapons can unleash.  The women and men of this Office will never tire in their efforts to root out and hold accountable those who would bring this type of violence to our communities.”

As alleged in the Indictment, and in public statements made in court proceedings:[1]

On or about November 14, 2025, at around 4:00 p.m., MALDONADO, who has been previously convicted of multiple felony offenses, discharged a machine gun in the vicinity of East 170th Street and Third Avenue in the Bronx, including two shots that struck a nearby vehicle. 

Detectives of the New York City Police Department (“NYPD”), who were in the vicinity of the gunshots, spotted and promptly apprehended MALDONADO, who was in possession of an un-serialized Polymer 80, model PF940C, 9x19mm caliber firearm, also known as a “ghost gun.”  During the shooting, MALDONADO used a semi-automatic handgun with an illegal machine gun conversion device installed, which converted his firearm into a fully automatic machine gun capable of shooting more than one shot with a single pull of the trigger.  Photographs of the firearm and magazine seized from MALDONADO and the conversion device that was installed on the pistol slide are below:

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MALDONADO, 53, of New York, New York, pled guilty to one count of possession of a machine gun, which carries a maximum sentence of 10 years in prison. 

Mr. Clayton praised the outstanding investigative work of the NYPD and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.

This case is being handled by the Office’s Violent Organizations & Crime Unit.  Assistant U.S. Attorney Brandon D. Harper is in charge of the prosecution.   

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, and Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., announced federal criminal charges against RAYMOND ELDERS for manufacturing and possessing suspected improvised explosive devices in his apartment in White Plains and detonating them on a residential street.  ELDERS was arrested by the FBI and presented yesterday before U.S. Magistrate Judge Judith C. McCarthy in White Plains federal court and detained. 

“By allegedly manufacturing dozens of suspected explosive devices and storing them in his apartment, Raymond Elders put everyone in his community at risk,” said U.S. Attorney Jay Clayton.  “But he didn’t stop there.  As alleged in the complaint, and over a period of months, he lit these devices and detonated them in his neighborhood in White Plains, causing unexplained explosions that his neighbors repeatedly reported to the police.  It should go without saying that anyone who tosses illegal explosives onto New York residential streets should expect to face serious consequences, including federal criminal charges brought by our Office.”              

“Raymond Elders allegedly constructed dozens of IEDs and detonated at least two in his neighborhood,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “Elders’s alleged actions repeatedly disregarded the public’s safety by subjecting innocent bystanders to potentially devastating harm.  We thank the White Plains Police Department and the Westchester County Bomb Squad for their prompt response and for protecting the residents of Westchester County.  The FBI continues to work tirelessly with our law enforcement partners to protect our communities from violence.”

As alleged in the Complaint:[1]

ELDERS, a convicted felon, was captured on surveillance video on at least two occasions in March 2026 igniting suspected improvised explosive devices and tossing them onto Odell Avenue in White Plains.  Below are excerpts from surveillance footage obtained from residential premises on Odell Avenue during the afternoon of March 18, 2026:

Below are additional excerpts from surveillance footage depicting Odell Avenue during the early morning hours of March 30, 2026:

In response to multiple 911 calls on March 30, White Plains Police Officers responding to the scene found an apparent pipe bomb on the steps of ELDERS’s apartment building.  A warrant-authorized search of ELDERS’s apartment returned at least approximately 25 suspected explosive devices, in addition to materials and supplies ELDERS allegedly used to assemble explosive devices.  Law enforcement evacuated all residents of the apartment building while FBI explosives specialists secured the scene.  Law enforcement’s analysis of the suspected improvised explosive devices remains ongoing.

An associate of ELDERS informed law enforcement that he has seen ELDERS assemble the suspected explosive devices while sitting on the living room couch in his apartment, which is on the first floor of a multi-family residence.   

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ELDERS, 65, is charged with one count of use of a weapon of mass destruction, which carries a maximum sentence of life in prison; one count of possession of destructive devices after a felony conviction, which carries a maximum sentence of 15 years in prison; as well as one count of receipt and possession of explosives after a felony conviction, one count of unlawful possession of destructive devices, and one count of unlawful manufacture of destructive devices, each of which carries a maximum sentence of 10 years in prison. 

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Clayton praised the outstanding investigative work of the FBI New York Office Westchester Safe Streets Task Force and Joint Terrorism Task Force, the White Plains Police Department, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.                 

The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Samantha Briggs and John Sarlitto are in charge of the prosecution.   

The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
 

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.

United States Attorney for the Southern District of New York, Jay Clayton, and Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James C. Barnacle, Jr., announced today the arrest of ZHAN PETROSYANTS, a/k/a “Johnny,” in connection with the unsealing of an Indictment charging PETROSYANTS with operating an extensive no-fault insurance fraud scheme that submitted tens of millions in fraudulent medical claims and laundering the proceeds.  PETROSYANTS was taken into federal custody last night and will be presented today before U.S. Magistrate Ona T. Wang in Manhattan Federal Court.  The case has been assigned to U.S. District Judge Victor Marrero. 

“As alleged in the indictment, Zhan Petrosyants orchestrated a complex scheme to cheat insurance providers out of millions of dollars,” said U.S. Attorney Jay Clayton.  “No-fault insurance fraud schemes raise costs for everyone and reduce benefits to consumers, an unnecessary burden we all unfortunately share.  Today’s arrest demonstrates this Office’s continuing commitment to rooting out this pernicious type of fraud that imposes costs on all New Yorkers.”  

“Zhan Petrosyants allegedly stole money by submitting fabricated medical claims to receive millions of dollars in unauthorized payments,” said FBI Assistant Director in Charge James C. Barnacle, Jr.  “The FBI remains dedicated to dismantling fraudulent schemes that exploit benefits at the expense of New Yorkers.”

According to allegations in the Indictment and other publicly filed information in this case:[1]

Under New York State Law, every vehicle registered in New York State is required to have no-fault automobile insurance, which enables the driver and passengers of a registered and insured vehicle to obtain benefits of up to $50,000 per person for injuries sustained in an automobile accident, regardless of fault (the “No-Fault Law”).  The No-Fault Law requires prompt payment for medical treatment, thereby obviating the need for claimants to file personal injury lawsuits in order to be reimbursed.  Under the No-Fault Law, patients can assign their right to reimbursement from an insurance company to others, including medical clinics that provide treatment for their injuries.  New York State law also requires that all medical clinics in the State be incorporated, owned, operated, and/or controlled by a licensed medical practitioner in order to be eligible for reimbursement under the No-Fault Law.  Insurance companies will not honor claims for medical treatments from a medical clinic that is not actually owned, operated, and controlled by a licensed medical practitioner.           

PETROSYANTS and his co-conspirators defrauded automobile insurance programs designed to provide health care benefits for motor vehicle accident victims out of millions of dollars.  PETROSYANTS and his co-conspirators agreed to and did submit fraudulent claims to the insurance programs for services that were never provided, services that were unnecessary and excessive, and services that were billed under the names of medical corporations that were not actually owned, operated, and controlled by licensed medical professionals, as required by New York State laws and regulations.  If insurance companies had known that the nominee medical corporations were actually owned and controlled by non-medical professionals, the insurance companies would have denied payment for claims submitted by the nominee medical corporations.

To carry out the scheme, PETROSYANTS and his co-conspirators recruited purported physicians, psychologists, and other clinicians under whose names the fraudulent no-fault insurance claims were submitted, and prepared fraudulent no-fault insurance claims to obtain benefits from the automobile insurance companies.  When preparing these fraudulent bills, the conspirators frequently used the license information and signatures of licensed psychologists and medical professionals on fraudulent billing records submitted to insurance companies.

In furtherance of the scheme, PETROSYANTS and his co-conspirators obtained advance payments based on the fraudulent claim amounts through financing agreements with funding companies.  In particular, PETROSYANTS arranged for his-conspirators to use the services of a funding company (“Funding Company-1”) affiliated with a law firm, which provided quick access to criminal proceeds through advances paid by the funding company and provided a veneer of legitimacy to the scheme.  In exchange for securing financing from Funding Company-1, PETROSYANTS received a referral fee from Funding Company-1 as well as kickback payments from his co-conspirators representing a portion of the advances paid by Funding Company-1 to the scheme participants.  Some of the kickback payments were paid to PETROSYANTS using blank, pre-signed checks drawn on accounts nominally controlled by certain of the No-Fault Providers, which were filled out by co-conspirators in PETROSYANTS’s presence.

Further, PETROSYANTS caused Funding Company-1 to pay millions in advances on no-fault medical claims to two shell corporations.  Neither shell company was a provider of medical services and the bank accounts in their names that received Funding Company-1’s advances were not controlled by a medical professional.  Substantially all of the money that these shell companies received from Funding Company-1 was then transferred to a bank account nominally held by a jewelry business based in the Diamond District of midtown Manhattan.

As a result of their fraudulent scheme, PETROSYANTS and his co-conspirators caused insurance providers to be billed tens of millions of dollars in fraudulent no-fault medical claims. 

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ZHAN PETROSYANTS, 44, of Edgewater, New Jersey, is charged with one count of conspiracy to commit healthcare fraud, which carries a maximum sentence of 20 years in prison; one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; one count of aggravated identity theft, which carries a mandatory two-year consecutive sentence; and one count of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison. 

The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant would be determined by a judge. 

Mr. Clayton praised the outstanding work of the FBI. 

The case is being handled by the Office’s Illicit Finance and Money Laundering Unit.  Assistant U.S. Attorneys Cecilia Vogel, Christopher Brumwell, and Eli J. Mark are in charge of the prosecution.

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitutes only allegations and every fact described should be treated as an allegation.