ATTORNEY PLEADS GUILTY TO ENTICEMENT AND COERCION TO ENGAGE IN PROSTITUTION
“SAN DIEGO – Local attorney William David Turley pleaded guilty in federal court today to enticing and coercing a female to engage in prostitution.
According to his plea agreement, on or about April 30, 2018, Turley began communicating with an adult female victim whom he met on the website sugardaddymeet.com. Turley and the victim discussed entering into a “mutually beneficial relationship,” meaning that Turley would provide the victim with financial support and the victim would provide companionship for and engage in sexual acts with Turley.” read here
OUTCOME HEALTH AGREES TO PAY $70 MILLION TO RESOLVE FRAUD INVESTIGATION
“WASHINGTON – ContextMedia Health LLC, which operates under the trade name Outcome Health (Outcome), a digital provider of medical information and advertising in doctors’ offices, has agreed to a resolution with the Department of Justice by which it will pay $70 million to victims of a fraud scheme that targeted its clients, lenders and investors.
Outcome, a privately held company headquartered in Chicago, Illinois, admitted in resolution documents that from 2012 to 2017, former executives and employees of the company perpetrated a scheme to defraud clients — most of which were pharmaceutical companies — by selling advertising inventory that the company did not have.” read here
UNITED STATES REACHES SETTLEMENT TO RECOVER MORE THAN $700 MILLION IN ASSETS ALLEGEDLY TRACEABLE TO CORRUPTION INVOLVING MALAYSIAN SOVEREIGN WEALTH FUND
“The Department of Justice has reached a settlement of its civil forfeiture cases against assets acquired by Low Taek Jho, aka Jho Low, and his family using funds allegedly misappropriated from 1Malaysia Development Berhad (1MDB), Malaysia’s investment development fund, and laundered through financial institutions in several jurisdictions, including the United States, Switzerland, Singapore and Luxembourg.
These assets, located in the United States, the United Kingdom and Switzerland, are estimated to be worth more than $700 million. With the conclusion of this settlement, together with the prior disposition of other related forfeiture cases, the United States will have recovered or assisted in the recovery of more than $1 billion in assets associated with the 1MDB international money laundering and bribery scheme. This represents the largest recovery to date under the Department’s Kleptocracy Asset Recovery Initiative and the largest civil forfeiture ever concluded by the Justice Department.” read here
SIOUX FALLS MAN CONVICTED ON CHILD PORNOGRAPHY CHARGES
“United States Attorney Ron Parsons announced that Kevin Allen Lamm, a/k/a Mike Malone, age 35, of Sioux Falls, South Dakota, was found guilty of Possessing, Distributing, and Producing Child Pornography as a result of a federal jury trial in Sioux Falls, South Dakota.
The charges carry a maximum penalty of 50 years in federal prison and/or a $250,000.00 fine, lifetime of supervised release, and a $300 special assessment to the Federal Crime Victims Fund.
Lamm was indicted by a federal grand jury on May 9, 2017.
The charges stemmed from incidents between January 12, 2017, and April 27, 2017, when Lamm knowingly received and possessed child pornography. The investigation also revealed that Lamm created a fake Facebook account and used it to persuade a 14 year-old girl in another state to send sexually explicit photographs to him using Facebook Messenger. When law enforcement searched his Sioux Falls apartment, they found child pornography on a digital memory card.” read here
ORANGE COUNTY MAN SENTENCED TO 15 YEARS IN FEDERAL PRISON FOR TRAVELING TO CHINA TO ENGAGE IN ILLICIT SEXUAL CONDUCT WITH BOY
“LOS ANGELES – An Aliso Viejo man was sentenced today to 180 months in federal prison for traveling to China to engage in illegal sexual activity with a 16-year-old boy who was under his care and supervision at the time.
Ezequiel Christopher Barragan, 53, was sentenced by United States District Judge André Birotte Jr., who said that Barragan abused his positions of trust to gain access to victims.
Barragan pleaded guilty in October 2018 to one count of travel with intent to engage in illicit sexual conduct and one count of engaging in illicit sexual conduct in foreign places. He previously taught middle school and high school students, coached youth baseball, and at one-time was a court-appointed mentor and foster parent for abused or neglected children.” read here
DEPARTMENT OF JUSTICE SUES WALMART TO ENFORCE EMPLOYMENT RIGHTS OF NAVAL RESERVIST
“DENVER – The Department of Justice filed a civil complaint today in the United States District Court for the District of Colorado on behalf of Naval Petty Officer Third Class Lindsey Hunger against Walmart Inc. The complaint alleges that Walmart violated the law when it declined to hire Hunger due to her upcoming naval reserve duties.
‘The members of our Armed Forces routinely make personal sacrifices to protect our nation. The least we can do as a nation is ensure they aren’t discriminated against for making these sacrifices,’ said U.S. Attorney Jason R. Dunn of the District of Colorado. ‘When such discrimination does occur, this office and the Department of Justice will step in to right that wrong.’” read here
UNION LEADER ARRESTED FOR EMBEZZLEMENT
“ROCHESTER, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Brian Arnold, 48, of Elmira, NY, was arrested and charged by criminal complaint with embezzlement and false entries in required union records. The charges carry a maximum penalty of five years in prison and a $10,000 fine.
Assistant U.S. Attorney Meghan K. McGuire, who is handling the case, stated that according to the complaint, the defendant, between September 2015 and August 2018, was the financial secretary of Steelworkers Local Union 104M, which represents approximately 75 workers at Anchor Glass Container Corporation. As financial secretary, Arnold was responsible for collecting dues checks, recording all receipts, maintaining receipts and disbursement records, writing and signing checks, and preparing an accurate account of all money received and paid out to report monthly to the union membership.” read here
PHARMACEUTICAL SALES REP SENTENCED FOR DEFRAUDING INSURANCE COMPANIES OUT OF MILLIONS OF DOLLARS
“BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Scott Trapp, 50, of Clarence, NY, who was convicted of conspiracy to commit health care fraud, was sentenced to serve 36 months in prison by U.S. District Judge Lawrence J. Vilardo. The defendant was also ordered to pay approximately $10,000,000 in restitution.
Assistant U.S. Attorney Maura K. O’Donnell, who handled the case, stated that in 1996 the defendant began working as a pharmaceutical sales representative for various pharmaceutical companies. In 2014, Trapp began marketing ‘compounded medications,’ such as pain patches, pain creams, and scar creams. ‘Compounded medications’ are medications created when a licensed pharmacist, a licensed physician, or a person working under the supervision of a licensed pharmacist, combines, mixes, or alters ingredients of a drug to create a medication tailored to the needs of an individual patient.” read here
MEXICAN NATIONAL CHARGED WITH ILLEGAL REENTRY
“NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that ARMANDO ENRIQUEZ-MORA, age 38, a citizen of Mexico, was charged October 29, 2019 in a one-count bill of information with illegal reentry of a removed alien, in violation of 8 U.S.C. ‘ 1326.
According to the bill of information, ARMANDO ENRIQUEZ-MORA was encountered in the United States on or about October 8, 2019, after having been previously removed therefrom on or about October 30, 2012.
If convicted, ARMANDO ENRIQUEZ-MORA faces a maximum term of imprisonment of two years, a fine of up to $250,000.00, one year supervised release after imprisonment, and a $100 special assessment.” read here
CONNECTICUT RHEUMATOLOGIST SENTENCED TO MORE THAN 3 YEARS IN FEDERAL PRISON FOR DEFRAUDING MEDICAID
“John H. Durham, United States Attorney for the District of Connecticut, announced that CRISPIN ABARIENTOS, M.D., 45, of Middletown, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 37 months of imprisonment, followed by two years of supervised release, for defrauding Connecticut’s Medicaid program.
According to court documents and statements made in court, Abarientos owned and operated Middlesex Rheumatology in Middletown. One of the medications that Abarientos prescribed to his Middlesex Rheumatology patients is Remicade, a prescription medication used to treat rheumatoid arthritis. When treating Medicaid patients with Remicade, Abarientos was required to submit a claim to Connecticut Medicaid for Remicade on behalf of each member patient. Medicaid then sent payment to Caremark Massachusetts Specialty Pharmacy in Massachusetts, which delivered the quantity of Remicade contained in the claim directly to Middlesex Rheumatology for the Medicaid patient without any out-of-pocket cost to Abarientos.”
BALTIMORE PIMP PLEADS GUILTY TO CONSPIRING TO COMMIT SEX TRAFFICKING OF A CHILD
“Greenbelt, Maryland – Sean Dean, age 26, of Baltimore, pleaded guilty to conspiracy to engage in sex trafficking of a minor. Dean admitted that he conspired to traffic four minor girls to engage in commercial sex acts for his financial benefit. Dean entered his guilty plea on October 29, 2019.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Chief Russell E. Hamill III of the City of Laurel Police Department; and Special Agent in Charge John Eisert of Homeland Security Investigations (HSI).
‘Sean Dean cruelly preyed on vulnerable girls in order to profit by selling them for sex,’ said U.S. Attorney Robert K. Hur. ‘Children cannot consent to have sex for money and the sex trafficking of children will not be tolerated in Maryland. Through the Maryland Human Trafficking Task Force, law enforcement is working with non-profit organizations to help human trafficking victims and prosecute the traffickers.’”read here
METRO-ATLANTA CHIROPRACTORS SENTENCED FOR HEALTHCARE AND TAX FRAUD
ATLANTA –Two metro-Atlanta chiropractors, Allan Spagnardi and Stacy Spagnardi, have been sentenced to federal prison for using their chiropractic clinic to commit healthcare fraud and for defrauding the Internal Revenue Service.
‘These chiropractors used their patients’ personal information to obtain over a million dollars from a private insurance company,’ said U. S. Attorney Byung J. (‘BJay’) Pak. ‘Then they went further by engaging in a lengthy scheme to hide their income from the IRS. Healthcare professionals who defraud insurance companies do not just abuse the trust afforded to them by their patients, they also drive up healthcare prices for honest citizens throughout the country.’” read here
JAMAICAN NATIONAL PLEADS GUILTY TO RE-ENTERING THE COUNTY ILLEGALLY AFTER DEPORTATION AND FRAUDULENTLY APPLYING FOR U.S. PASSPORT
“PHILADELPHIA – United States Attorney William M. McSwain announced that Rohan Maxwell, 45, of Allentown, Pennsylvania today entered a plea of guilty to one count of illegally re-entering the United States after deportation and one count of passport fraud before United States District Judge J. Curtis Joyner.
Maxwell was charged in August 2019 by Superseding Indictment with illegal re-entry after deportation and passport fraud, whereby having been deported to his native Jamaica on three separate occasions in 1997, 1999, and 2004, he submitted an application for a United States passport in 2011 using the identity of another person. The defendant was found in the United States in Lehigh County in July 2019.” read here
FORMER UNION GENERAL HOSPITAL CEO AND BLAIRSVILLE DOCTOR CONVICTED OF ILLEGALLY PRESCRIBING AND OBTAINING MORE THAN 15,000 PAIN PILLS FROM PHARMACIES IN THREE STATES.
“GAINESVILLE, Ga. – John Michael “Mike” Gowder and James Heaton have been convicted after a two-week jury trial on 102 counts related to illegally prescribing and obtaining more than 15,000 doses of prescription pain medications outside the usual course of professional practice and for no legitimate medical purpose. In addition, Heaton was convicted of 27 counts of issuing prescriptions to two female patients outside the usual course of professional medical practice and for no legitimate medical purpose.
‘When doctors prescribe opioids outside of the applicable rules, they are nothing but drug traffickers with a medical degree,’ said U.S. Attorney Byung J. ‘BJay’ Pak. ‘Therefore, we will accordingly treat them as such.’” read here
SOCIAL SECURITY ADMINISTRATION EMPLOYEE SENTENCED TO 34 MONTHS IN PRISON FOR FALSIFYING RECORDS AND STEALING SOCIAL SECURITY BENEFITS
“CAMDEN, N.J. – A Social Security Administration employee was sentenced today to 34 months in prison for unlawfully accessing the Social Security accounts of individuals and falsifying their records in order to steal funds for his own use, U.S. Attorney Craig Carpenito announced.
Nicholas Pao, 38, of Egg Harbor Township, New Jersey, previously pleaded guilty before U.S. District Judge Joseph H. Rodriguez to an information charging him with one count of theft of government funds and two counts of aggravated identity theft. Judge Rodriguez imposed the sentence today in Camden federal court.” read here
SOUTH FLORIDA RESIDENT ARRESTED FOR ATTEMPTING TO ILLEGALLY EXPORT CONTROLLED ITEMS TO LIBYA
“MIAMI – Peter Sotis, 55, of Delray Beach, Florida, was arrested yesterday based on an indictment charging him with conspiracy to violate and attempted violation of the International Emergency Economic Powers Act (IEEPA) and the Export Administration Regulations (EAR), as well as smuggling of goods.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida; John C. Demers, Assistant Attorney General for National Security; Robert Luzzi, Special Agent in Charge of the Department of Commerce’s Office of Export Enforcement (DOC) Miami Field Office; and Anthony Salisbury, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations’ (ICE-HSI) Miami Field Office, made the announcement.” read here
OPIOID TREATMENT PRACTICE OWNER SENTENCED FOR ILLEGAL DISTRIBUTION OF BUPRENORPHINE AND HEALTH CARE FRAUD
“PITTSBURGH, Pa. – A resident of Washington, PA, was sentenced in federal court to three years of probation, with 90 days of home detention, 100 hours of community service, and ordered to pay a $10,000 fine and $80,000 in restitution on charges of aiding and abetting the unlawful distribution of controlled substances and health care fraud, United States Attorney Scott W. Brady announced today.
Jennifer Hess, 50, was sentenced by Senior or Chief United States District Judge Arthur J. Schwab.” read here
OIL EXECUTIVES PLEAD GUILTY FOR ROLES IN BRIBERY SCHEME INVOLVING FOREIGN OFFICIALS
“The former CEO and chief operations officer (COO) of a Monaco-based intermediary company have pleaded guilty for their roles in a scheme to corruptly facilitate millions of dollars in bribe payments to officials in multiple countries. These included Algeria, Angola, Azerbaijan, the Democratic Republic of Congo, Iran, Iraq, Kazakhstan, Libya and Syria. The company’s former business development director also pleaded guilty for his role in paying bribes in Libya.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Ryan K. Patrick of the Southern District of Texas, Assistant Director in Charge Timothy R. Slater of the FBI’s Washington Field Office, Inspector in Charge Adrian Gonzales of the U.S. Postal Inspection Service (USPIS) Houston Division and Special Agent in Charge D. Richard Goss of the IRS-Criminal Investigation’s (IRS-CI) Houston Field Office made the announcement.” read here
FINAL DEFENDANT CONVICTED IN $189 MILLION HEALTH CARE FRAUD SCAM
“HOUSTON – With the plea of an 80-year-old Houston man, all 14 charged in the scam involving Continuum Healthcare and its various health centers have been convicted, announced U.S. Attorney Ryan K. Patrick.
Bobby Rouse admitted to conspiring to pay and receive kickbacks and to money laundering relating to the Medicare program today.
A total of 13 others have been convicted in relation to the scheme. A federal jury convicted Cheryl Waller, 73, of Houston, March 2, 2017, after a three-day trial on one count of conspiracy to pay and receive kickbacks and one count of receiving kickbacks. Those all convicted on the conspiracy count include Steven Houseworth, 46, James Bobino, 50, Ernestine Johnson, 60, Jackie Harris, 56, and Vermon Lacy III, 35, all of Houston; David Edson, 71, Palm Harbor, Florida; Jeffery Parsons, 60, Crockett; Aretha Johnson, 67, Wimberley; Inger Michelle Pace, 57, Missouri City; Ronald Turner, 59, Fresno; Deborah Davis, 56, Atlanta, Georgia; and Mary Browning, 71, Beasley. Edson and Parsons were also convicted of two counts of money laundering. Johnson also pleaded guilty to one count of money laundering, while Pace and Turner each further admitted to paying and receiving kickbacks.” read here
GEORGIA PHARMACIST ADMITS LYING ABOUT FILLING PRESCRIPTIONS FOR HIGH-VOLUME OPIOID DOCTORS
“BRUNSWICK, GA: A Darien pharmacist is facing up to five years in prison after admitting that she lied about filling prescriptions for prescribers of high volumes of opioids and other controlled substances.
Janice Ann Colter, 62, of Darien, Ga., entered a guilty plea to one count of False Statements Relating to Health Care Matters, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. Colter faces up to five years in prison and substantial fines and restitution, along with three years of supervised release upon completion of any prison sentence. There is no parole in the federal system.” read here
LOCAL MAN PLEADS GUILTY TO SEXUALLY ABUSING TODDLERS WHILE REGISTERED AS SEX OFFENDER
“DAYTON – A Dayton registered sex offender has pleaded guilty to producing child pornography through the sexual abuse of two toddlers.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Joseph M. Deters, Acting Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Dayton Police Chief Richard S. Biehl and Montgomery County Prosecutor Mathias H. Heck, Jr. announced the plea entered into on Oct. 28 before U.S. District Judge Walter H. Rice.
According to court documents, Tyler Ulm, 24, created child pornography by sexually abusing a two-year-old boy and a three-year-old boy over the course of a year. He abused the two-year-old on at least five occasions at various locations in the Dayton area and the three-year-old at least twice at Ulm’s Dayton residence.” read here
LAS VEGAS, NEVADA MAN PLEADS GUILTY TO ROLE IN MILLION DOLLAR SCHEME TARGETING THOUSANDS OF U.S. SERVICE-MEMBERS AND VETERANS
“In San Antonio, 38-year-old Fredrick Brown, a former civilian medical records administrator for the U.S. Army at the 65th Medical Brigade, Yongsan Garrison, South Korea, admitted his role in an identity-theft and fraud scheme that victimized thousands of U.S. servicemembers and veterans, announced U.S. Attorney John F. Bash, Deputy Assistant Attorney General David Morrell, and Director Gustav Eyler of the Department of Justice’s Consumer Protection Branch.
Appearing before U.S. Magistrate Judge Richard Farrer yesterday, Brown pleaded guilty to one count of conspiracy to commit wire fraud and one count of conspiracy to launder monetary instruments. By pleading guilty, Brown admitted that from July 2014 to September 2015, he stole personal identifying information (PII) of thousands of military members, including names, social security numbers, DOD ID numbers, dates of birth, and contact information. Brown admitted to capturing the PII by taking digital photographs of his computer screen while he was logged into the Armed Forces Health Longitudinal Technology Application. Brown further admitted that he subsequently provided that stolen data to co-defendant Robert Wayne Boling, Jr. so that Boling and others could exploit the information in various ways to access Department of Defense and Veterans Affairs benefits sites and steal millions of dollars.” read here