Eastern District of Pennsylvania

A Republic of Benin man unlawfully residing in Philadelphia, Pennsylvania was sentenced today to 48 months in prison, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Louis D. Lappen for the Eastern District of Pennsylvania.

Abdou Koudos Adissa was convicted on March 31 of conspiring to commit access device fraud following a jury trial in the Eastern District of Pennsylvania.  According to the indictment and evidence presented at trial, from February through June 2014, Adissa was engaged in a conspiracy in which stolen identities were used to file tax returns claiming refunds with the Internal Revenue Service (IRS). Co-conspirators filed fraudulent tax returns seeking more than $800,000 in refunds, which were loaded onto Green Dot prepaid debit cards and sent via Western Union to Nigeria.    During a search of the apartment Adissa shared with a co-conspirator, special agents found 106 Green Dot cards in Adissa’s room. Adissa registered the Green Dot cards using stolen IDs and provided his co-conspirators with the direct deposit information related to the cards so that fraudulently obtained refunds could be directed to them.  According to the evidence produced at trial, he called Western Union 63 times in three months to facilitate transferring these fraudulent refunds to Nigeria.   

In addition to the term of prison imposed, U.S. District Court Judge Gene E. K. Pratter ordered Adissa to serve three years of supervised release and to pay $252,840 in restitution to IRS.  Adissa is pending immigration removal proceedings.  

Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Lappen commended special agents of IRS Criminal Investigation and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, who conducted the investigation, and Assistant U.S. Attorney David J. Ignall and Trial Attorney Carl F. Brooker, IV of the Tax Division, who prosecuted the case.

WASHINGTON – A Republic of Benin man unlawfully residing in Philadelphia, Pennsylvania was sentenced today to 48 months in prison, announced Acting U.S. Attorney Louis D. Lappen for the Eastern District of Pennsylvania. And Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division.

Abdou Koudos Adissa was convicted on March 31 of conspiring to commit access device fraud following a jury trial in the Eastern District of Pennsylvania.  According to the indictment and evidence presented at trial, from February through June 2014, Adissa was engaged in a conspiracy in which stolen identities were used to file tax returns claiming refunds with the Internal Revenue Service (IRS). Co-conspirators filed fraudulent tax returns seeking more than $800,000 in refunds, which were loaded onto Green Dot prepaid debit cards and sent via Western Union to Nigeria.    During a search of the apartment Adissa shared with a co-conspirator, special agents found 106 Green Dot cards in Adissa’s room. Adissa registered the Green Dot cards using stolen IDs and provided his co-conspirators with the direct deposit information related to the cards so that fraudulently obtained refunds could be directed to them.  According to the evidence produced at trial, he called Western Union 63 times in three months to facilitate transferring these fraudulent refunds to Nigeria.   

In addition to the term of prison imposed, U.S. District Court Judge Gene E. K. Pratter ordered Adissa to serve three years of supervised release and to pay $252,840 in restitution to IRS.  Adissa is pending immigration removal proceedings.  

Acting U.S. Attorney Lappen and Acting Deputy Assistant Attorney General Goldberg commended special agents of IRS Criminal Investigation and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, who conducted the investigation, and Assistant U.S. Attorney David J. Ignall and Trial Attorney Carl F. Brooker, IV of the Tax Division, who prosecuted the case.

Jerry Louis, of Philadelphia, PA, was charged today by Indictment with one count of bank fraud and one count of access device fraud, announced Acting United States Attorney Louis D. Lappen.  The Indictment alleges that in April 2012, Louis engaged in a scheme to cash checks that were fraudulently issued from a victim’s bank account.  The Indictment also alleges that in February 2015, Louis trafficked in counterfeit access devices, selling a fake credit card that was encoded with stolen credit card information.

If convicted the defendant faces a maximum possible sentence of forty years imprisonment.

The case was investigated by the United States Secret Service, the Federal Bureau of Investigation, and the Federal Deposit Insurance Corporation, and is being prosecuted by Assistant United States Attorneys David J. Ignall and Christopher J. Mannion.

An Indictment, Information or Criminal Complaint is an accusation.  A defendant is presumed innocent unless and until proven guilty.

Mehdi Nikparvar-Fard, 46, who is also known as Mehdi Armani, of Penn Valley, Pennsylvania, was charged today by Indictment[1] with threatening a United States Marshal and lying to the United States Marshals announced Acting United States Attorney Louis D. Lappen.  Nikparvar-Fard was charged with making these statements on August 29, 2017, when he was arrested by the U.S. Marshals on a federal bench warrant.  Nikparvar-Fard faces up to 15 years in prison, up to $500,000 in fines, three years of supervised release, and a $200 special assessment.

The case was investigated by the Drug Enforcement Administration, and is being prosecuted by Assistant United States Attorney Jason P. Bologna.

[1]An Indictment is an accusation.  A defendant is presumed innocent unless and until proven guilty.

Jose Frias, 57, of Allentown, PA was charged today by Indictment with conspiracy to defraud the United States and with aiding in the preparation of false tax returns, announced Acting United States Attorney Louis D. Lappen.

If convicted the defendant faces a maximum possible sentence of 32 years’ incarceration, $2,500,000 fine, 3 years of supervised release, and a special assessment of $1,000, plus restitution and forfeiture.

The case was investigated by the Internal Revenue Service and is being prosecuted by Assistant United States Attorney Nancy Rue.

Rudy Otoniel Alvarez-Esquivel, a/k/a “Rudy Vasquez,” of Upper Darby, PA, was charged today by Indictment with illegal reentry after deportation, announced Acting United States Attorney Louis D. Lappen.  The indictment alleges that on or about August 15, 2017, Alvarez-Esquivel, an alien, and native and citizen of Honduras, was found in the United States after having been deported from the United States on or about August 30, 2012, January 16, 2013, and November 18, 2016.

If convicted the defendant faces a maximum possible sentence of two years.

The case was investigated by Immigration and Customs Enforcement, Enforcement and Removal Operations (“ERO”), and is being prosecuted by Assistant United States Attorney Judy Goldstein Smith.

An Indictment, Information or Criminal Complaint is an accusation.  A defendant is presumed innocent unless and until proven guilty.

Scott Wayne Turner, 49, of Philadelphia, Pennsylvania, was charged today by Indictment with one count of bank robbery, announced Acting United States Attorney Louis D. Lappen.

If convicted the defendant faces a maximum possible sentence of 20 years imprisonment, a $250,000 fine, a $100 special assessment, and a three-year period of supervised release.

The case was investigated by the Federal Bureau of Investigation Violent Crimes Task Force and the Philadelphia Police Department and is being prosecuted by Assistant United States Attorney Priya T. De Souza.

An Indictment, Information or Criminal Complaint is an accusation.  A defendant is presumed innocent unless and until proven guilty.

David Foster, 52, of Horsham, PA was charged today by Information with one count of tax evasion and one count of failing to pay federal taxes, announced Acting United States Attorney Louis D. Lappen.

If convicted, Foster faces a maximum possible sentence of 10 years imprisonment, three years supervised release, a $500,000 fine, and a $200 special assessment.

The case was investigated by the Internal Revenue Service, and is being prosecuted by Assistant United States Attorney Paul L. Gray.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – Victor Saul, of Egg Harbor Township, New Jersey and a former owner of R&V Medical Supplies LLC (R&V), has agreed to pay $220,000 to resolve civil claims under the False Claims Act. The government’s claims concern allegations of fraud in connection with the sale of durable medical equipment. The civil resolution was announced today by Acting United States Attorney Louis D. Lappen.  

Victor Saul owned R&V together with his brother, Robert Saul, and Robert’s wife, Sheila Saul. R&V was a supplier of durable medical equipment that provided wheelchairs, braces, scooters, heating pads and other products to the elderly and the infirm. The government alleges that R&V engaged in an extensive scheme to defraud the Medicare program from approximately 2005 through 2008. The United States alleges that through R&V, Victor Saul caused to be submitted – by acting in reckless disregard of R&V’s scheme – false claims for reimbursement for durable medical equipment to Medicare. Specifically, the United States contends that R&V, through its principals:   

• directed individuals who worked at doctors’ offices to write prescriptions, to prepare medical authorizations and/or physician orders that were not ordered or authorized by a physician;
• either forged doctors’ signatures or directed other individuals to forge doctors’ signatures on these documents;
• provided equipment to patients that was not ordered by submitting false claims for payment for patients with falsified physician orders or medical authorizations;
• billed for medical equipment and supplies that were never provided to any patient;
• paid remuneration in the form of kickbacks to employees of medical providers and social service agencies in exchange for confidential information, including names, social security numbers, insurance information and other personal information that was used to submit these false claims. 

Victor Saul’s brother, Robert Saul, was charged criminally and was sentenced in 2011 to 66 months in prison for Medicare fraud and other related offenses. In addition to the prison term, Robert Saul was ordered to pay $845,000 in restitution, a fine of $10,000, and a special assessment of $10,500. R&V was also charged criminally and was sentenced to five years of probation, a fine of $8,000, and a special assessment of $42,000.

As part of the agreement to resolve the government’s claims under the False Claims Act, Victor Saul did not admit to any liability or wrongdoing.

The allegations arose from an investigation led by the Federal Bureau of Investigation and Department of Health and Human Services Office of Inspector General. The case was handled by Assistant United States Attorney David A. Degnan.

John Robinson, 53, of Philadelphia, Pennsylvania, was charged by Indictment with three counts of wire fraud, one count of theft of government funds, and one count of Social Security fraud, announced Acting United States Attorney Louis D. Lappen.  According to the Indictment[1], the defendant received retirement benefits intended for another person after that person’s death in October 1999.  The defendant’s alleged actions resulted in a loss to the government of approximately $148,526.           

If convicted, the defendant faces a term of imprisonment, a 3‑year period of supervised release, restitution to the government of $148,526, a $1,250,000 fine, and a $500 special assessment.

The case was investigated by the Social Security Administration, Office of Inspector General, and is being prosecuted by Special Assistant United States Attorney Christopher E. Parisi.

[1] An Indictment is an accusation.  A defendant is presumed innocent unless and until proven guilty. 

PHILADELPHIA – Tyrone Phillips, 46, of Philadelphia, was charged today by indictment[1] with possession of a firearm by a convicted felon, announced acting United States Attorney Louis D. Lappen. According to the indictment, on June 14, 2017, Phillips was in possession of a Ruger, Model P97DC, .45 caliber semi-automatic handgun, serial number 66346075, which was loaded with seven live rounds of .45 caliber ammunition.

If convicted, Phillips faces a maximum of 10-years’ imprisonment, up to three-years of supervised release, a fine of $250,000, and a $100 special assessment.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Philadelphia Police Department. It is being prosecuted by Assistant United States Attorney José R. Arteaga.

[1] An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.

Asplundh Tree Expert, Co., one of the largest privately-held companies in the United States, was charged today by Information[1] with one count of unlawfully employing aliens, in connection with a scheme in which Asplundh accepted and received identification documents knowing those documents to be procured by fraud and illegally obtained, announced acting United States Attorney Louis D. Lappen. Asplundh, headquartered in Willow Grove, Pennsylvania, is an industry leader in tree trimming and brush clearance for power and gas lines.    The information alleges that in or about 2010 to on or about December 2014, Asplundh managers, including a Vice-President and Sponsor, directed their personnel to accept false identification from prospective employees. The acceptance of these false documents facilitated the re-hiring of Asplundh employees who had been determined previously by Homeland Security Investigations to be aliens unauthorized to work in the United States. 

Asplundh supervisors accepted identification documents, such as legal permanent resident cards (green cards), Social Security Cards, and drivers’ licenses as evidence of authorized status or employment in the United States, knowing that those identification documents were illegitimate. This facilitated the hiring and rehiring of workers that were not eligible to be employed in the United States. Asplundh management delegated the recruitment and hiring of employees to lower level supervisors and decentralized its hiring practices in order to facilitate the hiring of these ineligible workers.   

Three individual Asplundh supervisors, including a Vice-President, have already entered pleas of guilty to felony counts of conspiracy to commit fraud and misuse visas and fraud and misuse of visas in connection with this case.

If convicted the defendant faces a maximum sentence of not more than five years’ probation, a fine, with a maximum of $3,000 for each unauthorized alien with respect to whom such violation occurs, and any applicable forfeiture.

The case was investigated by the Department of Homeland Security, Homeland Security Investigations (“HSI”) and is being prosecuted by Special Assistant United States Attorney Josh A. Davison and Assistant United States Attorney L.C. Wright.

[1]An Indictment or Information is an accusation.  A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – Giuseppe “Pino” DiMeo, 49, of Eagleville, Pennsylvania pled guilty today to two counts of conspiring to defraud the Internal Revenue Service (“IRS”), and nine counts of filing false tax returns announced Acting United States Attorney Louis D. Lappen. DiMeo admitted that he conspired with his business partners at restaurants in Wilmington, Delaware and in the Philadelphia, Pennsylvania area to defraud the IRS of income taxes and payroll taxes. DiMeo skimmed cash from three of his restaurants and failed to report the cash income to the IRS. DiMeo also paid many of his employees in cash under the table and failed to inform his accountant or the IRS about his businesses’ cash payroll. In total, the government has determined, and alleges that, DiMeo failed to report approximately two million dollars in income to the IRS.

DiMeo’s cash skimming and paying employees under the table occurred at DiMeo’s Pizza in Lafayette Hill, Pennsylvania (now closed), Pizzeria DiMeo’s (Andorra), Philadelphia, Pennsylvania, and DiMeo’s Pizzaiuoli Napulitani in Wilmington, Delaware. DiMeo is also an owner of Arde Osteria in Wayne, Pennsylvania.

The defendant faces a maximum possible sentence of 37 years of imprisonment, three years of supervised release, a $2.75 million fine, and a $1,100 special assessment.

The case was investigated by the Internal Revenue Service, Criminal Investigations,

and is being prosecuted by Assistant United States Attorneys Maria M. Carrillo and Tiwana L. Wright.

PHILADELPHIA – Acting United States Attorney Louis D. Lappen today announced an indictment charging Denis Kelliher, 47, of Toms River, NJ, with wire fraud. According to the indictment, between 2013 and 2016, Kelliher was the manager of Trenton Marine’s Toms River, NJ marina and acted as a broker for the sale of boats. During that time, he sold approximately 13 boats without the knowledge of the owners and converted the proceeds from the sale to his personal use, including to pay off debts he owed to his business associates. It is alleged that Kelliher robbed the boat owners of their property valued at more than $2 million.

If convicted, Kelliher faces a statutory maximum penalty of 20 years’ imprisonment, three years’ supervised release, $250,000 fine, and $100 special assessment. Additionally, Kelliher will be subject to restitution and/or forfeiture of money and substitute assets totaling $2,163,000.00.

The case was investigated by the Federal Bureau of Investigation and the Toms River (NJ) Police Department and is being prosecuted by Assistant United States Attorney Anita Eve.

Shi Luang Peng, 68, of Philadelphia, Pennsylvania, was charged by Information with one count of theft of government funds, announced Acting United States Attorney Louis D. Lappen. According to the Information[1], the defendant received retirement benefits intended for his mother, after his mother’s death in July 2008 until March 2016. The defendant’s alleged actions resulted in a loss to the government of approximately $94,606.51.

If convicted, the defendant faces a term of imprisonment, a 3‑year period of supervised release, restitution to the government of $94,606.51, a $250,000 fine, and a $100 special assessment.

The case was investigated by the Social Security Administration, Office of Inspector General, and is being prosecuted by Special Assistant United States Attorney Christopher E. Parisi.

[1] An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.

Four Philadelphia, Pennsylvania men pleaded guilty in the Eastern District of Pennsylvania to conspiring to file fraudulent tax refund claims, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Louis D. Lappen for the Eastern District of Pennsylvania.

According to documents and information provided to the court, Philadelphia residents Ronald LaFortune, 40, Jean Celestin, 35, and Douge Francois, 26, conspired to use stolen IDs to file tax returns with the Internal Revenue Service (IRS) fraudulently seeking tax refunds to which they were not entitled. LaFortune opened a bank account at Citizens Bank in Philadelphia in the name of “Ronald Tax Service,” though he did not actually have a tax service. LaFortune and his co-conspirators directed the IRS to deposit some of the fraudulently obtained tax refunds into this bank account. He then withdrew money from the account to provide to Celestin, Francois and other co-conspirators. Celestin and Francois cashed checks they received from LaFortune and kept a portion of the proceeds. Celestin recruited other individuals to join the conspiracy, and he transported cash proceeds from the scheme from Philadelphia to Miami. The defendants agreed that they caused a tax loss of $118,000.

U.S. District Court Judge John R. Padova set sentencing dates as follows: LaFortune is scheduled to be sentenced on Dec. 18; Celestin is scheduled to be sentenced on Dec. 18; and Francois is scheduled to be sentenced on Dec. 19. All three defendants face a statutory maximum sentence of 10 years in prison, a period of supervised release, restitution and monetary penalties.

In a separate, but related scheme, according to documents and information provided to the court, Daniel Monville, 28, conspired with others to use stolen IDs to file tax returns with the IRS fraudulently seeking refunds to which he was not entitled. Despite not having a tax preparation business, Monville opened up a bank account in the name of “Daniel Tax Services” at Citizens Bank in Philadelphia to facilitate the crime. He admitted to causing a tax loss of $155,789.23.

Monville is scheduled to be sentenced on Dec. 13 also before Judge Padova. He faces a statutory maximum sentence of 10 years in prison on the conspiracy charge and five years in prison for aiding and abetting the filing of fraudulent tax refunds, as well as a period of supervised release, restitution and monetary penalties.

Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Lappen commended special agents of IRS Criminal Investigation and the FBI, who conducted the investigation, and Assistant U.S. Attorney David Ignall and Trial Attorney Eric B. Powers of the Tax Division, who are prosecuting the case.

Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.

WASHINGTON – Four Philadelphia, Pennsylvania men pleaded guilty in the Eastern District of Pennsylvania to conspiring to file fraudulent tax refund claims, announced Acting U.S. Attorney Louis D. Lappen for the Eastern District of Pennsylvania and Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division.

According to documents and information provided to the court, Philadelphia residents Ronald LaFortune, 40, Jean Celestin, 35, and Douge Francois, 26, conspired to use stolen IDs to file tax returns with the Internal Revenue Service (IRS) fraudulently seeking tax refunds to which they were not entitled. LaFortune opened a bank account at Citizens Bank in Philadelphia in the name of “Ronald Tax Service,” though he did not actually have a tax service. LaFortune and his co-conspirators directed the IRS to deposit some of the fraudulently obtained tax refunds into this bank account. He then withdrew money from the account to provide to Celestin, Francois and other co-conspirators. Celestin and Francois cashed checks they received from LaFortune and kept a portion of the proceeds. Celestin recruited other individuals to join the conspiracy, and he transported cash proceeds from the scheme from Philadelphia to Miami. The defendants caused a tax loss of $118,000.

District Court Judge John R. Padova set sentencing dates as follows: LaFortune is scheduled to be sentenced on Dec. 18; Celestin is scheduled to be sentenced on Dec.18; and Francois is scheduled to be sentenced on Dec. 19. All three defendants face a statutory maximum sentence of 10 years in prison, a period of supervised release, restitution and monetary penalties.

In a separate, but related scheme, according to documents and information provided to the court, Daniel Monville, 28, conspired with others to use stolen IDs to file tax returns with the IRS fraudulently seeking refunds to which he was not entitled. Despite not having a tax preparation business, Monville opened up a bank account in the name of “Daniel Tax Services” at Citizens Bank in Philadelphia to facilitate the crime. He admitted to causing a tax loss of $155,789.23.

Monville is scheduled to be sentenced on Dec. 13 also before Judge Padova. He faces a statutory maximum sentence of 10 years in prison on the conspiracy charge and five years in prison for aiding and abetting the filing of fraudulent tax refunds, as well as a period of supervised release, restitution and monetary penalties.

Acting U.S. Attorney Lappen and Acting Deputy Assistant Attorney General Goldberg commended special agents of IRS Criminal Investigation and the FBI, who conducted the investigation, and Assistant U.S. Attorney David Ignall and Trial Attorney Eric B. Powers of the Tax Division, who are prosecuting the case.

Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.

Zaki M. Bey, 39, of Philadelphia, PA, was sentenced to 60 months in prison, announced Acting United States Attorney for the Eastern District of Pennsylvania Louis D. Lappen.  Zaki Bey previously pleaded guilty to one count of conspiracy to commit loan and bank fraud, one count of conspiracy to defraud the Internal Revenue Service, and one count of conspiracy to commit wire fraud.

According to court documents, Bey conspired with others to prepare and submit fraudulent mortgage applications to banks and lending institutions.  In 2007 and 2008, BEY successfully secured more than $2 million in residential loans on at least thirteen properties located in the Germantown section of Philadelphia and in New Jersey.  Bey and others created fraudulent loan applications on behalf of straw buyers that contained materially false information as to the straw buyers’ income, assets, and intent to occupy the residences.  Bey also furnished fraudulent records such as payroll account documents, paystubs, and financial statements to defraud financial institutions and lenders.  Bey’s company at the time, Natural Home Builders, was able to receive a payout for purported construction expenses ranging from $17,864.26 to $60,000 at the closing of each settlement.  Bey was not completing any construction on these properties, and obtained total settlement proceeds for construction costs of $435,074.26. 

In late 2010 and early 2011, Bey filed fraudulent personal income tax returns for tax years 2007, 2008, 2009 and 2010.  Bey filed these tax returns claiming false tax withholding payments and false Forms 1099-OID (“Original Issue Discount”) income for his company, Natural Home Builders.  Bey attempted to receive total tax refunds from the IRS in the amount of $1,141,677.  Bey was only successful in receiving $148,296 from the IRS based on the fraudulent 2009 tax return he submitted.   After assessed a tax deficiency by the IRS, Bey mailed checks to the IRS from a closed bank account in an attempt to repay the fraudulent tax refund.   

Beginning in 2010 to 2013, Bey engaged in a wire fraud conspiracy involving the submission of fraudulent auto loan applications.  Bey furnished fraudulent records such as payroll account documents, paystubs and financial statements to defraud automobile dealerships located in Philadelphia and New Jersey.  The false loan applications and fraudulent records caused the automobile dealerships to electronically submit false information to financial institutions and lenders.  Through the use of straw buyers, Bey was able to obtain at least 7 automobiles.

In addition to Bey’s 60 month prison sentence, he will also be required to serve 3 years’ supervised release and pay back $705,528.22 in restitution to multiple financial institutions and the Internal Revenue Service. 

This case was investigated by the Internal Revenue Service, Criminal Investigation.  It was prosecuted by Assistant United States Attorney James Pavlock.    

On Friday, September 8, 2017, following a four-day jury trial before the Honorable James F. Leeson, Jr. in the United States District Court in Allentown, Wilson Albert Osorio, Jr., age 30, of Lancaster, was convicted of bank robbery for his involvement in the June 22, 2016 robbery of the Members 1st Federal Credit Union located at 2568 Lititz Pike, in Lancaster. After announcing to one of the victim tellers at the time of the robbery that he was armed with “a shocker,” Osorio, along with codefendant Mario Onell Cedeno-Roman, Jr., stole a total of $11,659 in United States currency.   

Osorio faces a maximum possible sentence of 20 years’ imprisonment, 3 years’ supervised release, a $250,000 fine, and a $100 special assessment.

The case was investigated by the Manheim Township Police Department and the Federal Bureau of Investigation, and was prosecuted by Assistant United States Attorney Mark S. Miller.

Sentencing for Osorio has been scheduled for December 19, 2017 at 4:00 p.m. in Allentown. Sentencing for Mario Onell Cedeno-Roman, Jr., who previously pled guilty, is presently set for November 2, 2017, also in Allentown.

Jon Vincent, a/k/a “Nathan Laskoski,” 45, of Lansdale, Pennsylvania, was sentenced today to 27 months in prison, announced Acting United States Attorney Louis D. Lappen. Defendant Vincent pled guilty in May 2017 to Social Security fraud and aggravated identity theft crimes for his use of the identity of a deceased child for more than two decades. According to the facts admitted to by the defendant during his guilty plea hearing, after being convicted in the state of Texas, the defendant served a prison term, then escaped from a Texas halfway house in 1996. Shortly after his escape, the defendant stole the name of the deceased Nathan Laskoski after visiting a cemetery and finding that the decedent had a birthdate close to Vincent’s own birthdate, to craft a new identity. Vincent subsequently obtained the birth certificate for Laskoski, which he used to apply for a Social Security number in Laskoski’s name.

The defendant has been living using the deceased victim’s stolen identity since mid-1996, and used this identity for various purposes, including to obtain employment, open bank accounts, apply for loans, and to obtain government identification. His use of the stolen identity was discovered when a relative of the deceased victim discovered information on the ancestral website “Ancestry.com” indicating that someone was impersonating the decedent.

The case was investigated by the Social Security Administration, Office of Inspector General, the United States Postal Inspection Service, and the United States Department of Labor Office of Inspector General, with assistance from the Lansdale Police Department. It is being prosecuted by Assistant United States Attorney Amanda R. Reinitz.

An indictment was filed charging Roman Gridjusko, 28, of the country of Estonia, with one count of bank fraud and four counts of aggravated identity theft, announced Acting United States Attorney Louis D. Lappen.

As alleged in the indictment, Gridjusko arrived in the United States in late 2016 and almost immediately began engaging in a scheme to obtain money by using stolen debit card account numbers and corresponding stolen debit personal identification numbers (“PINs”).  This included Gridjusko using fraudulent debit cards to access ATMs in order to withdraw money from victim checking accounts.

If convicted of all charges, Gridjusko faces a statutory maximum sentence of 38 years’ imprisonment, which would include a 2-year mandatory minimum sentence, and other penalties.

The case was investigated by the United States Postal Inspection Service’s Wilmington, Delaware Office and is being prosecuted by Assistant United States Attorney Kevin Jayne.

An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – Luis A. Perez-Santiago 38, of Bingham Street in Philadelphia, Pennsylvania, is charged in a one-count indictment with possession with intent to distribute 5 kilograms or more of cocaine, a Schedule II controlled substance, announced Acting United States Attorney Louis D. Lappen. Perez-Santiago is charged in the single count of the indictment with possession with intent to distribute approximately 28 kilograms of cocaine.

According to the indictment, on August 8, 2017, Perez-Santiago possessed approximately 28 kilograms of cocaine in Philadelphia, Pennsylvania.

If convicted, Perez-Santiago faces a maximum penalty of life imprisonment, a mandatory minimum sentence of 10 years’ imprisonment, lifetime supervised release, at least 5 years supervised release, a fine of $10,000,000, and a $100 special assessment.

This case was investigated by Homeland Security Investigations, Border Enforcement Security Task Force (BEST), the Philadelphia Office of the Drug Enforcement Administration, the Pennsylvania Office of Attorney General, Bureau of Narcotics Investigations, the Delaware State Police and the Philadelphia Police Department and is being prosecuted by Assistant United States Attorney Joseph T. Labrum, III.

[1] An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.

Eleasar Rodriguez-Torres, a/k/a “Rogelio Rodriguez-Martinez,” of Doylestown, PA, was charged today by Indictment with illegal reentry after deportation, announced Acting United States Attorney Louis D. Lappen. The indictment alleges that on or about July 31, 2017, Rodriguez-Torres, an alien, and native and citizen of Mexico, was found in the United States after having been deported from the United States on or about August 13, 2009, February 25, 2012, April 23, 2012, November 14, 2012, February 27, 2013, April 1, 2013, and January 27, 2014.

If convicted the defendant faces a maximum possible sentence of two years.

The case was investigated by Immigration and Customs Enforcement, Enforcement and Removal Operations (“ERO”), and is being prosecuted by Assistant United States Attorney Seth M. Schlessinger.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – Garrett Marcus Matthews, 32, of Reading, was charged today by indictment[1] with possession of a firearm by a convicted felon, announced acting United States Attorney Louis D. Lappen. According to the indictment, on March 25, 2017, Matthews was in possession of a Glock GmbH, Model 23, caliber .40 S&W, semi-automatic pistol with serial number PVP005, and a Glock GmbH, Model 27, caliber .40 S&W, semi-automatic pistol with serial number LPH954.

If convicted, Matthews faces a mandatory-minimum term of 15-years’ imprisonment, a maximum term of life imprisonment, up to five-years of supervised release, a maximum fine of $250,000, and a $100 special assessment.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Montgomery County Detective Bureau, and the Pennsylvania Attorney General’s Office. It is being prosecuted by Assistant United States Attorney José R. Arteaga.

[1] An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – Gilbert Lemar Bates, 42, of Philadelphia, was charged today by indictment[1] with possession of a firearm by a convicted felon, announced acting United States Attorney Louis D. Lappen. According to the indictment, on May 11, 2017, Bates was in possession of Ruger, Model P345, .45 caliber semi-automatic handgun bearing serial number 665-04763 and loaded with seven live rounds of .45 caliber ammunition, and on May 18, 2017, Bates was in possession of Smith & Wesson, Model 10-7, .38 caliber revolver bearing serial number 53984, which was loaded with six live rounds of .38 caliber ammunition.

If convicted, Bates faces a maximum term of ten-years’ imprisonment, up to three-years of supervised release, a maximum fine of $250,000, and a $100 special assessment.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Philadelphia Police Department. It is being prosecuted by Assistant United States Attorney José R. Arteaga.

[1] An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.

A federal indictment was unsealed today charging Henry Gibbs and Bakary Camara with conspiracy, bribery and other charges, announced Acting United States Attorney Louis D. Lappen

According to allegations contained in the indictment, Gibbs, a former driver’s license examiner with the Pennsylvania Department of Transportation (“PennDOT”), accepted cash payments in exchange for the issuance of driver’s licenses to others, including foreign nationals, who failed to take the required tests and to provide acceptable proof of residency. Gibbs accepted falsified documents to establish proof of residence, including utility bills, cellular telephone bills and insurance documents as well as tax letters containing identifying information for other people. Camara provided Gibbs the names, dates of birth, driver’s license numbers and/or social security numbers for the driver’s license recipients and paid Gibbs cash to improperly issue both non-commercial and commercial driver’s licenses

Gibbs and Camara are charged with conspiracy to produce identification documents without lawful authority and bribery concerning agencies receiving federal funds. The charge of conspiracy carries a maximum sentence of 15 years in prison and a $250,000 fine; and the charges of bribery concerning agencies receiving federal funds carry a maximum sentence of 10 years in prison and a $250,000 fine.

Gibbs is also charged with false statements to government agents, which carries a maximum sentence of 5 years in prison and a $250,000 fine. Additionally, Camara is charged with aiding and abetting social security fraud and aggravated identity theft, which carry a maximum sentence of 5 years’ imprisonment and a $250,000 fine. He also faces a 2-year mandatory minimum term of imprisonment that must run consecutive to any other sentence for the aggravated identity theft charge.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

The case was investigated by the Department of Homeland Security and the Social Security Administration, Office of Inspector General. It is being prosecuted by Assistant United States Attorney Tomika N.S. Patterson of the U.S. Attorney’s Office for the Eastern District of Pennsylvania.

PHILADELPHIA – Stanley Davis, 50, of Philadelphia pleaded guilty today to one count of distribution of controlled substances.

During the offense conduct, Davis was a Philadelphia Police Officer assigned to work as a task force officer with the Federal Bureau of Investigation working on narcotics investigations. In September or October of 2016, Davis was working in the Kensington section of Philadelphia, an area where illegal drugs were frequently bought and sold. Davis spotted two young women who were in Kensington attempting to buy drugs. Davis approached the women, ostensibly to gain information on drug trafficking activity in the area. Davis exchanged phone numbers with the women and began sending them text messages. The text messages soon turned sexual in nature. Davis entered into a sexual relationship with the first woman and later entered into a sexual relationship with the second woman. During the course of these relationships, Davis provided each woman with controlled substances, including heroin and crack.

Davis is scheduled to be sentenced on December 8, 2017 before the Honorable R. Barclay Surrick in the United States District Court for the Eastern District of Pennsylvania.

The case was investigated by the Federal Bureau of Investigation and the U.S. Department of Justice, Office of the Inspector General with assistance from the Pennsylvania State Police and the Philadelphia Police Department. It is being prosecuted by Assistant United States Attorney Robert J. Livermore.

PHILADELPHIA – A federal indictment was unsealed today charging Nazik Modawi and her husband Abboud Wali with conspiracy and bribery, announced Acting United States Attorney Louis D. Lappen.

According to allegations contained in the indictment, the defendants made two bribe payments in November through December 2016 to Southeastern Pennsylvania Transportation Authority (SEPTA) employees for the purpose of expediting their application for a certification from SEPTA’s disadvantaged business enterprise (DBE) program. SEPTA employees immediately reported the cash payments to authorities.

The charge of conspiracy carry a maximum sentence of 5 years in prison and a $250,000 fine; charges of bribery concerning agencies receiving federal funds carry a maximum sentence of 10 years in prison and a $250,000 fine.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

The case was investigated by the Federal Bureau of Investigation and the United States Department of Transportation, Office of Inspector General, with assistance from the SEPTA Inspector General. It is being prosecuted by Assistant United States Attorney Denise S. Wolf of the U.S. Attorney’s Office for the Eastern District of Pennsylvania.

Jeffrey Keagle, 49 of, Folcroft, PA was sentenced yesterday to 20 years in federal prison for his conviction for distribution, receipt, and possession of a collection of more than 75,000 images and videos of children being sexually assaulted and abused, announced Acting United States Attorney Louis D. Lappen.

This was Keagle’s first arrest. In addition to the 20 year term of incarceration, District Court Judge Eduardo Robreno also imposed a 20 year term of supervised release, $45,000 in restitution payments to the victims, $400 in special assessments, and forfeiture of all of Keagle’s computer and electronic equipment used in these offenses.

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 Delaware County District Attorney’s Office Criminal Investigation Division and the Federal Bureau of Investigation, and was prosecuted by Assistant United States Attorney Michelle Rotella.

PHILADELPHIA – A federal indictment was unsealed yesterday charging Philadelphia Police Sergeant Brian Smith with two counts of bribery and two counts of making material false statements to the FBI, announced Acting United States Attorney Louis D. Lappen.

According to allegations contained in the indictment, the defendant accepted weekly bribe payments over the course of approximately 11 months in return for providing confidential law enforcement information on accident locations to certain tow truck drivers, in violation of the Police Department’s rotational tow policy. The policy was instituted in 2008 as a public safety and consumer protection measure, following a series of highly-publicized violent encounters between tow truck operators competing for highly lucrative towing work.

The charges of bribery concerning agencies receiving federal funds carry a maximum sentence of 10 years in prison and a $250,000 fine; the charges of making false statements carry a maximum sentence of 5 years in prison and a $250,000 fine.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

The case is being prosecuted by Assistant United States Attorney Michelle L. Morgan of the U.S. Attorney’s Office for the Eastern District of Pennsylvania. The case is being investigated by the Federal Bureau of Investigation with assistance from the Philadelphia Police Department Internal Affairs Division.

Koren Jones, a/k/a “Kuron Jones”, 25, of Philadelphia, Pennsylvania was charged today by Indictment[1] with two counts of Hobbs Act robbery, one count of attempted Hobbs Act robbery, and three counts of using, carrying, and brandishing a firearm during a crime of violence, announced Acting United States Attorney Louis D. Lappen. The indictment specifically charges that the defendant Koren Jones committed a gun-point robbery of A & A grocery store, located at 2000 North Gratz Street, on November 4, 2016 and German grocery store, located at 2267 North 16th Street, on November 5, 2016. During the commission of robbery of the A & A grocery store, a customer was shot in the leg. During the commission of the robbery of the German grocery store, a shot was fired at the employee victim, but no injuries were sustained. Jones is also charged with attempted robbery of Fontain deli, located at 2027 North 16th street, on November 5, 2016. Additionally, Jones is charged with using and carrying a firearm during the robberies and attempted robbery charged in the indictment.

If convicted of all counts, Jones faces a maximum sentence of life imprisonment, with a mandatory 60-year minimum sentence, consecutive to any other sentence imposed, a $1,500,000 fine, and a $600 special assessment.

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

[1] An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.

 PHILADELPHIA – Today, a federal judge sentenced Joseph Mehl, a/k/a “Joseph Montanero” to 180 months in prison for his role in a prescription pill mill that trafficked oxycodone and other dangerous and addictive opioids. In addition, the Honorable Nitza I. Quiñones Alejandro, United States District Judge, ordered the defendant to serve three years of supervised release upon release from prison, and pay a special assessment of $100, as well as entering a judgment of forfeiture.

On July 14, 2015, a grand jury in Philadelphia charged Mehl, along William O’Brien, a former doctor of osteopathic medicine, and members of the Pagans Motorcycle Club (“Pagans”), an outlaw biker gang known for violence and drug dealing, with conspiring to distribute controlled substances. Mehl was a long-time associate of the Pagans. Together with the Pagans, O’Brien operated a “pill mill” out of his medical offices. O’Brien wrote fraudulent prescriptions for oxycodone and other drugs, while the Pagans and their associates recruited “pseudo-patients” to buy the fraudulent prescriptions. O’Brien charged $250 cash for the first appointment to obtain prescriptions for controlled substances and $200 cash for each subsequent visit. Oxycodone (30 mg) was in high demand by drug dealers who could sell each pill on the street for as much as $25 to $30. O’Brien sold prescriptions for these dangerous and addictive drugs to hundreds of “pseudo-patients.” After filling the prescriptions, the Pagans resold the pills on the street. The investigation showed that from March 2012 to January 2015, more than 700,000 pills containing oxycodone and other Schedule II controlled substances were distributed by members of the conspiracy.

On October 5, 2016, O’Brien, who was convicted by a jury in summer 2016, was sentenced to 30 years in prison. Pagans members Joseph Mitchell and Patrick Treacy were sentenced to 9 nine years’ and 20 years’ imprisonment, respectively, for their roles in the conspiracy.

The case was investigated by the Federal Bureau of Investigation, the Food and Drug Administration Office of Criminal Investigations, and the Department of Health and Human Services Office of the Inspector General. It is being prosecuted by Assistant United States Attorneys Mary Beth Leahy and David E. Troyer.

Matthew McAlpin, 41, of Elkins Park, Pennsylvania was charged today by Information with one count of possession of child pornography, announced Acting United States Attorney Louis D. Lappen.

It is alleged that on December 10, 2015, McAlpin possessed over five thousand images or videos of child pornography, or visual depictions of minors engaged in sexually explicit conduct, and that his collection included depictions involving the sexual victimization of minors under the age of 12 years.

If convicted the defendant faces a maximum possible sentence of 20 years imprisonment, a term of supervised release, $250,000 fine, mandatory restitution, forfeiture, a $100 special assessment, and a $5,000 additional special assessment under the Justice for Victims of Trafficking Act.

The case was investigated by Homeland Security Investigations, Abington Township Police Department, and the Montgomery County Detective Bureau. It is being prosecuted by Assistant United States Attorney Priya T. De Souza.

PHILADELPHIA, PA – Since the United States of America’s filing of a civil complaint in federal district court on February 15, 2017 against Philadelphia retail store J & B Poultry Market, Inc., and its president Johnny Wong, the parties have entered into a Consent Decree to resolve allegations that the defendants sold improperly labeled chickens stored under insanitary conditions, in violation of the Poultry Products Inspection Act. Acting United States Attorney Louis D. Lappen today announced the resolution.

The Poultry Products Inspection Act prohibits companies and individuals from selling “misbranded” or “adulterated” poultry. The Complaint alleges that United States Department of Agriculture (“USDA”) inspections of the retail store established that chickens stored by the defendants were misbranded because they lacked safe handling instructions and other information required by law, and were adulterated because they were held under unacceptable conditions, including in the back of a pick-up truck outside, and at ambient temperatures in the store as high as 80 degrees.

The Consent Decree, which is not final until accepted by the United States District Court, resolves the allegations in the Complaint, prohibits defendants from committing future violations of the Act, and calls for monetary penalties, and other appropriate relief, in the event of future violations.

“This resolution furthers the Department of Justice’s and the USDA’s goal of educating individuals and companies on safe food handling practices, and ensuring compliance with those practices,” said Acting United States Attorney Louis D. Lappen.

The case was handled by Assistant United States Attorney Stacey L. B. Smith. The matter was investigated by the United States Food and Drug Administration, with legal assistance provided by Lauren Axley, USDA Attorney Advisor.

Eugene Peter Kenworthy, Jr., age 50, of Ambler, PA, was charged today by Indictment with wire fraud, false statements for the purpose of influencing the Federal Housing Administration, aggravated identity theft, and failure to file a tax return, announced Acting United States Attorney Louis Lappen.

If convicted the defendant faces a maximum possible sentence is 166 years’ imprisonment, five years of supervised release, a $5,050,000 fine, and a $1,000 special assessment

The case was investigated by the United States Department of Housing and Urban Development - Office of Inspector General and the Internal Revenue Service - Criminal Investigation, and is being prosecuted by Assistant United States Attorney Karen L. Grigsby.

An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.

Norma Ibarra-Gonzalez, age 48, of Houston, Texas, and Marta Ibarra-Castillo, age 36, of Houston, Texas, were charged today by Indictment with possession with intent to distribute 500 grams or more of methamphetamine on July 2, 2017. The case involves the seizure of approximately 13 pounds of methamphetamine announced Acting United States Attorney Louis D. Lappen.

If convicted the defendants face a mandatory minimum sentence of at least 10 years in prison and a maximum of life in prison, a special assessment of $100, at least 5 years of supervised release and a potential fine.

The case was investigated by the Federal Bureau of Investigation, Immigration and Customs Enforcement, and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Jonathan B. Ortiz.

An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.

An Allentown, Pennsylvania, resident was sentenced to 12 months and one day in prison for using stolen IDs to file fraudulent tax returns, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Louis D. Lappen for the Eastern District of Pennsylvania.

According to documents filed with the court, Barbara Gonzalez, 32, worked as a return preparer at MJ & Associates, a business located in Allentown that provided tax preparation, check cashing and other services. Gonzalez conspired with others to obtain IDs of Puerto Rico residents and used them to file tax returns with the Internal Revenue Service (IRS) fraudulently seeking approximately $635,594 in refunds. She directed the IRS to deposit the refunds onto pre-paid debit cards and to mail them to addresses she and her co-conspirators controlled. The fraudulently obtained refund checks were cashed by other co-conspirators, including Jessenia Cordero, who operated MJ & Associates. Cordero was recently sentenced to 42 months in prison.

In addition to the term of prison imposed, U.S. District Judge Edward G. Smith ordered Gonzalez to serve three years of supervised release and to pay $319,610.39 in restitution to the IRS.

Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Lappen commended special agents of IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney David Ignall and Trial Attorney Matthew J. Kluge of the Tax Division, who prosecuted the case.

Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.

An Allentown, Pennsylvania, resident was sentenced to 12 months and one day in prison for using stolen IDs to file fraudulent tax returns, announced Acting U.S. Attorney Louis D. Lappen for the Eastern District of Pennsylvania and Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division.

According to documents filed with the court, Barbara Gonzalez, 32, worked as a return preparer at MJ & Associates, a business located in Allentown that provided tax preparation, check cashing and other services. Gonzalez conspired with others to obtain IDs of Puerto Rico residents and used them to file tax returns with the Internal Revenue Service (IRS) fraudulently seeking approximately $635,594 in refunds. She directed the IRS to deposit the refunds onto pre-paid debit cards and to mail them to addresses she and her co-conspirators controlled. The fraudulently obtained refund checks were cashed by other co-conspirators, including Jessenia Cordero, who operated MJ & Associates. Cordero was recently sentenced to 42 months in prison.

In addition to the term of prison imposed, U.S. District Judge Edward G. Smith ordered Gonzalez to serve three years of supervised release and to pay $319,610.39 in restitution to the IRS.

Acting U.S. Attorney Lappen and Acting Deputy Assistant Attorney General Goldberg commended special agents of IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney David Ignall and Trial Attorney Matthew J. Kluge of the Tax Division, who prosecuted the case.

Rigoberto Roque-Vazquez, of Norristown, PA, was charged today by Indictment with illegal reentry after deportation, announced Acting United States Attorney Louis D. Lappen. The indictment alleges that on or about July 13, 2017, Roque-Vazquez, an alien, and native and citizen of Guatemala, was found in the United States after having been deported from the United States on or about June 11, 2013, March 21, 2014, and October 2, 2015.

If convicted the defendant faces a maximum possible sentence of two years.

The case was investigated by Immigration and Customs Enforcement, Enforcement and Removal Operations (“ERO”), and is being prosecuted by Assistant United States Attorney Sean P. McDonnell.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – Charles Sampson, 61, of Chester, PA, was sentenced today to 87 months in prison attempting to rob a postal employee with a dangerous weapon at the Chester Post Office post offices. Sampson pleaded guilty on March 6, 2017. In addition to the prison term, U.S. District Court Judge Mitchell S. Goldberg ordered three years of supervised release and a $100 special assessment.

On November 30, 2016, Sampson entered the United States Post office in Chester, PA, wearing a mask and carrying a long golf style umbrella which was open to conceal his identity. Sampson was carrying a silver firearm or a facsimile firearm which he pointed at the postal clerk and demanded cash. Surveillance video in the area captured Sampson leaving the scene, without the mask and carrying the umbrella. Based on the video, Postal Inspectors created a reward flyer which was distributed to local media and local area residents. In response, law enforcement received several tips which led Postal Inspectors to Sampson.

The case was investigated by the United States Postal Inspection Service and the Chester Police Department. It was prosecuted by Assistant United States Attorney Jessica Natali.

PHILADELPHIA – James D. Falkowski, a/k/a “Jamie Falkowski,” 42, of Buffalo, New York, was charged by indictment1, unsealed today, with eleven counts of wire fraud, eleven counts of mail fraud, and one count of conspiracy, announced Acting United States Attorney Louis D. Lappen.

According to the indictment, Falkowski – while working as a QVC Director responsible for enhancing QVC’s brand and reputation in the entertainment and fashion industries – engaged in a multi-layered fraud scheme that enabled him to live a luxury lifestyle through fraud. Falkowski allegedly used a variety of methods to fraudulently obtain from QVC over $1,000,000 worth of money, goods and services, all without QVC’s knowledge or approval. Specifically, the indictment alleges that Falkowski fraudulently caused QVC to pay for: hundreds of thousands of dollars of his personal expenses, including Falkowski’s first-class travel, luxury hotel and resort stays, spa treatments, upscale restaurants, luxury clothing, luxury accessories, and botox treatment; approximately $200,000 in private luxury chauffeur rides for himself and his friends and associates; approximately $70,000 in payments to his personal vendors and creditors, including over $28,000 in payments to a custom furniture maker for two tables for Falkowski’s Philadelphia apartment; and approximately $59,500 in pre-paid American Express, Tom Ford, and Barney’s New York gift cards that he used for himself. Falkowski also entered into fraudulent kickback arrangements with two separate QVC vendors, who collectively paid Falkowski approximately $240,000 as his cut of the kickback arrangement. Allegedly, Falkowski fraudulently abused QVC’s product requisition process to shower his friends and associates with at least tens of thousands of dollars’ worth of QVC products, all at QVC’s expense.

The indictment alleges that Falkowski caused QVC to hire Los Angeles-based PR firm “The Steinberg Group,” d/b/a “dOMAIN” (“TSG”), to serve as QVC’s outside PR agency. After QVC hired TSG, Falkowski allegedly used TSG to “launder” hundreds of thousands of dollars of his personal expenses. Falkowski did this by causing TSG to reimburse him directly for his personal expenses, but after paying Falkowski in the dollar amounts he commanded, TSG subsequently obtained reimbursement from QVC by issuing fraudulent invoices to QVC often written at Falkowski’s direction and, in certain instances, written by Falkowski himself. Those fraudulent invoices, by design, did not reveal to QVC the true nature of Falkowski’s expenses. Falkowski also caused TSG to reimburse him for expenses that he also submitted directly to QVC for reimbursement, thus causing QVC to unknowingly repay him multiple times for the same expenses. And, in some instances, Falkowski allegedly created entirely fake invoices and bills for submission to QVC to hide the true costs of his expenses from QVC. Falkowski also allegedly used a second QVC vendor, “SPEC Entertainment,” d/b/a “CS Global” (“SPEC”), to fraudulently alter invoices that SPEC submitted to QVC to hide the true costs of Falkowski’s expenses – including by reducing the cost of Falkowski’s luxury hotel charges on invoices submitted to QVC by tens of thousands of dollars, and by artificially inflating an event invoice to cover Falkowski’s personal vacation to the Turks and Caicos Islands.

Separately, the indictment alleges that Falkowski entered into fraudulent kickback arrangements with TSG and SPEC – both of which Falkowski caused QVC to hire, and both of whose relationships with QVC Falkowski controlled. Regarding TSG, Falkowski allegedly instructed TSG’s President and TSG’s General Counsel how to become a QVC “vendor representative” and earn royalties from QVC. Falkowski thereafter secretly assisted TSG leadership in negotiating against QVC – his own employer – by providing TSG with QVC’s proprietary contractual information, which enabled TSG leadership to negotiate for, and obtain, a larger royalty percentage over a longer period of time from QVC. In return, TSG leadership secretly cut Falkowski into the deal, and made him their “silent partner” – agreeing to pay Falkowski a kickback of fifty percent (50%) on all royalty payments received from QVC, as well as for funds received from a separate deal related to product sold by a QVC competitor. After Falkowski was terminated by QVC, Falkowski allegedly sent a private email to TSG’s President and TSG’s General Counsel, stating: “Let’s be clear of a few things: [. . . ] You have a better deal [at QVC] than any other rep because of me solely. [ ] we do not have any contract between us of our deal JUST [TSG President’s] word that we split things 50/50 always. This was because of the complications while I was at QVC.” TSG, which did business as “Domain Miami LLC” for its royalty deal with QVC, earned hundreds of thousands of dollars in royalties from QVC pursuant to the deal negotiated with Falkowski’s secret assistance, of which TSG kicked back approximately $160,981.73 to Falkowski as his share of their fraudulent deal.

Falkowski also allegedly entered into a similar fraudulent kickback arrangement with SPEC, pursuant to which he instructed SPEC how to serve as a QVC vendor representative, and in turn was secretly cut into the deal by SPEC as a one-third (33%) partner. SPEC earned hundreds of thousands of dollars in royalties from QVC, of which it kicked back approximately $81,571.23 to Falkowski as his share of their fraudulent deal.

If convicted of all charges, Falkowski faces a potential advisory sentencing guideline range of 108-135 months in prison, three years of supervised release, a possible fine, and a $2,300 special assessment. Restitution may also be ordered.

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

1An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.

Estuardo Felix, a/k/a “Estuardo Lopez-Felix,” of Chester, PA, was charged today by Indictment with illegal reentry after deportation, announced Acting United States Attorney Louis D. Lappen. The indictment alleges that on or about July 12, 2017, Felix, an alien, and native and citizen of Guatemala, was found in the United States after having been deported from the United States on or about June 21, 2012 and March 18, 2015.

If convicted the defendant faces a maximum possible sentence of ten years.

The case was investigated by Immigration and Customs Enforcement, Enforcement and Removal Operations (“ERO”), and is being prosecuted by Assistant United States Attorney Jonathan B. Ortiz.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – Carl R. Bieber, Inc., d/b/a Bieber Tourways, a transportation company headquartered in Kutztown, Pennsylvania, has entered into a settlement agreement with the United States to resolve allegations that the company violated the Americans with Disabilities Act (ADA) by failing to use wheelchair-accessible buses on fixed-route service.

Under the ADA, large operators like Bieber Tourways must ensure that 100 percent of the buses in their fixed-route fleet are readily accessible to and usable by individuals with disabilities, including individuals who use wheelchairs. The settlement arises out of an investigation into whether Bieber Tourways complied with this requirement by providing accessible buses on its fixed-route services to and from Philadelphia and New York City.

During the investigation, the United States obtained documents showing that the company used a fixed-route fleet that is not 100 percent accessible, contrary to federal law. The United States determined that, in one particular month, Bieber Tourways used non-accessible buses on fixed routes nearly half the time.

To resolve the matter, Bieber Tourways has agreed to comply with its obligations under the ADA, pay a civil penalty of $20,000.00, use only wheelchair-accessible over-the-road buses for fixed-route service, and publish a notice on its Internet home page stating that all Bieber Tourways motor coaches are wheelchair-accessible on the fixed route schedule. In addition, Bieber Tourways has agreed that it will no longer publish bus schedules or signs stating that passengers with disabilities must give the company advance notice in order to receive accessible transportation on the fixed route service. Bieber Tourways has also agreed to train its employees about the ADA requirements for large, fixed-route over-the-road bus operators. Bieber Tourways must meet these requirements according to a timetable in the agreement.

The U.S. Attorney’s Office for the Eastern District of Pennsylvania is committed to investigating alleged violations of the Americans with Disabilities Act. Those interested in learning more about obligations under the Americans with Disabilities Act may access www.ada.gov, or call the Department of Justice’s toll-free information line at (800) 514-0301 or (800) 514-0383 (TDD). Information about filing a complaint, including instructions for filing a complaint online, can be found at www.ada.gov/filing_complaint.htm.

Assistant U.S. Attorney Michael S. Macko handled the matter in conjunction with the Department of Justice’s Civil Rights Division.

Jose R. Flores, 39, of Bronx, New York, was charged today by Indictment with travel to engage in illicit sexual conduct, and the production and possession of child pornography, announced Acting United States Attorney Louis D. Lappen.

If convicted the defendant faces a maximum possible sentence of lifetime incarceration, a mandatory minimum fifteen years’ imprisonment, a mandatory minimum five years’ supervised release up to lifetime supervised release, a $1,250,000,000 fine, a $500 special assessment and an additional $25,000 Justice for Victims special assessment.

The case was investigated by Bethlehem Police Department and the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Sherri A. Stephan.

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 Attorney’s 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.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

Amauris Ventura Alberto Castro, a/k/a “Amauris Castro,” a/k/a “Edison Hernandez,” of Philadelphia, PA, was charged today by Indictment with illegal reentry after deportation, announced Acting United States Attorney Louis D. Lappen. The indictment alleges that on or about June 29, 2017, Alberto Castro, an alien, and native and citizen of the Dominican Republic, was found in the United States after having been deported from the United States on or about March 18, 2014.

If convicted the defendant faces a maximum possible sentence of twenty years.

The case was investigated by Immigration and Customs Enforcement, Enforcement and Removal Operations (“ERO”), and is being prosecuted by Assistant United States Attorney M. Beth Leahy.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

Jose Enrique Gonzalez a/k/a “Jossy Gonzalez,” of Lancaster, PA, was charged today by four-count Indictment with possession with intent to distribute heroin, using and carrying a firearm in relation to a drug trafficking offense, possessing a firearm prohibited by the National Firearms Act, and possessing a firearm after sustaining a prior felony conviction, announced Acting United States Attorney Louis D. Lappen.

According to the Indictment, on June 14, 2016, in Lancaster, the defendant was found in possession of quantities of heroin, an AK-47 style rifle, multiple magazines of ammunition including a loaded 75-round drum magazine, and a silencer. If convicted, the defendant could face up to 50 years of incarceration, a lifetime of supervised release, a $1,020,000 fine, and a $400 special assessment.

The case was investigated by the Bureau of Alcohol, Tobacco, and Firearms (ATF), the Lancaster County Drug Enforcement Task Force, Lancaster County Detectives, and the Lancaster City Police Department. The case is being prosecuted by Assistant United States Attorney Sean McDonnell.

An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

A Pennsylvania man pleaded guilty to identity theft and conspiring to file fraudulent tax refund claims, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Louis D. Lappen for the Eastern District of Pennsylvania.

According to documents and information provided to the court, Steeve Zamor, 28, conspired with others to use stolen IDs to file returns with the Internal Revenue Service (IRS) fraudulently seeking tax refunds. Zamor also recruited other individuals to join the scheme. Despite not having a tax preparation business, Zamor opened up a bank account in the name of “Steeve Zamor Tax Services” to facilitate the crime. Zamor and his co-conspirators directed the IRS to deposit some of the fraudulently obtained refunds into this account. Zamor withdrew money from this account to provide to other co-conspirators, keeping a substantial portion of the illegal proceeds for his own use. He admitted to causing a tax loss of $366,135.53.

Zamor is scheduled to be sentenced on Nov. 14 before U.S. District Court Judge John R. Padova. He faces a statutory maximum sentence of 10 years in prison on the conspiracy charge and 15 years in prison on the identity theft charge, as well as a period of supervised release, restitution and monetary penalties.

Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Lappen commended special agents of IRS Criminal Investigation and the FBI, who conducted the investigation, and Assistant U.S. Attorney David Ignall and Trial Attorney Eric B. Powers of the Tax Division, who are prosecuting the case.

Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.

A Philadelphia man was sentenced to eight months in prison for conspiring to defraud the United States and to aiding and abetting the filing of false claims for tax refunds, announced Acting U.S. Attorney Louis D. Lappen for the Eastern District of Pennsylvania and Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division

According to documents filed with the court, Shamback Francois, 28, engaged in a scheme to fraudulently obtain income tax refunds through the filing of false tax returns using stolen personal identifying information. At least one of Francois’s co-conspirators electronically filed the returns, which directed that the fraudulently claimed refunds be deposited into a bank account in the name of Shamback Tax Services. Francois did not have a tax preparation service, but had opened up the account in order to facilitate the crime. Francois withdrew funds from this account to pay his co-conspirators. He admitted to causing a loss of $425,841.14.

In addition to the term of prison imposed, U.S. District Judge John R. Padova of the Eastern District of Pennsylvania ordered Francois to serve three years of supervised release and to pay $425,841.14 in restitution to the Internal Revenue Service (IRS).

Acting U.S. Attorney Lappen and Acting Deputy Assistant Attorney General Goldberg commended special agents of IRS Criminal Investigation and the FBI, who conducted the investigation, and Assistant U.S. Attorney David Ignall and Trial Attorney Eric B. Powers of the Tax Division, who are prosecuting the case.

John I. Waltman, 59, of Trevose, Pennsylvania, Robert P. Hoopes, 70, of Doylestown, Pennsylvania, and Bernard T. Rafferty, 62, of Langhorne, Pennsylvania were charged in a Superseding Indictment[1] with one count of conspiracy to commit money laundering, three counts of money laundering, one count of honest services wire fraud, three counts of honest services mail fraud, and Hobbs Act extortion under color of official right, announced Acting United States Attorney Louis D. Lappen.

Hoopes was also charged with one count of witness tampering. In addition, the Superseding Indictment added Kevin M. Biederman, 34, who is charged with one count of conspiracy to commit money laundering, three counts of money laundering, and one count of bank bribery.

From 2011 to December 2016, Waltman was a Magisterial District Judge in Bucks County, Pennsylvania. From February 2016 to December 2016, Hoopes was the Director of Public Safety in Lower Southampton, Pennsylvania. In this position, Hoopes had authority over all police, fire, and emergency operations in the township. Hoopes previously operated a legal practice in Doylestown, Pennsylvania. From 1998 to December 2016, Rafferty was a Deputy Constable in Bucks County. Rafferty controlled Raff’s Consulting LLC, a corporation registered with the Pennsylvania Department of State on May 30, 2011.

According to the Superseding Indictment, in November 2016, Waltman, Hoopes, and Rafferty accepted a bribe of $1,000, as well as the promise of other fees, in exchange for Waltman, Hoopes, and Rafferty to use their positions as public officials to “fix” a traffic case before Waltman in Bucks County Magisterial District Court. In January 2017, Hoopes allegedly tried to influence a witness to falsely testify before the federal grand jury regarding the disposition of this $1,000 bribe.

In addition, according to the Superseding Indictment, from June 2015 to November 2016, Waltman, Hoopes, Rafferty, and Biedmeran conspired to launder funds represented to be proceeds from health care fraud, illegal drug trafficking, and bank fraud. Moreover, from June 2016 to August 2016, Waltman, Hoopes, Rafferty, and Biederman laundered $400,000 in cash, represented to be proceeds from health care fraud and illegal drug trafficking, and took money laundering fees totaling $80,000 in cash.

Further, according to the superseding indictment, in June 2015, Biederman, who was then an employee of Philadelphia Federal Credit Union (“PFCU”), solicited and accepted a bribe of $1,600 in exchange for agreeing to influence PFCU’s approval of a loan.

“As alleged in today’s superseding indictment, we have uncovered another instance of public officials -- who should be serving the public good -- subverting justice in order to serve themselves,” said Acting United States Attorney Louis D. Lappen. “Our office is committed to investigating and prosecuting public corruption cases at every level. In addition, we will continue to hold accountable anyone who attempts to improperly influence the federal grand jury process or the testimony of witnesses.”

"They must've thought they had a pretty good thing going," said Michael Harpster, Special Agent in Charge of the FBI's Philadelphia Division. "As alleged in the indictments, these three public officials padded their income with ease, turning a tidy profit as part-time money-launderers. Ostensibly in the service of drug dealers and other crooks, they took steps to conceal the origins of piles of 'dirty money.' Add the allegations of bribery, extortion, witness-tampering -- and you've practically got a playbook of the varied ways to violate the public trust. The FBI is committed to investigating public corruption cases, and bringing corrupt officials to justice."

“The laws of the land apply to everyone, even public and banking officials. The public place a great deal of trust in these officials, and that trust is broken when they commit crimes,” said IRS Criminal Investigation Acting Special Agent in Charge Gregory Floyd. "Today's superseding indictment again emphasizes IRS, Criminal Investigation, FBI, HSI and the U.S. Attorney’s office will continue their aggressive pursuit of public and banking officials who use fraudulent methods in an attempt to corrupt our nation."

"Homeland Security Investigations is pleased to have teamed with our federal and local law enforcement partners to hold accountable public officials who betray the trust of the community they are sworn to serve by engaging in criminal behavior. The public places an enormous amount of trust in public officials and activities like those allegedly committed by the defendants in this case erodes the fabric of public trust," said Marlon V. Miller, special agent in charge of HSI Philadelphia. "HSI special agents will continue to vigorously pursue those who think the law does not apply to their criminal acts."

If convicted, Waltman and Rafferty each face a maximum possible sentence of 180 years in prison, three years of supervised release, a $2.25 million fine, and a $900 special assessment.

If convicted, Hoopes faces a maximum possible sentence of 200 years in prison, three years of supervised release, a $2.5 million fine, and a $1,000 special assessment.

If convicted, Biederman faces a maximum possible sentence of 110 years in prison, five years of supervised release, a $2 million fine, and a $500 special assessment

The case was investigated by the Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigations, U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) and the Pennsylvania State Police. It is being prosecuted by Assistant United States Attorney Vineet Gauri.

[1] An Indictment, Information, or Criminal Complaint is an accusation. A defendant is presumed

innocent unless and until proven guilty.

Michael Hoffner, Sr., 52, of Voorhees, New Jersey, entered a guilty plea today before the Honorable Mitchell S. Goldberg to 40 counts of wire fraud, announced Acting United States Attorney Louis D. Lappen.

According to the superseding indictment, Hoffner owned the Brown Street Pub in Philadelphia, Pennsylvania. Hoffner admitted that on 40 occasions between September and December 2012, Hoffner used a stolen credit number to make charges at the pub to credit and debit cards issued by American Express, Navy Federal Credit Union, USAA, ACNB, and the State Employees Credit Union of Maryland. The average fraudulent charge was more than $2,000. The cardholders were not aware of and did not authorize these transactions. The proceeds of these transactions, more than $87,000, and went into an account that Hoffner controlled.

The defendant faces a maximum possible sentence of 800 years in prison, a $10,000,000 fine, and three years of supervised release. The Court has not yet set a sentencing date.

The case was investigated by the United States Secret Service, the Internal Revenue Service-Criminal Investigation Division, and the Federal Deposit Insurance Corporation Office of Inspector General, and is being prosecuted by Assistant United States Attorneys David J. Ignall and Christopher J. Mannion.