Eastern District of Pennsylvania

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Omar White Oliver, 43, formerly of Philadelphia, PA, was arrested and charged by Indictment for his involvement in a scheme to unlawfully obtain and misuse loan proceeds offered through the federal Paycheck Protection Program (“PPP”). 

The Indictment, unsealed today, charges the defendant with four felony counts: two counts of bank fraud and attempted bank fraud, and two counts of money laundering. The charges stem from Oliver’s alleged scheme to fraudulently obtain approximately $186,750 in PPP loan proceeds by making false representations regarding his alleged real estate business, Oliver Twist Real Estate, LLC. The Indictment alleges that Oliver made multiple false characterizations about the business, including the number of employees, the wages paid to them, the payroll taxes paid on those wages, and the intended use of the PPP loan proceeds. According to the Indictment, the defendant then used those PPP loan proceeds for personal and unauthorized purchases, including a luxury automobile and an American Express platinum card bill. As charged, the defendant also caused a second fraudulent PPP loan application to be submitted for approximately the same amount in early 2021, but that application was denied. 

“Paycheck Protection Program funds are intended to help American small businesses continue paying their employees, even if revenues have dropped dramatically due to the pandemic,” said U.S. Attorney Williams. “Thieves who attempt to take these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the program. Here, the defendant is charged with fraudulently obtaining nearly $200,000 that could have helped struggling businesses and individuals but instead allegedly paid for personal indulgences.”

“The Paycheck Protection Program was implemented amid widespread economic upheaval caused by the coronavirus pandemic,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “The intention was to keep both businesses and employees financially afloat — not afford scammers some lavish lifestyle. Anyone who thinks defrauding U.S. taxpayers is a quick way to an easy payday best think again, because the FBI stands very ready to hold you accountable.”

The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Mary E. Crawley.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Peter Fratus, 40, of West Dennis, MA, was sentenced to four years in prison, and three years of supervised release by United States District Judge Gerald J. Pappert for sending racist, misogynistic threats via email to Philadelphia Police Commissioner Danielle Outlaw.

In September 2021, the defendant was convicted after a three-day trial on charges of transmitting threatening communications in interstate commerce. As established during trial, Fratus sent two June 2020 emails to the Philadelphia Police Commissioner’s official City of Philadelphia email address. Both emails contained racist, offensive, and threatening language, with one communication asking where Commissioner resides. Further, the defendant has a long history of sending racist, misogynistic threats and assaulting law enforcement officers.

“Sending threats online is a serious federal crime, whether the victim is a private citizen or a prominent civic leader,” said U.S. Attorney Williams. “The public can rest assured that our Office, together with our law enforcement partners, will work tirelessly to identify anyone who does this in order to ensure they’re held accountable for their actions.”

“Peter Fratus apparently thought he could make violent physical threats with impunity, but today’s sentencing proves how wrong he was,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “Threats to life are most certainly not protected speech, and the FBI will continue to work with our partners to hold accountable anyone who crosses the line and commits these criminal acts.”

The case was investigated by the Federal Bureau of Investigation with assistance from the Philadelphia Police Department and the Dennis Police Department, and is being prosecuted by Assistant United States Attorneys Robert J. Livermore and Sarah M. Wolfe.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Myrna Ortiz, 43, of Philadelphia, PA, was charged in a 32-count Indictment in connection with a conspiracy to steal and conceal the origin of fraudulently obtained Social Security benefits and COVID-19 PUA unemployment benefits. The Indictment charges Ortiz with one count of conspiracy to commit money laundering and 31 counts of theft of government funds. She made her initial appearance in federal court on these charges earlier today.

According to the Indictment, Ortiz met an individual through the online dating website ‘Match.com,’ and began a relationship via digital messaging. She is charged with helping her online paramour execute a scheme in which fraudulent claims were filed for Social Security Administration (SSA) Retirement benefits, using the personal identifiable information of individuals age 62 or older, the age at which taxpayers become eligible to begin collecting those benefits. The indictment charges that Ortiz participated by laundering the stolen money.  Specifically, she is charged with opening ten bank accounts at the direction of her co-conspirator in order to receive the fraudulently issued government funds, and then withdrawing the funds, purchasing gift cards with the cash, and laundering the funds back to her co-conspirator through the gift cards. The scheme targeted high wage earners who are over the age of 62 but have not yet filed for SSA Retirement benefits on their own, and it impacted at least twenty-three victims.

Further, the Indictment alleges that the defendant helped steal money from the government specifically related to COVID-19 emergency relief funds or Pandemic Unemployment Assistance (“PUA”) funds. Using the same bank accounts to which the fraudulently obtained SSA funds were directed, Ortiz is also charged with depositing fraudulently obtained PUA funds in the names of various victims and laundering these illegal proceeds back to the same co-conspirator. This scheme involved deceiving the state workforce agencies of Pennsylvania, Illinois, Indiana, West Virginia, Arizona, and Ohio.

Through these schemes, Ortiz is alleged to have been involved in a conspiracy to defraud the government, and to launder the stolen government funds in an amount of almost $600,000.

“Social Security retirement benefits and pandemic unemployment assistance funds are intended to help Americans who have worked hard and now need some extra help making ends meet, either because they are now enjoying their well-deserved retirement or because the COVID-19 pandemic has dramatically impacted their ability to work and earn a living,” said U.S. Attorney Williams. “Thieves who attempt to take these funds are taking advantage of honest workers – ripping them off while also ripping off all taxpayers who fund these programs. As alleged, Ortiz fraudulently obtained nearly $600,000 in government funds, all at the behest of an individual she met through an online dating website.”

“An important part of the mission of the Office of Inspector General is to investigate allegations of fraud related to unemployment insurance programs. We will continue to work with the Pennsylvania Department of Labor and Industry and our law enforcement partners to investigate these types of allegations,” stated Syreeta Scott, Special Agent-in-Charge of the Philadelphia Region, U.S. Department of Labor Office of Inspector General.

The case was investigated by the United States Department of Labor Office of Inspector General and the Social Security Administration Office of Inspector General, and is being prosecuted by Special Assistant United States Attorney Megan Curran.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Patrick Harrison, 39, of Pottstown, PA, was arrested and charged by Indictment with Hobbs Act robbery; carrying, using, and brandishing a firearm during the commission of a crime of violence; and being felon in possession of a firearm in connection with a pharmacy robbery in West Philadelphia last year.

The Indictment alleges that in November 2021, the defendant entered a Rite-Aid located at 5040 City Ave, in West Philadelphia. Harrison brandished a firearm and demanded money from store employees. The defendant then allegedly fled the store after stealing approximately $600. The defendant is also charged with illegally possessing a firearm, in this case a loaded Smith and Wesson 9mm pistol, as a previously convicted felon.

“As alleged, this defendant waved a loaded gun in the faces of Rite-Aid employees simply doing their jobs and got away with $600,” said U.S. Attorney Williams. “Law enforcement experts have said that the majority of violent crimes committed in and around Philadelphia are perpetrated by a small number of brazen criminals. The charges in this Indictment demonstrate that assertion and are exactly why our All Hands On Deck initiative is committed to investigating and prosecuting those violent, repeat offenders.”

“As the indictment alleges, Harrison recklessly brandished a firearm during this brazen armed robbery, placing everyone in the community in danger,” said Matthew Varisco, Special Agent in charge of ATF’s Philadelphia Field Division. “ATF, along with our local, state, and federal partners will continue to work every day to identify and remove violent criminals who threaten the safety of our citizens.”

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

If convicted, the defendant faces a maximum possible sentence of life imprisonment, five years of supervised release, and a $750,000 fine, and a $300 special assessment.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Robert E. Eckert.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA, PA – United States Attorney Jennifer Arbittier Williams announced that SoNo International LLC (“SoNo”) and Ark Capital Equipment LLC (“Ark”) have agreed to jointly pay $904,000 to the federal government to resolve allegations that they violated the False Claims Act by supplying the Department of Defense with shipping containers made in China and/or made from Chinese steel.  The Department of Defense contracted for its agencies to purchase American-made materials or materials manufactured in specified allied countries, such as South Korea.  Instead, in one contract, SoNo and Ark allegedly had a third-party company change the identifying plates on 100 shipping containers made in China to make them appear to have been manufactured in South Korea.  On two other contracts, SoNo’s supplier used Chinese steel, and SoNo and Ark allegedly failed to detect the deception before providing the United States military those containers.

As part of the resolution with the United States, SoNo and Ark have entered into an administrative agreement with the Defense Logistics Agency establishing enhanced training and reporting requirements with respect to government procurement.  The third-party company that physically switched the plates has reached a separate agreement with the United States under which it will provide training to its employees to enhance their compliance with Customs rules and regulations and improve their awareness of Buy American and other issues.

“Americans have the right to know that their tax dollars are being spent to support American jobs and American policies,” said U.S. Attorney Williams. “When the Department of Defense purchased this material for our warfighters, SoNo agreed to acquire material from and support manufacturers in America or our allied nations. The United States Attorney’s Office is ready to investigate and punish contractors who do not follow these clear rules.”

“Protecting the integrity of the Department of Defense (DoD) procurement process and supply chain is a top priority for the DoD Office of Inspector General Defense Criminal Investigative Service (DCIS),” stated Special Agent in Charge Patrick J. Hegarty, DCIS Northeast Field Office.  “The DCIS will continue to work with its law enforcement partners and the USAO-EDPA to hold DoD contractors accountable to contract requirements and ensure that quality products and services are provided to the U.S. military.”

“AFOSI will continue to work with our law enforcement partners and the U.S. Attorney’s Office, Eastern District of Pennsylvania, to protect the integrity of the Federal procurement process and ensure wrongdoers are held accountable for their actions,” said Special Agent in Charge William W. Richards, Air Force Office of Special Investigations.

This investigation was conducted as part of the United States Attorney’s Office for the Eastern District of Pennsylvania’s Affirmative Civil Enforcement Strike Force with investigators from DCIS, the Army Criminal Investigation Division, and the Air Force Office of Special Investigations, with assistance from Homeland Security Investigations and the U.S. Customs and Border Protection’s Regulatory Audit and Agency Advisory Services. Assistant U.S. Attorney Paul W. Kaufman handled the investigation and settlement. 

The claims resolved by the settlement are allegations only; there has been no determination of liability.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Kray Strange, 19, of Carthage, NY, was arrested earlier today and charged by federal Criminal Complaint with manufacturing and distributing child pornography, and willfully causing and aiding and abetting the manufacture and distribution of child pornography.

Strange was arrested after the FBI executed a federal search warrant at his residence. He made his initial appearance in federal court in the Northern District of New York this afternoon, and will be detained pending his removal to Philadelphia to face the charges in this Complaint. 

The charges stem from the defendant’s alleged involvement in an online catfishing scheme with former Springside Chestnut Hill Academy teacher Andrew Wolf, which they operated for more than a year during 2020 and 2021. According to the Complaint, Strange targeted school-age boys on social media platforms while impersonating a teenage girl in order to entice the boys to produce sexually explicit images and videos of themselves and send them to Strange, who then shared them with Wolf via the internet.

Strange’s co-conspirator, Wolf, was arrested in the Eastern District of Pennsylvania on October 7, 2021, and remains in federal custody.

“As alleged in the Criminal Complaint, the defendant communicated with children for the purpose of sexually exploiting their innocence,” said U.S. Attorney Williams. “The convenience and accessibility of digital communications, coupled with the ease with which child sexual exploitation crimes can be concealed online, make these cases extremely difficult to investigate and prosecute. However, our Office and our law enforcement partners are committed to doing this difficult work in order to hold child sexual predators accountable.”

If convicted, the defendant faces a maximum possible sentence of 40 years’ imprisonment.

The case was investigated by the FBI and is being prosecuted by the United States Attorney’s Office for the Eastern District of Pennsylvania.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Anthony Francis Nero, 48, of Norristown, PA, pleaded guilty today to charges of sending threatening communications and cyberstalking before United States District Judge Karen S. Marston.

According to court documents, on January 7, 2021, Nero sent an electronic message over the Internet to the Montgomery County Democratic Party (MCDP) that threatened “random acts of violence” and stated “you should probably beef up security.” On January 20, 2021, MCDP officials discovered that the front window to MCDP’s office, located in Norristown, PA, had been shot through three times by a firearm. In a February 2021 interview with Norristown Police and the FBI, Nero admitted sending the online threat to the MCDP and firing his .45 caliber pistol three times into the MCDP office. Ballistics tests by the Montgomery County Detective Bureau confirmed that two spent rounds recovered from the MCDP’s office were fired by Nero’s .45 caliber pistol. In March 2021, the defendant was arrested and charged by federal criminal complaint. He remains in federal custody.

“In the midst of a politically tumultuous time in our Nation, Anthony Nero sent a threatening communication and then turned those words into a violent act that could have resulted in catastrophic injury, or worse,” said U.S. Attorney Williams. “I want to thank our partners in the Montgomery County District Attorney’s Office and all agencies at the federal, state and local levels for their dedicated work on this case.”

“I want to thank the U.S. Attorney’s Office for their efforts in prosecuting this defendant for terroristic threats against the Montgomery County Democratic Committee. There is no place for this kind of criminal behavior in our democracy, and our law enforcement will continue to stand together to make sure that those who act in this way are brought to justice,” said Montgomery County District Attorney Kevin Steele. 

“Threatening violence is bad enough – but then, Anthony Nero carried out his threat and fired multiple gunshots into the MCDP office,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “The FBI and our law enforcement partners are committed to investigating and holding accountable anyone engaged in such criminal behavior. Nobody should have to fear becoming the target of reckless violence.”  

The case was investigated by the Federal Bureau of Investigation, Norristown Police Department, Montgomery County Detective Bureau, Montgomery County District Attorney’s Office, and the Pennsylvania State Police. The case is being prosecuted by Assistant United States Attorneys Vineet Gauri and Josh Davison, and Special Assistant United States Attorney Kathleen A. McLaughlin

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Lucy Xi, 44, formerly a resident of Malvern, PA, pleaded guilty to stealing trade secrets from GlaxoSmithKline (GSK) to benefit a Chinese pharmaceutical company named Renopharma.

Lucy Xi’s co-defendants, Yu Xue, Tao Li and Yan Mei, established Renopharma supposedly to research and develop anti-cancer drugs. In reality, though, the company was used as a repository of information stolen from GSK. Renopharma received financial support and subsidies from the government of China. At the time, Lucy Xi (who was married to Yan Mei) and Yu Xue were employed as a scientists at a GSK facility in Upper Merion, PA, which worked on developing biopharmaceutical products. These products typically cost in excess of $1 billion to research and develop. 

In January 2015, Lucy Xi sent Yan Mei a GSK document which contained confidential and trade secret data and information. The document provided a summary of GSK research into monoclonal antibodies at that time. In the body of the e-mail, Lucy Xi wrote, “You need to understand it very well. It will help you in your future business [RENOPHARMA].”

Yu Xue, her sister, Tian Xue, and Tao Li have all pleaded guilty for their roles in this conspiracy. Yan Mei is a fugitive who currently resides in China. 

“This defendant illegally stole trade secrets to benefit her husband’s company, which was financed by the Chinese government,” said U.S. Attorney Williams. “The lifeblood of companies like GSK is its intellectual property, and when that property is stolen and transferred to a foreign country, it threatens thousands of American jobs and jeopardizes the strategic benefits brought about through research and development. Such criminal behavior must be prosecuted to the fullest extent of the law.”

“Pharmaceutical firms like GSK invest staggering amounts of time and money to develop new medications and bring them to market,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “When individuals steal valuable trade secrets concerning one of these drugs, it’s a threat both to that firm and beyond. After all, innovation like this propels the U.S. economy. The FBI is committed to enforcing laws that protect the nation’s businesses from such theft. We will not permit American research and development to be scavenged for the benefit of other companies or countries.”

The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorneys Robert J. Livermore and J. Jeanette Kang.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Josiah Brown, 19, of Wilmington, DE, was arrested and charged by Criminal Complaint on charges of carjacking and carrying and using a firearm during a crime of violence in connection with an armed carjacking that occurred in Franklin D. Roosevelt Park in South Philadelphia yesterday afternoon. The defendant made his initial appearance in federal magistrate court in Philadelphia this afternoon and is currently detained.

According to the Complaint, while the victim and an associate were speaking near the victim’s parked vehicle, an SUV pulled up alongside them and blocked them in. One suspect got out of the SUV, pointed a gun at the victim and demanded the keys to the victim’s vehicle and at the same time, a second suspect also got out of the SUV. The victim complied, and then both suspects got into the victim’s car and drove away. A third suspect driving the SUV then fled following the victim’s car.

Investigators determined that the victim’s vehicle contained equipment to track and locate it, which they did later that day in Wilmington, and then in New Castle, Delaware. When multiple individuals approached the parked vehicle in the parking lot of the Christiana Fashion Center in New Castle, law enforcement detained five people, including the defendant who was in possession of the keys to the victim’s vehicle.

“The investigation into this incident is in its very initial stages, and we are continuing to investigate and evaluate charging decisions,” said U.S. Attorney Williams. “Armed carjacking is a serious federal crime. There have been a rash of violent crimes like this recently, and while there were national security implications to this particular incident, we are always working collaboratively with our local partners to evaluate if cases should be taken federally. Working together means more resources, more tools, more intelligence. I’ve said it before and I’ll say it again: If you pick up a gun and use it to commit a crime, together, we will come after you. And we are very good at what we do.”

“Anyone willing to victimize a total stranger at gunpoint at any time, much less in broad daylight, in the middle of the day, is a clear threat to our community,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “No one who lives, works, or visits here should have to fear violent criminals targeting them for their vehicle or any other possessions. The FBI’s Violent Crimes Task Force will continue to work in lockstep with the Philadelphia Police Department and all of our partners to get guns out of the hands of those who shouldn’t have them and dangerous individuals off the street. We will never cede this city to criminals who have total disregard for the lives and safety of others.”

If convicted, the defendant faces a maximum possible sentence of lifetime imprisonment.

The case was investigated by the Federal Bureau of Investigation and the Philadelphia Police Department, with assistance from the Delaware State Police, Wilmington Police Department and the New Castle County Police Department, and is being prosecuted by Assistant United States Attorney Justin Oshana.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that the United States and the Commonwealth of Pennsylvania Department of Environmental Protection filed a civil lawsuit against the Bucks County Water and Sewer Authority (“the Authority”), alleging violations of the federal Clean Water Act and Pennsylvania Clean Streams Law. The violations primarily consist of sanitary sewer overflows – typically in the form of wastewater overflowing from manholes – and operation and maintenance violations under its state-issued permits. 

At the same time the civil suit was filed, the United States and the Commonwealth of Pennsylvania also filed a proposed consent decree that would resolve the lawsuit subject to the District Court’s approval. The Authority will pay a $450,000 penalty and will be obligated to devote substantial resources to evaluate and upgrade its sewer systems as part of the decree.

The Authority owns and operates hundreds of miles of sewer pipes and associated treatment plants, and wastewater collection and conveyance systems, largely situated in Bucks County. The Authority’s service areas have historically suffered from sanitary sewer overflows, including more than 100 that have occurred in Plumstead Township since 2014. In that timeframe, multiple overflows have also occurred in Bensalem, Richland, Doylestown Borough, Middletown, Upper Dublin, and New Hope-Solebury.

Sanitary sewer overflows are typically characterized as unauthorized discharges of pollutants into waterways. Properly designed, operated, and maintained sanitary sewer systems are meant to collect and transport sewage to a treatment facility. Overflows occur for a variety of reasons, including severe weather, improper system design, equipment failures, poor management, improper operation and maintenance, and vandalism. Sanitary sewer overflows pose a substantial risk to public health and the environment. The main pollutants in raw sewage from overflows are bacteria, pathogens, untreated industrial wastes, toxic substances such as oil and pesticides, and wastewater solids.

Along with the financial penalty, the Authority has agreed to evaluate its collection system and adopt extensive measures to ensure compliance with the federal and state requirements. These measures include monitoring water flow; modelling the collection system; conducting inflow and infiltration evaluations; identifying and remedying hydraulic capacity limitations; addressing illegal sewer connections; and improving its overall operation and maintenance program.

“It’s no secret that many communities in the United States are grappling with issues caused by aging infrastructure, especially here on the East Coast which employs some of the oldest systems. However, there are ways to manage and address these issues in order to maintain the safety of our environment and property. Here, this consent decree will greatly reduce the problem of sewage in streets, basements, waterways in Bucks County and beyond,” said U.S. Attorney Williams. “We thank the Authority for working cooperatively to reach this resolution that will surely improve public health and environmental quality.”

“We’re pleased that the water and sewer authority has agreed to take extensive steps to upgrade and improve sewer systems for Bucks County, particularly the Plumstead area,” said Todd Kim, Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division.  “The federal Clean Water Act requires communities to eliminate or reduce their sewage overflows into the nation’s rivers, lakes, and oceans. Today’s agreement furthers that and will result in a cleaner, safer, Delaware River.” 

“Sewer overflows pollute rivers and streams and can expose local residents to toxic pollutants,” said Larry Starfield, Acting Assistant Administrator for EPA’s Office of Enforcement and Compliance Assurance. “Today’s settlement will reduce sewer overflows, which mean a cleaner, safer environment for residents of Bucks County.”

“Protecting the air, land, and water from pollution, while providing for the health and safety of our citizens is the very mission of our agency,” said DEP Secretary Patrick McDonnell. “We are accomplishing just that through this coordinated and cooperative effort, not only with our federal partners at EPA, but with the Bucks County Water and Sewer Authority as well.”

The Authority cooperated with the investigation. As part of the settlement, it did not admit liability for the alleged violations.

The proposed consent decree, which has been filed in the U.S. District Court for the Eastern District of Pennsylvania, is subject to a 30-day public comment period and approval by the federal court.

The case was handled by Civil Chief Gregory B. David, former Assistant U.S. Attorney John T. Crutchlow, and Pamela Lazos, Senior Assistant Regional Counsel for the United States Environmental Protection Agency. Supervisory Counsel William H. Gelles handled the case on behalf of the Commonwealth of Pennsylvania Department of Environmental Protection. 

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Ashante Richardson, 46, of Lawrenceville, GA, and Frank Crosson, 50, of Greensboro, NC, were arrested and charged by Indictment with conspiracy to commit wire fraud and multiple counts of wire fraud in connection with a scheme to fraudulently alter numerous individuals’ credit scores in order to obtain loans and credit.

According to the Indictment, which was unsealed in conjunction with the defendants’ initial appearances in federal court on these charges today, from about September until December 2016, the defendants conspired with another individual to alter the credit histories of themselves and their clients in order to falsely improve those individuals’ chances of securing credit and loans from financial institutions. At the time of the charged conduct, the defendants’ co-conspirator was an employee of TransUnion, one of the three primary consumer credit reporting agencies in the United States. Richardson and Crosson allegedly paid this individual $40,000 in exchange for making unauthorized and unsupported alterations to individuals’ TransUnion credit histories, including the credit histories of clients of Perpetual Synergy, a credit repair business operated by Richardson. Shortly after the co-conspirator at TransUnion made the alterations to these individuals’ credit histories, many of those individuals credit scores increased and they obtained new credit cards, lines of credit, or bank loans.

“The defendants allegedly cheated our national system of credit reporting in order to bolster their scores and those of their clients,” said U.S. Attorney Williams. “Criminals that conduct schemes like this prey on the hard work and honesty of all American consumers who operate within the system to build their credit histories. Our Office will continue to investigate and prosecute financial fraud to protect the integrity of the markets and commerce.”

If convicted the defendants faces a maximum possible sentence of 180 years in prison, three years of supervised release, a $2,250,000 fine, and a $900 special assessment.

The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney K.T. Newton.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Tyeed Henson, 22, of Philadelphia, PA, was charged by Indictment with nine counts of Hobbs Act robbery stemming from a rash of late-2020 armed robberies of Philadelphia-area convenience stores over the course of one week.

According to the Indictment, from October 30 through November 5, 2020, the defendant is alleged to have robbed seven convenience stores in West and Southwest Philadelphia of money and store merchandise at gunpoint. Following an investigation by the Philadelphia Police Department, investigators learned of two additional alleged robberies in Yeadon and Bala Cynwyd with fact patterns that were consistent with the Philadelphia robberies.

“The complete disregard that this defendant is charged to have demonstrated for the safety and well-being of others is appalling,” said U.S. Attorney Williams. “As alleged, in just seven days, Henson terrorized the employees of nine area businesses who were simply doing their jobs. Through our multi-pronged approach - including strategic use of recently announced grant funding for the PSN program - we will continue our coordination with the Philadelphia Police Department and federal agencies to make the community safer by removing criminals like this from our streets.”

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

If convicted of all charges, Henson faces a total possible maximum sentence of 180 years in prison and three years of supervised release, a $2.25 million fine, and a $100 special assessment.

The case was investigated by the Philadelphia Police Department, Yeadon Police Department, Lower Merion Police Department, and the Federal Bureau of Investigation, and is being prosecuted by Special Assistant United States Attorney Martin Howley.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Edward Holloway, 34, of Philadelphia, PA was charged by Indictment with possession of a controlled substance with intent to distribute, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a convicted felon, all stemming from a vehicle search conducted during traffic stop earlier this year.

In January 2021, Philadelphia Police Department officers initiated a traffic stop of the defendant’s vehicle. A subsequent search of the vehicle is alleged to have uncovered a large quantity of cocaine and additional packets of crack cocaine in a void under the vehicle’s center console. Investigators are also alleged to have recovered a loaded semiautomatic firearm from the same location.

“Drugs and firearms are a very dangerous combination, especially in Philadelphia where the violent crime rate has reached record-breaking levels,” said U.S. Attorney Williams. “Through the initiatives we launched this year like #AllHandsOnDeck and DOJ-OJP Public Safety Partnership, and the recently announced grant funding for the PSN program, we will continue our coordination with the Philadelphia Police Department and federal agencies to make the community safer by removing criminals like this from our streets.”

“This investigation is a result of our outstanding partnership with the Philadelphia Police Department and the Pennsylvania State Police,” said Matthew Varisco, Special Agent in charge of ATF’s Philadelphia Field Division.  “Convicted felons who carry firearms pose a serious risk to public safety.  ATF will continue to aggressively pursue these investigations and work with our law enforcement partners to remove these violent criminals from our communities.” 

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

If convicted of all charges, the defendant faces a total possible maximum sentence of lifetime imprisonment, a 15-year mandatory minimum term of imprisonment, at least three years of supervised release, a fine of $1.5 million, and a $300 special assessment.

The case was investigated by the Philadelphia Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives, and is being prosecuted by Special Assistant United States Attorney Martin Howley.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams and Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division announced that John Murray Rowe, Jr., 63, of Lead, South Dakota, a former employee of multiple cleared defense contractors, was arrested in South Dakota for attempting to communicate classified national defense information to aid a foreign government.  

The defendant was charged by a criminal complaint that was unsealed and made public today upon Rowe’s arrest in the District of South Dakota. According to the complaint, Rowe, who is originally from Massachusetts, was employed for nearly 40 years as a test engineer for multiple security cleared defense contractors. In connection with his employment, the defendant held various national security clearances from SECRET to TOP SECRET//SCI (Sensitive Compartmented Information) and worked on matters relating to the U.S. Air Force’s aerospace technology, among other things. After committing a number of security violations and revealing a fervent interest in Russian affairs, including asking whether he could obtain a security clearance from the Russian government, Rowe was identified as a potential insider threat and terminated from employment.

Based on his conduct, the FBI began an undercover operation to determine the defendant’s willingness to communicate classified information to a foreign government. In March 2020, Rowe met with an FBI employee operating in a covert capacity and posing as an agent of the Russian government. Over the course of the next eight months, Rowe exchanged over 300 emails with the purported Russian agent, confirming his willingness to work for the Russian government and discussing his knowledge of classified information relating to U.S. national security and military interests. In one email, Rowe explained, “If I can’t get a job here then I’ll go work for the other team.” In another email, Rowe disclosed national defense information classified as SECRET that concerned specific operating details of the electronic countermeasure systems used by U.S. military fighter jets.

Rowe will make his initial appearance in federal court on these charges in South Dakota tomorrow. If convicted, the defendant faces a maximum possible sentence of life in prison.

The case was investigated by the FBI Philadelphia Field Office, and is being prosecuted by Assistant United States Attorney Sarah Wolfe and Justice Department Trial Attorney Scott Claffee of the National Security Division’s Counterintelligence and Export Control Section. Valuable assistance was provided by the Lead Police Department in South Dakota, the U.S. Attorney’s Office for the District of South Dakota, the U.S. Air Fore Office of Special Investigations, and the FBI’s Minneapolis Field Office and Rapid City Resident Agency.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

A South Dakota man was arrested last night in Lead, South Dakota, on criminal charges related to his alleged espionage attempts.

According to court documents, John Murray Rowe Jr., 63, of Lead, attempted to provide classified national defense information to the Russian government. According to the complaint, Rowe, who is originally from Massachusetts, was employed for nearly 40 years as a test engineer for multiple cleared defense contractors. In connection with his employment, Rowe held various national security clearances from SECRET to TOP SECRET//SCI (Sensitive Compartmented Information) and worked on matters relating to the U.S. Air Force’s aerospace technology, among other things. After committing a number of security violations and revealing a fervent interest in Russian affairs, including whether he could obtain a security clearance from the Russian government, Rowe was identified as a potential insider threat and terminated from employment.

Based on his conduct, FBI began an undercover operation to determine Rowe’s willingness to communicate classified information to a foreign government. In March 2020, Rowe met with an undercover FBI employee who posed as an agent of the Russian government. Over the course of the next eight months, Rowe exchanged over 300 emails with the purported Russian agent, confirming his willingness to work for the Russian government and discussing his knowledge of classified information relating to U.S. national security and military interests. In one email, Rowe explained, “If I can’t get a job here then I’ll go work for the other team.” In another email, Rowe disclosed national defense information classified as SECRET that concerned specific operating details of the electronic countermeasure systems used by U.S. military fighter jets.

Rowe is charged with attempting to communicate national defense information to aid a foreign government and will make his initial court appearance in the District of South Dakota on Friday. If convicted, he faces a maximum statutory penalty of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division; U.S. Attorney Jennifer A. Williams for the Eastern District of Pennsylvania; Assistant Director Alan E. Kohler Jr. of the FBI’s Counterintelligence Division and Special Agent in Charge Jacqueline Maguire of the FBI’s Philadelphia Field Office made the announcement.

The FBI’s Philadelphia Field Office is investigating the case with valuable assistance provided by the Lead Police Department in South Dakota.

Assistant U.S. Attorney Sarah Wolfe for the Eastern District of Pennsylvania and Trial Attorney Scott Claffee of the National Security Division’s Counterintelligence and Export Control Section   are prosecuting the case.

Valuable assistance was provided by the U.S. Attorney’s Office for the District of South Dakota, the U.S. Air Force Office of Special Investigations, and the FBI’s Minneapolis Field Office and Rapid City Resident Agency.

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

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Emily Baier, 28, of West Chester, PA, was sentenced to 14 months in prison and five years of supervised release by United States District Judge Eduardo C. Robreno for falsely claiming and taking approximately $47,000 in pandemic unemployment compensation authorized by the CARES Act. Her co-conspirator, Jacob Fulton, 33, of Coatesville, PA, was sentenced to one and a half years in prison for his role the scheme earlier this month.

On March 27, 2020, the CARES ACT was enacted and created the Pandemic Unemployment Assistance (“PUA”) program, to provide unemployment benefits to workers who lost their jobs because of the COVID-19 pandemic and who were ineligible for other unemployment compensation. The defendant took advantage of and unlawfully profited from the PUA program by submitting and continuing to certify fraudulent PUA claims for herself and for inmates of Chester County Prison, including her co-conspirator, knowing that neither she nor these inmates were entitled to these benefits.

Specifically, in May 2020, the defendant filed a PUA claim for herself knowing that she was not eligible for such benefits because she was not unemployed as a result of the COVID-19 pandemic. Baier continued to submit weekly submissions of certification that she and her co- conspirator—who was at that time an inmate of Chester County Prison—were eligible for these benefits, all while knowing that neither she nor her co-conspirator were eligible for these benefits. Then, between July and August 2020, the defendant schemed with her co-conspirator to file PUA claims on behalf of at least two other inmates and take a cut of the claim payments for themselves. In September 2021, the defendant pleaded guilty mail fraud and conspiracy to commit mail fraud based on this conduct.           

“Pandemic Unemployment Assistance funds are intended to help working Americans continue to pay their bills and make ends meet, even when hours and wages have dropped dramatically due to the pandemic,” said U.S. Attorney Williams. “Thieves who attempt to take these funds unlawfully are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the program. Baier fraudulently obtained thousands of dollars in funds that could have helped struggling individuals.”

“Those who think they can exploit the system by stealing from the PUA Program should take notice of the sentence Baier received,” said IRS Criminal Investigation Special Agent in Charge Yury Kruty. “We will continue to use all resources at our disposal to investigate and hold accountable fraudsters like Baier.”

“Emily Baier engaged in a scheme with her co-defendant to defraud the Pennsylvania Pandemic Unemployment Assistance (PUA) program by obtaining personal information from inmates in Chester County Jail and submitting fraudulent claims for PUA benefits on behalf of those inmates even though they were incarcerated and not able and available to work. The U.S. Department of Labor Office of Inspector General and its partners, such as the Pennsylvania Department of Labor and Industry, will continue to work together to preserve the integrity of unemployment compensation benefit programs by vigorously pursuing those who commit this type of fraud,” stated Special Agent-In-Charge Syreeta Scott, Philadelphia Region, U.S. Department of Labor Office of Inspector General.

The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service, Criminal Investigations, and the U.S. Department of Labor Office of the Inspector General, and is being prosecuted by Assistant United States Attorney J. Jeanette Kang.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Devron Brown, 50, formerly of Philadelphia, PA, pleaded guilty before United States District Court Judge Chad F. Kenney for his involvement in a scheme to unlawfully obtain and misuse loan proceeds offered through the federal Paycheck Protection Program (“PPP”). 

In June 2021, the defendant was indicted on eleven felony counts: two counts of bank fraud and attempted bank fraud, and nine counts of money laundering for fraudulently obtaining approximately $937,500 in PPP loan proceeds by making false representations regarding his alleged construction business, Just Us Construction, Inc. Brown made multiple false characterizations about the business, including the number of employees, the wages paid to them, the payroll taxes paid on those wages, and the intended use of the PPP loan proceeds. Brown then used those PPP loan proceeds for personal and unauthorized purchases, including a new residential property in Florida, a motorcycle, an all-terrain vehicle, a luxury automobile, and diamond jewelry. The defendant also caused a second fraudulent PPP loan application to be submitted for approximately the same amount in early 2021, but that application was denied. Following his arrest on the indicted charges, Brown failed to appear in court as required and absconded as a fugitive, in violation of the terms of his pretrial release. He was apprehended by authorities and returned to the Eastern District of Pennsylvania earlier this year to face the charges against him. 

“Paycheck Protection Program funds are intended to help American small-businesses continue paying their employees, even if revenues have dropped dramatically due to the pandemic,” said U.S. Attorney Williams. “Thieves who attempt to take these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the program. Here, the defendant fraudulently obtained nearly $1 million in funds that could have helped struggling businesses and individuals, and instead spent the money on indulgences for himself.”

The case was investigated by the Federal Bureau of Investigation and the Federal Housing Finance Agency, Office of the Inspector General, with assistance from the United States Marshals Service, and is being prosecuted by Assistant United States Attorney Kathryn Deal.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Bernard Giddings, 26, of Philadelphia, PA, pleaded guilty before United States District Court Judge Michael M. Baylson to illegally possessing a firearm as a felon following an incident on a state highway earlier this year.

On March 4, 2021, Pennsylvania State Police responded to an incident that took place on Interstate-76 at approximately 2:30 p.m. Following leads developed in the investigation, PSP investigators obtained a search warrant for the Giddings’ residence in Philadelphia. Upon execution of the search warrant, Troopers recovered a loaded semi-automatic firearm and an extended magazine under the bed where Giddings was sleeping. The defendant ultimately admitted to possessing the gun, and forensic testing found his DNA on the weapon as well. PSP investigators later determined that the firearm had been reported stolen out of North Carolina in 2019. The defendant was thereafter charged by Indictment with one count of possession of a firearm by a felon.

“The crime of being a felon in possession of a firearm is a serious offense, particularly in Philadelphia where gun violence has reached record-breaking levels this year,” said U.S. Attorney Williams. “Bernard Giddings admitted to illegally possessing a firearm which was recovered by Pennsylvania State Police after investigating a serious incident. Our Office is determined to continue doing everything we can to reduce gun violence in Philadelphia by being ‘All Hands On Deck’ to get criminals like this defendant off the streets for a long time.”

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

The case was investigated by the Pennsylvania State Police and the Bureau of Alcohol, Tobacco, Firearms & Explosives, and is being prosecuted by Special Assistant United States Attorney Martin Howley.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that The Department of Justice has awarded more than $17.5 million in grants to support the Project Safe Neighborhoods (PSN) Program. Funding will support efforts across the country to address violent crime, including the gun violence that is often at its core. Locally, the Pennsylvania Commission on Crime and Delinquency was awarded $282,428 to administer PSN grant funds in the Eastern District of Pennsylvania.

The Bureau of Justice Assistance (BJA), part of the department’s Office of Justice Programs (OJP), will administer the 88 grant awards, which are being made to designated fiscal agents to support local PSN projects that work in partnership with U.S. Attorneys’ Offices.

“This announcement and grant funding from the Department of Justice could not come at a better time for the Eastern District of Pennsylvania, and specifically for Philadelphia – a city that is experiencing an epidemic of gun violence,” said U.S. Attorney Williams. “A great deal of ink has been spilled in the last few weeks by many as we all struggle to identify and combat the reasons behind the city’s record number of homicides this past year. In 2021, this Office has steadfastly pledged our support and partnership in myriad ways to the local agencies tasked with investigating and prosecuting violent criminals, including our ‘All Hands on Deck’ initiative and the recently announced DOJ-OJP Public Safety Partnership. While it may be the purview of others to debate the reasons why violence remains so intractable in Philadelphia, our job remains the same: prosecuting criminals and deterring future unlawful acts. With this grant from the Department, the PSN program in our District will continue to be an important tool in accomplishing that mission.”

Grant funds will support the PSN strategy within the Eastern District of Pennsylvania with the continuation of Special Assistant U.S. Attorneys (SAUSA) handling firearms cases, with the goal of disrupting drug and firearm trafficking operations in and around Philadelphia. SAUSAs are cross-designated prosecutors from partner agencies at the state and local levels who focus on violent crime cases in specific geographic areas. More broadly, the PSN strategy also includes prosecution of all types of federal violent crime, including but not limited to, Hobbs Act robberies, car-jackings, murder-for-hire, armed robberies, and firearms trafficking.

“This latest Project Safe Neighborhoods grant is critical to addressing the violent crime threatening cities and towns all across our country,” said Deputy Attorney General Lisa O. Monaco. “Ensuring the safety of all Americans is the highest priority for the Department of Justice, but when it comes to violent crime, there is not a one-size-fits-all solution. We have to work closely with local public safety agencies as well as community organizations to craft individual strategies unique to each community’s needs. Programs like Project Safe Neighborhoods and the funding it provides allow us to do just that.”

“Investing in our communities, supporting victims and building a justice system that both keeps people safe and earns their trust – these are mutually reinforcing goals that stand at the heart of Project Safe Neighborhoods,” said Principal Deputy Assistant Attorney General Amy L. Solomon for OJP. “The Office of Justice Programs is pleased to join with our U.S. Attorneys’ Offices, and with jurisdictions across the country, as we work together to meet the challenges of crime and violence and achieve our shared aspirations of public safety and community trust.”

In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime issued by Deputy Attorney General Monaco, is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.

This fall, U.S. Attorney’s Offices across the country have enhanced their violent crime reduction efforts to ensure alignment with the department’s comprehensive violent crime reduction strategy. U.S. Attorneys’ Offices have engaged in outreach to law enforcement and other agencies and organizations serving communities to identify the most significant drivers of violence in their districts. Working together with a broad coalition of stakeholders, the U.S. Attorneys’ Offices are addressing the most pressing violent crime issues in their district to make our neighborhoods safer for all.

PSN programs are led by U.S. Attorneys’ Offices in collaboration with local public safety agencies, community stakeholders and other agencies and organizations that work to reduce violent crime.

For a list of all grantees, please visit: https://www.ojp.gov/sites/g/files/xyckuh241/files/media/document/FY21-Project-Safe-Neighborhoods-Awards.pdf  

Information about these and other FY 2021 grant awards from the Office of Justice Programs can be found online at the OJP Grant Awards Page.

PHILADELPHIA, PA – United States Attorney Jennifer Arbittier Williams announced that the owner of LAN Apothecary, Inc. (“LAN Apothecary”) in Philadelphia has agreed to pay $1,000,000 to resolve liability under the False Claims Act.

LAN Apothecary and owner-pharmacist Bachtu (“Theresa”) M. Phan will jointly pay $1,000,000 to the federal government to resolve allegations that they violated the False Claims Act by billing Medicare for prescription medications that were not actually dispensed during the period from January 1, 2014 to June 29, 2019. These medications include, but are not limited to, Januvia, Janumet, Zetia, Tradjenta, Linzess, Advair Diskus, Namenda XR, and Dexilant. As part of the resolution with the United States, LAN Apothecary and Theresa Phan will enter into a corporate integrity agreement  with the Department of Health and Human Services, Office of the Inspector General. The integrity agreement requires them to undertake substantial compliance obligations and to contract with an Independent Review Organization that will conduct quarterly third-party audits of their Medicare and Medicaid claims and drug inventory.

“Pharmacies and pharmacists have a responsibility to serve as gatekeepers of a closed system of prescription drug distribution. That responsibility was allegedly abused for profit here,” said U.S. Attorney Williams. “Taxpayer dollars should be spent on needed medications, not wasted on fraud and abuse.”

“Pharmacies are responsible for all claims they submit to Medicare,” said Maureen R. Dixon, Special Agent in Charge of the Philadelphia Regional Office of the Department of Health and Human Services, Office of the Inspector General. “HHS-OIG and the U.S. Attorney’s Office take allegations of health care fraud seriously and will work together to ensure taxpayer dollars are only spent on bona fide medical claims.”

The settled civil claims are allegations only. There has been no determination of civil liability.

This case was investigated by the U.S. Department of Health and Human Services Office of the Inspector General. It was handled by Assistant U.S. Attorney Deborah W. Frey and Auditor George Niedzwicki.    

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Tony Ren, 58, of Philadelphia, Pennsylvania was convicted today at trial for bribing a public official from the Occupational Safety and Health Administration (OSHA). The charges arose from Ren’s attempts to bribe an OSHA Compliance Safety and Health Officer in order to induce him not to report safety violations at a Philadelphia construction site run by Ren, and to eliminate previous safety violations and corresponding fines.

In September 2021, the defendant was charged by Indictment with two counts of bribery. According to the Indictment, in October 2017, the OSHA official conducted an inspection of a worksite on Arch Street in response to an imminent hazard report. During the inspection, the official observed numerous violations of OSHA standards including debris in passageways, electrical issues, holes in the floor, and gas tanks with broken pressure gauges. The Indictment alleges that on two separate dates in November 2017, Ren offered $1,500 cash bribes to the OSHA official in exchange for the official falsifying the inspection results and agreeing not to report the violations so that the defendant could avoid the substantial penalties that would follow.

“OSHA inspections and standards exist for a reason: to prevent injuries and protect workers,” said U.S. Attorney Williams. “As the evidence presented at trial showed, the defendant attempted to subvert this system of protections by bribing an official to look the other way on multiple workplace safety violations. This case should serve as a warning to all employers that our Office will investigate and prosecute fully this type of corruption.”

The case was investigated by the United States Department of Labor, Office of Inspector General, Office of Investigations-Labor Racketeering and Fraud and is being prosecuted by Assistant United States Attorney Mary Kay Costello.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Ricardo Torres, 37, of Philadelphia, PA, was convicted today at trial of illegally possessing a firearm when he knew was prohibited from doing so because he had been previously convicted of a felony.

In September 2019, the defendant was Indicted for being a felon in possession of a firearm, charges which stemmed from a traffic stop conducted by Philadelphia Police officers in April of that year. The incident unfolded when Torres was driving in the area of C Street and Allegheny Avenue in the Kensington neighborhood.  Philadelphia Police officers on routine patrol observed that one of his vehicle’s brake lights was not working, so the officers conducted a traffic stop. When the defendant leaned forward to retrieve his vehicle documents, one of the officers twice observed a bulge in Torres’ waistband, underneath his sweatshirt. One officer then asked Torres to step out of his car and began patting him down, immediately locating a loaded semiautomatic pistol inside Torres’ waistband. The defendant had been convicted on three prior occasions of felony narcotics charges and was therefore barred from legally possessing a firearm.

“The crime of being a felon in possession of a firearm is a serious offense, particularly in Philadelphia where gun violence has reached record-breaking proportions,” said U.S. Attorney Williams. “As the evidence presented at trial showed, Ricardo Torres illegally possessed a firearm which was recovered by Philadelphia Police officers. Our Office is determined to continue doing everything we can to reduce gun violence in Philadelphia by being ‘All Hands On Deck’ to get criminals like this defendant off the streets for a long time.”

“This investigation demonstrates our dedicated partnership with the Philadelphia Police Department and the US Attorney’s Office,” said Matthew Varisco, Special Agent in charge of ATF’s Philadelphia Field Division. “We will remain committed to investigating and preventing convicted felons, like Torres, from possessing firearms and threatening the safety of our communities.”  

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

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and is being prosecuted by Assistant United States Attorney Nelson S.T. Thayer, Jr.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Joshua Obed Altruz, 26, of Bethlehem, PA, was sentenced to 14 years and one month in prison, five years of supervised release, and was ordered to pay a $1,000 fine and restitution by United States District Judge Edward G. Smith for committing two armed robberies on February 6, 2020.

In July 2021, the defendant pleaded guilty to an Indictment charging him with two counts of Hobbs Act robbery, and two counts of using, carrying, and brandishing a firearm during a crime of violence. The charges stemmed from two incidents on the same afternoon last February: a robbery of the Taylor Family Fuel and Mini Mart, followed by a robbery of a Rite Aid pharmacy a few hours later. Each of the crimes were captured on surveillance, which ultimately enabled law enforcement to link the robberies back to the same assailant. In both videos, the defendant was seen wearing the same clothing, brandishing a distinctive two-tone black and brown semi-automatic Glock pistol, and fleeing the scene in a gold Honda Civic with tinted windows and an indentation on the driver side door.

Immediately after the second robbery at the pharmacy, Bethlehem Police Department officers responded to a call and conducted a traffic stop on a car matching the description above. The defendant was found in possession of the distinctive handgun, which was fully loaded with ten rounds of ammunition.

“This defendant brazenly robbed two neighborhood businesses, and for that he will now spend over fourteen years in prison,” said U.S. Attorney Williams. “Hopefully others will learn from the example set here -- if you rob a business in our District with a firearm, you are going to face serious federal prison time as a result. Our Office is committed to being ‘All Hands On Deck’ working with our law enforcement partners to bring criminals to justice.”

“Determined to score money and pills, Joshua Altruz committed two armed robberies in less than four hours,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “He did so toting a fully loaded gun, which he pointedly showed his victims. Fortunately, Bethlehem police officers quickly saw and stopped Altruz’s vehicle, taking him into custody before he could target any other businesses. Getting violent criminals like this off the street is a priority for the FBI and our local law enforcement partners, as we all work our hardest to keep the public safe.”

The case was investigated by the Federal Bureau of Investigation, with assistance from the City of Bethlehem Police Department and the Northampton County District Attorney’s Office, and is being prosecuted by Assistant United States Attorney Kelly A. Lewis Fallenstein.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Timothy F. Shawl, M.D., 62, of Garnet Valley, Pennsylvania was sentenced to three years in prison, and two years of supervised release United States District Judge R. Barclay Surrick for his unlawful distribution of controlled substances in connection with his medical practice based in Philadelphia.

In January 2020, the defendant pleaded guilty to five counts of unlawful distribution of controlled substances, admitting that he wrote prescriptions for controlled substances that were outside the usual course of professional practice and not for a legitimate medical purpose. Shawl was charged by Indictment in September 2019, as part of a nationally coordinated healthcare fraud enforcement action across seven federal districts, involving more than $800 million in loss and more than 3.25 million opioid pills distributed in “pill mill” clinics.  Specifically, Shawl wrote prescriptions, usually for oxycodone, for certain patients without seeing, treating or examining them; generally, certain patients just picked up an envelope with their prescription from the receptionist at Shawl’s office. For one patient, he had not conducted a physical examination in at least five years, despite regularly prescribing controlled substances. This patient died on January 7, 2019, just three days after Shawl last prescribed oxycodone for her, and the cause of death was drug intoxication.

“This sentence should serve as a warning to any medical professional engaged in this type of illegal behavior,” said U.S. Attorney Williams. “As a physician, Shawl was well aware of the inherently dangerous nature of the drugs he cavalierly prescribed, sometimes to vulnerable people struggling with addiction, and he did so despite taking an oath to do no harm. He is no better than a street-level drug dealer; in fact, in some ways he is far worse.”

“Our community has felt the negative effects of pill mills operated by doctors like Shawl, who use their positions of trust to become drug dealers for personal profit, for far too long,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “But the FBI and our law enforcement partners are fighting back, and we will continue to tirelessly pursue unethical doctors who write illegal opioid prescriptions that are plainly outside their professional practice. Today’s sentencing is a testament to the dedication and teamwork in combating the opioid crisis in the Philadelphia area.”

The case was investigated by the Federal Bureau of Investigation with assistance from task force officers from the Philadelphia Police Department and Pennsylvania Office of the Attorney General, and is being prosecuted by Trial Attorney Debra Jaroslawicz of the Criminal Division’s Fraud Section.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Jacob Fulton, 33, of Coatesville, PA, was sentenced to one year and six months in prison, five years of supervised release, and ordered to pay full restitution by United States District Judge Eduardo C. Robreno for falsely claiming and taking approximately $32,000 in pandemic unemployment compensation authorized by the CARES Act.

On March 27, 2020, the CARES ACT was enacted and created the Pandemic Unemployment Assistance (“PUA”) program, to provide unemployment benefits to workers who lost their jobs because of the COVID-19 pandemic and who were ineligible for other unemployment compensation. The defendant took advantage of the program by unlawfully submitting fraudulent PUA claims for himself and for inmates of Chester County Prison, knowing that neither he nor these inmates were entitled to these benefits.

In May 2020, the defendant filed a PUA claim for himself knowing that he was not eligible for such benefits because he was not unemployed as a result of the COVID-19 pandemic. After Fulton was arrested and sent to Chester County Prison in July 2020, he continued to submit weekly certifications that he was eligible for these benefits (with the aid of his co-defendant), all while knowing that he was not eligible for these benefits because he was in prison. At the same time, Fulton conspired to file PUA claims on behalf of at least two other inmates and take a cut of the claim payments for himself. In August 2021, the defendant pleaded guilty to charges of mail fraud and conspiracy to commit mail fraud stemming from the scheme to file false PUA claims for himself and others.

“Pandemic Unemployment Assistance funds are intended to help working Americans continue to pay their bills and make ends meet, even when hours and wages have dropped dramatically due to the pandemic,” said U.S. Attorney Williams. “Thieves who attempt to take these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the program. Fulton fraudulently obtained thousands of dollars in funds that could have helped struggling individuals.”

“The CARES ACT was designed to provide assistance to hard working Americans and their families suffering from financial hardships. Today’s sentence sends the message that the FBI is committed to protecting tax payer funded programs and will aggressively investigate fraudsters like Fulton and his fellow inmates who seek to abuse such programs,” said Jacqueline Maguire, Special Agent in Charge of the FBI's Philadelphia Division.

“Fulton thought he could get rich at the expense of Americans who desperately needed the Pandemic Unemployment Assistance,” said IRS Criminal Investigation Special Agent in Charge Yury Kruty.  “His sentence today shows just how much such criminal conduct will not be tolerated. Those contemplating similar conduct should take notice”

“Jacob Fulton engaged in a scheme with his co-defendant to defraud the Pennsylvania Pandemic Unemployment Assistance (PUA) program by obtaining personal information from inmates in Chester County Jail and submitting fraudulent claims for PUA benefits on behalf of those inmates even though they were incarcerated and not able and available to work. The U.S. Department of Labor Office of Inspector General is grateful for our partnerships with the Pennsylvania Department of Labor and our many law enforcement partners. We also want to thank the U.S. Attorney’s Office for their continued efforts to prosecute those who violate public benefit programs and commit fraud,” stated Syreeta Scott, Special Agent-in-Charge of the Philadelphia Region, U.S. Department of Labor Office of Inspector General. 

The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service, Criminal Investigations, and the U.S. Department of Labor Office of the Inspector General, and is being prosecuted by Assistant United States Attorney J. Jeanette Kang.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Darrell Johnson, 36, of Philadelphia, Pennsylvania, was sentenced to 14 years and one day of imprisonment by United States District Judge Wendy Beetlestone, after pleading guilty to committing three gunpoint robberies and brandishing a firearm during the course of his three-day crime spree in April 2017.

Each of Johnson’s crimes was captured on surveillance video from the stores he robbed, which ultimately enabled law enforcement to link the robberies back to the same assailant.  Johnson first robbed a 7-Eleven convenience store in the early morning hours of April 22, 2017. Video surveillance inside the store captured Johnson pointing a distinctive silver and black, 9mm semi-automatic pistol at store employees and demanding all the money in the store. Just a few hours after he robbed the 7-Eleven store, Johnson robbed a Dunkin Donuts restaurant, wearing the same clothing and pointing the same silver and black firearm at the employees and demanding money from the register. Just before entering Dunkin Donuts, the defendant was captured on surveillance video doing warm-up calisthenics and stretching exercises with the gun in his hand. On April 25, 2017, he was captured by Philadelphia Police in the act of robbing a Rite Aid pharmacy, again with a silver and black semi-automatic firearm. A later forensic examination of the firearm recovered at Rite Aid and a bullet recovered at the 7-Eleven crime scene definitively placed the gun at both robberies.

In December 2017, a grand jury issued a seven-count superseding indictment against the defendant, charging him with three counts of robbery which interferes with interstate commerce (Hobbs Act robbery); three counts of using, carrying, and brandishing a firearm during and in relation to a crime of violence; and one count of possessing a firearm as a convicted felon. In March 2020, the defendant pled guilty to 6 counts in the superseding indictment.

“This defendant was determined to commit armed robbery, so much so he did it three times in the span of only four days,” said U.S. Attorney Williams. “His complete disregard for others and for the law is appalling. Hopefully others will learn from this example: if you rob a business in Philadelphia with a firearm, you are going to face serious federal prison time as a result. Our Office is committed to being ‘All Hands On Deck’ working with our law enforcement partners to bring criminals to justice.”

"The FBI is committed to keeping the Philadelphia area and its citizens safe from predators like Darrell Johnson," said Jacqueline Maguire, Special Agent in Charge of the FBI's Philadelphia Division. "Today’s sentencing sends a message to violent criminals that if you terrorize our community, we will find you and bring you to justice."

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

The case was investigated by the Federal Bureau of Investigation, with assistance from the Philadelphia Police Department and is being prosecuted by Assistant United States Attorneys Alison Donahue Kehner and Michael R. Miller.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Christopher Gehris, 46, of Phoenixville, PA, was charged by Information with one count of embezzlement from a program receiving federal funds.

According to the Information, from November 2013 until July 2019, the defendant was the Director of Finance/Business Manager of the Phoenixville Area School District (PASD). The Information alleges that Gehris misappropriated funds from PASD bank accounts, directed unauthorized payments to himself, made false entries, and fabricated receipts, all in order to embezzle more than $90,000 in school funds earmarked for student sporting events, field trips, summer programs and other school events. For the years during the charged conduct, the PASD received federal funds for school programming.

“The defendant allegedly stole nearly $100,000 from a public school district, money which was specifically allocated for student activities meant to enhance their educational experience,” said U. S. Attorney Williams. “Criminals that embezzle public money from schools are ripping off hundreds of students while also ripping off all taxpayers who fund them.”

"The FBI is committed to bringing justice to those, like Gehris, who dare to steal from programs funded with tax payer dollars," said Jacqueline Maguire, Special Agent in Charge of the FBI's Philadelphia Division. "In exploiting the trust the Phoenixville Area School District placed in him, Gehris stole from children and deprived them of meaningful educational experiences. The FBI will continue to work with our law enforcement partners to protect government-funded programs and investigate those who engage in similar greed-based schemes."

"Thank you to the United States Attorney’s Office for bringing these charges against Christopher Gehris and holding him accountable for stealing from the coffers of the Phoenixville School District, students, parents, and taxpayers," said Chester County District Attorney Deb Ryan. "It is a clear violation of trust for a school leader to take advantage of his position to the detriment of those children he is supposed to serve. Our children deserve better.”

If convicted, the defendant faces a maximum possible sentence of 10 years in prison and a $250,000 fine.

The case was investigated by Federal Bureau of Investigation, the Phoenixville Police Department and is being prosecuted by Assistant United States Attorney Terri A. Marinari and the Chester County District Attorney’s Office.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Moshe Porat, 74, of Bala Cynwyd, PA, the former Dean of Temple University’s Richard J. Fox School of Business and Management (“Fox”) from 1996 until 2018, was convicted today after trial on charges that he conspired and schemed to deceive the school’s applicants, students, and donors into believing that the school offered top-ranked business degree programs, so that they would pay tuition and make donations to Temple.

In April 2021, Porat was charged by Indictment with one count of conspiracy to commit wire fraud and one count of wire fraud. The charges stemmed from a multi-year conspiracy in which the defendant participated with a Fox professor named Isaac Gottlieb and a Fox employee named Marjorie O’Neill to submit false information about the school’s online MBA (“OMBA”) and part-time MBA (“PMBA”) programs to U.S. News & World Report in order to inflate Fox’s rankings in the annual U.S. News surveys of top OMBA and PMBA programs.

Among other things, the conspirators agreed to provide false information to U.S. News about the number of Fox’s OMBA and PMBA students who had taken the Graduate Management Admission Test (“GMAT”); the average work experience of Fox’s PMBA students; and the percentage of Fox students who were enrolled part-time, all because it was believed that better numbers for these metrics would result in better rankings for the programs.  And indeed, the scheme was successful. Relying on the false information it had received from Fox, U.S. News ranked Fox’s OMBA program Number One in the country four years in a row (2015 – 2018). U.S. News also moved Fox’s PMBA program up its rankings from No. 53 in 2014 to No. 20 in 2015, to No. 16 in 2016, and to No. 7 in 2017.]

Porat boasted about these rankings in marketing materials directed at potential Fox students and donors. Enrollment in Fox’s OMBA and PMBA programs grew dramatically in a few short years, which led to millions of dollars a year in increased tuition revenues.

“Today, a jury reaffirmed that wire fraud is a federal crime even when perpetrated within the system of higher education in the United States,” said U.S. Attorney Williams. “Moshe Porat misrepresented information about Fox’s application and acceptance process, and therefore about the student-body itself, in order to defraud the rankings system, potential students, and donors. This case was certainly unusual, but at its foundation it is just a case of fraud and underlying greed. We respect the jury’s verdict and thank its members for their service.”

The case was investigated by the Federal Bureau of Investigation, the United States Postal Inspection Service, and the Department of Education’s Office of the Inspector General; and is being prosecuted by Assistant United States Attorneys Mark B. Dubnoff, Nancy Potts, and MaryTeresa Soltis.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams and Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division announced that Barrie Osborne, 76, of Celebration, Florida, was charged by Indictment with with conspiracy to commit wire and bank fraud, wire fraud, bank fraud, and conspiracy to commit money laundering in connection with a scheme to fraudulently obtain more than $7 million in Paycheck Protection Program (PPP) loans, Economic Injury Disaster Loans (EIDL) and pre-pandemic Small Business Administration (SBA) loans, and to launder the proceeds of the illegal scheme.

The Indictment alleges that, beginning in about January 2018 until August 2021, the defendant, a professional tax preparer, conspired with at least eight California-based individuals to apply for SBA, PPP, and EIDL loans on behalf of their respective businesses. All of the businesses in question were dormant companies or companies with limited business operations. In exchange for fees, Osborne allegedly made the businesses appear to be functioning companies with operations and employees by creating fake documents, including fake bank statements and fictitious tax documents. The defendant also provided a “script” to scheme participants to use in calls with lenders. Osborne and the California co-conspirators allegedly obtained over $7.3 million in PPP, EIDL, and SBA loans. 

The Indictment further alleges that the defendant created “forgiveness plans” which were designed to disguise the fraud proceeds as payroll expenses in order to make it appear that each loan recipient was meeting the SBA requirement to devote a percentage of the PPP funds to payroll.  This increased the likelihood that each loan recipient – including one of the defendant’s own companies - would qualify for loan forgiveness.

“PPP, SBA and EIDL funds are intended to help American small-businesses continue paying their employees, even if revenues have dropped dramatically,” said U.S. Attorney Williams. “Thieves who attempt to take these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the program. As alleged, Osborne led a conspiracy to fraudulently obtain $7 million in funds that could have helped struggling businesses and individuals.”

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

This case was investigated by the Small Business Association Office of Inspector General, IRS-Criminal Investigation Philadelphia, Homeland Securitu Investigations’ Philadelphia Field Office, and the FBI’s Philadelphia Field Office, and is being prosecuted by trial attorneys David A. Stier and Patrick B. Gushue of the Criminal Division’s Money Laundering and Asset Recovery Section and Assistant United States Attorney Judy G. Smith for the Eastern District of Pennsylvania.

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

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

A Florida tax preparer was charged in an indictment filed in the Eastern District of Pennsylvania yesterday with scheming to fraudulently obtain more than $7 million in Paycheck Protection Program (PPP) loans, Economic Injury Disaster Loans (EIDL) and pre-pandemic Small Business Administration (SBA) loans, and to launder the proceeds of the illegal scheme.

The indictment alleges that, beginning in or around January 2018, Barrie J. Osborne, 76, of Celebration, conspired with at least eight California-based individuals to apply for SBA, PPP, and EIDL loans on behalf of their respective businesses that were dormant companies or companies with limited business operations. In exchange for fees, Osborne made the businesses appear to be functioning companies with operations and employees by creating fake documents, including fake bank statements and fictitious tax documents. Osborne also provided a “script” to scheme participants to use in calls with lenders. Osborne and the California co-conspirators allegedly obtained over $7.3 million in PPP, EIDL, and SBA loans. 

The indictment further alleges that Osborne created “forgiveness plans” that directed the co-conspirators to transfer the fraud proceeds as purported payroll expenses for each of the companies that obtained PPP funds, including one of his own companies. These so-called “forgiveness plans” were designed to disguise the proceeds as payroll expenses and make it appear that the loan recipient was meeting the SBA requirement that a percentage of the PPP funds be used for payroll, thus increasing the likelihood that the loan recipient would qualify for loan forgiveness. Osborne is charged with conspiracy to commit wire and bank fraud, wire fraud, bank fraud, and conspiracy to commit money laundering.

Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division; U.S. Attorney Jennifer Arbittier Williams for the Eastern District of Pennsylvania; Special Agent in Charge Amaleka McCall-Brathwaite of the Small Business Association Office of Inspector General (SBA-OIG) Eastern Region; Special Agent in Charge Yury Kruty of IRS-Criminal Investigation (IRS-CI) Philadelphia Field Office; Special Agent in Charge Brian Michael of Homeland Security Investigations (HSI) Philadelphia Field Office; and Acting Assistant Director Jay Greenberg of the FBI's Criminal Investigative Division made the announcement

This case was investigated by the SBA-OIG, IRS-CI, HSI’s Philadelphia Field Office, and the FBI’s Philadelphia Field Office. 

Trial Attorneys David A. Stier and Patrick B. Gushue of the Criminal Division’s Money Laundering and Asset Recovery Section and Assistant U.S. Attorney Judy G. Smith of the U.S. Attorney’s Office for the Eastern District of Pennsylvania are prosecuting the case.

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

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

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

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Thomas Gavin, 78, of Pottstown, PA, was sentenced to one day in prison, three years of supervised release with the first year to be served on home confinement, a $25,000 fine and was ordered to pay $23,385 in restitution by United States District Court Judge Mark A. Kearney for selling an antique rifle dating back to the American Revolution that he had stolen from a local museum.

In July 2021, the defendant pleaded guilty to an Information charging him with a single count: disposal of an object of cultural heritage stolen from a museum. As part of his guilty plea, Gavin admitted that he had stolen the Christian Oerter Rifle from the Valley Forge State Park Museum in 1971.  The rifle is a rare surviving 1775 rifle made by Christian Oerter, a master gunsmith from the Christian Springs Philadelphia-area gun-making center. The rifle is known to be one of two such rifles to have survived with its original flint mechanism bearing the maker’s name, site and date of manufacture, and is worth in excess of $175,000. The other Christian Oerter rifle is in the Royal Collection at Windsor Castle in England.  Gavin also admitted that he kept the rifle for over 40 years and sold it in 2018, along with other items that he had stolen from museums back in the 1970’s. 

“Stealing an artifact from a museum – literally a piece of American history – is a serious federal offense,” said U.S. Attorney Williams. “After four decades, justice finally caught up with this defendant. Thanks to the work of our law enforcement partners, the Christian Oerter rifle is safely back where it can be enjoyed by all Americans.”

“Thomas Gavin kept the stolen Oerter rifle squirreled away for decades, depriving all of us of this Revolutionary piece of our past,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “It is way past time for Mr. Gavin to be held accountable for his actions. This case is a great example of the FBI’s commitment to protecting and preserving the cultural property that helps tell the story of our nation.”

The case was investigated by members of the Federal Bureau of Investigation’s Art Crime Team and detectives with the Upper Merion Township Police Department, and is being prosecuted by Assistant United States Attorney K.T. Newton.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Robert Costello, 54, of Bethlehem, PA, was sentenced to twelve years and seven months in prison, and lifetime supervised release by United States District Court Judge Joseph F. Leeson, Jr. for child pornography offenses.

In March 2021, Costello pleaded guilty to all counts against him: three counts of receipt of child pornography, one count of access with intent to view child pornography, and one count of possession of child pornography. The defendant admitted to receiving sexually explicit images of children over the Internet and possessing thousands of sexually explicit images and videos of children on several devices that he kept and stored at his residence. During the time that he committed these crimes, Costello was employed as Assistant Commissioner of the New York City Department of Probation.

“The defendant held a position of public trust paid by taxpayer dollars as an Assistant Commissioner with the City of New York,” said U.S. Attorney Williams. “And at the same time, he was also downloading and storing sexually exploitative images of children – thus creating demand for those depictions to be produced and children to be victimized. Our Office will continue to work with our law enforcement partners in all jurisdictions to investigate and prosecute child sexual exploitation offenses – no matter what profession or status the offenders may hold.”

“Sexually exploiting children is a terrible crime, made even more reprehensible when the perpetrator is someone in a position of public trust,” said Brian A. Michael, Special Agent in Charge for Homeland Security Investigations Philadelphia, “Robert Costello, as an Assistant Commissioner of New York City’s probation department, violated that trust, and now he will face the consequences. HSI will continue to pursue cases like this one, to protect children and ensure that those responsible are held accountable for their crimes.”

The case was investigated by the Department of Homeland Security Investigations and Bethlehem Township Police Department and is being prosecuted by Assistant United States Attorneys Francis A. Weber and Kelly Harrell and Department of Justice Trial Attorney Jessica Urban of the Child Exploitation and Obscenity Section (CEOS).

PHILADELPHIA –United States Attorney Jennifer Arbittier Williams announced that the following defendants were charged with fraudulently obtaining emergency unemployment benefits related to COVID-19. Each of the following defendants was charged with one count of mail or wire fraud and one count of theft of government funds for obtaining Pandemic Unemployment Assistance (PUA) funds while working for the Philadelphia Police Department (PPD) and also collecting his or her City paycheck:

Shannon Reynolds, age 25, of Philadelphia, PA; Najah Harrell, age 32, of Philadelphia, PA; Korey Kinard, age 29, of Philadelphia, PA; Keely Maude, age 23, of Philadelphia, PA; Tashika White, age 50, of Cheltenham, PA; Paulette Johnson, age 55, of Philadelphia, PA; Monica Pelzer, age 45, of Philadelphia, PA; and Yarelis Feliciano, age 28, Philadelphia, PA.

Seven of the eight defendants are employed as radio dispatchers for the PPD: Reynolds, Harrell, Kinard, Maude, White, Pelzer and Feliciano. The eighth defendant, Johnson is employed as a clerk for the PPD. Each defendant is charged in a separate Indictment with the two counts noted above.

On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law. The CARES Act created the Pandemic Unemployment Assistance (PUA) program, which provides unemployment benefits to individuals not eligible for regular unemployment compensation or extended unemployment benefits, including individuals, families, and businesses affected by the COVID-19 pandemic. Eligibility to receive weekly PUA benefits is predicated on an applicant’s unemployment for reasons related to the pandemic, and it requires that the applicant was able to work each day and, if offered a job, would have been able to accept it. Once an applicant is approved to receive benefits, the applicant is required to submit weekly certifications indicating that he or she: was ready, willing and able to work each day; was seeking full time employment; did not refuse any job offers or referrals; and had reported any employment during the week and the gross pay or other payments received.

Each of the defendants is alleged to have submitted weekly certifications stating that they were not employed and were ready, willing, and able to work each day. The Indictments charge that these statements were false because each defendant was employed at the time by PPD. According to the Indictments, as part of the weekly certifications, each defendant also certified that he or she was not earning any wages or grossly unreported true wages to secure eligibility. However, these statements are also allegedly false according to PPD payroll records. As a result of these false statements, each defendant received PUA funds for multiple weeks in which he or she also collected his or her PPD salary.

“Pandemic Unemployment Assistance funds are intended to help Americans who are not working or who have experienced dramatically reduced working hours due to the pandemic, not people who are already gainfully employed,” said U.S. Attorney Williams. “Thieves who attempt to take these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the program. As alleged, these eight defendants fraudulently obtained funds that could have helped struggling individuals.”

“It should go without saying that, if you’re a) employed, and b) working for a law enforcement agency, applying for any sort of unemployment compensation is a really bad decision,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “It’s particularly disappointing when people with steady paychecks coming in are taking money set aside for those most affected by the pandemic. The FBI will continue to hold accountable anyone defrauding the government and taxpayers like this.”

These cases were investigated by the Federal Bureau of Investigation, United States Department of Labor – Office of Inspector General, and the Philadelphia Police Department with assistance from the Pennsylvania Department of Industry and Labor. These cases are being prosecuted by Assistant United States Attorney Timothy Lanni.

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

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Kenneth Blakeney, 29, of Philadelphia, PA, was sentenced to nine years in prison and three years of supervised release by United States District Court Judge Gene E. K. Pratter for being a felon in possession of a firearm.

In June 2021, the defendant was convicted at trial for being a felon in possession of a gun stemming from an incident the previous year. In March 2019, Philadelphia Police Officers found a loaded gun in the defendant’s possession during a traffic stop. The defendant was a convicted felon and was not allowed by law to possess a firearm. When officers attempted to recover the gun, the defendant fled from the police, leading officers on a car chase for multiple blocks until the defendant eventually jumped out of his car and ran. The defendant was arrested several months later and was charged by Indictment in October 2019.

“Being a felon illegally in possession of a firearm is a serious offense, particularly in Philadelphia where gun violence is rampant,” said U.S. Attorney Williams. “Today’s sentence should serve as an example to others who have previously been convicted of felony offenses and are considering carrying firearms: our ‘All Hands on Deck’ initiative uses every law enforcement tool at our disposal to find and stop you. If you choose to illegally carry a firearm, you are going to face serious federal charges.”

“Today’s sentence ensures that a violent criminal is taken off the streets for a long time,” said Matthew Varisco, Special Agent in charge of ATF’s Philadelphia Field Division.  “Keeping our communities safe from violent felons like Blakeney will always be our top priority.  I would like to thank our partners at the Philadelphia Police Department and the U.S. Attorney’s office for their continued support in our joint effort to maintaining public safety.”

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

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney J. Jeanette Kang.

PHILADELPHIA – United States Attorney for the Eastern District of Pennsylvania Jennifer Arbittier Williams, the United States Attorneys for the Middle and Western Districts of Pennsylvania, and the Pennsylvania Sheriffs’ Association are joining forces this holiday season to educate airline travelers on the safe and proper way to transport firearms and thereby reduce risk and delay to the traveling public.

Transportation Security Administration (TSA) officers in Pennsylvania are on pace to seize a record number of firearms at Pennsylvania airport security checkpoints in 2021, despite greatly reduced air traffic due to the pandemic. Most of the firearms seized by TSA are loaded.  Firearms at security checkpoints pose a serious security risk to the public and to TSA officers.  Passengers who bring firearms to security checkpoints also disrupt the security screening process and delay travelers from getting to their departure gates.   

The number of airline travelers is expected to surge over the next six weeks, so it is important for the public to hear this message now. Responsible gun owners can protect the public by personally and carefully checking to make sure that their carry-on bags do not contain firearms.   

“By partnering with the Pennsylvania Sheriffs’ Association to increase awareness and education regarding safe firearm transportation, we aim to reduce the number of firearms seized at airport security checkpoints. At the same time, to protect the traveling public and TSA employees, we will pursue all options including prosecution and referral of concealed carry permit holders to the appropriate Sheriff,” said U.S. Attorney Jennifer Arbittier Williams of the Eastern District of Pennsylvania, U.S. Attorney John C. Gurganus of the Middle District of Pennsylvania, and Acting U.S. Attorney Stephen R. Kaufman of the Western District of Pennsylvania in a joint statement.

“As the law enforcement body that processes licenses to carry in the Commonwealth, Pennsylvania Sheriffs support Second Amendments rights.  An overwhelming majority of Pennsylvanians with a license to carry are responsible gun owners, who comply with all state and federal laws, including not knowingly taking a weapon onto an airplane.  We appreciate the U.S. Attorneys’ concerns about concealed weapons and are glad to work with them to bring attention to this matter. Therefore, we encourage all gun owners to double and triple-check your carry-on luggage to make sure you have not forgotten to remove any weapons,” said Pennsylvania Sheriffs’ Association President, Joseph Groody, who also serves as the Schuylkill County Sheriff.

In October, Acting U.S. Attorney Kaufman announced a deterrent strategy to reduce the number of guns at Pittsburgh International Airport security checkpoints. In addition to possible criminal charges and stiff civil penalties, passengers with guns in carry-on bags could face revocation of their concealed gun carry permit due to negligence. As a result of the collaboration between the Pennsylvania Sheriffs’ Association and the U.S. Attorney’s Offices, County Sheriffs in all 67 counties have agreed to provide permit holders with information about safe firearm transport and to review referrals from federal authorities for possible revocation of the offender’s concealed carry permit.

Passengers are permitted to travel with firearms in checked baggage if they are properly packaged and declared at their airline ticket counter.  Firearms must be unloaded, placed in a hard-sided locked case, and packed separately from ammunition.  Then the locked case must be taken to the airline check-in counter to be declared.  Learn more at https://www.tsa.gov/travel/transporting-firearms-and-ammunition.

TSA may issue a $3,000 to $13,910 civil penalty to travelers who bring weapons to the security checkpoint. Civil penalties apply to travelers with or without concealed firearm carry permits because even though an individual may have a concealed carry permit, it does not allow for a firearm to be carried onto a plane.

The Pennsylvania Sheriffs’ Association is dedicated to preserving the time-honored Office of Sheriff in Pennsylvania and assisting the Commonwealth’s 67 County Sheriffs in acquiring the education and training required for law enforcement officers. More information on the organization is available at https://pasheriffs.org/.

PITTSBURGH, Pa. - The Pennsylvania Sheriffs’ Association and the United States Attorney’s Offices for the Western, Middle, and Eastern Districts of Pennsylvania are joining forces this holiday season to educate airline travelers on the safe and proper way to transport firearms and thereby reduce risk and delay to the traveling public.

Transportation Security Administration (TSA) officers in Pennsylvania are on pace to seize a record number of firearms at Pennsylvania airport security checkpoints in 2021, despite greatly reduced air traffic due to the pandemic. Most of the firearms seized by TSA are loaded. Firearms at security checkpoints pose a serious security risk to the public and to TSA officers. Passengers who bring firearms to security checkpoints also disrupt the security screening process and delay travelers from getting to their departure gates.

The number of airline travelers is expected to surge over the next six weeks, so it is important for the public to hear this message now. Responsible gun owners can protect the public by personally and carefully checking to make sure that their carry-on bags do not contain firearms.

“As the law enforcement body that processes licenses to carry in the Commonwealth, Pennsylvania Sheriffs support Second Amendments rights. An overwhelming majority of Pennsylvanians with a license to carry are responsible gun owners, who comply with all state and federal laws, including not knowingly taking a weapon onto an airplane. We appreciate the U.S. Attorneys’ concerns about concealed weapons and are glad to work with them to bring attention to this matter. Therefore, we encourage all gun owners to double and triple-check your carry-on luggage to make sure you have not forgotten to remove any weapons,” said Pennsylvania Sheriffs' Association President, Joseph Groody, who also serves as the Schuylkill County Sheriff.

“By partnering with the Pennsylvania Sheriffs’ Association to increase awareness and education regarding safe firearm transportation, we aim to reduce the number of firearms seized at airport security checkpoints. At the same time, to protect the traveling public and TSA employees, we will pursue all options including prosecution and referral of concealed carry permit holders to the appropriate Sheriff,” said U.S. Attorney Jennifer Arbittier Williams of the Eastern District of Pennsylvania, U.S. Attorney John C. Gurganus of the Middle District of Pennsylvania, and Acting U.S. Attorney Stephen R. Kaufman of the Western District of Pennsylvania in a joint statement.

In October, Acting U.S. Attorney Kaufman announced a deterrent strategy to reduce the number of guns at Pittsburgh International Airport security checkpoints. In addition to possible criminal charges and stiff civil penalties, passengers with guns in carry-on bags could face  revocation of their concealed gun carry permit due to negligence. As a result of the collaboration between the Pennsylvania Sheriffs’ Association and the U.S. Attorney’s Offices, County Sheriffs in all 67 counties have agreed to provide permit holders with information about safe firearm transport and to review referrals from federal authorities for possible revocation of the offender’s concealed carry permit.

Passengers are permitted to travel with firearms in checked baggage if they are properly packaged and declared at their airline ticket counter. Firearms must be unloaded, placed in a hard-sided locked case, and packed separately from ammunition. Then the locked case must be taken to the airline check-in counter to be declared. Learn more at https://www.tsa.gov/travel/transporting-firearms-and-ammunition.

TSA may issue a $3,000 to $13,910 civil penalty to travelers who bring weapons to the security checkpoint. Civil penalties apply to travelers with or without concealed firearm carry permits because even though an individual may have a concealed carry permit, it does not allow for a firearm to be carried onto a plane. 

The Pennsylvania Sheriffs’ Association is dedicated to preserving the time-honored Office of Sheriff in Pennsylvania and assisting the Commonwealth’s 67 County Sheriffs in acquiring the education and training required for law enforcement officers. More information on the organization is available at https://pasheriffs.org/.

Collaboration includes statewide referrals to Sheriffs for review of concealed carry permits

Harrisburg - The Pennsylvania Sheriffs’ Association and the United States Attorney’s Offices for the Western, Middle, and Eastern Districts of Pennsylvania are joining forces this holiday season to educate airline travelers on the safe and proper way to transport firearms and thereby reduce risk and delay to the traveling public.

Transportation Security Administration (TSA) officers in Pennsylvania are on pace to seize a record number of firearms at Pennsylvania airport security checkpoints in 2021, despite greatly reduced air traffic due to the pandemic.  Most of the firearms seized by TSA are loaded.  Firearms at security checkpoints pose a serious security risk to the public and to TSA officers.  Passengers who bring firearms to security checkpoints also disrupt the security screening process and delay travelers from getting to their departure gates.  

The number of airline travelers is expected to surge over the next six weeks, so it is important for the public to hear this message now.  Responsible gun owners can protect the public by personally and carefully checking to make sure that their carry-on bags do not contain firearms.

“As the law enforcement body that processes licenses to carry in the Commonwealth, Pennsylvania Sheriffs support Second Amendments rights.  An overwhelming majority of Pennsylvanians with a license to carry are responsible gun owners, who comply with all state and federal laws, including not knowingly taking a weapon onto an airplane.  We appreciate the U.S. Attorneys’ concerns about concealed weapons and are glad to work with them to bring attention to this matter. Therefore, we encourage all gun owners to double and triple-check your carry-on luggage to make sure you have not forgotten to remove any weapons,” said Pennsylvania Sheriffs' Association President, Joseph Groody, who also serves as the Schuylkill County Sheriff.

“By partnering with the Pennsylvania Sheriffs’ Association to increase awareness and education regarding safe firearm transportation, we aim to reduce the number of firearms seized at airport security checkpoints.  At the same time, to protect the traveling public and TSA employees, we will pursue all options including prosecution and referral of concealed carry permit holders to the appropriate Sheriff,” said U.S. Attorney Jennifer Arbittier Williams of the Eastern District of Pennsylvania, U.S. Attorney John C. Gurganus of the Middle District of Pennsylvania, and Acting U.S. Attorney Stephen R. Kaufman of the Western District of Pennsylvania in a joint statement.

In October, Acting U.S. Attorney Kaufman announced a deterrent strategy to reduce the number of guns at Pittsburgh International Airport security checkpoints.  In addition to possible criminal charges and stiff civil penalties, passengers with guns in carry-on bags could face revocation of their concealed gun carry permit due to negligence.  As a result of the collaboration between the Pennsylvania Sheriffs’ Association and the U.S. Attorney’s Offices, County Sheriffs in all 67 counties have agreed to provide permit holders with information about safe firearm transport and to review referrals from federal authorities for possible revocation of the offender’s concealed carry permit.

Passengers are permitted to travel with firearms in checked baggage if they are properly packaged and declared at their airline ticket counter.  Firearms must be unloaded, placed in a hard-sided locked case, and packed separately from ammunition.  Then the locked case must be taken to the airline check-in counter to be declared.  Learn more at https://www.tsa.gov/travel/transporting-firearms-and-ammunition.

TSA may issue a $3,000 to $13,910 civil penalty to travelers who bring weapons to the security checkpoint.  Civil penalties apply to travelers with or without concealed firearm carry permits because even though an individual may have a concealed carry permit, it does not allow for a firearm to be carried onto a plane.

The Pennsylvania Sheriffs’ Association is dedicated to preserving the time-honored Office of Sheriff in Pennsylvania and assisting the Commonwealth’s 67 County Sheriffs in acquiring the education and training required for law enforcement officers.  More information on the organization is available at https://pasheriffs.org/.

###

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Caesar DiCrecchio, 60, of Voorhees, NJ, was sentenced to ten years and one month in prison, three years of supervised release and ordered to pay more than $8 million in restitution by United States District Court Judge Cynthia M. Rufe for defrauding the Philadelphia Wholesale Produce Market of over $7.8 million. 

In April 2021, the defendant pleaded guilty to two counts of wire fraud, one count of conspiracy to commit wire fraud, one count of money laundering conspiracy, one count of aggravated identity theft, and four counts of tax evasion, all of which allegedly caused more than $7.8 million in losses to the wholesale produce business in South Philadelphia.

DiCrecchio, the former President and CEO of the Produce Market, defrauded the Market by using company funds to pay $1.9 million in rent on his Stone Harbor, New Jersey shore house; converting into cash $1.1 million in checks drawn on the Market’s bank account and using the cash for his own benefit; causing $1.7 million in checks to be issued from the Market operating account payable to his friends or relatives; causing the Market to pay for the defendant’s personal credit card expenditures; converting $320,000 in checks that were payable to the Market and cashing them for his own benefit; skimming $2.6 million in cash from the pay gate at the Market’s parking lot, which he used to pay Market employees ‘under the table’ while keeping a substantial portion for his own use; and using Market funds to provide a $180,000 loan to a Market vendor, which the vendor repaid directly to DiCrecchio. The defendant concealed these expenditures in the Market’s books and records by directing that these payments be reflected as legitimate business expenditures, for example: notated as maintenance, snow removal, insurance, legal fees and other false expenditure entries.

DiCrecchio committed aggravated identity theft by cashing checks at a currency exchange using the name of an unwitting victim as the payee. Further, DiCrecchio conspired to engage in money laundering by agreeing with two unnamed individuals to conduct repeated money laundering transactions using money orders drawn on Market accounts and cashed at a currency exchange so that he could pay the rent at his shore house. In total, DiCrecchio laundered approximately $319,736 by purchasing money orders at the currency exchange using Market funds.

DiCrecchio also willfully evaded federal income tax over several years, by failing to report more than $2.1 million in income for tax years 2014 through 2017. DiCrecchio failed to report as income the proceeds of his fraud on the Market, as well as a car allowance, a pension allowance, and consulting income that he received from the Market. 

“As the President and CEO, DiCrecchio had a fiduciary duty to steward the Philadelphia Wholesale Produce Market honestly,” said U.S. Attorney Williams. “Instead, he stole small amounts here and there from various sources over many years in an attempt to hide the enormous scale and severity of his fraud: a more than $7.8 million loss. Our Office is committed to prosecuting this type of complicated financial fraud so that justice can be served for all victims.”

“For years, Caesar DiCrecchio used the Philadelphia Wholesale Produce Market like his own ATM, to the tune of almost $8 million,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “I’d call that wholesale fraud. Holding DiCrecchio responsible for his crimes is imperative, to send the message that stealing business funds for personal use isn’t such easy money after all.”

“Instead of accurately filing and paying his fair share of taxes, Mr. DiCrecchio chose to hide his income and use his business as his personal ATM,” said IRS Criminal Investigation Special Agent in Charge Yury Kruty. “Justice has been served today, as Mr. DiCrecchio is sentenced to federal prison.”

The case was investigated by the Federal Bureau of Investigation’s Organized Crime Task Force, the Internal Revenue Service – Criminal Investigation, and the Pennsylvania State Police, and is being prosecuted by Assistant United States Attorney Michael T. Donovan.

PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Robert Hopkins, 26, and William Limper, 43, both of Philadelphia, PA, were sentenced to eight years and one month in prison, and 16 years and four months in prison, respectively, by United States District Court Judge Wendy Beetlestone for their roles in a conspiracy to burglarize or attempt to burglarize 49 pharmacies in the City of Philadelphia and the surrounding suburbs during a five year period. Hopkins was sentenced to a period of three years’  supervised release and Limper to five years’ supervised release following their terms of imprisonment.

In March 2021, Hopkins pleaded guilty to conspiracy to commit pharmacy burglary; conspiracy to possess with the intent to distribute controlled substances; pharmacy burglary; attempted pharmacy burglary; and attempt to possess pharmaceutical controlled substances with the intent to distribute. In June 2021, Limper pleaded guilty to multiple counts of pharmacy burglary and attempted pharmacy burglary; possession with intent to distribute controlled substances; possession of a firearm in furtherance of a drug trafficking crime; and related conspiracy, drug and gun offenses.

Limper, Hopkins, and two co-conspirators who were also indicted for their involvement in this conspiracy, Raul Rivera and Michael Dombrowski, also of Philadelphia, PA, burglarized pharmacies in order to steal controlled substances – primarily Schedule II opiates such as oxycodone and Percocet tablets – for the purpose of distributing them to others for profit from about November 2014 until April 2019. The defendants forced entry into the pharmacies at nighttime with burglary tools such as crow bars and Halligan bars (specialized forcible entry tools used by law enforcement and firefighters) when the pharmacies were closed. The defendants concealed their identities with clothing and masks over their faces, and they used scanners to monitor police activity and two-way radios to communicate with each other during the burglaries.

The conspirators thoroughly planned and executed these burglaries with great precision.  For example, in order to facilitate quick getaways in the event that they were detected by witnesses or law enforcement, the defendants used stolen Jeep Grand Cherokee SRT sport utility vehicles (SUV) with powerful engines. When they were not using the stolen vehicles to perpetrate burglaries, the defendants concealed the vehicles in garages in a commercial storage lot, where they also hid their tools and the clothing they wore during the burglaries to avoid detection by law enforcement. After each of the burglaries, the defendants divided the stolen narcotics among themselves for the purpose of selling them to others.

Dombrowski and Rivera also pleaded guilty to similar charges and are awaiting sentencing in December 2021 and March 2022, respectively.

“Limper, Hopkins and their co-conspirators were able to carry out their years-long burglary spree using careful, calculated tactics,” said U.S. Attorney Williams. “They terrorized communities and small businesses across the Philadelphia region, all while compounding the impact of the opioid epidemic for their own benefit. I want to thank the large group of law enforcement partners who worked together in a highly coordinated effort using targeted investigative techniques to bring these defendants to justice.”

“Limper, Hopkins, and crew were a crime wave unto themselves,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “We’re talking about a long-term criminal operation involving many dozens of pharmacy burglaries, with the stolen pills then sold out on the street amid this area’s raging opioid crisis. The FBI’s Violent Crimes Task Force worked with our law enforcement partners in and outside of the city to make the case that led to today’s sentencings, and we’re all gratified to see such prolific criminals held accountable.”

The case was investigated by the Federal Bureau of Investigation, the Philadelphia Police Department, the Bristol Township Police Department, the Upper Southampton Police Department, the Chester Police Department, the Lower Merion Police Department, the Upper Chichester Township Police Department, the Upland Borough Police Department, the Folcroft Police Department, the Sharon Hill Police Department, the Central Bucks Regional Police Department, the Hatboro Police Department, the Upper Darby Police Department, the Haverford Township Police Department, the Ridley Township Police Department, the Bristol Borough Police Department, the Lower Southampton Township Police Department, the Falls Township Police Department, the Springfield Township Police Department, the Marple Township Police Department, and the Warrington Township Police Department, and is being prosecuted by Assistant United States Attorney Thomas M. Zaleski.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Lawrence Laws, 29, of Philadelphia, PA, was sentenced today to 13 years in prison and five years of supervised release for committing Hobbs Act robbery (robbery which interferes with interstate commerce) and using, carrying and brandishing a firearm during and in relation to a crime of violence arising from his participation in a robbery of a business in the Mount Airy section of Philadelphia.

In February 2017 at approximately 1:15 a.m., the defendant and two co-defendants laid in wait for the owner of the Mermaid Bar located on Germantown Avenue, as he was closing the bar for the night along with his bartender. The victims approached their car and, after realizing that one of the defendants was hiding inside, holding what appeared to be an AK-47 assault rifle and waiting for the victims, they took off running. The defendants caught up to the bar owner, a 76-year old man, and his bartender and ordered them onto the ground. 

The robbers forced the victims back into the bar at gunpoint, and proceeded to steal a firearm, cash, cartons of cigarettes, and a cell phone. Testimony at trial detailed how the defendants first took money from the bar owner’s pockets, money from the cash register, and a firearm hidden behind the bar, before two of the robbers forced the elderly business owner to the basement to steal money hidden there. When the owner initially resisted, Laws pointed a gun to his head, threatened to kill him, and also threatened to go to his home if he did not comply with their demands. While in the basement, one of the robbers took the owner’s debit card and PIN number, which they used to make multiple cash withdrawals from the bank ATM across the street before fleeing the scene together. Laws’ co-defendants previously pleaded guilty to charges related to this incident.

“Lawrence Laws and his co-defendants traumatized an elderly business owner and his employee, preying on them when they were most vulnerable – at the end of their shift, in the early morning hours when the hustle and bustle of Germantown Avenue stops,” said Acting U.S. Attorney Williams. “Today’s sentence should serve as an example to others who use guns to terrorize business owners: our ‘All Hands on Deck’ initiative uses every law enforcement tool at our disposal to find and stop the most violent criminals in their tracks.  If you rob any kind of business in Philadelphia with a firearm, you are going to face serious federal charges.”

“What Laws and the others put their victims through was horrifying,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “People shouldn’t have to fear being ambushed at gunpoint at their workplace, home, or anywhere else. Our Violent Crimes Task Force is working hard to put dangerous armed robbery crews like this behind bars and make Philadelphia safer. Today’s sentence ensures Laws won’t be terrorizing anyone else like he did that night in Mount Airy.”

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

The case was investigated by the Federal Bureau of Investigation and the Philadelphia Police Department and is being prosecuted by Assistant United States Attorney Alison Donahue Kehner.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Mark Allen Hillis, 58, of Southgate, Michigan entered a plea of guilty before United States District Court Judge Eduardo C. Robreno to all charges against him in a 14-count Indictment, including one count of enticing a minor to engage in criminal sexual activity, one count of traveling to engage in illicit sexual conduct, nine counts of manufacturing and attempted manufacturing of child pornography, two counts of transferring obscene material to a minor, and one count of possessing child pornography. The charges arose from the defendant’s sexual exploitation of a 13-year old child over the internet and by text message over a period of months, his travel from Michigan to Pennsylvania to meet up with her for sex, and his sexual assault of her in a local hotel room when he arrived.

Hillis (also known by his screen name “Denverpolice#666” and the name “Daddy”) met his 13-year-old minor victim in a YouTube chatroom. After obtaining the child’s phone number, Hillis sent her hundreds of obscene images and hounded the minor at all times of the day and night, repeatedly requesting her to produce and send him sexually explicit images of herself via text message. After months of online and text communication, Hillis convinced the child to sneak out of her home in the middle of the night.  Hillis, having traveled to Pennsylvania to meet the child victim for sex, then picked her up and took her to a hotel room, where he sexually assaulted her. In addition to the federal charges, Hillis faces state charges related to the sexual assault in Montgomery County.

“Mark Hillis not only manipulated a young child into providing him with explicit images of herself, he traveled across state lines, convinced her to leave her home, and assaulted her – every parent’s worst nightmare,” said Acting U.S. Attorney Williams. “The defendant’s guilty plea ensures that he will be held accountable for being the predator that he is.”

“Online grooming and sexual exploitation of children is a heinous crime that is happening far too often,” said HSI Philadelphia Special Agent in Charge Brian Michael. “These investigations will continue to be one of our top priorities to ensure that children around the world are protected from sexual predators. Thanks to this investigation and our partnerships with the local police agencies involved, we were able to identify this predator and protect future children from falling victim.”

“Law enforcement in Montgomery County is ever-vigilant for online perpetrators who prey on children,” said Montgomery County District Attorney Kevin R. Steele. “We remain focused on protecting this most vulnerable population and working with our state and federal partners to prosecute these dangerous criminals. We thank the U.S. Attorney’s Office for their tireless work on this case.”

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

The case was investigated by the Limerick Township Police Department, the Montgomery County Detective Bureau, the Pennsylvania State Police, and Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Kathryn Deal.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that John Dougherty, Business Manager of Local 98 of the International Brotherhood of Electrical Workers (“Local 98”), 61, of Philadelphia, PA, and Robert Henon, Philadelphia City Councilmember, 52, of Philadelphia, PA, were convicted at trial today of multiple crimes involving public corruption

The jury convicted John Dougherty of the following crimes: one count of conspiracy to commit honest services fraud (Count One), and seven counts of honest services wire fraud (Counts Four, Five, Six, Seven, Eight, Nine, and Ten). The jury convicted Robert Henon of the following crimes: one count of conspiracy to commit honest services fraud (Count One), eight counts of honest services wire fraud (Counts Four, Five, Six, Seven, Eight, Nine, Ten, and Twelve), and one count of bribery (Count Sixteen). 

The honest services wire fraud convictions against both defendants were premised on the following schemes proven at trial: L&I/CHOP; Plumbing Code/Building Trades; Towing; Comcast; and Soda Tax #2. The additional honest services wire fraud count against Henon (Count Twelve) was predicated on a $5,000 campaign contribution from CWA to Henon’s campaign bank account. The bribery conviction against Henon (Count Sixteen) was based on the same $5,000 check, written on the account of the CWA.

Dougherty, Henon and others affiliated with Local 98 were charged by Indictment in January 2019. The trials were bifurcated thereafter, leaving Dougherty and the other defendants to stand trial on the embezzlement and tax fraud charges at a later date. The Indictment charged that Dougherty and Henon defrauded the City of Philadelphia and its citizens of the right to Henon’s honest services as a member of City Council. Evidence presented at trial demonstrated that Henon received a salary and other things of value from Dougherty and, in exchange, Henon used his position as a member of City Council to serve Dougherty’s interests. 

“Today’s verdict is a strong message to the political power players of this city that the citizens of Philadelphia will not tolerate public corruption as ‘business as usual',” said Acting U.S. Attorney Jennifer Arbittier Williams. “John Dougherty is not above the law. He is not entitled, had no right, to pull the strings of official City business as if he were elected to office. And Bobby Henon was not elected to represent Local 98 or John Dougherty’s interests on City Council, or any union for that matter, but to represent all the people of the City’s 6th Councilmanic District – a fact which he failed to remember in doing the bidding of his political godfather, Dougherty. Philadelphians deserve more than a system that favors the few who have a ‘person they can call’ to get things done. Everyone deserves equal access to the decision-makers in their government.”

“From the start, John Dougherty and Bobby Henon sought to tag this as an anti-union case,” said Jacqueline Maguire, Special Agent in Charge of the FBI's Philadelphia Division. “Let's be clear. The FBI has no problem with labor unions. It's criminals we're after, like a local power broker who gives an elected official a handsome salary and benefits he didn't earn, in exchange for doing that benefactor's business at City Hall. Today, the jury called it what it was, a crooked quid pro quo — one that tilted the playing field in Dougherty's favor, giving him an unfair advantage over every Philadelphian who acts with fairness and integrity. That is corruption, that is wrong, and this city deserves so much better.”

“The consequences to those who betray the public trust by making and receiving bribe payments are evident by today’s convictions,” said Yury Kruty, Acting Special Agent in Charge of IRS-Criminal Investigation. “Cases involving betrayal of the public’s trust are of utmost importance and IRS-CI will continue to be a partner in the efforts to bring criminals like this to justice.”

“One of the functions of the U.S. Department of Labor’s Office of Labor-Management Standards is to see to it that union funds are used for proper purposes. It is never proper – and is indeed criminal – to do what Mr. Dougherty did here: use union funds to bribe a politician. Working with our Federal and state investigative partners, OLMS will hold accountable anyone who misuses their office and their union’s funds in this way,” said OLMS District Director Megan Underwood.   

“Union officials must ensure that only those individuals who perform rightful union work be permitted to participate in union employee benefit plans. EBSA will vigorously pursue those who arrogate employee benefits intended exclusively for hard–working union members,” said Michael Schloss, Philadelphia Regional Director of the U.S. Department of Labor’s Employee Benefits Security Administration. 

“An important part of the mission of the Office of Inspector General is to investigate allegations relating to labor racketeering. Today’s guilty verdict for John Dougherty, Business Manager of Local 98 of the International Brotherhood of Electrical Workers and City of Philadelphia Councilmember Robert Henon for conspiracy and honest services fraud is an affirmation of our commitment to working with our law enforcement partners and the U.S. Department of Labor’s Office of Labor-Management Standards and Employee Benefits Security Administration to pursue union-affiliated corruption investigations,” said Syreeta Scott, Special Agent-in-Charge, Philadelphia Region, U.S. Department of Labor Office of Inspector General.

The case was investigated by the Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigation, the U.S. Department of Labor Employee Benefits Security Administration, the U.S. Department of Labor Office of Labor Management Standards, the U.S. Department of Labor Office of Inspector General, and the Pennsylvania State Police, with assistance from the Pennsylvania Attorney General’s Office. It is being prosecuted by Assistant United States Attorneys Frank Costello, Bea Witzleben, and Richard Barrett.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Brandon Segers, 33, and Dionne Segers, 32, both of Philadelphia, PA, and their inmate accomplice, Michael Matthews, 42, of Richmond, VA, and currently incarcerated at FCI Cumberland in Maryland, were charged with fraudulently applying for and obtaining emergency unemployment benefits related to the COVID-19 pandemic. Specifically, the defendants allegedly submitted false applications claiming that prison inmates lost employment as a result of the pandemic, and submitted false weekly certifications that inmates were available to work full-time despite their incarceration.

The defendants are charged by Indictment with one count of conspiracy to commit wire fraud, seven counts of wire fraud, one count of conspiracy to defraud the United States, and four counts of theft of government program funds. All the defendants were either arrested and taken into custody this morning, or were already in custody.

In addition to the unemployment fraud, defendant Dionne Segers is charged with submitting a fraudulent application and obtaining emergency COVID-19 funds under the Small Business Administration’s (SBA) Economic Injury Disaster Loan (EIDL) program. The EIDL program was implemented to offer low interest-rate loans to businesses hurt by the COVID-19 pandemic. As alleged in the Indictment, Dionne Segers submitted an application to the SBA for a fictious business and received an immediate $10,000 emergency grant. Segers did not spend the money on any business expenses but rather on luxury goods and other personal items.

On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law. The CARES Act created the Pandemic Unemployment Assistance (PUA) program, which provides unemployment benefits to individuals not eligible for regular unemployment compensation or extended unemployment benefits, including individuals, families, and businesses affected by the COVID-19 pandemic. Eligibility to receive weekly PUA benefits is predicated on an applicant’s unemployment for reasons related to the pandemic, and it requires that the applicant was able to work each day and, if offered a job, would have been able to accept it. Once an applicant is approved to receive benefits, the applicant is required to submit weekly certifications indicating that he or she: was ready, willing and able to work each day; was seeking full time employment; did not refuse any job offers or referrals; and had reported any employment during the week and the gross pay or other payments received.

As part of the conspiracy alleged in the Indictment, applications were filed on behalf of inmates who did not lose their job due to COVID. Matthews allegedly transmitted the necessary inmate information for the filing of PUA applications to Brandon Segers, a former federal inmate who was previously incarcerated with Matthews, via phone and email. Brandon and Dionne Segers would then file the fraudulent applications in the name of Matthews and other inmates Matthews provided. Brandon and Dionne Segers would also file the weekly certifications that the inmates were available to work full-time when they were not. Brandon and Dionne Segers allegedly compensated Matthews for providing the inmate information by depositing money into his federal prison commissary account.

According to the Indictment, Brandon Segers also filed fraudulent applications and weekly certifications in Pennsylvania and Massachusetts under his name for a time period in which he was incarcerated. Additionally, Dionne Segers is alleged to have filed a fraudulent application and weekly certification in Pennsylvania under her name for a time period during which she was employed and receiving employment income. During this period, Dionne Segers was receiving regular payroll income as well as unemployment benefits.

Outside of the small amount of money the Segers used to compensate Matthews, they spent the proceeds of the offense in part on large cash withdrawals, luxury goods, and vacations. As a result of the conspiracy, the defendants caused a loss of at least $180,000.

“Pandemic Unemployment Assistance and small business loan funds are intended to help working Americans and small business owners continue to pay their bills and make ends meet, even when revenues have dropped dramatically due to the pandemic,” said Acting U.S. Attorney Williams. “Thieves who attempt to take these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the program. As alleged, the Segers and Matthews fraudulently obtained thousands of dollars in funds that could have helped struggling businesses and individuals.”

“An important part of the mission of the Office of Inspector General is to investigate allegations of fraud related to unemployment insurance programs. We will continue to work with the Pennsylvania Department of Labor and Industry and our law enforcement partners to investigate these types of allegations”, stated Syreeta Scott, Special Agent-in-Charge, Philadelphia Region, U.S. Department of Labor Office of Inspector General.

“Pandemic relief funds are limited and intended to save legitimate struggling businesses from failing and are not meant to be used for paying off personal indulgences,” said Yury Kruty, Acting Special Agent in Charge of IRS-Criminal Investigation.  “Further, the purpose of the Pandemic Unemployment Assistance program was to provide benefits to those who actually lost their jobs due to the COVID-19 pandemic.  IRS-CI will continue to aggressively investigate those who schemed to defraud this program that was intended to help struggling individuals and businesses.”  

This case was investigated by the United States Department of Labor – Office of Inspector General, and the Internal Revenue Service – Criminal Investigations. The case is being prosecuted by Assistant United States Attorney Timothy Lanni.

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

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Michael Meacham, 26, of West Chester, PA, was sentenced to six years in prison and five years of supervised release by United States District Court Judge Cynthia M. Rufe for requesting and receiving images depicting the sexual abuse of young children.

In December 2019, the defendant pleaded guilty to a federal Indictment charging him with two counts of receipt of child pornography. The investigation began in February 2018 when the FBI identified another sex offender, Justyn Perez-Colon, who was advertising to trade child pornography and abuse stories online. After the arrest of Perez-Colon, the defendant was identified as a child sex offender who had exchanged online messages with Perez-Colon. For five days in early 2018, the defendant used Kik messenger to chat with Perez-Colon about child pornography, discussing the sexual abuse of children – specifically, Perez-Colon’s sexual abuse and exploitation of two toddler victims. The defendant also requested, received, and accepted images depicting the sexual abuse and exploitation of toddlers and prepubescent children. The victims depicted in those images included a child under the age of two identified by the FBI in the Perez-Colon investigation. At the time of the charged offenses, the defendant was a student at West Chester University.

Separately, Perez-Colon was prosecuted and pleaded guilty to charges of production, distribution, attempted distribution, and possession of child pornography. Perez-Colon was sentenced to 55 years in prison in September 2021.

“Child pornography and exploitation offenses are among the most horrific crimes prosecuted by this Office,” said Acting U.S. Attorney Williams. “By seeking out these shocking depictions, Meacham only added to the demand for these types of images to be produced and for more children to be victimized. Our Office and our law enforcement partners are committed to holding people like this defendant accountable for these crimes.”

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

The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Brittany Jones.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Robert Brennan, 83, of Perryville, MD, pleaded guilty before United States District Court Judge Anita B. Brody to lying to investigators about not knowing a former parishioner and victim of sexual abuse.

In September 2019, the defendant was charged by Indictment with four counts of making materially false statements in a matter within the jurisdiction of the executive branch of the United States government. The charges stem from an interview conducted in April 2019, during which Brennan was questioned by the FBI and made a number of false statements. Brennan had served in the Archdiocese of Philadelphia from 1993 to 2004 as a priest at Resurrection of Our Lord parish (“Resurrection”).  In September 2013, the Philadelphia District Attorney’s Office filed criminal charges against him, alleging that he had sexually abused a minor, Sean McIlmail, during Brennan’s time at Resurrection.  Soon thereafter, in October 2013, Sean McIlmail died of a drug overdose and the criminal charges against Brennan were dismissed.

In November 2013, the McIlmail family filed a civil lawsuit against the Archdiocese of Philadelphia and Brennan.  The lawsuit was settled for an undisclosed amount in May 2018. During the April 2019 interview with the FBI, Brennan made several false statements, including that prior to the filing of the 2013 criminal case and civil lawsuit against him, he did not know Sean McIlmail, his father, mother or brother.

“Making false statements to the FBI is a serious crime that threatens the integrity of our justice system, and we will hold offenders accountable no matter who they are,” said Acting U.S. Attorney Williams.

The case was investigated by the Federal Bureau of Investigation, with assistance from the Pennsylvania Attorney General’s Office, the Philadelphia District Attorney’s Office and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Michelle L. Morgan.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Ramzi Al Najar, 43, of Staten Island, NY, was sentenced to one year and one day in prison, three years of supervised release, and ordered to pay over $7.8 million in restitution by United States District Court Judge Petrese B. Tucker for smuggling smokeless tobacco products across state lines to avoid paying the associated taxes.

The defendant operated Capital Trade, Inc., a tobacco wholesaler based in Bristol, PA. During the charged conduct, Al Najar and his associates transported almost $40 million worth of tobacco from Pennsylvania to New York, while failing to pay millions of dollars in New York state excise taxes on that tobacco. In order to hide his scheme, the defendant and his associates created false invoices and filed false documents with Pennsylvania and New York regulators which substantially underreported the amount of tobacco sold. Al Najar also failed to register and report as an interstate seller of smokeless tobacco as required by the Prevent All Cigarette Smuggling Act (PACT Act).

“The defendant thought he found a loophole to fast money, by cheating both Pennsylvania and New York out of substantial taxes owed for the sale of tobacco products,” said Acting U.S. Attorney Williams. “But now he is the one paying the price. Everyone has to follow the law, and our Office is here with our federal, state, and local level partners to enforce that standard.”

“The FDA closely monitors retailer, manufacturer, importer, and distributor compliance with Federal tobacco laws and regulations and takes enforcement action when violations occur, as in this case of trafficking in contraband tobacco,” said Special Agent in Charge Mark S. McCormack, FDA Office of Criminal Investigations Metro Washington Field Office. “We will continue to monitor the tobacco environment, investigate violations and bring perpetrators to justice.”  

The case was investigated by the Department of Homeland Security, Homeland Security Investigations, the Food and Drug Administration, Office of Criminal Investigation, and the Pennsylvania Attorney General’s Office, Criminal Division, with assistance from: the Bureau of Alcohol, Tobacco, Firearms, & Explosives, the New York State Department of Tax and Finance, Criminal Investigations Division, and the Pennsylvania Department of Revenue, Criminal Investigation Division. The case was prosecuted by Assistant United States Attorneys Robert J. Livermore and Frank A. Weber.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Brihany Baker, 25, of Philadelphia, PA, was convicted today at trial of illegally purchasing three semi-automatic firearms for her romantic partner.

In November 2020, the defendant was charged by Indictment with criminal conspiracy to knowingly make false statements to a federal firearms licensee, and making a false statement to a federal firearms licensee. The charges stem an investigation into straw purchasers of firearms at a gun dealer in Horsham, PA in June 2020. Investigators were conducting surveillance of that store when they observed the defendant and another individual, who was prohibited from purchasing firearms, enter the store. The investigators then proactively delayed any sale of firearms to the defendant and while obtaining video from inside the store, which showed the prohibited purchaser, who was also the defendant’s boyfriend, Donte Maxwell, place a $200 deposit on three semi-automatic firearms, handle the firearms, and take pictures of the firearms.

Then, in July 2020, the defendant returned to the store and purchased the three semi-automatic firearms, stating on a federal form 4473 that she was buying them for herself and not another person. The defendant subsequently confessed that she lied on the form and actually bought the firearms for her boyfriend. At the time of the purchase, Mr. Maxwell faced a felony charge and was prohibited from buying firearms.

“The purpose of our ‘All Hands On Deck’ initiative is, first and foremost, to prevent violent crime, which includes targeting for prosecution straw firearms purchasers,” said Acting U.S. Attorney Williams. “By charging crimes like straw purchasing of firearms, where firearms are purchased in order to turn them over to people who are prohibited from legally buying or possessing them, we can cut off the supply of illegal weapons at the source. Now, this defendant will face the consequences of her actions.”

“ATF is committed to keeping firearms out of the hands of individuals prohibited from legally possessing them,” said Matthew Varisco, Special Agent in charge of ATF’s Philadelphia Field Division.  “Straw purchasing is a serious offense in which ATF along with our law enforcement partners and the U.S. Attorney’s Office, will continue to investigate and prosecute those responsible.  This conviction ensures this defendant can no longer purchase firearms for others.”

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

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and is being prosecuted by Assistant United States Attorney Michael Miller.

PHILADELPHIA –Acting United States Attorney Jennifer Arbittier Williams announced that Kyle McLemore, 44, of Philadelphia, PA, was arrested and charged by Indictment with one count of mail fraud and two counts of theft of public money. In February 1999, the defendant was convicted on state charges of murdering an individual and shooting three others on the University of Pennsylvania’s campus after a high school basketball game. As alleged in the Indictment, shortly after he was released on parole from prison last year after serving 21 years for the murder charges, the defendant fraudulently applied for and obtained emergency unemployment benefits and loan funds related to the COVID-19 pandemic.

On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law. The CARES Act created the Pandemic Unemployment Assistance (PUA) program, which provides unemployment benefits to individuals not eligible for regular unemployment compensation or extended unemployment benefits, including individuals, families, and businesses affected by COVID-19. The CARES Act also created the Economic Injury Disaster Loan (EIDL) program, which provides low-rate emergency loan options for struggling businesses.

The Indictment alleges that McLemore took advantage of both programs, securing pandemic relief funds to which he was not entitled by filling out fraudulent applications. Specifically, in May 2020, less than a week after he was released from prison, the defendant is alleged to have submitted or caused another to submit a PUA application, falsely stating that he had lost his job due to the COVID-19 pandemic, and claiming a last day of work that actually fell during a time when he was still incarcerated. According to the Indictment, the defendant subsequently submitted or caused another to submit weekly PUA certifications, falsely reporting that he was ready and able to accept a job if offered during a period when he was actually in prison and unable to accept employment. As a result of his fraudulent application and weekly certifications, the defendant obtained $14,555 in PUA benefits.

The Indictment further charges that in June 2020, the defendant submitted an EIDL program application to the Small Business Administration (SBA), providing false information about an alleged tobacco business that he claimed to own during a time when he was still in prison, and denying that he had been on probation or parole within the last five years. To verify his application, the defendant submitted a forged business license from the City of Philadelphia. As a result of his fraudulent EIDL application, the defendant received funds amounting to nearly $125,000 from the SBA, before the SBA reversed a large portion of the ill-gotten loan proceeds.

“The PUA and EIDL programs established under the CARES Act are intended to help struggling Americans and small businesses stay afloat during the pandemic,” said Acting U.S. Attorney Williams. “Fraudsters who try to steal these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the programs. My Office will do everything in its power to ensure that coronavirus fraud scams are stopped and punished.”

“The COVID-19 pandemic brought massive economic upheaval for so many,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “Defrauding the federal government programs created to mitigate that harm is despicable. Every dollar diverted to a scammer is a dollar not available for legitimate applicants in need. The FBI is committed to identifying, investigating, and bringing to justice anyone who thinks stealing taxpayer funds is the way to an easy payday.”

If convicted of all charges, the defendant faces a maximum possible sentence of 40 years in prison, three years of supervised release, a $750,000 fine, restitution, and a $300 special assessment.

The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorneys Timothy Lanni and Eileen Castilla Zelek.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

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

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that earlier today Robert Holloway, 23, of Philadelphia, PA, was sentenced to eight years in prison, and three years of supervised release by United States District Judge Gene E.K. Pratter for being a felon in possession of a firearm.

In June 2019, the defendant pleaded guilty to the Indictment which charged him with one count of unlawful possession of a firearm by a felon. The charge stems from an incident in July 2018, during which Philadelphia Police Department officers on patrol in the Kensington neighborhood of Philadelphia encountered Holloway and observed what appeared to be the handle of a gun sticking out of his pants waistband. One officer ordered the defendant to stop, but he fled instead and discarded the gun on the street. Holloway was apprehended and a Hi-Point .45 caliber pistol was recovered from the area where the defendant was observed throwing it away.

“As we near the end of a year with a record number of homicides in Philadelphia mostly involving guns,” said Acting U.S. Attorney Williams, “we and our law enforcement partners are working harder than ever on our ‘All Hands On Deck’ initiative, putting repeat criminal offenders like Holloway behind bars when they illegally possess guns on the street.”

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and is being prosecuted by Assistant United States Attorney Kevin Jayne.

PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Bryanna Miller, 23, of Upper Darby, PA, was sentenced to fourteen years in prison, ten years of supervised release, and was ordered to pay $11,000 in restitution by United States District Judge Gene E. K. Pratter for distributing and possessing child pornography.

In January 2020, the defendant pleaded guilty to three counts of distribution and attempted distribution of child pornography, and one count of possession of child pornography. These charges arose from Miller’s re-blogging and uploading child pornography to various Tumblr blogs from February 2016 to November 2018, and from Miller’s possession of child pornography on two laptop computers which the FBI seized from her bedroom in December 2018.  In total, the FBI recovered more than 2,600 images and videos of horrific child pornography from the defendant’s blogs and laptop computers, most of which involved prepubescent girls and very young children, including dozens of infants and toddlers, and some involving sadism/masochism.

“The danger this defendant poses to the community cannot be understated, since she has openly admitted that she is sexually aroused by young children,” said Acting United States Attorney Williams. “By seeking out and sharing these horrific depictions, Miller only added to the demand for these types of images to be produced and more children to be victimized. Our Office and our law enforcement partners are committed to holding people like this defendant accountable, no matter their age, gender or status in the community.”

“Images of children being sexually abused aren’t just documenting a moment in time. They’re a window into the horrific ongoing reality for many of these kids,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “People who collect this material perpetuate the demand for it, which means more children will be exploited. That’s something the FBI simply won’t stand for. We will never stop working to protect the most vulnerable among us.”

The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Karen L. Grigsby.