Category: Office of United States Attorneys

Source: Office of United States Attorneys

SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Thomas Waters, age 37, of Florence, South Carolina, was convicted following a jury trial of three counts of assaulting a federal officer.  The trial, held before United States District Judge Malachy E. Mannion, spanned three days, and the jury deliberated for approximately two hours before returning its verdict.

According to United States Attorney Gerard M. Karam, Waters, a federal inmate at the United States Penitentiary at Canaan located in Waymart, Pennsylvania, assaulted three federal corrections officers which resulted in bodily injury.  The evidence at trial showed that on January 18, 2023, while being counseled for a rule violation, Waters repeatedly struck a corrections officer in the head with his fists.  During the assault, Waters disarmed the officer of his service baton and used it to strike the officer in the head.  The officer suffered lacerations and bruising to his head and face and a hematoma to his shoulder.  When additional corrections officers responded to assist, Waters bit two corrections officers in the arm and finger respectively.  All three officers sustained bodily injury and required medical treatment at local hospitals.  Following the incident, Waters boasted about the assaults to prison officials and on a recorded telephone call. 

The case was investigated by the FBI-Scranton Division and the Special Investigations Section for the Bureau of Prisons.  Assistant U.S. Attorneys Jeffery St John and Tatum Wilson are prosecuting the case.

The maximum penalty under federal law for each offense is 20 years of imprisonment, a term of supervised release following imprisonment, and a fine.  A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

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Source: Office of United States Attorneys

BOSTON – A Massachusetts man has been extradited from Stockholm, Sweden to face charges in connection with his alleged obstruction of an investigation into fires set at Jewish institutions in Arlington, Needham and Chelsea, Mass. in May 2019.  

Alexander Giannakakis, 37, formerly of Quincy, Mass., was indicted by a federal grand jury in Boston in 2019 for making false statements in a matter involving domestic terrorism; falsifying, concealing and covering up a material fact in a matter involving domestic terrorism; concealing records in a federal investigation; tampering with documents and objects; and tampering with an official proceeding.  

After the indictment was returned, at the request of the United States, Giannakakis was arrested by Swedish authorities in a Stockholm suburb. The United States subsequently sought Giannakakis’ extradition from Sweden to the United States to face charges in Boston.  

In connection with his arrest in Sweden, authorities learned that he unlawfully possessed a firearm and other weapons in Sweden. Giannakakis was charged and convicted of those crimes and served a sentence in Swedish prison. On Dec. 4, 2023, near the completion of that jail sentence, the Supreme Court of Sweden ruled favorably on the United States’ extradition request, and on Dec. 21, 2023, the Government of Sweden granted the request for Giannakakis’ extradition. 

Giannakakis arrived at Boston’s Logan airport on Feb. 2, 2024 and will appear in federal court in Boston tomorrow afternoon.

According to the indictment, in and around February 2020, Giannakakis’ younger brother became the prime suspect in an investigation into four fires set at Jewish-related institutions in the Boston area: the first during the evening of May 11, 2019 at a Chabad Center in Arlington; the second at the same location during the evening of May 16, 2019; the third at a Chabad Center in Needham; and the fourth during the evening of May 26, 2019 at Jewish-affiliated business in Chelsea.  

Giannakakis’ younger brother was hospitalized in a coma at the time he was identified as a suspect in February 2020. He remained in a coma until his death later that year.

According to the indictment, Giannakakis left the United States with his younger brother’s electronic devices and papers and brought them to Sweden, where he was living at the time. According to court documents, when Giannakakis returned to the U.S. in March 2020, he was questioned by investigators and made false and misleading statements. Giannakakis allegedly removed and concealed physical evidence being sought by investigators which implicated his brother. Shortly after concealing that evidence, Giannakakis departed the United States for Sweden. Giannakakis remained in Sweden until his arrest by Swedish authorities in February 2022.

The charges of making false statements in a matter involving domestic terrorism and falsifying, concealing, and covering up a material fact in a matter involving domestic terrorism by trick, scheme, and device each provide for a sentence of up to eight years in prison, three years of supervised release and a fine of $250,000. The charges of concealing records in a federal investigation, tampering with documents and objects, and tampering with an official proceeding each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Chief Juliann Flaherty of the Arlington Police Department; Chief John Schlittler of the Needham Police Department; and Chief Keith E. Houghton of the Chelsea Police Department made the announcement today. Substantial assistance was provided by Swedish authorities including the Swedish Security Service; the National Security Unit of Sweden’s National Public Prosecution Department; and Sweden’s Ministry of Justice. The investigation is being led by the FBI Boston’s Joint Terrorism Task Force. Additional assistance was provided by the Quincy Massachusetts Police Department; the Massachusetts State Police; and the Massachusetts State Fire Marshal. The Justice Department’s Office of International Affairs provided substantial assistance to secure the arrest and extradition from Sweden of Giannakakis. The case is being prosecuted by Assistant U.S. Attorneys Jason A. Casey and John McNeil of the Office’s National Security Unit.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

Source: Office of United States Attorneys

SALT LAKE CITY, Utah – A federal jury convicted two owners of a local trucking conglomerate of conspiracy to commit wire fraud. The defendants owned a group of trucking companies named Salt Lake Trucking Group (SLTG). According to court documents and evidence presented at trial, the defendants and their coconspirators paid over $300,000 in bribes to FedEx Ground employees, which resulted in SLTG receiving $108 million from FedEx over a ten-year period.

At the time of the conspiracy, the defendants, Yevgeny Felix Tuchinsky, 63, of Salt Lake County, Utah, was also a resident of San Diego, California; Konstantin Mikhaylovich Tomilin, 54, of Salt Lake County, Utah, was also a resident of Bucks County, Pennsylvania. Tuchinsky and Tomilin owned and operated several trucking companies consolidated under SLTG. 

At trial, the jury was presented with evidence that FedEx contracts with local trucking companies to haul FedEx packages in semitrucks. FedEx refers to these companies as contract service providers (CSPs).  FedEx pays the CSPs by the mile. The defendants’ companies were among those local CSPs that picked up and delivered FedEx semitrailers full of packages at the FedEx Ground Hub in North Salt Lake. The CSPs provided the semitruck and driver that hauled the trailers to FedEx hubs and other facilities where the packages were eventually sorted for local delivery. 
 
Beginning around 2009 and continuing to 2019, the defendants bribed FedEx employees in exchange for those employees providing more business to SLTG. Instead of competing fairly against other CSPs for FedEx business, SLTG bribed FedEx employees to obtain more miles and more money from FedEx. The bribes resulted in SLTG obtaining unearned FedEx business for over a decade. 

The defendants and their coconspirators also engaged in deceptive practices to conceal from FedEx that they were violating several FedEx policies and contractual provisions. And they bribed FedEx employees to help deceive FedEx and cover up their violations. These deceptive practices included creating shell companies and lying to FedEx about the true ownership of the companies. This concealed from FedEx that SLTG owned and operated the shell companies and that the shell companies shared the same owners, assets, trucks, and employees. The defendants and their coconspirators also lied to FedEx about dozens of SLTG drivers’ qualifications on FedEx applications. Further, the defendants and their coconspirators failed to honestly report accidents to FedEx. As established at trial, had FedEx known about SLTG’s bribery, true size, ownership, false driver applications, and accidents, FedEx would have terminated SLTG and its subsidiaries as CSPs. 

The defendants’ bribery and lies resulting in SLTG receiving $108 million from FedEx. Tuchinsky personally gained $7 million and Tomilin personally gained over $4 million from the scheme. 

“Before they delivered packages, these men and their teammates delivered cash bribes,” said Stephen Dent, Assistant United States Attorney during trial. “Before their trucks pulled away from the hub to go on a run, they lied and they bribed to even get that run. $108 million by cheating.”

Tuchinsky’s and Tomilin’s sentencing is scheduled for May 20, 2024, before U.S. District Court Chief Judge Robert J. Shelby at the United States District Courthouse in downtown Salt Lake City. 

U.S. Attorney Trina A. Higgins of the District of Utah made the announcement. 

The case was investigated jointly by the FBI Salt Lake City Division, IRS Criminal Investigation (IRS-CI), Defense Criminal Investigative Service (DCIS) and the U.S. Department of Transportation (DOT).  

Assistant United States Attorneys Cy H. Castle, Stephen P. Dent and Bryant L. Watson of the U.S. Attorney’s Office for the District of Utah presented the case at trial. 

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Source: Office of United States Attorneys

ALBANY, NEW YORK – Joseph Osei, a/k/a “Kyngjo,” age 29, of Jamaica, New York, has been indicted on mail fraud and aggravated identity theft charges for fraudulently obtain pandemic-related unemployment insurance benefits using stolen identities.

United States Attorney Carla B. Freedman; Jonathan Mellone, Special Agent in Charge, Northeast Region, United States Department of Labor, Office of Inspector General (USDOL-OIG); Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS); and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.

The indictment alleges that from about August 2020 through November 2020, Osei fraudulently obtained unemployment insurance benefits worth more than $100,000 in the names of four other people.  The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.

The mail fraud charges carry a maximum term of 20 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years.  The aggravated identity theft charge carries a mandatory term of 2 years in prison, to be imposed consecutively to any other term of imprisonment. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.

Osei appeared yesterday in the United States District Court for the Eastern District of New York in Brooklyn, New York, and was released pending an arraignment before United States Magistrate Judge Christian F. Hummel that is scheduled for February 6, 2024 in Albany.

This case is being investigated by USDOL-OIG, USPIS, and HSI, with assistance from U.S. Customs and Border Protection’s New York Field Office and the New York State Department of Labor’s Office of Special Investigations.  Assistant U.S. Attorneys Alexander P. Wentworth-Ping and Joshua R. Rosenthal are prosecuting the case.

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

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

Source: Office of United States Attorneys

ALBANY, NEW YORK – Scott Weinbloom, age 49, of Latham, New York, pled guilty yesterday to possessing child pornography, announced United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).

Weinbloom admitted that on May 18, 2022, he possessed approximately 1,300 images and 1,500 videos of child pornography on a USB flash memory stick found in his residence and that two computers recovered from his residence had also been used to store and view child pornography. 

Sentencing is scheduled for June 6, 2024. Weinbloom faces up to 20 years in prison, a fine of up to $250,000, and a term of supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. The judge may also order Weinbloom to pay restitution to the victims of his offense and forfeit the device used in the offense.  Weinbloom will also have to register as a sex offender upon his release from prison.

This case was investigated by the FBI Child Exploitation Task Force, comprised of FBI Special Agents, and state and local police investigators, including from the Colonie Police Department. Assistant U.S. Attorney Dustin C. Segovia is prosecuting this case as part of Project Safe Childhood.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

Source: Office of United States Attorneys

CENTRAL ISLIP, NY – Mathew James was sentenced today by United States District Judge Joanna Seybert to 12 years in prison for a massive health care fraud scheme in which he and his co-conspirators, including physicians throughout the country, defrauded multiple health insurance companies out of hundreds of millions of dollars.  James was sentenced to 10 years on the fraud charges and two years to be served consecutive on the aggravated ID theft charges.  The Court also ordered restitution in the amount of $336,996,416.85 and forfeiture of $63,382,049.02. 

Breon Peace, United States Attorney for the Eastern District of New York, Nicole M. Argentieri, Acting Assistant Attorney General of the Justice Department’s Criminal Division, and James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.

“James went to great lengths to carry out a complex fraud scheme that caused insurance companies to pay hundreds of millions of dollars in fraudulent claims,” stated United States Attorney Peace.  “The defendant not only falsified medical records and forged signatures, but also brazenly impersonated patients and their family members, all of which justifies a significant jail sentence to deter others from such audacious conduct.”

“Today, Mathew James was justly punished with a lengthy sentence in prison for his immense and brazen health care fraud scheme.  James took extreme steps to carry out his more than half-billion-dollar fraud – faking signatures, impersonating well known figures in the world of sports, and utilizing fraudulent documents,” stated FBI Assistant Director-in-Charge Smith.  “The FBI will continue to take the lead in investigating and holding accountable anyone attempting to illegally profit from deceptive and fraudulent health care schemes.”

James operated medical billing companies to provide billing services for physicians, primarily plastic surgeons throughout the United States, and used his companies to carry out a massive scheme to defraud insurance companies. As a third-party medical biller, James submitted claims to insurance companies and when necessary, requested reconsideration or appeals of denied claims. James billed for procedures that were either more serious or entirely different than those his doctor-clients performed. For example, the government presented evidence that James impersonated Jeff Pash, the National Football League’s general counsel, and Marcus Smart, a professional basketball player then of the Boston Celtics of the National Basketball Association, in calls the defendant made to insurance companies in which he exaggerated medical procedures. James made thousands of impersonation calls resulting in over tens of millions of dollars in additional reimbursement to his doctor-clients and from which he received a percentage of the fraudulent proceeds.

James also directed his doctor-clients to schedule elective surgeries through the emergency room so that insurance companies would reimburse at substantially higher rates. When insurance companies denied the inflated claims, James impersonated patients to demand that the insurance companies pay the outstanding balances of tens or hundreds of thousands of dollars.

Assistant U.S. Attorneys Catherine Mirabile and Antoinette N. Rangel of the Eastern District of New York, and Trial Attorney Miriam Glaser Dauermann of the Justice Department’s Fraud Section are prosecuting the case.  Assistant U.S. Attorney Tanisha Payne of the Eastern District of New York’s Asset Recovery Section is handling forfeiture matters.

The Defendant:

MATHEW JAMES
Age:  54
East Northport, Long Island

E.D.N.Y. Docket No. 19-CR-382 (JS)

Source: Office of United States Attorneys

ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that that Randall Seeley, Jr., 45, of Lyons, NY, pleaded guilty to receipt of child pornography before U.S. District Judge Charles J. Siragusa. The charge carries a minimum penalty of five years in prison, a maximum of 20 years and a $250,000 fine.

Assistant U.S. Attorney Kyle P. Rossi, who is handling the case, stated that in July 2023, the New York State Police received a report that Seeley had been involved in sexually explicit online communications with a 13 to 14-year-old minor. During an investigation, Seeley admitted knowing the minor and engaging in sexual communications, during which he solicited and received explicit images and videos of the minor. A review of the minor’s social media accounts revealed the sexually explicit communications with Seeley, going back as far as July 2022. A search warrant was executed at Seeley’s residence, during which his electronic devices were seized. A preliminary forensic analysis of the devices uncovered hundreds of images and videos of child pornography depicting the known minor and other, unknown minors. 

The plea is the result of an investigation by the New York State Police, Lyons, under the direction of Major Miklos Szoczei II, and Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino.

Sentencing is scheduled for May 23, 2024, at 9:15 a.m. before Judge Siragusa.    

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Source: Office of United States Attorneys

ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Frederick Trevitt, 63, of Newark, NY, who was convicted of possession of child pornography involving a prepubescent minor, was sentenced to serve 144 months in prison by U.S. District Judge Charles J. Siragusa.

Assistant U.S. Attorney Meghan K. McGuire, who handled the case, stated that on January 4, 2023, Trivett possessed a laptop, which contained 368 images and 26 videos of child pornography. Some of the images and videos depicted prepubescent minors and included violence or the sexual abuse of an infant or toddler. Trevitt also admits that he engaged in a pattern of activity involving the sexual abuse of a minor for approximately seven years.

The sentencing is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino and the New York State Police, under the direction of Major Miklos Szoczei II. Additional assistance was provided by the Wayne County District Attorney’s Office.   

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Source: Office of United States Attorneys

BOSTON – Three individuals previously arrested and charged in November 2023 in connection with operating sophisticated high-end brothels in greater Boston and eastern Virginia have been indicted by a federal grand jury in Boston, Mass. 

The following individuals have each been indicted on one count of conspiracy to persuade, induce, entice, and coerce one or more individuals to travel in interstate or foreign commerce to engage in prostitution; and one count of money laundering conspiracy: 

• Han Lee, a/k/a “Hana,” 41, of Cambridge, Mass.;
• James Lee, 68, of Torrance, Calif.; and
• Junmyung Lee, 30, of Dedham, Mass.

According to the charging documents, from at least July 2020, the defendants operated an interstate prostitution network with multiple brothels in Cambridge and Watertown, Mass., as well as in Fairfax and Tysons, Va. It is alleged that the defendants collectively established the infrastructure for brothels in multiple states which they used to persuade, induce and entice women – primarily Asian women – to travel to Massachusetts and Virginia to engage in prostitution. 

Specifically, the defendants allegedly rented high-end apartment complexes as brothel locations, which they furnished and regularly maintained. It is further alleged that the defendants coordinated the women’s airline travel and transportation and permitted women to stay overnight in the brothel locations so they did not have to find lodging elsewhere, therefore enticing women to participate in their prostitution network. According to court documents, the defendants established house rules for the women during their stays in a given city to protect and maintain the secrecy of the business and ensure that the women did not draw attention to the prostitution work inside apartment buildings. 

The defendants allegedly advertised their prostitution network primarily on two websites – bostontopten10.com and browneyesgirlsva.blog – which offered appointments with women in either greater Boston or eastern Virginia, respectively. It is alleged that the defendants purchased and registered the bostontop10.com domain in August 2016. Both websites purported to advertise nude models for professional photography at upscale studios as a front for prostitution offered through appointments. 

According to court documents, each website described a verification process that interested sex buyers undertook to be eligible for appointment bookings– including requiring clients complete a form providing their full names, email address, phone number, employer and reference if they had one. It is alleged that the defendants persuaded the women to work for this prostitution network because the business maintained a regular customer base of men that were adequately screened, ensuring that the customers were not members of law enforcement or men who posed a risk to the safety and security of the commercial sex workers.

It is further alleged that the defendants maintained local brothel phone numbers which they used to communicate with verified customers and schedule appointments via text messages; send customers a “menu” of available options at the brothel, including the women and sexual services available and the hourly rate; and to text customers directions to the brothel’s location where they engaged in commercial sex with the women. 

According to the charging documents, the defendants charged sex buyers a premium price for appointments with the women advertised on their websites, which ranged from approximately $350 to upwards of $600 per hour depending on the services and were paid in cash. 

 The defendants also allegedly concealed the proceeds of the prostitution network through depositing hundreds of thousands of dollars of cash proceeds into their personal bank accounts and peer-to-peer transfers. Additionally, it is alleged that the defendants regularly used hundreds of thousands of dollars of the cash proceeds from the prostitution business to purchase money orders (in values under an amount that would trigger reporting and identification requirements) to conceal the source of the funds. These money orders were then used to pay for rent and utilities at brothel locations in Massachusetts and Virginia.

Members of the public who have questions, concerns or information regarding this case should contact USAMA.VictimAssistance@usdoj.gov.

The charge of conspiracy to persuade, induce, entice, and coerce one or more individuals to travel in interstate or foreign commerce to engage in prostitution provides for a sentence of up to five years in prison, three years of supervised release and a fine of up to $250,000. The charge of money laundering conspiracy provides for a sentence of up to 20 years in prison, three years of supervised release and a $500,000 fine or twice the value of funds laundered, whatever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England; and Cambridge Police Commissioner Christine Elow made the announcement today. Valuable assistance was provided by the Central District of California; Eastern District of Virginia; U.S. Postal Service; and Watertown Police Department. Assistant U.S. Attorney Lindsey E. Weinstein of the Criminal Division and Assistant U.S. Attorney Raquelle Kaye, of the Asset Recovery Unit are prosecuting the case.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

Source: Office of United States Attorneys

Tampa, FL – U.S. District Judge Richard A. Lazzara has sentenced Alonso Pineda-Torres (52, Colombia), a/k/a “Galladita,” to 17 years and 6 months in federal prison for conspiring to distribute cocaine on board vessels subject to the jurisdiction of the United States. Pineda-Torres entered a guilty plea on October 11, 2019, after his arrest and extradition from Colombia.

According to court records, Pineda-Torres was a member of a transnational criminal organization that dispatched self-propelled semi-submersible (SPSS) vessels from Colombia into the Pacific Ocean, destined for Sinaloa Cartel members in Oaxaca, Mexico. Pineda-Torres recruited SPSS crew members for these trips, delivered money to them, and assisted in the departure of an SPSS. Two of these SPSS vessels were interdicted in international waters, resulting in the seizure of over 12,000 kilograms of cocaine and the prosecution of the crewmembers in the Middle District of Florida.

This case was investigated by the Panama Express Strike Force, a standing Organized Crime Drug Enforcement Task Force (OCDETF) comprised of agents and analysts from the Drug Enforcement Administration, the Federal Bureau of Investigation, Homeland Security Investigations (HSI), the U.S. Coast Guard Investigative Service, the Naval Criminal Investigative Service, and the U.S. Southern Command’s Joint Interagency Task Force South. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply. The Justice Department’s Office of International Affairs and the Narcotic and Dangerous Drug Section’s Judicial Attaché’s office at the U.S. Embassy in Bogota provided critical assistance in securing the arrest and extradition of Pineda-Torres. The case was prosecuted by Assistant United States Attorney Dan Baeza.