Eastern District of Virginia

ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger today announced that various jurisdictions across the Eastern District of Virginia have recently been awarded over $972,500 in Department of Justice grants to respond to the public safety challenges posed by the outbreak of COVID-19.

The grants, to the City of Leesburg, Town of Stafford, James City County, City of Chesapeake, Henrico County, and Chesterfield County, are available under the Coronavirus Emergency Supplemental Funding program, authorized by the recent stimulus legislation signed by President Trump. The Justice Department is moving quickly, awarding grants on a rolling basis and aiming to have funds available for drawdown as soon as possible after receiving applications.

“Those on the front lines of the public safety response to the coronavirus have our support, gratitude, and utmost respect,” said Terwilliger. “The Department of Justice provides this funding with significant flexibility, so that state and local departments can use it in the ways that best benefit their officers and their community.”

The grants come on the heels of a separate DOJ grants of over $11 million to the Virginia Department of Criminal Justice Services, the City of Petersburg, the City of Alexandria, the County of Hanover, and the City of Suffolk announced earlier this month.

“The outbreak of COVID-19 and the public health emergency it created are sobering reminders that even the most routine duties performed by our nation’s public safety officials carry potentially grave risks,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “These funds will provide hard-hit communities with critical resources to help mitigate the impact of this crisis and give added protection to the brave professionals charged with keeping citizens safe.”

The Coronavirus Emergency Supplemental Funding (CESF) Program allows States, U.S. Territories, the District of Columbia, units of local government, and federally recognized tribal governments to support a broad range of activities to prevent, prepare for, and respond to the coronavirus. Funded projects or initiatives may include, but are not limited to, overtime, equipment (including law enforcement and  medical personal protective equipment), hiring, supplies (such as gloves, masks, sanitizer), training, travel expenses (particularly related to the distribution of resources to the most impacted areas), and addressing the medical needs of inmates in state, local, and tribal prisons, jails, and detention centers.

The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

NEWPORT NEWS, Va. – A federal indictment was unsealed today charging a Mathews County man with production of child pornography and coercion and enticement of a child.

According to the indictment, William Wellington Hooper, Jr., 53, and a charged co-conspirator conspired together to produce child pornography of a child identified as Jane Doe 1.

Hooper is charged with conspiracy to produce child pornography, production of child pornography and two counts of coercion and enticement of a child. If convicted, Hooper faces mandatory minimums of 15 years in prison on the conspiracy and production charges and 10 years in prison on the coercion and enticement charges. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the 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.justice.gov/psc.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C.; and L. Mark Barrick, Sheriff of Mathews County, made the announcement. Assistant U.S. Attorneys Lisa McKeel and Howard Zlotnick are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:20-cr-18.

An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.

ALEXANDRIA, Va. – An Alexandria man was arrested today on charges related to his production and distribution of images of child sexual abuse.  

According to court documents, Abel Ambrocio, 53, allegedly instructed an adult woman who he was communicating with over Facebook to take and send him over 100 images of herself engaging in specific sexual acts with an approximately 3-year-old boy and an approximately 8-year-old girl over the course of several months. Ambrocio also allegedly distributed some of these images of child sexual abuse to another individual.

Ambrocio is charged with production of child pornography and distribution of child pornography. If convicted of both charges, he faces a mandatory minimum penalty of 15 years in prison and a maximum penalty of 50 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the 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.justice.gov/psc.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Kevin Vorndran, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement. Special Assistant U.S. Attorney William G. Clayman is prosecuting the case.

This matter was investigated by the FBI, Washington Field Office’s Child Exploitation and Human Trafficking Task Force which is charged with investigating violations involving the production, distribution, transportation and receipt of child pornography, enticement and both adult and child sex and labor trafficking violations. Tips can be provided to the task force at 202-278-2000.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No.1:20-mj-148. 

A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.

ALEXANDRIA, Va. – A Prince William County man with 14 prior felony convictions has been arrested and charged with being a felon in possession of a firearm.

According to court documents, law enforcement was executing a search warrant on an apartment in Triangle, when they encountered Marc Allen Williams, 33, coming out of the back bedroom near the bathroom. Upon searching the bathroom, they found drugs floating in the toilet and a handgun hidden in the toilet’s flush tank.

Williams, who was arrested on Friday and made his initial appearance in court today, is charged with being a felon in possession of a firearm. If convicted, he faces a maximum penalty of 10 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. Click here for more information about Project Guardian.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kevin Vorndran, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, and Barry M. Barnard, Chief of Prince William County Police, made the announcement. Assistant U.S. Attorney Katherine E. Rumbaugh is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-mj-145.

A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.

ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger today announced that various jurisdictions across the Eastern District of Virginia have been awarded over $250,000 in Department of Justice grants to respond to the public safety challenges posed by the outbreak of COVID-19.

The grants, to the City of Alexandria, County of Hanover, and City of Suffolk, are available under the Coronavirus Emergency Supplemental Funding program, authorized by the recent stimulus legislation signed by President Trump. The Justice Department is moving quickly, awarding grants on a rolling basis and aiming to have funds available for drawdown as soon as possible after receiving applications.

“Those on the front lines of the public safety response to the coronavirus have our support, gratitude, and utmost respect,” said Terwilliger. “The Department of Justice provides this funding with significant flexibility, so that state and local departments can use it in the ways that best benefit their officers and their community.”

The grants come on the heels of a separate DOJ grant of $10.8 million to the Virginia Department of Criminal Justice Services, and to the City of Petersburg, announced earlier this month.

“The outbreak of COVID-19 and the public health emergency it created are sobering reminders that even the most routine duties performed by our nation’s public safety officials carry potentially grave risks,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “These funds will provide hard-hit communities with critical resources to help mitigate the impact of this crisis and give added protection to the brave professionals charged with keeping citizens safe.”

The Coronavirus Emergency Supplemental Funding (CESF) Program allows States, U.S. Territories, the District of Columbia, units of local government, and federally recognized tribal governments to support a broad range of activities to prevent, prepare for, and respond to the coronavirus. Funded projects or initiatives may include, but are not limited to, overtime, equipment (including law enforcement and  medical personal protective equipment), hiring, supplies (such as gloves, masks, sanitizer), training, travel expenses (particularly related to the distribution of resources to the most impacted areas), and addressing the medical needs of inmates in state, local, and tribal prisons, jails, and detention centers.

The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

ALEXANDRIA, Va. – In honor of National Police Week, U.S. Attorney G. Zachary Terwilliger and the Eastern District of Virginia will recognize the service and sacrifice of federal, state, and local law enforcement.

“During Police Week, our nation appropriately pauses to celebrate the service and bravery of police officers from around the country who selflessly gave their last full measure of devotion,” said Terwilliger. “We will forever be in their debt for keeping our communities safe and allowing us the luxury of pursuing those ideals set forth by our founding fathers of life, liberty, and the pursuit of happiness. Led by Attorney General Barr, the Department is committed to supporting our federal, state, local, and tribal law enforcement officers and their families. EDVA has their back, and they most certainly have our deepest thanks. Respect. Honor. Remember.”

National Police Week events began yesterday and will continue through Saturday.

“There is no more noble profession than serving as a police officer,” said Attorney General William P. Barr. “The men and women who protect our communities each day have not just devoted their lives to public service, they’ve taken an oath to give their lives in order to ensure our safety. And they do so not only in the face of hostility from those who reject our nation’s commitment to the rule of law, but also in the face of evolving adversity – such as an unprecedented global health pandemic. This week, I ask all Americans to join me in saying ‘thank you’ to our nation’s federal, state, local, and tribal law enforcement officers. Their devotion and sacrifice to our peace and security will not be taken for granted.”

In addition to honoring and recognizing our federal, state, and local law enforcement partners on Terwilliger's Twitter account and on EDVA’s Twitter account, EDVA leadership across the District will celebrate our law enforcement partners in various ways, including visiting local law enforcement divisions in Alexandria, Newport News, Norfolk, and Richmond to deliver breakfast and lunch to police departments.

In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices.  Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty.  

Each year, during National Police Week, our nation celebrates the contributions of law enforcement from around the country, recognizing their hard work, dedication, loyalty and commitment to keeping our communities safe. This year the COVID-19 pandemic has underscored law enforcement officers’ courage and unwavering devotion to the communities they swore to serve.

Based on data collected and analyzed by the FBI’s Law Enforcement Officer Killed and Assaulted (LEOKA) Program, 89 law enforcement officers died nationwide in the line of duty in 2019, including two officers here in the Eastern District of Virginia.

Comprehensive data tables about these incidents and brief narratives describing most of the fatal attacks are included in the sections of Law Enforcement Officers Killed and Assaulted, 2019.

For more information about other National Police Week events, please visit www.policeweek.org.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

RICHMOND, Va. – A previously convicted felon was arrested today on charges of illegally possessing a firearm.

According to court documents, in December 2019, the U.S. Marshals Service, Richmond Police, and Chesterfield County Police executed arrest warrants for Elijah Lamar Cupitt, 37, of Chesterfield, and another individual who is a homicide suspect at a Chesterfield residence. When executing the warrants, the U.S. Marshals recovered a firearm belonging to Cupitt.

Cupitt is charged with possession of a firearm by a convicted felon. If convicted, he faces a maximum penalty of 10 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement. Assistant U.S. Attorney Kenneth Simon, Jr. is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:20-mj-59.

A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.

NEWPORT NEWS, Va. – A Virginia Beach man was sentenced today to 11 years in prison for conducting a home modification loan fraud scheme that primarily targeted elderly homeowners in the Tidewater area.

In January, Gregory J. Ziglar, 61, was convicted of 16 charges following a two-week trial. According to court documents, from 2014 to 2017, orchestrated an extensive home improvement loan fraud in the Tidewater area that victimized banks and individual victims, many of whom were elderly. Ziglar developed a scheme to place individual homeowners into federally insured loans to do improvements on their homes, but instead, diverted funds to his own use. Ziglar conducted this scheme in the guise of a legitimate business using various company names and a fake name for himself in dealing with clients, banks and contractors. He exploited a federal program designed to assist homeowners and tradesmen and advertised to homeowners that such funds could be used for any purpose. In order to obtain these loans, Ziglar submitted false estimates or purported agreements from contractors to justify these improvements. The homeowners received the loans and paid Ziglar an unlawful service fee for moving their loan application through the bank. They also paid him for the home improvements he promised to get done, but many times little or no work was done leaving the individual homeowners with a loan debt and no improvements, while leaving Ziglar with thousands in loan proceeds.

Combatting elder abuse and financial fraud targeted at seniors is a key priority of the Department of Justice. Elder abuse is an intentional or negligent act by any person that causes harm or a serious risk of harm to an older adult. It is a term used to describe five subtypes of elder abuse: physical abuse, financial fraud, scams and exploitation, caregiver neglect and abandonment, psychological abuse, and sexual abuse. Elder abuse is a serious crime against some of our nation’s most vulnerable citizens, affecting at least 10 percent of older Americans every year. Together with our federal, state, local and tribal partners, the Department of Justice is steadfastly committed to combatting all forms of elder abuse and financial exploitation through enforcement actions, training and resources, research, victim services, and public awareness. This holistic and robust response demonstrates the Department’s unwavering dedication to fighting for justice for older Americans.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI); Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; and Shawn Rice, Acting Special Agent in Charge of the Office of Inspector General, Department of Housing and Urban Development, Mid-Atlantic Region, made the announcement after sentencing by Senior U.S. District Judge Henry Coke Morgan, Jr. Assistant U.S. Attorney Brian J. Samuels prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-30.

ALEXANDRIA, Va. – The former Director of Procurement for the Pension Benefit Guaranty Corporation and the president and chief executive officer of a government contracting firm pleaded guilty today to conspiring to bribe a public official.

Jeffrey B. Donahue, 42, of Herndon, and Nadeem Ansari, 47, of Haymarket, each pleaded guilty to one count of conspiracy to bribe a public official. Sentencing is scheduled for Sept. 11, 2020, for Donahue and Ansari.

According to court documents, Donahue served as a Supervisory Contract Administrator with PBGC and then as Director of the Procurement Department from March 2014 to February 2020. From at least 2015 through August 2017, Donahue solicited and received cash payments and other things of value, including the promise of a job valued at $1 million, from Ansari and Ansari’s company. In exchange, Donahue agreed to steer PBGC contracts to Ansari’s company.

In 2015, Donahue approached Ansari and offered to help Ansari’s new company win a PBGC contract, worth approximately $55 million, in exchange for a future job with the company. Among other things, Donahue provided Ansari with sample bid proposals; helped draft, review, and edit the company’s bid proposal; and disclosed labor pricing estimates. When the company did not win the contract, Donahue helped Ansari draft the company’s bid protest. Ansari admitted that his business partners were aware of his arrangement with Donahue.

In 2016, Donahue proposed a second arrangement with Ansari in which Donahue would receive up to $125,000 from Ansari and his company in exchange for steering a contract to Ansari’s company. PBGC awarded the contract to Ansari’s company, which resulted in payments to the company totaling approximately $3.29 million. Donahue steered the contract by, among other things, providing sensitive, non-public information and work product to Ansari; providing guidance for contract pricing; and adjusting the terms of the contract to align with the qualifications of the company’s personnel. Donahue received at least $48,000 in cash, plus additional gifts. Donahue and Ansari also took steps to conceal the scheme and their communications with each other, including using separate, dedicated cellular telephones and e-mail accounts and communicating through encrypted software.

The Pension Benefit Guaranty Corporation, Office of Inspector General and the FBI investigated the case. Trial Attorney Edward P. Sullivan of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Grace L. Hill of the Eastern District of Virginia are prosecuting the case.

Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia, Acting Inspector General Nicholas J. Novak of the Pension Benefit Guaranty Corporation, and Assistant Director in Charge Timothy R. Slater of the FBI’s Washington Field Office made the announcement.

The former Director of Procurement for the Pension Benefit Guaranty Corporation and the president and chief executive officer of a government contracting firm pleaded guilty today to conspiring to bribe a public official.

Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia, Acting Inspector General Nicholas J. Novak of the Pension Benefit Guaranty Corporation, and Assistant Director in Charge Timothy R. Slater of the FBI’s Washington Field Office made the announcement.

Jeffrey B. Donahue, 42, of Herndon, Virginia, and Nadeem Ansari, 47, of Haymarket, Virginia, each pleaded guilty to one count of conspiracy to bribe a public official.  Sentencing is scheduled for Sept. 11, 2020, for Donahue and Ansari.

According to court documents, Donahue served as a Supervisory Contract Administrator with PBGC and then as Director of the Procurement Department from March 2014 to February 2020. From at least 2015 through August 2017, Donahue solicited and received cash payments and other things of value, including the promise of a job valued at $1 million, from Ansari and Ansari’s company. In exchange, Donahue agreed to steer PBGC contracts to Ansari’s company.   

In 2015, Donahue approached Ansari and offered to help Ansari’s new company win a PBGC contract, worth approximately $55 million, in exchange for a future job with the company. Among other things, Donahue provided Ansari with sample bid proposals; helped draft, review, and edit the company’s bid proposal; and disclosed labor pricing estimates. When the company did not win the contract, Donahue helped Ansari draft the company’s bid protest. Ansari admitted that his business partners were aware of his arrangement with Donahue.

In 2016, Donahue proposed a second arrangement with Ansari in which Donahue would receive up to $125,000 from Ansari and his company in exchange for steering a contract to Ansari’s company. PBGC awarded the contract to Ansari’s company, which resulted in payments to the company totaling approximately $3.29 million. Donahue steered the contract by, among other things, providing sensitive, non-public information and work product to Ansari; providing guidance for contract pricing; and adjusting the terms of the contract to align with the qualifications of the company’s personnel. Donahue received at least $48,000 in cash, plus additional gifts.  Donahue and Ansari also took steps to conceal the scheme and their communications with each other, including using separate, dedicated cellular telephones and e-mail accounts and communicating through encrypted software.

The Pension Benefit Guaranty Corporation, Office of Inspector General and the FBI investigated the case. Trial Attorney Edward P. Sullivan of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Grace L. Hill of the Eastern District of Virginia are prosecuting the case. 

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

ALEXANDRIA, Va. – A Fairfax physician pleaded guilty today to leading and organizing an extensive and illegal prescription distribution conspiracy and a related health care fraud scheme.

According to court documents, Dr. Felicia Lyn Donald, 65, of Great Falls, organized, led, and operated a prescription “pill mill” from at least April 2016 through April 2020. Donald practiced medicine at For Women OB/GYN Associates and NOVA Addiction Center. Donald distributed over 1.2 million milligrams (mg) of Schedule II opioids at or above the Centers for Disease Control and Prevention (CDC) guideline for dosages that a practitioner should avoid, with a total street value of over $1.2 million, and illegally distributed at least 325,190 mg of oxycodone and other Schedule II controlled substances. Donald also committed health care fraud on numerous occasions in furtherance of her scheme.

“Donald flagrantly violated her oath as a physician and put countless lives at risk,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “It is critical that those with the power to prescribe controlled substances be held accountable for their actions, and that putting the health and safety of the American public at risk is a federal crime. This is especially true at this very moment when we are relying on medical professionals to save lives during the COVID-19 pandemic.”

Additionally, Donald fraudulently prescribed Schedule II opioid pills that she illegally distributed to a close associate, knowing that this individual sold the prescriptions on the street for profit. Around the same time, Donald issued prescriptions to the close associate for alprazolam pills, which belongs to a class of drugs known as benzodiazepines. Donald admitted that the use of opioids with benzodiazepines is a dangerous combination of drugs that can make a person stop breathing, and could have killed or caused serious bodily injury to the close associate or to the ultimate users.

“Donald’s actions fueled our nation’s opioid crisis and endangered lives,” said Maureen R. Dixon, Special Agent in Charge for HHS-OIG. “We will work tirelessly with our partners to prevent criminals from preying on the Medicaid program and its beneficiaries.”

Donald admitted that she prescribed opioids to addicts and/or drug dealers who had traveled from out-of-state or long distances to her practice; individuals that informed Donald of their pending drug charges; individuals who Donald knew had failed urine toxicology screens; individuals who Donald knew were selling the pills that she prescribed to them; paying certain employees, in part, with opioid prescriptions rather than through pay checks; and giving blank prescriptions to certain members of her medical office staff and other co-conspirators for their personal use.

“Today’s guilty plea illustrates the lure of greed and making money at the expense of those in need of treatment,” said Kevin Vorndran, acting Special Agent in Charge of the FBI Washington Field Office’s Criminal Division. “The FBI will not stand by while so-called medical ‘professionals’ abuse their oaths and abandon their responsibilities to their patients. Removing even one doctor who diverts opioids for profit can make a significant and lasting impact in a community, especially in the lives of those affected by reckless prescribing and dispensing practices.”

Donald attempted to conceal her patterns of illegal prescribing by falsifying medical records to make it appear as though individuals who were never her patients received examinations and medical care, when in fact they had not, and engaging in Medicaid fraud. Donald fraudulently issued prescriptions to others in the names of at least nine unwitting individuals, none of whom were her patients. Donald also issued prescriptions for high doses of oxycodone to multiple women who were pregnant.

Donald pleaded guilty to conspiracy to distribute and dispense controlled substances outside the usual course of professional practice and without a legitimate medical purpose, and health care fraud. She agreed to surrender her medical license and faces a maximum penalty of 30 years in prison when sentenced on August 21. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kevin Vorndran, Acting Special Agent in Charge of the FBI's Washington Field Criminal Division; and Maureen Dixon, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea. Assistant U.S. Attorneys Raj Parekh and Monika Moore are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-100.

The Department of Justice today filed a Statement of Interest in a Virginia federal court concerning the First Amendment’s freedom of religion in support of Lighthouse Fellowship Church (Lighthouse), a congregation in Chincoteague Island, Virginia, that serves, among others, recovering drug addicts and former prostitutes.

The Statement of Interest is part of Attorney General William P. Barr's April 27, 2020 Initiative directing Assistant Attorney General for Civil Rights, Eric Dreiband, and the U.S. Attorney for the Eastern District of Michigan, Matthew Schneider, to review state and local policies to ensure that civil liberties are protected during the COVID-19 pandemic.  

In response to the COVID-19 pandemic, Virginia’s governor issued executive orders that ban in-person religious services of more than 10 people while permitting such gatherings of workers in any non-retail business and an array of retail businesses, including liquor stores, dry cleaners and department stores. Violations of the orders allow for criminal charges and carry penalties of up to a year in a jail and a $2,500 fine.

As alleged by Lighthouse, on April 5, 2020, the church held a sixteen-person worship service in its 225-seat sanctuary while maintaining rigorous social-distancing and personal-hygiene protocols. At the end of the service, the Chincoteague police department issued Lighthouse’s pastor a criminal citation and summons, based on the governor’s executive orders. Lighthouse filed suit and on Friday, the district court denied the church’s request for preliminary relief, stating in part that “[a]lthough [professional-services] businesses may not be essential, the exception crafted on their behalf is essential to prevent joblessness.”

“For many people of faith, exercising religion is essential, especially during a crisis,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “The Commonwealth of Virginia has offered no good reason for refusing to trust congregants who promise to use care in worship in the same way it trusts accountants, lawyers, and other workers to do the same. The U.S. Department of Justice will continue to monitor any infringement of the Constitution and other civil liberties, and we will take additional appropriate action if and when necessary.”

“As important as it is that we stay safe during these challenging times, it is also important for states to remember that we do not abandon all of our freedoms in times of emergency,” said Matthew Schneider, U.S. Attorney for the Eastern District of Michigan, who, with Assistant Attorney General Dreiband, is overseeing the Justice Department’s effort to monitor state and local polices relating to the COVID-19 pandemic. “Unlawful discrimination against people who exercise their right to religion violates the First Amendment, whether we are in a pandemic or not.” 

 “The Commonwealth cannot treat religious gatherings less favorably than other similar, secular gatherings,” said G. Zachary Terwilliger, the U.S. Attorney for the Eastern District of Virginia. “As we stated in our filing, we do not take a position in this Statement on the advisability of in-person gatherings. Indeed, the proper response to the COVID-19 pandemic will vary over time, and will depend on facts on the ground.”

In its Statement of Interest, the United States explains that governments may take necessary and temporary measures to meet genuine emergencies, and that states and localities should be afforded substantial deference in their response to emergency situations such as the current pandemic. “But,” the Statement explains, “there is no pandemic exception to the Constitution and its Bill of Rights.” Because the executive orders prohibit Lighthouse’s sixteen-person, socially distanced gathering in a 225-seat church but allow similar secular conduct, such as a gathering of 16 lawyers in a large law firm conference room, the governor’s executive orders may constitute a violation of the church’s constitutional rights to the free exercise of religion.

ALEXANDRIA, Va. – United States Attorneys G. Zachary Terwilliger and Thomas T. Cullen today announced that the Commonwealth of Virginia has been awarded over $10.8 million in Department of Justice grants to respond to the public safety challenges posed by the outbreak of COVID-19.

The grants, to the Virginia Department of Criminal Justice Services, and to the City of Petersburg, are available under the Coronavirus Emergency Supplemental Funding program, authorized by the recent stimulus legislation signed by President Trump. The Justice Department is moving quickly, awarding grants on a rolling basis and aiming to have funds available for drawdown as soon as possible after receiving applications.

“Those on the front lines of the public safety response to the coronavirus have our support, gratitude, and utmost respect,” said Terwilliger. “The Department of Justice provides this funding with significant flexibility, so that state and local departments can use it in the ways that best benefit their officers and their community.”

“The outbreak of COVID-19 and the public health emergency it created are sobering reminders that even the most routine duties performed by our nation’s public safety officials carry potentially grave risks,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “These funds will provide hard-hit communities with critical resources to help mitigate the impact of this crisis and give added protection to the brave professionals charged with keeping citizens safe.”

“U.S. Attorney Terwilliger and I are committed to working closely with our state and local partners to protect the public during this difficult time,” said Thomas Cullen, U.S. Attorney for the Western District of Virginia. “It is our hope that these funds will assist the Virginia DCJS in meeting its core responsibilities.”

The Coronavirus Emergency Supplemental Funding (CESF) Program allows States, U.S. Territories, the District of Columbia, units of local government, and federally recognized tribal governments to support a broad range of activities to prevent, prepare for, and respond to the coronavirus. Funded projects or initiatives may include, but are not limited to, overtime, equipment (including law enforcement and  medical personal protective equipment), hiring, supplies (such as gloves, masks, sanitizer), training, travel expenses (particularly related to the distribution of resources to the most impacted areas), and addressing the medical needs of inmates in state, local, and tribal prisons, jails, and detention centers.

The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

RICHMOND, Va. – A Honduran man pleaded guilty and was sentenced today for illegal reentry into the United States.

“Ruiz-Lopez has repeatedly disregarded our nation’s laws by illegally entering the United States on at least four separate occasions,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Ruiz-Lopez’s habitual criminal behavior, such as felony-level drunk driving and failure to attend court hearings, also is indicative of his lack of respect for the laws of this country.”

According to court documents, Alexis Giovanni Ruiz-Lopez, 35, has illegally entered the United States at least four times since 2004. In August 2004, Ruiz-Lopez was arrested by the U.S. Border Patrol near Laredo, Texas, after illegally entering the United States without inspection or permission of a designated official. Although Ruiz-Lopez was convicted of illegal entry and sentenced to three years’ probation, he was released on his own recognizance and failed to appear at a subsequent immigration hearing. Ruiz-Lopez was not apprehended for another ten years, until he was arrested in Mississippi and removed to Honduras in January 2014.

After his first removal in 2014, Ruiz-Lopez illegally reentered the United States. In January 2015, Ruiz-Lopez was arrested in Houston, Texas, and on April 6, 2015, Ruiz-Lopez was removed for a second time to Honduras. Ruiz-Lopez then illegally returned to the United States, and in December 2015, he was arrested by the U.S. Border Patrol in Texas. After being convicted for illegal reentry and sentenced to 30 days’ confinement, Ruiz-Lopez was removed to Honduras for a third time.

Following his third removal to Honduras, Ruiz-Lopez illegally reentered the United States once more. In April 2017, Ruiz-Lopez was arrested in Richmond for public intoxication, and in October 2019, he was arrested in Chesterfield County for driving while intoxicated. On November 14, 2019, Ruiz-Lopez was convicted in Chesterfield General District Court for DWI and related charges.

After serving his sentence in Chesterfield, Ruiz-Lopez was transferred to federal custody. He pleaded guilty in federal court to illegal reentry.  U.S. District Judge Henry E. Hudson then sentenced him to over five months incarceration. The defendant had already as of today been in custody that length of time and so was transferred to ICE custody for prompt deportation.  

“ICE is committed to upholding our immigration laws and protecting public safety,” said Matthew Munroe, Acting Field Office Director for the ICE ERO Washington, D.C. Field Office. “Ruiz-Lopez was removed from the U.S. three times. He was afforded due process in immigration and criminal court but chose to repeatedly return, flouting U.S. law.”

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Matthew Munroe, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C. Field Office, made the announcement after Senior U.S. District Judge Henry E. Hudson accepted the plea. Assistant U.S. Attorneys S. David Schiller and Thomas Garnett prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:17-cr-66.

ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger has accepted an invitation to join the Law Enforcement Advisory Council for the National Center for Missing and Exploited Children (NCMEC).

“I am humbled, grateful, and inspired to join NCMEC’s Law Enforcement Advisory Council,” said Terwilliger. “As a federal prosecutor, I spent multiple years pursuing sex traffickers of children and working closely with the survivors of this modern day slavery. There were no more righteous or rewarding cases than those that brought child predators to justice. The Eastern District of Virginia is a national leader in prosecuting online child exploitation offenses, ranking 3rd nationally in 2019. As a result, EDVA and NCMEC have already forged a strong partnership. This opportunity to serve on the Advisory Council will further strengthen that bond and increase collaboration. NCMEC is a first class operation and I look forward to supporting their life-saving work in any way possible.” 

John Clark, CEO and President of NCMEC, said that he is pleased Terwilliger accepted an invitation to join the law enforcement advisory council.

“We are honored to have United States Attorney Terwilliger accept a position on NCMEC’s advisory council,” said Clark. “Terwilliger will serve as the only federal prosecutor currently part of the council and will bring unmatched perspective regarding crimes against children. The members of the law enforcement advisory council are critically important to NCMEC’s mission of finding missing and sexually exploited children. We look forward to expanding our collaborative efforts to continue to make the world safer for children.”

The National Center for Missing & Exploited Children’s Law Enforcement Advisory Council is comprised of federal law enforcement agencies, the National Sheriff’s Association, National District Attorneys Association and the State Attorney General Association. The advisory council provides their law enforcement expertise as subject matter experts to NCMEC.

The National Center for Missing & Exploited Children is a private, non-profit 501(c)(3) corporation whose mission is to help find missing children, reduce child sexual exploitation, and prevent child victimization.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

ALEXANDRIA, Va. – An ambulance transportation company that operates throughout Virginia has agreed to pay $110,000 to settle allegations that the company submitted false claims to Medicare for ambulance transports, in violation of the False Claims Act.

The United States government alleged that, for a two-year period between 2014 to 2016, some of the claims submitted for reimbursement for non-emergency ambulance services provided to Medicare beneficiaries by LifeCare Medical Transports, Inc. (LifeCare), headquartered in Fredericksburg, were not medically reasonable or necessary, and/or not supported by the medical record.  As a result, LifeCare allegedly received funds to which it was not entitled.

The settlement announced today resolves a lawsuit filed under the whistleblower provision of the False Claims Act. The government’s claims are based on a whistleblower suit filed by a former employee of LifeCare. A whistleblower suit, or qui tam action under the False Claims Act, is commenced by an individual, known as a “relator,” filing a complaint under seal in the U.S. District Court, and providing a copy of the complaint and other evidence to the local U.S. Attorney. The United States then has an opportunity to investigate the claims. The False Claims Act provides the whistleblowers with a share of the government’s recovery.

The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia, Department of Health and Human Services, Office of Inspector General, and the FBI. Assistance was provided by the Defense Criminal Investigation Service and the Office of Personnel Management.

This matter was investigated by Assistant U.S. Attorneys Ilene Albala and Monika Moore. The civil claims settled by this False Claims Act agreement are allegations only; there has been no determination of civil liability.

Related court documents and information from the civil lawsuit are on PACER by searching for Case No. 1:17-cv-1327.

A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

ALEXANDRIA, Va. – Today U.S. Attorney G. Zachary Terwilliger recognized 238 officers and agents from federal, state, and local law enforcement agencies with Public Service Awards.

The Eastern District of Virginia (EDVA) typically holds an annual awards ceremony to recognize the law enforcement officials for their service and contribution to various criminal and civil cases investigated and prosecuted here in EDVA. However, due to the COVID-19 pandemic, holding an in-person awards ceremony this year was not possible. Instead, each award recipient was sent a 2020 EDVA Public Service Award challenge coin (photo here) and letter articulating their particular acts of exceptional public service.

“The only effective way to investigate, prosecute, and ultimately thwart criminal activity is through the partnership between federal, state, and local law enforcement,” said Terwilliger. “Through our annual Public Service Awards program, we recognize those partners who have gone above and beyond in the execution of their duties and public service. We also salute their loved ones who also sacrifice on a daily basis so these agents and officers can protect the rest of us. Thank you for your incredible service.”

The awards highlighted 70 federal cases, operations, and initiatives from 2019. The federal, state, and local law enforcement agencies listed below had officers and/or agents who were recognized for their bravery, outstanding collaboration, investigative achievement, investigative excellence, and victim assistance.

Alexandria

Newport News

Norfolk

Richmond

Alexandria Police

ATF Washington Field Division

ATF Washington Field Division

ATF Washington Field Division

ATF Washington Field Division

Chesapeake Sheriff’s Office

Chesapeake Sheriff’s Office

Dept. Health & Human Services, OIG

CIA

DHS, Customs & Border Protection

Dayton Police (Oh)

DHS Homeland Security Investigations

DC Metro Police

DHS Homeland Security Investigations

Defense Criminal Investigative Service

DHS, Immigration & Customs Enforcement

Dept. Health & Human Services, OIG

DEA Washington

Dept. Health & Human Services, OIG

DEA Washington

DHS Homeland Security Investigations

FBI-Norfolk Field Office

DHS Homeland Security Investigations

FBI-Richmond Field Office

DOJ National Security Division

Food & Drug Administration

DEA

FBI Violent Crimes Task Force

Dept. of State, OIG

Hampton Police

FBI-Norfolk Field Office

Henrico Police

Dept. of Transportation, OIG

IRS-Criminal Investigations

General Services Administration, OIG

IRS-Criminal Investigations

DEA Washington

James City County Police

IRS-Criminal Investigations

Richmond Police

Environmental Protection Agency, OIG

National Oceanic & Atmospheric Administration

NASA

U.S. Marshal’s Service

Fairfax County Police

Newport News Police

Norfolk Police

U.S. Postal Inspection Service

FBI Washington Field Office

Portsmouth Sheriff’s

Portsmouth Sheriff’s Office

U.S. Secret Service

FDIC, OIG

Virginia State Corporation Commission

Small Business Administration, OIG

Virginia Beach Police

IRS-Criminal Investigations

Virginia State Police

U.S. Fish & Wildlife Service

Virginia Office of Attorney General

Leesburg Police

Williamsburg Police

U.S. Postal Inspection Service

 

Montgomery County Police (Md)

 

Virginia Office of Attorney General

 

Prince George County Police

 

Virginia Dept. of Corrections

 

Prince William County Police

 

Virginia Dept. of Forensic Science, Eastern Laboratory

 

U.S. Fish & Wildlife Service

 

 

 

U.S. Marshals Service

 

 

 

U.S. Postal Inspection Service

 

 

 

U.S. Secret Service

 

 

 

Virginia State Corporation Commission

 

 

 

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. 

ALEXANDRIA, Va. – A former government official agreed to pay $25,000 to resolve allegations that he had an improper conflict of interest with a company while he served as the Director of the Quality Assurance Division in the Office of Lender Activities and Program Compliance within the Federal Housing Administration at the United States Office of Housing and Urban Development (HUD).

The United States alleges that Justin Burch, of Arlington, had ongoing employment discussions with a private company with which he had personal and substantial participation as the Director of the Quality Assurance Division for FHA. While Burch did not ultimately join this company, he allegedly never sought to recuse himself from decisions relating to the potential employer, despite his ongoing employment discussions with them. As part of the civil settlement, Burch has agreed to pay a civil penalty of $25,000 to resolve allegations that his conduct violated conflict of interest prohibitions for federal workers.

The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney's Office for the Eastern District of Virginia, and the Office of Inspector General for the Department of Housing and Urban Development.

The matter was investigated by Assistant U.S. Attorneys Christine Roushdy and Gerard Mene. The civil penalty settled by this agreement are allegations only; there has been no determination of civil liability.

A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

ALEXANDRIA, Va. – The Eastern District of Virginia joins the entire Department of Justice and communities nationwide in observing National Crime Victims’ Rights Week, celebrating victims’ rights, protections and services throughout the week.

This year’s observance takes place April 19-25 and features the theme, “Seek Justice | Ensure Victims' Rights | Inspire Hope.”

“Every year, millions of Americans suffer the shock and trauma of criminal victimization, affecting their well-being and sense of security and dignity,” said Attorney General William P. Barr. “To these victims, we affirm our unwavering commitment to supporting them in their hour of need.  We also commend the thousands of victim advocates and public safety professionals who labor tirelessly to secure victims’ rights and support survivors.”

“While we have made tremendous progress driving down crime and violence across the country, far too many Americans continue to suffer the pain and loss of criminal victimization,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General of the Office of Justice Programs. “This week, we stand by these survivors and their families, and we pledge our ongoing support to the countless men and women who serve them with such extraordinary skill and compassion.”

“Seeking justice for victims of crime is, and has always been, a critical element of our public safety mission,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “National Crime Victims’ Rights Week is the perfect opportunity to recognize the rights of all victims and survivors, and engage with our federal, state, and local law enforcement partners in support of those rights across the Eastern District. This week should also serve as a poignant reminder of victims’ continued need for support, recovery, and justice.”

Ronald Reagan proclaimed the first Victims’ Rights Week in 1981, putting crime victims' rights, needs, and concerns in a prominent spot on the American agenda. He also established the President's Task Force on Victims of Crime, which laid the groundwork for a national network of services and legal safeguards for crime victims. President Trump and his administration have implemented historic levels of support for victim assistance and victim compensation.

Some 3.3 million Americans age 12 and older were victims of violent crime in 2018, according to the National Crime Victimization Survey. The Office for Victims of Crime (OVC), part of the Justice Department’s Office of Justice Programs, supports more than 7,000 local victim assistance programs and victim compensation programs in every state and U.S. territory. Funds for these programs come from the Crime Victims Fund, which is made up of federal criminal fines, penalties and bond forfeitures.

During National Crime Victims’ Rights Week, victim advocacy organizations, community groups and state, local and tribal agencies traditionally host rallies, candlelight vigils, and other events to raise awareness of victims’ rights and services. This year, many communities are organizing virtual gatherings and online public awareness campaigns.

This year’s commemoration began yesterday, 25 years to the day when a truck bomb exploded in front of the Alfred P. Murrah Federal Building in Oklahoma City, Oklahoma, taking the lives of 168 people, including 19 children, as well as injuring hundreds of others. The mass murder remains the worst act of domestic terrorism in our nation’s history and led to the establishment of the Antiterrorism Emergency Reserve, which is administered by OVC, and has been used to provide direct services to hundreds of victims of mass violence and terrorism.

“Crime victims deserve to know that they have the encouragement and support of the American people,” said OVC Director Jessica E. Hart. “I hope that citizens throughout the nation will take the opportunity this week to remember all victims of crime and their heroic stories of survival.  I encourage everyone to also find meaningful ways to express their appreciation to the many committed and compassionate service providers across the country who work tirelessly supporting these survivors.”

This year, the annual National Crime Victims’ Service Awards Ceremony will be postponed until a time when we can honor this year’s award recipients in person. During the ceremony, OVC will present awards recognizing individuals and organizations from across the nation for their outstanding service on behalf of crime victims. The awardees will be selected from public nominations in 11 categories, including federal service, special courage, public policy, and victim services. Visit www.ovc.gov/gallery to learn more about past recipients.

For more information on how to create your own public campaigns to raise awareness about crime victims’ rights online and at events throughout the year, please visit: https://ovc.ncjrs.gov/ncvrw2020/overview.html.

The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

ALEXANDRIA, Va. – A Nebraska pharmacist was arrested today on charges related to an alleged conspiracy to use explosives, specifically Molotov cocktails, to firebomb and destroy a competitor pharmacy.

According to court documents, Hyrum T. Wilson, 41, of Auburn, told an alleged co-conspirator: “This is the last shipment he will get from me as long as the other pharmacy is still standing.”

Wilson allegedly supplied thousands of prescription pills, including opioids, from his business, Hyrum’s Family Value Pharmacy, to William Anderson Burgamy IV. Burgamy allegedly operated as the Darknet vendor NeverPressedRX (NPRX) from August 2019 through April 2020, and had thousands of illegal recorded sales on a major Darknet market. Burgamy was charged in the Eastern District of Virginia last week and ordered detained. The firebombing plot was uncovered through search warrants that were executed following Burgamy’s arrest.

According to court documents, Wilson conspired with Burgamy to conduct a firebombing of another pharmacy in Auburn, Nebraska. The goal of the plot was to destroy Wilson’s local competition, which Wilson and Burgamy allegedly believed would increase the volume of prescription drugs that Wilson’s business could obtain, thereby allowing Wilson and Burgamy’s drug trafficking operation to continue and expand. Wilson and Burgamy allegedly agreed that the plot, named “Operation Firewood,” would involve the use of Molotov cocktails to burn down the victim pharmacy, and that Burgamy would carry numerous firearms during the attack.

Wilson allegedly created “getaway” maps and routes for Burgamy to use to help him evade law enforcement detection following the intended firebombing. Wilson also suggested that Burgamy steal prescription medications from the victim pharmacy before setting it on fire, and Burgamy offered to share with Wilson the profits from any stolen drugs.

Wilson is charged with conspiracy to use fire and explosives, conspiracy to distribute controlled substances, and a firearms-related offense. If convicted, he faces a maximum penalty of life in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kevin Vorndran, Acting Special Agent in Charge of the FBI's Washington Field Office Criminal Division; Mark S. McCormack, Special Agent in Charge, FDA Office of Criminal Investigations, Metro Washington Field Office; Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement. The FBI’s Omaha Field Office and the U.S. Attorney’s Office for the District of Nebraska provided significant assistance in executing the arrest. Assistant U.S. Attorney Raj Parekh is prosecuting the case.

This investigation was conducted by the FBI Washington Field Office’s Hi-Tech Opioid Task Force, which is composed of FBI agents and task force partners, including special agents and officers of the Food and Drug Administration’s Office of Criminal Investigations, DEA, U.S. Postal Inspection Service, and detectives from local assisting police agencies. The task force is charged with identifying and investigating the most egregious Dark Web marketplaces, and the vendors operating on the marketplaces who are engaged in the illegal acquisition and distribution of controlled substances, to include fentanyl, methamphetamine, and other opioids. This investigation was also supported by the interagency Joint Criminal Opioid and Darknet Enforcement (JCODE) team.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-mj-140.

A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.

ALEXANDRIA, Va. – The Virginia Coronavirus Fraud Task Force announced today that they are preparing for potential criminal activity, including theft and fraud, from the Economic Impact Payment checks or debit cards soon to be hand-delivered by the U.S. Postal Service.

“The U.S. Postal Inspection Service will be extra vigilant as Economic Impact Payments are mailed to approximately 80 million Americans across the country,” said Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service. “We are prepared to protect our employees, our customers, and the U.S. Mail from criminals who are looking to take advantage of our nation during the Coronavirus pandemic. We will continue to work in conjunction with the U.S. Attorney’s Office and our partners in the COVID-19 Task Force to investigate anyone who seeks to take advantage of consumers during these unprecedented times, and bring them to justice.”

In response to the significant economic challenges caused by the COVID-19 pandemic, the United States Government passed a $2 trillion stimulus package which includes providing Economic Impact Payments (EIPs) to millions of Americans. These EIPs will be distributed in two ways: direct deposit into recipient’s bank accounts and Treasury checks or debit cards mailed by the U.S. Treasury. The distribution of electronic direct deposits has already started. The mailings through the U.S. Postal Service of Treasury checks are expected to begin April 20.

“Fraudsters frequently prey upon vulnerable individuals during difficult times,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “We are working closely with our law enforcement partners like the U.S. Postal Inspection Service to guard against fraudulent pandemic profiteers, as well as to ensure the rule of law and public safety is not eroded during this critical time. For anyone victimized by a COVID-19 scam, our office remains steadfastly committed to pursuing justice on your behalf.”

The U.S. Postal Service anticipates delivering over 80 million EIPs over the next few months. This is an unprecedented mailing the Postal Service is ready to deliver for the American public.

“We are committed to ensuring that economic-impact payments are safely delivered to the citizens of Virginia and prosecuting those who interfere with those efforts,” said U.S. Attorney Thomas T. Cullen. “We will aggressively investigate and prosecute mail theft and tampering related to these impact payments, as well as fraud schemes associated with the COVID-19 pandemic.” 

The U.S. Postal Inspection Service will have a critical security and investigative role to ensure these checks make it to intended recipients. U.S. Postal Inspectors are preparing to protect against and prevent criminal activities that may arise relating to the distribution of these benefits. There will also likely be a variety of related fraud schemes to investigate as criminals attempt to exploit these EIP mailings for their own greed.

The U.S. Postal Inspection Service will partner with the Virginia Coronavirus Fraud Task Force on any investigations surrounding EIPs in continued partnership to bring criminals to justice.

The Department of Justice remains vigilant in detecting, investigating, and prosecuting wrongdoing related to the COVID-19 pandemic. Under the leadership of Attorney General William Barr, U.S. Attorneys appointed Coronavirus Fraud Coordinators to work with federal, state, local and tribal law enforcement partners to protect the public from scammers who are attempting to prey upon fears.  If you think you are a victim of a scam or attempted fraud involving COVID-19, contact the National Center for Disaster Fraud Hotline at 866-720-5721 or via email at disaster@leo.gov.

For More information about the Virginia Coronavirus Fraud Task Force, please visit:

https://www.justice.gov/usao-wdva/covid-19-fraud

Western Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Michael Baudinet, USAVAW.COVID19@usdoj.gov or 540-278-1494.

Eastern Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Kaitlin G. Cooke, Kaitlin.Cooke@usdoj.gov or 804-819-5416.

To report a COVID-19 fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or sending an email to disaster@leo.gov.

To file a complaint regarding theft of Economic Impact Payments from the mail or COVID-19 fraud involving the U.S. Mail, please contact the U.S. Postal Inspection Service at: www.uspis.gov/report or 1-800-ASK-USPS.

Economic Impact Payment Fraud can also be reported directly to the IRS at: WashingtonDCFieldOffice@ci.irs.gov

For more information, visit the IRS website at www.irs.gov/coronavirus

FBI at:  https://www.ic3.gov or 804-261-1044. 

To report fraudulent activity to the Virginia State Police, Virginians can contact the Virginia Fusion Center (VFC) at vfc@vfc.vsp.virginia.gov.

For continuing information on the COVID-19 virus and the federal response, check https://www.cdc.gov/coronavirus/2019-ncov/index.html

ALEXANDRIA, Va. – Today the Virginia Coronavirus Fraud Task Force issued a warning to the public of financial scams regarding Economic Impact Payments currently being distributed by the IRS.

“Fraudsters are chomping at the bit to steal your money,” said G. Zachary Terwilliger, co-leader of the task force and U.S. Attorney for the Eastern District of Virginia. “We have reports of criminals attempting to use various phishing techniques, including text messages, emails, and letters delivered through the mail, all attempting to steal your personal information or swindle you out of your economic impact payment. Please be vigilant. Simply put: Hang up on robocalls, do not provide your personal identifying information to anyone, and always confirm you are accessing legitimate links from IRS.gov.”

For most Americans, the Economic Impact Payments will be directly deposited into their bank account. However, for those individuals who do not utilize direct deposit, and other groups who have traditionally received tax refunds via paper check, they will receive their economic impact payment as a hard check.

“Americans will receive their economic-impact payments in one of two ways: through the mail or   by direct deposit into their bank accounts,” said Thomas T. Cullen, co-leader of the task force and U.S. Attorney for the Western District of Virginia. “These payments do not need to be confirmed, authorized, or activated, and you should assume that any unsolicited calls or emails from individuals or entities who claim to be associated with the IRS are fraudulent.”

Recently, IRS launched two new tools: “Non-Filers: Enter Your Payment Info Here” allows quick registration for Economic Impact Payments for those who don’t normally file a tax return and, “Get My Payment” which enables taxpayers to check the status of their payment, including the date their payment is scheduled to be deposited into their bank account or mailed to them. Both tools can be found here: https://www.irs.gov/coronavirus/economic-impact-payments

““Providing the community with knowledge about how economic impact payments  are being distributed and warning of potential scams is key in helping prevent taxpayers from becoming victimized," said Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI). "Taxpayers needing assistance or information regarding the economic impact payments should visit IRS.gov. When taxpayers access the tool “Non-Filers: Enter Payment Info Here”, they will be taken from the IRS.gov site to Free File Fillable Forms, a certified IRS partner. This site is safe and secure as long as you access the site via IRS.gov. IRS-CI is working diligently with the United States Attorney’s Office and our federal and state law enforcement partners to help protect the citizens of Virginia and our tax system.”

IRS Criminal Investigation is actively working to combat scam artists trying to exploit economic impact payments and other provisions related to COVID-19. So far, the scams IRS-CI have seen look to prey on vulnerable taxpayers who are unaware of how the payments will reach them. IRS-CI is prioritizing these types of investigations to help protect taxpayers and the tax system.

There has been an increase in phishing schemes utilizing emails, letters, texts and links. These phishing schemes are using keywords such as “Corona Virus”, “COVID-19”, and “Stimulus” in varying ways.

The Department of Justice remains vigilant in detecting, investigating, and prosecuting wrongdoing related to the COVID-19 pandemic. Under the leadership of Attorney General William Barr, U.S. Attorneys appointed Coronavirus Fraud Coordinators to work with federal, state, local and tribal law enforcement partners to protect the public from scammers who are attempting to prey upon fears.  If you think you are a victim of a scam or attempted fraud involving COVID-19, contact the National Center for Disaster Fraud Hotline at 866-720-5721 or via email at disaster@leo.gov.

For More information about the Virginia Coronavirus Fraud Task Force, please visit:

https://www.justice.gov/usao-wdva/covid-19-fraud

Western Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Michael Baudinet, USAVAW.COVID19@usdoj.gov or 540-278-1494.

Eastern Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Kaitlin G. Cooke, Kaitlin.Cooke@usdoj.gov or 804-819-5416.

To report a COVID-19 fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or sending an email to disaster@leo.gov.

Economic Impact Payment Fraud can also be reported directly to the IRS at: WashingtonDCFieldOffice@ci.irs.gov

For more information, visit the IRS website at www.irs.gov/coronavirus

FBI at:  https://www.ic3.gov or 804-261-1044. 

To report fraudulent activity to the Virginia State Police, Virginians can contact the Virginia Fusion Center (VFC) at vfc@vfc.vsp.virginia.gov.

For continuing information on the COVID-19 virus and the federal response, check https://www.cdc.gov/coronavirus/2019-ncov/index.html

Saber Healthcare Group LLC, and related entities, (Saber) have agreed to pay $10 million to resolve allegations that Saber violated the False Claims Act by knowingly causing certain of its skilled nursing facilities (SNFs) to submit false claims to Medicare for rehabilitation therapy services that were not reasonable, necessary, or skilled, the Department of Justice announced today.  Saber Healthcare, based in Bedford Heights, Ohio, owns and operates SNFs in seven states.

“Patients are entitled to individualized healthcare services appropriate to their specific medical needs,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division.  “When skilled nursing facilities provide rehabilitation therapy services based on maximizing revenue rather than what is necessary for their patients, we will not hesitate to hold them accountable.”

“Our office is committed to investigating and stopping healthcare fraud,” said U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia.  “Billing Medicare for higher-than-necessary levels of care exploits our senior citizens and undermines trust in the health care system.”

This settlement resolves allegations that Saber submitted false claims for rehabilitation therapy by engaging in a systematic effort to increase Medicare billings.  Medicare reimburses skilled nursing facilities at a daily rate that reflects the skilled therapy and nursing needs of qualifying patients.  The greater the patient’s needs, the higher the level of Medicare reimbursement.  The highest level of Medicare reimbursement for skilled nursing facilities is for “Ultra High” patients, who require a minimum of 720 minutes of skilled therapy from two therapy disciplines (e.g., physical, occupational, speech), one of which has to be provided five days a week. 

The United States alleged that Saber improperly established general goals that all patients should be provided with the Ultra High level of therapy, regardless of the patients’ individual therapeutic needs, and enforced that expectation by pressuring therapists to provide Ultra High therapy to each patient at nine facilities.  The United States further contended that Saber established uniform expectations for Ultra High therapy in facility budgets, pressured facility directors in weekly or daily calls to ensure therapists provided the Ultra High therapy to each patient, prevented therapists from providing lower levels of therapy minutes if, in the therapists’ clinical judgment, a lower amount was warranted, caused therapists to report time spent on initial evaluations as therapy time in violation of Medicare policy, and caused therapists to report time spent providing unskilled services as time spent on skilled therapy.

The settlement covers conduct that occurred from Jan. 1, 2013 through March 31, 2017 at the following seven facilities – Chatham Health and Rehabilitation Center (Chatham, Virginia), Stratford Rehabilitation Center (Danville, Virginia), Azalea Health and Rehab Center (Wilmington, North Carolina), Emerald Health and Rehab Center (Lillington, North Carolina), Dunmore Healthcare Center (Dunmore, Pennsylvania), Amberwood Manor (New Philadelphia, Ohio), and Woodlands Health and Rehabilitation Center (Ravenna, Ohio) –  and from March 1, 2016 through March 31, 2017 at the following two additional facilities – Autumn Care of Altavista (Altavista, Virginia) and Waddell Nursing and Rehab Center (Galax, Virginia).

Contemporaneous with the civil settlement, Saber has also entered into a five-year Corporate Integrity Agreement with the Department of Health and Human Services Office of Inspector General (HHS-OIG) that requires an independent review organization to annually assess the medical necessity and appropriateness of therapy services billed to Medicare.

“Medicare pays for services that patients actually need,” said Special Agent in Charge Maureen R. Dixon for HHS-OIG.  “We will continue working closely with our law enforcement partners to guard these vital taxpayer-funded health programs.” 

The settlement announced today resolves a lawsuit filed under the whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and to share in the government’s recovery.  The lawsuit was filed by Hope Wright, Laura Webb, and Deborah Edmonds, former Saber rehabilitation therapists and therapy managers.  Wright, Webb, and Edmonds will receive $1,750,000 from the settlement with Saber.

This matter was handled by the Civil Division’s Commercial Litigation Branch and the U.S. Attorney’s Office for the Eastern District of Virginia, with assistance from the Department of Health and Human Services Office Inspector General. 

The case is captioned United States ex rel. Wright et al. v. Saber Healthcare Holdings, LLC et al., Case No. 2:16-cv-640 (E.D. Va.).  The claims resolved by the settlement are allegations only, and there has been no determination of liability.

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

ROANKOE, Va. – The Virginia Coronavirus Fraud Task Force, led by U.S. Attorneys Thomas T. Cullen and G. Zachary Terwilliger, sent letters to the CEOs of all major hospital systems across the Commonwealth alerting them of potentially fraudulent and illegal activity associated with the COVID-19 pandemic. 

These letters apprised hospital leadership of the potential criminal consequences of hoarding certain medical supplies identified as scarce in a March 23 Executive Order signed by President Donald J. Trump. Some of the 15 categories of health and medical supplies identified as scarce include N-91 masks, portable ventilators, Choroquine phosphate or hydroxychoroquine HCL, and a variety of other personal protective equipment, such as face masks, surgical masks, gloves, and face shields.

In addition to alerting the hospital systems about potential hoarding, the letter also asks administrators to, “identify those individuals or entities that may have acquired vital medical supplies in excess of what they would reasonably use or for the purpose of charging exorbitant prices.”

“Our regional health systems and the brave men and women they employ have a unique vantage point from which to detect potentially fraudulent and illegal hoarding activity associated with COVID-19,” said U.S. Attorney Cullen. “It is our hope that these institutions will partner with us to combat criminal conduct that undermines our collective efforts to slow the spread of this disease.”  

“It is imperative that we get these critical materials to the people on the front lines,” said U.S. Attorney Terwilliger. “If you are someone who is looking to unjustly enrich yourself off of this pandemic, and amassing bulk quantities to unfairly extort hospitals and others, we will investigate and take all next steps to ensure these critical supplies get where they are needed most.”

“Governor Northam and his administration have no tolerance for any kind of fraudulent activity occurring in Virginia related to the COVID-19 pandemic,” said Virginia Secretary of Public Safety and Homeland Security Brian Moran. “At a time when the accessibility of specific, life-critical health and medical supplies are imperative to the mitigation of COVID-19 within our communities, Virginia is appreciative of our federal partners bringing these concerns to light.”

For More information about the Virginia Coronavirus Fraud Task Force, please visit:

https://www.justice.gov/usao-wdva/covid-19-fraud

Western Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Michael Baudinet, USAVAW.COVID19@usdoj.gov or 540-278-1494.

Eastern Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Kaitlin G. Cooke, Kaitlin.Cooke@usdoj.gov or 804-819-5416.

To report a COVID-19 fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or sending an email to disaster@leo.gov.

For more information, visit the IRS website at www.irs.gov/coronavirus

FBI at:  https://www.ic3.gov or 804-261-1044. 

To report fraudulent activity to the Virginia State Police, Virginians can contact the Virginia Fusion Center (VFC) at vfc@vfc.vsp.virginia.gov.

For continuing information on the COVID-19 virus and the federal response, check https://www.cdc.gov/coronavirus/2019-ncov/index.html

ROANOKE, Va. – The Virginia Coronavirus Fraud Task Force, led by U.S. Attorneys Thomas T. Cullen and G. Zachary Terwilliger, sent letters to the CEOs of all major hospital systems across the Commonwealth alerting them of potentially fraudulent and illegal activity associated with the COVID-19 pandemic. 

These letters apprised hospital leadership of the potential criminal consequences of hoarding certain medical supplies identified as scarce in a March 23 Executive Order signed by President Donald J. Trump. Some of the 15 categories of health and medical supplies identified as scarce include N-91 masks, portable ventilators, Choroquine phosphate or hydroxychoroquine HCL, and a variety of other personal protective equipment, such as face masks, surgical masks, gloves, and face shields.

In addition to alerting the hospital systems about potential hoarding, the letter also asks administrators to, “identify those individuals or entities that may have acquired vital medical supplies in excess of what they would reasonably use or for the purpose of charging exorbitant prices.”

“Our regional health systems and the brave men and women they employ have a unique vantage point from which to detect potentially fraudulent and illegal hoarding activity associated with COVID-19,” said U.S. Attorney Cullen. “It is our hope that these institutions will partner with us to combat criminal conduct that undermines our collective efforts to slow the spread of this disease.”  

“It is imperative that we get these critical materials to the people on the front lines,” said U.S. Attorney Terwilliger. “If you are someone who is looking to unjustly enrich yourself off of this pandemic, and amassing bulk quantities to unfairly extort hospitals and others, we will investigate and take all next steps to ensure these critical supplies get where they are needed most.”

“Governor Northam and his administration have no tolerance for any kind of fraudulent activity occurring in Virginia related to the COVID-19 pandemic,” said Virginia Secretary of Public Safety and Homeland Security Brian Moran. “At a time when the accessibility of specific, life-critical health and medical supplies are imperative to the mitigation of COVID-19 within our communities, Virginia is appreciative of our federal partners bringing these concerns to light.”

For More information about the Virginia Coronavirus Fraud Task Force, please visit:

https://www.justice.gov/usao-wdva/covid-19-fraud

Western Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Michael Baudinet, USAVAW.COVID19@usdoj.gov or 540-278-1494.

Eastern Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Kaitlin G. Cooke, Kaitlin.Cooke@usdoj.gov or 804-819-5416.

To report a COVID-19 fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or sending an email to disaster@leo.gov.

For more information, visit the IRS website at www.irs.gov/coronavirus

FBI at:  https://www.ic3.gov or 804-261-1044. 

To report fraudulent activity to the Virginia State Police, Virginians can contact the Virginia Fusion Center (VFC) at vfc@vfc.vsp.virginia.gov.

For continuing information on the COVID-19 virus and the federal response, check https://www.cdc.gov/coronavirus/2019-ncov/index.html

###

RICHMOND, Va. – Two Richmond men pleaded guilty today to their respective charges in separate cases in federal court.

“The wheels of justice continue to turn,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The resolve and dedication of our staff and law enforcement partners on the front lines is nothing short of tremendous. Rather than wait for this pandemic to end to get back to work, we are doing our best to work through it and ensure the safety of the public and communities we serve.”

“The work of the FBI does not stop, even during this unprecedented period of national emergency,” said David W. Archey, Special Agent in Charge of the FBI’s Richmond Division. “Together with our partners, our investigations and our operations will continue. FBI Richmond is fully committed to the mission of protecting Americans and upholding the Constitution.”

Antonio Smith, 52, pleaded guilty to possession of a firearm as a convicted felon. According to court documents, Smith fled as Richmond Police officers approached him regarding a request for him to vacate a residence in the 2500 block of Bethel Street in Richmond. After refusing commands to stop, Smith threw firearms through an open passenger window of an occupied vehicle parked on Bethel Street. After Smith was detained, Richmond Police recovered two firearms from the vehicle, one of which was a Ruger, Mode LCP II, .380 caliber, semi-automatic pistol. At the time of the incident, Smith had previously been convicted of a felony and was prohibited for possessing firearms.

Smith and faces a maximum penalty of 10 years in prison when sentenced on October 8.

In a separate case, Michael J. Aikens, 33, pleaded guilty to aiding and abetting robbery and aiding and abetting the use of a firearm during and in relation to a robbery. According to court documents, Aikens assisted Christopher Tatum in robbing Brothers Market in Henrico in April 2019. On the day before the robbery, Aikens identified and scouted the location for Tatum and relayed to Tatum vital information about the store, such as the number of customers typically in the store, the number of employees working in the store, and the available entrances and exits. Tatum previously pleaded guilty in a related case and admitted to committing the April 24 robbery, along with six others. 

Aikens faces a mandatory minimum prison term of seven years in prison when sentenced on October 7.

Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division; David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office; William C. Smith, Chief of Richmond Police; and Humberto I. Cardounel, Jr., Chief of Henrico County Police Division, made the announcement. Assistant U.S. Attorneys Peter S. Duffey and Stephen E. Anthony and Special Assistant U.S. Attorney Holli R. Wood are prosecuting the cases.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:20-cr-14, and 25.

ALEXANDRIA, Va. – A Maryland man was arrested today on charges related to his alleged unlawful distribution of medications through the Darknet, and money laundering involving Bitcoin.

According to court documents, William Anderson Burgamy IV, 32, of Hanover, recently posted on his Darknet market vendor page: “Even with Corona Virus [sic] the shop is running at full speed.”

“I want to offer thanks and praise to our local law enforcement partners for moving forward with this public safety investigation amidst the COVID-19 pandemic,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The selflessness and bravery being exercised by our law enforcement partners every day, but especially now, deserves broad public recognition and thanks.”

Burgamy, who is not a pharmacist, has allegedly illegally operated as the Darknet vendor NeverPressedRX (NPRX) since at least August 2019. The NPRX vendor store claimed to sell authentic medications, including prescription opioids, sourced from United States pharmacies. NPRX had thousands of recorded sales on a major Darknet market. Burgamy allegedly laundered the proceeds of his criminal activity by cashing out his Bitcoin cryptocurrency drug payments into United States dollars and moving the funds through a variety of accounts, including his business bank accounts, in an effort to conceal and disguise the nature and source of his illicit proceeds.

According to court documents, law enforcement, in coordination with the U.S. Attorney’s Office, conducted online undercover operations targeting NPRX. Since January, undercover federal agents made numerous purchases of medications, including prescription opioids, from Burgamy’s NPRX Darknet account. After identifying Burgamy, investigators surveilled him as he conducted numerous trips to local post offices, where he allegedly mailed prescription drugs to various Darknet buyers, including to the undercover federal agents in the Eastern District of Virginia.

During the execution of a search warrant inside Burgamy’s residence, law enforcement discovered what appeared to be thousands of prescription opioid pills and at least eight firearms, including two loaded AR-15 assault rifles.

Burgamy is charged with distribution of controlled substances and money laundering, and faces a maximum penalty of 40 years in prison if convicted. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kevin Vorndran, Acting Special Agent in Charge of the FBI's Washington Field Criminal Division; Mark S. McCormack, Special Agent in Charge, FDA Office of Criminal Investigations, Metro Washington Field Office; Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement. The FBI's Baltimore Field Office and the Anne Arundel County Police Department assisted in executing the arrest. Assistant U.S. Attorney Raj Parekh is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-mj-130.

A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.

ROANOKE, Va. – The Virginia Coronavirus Fraud Task Force and Internal Revenue Service-Criminal Investigations (IRS-CI) are warning taxpayers to be alert about possible scams relating to COVID-19 economic impact payments.

United States Attorneys Thomas T. Cullen and G. Zachary Terwilliger, along with Kelly R. Jackson, Special Agent in Charge of the IRS-CI Washington DC Field Office, made the announcement today in an effort to prevent taxpayers in need from being victimized by criminals using the recently approved payments as an opportunity to commit a crime.

“During this time of crisis, scammers and thieves prey on those most vulnerable in our community in an attempt to personally benefit by stealing their money and personal identifying information,” Special Agent in Charge Jackson said today. “Please help us protect everyone in your community by telling family, friends and elderly neighbors to be on the lookout for these potential scams.”

“While most act selflessly and responsibly in a crisis like this, there are fraudsters out there who are attempting to scam and exploit good people,” said U.S. Attorney Terwilliger. “We are likely to see an uptick in government check scams tied to coronavirus-relief, including advanced-fee schemes promising government relief checks, student loan relief, and adjustments in other government benefits, such as increased social security payments. Remember, if it sounds too good to be true, it probably is.”

“As we have seen over the past few weeks, the worst among us are finding new ways to exploit a global pandemic and prey upon the vulnerable,” said U.S. Attorney Cullen. “Americans need to be extremely vigilant in protecting their personal, financial, and tax information. Assume all unsolicited phone calls and emails regarding IRS or COVID-19 refunds and are potentially fraudulent. Do not respond and report them to law enforcement.” 

In a matter of weeks, COVID-19 economic impact payments will be on their way. For most Americans, this will be a direct deposit into your bank account. For the unbanked individuals who have traditionally received tax refunds via paper check, they will receive their economic impact payment through the mail.

Scammers may try to get you to sign over your check to them or get you to “verify” your filing information in order to steal your money. Your personal information could then be used to file false tax returns in an identity theft scheme. Because of this, everyone receiving a COVID-19 economic impact payment is at risk.

Special Agent in Charge Jackson offers the following information and tips to spot a scam and understand how the COVID-19 related economic impact payments will be issued.

• The IRS will deposit your payment into the direct deposit account you previously provided on your tax return (or, in the alternative, send you a paper check).

• The IRS will NOT call and ask you to verify your payment details.  Do NOT give your bank account, debit account, or PayPal account information to anyone - even if someone claims it’s necessary to get your check.  It’s a scam.

• If you receive a call, do NOT engage with scammers, even if you want to tell them that you know it’s a scam.  Just hang up.

• If you receive texts or emails claiming that you can get your money faster by sending personal identifying information or clicking on links, delete these texts and emails.  Do NOT click on any links in those texts or emails.

• Reports are swirling about bogus checks. If you receive a “check” in the mail now, it’s a scam.  It will take the Treasury a few more weeks to mail out the COVID-19 economic impact payments. If you receive a “check” for an odd amount (especially one with cents), or a check that requires you to verify the check online or by calling a number, it’s a scam.

• Remember, the federal government will not ask you to pay anything up front to get a legitimate benefit. No fees. No charges. Anyone who asks for an up-front payment for a promised benefit is a scammer. 

 

The Virginia Coronavirus Fraud Task Force:

https://www.justice.gov/usao-wdva/covid-19-fraud

Western Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Michael Baudinet, USAVAW.COVID19@usdoj.gov or 540-278-1494.

Eastern Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Kaitlin G. Cooke, Kaitlin.Cooke@usdoj.gov or 804-819-5416.

To report a COVID-19 fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or sending an email to disaster@leo.gov.

For more information, visit the IRS website at www.irs.gov/coronavirus

FBI at:  https://www.ic3.gov or 804-261-1044. 

To report fraudulent activity to the Virginia State Police, Virginians can contact the Virginia Fusion Center (VFC) at vfc@vfc.vsp.virginia.gov.

For continuing information on the COVID-19 virus and the federal response, check https://www.cdc.gov/coronavirus/2019-ncov/index.html

 

###

 

The Department of Justice today announced that it is making $850 million available to help public safety agencies respond to the challenges posed by the outbreak of COVID-19.  The Coronavirus Emergency Supplemental Funding program, authorized by the recent stimulus legislation signed by President Trump, will allow eligible state, local and tribal governments to apply immediately for these critical funds.  The department is moving quickly to make awards, with the goal of having funds available for drawdown within days of the award.

The State of Wisconsin is eligible to apply for $9,078,371 to distribute throughout the state.  In addition, police and sheriffs’ departments in Wisconsin that were eligible for the fiscal year 2019 State and Local Edward Byrne Memorial Justice Assistance Grant Program are candidates for emergency funding.  A complete list of eligible jurisdictions and their allocations can be found at https://bja.ojp.gov/program/fy20-cesf-allocations.  The amount allocated for these Wisconsin agencies is $4,935,544.

“We applaud the work of our law enforcement officers and other first responders who are reporting to work each day to ensure public safety in the face of increased risks,” said United States Attorney Krueger.  “The funds being made available will help our public safety agencies continue to perform their vital missions.”   

“This is an unprecedented moment in our nation’s history and an especially dangerous one for our front-line law enforcement officers, corrections officials, and public safety professionals,” said Office of Justice Programs Principal Deputy Assistant Attorney General Katharine T. Sullivan. “We are grateful to the Congress for making these resources available and for the show of support this program represents.”

The solicitation, posted by the Bureau of Justice Assistance in the Justice Department’s Office of Justice Programs (OJP), will remain open for at least 60 days and be extended as necessary.  OJP will fund successful applicants as a top priority on a rolling basis as applications are received.  Funds may be used to hire personnel, pay overtime costs, cover protective equipment and supplies, address correctional inmates’ medical needs, and defray expenses related to the distribution of resources to hard-hit areas, among other activities.  Grant funds may be applied retroactively to January 20, 2020, subject to federal supplanting rules.

For more information about the Coronavirus Emergency Supplemental Funding program, please visit https://bja.ojp.gov/funding/opportunities/bja-2020-18553.  For more information about the Office of Justice Programs, please visit https://www.ojp.gov/.

The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

 

  #  #  #  #

ROANKOE, Va. – United States Attorneys Thomas T. Cullen and G. Zachary Terwilliger announced today that the Department of Justice, Bureau of Justice Assistance, has made available more than $16 million to help Virginia public safety agencies and local government agencies respond to the challenges posed by the outbreak of COVID-19.

The Coronavirus Emergency Supplemental Funding (CESF) program, authorized by the recent stimulus legislation signed by President Trump, will allow eligible state, local and tribal governments to apply immediately for these critical funds. The department is moving quickly to make awards, with the goal of having funds available for drawdown within days of the award.

The Commonwealth of Virginia will receive more than $16 million from the Coronavirus Emergency Supplemental Funding Program. Allowable projects and expenditures include, but are not limited to: Overtime, training, travel expenses, supplies, including personal protective equipment for medical personnel and first responders, and initiatives focused on addressing the medical needs of inmates in state and local detention centers. 

“Our local communities are waging a war to mitigate the awful effects of the Coronavirus,” U.S. Attorney Cullen stated today. “These grants will provide additional funding to augment critical health and public-safety initiatives in cash-strapped counties, cities, and towns across the Commonwealth and increase safety for the brave health-care providers, police officers, and first responders on the front lines.”   

“The Department of Justice is 100 percent committed to supporting our communities through these unprecedented times,” said U.S. Attorney Terwilliger. “In addition to upholding the rule of law, we are working daily to ensure that our state and local partners have the resources they need to effectively combat the spread of COVID-19. These grants underscore our commitment to stand with those on the frontline of this critical fight.”

Applications are currently being accepted and all applications are due by May 29.

For more information about this grant opportunity and instructions on the application process, please click here. To apply, please click here.

The Virginia Coronavirus Fraud Task Force:  

https://www.justice.gov/usao-wdva/covid-19-fraud

Western Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Michael Baudinet, USAVAW.COVID19@usdoj.gov or 540-278-1494.

Eastern Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Kaitlin G. Cooke, Kaitlin.Cooke@usdoj.gov or 804-819-5416.

To report a COVID-19 fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or sending an email to disaster@leo.gov.

FBI at:  https://www.ic3.gov or 804-261-1044. 

To report fraudulent activity to the Virginia State Police, Virginians can contact the Virginia Fusion Center (VFC) at vfc@vfc.vsp.virginia.gov.

For continuing information on the COVID-19 virus and the federal response, check https://www.cdc.gov/coronavirus/2019-ncov/index.html

ROANKOE, Va. – United States Attorneys Thomas T. Cullen and G. Zachary Terwilliger announced today that the Department of Justice, Bureau of Justice Assistance, has made available more than $16 million to help Virginia public safety agencies and local government agencies respond to the challenges posed by the outbreak of COVID-19.

The Coronavirus Emergency Supplemental Funding (CESF) program, authorized by the recent stimulus legislation signed by President Trump, will allow eligible state, local and tribal governments to apply immediately for these critical funds. The department is moving quickly to make awards, with the goal of having funds available for drawdown within days of the award.

The Commonwealth of Virginia will receive more than $16 million from the Coronavirus Emergency Supplemental Funding Program. Allowable projects and expenditures include, but are not limited to: Overtime, training, travel expenses, supplies, including personal protective equipment for medical personnel and first responders, and initiatives focused on addressing the medical needs of inmates in state and local detention centers. 

“Our local communities are waging a war to mitigate the awful effects of the Coronavirus,” U.S. Attorney Cullen stated today. “These grants will provide additional funding to augment critical health and public-safety initiatives in cash-strapped counties, cities, and towns across the Commonwealth and increase safety for the brave health-care providers, police officers, and first responders on the front lines.”   

“The Department of Justice is 100 percent committed to supporting our communities through these unprecedented times,” said U.S. Attorney Terwilliger. “In addition to upholding the rule of law, we are working daily to ensure that our state and local partners have the resources they need to effectively combat the spread of COVID-19. These grants underscore our commitment to stand with those on the frontline of this critical fight.”

Applications are currently being accepted and all applications are due by May 29.

For more information about this grant opportunity and instructions on the application process, please click here. To apply, please click here.

The Virginia Coronavirus Fraud Task Force:

https://www.justice.gov/usao-wdva/covid-19-fraud

Western Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Michael Baudinet, USAVAW.COVID19@usdoj.gov or 540-278-1494.

Eastern Virginia Coronavirus Fraud Coordinator, Assistant U.S. Attorney Kaitlin G. Cooke, Kaitlin.Cooke@usdoj.gov or 804-819-5416.

To report a COVID-19 fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or sending an email to disaster@leo.gov.

FBI at:  https://www.ic3.gov or 804-261-1044. 

To report fraudulent activity to the Virginia State Police, Virginians can contact the Virginia Fusion Center (VFC) at vfc@vfc.vsp.virginia.gov.

For continuing information on the COVID-19 virus and the federal response, check https://www.cdc.gov/coronavirus/2019-ncov/index.html

ALEXANDRIA, Va. – Two women pleaded guilty yesterday for their respective roles in helping run a “pill mill,” which led to the fraudulent dispensing of thousands of prescription opioid pills.

According to court documents and statements made in court, Kimberly Lancaster, 41, of Haymarket, was the office manager, and Susan Alcantara, 29, of Leesburg, was a medical assistant at an addiction/pain treatment clinic and an OB/GYN practice (“The Medical Practices”), which both operated in the same location in Northern Virginia. From at least June 2018 through June 2019, both Lancaster and Alcantara assisted a physician in operating a prescription “pill mill” at which so-called “patients,” many of whom were actually cash-paying customers, could obtain medically unnecessary prescriptions.

Lancaster, despite having no medical qualifications or training, often provided medical advice to the physician regarding the dispensing of prescription medications to individuals who were not patients of the physician. Lancaster also falsified medical records on behalf of the physician to make it appear as though patients and individuals who were never patients of The Medical Practices received medical examinations when in fact they had not. The physician often paid Lancaster for her services through the issuance of opioid prescriptions. Alcantara filled fraudulent prescriptions for opioid medications in her name and the names of at least four unwitting individuals at various pharmacies in Northern Virginia. Despite being aware of Alcantara’s opioid addiction, the physician provided many of the fraudulent prescriptions to Alcantara that were written in the names of unwitting individuals that the physician had never medically examined. 

Lancaster and Alcantara’s participation in the prescription fraud scheme led to the fraudulent filling and dispensing of thousands of prescription opioid pills at pharmacies in Northern Virginia. Lancaster and Alcantara’s actions also caused the Medicaid health care benefit program to pay for fraudulently dispensed prescription opioids.

Lancaster pleaded guilty to conspiracy to distribute and dispense controlled substances outside the usual course of professional practice and without a legitimate medical purpose, and prescription fraud. She faces a maximum penalty of 24 years in prison when sentenced on July 31.

Alcantara pleaded guilty to prescription fraud and false statements related to a health care matter. She faces a maximum penalty of 9 years in prison when sentenced on July 31.

Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kevin Vorndran, Acting Special Agent in Charge of the FBI's Washington Field Criminal Division; and Maureen Dixon, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), made the announcement after U.S. District Judge Leonie M. Brinkema accepted the pleas. Assistant U.S. Attorneys Raj Parekh and Monika Moore are prosecuting the cases.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 1:20-cr-61 and 81.

ROANOKE, Va – On Wednesday, Virginia Health Commissioner Dr. Norman Oliver, in response to a surge in demand of potential treatments for COVID-19 for drugs commonly used to treat rheumatoid arthritis, HIV, lupus, malaria, and bacterial infections, reminded physicians and pharmacists that these life-sustaining medications should only be dispensed under specified limited circumstances based on legitimate medical need. Dr. Oliver also warned against improper dispensing and potential hoarding of these medications.

Today, U.S. Attorneys Thomas Cullen and Zachary Terwilliger issued a statement confirming that federal prosecutors are aware of Dr. Oliver’s warnings regarding this increased demand and potentially improper behavior by physicians and other health-care providers who may be improperly prescribing these drugs to themselves, their families, and others without a legitimate medical purpose. The U.S. Attorney’s Offices for the Eastern and Western Districts of Virginia, as part of their joint COVID-19 Fraud Task Force, will be closely monitoring this disturbing trend and are prepared to investigate potential violations of federal and state law committed by any individuals or entities, including physicians, dentists, and other healthcare providers, related to these prescription drugs. 

“At a time when many doctors, nurses, and first responders are risking their health and personal safety to treat those affected by the coronavirus, it is incredibly disturbing that a selfish minority in that field may be undermining these valiant efforts by prescribing outside legitimate medical practice,” said U.S. Attorney Cullen. “We will work closely with our federal, state, and local partners to identify unscrupulous physicians and other health-care providers who are putting their own well-being ahead of those with a true medical need and hold them accountable under the law.”

“Our office is committed to protecting the public at this critical time, including Virginians who rely on life-sustaining prescription drugs,” said U.S. Attorney Terwilliger. “We will act swiftly in coordination with our law enforcement partners to safeguard these critical medications for those who need them against healthcare providers who improperly dispense them.”  

If you believe you have been victim of fraud, or need more information about COVID-19, please visit: https://www.justice.gov/usao-wdva/covid-19-fraud 

For more information from the U.S. Attorney’s Office for the Eastern District of Virginia, please visit: https://www.justice.gov/usao-edva

To report fraud directly to the FBI, please visit their website at https://www.ic3.gov/default.aspx

ROANKOE, Va. – In response to the increased threat of fraud presented by the Coronavirus, federal and Virginia state law enforcement leaders announced today the formation of the Virginia Coronavirus Fraud Task Force.

The Virginia Coronavirus Fraud Task Force is a joint federal and state partnership that will be led by Assistant United States Attorneys from both the Eastern and Western Districts of Virginia, in partnership with experienced fraud investigators from the FBI and the Virginia State Police. The mission of the task force is to identify, investigate, and prosecute fraud related to the ongoing coronavirus pandemic in Virginia.

“Exploiting a global pandemic for financial gain is not only morally reprehensible, it is likely criminal,” said Thomas T. Cullen, U.S. Attorney for the Western District of Virginia. “Federal prosecutors in Virginia are working closely with the FBI and the Virginia State Police to identify individuals who are engaging in coronavirus fraud, in its various forms, and preying on vulnerable populations. We are focused on the fraud, not the amount of the loss, and will utilize all available tools and statutes to put bad actors in federal prison.”

“Fraudsters are already attempting to use the coronavirus pandemic to scam vulnerable victims,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The COVID-19 pandemic is a public health emergency here in Virginia and around the world. Under Attorney General Barr’s leadership, this partnership with U.S. Attorney Cullen and our federal and state law enforcement agencies will ensure we are doing everything we can to protect Virginians around the Commonwealth from falling victim to these scams. For anyone victimized by a COVID-19 scammer looking to profit off of this pandemic, our office remains steadfastly committed to pursuing justice on your behalf.”

“The FBI is fully committed to address criminal activity during this unprecedented time - especially cybercrime,” said David W. Archery, Special Agent in Charge of the FBI’s Richmond Division. “We encourage the American public to continue being vigilant, and take steps to protect themselves against those that may exploit the concerns surrounding COVID-19 as a means to steal your money. Consider these tips: Do not open attachments or click on links from senders you do not recognize; Verify the information being shared actually originates from a legitimate source; Do not share your logins, banking information or other personal information in response to an email; and only visit websites that you have manually typed their domains into your browser. If you believe you are a victim of an internet scam or want to report suspicious activity, visit the FBI's Internet Crime Complaint Center at www.ic3.gov.”

“The Virginia State Police remains committed to ensuring the Commonwealth and its citizens safely navigate these uncertain times,” said Col. Gary T. Settle, Virginia State Police Superintendent. “This task force enables state police to more efficiently and effectively collaborate with our local, state and federal law enforcement partners to best protect Virginians from predatory and, potentially criminal, practices.”

The task force will review and investigate all credible leads of fraud associated with the coronavirus pandemic, regardless of the loss amount, focusing on schemes to exploit vulnerable populations, including the elderly, and concerned citizens. Federal prosecutors from the Eastern and Western Districts of Virginia will meet and confer with their agency counterparts from the FBI and Virginia State Police on a regular basis to prioritize cases and surge resources where needed.

In the Eastern District of Virginia, Assistant U.S. Attorney Kaitlin G. Cooke will serve as the COVID-19 Fraud Coordinator. Assistant United States Attorney Michael Baudinet will serve as the COVID-19 Fraud Coordinator for the Western District of Virginia.

Some examples of coronavirus and COVID-19 scams include:

• Treatment scams: Scammers are offering to sell fake cures, vaccines, and advice on unproven treatments for COVID-19.

• Supply scams: Scammers are creating fake shops, websites, social media accounts, and email addresses claiming to sell medical supplies currently in high demand, such as surgical masks. When consumers attempt to purchase supplies through these channels, fraudsters pocket the money and never provide the promised supplies.

• Provider scams: Scammers are also contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.

• Charity scams: Scammers are soliciting donations for individuals, groups, and areas affected by COVID-19.

• Phishing scams: Scammers posing as national and global health authorities, including the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending phishing emails designed to trick recipients into downloading malware or providing personal identifying and financial information.

• App scams: Scammers are also creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information.

• Investment scams: Scammers are offering online promotions on various platforms, including social media, claiming that the products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result. These promotions are often styled as "research reports," make predictions of a specific "target price," and relate to microcap stocks, or low-priced stocks issued by the smallest of companies with limited publicly available information.

• Price Gouging scams: Individuals and businesses may sell essential goods, like hand sanitizer, for significantly higher prices than in a non-emergency setting. It is legally considered price gouging when the price of one of these products increases more than 20 percent its price one week prior to an emergency declaration from the Commonwealth of Virginia.

Timothy R. Slater, Assistant Director of the FBI’s Washington Field Office, and Martin Culbreath, Special Agent in Charge of the FBI’s Norfolk Division, joined U.S. Attorneys Cullen and Terwilliger, Special Agent in Charge Archey, and Colonel Settle in making the announcement.

If you believe you have been victim of fraud, or need more information about COVID-19, please visit: https://www.justice.gov/usao-wdva/covid-19-fraud 

For more information from the U.S. Attorney’s Office for the Eastern District of Virginia, please visit: https://www.justice.gov/usao-edva

To report fraud directly to the FBI, please visit their website at https://www.ic3.gov/default.aspx

ROANKOE, Va. – In response to the increased threat of fraud presented by the coronavirus, federal and Virginia state law enforcement leaders announced today the formation of the Virginia Coronavirus Fraud Task Force.

The Virginia Coronavirus Fraud Task Force is a joint federal and state partnership that will be led by Assistant United States Attorneys from both the Eastern and Western Districts of Virginia, in partnership with experienced fraud investigators from the FBI and the Virginia State Police. The mission of the task force is to identify, investigate, and prosecute fraud related to the ongoing coronavirus pandemic in Virginia.

“Exploiting a global pandemic for financial gain is not only morally reprehensible, it is likely criminal,” said Thomas T. Cullen, U.S. Attorney for the Western District of Virginia. “Federal prosecutors in Virginia are working closely with the FBI and the Virginia State Police to identify individuals who are engaging in coronavirus fraud, in its various forms, and preying on vulnerable populations. We are focused on the fraud, not the amount of the loss, and will utilize all available tools and statutes to put bad actors in federal prison.”

“Fraudsters are already attempting to use the coronavirus pandemic to scam vulnerable victims,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The COVID-19 pandemic is a public health emergency here in Virginia and around the world. Under Attorney General Barr’s leadership, this partnership with U.S. Attorney Cullen and our federal and state law enforcement agencies will ensure we are doing everything we can to protect Virginians around the Commonwealth from falling victim to these scams. For anyone victimized by a COVID-19 scammer looking to profit off of this pandemic, our office remains steadfastly committed to pursuing justice on your behalf.”

“The FBI is fully committed to address criminal activity during this unprecedented time - especially cybercrime,” said David W. Archey, Special Agent in Charge of the FBI’s Richmond Division. “We encourage the American public to continue being vigilant, and take steps to protect themselves against those that may exploit the concerns surrounding COVID-19 as a means to steal your money. Consider these tips: Do not open attachments or click on links from senders you do not recognize; Verify the information being shared actually originates from a legitimate source; Do not share your logins, banking information or other personal information in response to an email; and only visit websites that you have manually typed their domains into your browser. If you believe you are a victim of an internet scam or want to report suspicious activity, visit the FBI's Internet Crime Complaint Center at www.ic3.gov.”

“The Virginia State Police remains committed to ensuring the Commonwealth and its citizens safely navigate these uncertain times,” said Col. Gary T. Settle, Virginia State Police Superintendent. “This task force enables state police to more efficiently and effectively collaborate with our local, state and federal law enforcement partners to best protect Virginians from predatory and, potentially criminal, practices."

The task force will review and investigate all credible leads of fraud associated with the coronavirus pandemic, regardless of the loss amount, focusing on schemes to exploit vulnerable populations, including the elderly, and concerned citizens. Federal prosecutors from the Eastern and Western Districts of Virginia will meet and confer with their agency counterparts from the FBI and Virginia State Police on a regular basis to prioritize cases and surge resources where needed.

In the Eastern District of Virginia, Assistant U.S. Attorney Kaitlin G. Cooke will serve as the COVID-19 Fraud Coordinator. Assistant United States Attorney Michael Baudinet will serve as the COVID-19 Fraud Coordinator for the Western District of Virginia.

Some examples of coronavirus and COVID-19 scams include:

• Treatment scams: Scammers are offering to sell fake cures, vaccines, and advice on unproven treatments for COVID-19.

• Supply scams: Scammers are creating fake shops, websites, social media accounts, and email addresses claiming to sell medical supplies currently in high demand, such as surgical masks. When consumers attempt to purchase supplies through these channels, fraudsters pocket the money and never provide the promised supplies.

• Provider scams: Scammers are also contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.

• Charity scams: Scammers are soliciting donations for individuals, groups, and areas affected by COVID-19.

• Phishing scams: Scammers posing as national and global health authorities, including the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending phishing emails designed to trick recipients into downloading malware or providing personal identifying and financial information.

• App scams: Scammers are also creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information.

• Investment scams: Scammers are offering online promotions on various platforms, including social media, claiming that the products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result. These promotions are often styled as "research reports," make predictions of a specific "target price," and relate to microcap stocks, or low-priced stocks issued by the smallest of companies with limited publicly available information.

• Price Gouging scams: Individuals and businesses may sell essential goods, like hand sanitizer, for significantly higher prices than in a non-emergency setting. It is legally considered price gouging when the price of one of these products increases more than 20 percent its price one week prior to an emergency declaration from the Commonwealth of Virginia.

Timothy R. Slater, Assistant Director of the FBI’s Washington Field Office, and Martin Culbreath, Special Agent in Charge of the FBI’s Norfolk Division, joined U.S. Attorneys Cullen and Terwilliger, Special Agent in Charge Archey, and Colonel Settle in making the announcement.

If you believe you have been victim of fraud, or need more information about COVID-19, please visit: https://www.justice.gov/usao-wdva/covid-19-fraud  

For more information from the U.S. Attorney’s Office for the Eastern District of Virginia, please visit: https://www.justice.gov/usao-edva

To report fraud directly to the FBI, please visit their website at https://www.ic3.gov/default.aspx

###

RICHMOND, Va. – Over 80 federal, state, and local law enforcement officers and agents executed a coordinated takedown today in several Richmond neighborhoods resulting in six arrests of individuals on drug trafficking charges and the recovery of multiple firearms, ammunition, magazines, and illegal drugs.

“This operation was strategically centered on some of the hardest hit areas in Richmond,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This federal, state, and local violent crime suppression operation focused on alleged violent offenders, gang members, drug traffickers, and illegal firearm possessors who are allegedly responsible for an outsized contribution to violence in Richmond communities. Lest there be any doubt, crime doesn’t self-quarantine and our brave law enforcement partners will not allow the rule of law to disintegrate amidst this pandemic.”

The operation was primarily executed in the Mosby Court, Creighton Court, and Whitcomb Court communities. Additionally, law enforcement officers conducted four search warrants at various locations within Richmond that resulted in the seizure of four firearms, magazines and ammunition, $1500 in cash, and illicit narcotics including heroin, crack, and marijuana.

Defendants Estee Washington, Straughter, Rowe, Mitchell Washington, Lance, and Williams were all arrested this morning and made their initial appearances this afternoon in federal court in Richmond. Defendants Ross and Harris were already in custody.  

Below is a table listing the defendants, age, hometown, and respective charges.

Name, Age

Hometown

Charge(s)

Estee Washington, 29

Richmond

Conspiracy to possess with intent to distribute a controlled substance

Japorium Straughter, 28

Richmond

Conspiracy to possess with intent to distribute a controlled substance

Kamal Ross, 27

Richmond

Distribution of Cocaine

Chanrelle Harris, 29

Richmond

Distribution of Fentanyl

Clarence Rowe, 48

Richmond

Distribution of Fentanyl and Cocaine

Mitchell Washington, 45

Richmond

Distribution of Heroin and Fentanyl

Tirelle Lance, 32

Richmond

Distribution of Cocaine

Tavarus Jermaine Williams, 40

Richmond

Distribution of Heroin and Fentanyl

 

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division; Colonel Gary T. Settle, Virginia State Police Superintendent; William C. Smith, Chief of Richmond Police; Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; Nick Proffitt, U.S. Marshal for the Eastern District of Virginia; David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office; Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C.; and Mark Herring, Virginia Attorney General, made the announcement. Assistant U.S. Attorneys Erik S. Siebert, Heather Hart Mansfield, Kenneth R. Simon, Jr., Stephen E. Anthony, and Janet Jin Ah Lee are prosecuting the cases.

The Richmond Redevelopment and Housing Authority provided significant assistance to law enforcement during this operation.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 3:20-mj-44; 45; 46; 47; 48; 50.

A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.

ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger warned today of several fraud schemes seeking to exploit the evolving COVID-19 public health crisis by targeting populations most at risk of severe illness. 

“Fraudsters frequently prey upon vulnerable individuals during difficult times,” said Terwilliger. “The COVID-19 pandemic is a public health emergency here in the United States and around the world. Although the severity of reported illnesses is wide ranging, it is clear that older adults and those with severe chronic medical conditions are at higher risk of severe illness. The Eastern District of Virginia has been on the frontlines of combatting fraud and abuse targeting these vulnerable populations pre-COVID-19. Based upon Attorney General Barr’s call to action 48 hours ago, we remain committed to protecting all community members, but especially so for the particularly vulnerable during this crisis. Today, as our communities take important steps to limit the spread of COVID-19, we are working closely with our law enforcement partners to guard against fraudulent pandemic profiteers, as well as to ensure the rule of law and public safety is not eroded during this critical time. For anyone victimized by a COVID-19 scam, our office remains steadfastly committed to pursuing justice on your behalf.”

Scammers have already devised numerous methods for defrauding people in connection with COVID-19. They are setting up websites, contacting people by phone and email, and posting disinformation on social media platforms. Some examples of scams linked to COVID-19 include:

• Treatment scams:  Scammers are offering to sell fake cures, vaccines, and advice on unproven treatments for COVID-19.
• Supply scams:  Scammers are creating fake shops, websites, social media accounts, and email addresses claiming to sell medical supplies currently in high demand, such as surgical masks. When consumers attempt to purchase supplies through these channels, fraudsters pocket the money and never provide the promised supplies.
• Provider scams: Scammers are also contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.
• Charity scams: Scammers are soliciting donations for individuals, groups, and areas affected by COVID-19. 
• Phishing scams: Scammers posing as national and global health authorities, including the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending phishing emails designed to trick recipients into downloading malware or providing personal identifying and financial information.
• App scams: Scammers are also creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information. 
• Investment scams: Scammers are offering online promotions on various platforms, including social media, claiming that the products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result. These promotions are often styled as “research reports,” make predictions of a specific “target price,” and relate to microcap stocks, or low-priced stocks issued by the smallest of companies with limited publicly available information. 

Terwilliger urges everyone, especially those most at risk of serious illness, to avoid these and similar scams by taking the following steps:

• Independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19. 
• Check the websites and email addresses offering information, products, or services related to COVID-19. Be aware that scammers often employ addresses that differ only slightly from those belonging to the entities they are impersonating. For example, they might use “cdc.com” or “cdc.org” instead of “cdc.gov.” 
• Be wary of unsolicited emails offering information, supplies, or treatment for COVID-19 or requesting your personal information for medical purposes. Legitimate health authorities will not contact the general public this way.
• Do not click on links or open email attachments from unknown or unverified sources. Doing so could download a virus onto your computer or device. 
• Make sure the anti-malware and anti-virus software on your computer is operating and up to date.
• Ignore offers for a COVID-19 vaccine, cure, or treatment. Remember, if there is a medical breakthrough, you won’t hear about it for the first time through an email, online ad, or unsolicited sales pitch.
• Check online reviews of any company offering COVID-19 products or supplies.  Avoid companies whose customers have complained about not receiving items.
• Research any charities or crowdfunding sites soliciting donations in connection with COVID-19 before giving. Remember, an organization may not be legitimate even if it uses words like “CDC” or “government” in its name or has reputable looking seals or logos on its materials. For online resources on donating wisely, visit the Federal Trade Commission (FTC) website. 
• Be wary of any business, charity, or individual requesting payments or donations in cash, by wire transfer, gift card, or through the mail.  Don’t send money through any of these channels.
• Be cautious of “investment opportunities” tied to COVID-19, especially those based on claims that a small company’s products or services can help stop the virus.  If you decide to invest, carefully research the investment beforehand.  For information on how to avoid investment fraud, visit the U.S. Securities and Exchange Commission (SEC) website.
• For the most up-to-date information on COVID-19, visit the Centers for Disease Control and Prevention (CDC) and World Health Organization (WHO) websites.

If anyone believes they have been the victim of a COVID-19 fraud scheme, they are encouraged to contact federal, state, and local authorities.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

A Hampton, Virginia, tax preparer was arrested yesterday on a federal grand jury indictment charging him with aiding and assisting in the preparation of false tax returns, theft of government funds, and failing to file tax returns, announced Principal Deputy Assistant Attorney General Richard Zuckerman of the Department of Justice’s Tax Division and U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia.  The March 9, 2020, indictment was unsealed following the arrest.

According to the indictment, from 2013 through 2019, Carl L. Burden prepared tax returns for clients in Hampton and the surrounding counties.  Burden allegedly falsified those returns by fraudulently claiming dependents, residential energy credits, deductions, and child and dependent care expenses, in order to inflate the refunds sought from the Internal Revenue Service (IRS). Burden also allegedly directed a portion of a fraudulently obtained refund to be directly deposited to his bank account. The indictment also alleges that during this period, Burden did not file his own tax returns.

If convicted, Burden faces a statutory maximum sentence of ten years in prison for theft of public money, three years in prison for each count of aiding and assisting in the preparation of a false return, and one year in prison for each count of failing to file a tax return. He also faces a period of supervised release, restitution, and monetary penalties.

An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.

Principal Deputy Assistant Attorney General Richard Zuckerman and U.S. Attorney Terwilliger commended special agents of IRS-Criminal Investigation and the Office of Inspector General, U.S. Department of Housing and Urban Development, who investigated the case, and Trial Attorneys Grace Albinson and Francesca Bartolomey of the Tax Division, and Assistant U.S. Attorney Brian Samuels, who are prosecuting this case.

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

A federal grand jury in Newport News, Virginia, returned an indictment today charging a tax preparer with aiding and assisting the preparation of false returns, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia.

According to the indictment, Angela C. Harper owned At Ease Tax Services, a tax preparation business that she operated from her home and hotel rooms in the Newport News area.  Between 2014 and 2018, Harper allegedly falsified clients’ tax returns by claiming false credits and deductions in order to inflate their refunds.  Harper also allegedly did not sign as preparer on the returns or provide copies of the returns to clients.

If convicted, Harper faces a statutory maximum sentence of three years in prison for each count.  She also faces a period of supervised release, restitution, and monetary penalties. 

An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.

Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Terwilliger commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Trial Attorneys Francine Davis and Michael C. Boteler of the Tax Division and Assistant U.S. Attorney Brian J. Samuels, who are prosecuting the case.

Additional information about the Tax Division and its enforcement efforts may be found on the Division’s website.

NEWPORT NEWS, Va. – A federal jury convicted a Maryland man late yesterday on twenty-three charges of intentional misapplication of funds, money laundering, false declaration, perjury, and obstruction of justice.

According to court records and evidence presented at trial, Kenneth R. Spirito, 47, was the Executive Director of the Newport News / Williamsburg International Airport from 2009-2017. In 2014, Spirito led and organized an effort for a start-up airline, People Express Airlines, Inc. (PEX) to obtain a $5 million loan from TowneBank that was guaranteed by the Peninsula Airport Commission (PAC), operators of the airport. Spirito intentionally misapplied various state and federally regulated funds to provide the cash collateral for the TowneBank loan.

When PEX suspended operations in September 2014, the PAC had to make payment on the loan default. Spirito subsequently provided false information to the Federal Aviation Administration regarding the source of the loan payments. In 2019, Spirito provided false testimony in a civil deposition regarding his role in the decision to do the loan guarantee and the funds he used as collateral.

Spirito faces maximum penalties ranging from ten to twenty years in prison across each count of conviction when sentenced on June 10, 2020. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), Colonel Gary T. Settle, Superintendent of Virginia State Police, and Jamie Mazzone, Regional Special Agent in Charge of the Department of Transportation Office of Inspector General, made the announcement after U.S. District Judge Raymond A. Jackson accepted the verdict. Assistant U.S. Attorneys Lisa R. McKeel and Brian J. Samuels are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-43.

NORFOLK, Va. – A former inmate of the Chesapeake City Jail pleaded guilty today to conspiring to bribe a Chesapeake Sheriff’s Deputy to smuggle contraband – including cocaine and heroin – into the Chesapeake City Jail.

According to court documents, Jermarrieo Stigger, 34, paid Jenis Leroy Plummer to use his official position as Chesapeake Sheriff’s Deputy to smuggle heroin, cocaine, cell phones, e-cigarettes and other contraband into the Chesapeake City Jail. From July 2017 through December 2018, Stigger knowingly and intentionally conspired with Plummer to engage in this scheme.

On numerous occasions throughout the conspiracy, Stigger arranged for Plummer to meet his girlfriend at various locations in Hampton Roads to pick up the contraband. At these meetings, Stigger’s girlfriend gave Plummer the illicit contraband in blue latex gloves. Plummer then smuggled the contraband into the jail and delivered the items to the inmate. In exchange for using his official position, Stigger’s girlfriend paid Plummer with cash, via CashApp, and via PayPal.

Stigger pleaded guilty to one count of conspiracy to commit extortion under color of official right, and he faces a maximum penalty of 20 years in prison when sentenced on June 18, 2020. Deputy Plummer previously pleaded guilty to the same charge. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after U.S. Magistrate Judge Robert J. Krask accepted the plea. Assistant U.S. Attorneys Joseph E. DePadilla and Melissa E. O’Boyle are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-183.

ALEXANDRIA, Va. – A Washington, D.C. man pleaded guilty today to supplying approximately 70 kilograms of cocaine to over 30 customers and for selling firearms.

According to court documents, Simeon Olayemi Orekoya, 47, distributed approximately 70 kilograms of cocaine between January 2017 and December 2019, which was then resold in Virginia and surrounding areas. He also sold cocaine and four firearms to undercover law enforcement officers during the investigation. Two of the firearms did not have serial numbers. Orekoya has five prior felony convictions.

Orekoya pleaded guilty to conspiracy to distribute five kilograms or more of cocaine and possession of a firearm in furtherance of a drug trafficking crime, and faces a mandatory minimum of 15 years in prison when sentenced on July 24. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Mo Money. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Mark Herring, Attorney General for Virginia; Henry P. Stawinski III, Chief of Prince George’s County Police; Marcus Jones, Montgomery County Chief of Police; Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office; Timothy Jones, Special Agent in Charge of the ATF’s Baltimore Field Division; Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division; and M. Jay Farr, Arlington County Chief of Police, made the announcement after U.S. District Judge Rossie D. Alston, Jr. accepted the plea. Special Assistant U.S. Attorney Karolina Klyuchnikova is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-71.

ALEXANDRIA, Va. – A Richmond physician agreed to pay $24,000 in civil penalties for forging prescriptions for controlled substances for her own use in violation of the Controlled Substances Act.

On at least six occasions, Dr. Tanja Zlatkovic Zanin obtained blank prescription forms from her place of employment, forged the signatures of two physicians, and wrote, for her own use, prescriptions for Adderall, a Schedule II controlled substance. Under the terms of a parallel administrative resolution, Dr. Zanin entered into a Memorandum of Agreement with the DEA under which she is not permitted to purchase or distribute controlled substances for twenty-four months. Dr. Zanin admitted to her misconduct and took full responsibility for her actions.

The Controlled Substances Act regulates individuals and companies that manufacture, distribute and dispense controlled substances. The law aims to protect the public’s health and safety from dangers posed by highly addictive or dangerous controlled substances, including the diversion or improper use of such substances, while also ensuring that patients have access to pharmaceutical controlled substances for legitimate medical purposes.

The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia and the DEA’s Richmond District Office.

Assistant U.S. Attorneys Ilene Albala and Robert P. McIntosh handled the Controlled Substances Act civil penalty matter. The administrative action was handled by John E. Beerbower of the DEA Office of Chief Counsel’s Diversion & Regulatory Litigation Section.

A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

NEWPORT NEWS, Va. – A Hampton woman was sentenced today to over seven years in prison for possessing cocaine for distribution while possessing a firearm.

According to court documents, Marquita Meredith, 37, was convicted for distributing cocaine from her residence in Hampton. Meredith, who is the mother of seven children, was pregnant during the drug conspiracy and had children in her residence during drug sales in 2018 and 2019. In January 2019, officers recovered over an ounce of cocaine from Meredith’s residence. Children were at the home at the time of the search warrant. Prior to the drug sales and search warrant, Meredith possessed over half an ounce of cocaine and a firearm during a November 2017 traffic stop in Newport News.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by Senior U.S. District Judge Rebecca Beach Smith. Special Assistant U.S. Attorney Amy E. Cross prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-061.

RICHMOND, Va. – A Richmond man was sentenced today to eight years in prison for possession of a firearm by a convicted felon.

“Under Attorney General Barr’s leadership, we are 100 percent committed to Project Guardian and keeping illegally trafficked firearms out of the hands of convicted felons and out of our communities,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The trafficking of firearms poses a serious threat to public safety and the safety of our law enforcement partners. Simply put, convicted felons have forfeited their Second Amendment right to bear arms, and those who choose to illegally traffick firearms will be investigated, prosecuted, and held accountable for their actions.”

According to court documents, in August 2018, Shakil R. Bland, 30, a previously convicted felon, sold several firearms to an undercover agent with ATF. Bland sold two semi-automatic firearms and a 50-round drum magazine to an individual he believed was coming from out of state to purchase firearms. In October 2018, Bland also sold the same undercover agent an additional semi-automatic handgun and extended magazine.

“Anyone who is trafficking firearms poses a serious threat to the safety of every community those firearms pass through,” said Ashan M. Benedict, Special Agent in Charge of ATF’s Washington Field Division. “We are glad to see that these guns were taken off of the street and that this defendant is being held accountable for his dangerous actions. Now there is still more work to do and others like him to stop. Through Project Guardian and our partnerships with law enforcement and prosecutors, we will continue working tirelessly to disrupt and prevent firearms trafficking.”

This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. Click here for more information about Project Guardian.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division, made the announcement after sentencing by U.S. District Judge M. Hannah Lauck. Assistant U.S. Attorney Heather H. Mansfield prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-079.

ALEXANDRIA, Va. – A federal grand jury returned an indictment today charging a Bluemont man with producing and distributing child pornography.

According to the indictment, Kevin Hewlett, 35, allegedly filmed himself engaging in sex acts with a minor female whom he met when working as a farrier for her horses. Court documents further allege that Hewlett later sent that video to the minor over a social media application.

Hewlett is charged with production of child pornography and distributing or attempting to distribute child pornography. If convicted, he faces a mandatory minimum penalty of 15 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the 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.justice.gov/psc.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office; and Michael L. Chapman, Loudoun County Sheriff made the announcement. Assistant U.S. Attorney Nathaniel Smith, III, and Special Assistant U.S. Attorney Gwendelynn Bills are prosecuting the case.

This matter was investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force, which is charged with identifying and investigating child predators and those individuals and criminal enterprises engaged in Human Trafficking.

FBI encourages anyone who believes they have any additional information relating to this defendant to contact the FBI at 1-800-CALL-FBI or https://www.fbi.gov/tips.  

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-64.

An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.

NORFOLK, Va. – A Norfolk man with a previous federal drug-trafficking conviction pleaded guilty today to conspiring to traffic wholesale amounts of cocaine in and around Hampton Roads and to possessing several guns to protect his drug trade.

According to court documents, in 2014, Daryl Keith Sills, 56, completed a nine-year federal sentence for conspiring to distribute multiple kilograms of cocaine. Two years later, he started up his drug trafficking operation again, distributing at least one kilogram of powder cocaine a month until his October 2019 arrest on the charges in this case.

In 2018, DEA conducted three controlled buys from Sills, totaling 140 grams of cocaine. In 2019, informants observed Sills receive and store in his residence more than 10 kilograms of cocaine. At Sills’ arrest, law enforcement searched his Norfolk and Virginia Beach drug premises, recovering a total of nine firearms, hundreds of rounds of ammunition, 713 grams of cocaine, and 74 grams of marijuana. Sills admitted to his years-long conspiracy and attributed 20 kilograms of historical cocaine weight to himself.

Sills pleaded guilty to one count of conspiring to distribute and possess with intent to distribute 500 grams or more of cocaine, and two counts of possessing firearms in furtherance of drug-trafficking crimes. He faces a mandatory minimum of 15 years in prison and a maximum of life when sentenced on June 8. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; James A. Cervera, Chief of Virginia Beach Police; and Larry D. Boone, Chief of Norfolk Police, made the announcement after Senior U.S. District Judge Robert G. Doumar accepted the plea. Assistant U.S. Attorney William B. Jackson is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:20-cr-002.

ALEXANDRIA, Va. – A Fairfax medical doctor pleaded guilty today to illegally diverting Adderall and oxycodone to six different patients, including a patient who suffered from opioid addiction and later died of a drug overdose.

According to court documents, Dr. Gurpreet Singh Bajwa, 49, temporarily lost his medical license in 2012 following an investigation by the Virginia Department of Health Professions (DHP) into his prescription practices. After he license was reinstated, he significantly reduced the quantity of pain medications he prescribed, and switched over to stimulants, benzodiazepines, and sedatives.

Generally, at no point during any of his patients’ visits did Bajwa or any of his staff receive, review, or request prior medical files; obtain medical histories; conduct physical examinations; discuss the case of any attention disorder or what might properly address such a condition; discuss any alternatives to treatment; or obtain and analyze urine samples to ensure his patients were taking their medications as directed.

Beginning in summer 2018, two undercover law enforcement officers posed as patients and made appointments to see Bajwa. At each visit, Bajwa prescribed the undercover officers a 30-day supply of Adderall—despite the undercover officers showing up to two weeks prior to the end of the previous 30 day period. One of the officers told Bajwa that she was a fitness model and needed Adderall for her workouts, which is not a legitimate use for the substance. The undercover officer also asked Bajwa to prescribe her extra pills that she could give to a “friend” and he readily agreed.

One of the patients to whom Bajwa prescribed significant quantities of prescription drugs had a history of high blood pressure, among other health conditions. Nevertheless, Bajwa wrote her monthly prescriptions for the maximum dose of Adderall, a schedule II stimulant.

In 2016, the CDC and the FDA issued warnings cautioning against prescribing opioids and benzodiazepines (including Xanax) together because of the increased risk of fatal overdose. Nevertheless, on multiple occasions, Bajwa wrote prescriptions to patients for both oxycodone—a powerful Schedule II opioid—and Xanax.

One of Bajwa’s patients, N.J., suffered from heroin addiction. N.J.’s mother told Bajwa two or three times that N.J. was abusing drugs, and yet Bajwa continued to prescribe controlled substances to N.J. In November 2017, Bajwa prescribed both oxycodone and Xanax to N.J., despite knowing of N.J.’s drug addiction, and despite the increased danger of combining the two medications. In January 2018, N.J. was dismissed from a rehabilitation program after he was caught abusing drugs Bajwa prescribed him. N.J. died of a drug overdose a short time later.

Bajwa pleaded guilty to five counts of distribution of Adderall, and one count of distribution of oxycodone and faces a maximum penalty of 20 years in prison when sentenced on May 22. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office; and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea. Assistant U.S. Attorney Katherine E. Rumbaugh is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-060.

ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger joined Attorney General William P. Barr, FBI Director Christopher A. Wray, and Chief Postal Inspector Gary R. Barksdale today in announcing the largest coordinated sweep of elder fraud cases in history.

This year, prosecutors across the Department of Justice charged more than 400 defendants, far surpassing the 260 defendants charged in cases as part of last year’s sweep. In each case, offenders allegedly engaged in financial schemes that targeted or largely affected seniors. In total, the charged elder fraud schemes caused alleged losses of over $1 billion.

“Americans are fed up with the constant barrage of scams that maliciously target the elderly and other vulnerable citizens,” said Barr. “I want to thank the men and women of the Department’s Consumer Protection Branch, which coordinated this effort, and all those in the U.S. Attorneys’ Offices and Criminal Division who worked tirelessly to bring these cases. The Department is committed to stopping the full range of criminal activities that exploit America’s seniors.”

“The Eastern District of Virginia is on the frontlines of combatting elder abuse and financial fraud through both criminal prosecutions and community outreach,” said Terwilliger. “With federal, state, local, and community partners, we are educating our elders to empower them to avoid the devastating financial and emotional harms that flow from these pernicious crimes. For those who have been exploited, we continue to work tirelessly to ensure that justice is done.”

This interactive map provides information on the elder fraud cases highlighted by today’s sweep announcement. 

EDVA ranked fourth nationally in the number of criminal cases charged during the sweep, while also participating in important community outreach events at Alfred Street Baptist Church in Alexandria, and at St. Martin’s Episcopal Church in Williamsburg, as well as supporting local task forces in Fairfax County, Hampton Roads, and Richmond.

Here in EDVA, Elder Justice efforts are led by Assistant U.S. Attorney Kaitlin G. Cooke, who serves as the District’s Elder Justice Coordinator.

Below are case summaries of several noteworthy elder abuse cases recently prosecuted in EDVA. For more information on a particular case, please click the link for the full press release on our website.

• U.S. v. Anikkhan Yusufkhan Pathan - Pathan served as a money mule for Indian call centers that affected hundreds of elderly Americans. These call centers contacted victims by phone and, through various schemes, induced them to send money by wire transfers to various aliases.  The schemes include variants of loan fraud, through which conspirators promised new loans and/or loan consolidation. Once victims provided their bank information, conspirators deposited worthless checks and directed victims to immediately withdraw the credited funds and wire them to a separate account. Conspirators also contacted victims through mass mailings and, posing as the victims' true mortgage lenders, directed victims to begin making their mortgage payments to accounts controlled by conspirators. Finally, conspirators contacted victims by phone and, posing as employees of Microsoft, advised victims that their computers contained fatal viruses that would cause irreparable harm if victims did not immediately remit payment for repair. Although the conspiracy affected hundreds of victims, Pathan is responsible for losses caused to approximately 10 victims totaling approximately $150,000. Pathan pleaded guilty in February, and is scheduled to be sentenced on May 29.
• U.S. v. Gregory J. Ziglar – Ziglar ran an extensive home improvement loan scheme from approximately 2014 through 2018 through which he victimized approximately 24 victims/households, with the vast majority of victims being in their 60s and 70s. Ziglar claimed he could facilitate obtaining home improvement loans for promised renovations and, after fraudulently obtaining loan proceeds, diverted portions of the funds and failed to complete the promised work. Ziglar fraudulently made use of the identities of various contractors in obtaining the loans, which resulted in the loss of over $521,000. 
• United States v. John Michael Gatchell – Gatchell pleaded guilty on April 18 to exploiting an elderly man’s diminished mental capacity to defraud him of nearly $157,000. Gatchell facilitated a marriage between the elderly man and a woman with whom Gatchell had a long-term relationship in order to gain access to the elderly man’s money and property. Gatchell induced the elderly man to make a down payment on a Jaguar that Gatchell and a family member drove for about 10 months before it was repossessed by the lender when the loan went into default. Gatchell also induced the elderly man to obtain two mortgage loans and then diverted most of the proceeds to the benefit of himself and others. He subsequently induced the elderly man to sell the property that secured the loans and again diverted most of the proceeds to himself and others. Gatchell used these fraudulently diverted monies to purchase concert series tickets, pay delinquent bills, and make a security deposit and advance rent payments for a house he leased, among other things. Gatchell was sentenced to six years in prison in September 2019.
• United States v. Nena Kerny Kochuga - Kochuga executed a Jamaican lottery scheme that targeted elderly victims, who she and conspirators would contact by phone. Kochuga told victims that they had won the lottery and were required to pay purported taxes and fees to claim the winnings. She directed victims to mail and wire money to her residential and post office box addresses in Virginia. Kochuga then sent money to conspirators in Jamaica and Ghana via Western Union wire transfers, keeping a portion for herself. Through this conduct, Kochuga and her conspirators defrauded numerous victims of at least $50,000. According to local media coverage, Kochuga has targeted elderly victims with similar lottery scams for most of the past decade. In September 2019, Kochuga was sentenced to over two years in prison and ordered to pay over $64,000 in restitution to her victims.
• U.S. v. Sandra Payne - Payne pleaded guilty to aggravated identity theft based on her theft of over $22,000 from an elderly victim. Payne was employed by the victim to provide home health care to the victim’s spouse. Over a five-month period, Payne used the victim’s credit and debit cards to make unauthorized purchases of personal goods at various retailers. Payne was sentenced in June 2019 two years in prison.
• U.S. v. Alberto Cortes Gomez - From at least April 2011 through June 2018, Cortes was the leader of a conspiracy that stole financial information from at least 360 victims and caused losses of nearly $2 million. Cortes and his co-conspirators would steal credit cards and other identifying information from customers at retail stores across the country, then use that information to purchase electronics and other items that were then shipped for subsequent resale. Cortes would travel in rental vehicles to locations with high volumes of retail activity, often in interstate corridors such as I-95 through North Carolina and Virginia. The conspirators would then distract shoppers, mostly elderly women, steal their wallets, and then alter means of identification to then pose as those shoppers when purchasing electronics and other expensive items. In January, Cortes was sentenced to over seven years in prison and ordered to pay over $1.9 million in restitution to his victims.
• U.S. v. Leonard Cipolla – Cipolla was the founder, owner, and operator of Tate Street Trading, Inc. in Richmond. Between 2009 and 2019, Cipolla solicited more than $7 million in investment funds from more than 30 individuals located in Virginia, New York, and Washington, D.C. Cipolla convinced these individuals to provide him with their savings by assuring the investors that he was a highly experienced, highly successful trader in commodity futures and options. Cipolla promised his investors that he could guarantee them significant fixed rates of return on their investments, and that Cipolla’s management fee would be drawn only from the profits that Cipolla made over and above each investor’s promised rate of return. He also assured investors that Cipolla was qualified to manage tax-deferred retirement accounts, and that he would roll the investor’s existing Individual Retirement Account (IRA) into a Tate Street-managed, tax-deferred IRA. As time passed, Cipolla provided many of his investors with account statements that purported to show the investor’s principal was safely intact, and growing at the promised rate of return. In reality, Cipolla pooled his investors’ savings as soon as those individuals’ personal checks, IRA roll-overs, and wires were deposited into his bank accounts. Cipolla used only a fraction of those pooled investment funds to trade in the futures market, and he ultimately lost nearly the entire amount of investor funds that he actually invested. Cipolla further dissipated the remainder of his investors’ savings on unauthorized expenses, to include making payments to earlier investors, and paying his own personal expenses. Cipolla faces a maximum penalty of 20 years in prison when sentenced on April 29.
• U.S. v. William Onyebuchi Ogbonna - Between October 2016 and March 2019, Ogbonna allegedly participated in a conspiracy to defraud between 80 and 100 U.S. victims, the majority of whom were 60 years of age and older. To facilitate this scheme, conspirators contacted victims and falsely claimed that the victims were due a large inheritance or had won a foreign lottery. Conspirators told victims they would receive large sums in return for up-front payments of the associated taxes and fees. Conspirators also perpetrated business email compromise scams by compromising business emails and then contacting business clients and employees and requesting a transfer of funds. In all cases, conspirators directed victims to wire money to various bank accounts, including accounts opened by Ogbonna. After receiving these proceeds, Ogbonna transferred a portion of those proceeds via cashier’s checks and wires to conspirators in China and Nigeria.

Elder Fraud Hotline

Attorney General Barr also announced the launch of a National Elder Fraud Hotline, which will provide services to seniors who may be victims of financial fraud. The Hotline will be staffed by experienced case managers who can provide personalized support to callers. Case managers will assist callers with reporting the suspected fraud to relevant agencies and by providing resources and referrals to other appropriate services as needed. When applicable, case managers will complete a complaint form with the Federal Bureau of Investigation Internet Crime Complaint Center (IC3) for Internet-facilitated crimes and submit a consumer complaint to the Federal Trade Commission on behalf of the caller. The Hotline’s toll free number is 833-FRAUD-11 (833-372-8311).

For the second year, the Department of Justice and its law enforcement partners also took comprehensive action against the money mule network that facilitates foreign-based elder fraud. Generally, perpetrators use a “money mule” to transfer fraud proceeds from a victim to ringleaders of fraud schemes who often reside in other countries. Some of these money mules act unwittingly, and intervention can effectively end their involvement in the fraud. The FBI and the Postal Inspection Service took action against over 600 alleged money mules nationwide by conducting interviews, issuing warning letters, and bringing civil and criminal cases. Agents and prosecutors in more than 85 federal district participated in this effort to halt the money flow from victim to fraudster. These actions against money mules were in addition to the criminal and civil cases announced as part of this year’s elder fraud sweep.

These outreach efforts have helped to prevent seniors from falling prey to scams and have frustrated offenders’ efforts to obtain even more money from vulnerable elders.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER.

ALEXANDRIA, Va. – A Vienna man pleaded guilty today to multiple charges related to his possession of images of child sexual abuse and attempted transfer of obscene material to minors.

According to court documents, in 2005, Alan Tabish, 36, met a 15-year-old girl online. Tabish picked up the minor girl from her parents’ residence, and drove her to his home, where he provided her with alcohol and then recorded images and videos of himself engaging in sexual conduct with her. The victim reported the incident in 2019, which led law enforcement to discover the images and videos on a computer hard drive in Tabish’s home. Additional online chats were recovered from this hard drive in which Tabish sent sexually explicit images of himself to individuals who identified themselves as minor girls.      

Tabish pleaded guilty to possession of child pornography and the attempted transfer of obscene material to minors and faces a sentence of 7 to 12 years in prison when sentenced on June 23. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the 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.justice.gov/psc.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office; and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after U.S. District Judge Rossie D. Alston, Jr. accepted the plea. Special Assistant U.S. Attorney William G. Clayman is prosecuting the case.

This matter was investigated jointly by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force and the Fairfax County Police Department. The task force is charged with identifying and investigating child predators and those individuals and criminal enterprises engaged in human trafficking.

Assistance in the prosecution has been provided by former Assistant U.S. Attorney Whitney Dougherty Russell. 

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-045.