The Chicago Syndicate: 08/01/2013 - 09/01/2013
The Mission Impossible Backpack

Friday, August 30, 2013

MacArthur Foundation Expands Investment in Juvenile Justice Reform to $165 Million, Launches Resource Centers to Advance Reform and Improve Outcomes for Youth

Building on its nearly 20-year, $150 million investment in supporting juvenile justice reform, MacArthur announced an additional commitment of $15 million to the field, in part to establish the new Models for Change Resource Center Partnership. The Partnership will provide judges, prosecutors, defenders, policymakers, advocates, probation officers, and mental health and social service agencies with much needed technical assistance, trainings, tools, and resources to help advance juvenile justice reform across the country.

“Reforms like the elimination of life without parole for juveniles and raising the age at which people are tried as juveniles are examples of progress toward a system that is fair, just, and humane in its treatment of our nation’s youth,” said Laurie Garduque, Director of Justice Reform for the MacArthur Foundation. “There has been so much progress made over the past decade toward better outcomes for kids, their families, and their communities. But there is so much more to do and juvenile justice reform must continue.”

The Partnership is based on nearly twenty years of research, practice, and reform efforts that have reached more than 35 states, much of which was made possible by the Foundation’s Models for Change: Systems Reform in Juvenile Justice initiative. MacArthur’s juvenile justice work is grounded in the seminal research funded by the Foundation that showed that adolescents are fundamentally different from adults, and that treating juvenile offenders as adults, relying on incarceration, and failing to commit resources to rehabilitation and treatment is expensive, jeopardizes public safety, and compromises future life chances for young people in contact with the law. This latest round of funding by the Foundation will also support development of the Juvenile Justice Resource Hub, a comprehensive source of information on leading-edge juvenile justice issues and reform trends, among other initiatives.

The Resource Center Partnership will further the Foundation’s goal of protecting kids while making communities safer and improving the effectiveness, performance, and outcomes of the juvenile justice system. The new Partnership consists of four Resource Centers that will be fully operational by the end of 2013. The Centers will focus on areas critical to continued change in juvenile justice:


  •     response to mental health needs
  •     stronger legal defense for indigent youth
  •     interventions for youth charged with status offenses (activities that are criminalized for those under 18, e.g., truancy, running away, curfew violations)
  •     coordination of practices and policies for youth involved in both the juvenile justice and child welfare systems, and enhancement of probation system practices  


The newly launched Resource Centers include:

    The Mental Health and Juvenile Justice Collaborative for Change: A Training, Technical Assistance and Education Center: Led by the National Center for Mental Health and Juvenile Justice at Policy Research Inc., the Center will be a training, technical assistance, and education center designed to promote and support the adoption of new resources, tools, and program models to help those in the field better respond to youth with mental health needs in the juvenile justice system.
    The National Juvenile Defender Center: The Center will improve access to counsel and quality of representation for children in the justice system and will bolster juvenile defense by replicating field-driven innovations, facilitating adoption of new juvenile justice defense standards, and developing a corps of certified juvenile indigent defense trainers.
    The Robert F. Kennedy National Resource Center for Juvenile Justice: Led by the Robert F. Kennedy Children’s Action Corps, the Center will use proven models, frameworks, tools, resources, and the best available research to serve local, state, and national leaders, practitioners, and youth-serving agencies to improve system performance and outcomes for youth involved with the juvenile justice system. The Center will focus primarily on youth with prior or current involvement in the child welfare and juvenile justice systems (known as dually-involved youth) and on the review and improvement of juvenile probation systems.
    The Status Offense Reform Center: Led by the Vera Institute of Justice, the Center will serve as a resource clearinghouse and assistance center for practitioners and policymakers in juvenile justice, with a focus on encouraging and showcasing strategies to safely and effectively divert non-delinquent youth and their families from the formal juvenile justice system.

To help further enrich the tools and trainings offered by the Centers, as well as ensure that practitioners and policymakers who may benefit from the resources receive them, the Partnership also includes a strategic alliance of national experts and organizations. These strategic allies, including the National Conference of State Legislatures, the International Association of Chiefs of Police, and the National Center for State Courts, among others, represent state leaders, local elected officials, law enforcement, prosecutors, corrections professionals, judges, court personnel, and justice reform advocates, whose willingness to coordinate and work with diverse partners on juvenile justice issues has been and will continue to be critical to advancing reforms.

“State lawmakers across the country are actively working to improve the quality of juvenile justice systems and outcomes for youth,” said Sarah Brown, Program Director of Criminal Justice for the National Conference of State Legislatures (NCSL). “The MacArthur Foundation has been a strong partner with NCSL and state lawmakers to assist in these efforts, and the new Resource Center Partnership will provide legislators and practitioners in the field with enhanced resources, research, technical assistance, and support for effective implementation of juvenile justice reforms.”

Robert Burton Charged with Securities Fraud in Coordination with President Obama’s Financial Fraud Enforcement Task Force

Federal charges against a man were unsealed after his arrest on securities fraud charges.

Robert Burton, 36, the managing director of Pinnacle Financial Consulting LLC, Pinnacle Strategic Investments LLC, and the Pinnacle Asset and Capital Management Group LLC, was arrested after being charged for promoting various high-yield investments through Promissory Notes and Offering Memoranda. According to the complaint, Burton represented that he would return the principal invested within approximately 30 days, along with an interest payment equal to 100 percent of the amount invested. Burton did not make the promised payments and, in some instances, provided investors with checks that ultimately bounced.

The statutory maximum penalties for the securities fraud charges are 20 years in prison, followed by five years of supervised release and a $5 million fine. Burton made an initial court appearance and will appear for a detention hearing on September 4 at 11:30 a.m.

U.S. Attorney Carmen M. Ortiz and Vincent B. Lisi, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement. The Massachusetts Attorney General’s Office, which has a civil case pending against Burton, cooperated with the investigation. The case is being prosecuted by Assistant U.S. Attorney Sarah E. Walters of Ortiz’s Economic Crimes Unit.

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

This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch and, with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes. For more information about the task force visit: www.stopfraud.gov.

10 Defendants Indicted in Alleged $74 Million Vehicle Financing Fraud Scheme Resulting in $56 Million in Losses to Lenders

A former area motorcycle and recreational vehicle dealer and his accountant, together with eight other defendants who allegedly acted as straw buyers in sham vehicle sales, were indicted on federal charges alleging a nearly $74 million fraudulent financing scheme that resulted in approximately 20 lenders losing more than $56 million. All 10 defendants were charged with at least one count of bank fraud, and eight of them were also charged with federal tax offenses in a 36-count indictment that was returned by a federal grand jury yesterday, federal law enforcement officials announced today.

The alleged bank fraud scheme involved two prongs: in one, the dealership fraudulently obtained more than $31.3 million in direct financing through five lines of credit from Fifth Third Bank, which lost more than $27.1 million; and, in the second, individual straw borrowers obtained some 200 fraudulent loans totaling nearly $42.4 million, which resulted in some 18 financial institutions losing more than $29.5 million. At least 62 of these individual loans were made to the eight defendants who allegedly acted as straw buyers.

The charges allege that all 10 defendants fraudulently obtained money for their personal uses and benefit, enabling them to maintain lavish lifestyles, operate various businesses, and/or make investments. The money they obtained created the false appearance of personal wealth and helped induce the lenders to advance funds more readily due to their misplaced confidence that the defendants had sufficient personal wealth to repay the loans. The tax offenses against eight of the defendants include one or more counts each of tax evasion, failing to file an income tax return, or filing a false federal tax return.

Lead defendant Russell S. Ott, 50, of Oswego, was the owner of Emily Inc., which did business as Pro Source Motorsports, which was last located in Morris, Illinois. Between 1995 and October 2008, Pro Source, the dealership at the center of the scheme, sold new and used motorcycles, luxury motor homes, recreational vehicles, all-terrain vehicles, boats, and jet skis. In 2007 and 2008, Ott also had ownership interests in Liberty Cycle in Libertyville and Huntley Chevrolet in Libertyville. Ott was charged with one count each of bank fraud and tax evasion.

Defendant Brian McMahon, 54, of Naperville, was Ott and Emily Inc.’s certified public accountant, who also owned Triumph Suzuki in Naperville between 2001 and 2004 when he sold it to Ott. McMahon was charged with one count of bank fraud and two counts of filing false tax returns.

All 10 defendants will be ordered to appear for arraignment on dates to be determined in U.S. District Court.

Direct Lending Fraud

According to the indictment, Ott and McMahon fabricated false personal and business tax documents and financial statements and provided them to Fifth Third Bank, which between May 2007 and October 2008 extended Pro Source approximately $31,368,457 through five different credit lines, which funded traditional “floor plan loans.” As part of the scheme, Ott faxed false flooring requests with fictitious vehicle identification numbers for non-existent recreational vehicles or real VINs for actual RVs but with dramatically inflated values. Ott sometimes “double floored” vehicles by obtaining separate financing from Fifth Third and a different lender for the same vehicle.

Straw Borrower Fraud

According to the indictment, Ott enlisted the other eight defendants as straw borrowers so they could obtain fraudulent loan proceeds to share with Ott even though they did not actually purchase the vehicles—usually very expensive RVs—for which the loans were made and the vehicles generally did not exist. The lenders who financed these loans generally deposited the funds into Emily Inc.’s bank account, and then Ott periodically disbursed the proceeds to straw borrowers to operate and support their own businesses and lifestyles, make investments, and make monthly payments on some of the loans to perpetuate the scheme.

Ott allegedly made personal use of the fraudulently obtained funds to operate Pro Source, which operated at a loss from approximately 2001 through 2008; and to make the following purchases—a house in Elburn for approximately $679,491 and make subsequent improvements which increased the home’s cost to more than $1.1 million; a $258,000 vacation home in Butternut, Wisconsin; a $350,000 rental home in South Elgin; a Sky Hawk 172 Cessna airplane and hanger for approximately $200,000; and pick-up trucks and other vehicles for family members and employees of Pro Source. He also used the money to invest in and purchase other vehicle dealerships, including more than $3.6 million in Huntley Chevrolet and more than $1 million in Liberty Cycle.

The other eight defendants, who allegedly acted as straw buyers, and details of their charges and alleged personal use of the funds are as follows:

Andrew W. Stacy, 51, of Elburn, a parts manager at Pro Source between 1998 and 2000. In late 2005, with financial assistant from Ott, Stacy acquired TUF Powersports, a motorcycle dealership in DeKalb, which he operated until it closed in late 2008. Stacy acted as a straw borrower on six fraudulent loans totaling more than $2.5 million, and after making certain periodic payments, used a portion of the funds to operate TUF Powersports and for personal expenses.

Scott F. Darville, 48, of Racine, Wisconsin, who owned and operated Pro Source of Woodstock, in 1998 and 1999. In 2000, Darville became the owner of Racine MotorSports Ltd., a motorcycle dealership he operated until it closed in 2009. Darville acted as a straw borrower on nine fraudulent loans totaling nearly $2.5 million, and after making certain periodic payments, retained more than $2 million, which he used to operate Racine Motorsports and for personal expenses.

F. Peter Mignin, 63, of Geneva, who owned and operated Northwest Investment Company Inc., which formerly did business as Schaumburg Honda, a new and used motorcycle dealership. Mignin also owned RPM Management LLC, doing business as Liberty Cycle, which he agreed to sell to Ott in 2007, and Mignin held an ownership interest with Ott in 2007 and 2008 in Huntley Chevrolet. Mignin acted as a straw borrower on 10 fraudulent loans totaling more than $3.8 million, and after making certain periodic payments, retained more than $3.4 million, which he used to operate Schaumburg Honda, Liberty Cycle, and for personal investments and expenses, including $450,000 toward the construction of his home, residence, and an $863,000 investment in Huntley Chevrolet.

Kevin D. Hanson, 43, of Louisville, Kentucky, and formerly of Chicago, who owned and operated Safety First Racing LLC, of Arlington Heights, a professional motorcycle racing team that competed at events throughout the United States between 2003 and 2008. Hanson acted as a straw borrower on seven fraudulent loans totaling more than $2.8 million, and after making certain periodic payments, retained more than $2.4 million, which he used to operate Safety First Racing and for personal expenses.

Owen A. Weichel, 48, of Huntington Beach, California, a former professional motorcycle racer who owned and operated Center of Gravity LLC, which imported motorcycle parts from Japan and resold them in the United States. Weichel acted as a straw borrower on five fraudulent loans totaling more than $2.1 million, and after making certain periodic payments, retained more than $1.9 million, which he used to operate Center of Gravity and for personal expenses, including foreign investments in Costa Rica, Italy, and Canada of approximately $1,261,200.

John Materyn, 50, of Ypsilanti, Michigan, who worked for Ott at Pro Source in 1998 and later at Liberty Cycle. Materyn acted as a straw borrower on seven fraudulent loans totaling more than $2.3 million, and after making certain periodic payments, he used a portion of the funds to operate Pro Source Motorsports in Michigan and for personal expenses.

Jill A. Pluta, 55, of LaPorte, Indiana, Ott’s former sister-in-law who was formerly known as Jill Ott and who worked at Pro Source in 2005. She acted as a straw borrower on five fraudulent loans totaling nearly $1 million, and after making certain periodic payments, retained approximately $680,334, which she used for personal expenses.

Joan M. Quick, 52, of Walworth, Wisconsin, the office manager for Pro Source who was responsible for Pro Source’s day-to-day bookkeeping and accounting. Quick acted as a straw borrower on seven fraudulent loans, and she later wrote checks and directed electronic transfers from Emily Inc. accounts totaling more than $1 million, which she used for personal expenses, including her residence, automobiles for at least three of her children and college tuition for at least two of them, and credit card payments totaling approximately $550,125.

The charges were announced by Gary S. Shapiro, United States Attorney for the Northern District of Illinois; Robert J. Shields, Jr., Acting Special Agent in Charge of the Chicago Office of the Federal Bureau of Investigation; and James C. Lee, Special Agent in Charge of the Internal Revenue Service Criminal Investigation Division in Chicago.

The government is being represented by Assistant U.S. Attorney William Hogan.

Each count of bank fraud carries a maximum penalty of 30 years in prison and a $1 million fine, or an alternative fine totaling twice the gross gain or twice the loss, whichever is greater, and restitution is mandatory. Tax evasion carries a maximum penalty of five years in prison and filing a false tax return carries a maximum of three years in prison, and both carry a maximum fine of $250,000, while failure to file a tax return carries a maximum of a year in prison and a $100,000 fine. In addition, defendants convicted of tax offenses face mandatory costs of prosecution and remain civilly liable to the government for any and all back taxes, as well as a potential civil fraud penalty of up to 75 percent of the underpayment plus interest. If convicted, the court must determine a reasonable sentence to be imposed under federal statutes and the advisory United States Sentencing Guidelines.

The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt against each defendant.

Kathleen Niew, Suburban Attorney, Arrested by FBI for Allegedly Stealing $2.34 Million in Clients’ Funds from Her Escrow Account

A suburban attorney whose law license was suspended in May was arrested on federal fraud charges for allegedly misappropriating approximately $2.34 million from a husband and wife who were her clients. The defendant, Kathleen Niew, was charged with 10 counts of wire fraud in a federal grand jury indictment that was returned on Tuesday and unsealed today following her arrest. FBI agents took Niew into custody without incident at her office in Oak Brook.

Niew, 57, of Burr Ridge, operated Niew Legal Partners LLC in Oak Brook. She was scheduled to be arraigned at 3 p.m. yesterday before U.S. Magistrate Judge Young B. Kim in U.S. District Court.

According to the indictment, Victims A and B, a husband and wife who were Niew’s clients, transferred approximately $2.34 million into Niew’s attorney escrow account to be used for closings on commercial real estate transactions. Between January 2010 and December 2012, Niew allegedly used the funds for her own benefit, contrary to the false representations she made to the couple and others.

Without the couple’s knowledge, Niew used their funds to finance the purchases of various mining operations and not to purchase any commercial property for the victims, the charges allege. As part of the fraud scheme, Niew arranged to receive a 20 percent finder’s fee for herself from a mining operation in exchange for providing it approximately $1.5 million in funds that belonged to her clients. She falsely told the couple that their funds were available in her escrow account and were to be used for closings when they were not. She further concealed her fraudulent conversion of funds by telling her clients that the bank had erroneously sent the funds intended for closings to the wrong bank accounts, even though she had not directed any such wire transfer of the clients’ funds to the title companies to purchase real estate, the indictment alleges.

The arrest and charges were announced by Gary S. Shapiro, United States Attorney for the Northern District of Illinois, and Robert J. Shields, Jr., Acting Special Agent in Charge of the Chicago office of the Federal Bureau of Investigation.

The government is being represented by Assistant U.S. Attorney Sunil Harjani.

Each count of wire fraud carries a maximum penalty of 20 years in prison and a $250,000 fine, or an alternative fine totaling twice the gross gain or twice the loss, whichever is greater, and restitution is mandatory. If convicted, the court must impose a reasonable sentence under federal sentencing statutes and the advisory United States Sentencing Guidelines.

An indictment contains only charges and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.

Thursday, August 29, 2013

David Wilder, Former Chicago White Sox Executive, Sentenced to Federal Prison for Taking Kickbacks from Latin American Players’ Signing Bonuses

A former Chicago White Sox scouting executive was sentenced to two years in federal prison for accepting approximately $440,000 in kickbacks from the signing bonuses and contract buyouts that two of the team’s Latin American scouts paid to secure 23 prospective players between December 2004 and February 2008. The defendant, David S. Wilder, the White Sox farm system director from late 2003 to 2006 when he became the team’s senior director of player personnel until May 2008, had pleaded guilty to mail fraud in February 2011.

Wilder, 52, of San Francisco, was ordered to begin serving his sentence on October 31 by U.S. District Judge Charles Norgle. Wilder was also ordered to pay $440,781 in restitution to the White Sox.

Wilder admitted that he defrauded the White Sox of money and his honest services while concealing the kickbacks from the team and its more senior executives. He later cooperated with the investigation, leading the government to ask for a reduced sentence.

Two former White Sox scouts, Jorge L. Oquendo Rivera, 52, of Puerto Rico, the team’s Latin American scout between November 2004 and October 2007, and Victor Mateo, 42, of the Dominican Republic, a Sox scout in the Dominican Republic between November 2006 and May 2008, were also charged and pleaded guilty to mail fraud. Oquendo Rivera is scheduled to report to prison this Friday to begin serving a sentence of a year and a day that Judge Norgle imposed in June. Mateo is scheduled to be sentenced on September 18.

According to court documents, the White Sox relied on Wilder, as well as Oquendo Rivera and Mateo, to recommend and approve signing bonus and related payments, depending on a player’s talent, necessary to induce a player to sign with the White Sox or to induce another team to release the player to the White Sox, without being inflated for kickbacks. Instead, Wilder and the other defendants facilitated, solicited, or obtained more than $440,000 in kickbacks from at least 23 Latin American players signed by the White Sox.

The White Sox reported findings of an internal investigation to Major League Baseball and baseball officials referred the matter to federal authorities. Both the team and Major League Baseball were instrumental in launching the investigation and provided continuing cooperation.

The government is being represented by Assistant U.S. Attorneys Christopher K. Veatch and Michelle Nasser.

The sentence was announced by Gary S. Shapiro, United States Attorney for the Northern District of Illinois, and Robert G. Shields, Jr., Acting Special Agent in Charge of the Federal Bureau of Investigation.

Wednesday, August 28, 2013

Mafia Documentary Video on Genovese Crime Family


Mafia Documentary Video on Genovese Crime Family



Dike Ajiri, Mobile Doctors’ Chicago CEO, and Doctor Banio Koroma Arrested on Federal Health Care Fraud Charges

The chief executive officer of Chicago-based Mobile Doctors, which manages physicians who make house calls in six states, and one of its physicians in Chicago were arrested on federal health care fraud charges. At the same time, federal agents executed search warrants at Mobile Doctors’ offices in Chicago, Detroit, and Indianapolis, as well as warrants to seize up to $2.568 million in alleged fraud proceeds from various bank accounts. The charges allege a scheme to fraudulently increase (also known as “upcoding”) Medicare bills for in-home patient visits that Mobile Doctors falsely claimed were more complicated and longer than they actually were. The charges also allege that Mobile Doctors’ physicians falsely certified that patients were confined to their homes, enabling home health care agencies to claim fees for additional services for patients who were not actually qualified to receive them.

Agents from the FBI, the U.S. Department of Health and Human Services Office of Inspector General, and other law enforcement agencies executed the arrest, search, and seizure warrants in connection with the charges and also a broader ongoing investigation that includes allegedly illegal billing practices for medically unnecessary tests and services not performed by a physician.

Arrested were Dike Ajiri, 42, of Wilmette, CEO of Mobile Doctors, which he has effectively owned since 1996, and Banio Koroma, 63, of Tinley Park, a physician who has worked for Mobile Doctors since approximately 2007. Mobile Doctors, located at 3319 N. Elston Ave., in Chicago, arranges patient home visits and contracts with doctors who perform the visits. The physicians assign their rights to bill and collect payment to Mobile Doctors in return for being paid directly by the company. Mobile Doctors’ website claims that its associated physicians have made more than 500,000 house calls since its inception. In addition to Chicago, the company has branches in Detroit and Flint, Michigan; San Antonio and Austin, Texas; Indianapolis; Kansas City; Phoenix; and St. Louis.

Ajiri was charged with health care fraud, and Koroma was charged with making false statements relating to health care benefits in a criminal complaint that was filed yesterday and unsealed today after the arrests. Both were scheduled to appear at 3 p.m. today before U.S. Magistrate Judge Mary Rowland in U.S. District Court.

The arrests and charges were announced by Gary S. Shapiro, United States Attorney for the Northern District of Illinois; Robert J. Shields, Jr., Acting Special Agent in Charge of the Chicago Office of the Federal Bureau of Investigation; and Lamont Pugh, III, Special Agent in Charge of the Chicago Regional Office of the HHS-OIG. The Railroad Retirement Board Office of Inspector General is also participating in the investigation.

According to a 75-page affidavit in support of the arrest, search, and seizure warrants, agents have interviewed several current and more than 25 former employees of Mobile Doctors, including some who reported allegedly fraudulent billing practices to Medicare before they were contacted by agents. Investigators have also reviewed e-mails and documents, claims data and patient files and have conducted interviews with patients of Mobile Doctors and their primary care physicians, whose statements contradict Mobile Doctors’ billing and patient records.

Mobile Doctors physicians do not perform tests such as echocardiograms but do order such tests, which are done on Mobile Doctors’ patients by employees of In Home Diagnostics, doing business as Ultrasound2You. According to Medicare records, Ajiri is a minority partner in In Home Diagnostics, which is located in the same building as Mobile Doctors, and Mobile Doctors bills the echocardiograms so that they appear to have been done by Mobile Doctors’ physicians.

The complaint affidavit states that Ajiri signed a personal financial statement on December 31, 2012, stating that he received $1.5 million in annual partnership income from a corporate entity, Mobile Doctors LLC, which has a complex ownership structure involving Ajiri and, over time, one or both of his parents. Between 2008 and January 2013, bank records show that approximately $4.365 million was transferred from Mobile Doctors to an account in the name of Ajiri and his wife.

Upcoding Patient Visits

According to interviews with former and current Mobile Doctors physicians, branch managers, clinical coordinators, employees, and patients, a typical visit that a Mobile Doctors physician has with an established patient lasts 10 to 30 minutes and is routine in nature. In contrast to those interviews, claims data shows that from 2006 through February 2013, approximately 99 percent of all established-patient visits by Mobile Doctors physicians were billed to Medicare using either of the two highest codes indicating the visits involved medical decision-making of moderate to high complexity, detailed or comprehensive interval histories or medical examinations, and/or visits that typically last at least 40 minutes.

In 2009 in Chicago, the local Medicare fee for a visit using the second-highest home visit code was approximately $122.82, while the fee for the highest code was approximately $171.25. According to a review of claims data for Railroad Retirement Board patients, every single established-patient visit Mobile Doctors billed to Medicare between January 2007 and June 2008 used the highest fee code. Between January 2007 and November 2012, approximately 93 percent of such visits were billed using the highest fee code.

The former manager of Mobile Doctors’ Chicago branch until she was terminated in 2008 told agents that Ajiri told her that the second-highest fee code was the default code for a patient visit so that it would be worth the gas and time spent. The manager said Ajiri told physicians, “I don’t pay for ones or twos,” referring to the two lower of the four applicable fee codes. At the end of one day, she said she saw Ajiri in his office “automatically” altering the billing codes and marking visits at the highest fee level on patient records submitted by physicians and assistants who accompanied them on home visits. A physician told agents that in late 2007, Ajiri did not respond to his concerns about Mobile Doctors’ billing practices and instead told the doctor that he could earn more money if he would order more tests such as electrocardiograms, according to the affidavit.

The complaint alleges that the vast majority of payments made on established-patient visit claims using the highest fee code were the result of fraudulent upcoding. From 2006 through 2012, Mobile Doctors received approximately $21.4 million in payments on claims using the second-highest code and approximately $12.6 million in Medicare payments on claims using the highest fee code.

Falsely Certifying Patients as Confined to Their Homes

The charges further allege that Mobile Doctors physicians, including Koroma, falsely certified patients as confined to their homes and requiring home health services when they were not home-bound and did not require such care. By referring patients to home health agencies that did not warrant Medicare payments, Mobile Doctors received more referrals from those agencies for services provided by its physicians. According to Medicare data, from August 2010 through July 2013, more than 200 home health agencies submitted Medicare claims for services allegedly rendered to patients for whom Koroma was identified as the referring physician. These home health agencies have been paid more than $10 million for services listing Koroma as the referring physician.

Between January 2006 and March 2013, Mobile Doctors physicians have certified or recertified for 60-day periods approximately 15,598 patients as confined to their homes and requiring home health services a total of approximately 83,133 times, many of which were allegedly false. Approximately 6,057 of these certifications were attributed since August 2007 to Koroma, with Mobile Doctors billing Medicare for approximately 17,439 patient visits he made during that time, more than any other Mobile Doctors physician.

The health care fraud count against Ajiri carries a maximum penalty of 10 years in prison and a $250,000 fine and restitution is mandatory. The false statements count against Koroma carries a maximum of five years in prison and a $250,000 fine. If convicted, the court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.

The government is being represented by Assistant U.S. Attorney Stephen C. Lee and Catherine Dick, assistant chief in the Fraud Section of the Justice Department’s Criminal Division. The U.S. Attorney’s Offices in Detroit, Indianapolis, and Phoenix also have assisted in the investigation.

The public is reminded that a complaint is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.

The Medicare Fraud Strike Force began operating in Chicago in February 2011 and consists of agents from the FBI and HHS-OIG working together with prosecutors from the U.S. Attorney’s Office and the Justice Department’s Fraud Section. The strike force is part of the Health Care Fraud Prevention and Enforcement Action Team (HEAT), a joint initiative announced in May 2009 between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Scores of defendants have been charged locally in health care fraud cases since the strike force began operating in Chicago.

To report health care fraud to learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to www.stopmedicarefraud.gov.

Tuesday, August 27, 2013

The Liberty Amendments: Restoring the American Republic #CheckitOut

MARK R. LEVIN HAS MADE THE CASE, IN NUMEROUS NEW YORK TIMES BESTSELLING BOOKS—MEN IN BLACK, LIBERTY AND TYR­ANNY, AND AMERITOPIA—THAT THE PRIN­CIPLES UNDERGIRDING OUR SOCIETY AND GOVERNMENTAL SYSTEM ARE UNRAVELING. IN THE LIBERTY AMENDMENTS, HE TURNS TO THE FOUNDING FATHERS AND THE CONSTITUTION ITSELF FOR GUIDANCE IN RESTORING THE AMERICAN REPUBLIC.

For a century, the Statists have steadfastly constructed a federal Leviathan, distorting and evading our consti­tutional system in pursuit of an all-powerful, ubiqui­tous central government. The result is an ongoing and growing assault on individual liberty, state sovereignty, and the social compact. Levin argues that if we cherish our American heritage, it is time to embrace a consti­tutional revival.

The delegates to the 1787 Constitutional Conven­tion in Philadelphia and the delegates to each state’s ratification convention foresaw a time when—despite their best efforts to forestall it—the Federal govern­ment might breach the Constitution’s limits and begin oppressing the people. Agencies such as the IRS and EPA and programs such as Obamacare demonstrate that the Framers’ fear was prescient. Therefore, the Framers provided two methods for amending the Constitution. The second was intended for our current circumstances—empowering the states to bypass Congress and call a convention for the pur­pose of amending the Constitution. Levin argues that we, the people, can avoid a perilous outcome by seek­ing recourse, using the method called for in the Con­stitution itself.

The Framers adopted ten constitutional amend­ments, called the Bill of Rights, that would preserve individual rights and state authority. Levin lays forth eleven specific prescriptions for restoring our founding principles, ones that are consistent with the Framers’ design. His proposals—such as term limits for mem­bers of Congress and Supreme Court justices and lim­its on federal taxing and spending—are pure common sense, ideas shared by many. They draw on the wisdom of the Founding Fathers—including James Madison, Benjamin Franklin, Thomas Jefferson, and numerous lesser-known but crucially important men—in their content and in the method for applying them to the current state of the nation.

Now is the time for the American people to take the first step toward reclaiming what belongs to them. The task is daunting, but it is imperative if we are to be truly free.

Monday, August 26, 2013

Mob-Con 2013 - First Ever Mob Convention at the Palace Station @PalaceStationLV

Former gangsters and G-Men will come face-to-face in Las Vegas once again — on decidedly more amicable terms — at the first-ever Mob Convention at Palace Station from Sept. 7-8.

The event, presented by former mobster Frank Cullotta and Las Vegas-based businessman Robert George Allen and sponsored by the Mob Attraction at the Tropicana, brings together former crime family members, lawmen, true-crime writers, historians and entertainers for two days of panel discussions, Q+A sessions, meet-and-greets, memorabilia auctions, vendors and more.

Featured guests include Cullotta (of the Chicago Outfit and Hole in the Wall Gang), Tony Montana (Chicago Outfit), Andrew DiDonato (Gambino Family), Frank Calabrese Jr. (Chicago Outfit), Kenji Gallo (Columbo Family), Dennis Arnoldy (FBI), Vito Colucci (law enforcement), Denny Griffin (law enforcement and author), Warren Hull (author), Gary Magnesen (FBI), Gary Jenkins (law enforcement), Ronald Fino (FBI/CIA) and Cathy Scott (author). More guests are to be announced.

“Las Vegas is the ideal city to host Mob-Con,” Allen said in a statement. “People are fascinated about the Mob and, without the Mob, Las Vegas would not be what it is today. Mob-Con is giving the general public unprecedented access to the individuals who were a part of this history.”

Registration for the conference is $195 and includes a 4-hour historical Mob tour of Las Vegas. Tickets can be purchased through the Mob-Con website.

Mob-Con 2013 Mob Convention at Palace Station in Las Vegas

Owner of @HardcorePawn Les Gold, @LesHCP Provides Business Wisdom From a Pawnbroker in New Book

Businesses these days talk a lot about figuring out what the customer wants. Well, here's your first lesson: the customer doesn't know what he wants. This book is going to show you how to convince him he wants the thing you're selling.

Les Gold has been in business since age twelve, when he started selling used golf clubs from his dad's basement. Now he owns Detroit's biggest pawnshop, American Jewelry and Loan, and is the star of the hit reality TV show "Hardcore Pawn."

As a third-generation pawnbroker, Gold grew up in the business, dealing with cus-tomers who could be unruly and violent as often as they were friendly. He became good at selling just about anything and at buying items for what they were worth. Although he started at his family's small pawnshop, he has now expanded into a fifty-thousand-square-foot former bowling alley, making a thousand deals a day.

On any given day, he could be taking a vin-tage car in to pawn or chasing down a thief who's just stolen a gold chain from the store. No business school in the world can teach you as much about buying, selling, negotiating, managing employees, dealing with customers, advertising, tracking trends, and predicting the economy's ups and downs.

In this entertaining, honest book, Gold takes you inside some of his weirdest, wacki-est deals and steals. From the monkey his dad once took in to pawn to the deal Gold made for a stripper pole, he has no boundaries for what he considers to be part of his business--and neither should you.

You will learn: How to tell an emotional story when you're selling--and take emotion out of the transaction when you're buying. Why judging your customers before you know them can kill a potential deal. How to deal with risk, both mental and physical. How to communicate with employees (even if they're your own kids). Why investing in relationships with your community is time well spent. Why your business should never be limited by what others tell you it should be.

No place in the world prepares you better for the working world than a pawnshop, and Les Gold takes you inside his shop to share what he's learned from fifty-five years in the most interesting job in the world.

Sunday, August 25, 2013

Rocco Lazazzaro Sentenced to More Than Four Years in Prison for #Conspiracy to Commit Wire Fraud

A man who conspired with a former controller to embezzle millions from the company that owned or developed the Residences at MGM, Town Square shopping center, Turnberry Place, Turnberry Towers, and the Stirling Club in Las Vegas was sentenced to 51 months in prison, three years of supervised release, and ordered to pay approximately $3.7 million in restitution, announced Daniel G. Bogden, United States Attorney for the District of Nevada.

Rocco Lazazzaro, 55, of Las Vegas, was sentenced by U.S. District Judge Gloria M. Navarro. Lazazzaro pleaded guilty in May to conspiracy to commit wire fraud. According to his guilty plea agreement, from about May 17, 2007 to about January 12, 2012, Lazazzaro and Hope Ippoliti, 51, the former controller for Turnberry Associates, conspired to steal more than $3.7 million from Turnberry and its affiliates.

“Through this embezzlement scheme, Mr. Lazazzaro and Ms. Ippoliti victimized not only Turnberry Associates in the amount of $5.6 million but caused irreparable harm and financial damage to the many victims and business entities employed and supported by Turnberry Associates,” said United States Attorney Bogden. “It is truly sad that the greed and self-indulgent criminal conduct of Mr. Lazazzaro continues to result in harm to so many other innocent victims.”

Ippoliti created fund transfer requests containing false information that the funds were intended for business-related purposes when she and Lazazzaro actually intended to withdraw the funds for personal use. Ippoliti faxed or e-mailed the fund transfer requests from Nevada to Turnberry Associates in Florida to cause the transfer of funds into Bank of America accounts over which she had signatory authority. Ippoliti and Lazazzaro deposited and cashed checks and cashier’s checks drawn on Bank of America bank accounts belonging to Turnberry Associates and its affiliates.

The total losses to Turnberry Associates and its affiliates are a total of $5.6 million. According to Lazazzaro’s guilty plea agreement, he was directly involved in causing approximately $3.7 million of those losses. The sentencing memorandum filed by the government states that Lazazzaro used the stolen monies for gambling and drug use.

Lazarro has four prior felony convictions and numerous misdemeanor convictions, many of which involved violence or threats of violence against others through the use or threatened use of fire, knives, or blunt objects. In 1986, while on probation for a 1980 felony grand theft conviction, he was convicted of committing five robberies in addition to vicious assaults and was sentenced to 10 to 20 years in prison. He was discharged from parole one year before committing the Turnberry embezzlement crimes.

Ippoliti pleaded guilty in March to conspiracy to commit wire fraud resulting in total losses of $5.6 million and is scheduled to be sentenced on September 19, 2013, at 9:00 a.m. before U.S. District Judge Gloria M. Navarro.

Joseph Morrill Pleads Guilty to Federal Armed Robbery and Firearms Charges

United States Attorney Thomas E. Delahanty, II announced today that Joseph Morrill, 23, of South Portland, Maine, pled guilty Monday in U.S. District Court in Portland before Judge D. Brock Hornby to federal armed robbery and firearms charges.

According to court records and evidence introduced at the plea hearing, on September 21, 2012, a Glock pistol and a badge belonging to a law enforcement detective were stolen from a motor vehicle in South Portland. On April 17, 2013, Morrill used the pistol to rob a Cumberland Farms store in South Portland absconding with $182 in cash. On April 22, 2013, Morrill used the pistol to rob a TD Bank branch in South Portland absconding with $5,612 in cash. On June 14, 2013, agents seized the handgun during the execution of a federal search warrant at a residence in South Portland.

Morrill faces up to 30 years’ imprisonment and a $250,000 fine for robbing Cumberland Farms, up to 25 years’ imprisonment, and a $250,000 fine for robbing TD Bank, a consecutive sentence of between seven years and life imprisonment for using the stolen pistol during and in relation to the TD Bank robbery and up to 10 years for possessing the stolen firearm.

He will be sentenced after completion of a pre-sentence investigation report by the United States Probation Office.

The investigation was conducted by the South Portland Police Department and the Federal Bureau of Investigation.

Shauna Quinn Pleads Guilty to Bank Fraud

United States Attorney Thomas E. Delahanty II announced that Shauna Quinn, 44, of Rockland, Maine, pled guilty in United States District Court before Judge George Z. Singal to a bank fraud charge.

According to court records, the defendant worked at Rockland Savings Bank in Rockland, Maine, as a collections manager. Between July 2008 and June 2011, she created home equity lines of credit and a share loan in the names of her family members and had more than $400,000 in funds improperly withdrawn from those loans.

A forensic review by the Federal Bureau of Investigation (FBI) of the unauthorized activity posted under defendant’s teller ID number for the period from July 2008 to June 2011 revealed that the defendant misappropriated more than $400,000 through improper advances on loans and lines of credit that were not authorized by the bank and agreed to by the borrower. The defendant perpetrated the scheme by increasing the authorized amounts of lines of credit without approval, changing customers’ mail addresses without consent, improperly posting transactions, and creating fictitious loan documents. The fraud was concealed by the defendant who used loan advances to make payments on other loans in order to keep them current.

Quinn faces a sentence of up to 30 years of imprisonment and a fine of up to twice the gain or loss. She will be sentenced after the completion of a presentence investigation report by the United States Probation Office.

The investigation was conducted by the FBI.

Travis Landry Pleads Guilty to Federal Kidnapping and Firearm Charges

United States Attorney Thomas E. Delahanty, II announced that Travis R. Landry, 29, of Surry, pled guilty in United States District Court before Judge Nancy Torresen to charges of interstate kidnapping and brandishing a firearm in relation to the kidnapping.

According to court records, in mid-April 2013, Landry responded to an advertisement in Craigslist for the sale of a BMW automobile. On the evening of April 24, Landry met with the BMW’s owner at a location on Riverside Street in Portland and the two took the car for a test drive. After the test drive, Landry told the victim to get into the trunk of the car. The victim complied when Landry displayed a Glock .45 caliber handgun. Landry then drove the BMW, with the victim locked inside the trunk, south out of Maine for about eight hours. When he reached Newark, Delaware, Landry stopped the car in a secluded wooded area and released the victim, who ran away and called local police. On May 7, 2013, sheriff deputies in Granville County, North Carolina, arrested Landry, who was driving the BMW, after a high-speed chase. The Glock handgun was seized from the glove compartment of the BMW.

On the interstate kidnapping charge, Landry faces imprisonment of up to life and a fine of up to $250,000. For brandishing the firearm in connection with the kidnapping, Landry faces a minimum mandatory consecutive sentence of seven years’ imprisonment. He will be sentenced after completion of a pre-sentence report by the United States Probation Office.

The investigation was conducted by the Federal Bureau of Investigation; the Portland (Maine), Gorham, Killeen (Texas), and Newark (Delaware) Police Departments; and the Granville County (North Carolina) Sheriff’s Office.

Chris Cippolini Discusses "Diary of a Motor City Hitman: The Chester Wheeler Campbell Story" on #CrimeBeatRadio

On August 29thDiary of a Motor City Hit Man: The Chester Wheeler Campbell Story, Chris Cippolini, author of Diary of a Motor City Hit Man: The Chester Wheeler Campbell Story, appears on Crime Beat Radio

Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Friday, August 23, 2013

"Boardwalk Empire" The Complete Third Season on Blu-ray!

It's New Year's Eve 1922 and the Roaring '20s are about to begin in earnest. Despite a booming economy, alcohol is scarce in Atlantic City, competition is at its fiercest and gangster violence is heating up. The 12-time Emmy® Award winning Boardwalk Empire is back on August 20, 2013 when the third season debuts on Blu-ray with HBO Select* and Digital Download. Hailed as "striking," (Time.com) with "first-rate performances" (USA Today), Boardwalk Empire: The Complete Third Season is jam-packed with exclusive bonus material and is not to be missed!

Nucky Thompson has become Atlantic City's undisputed czar during Prohibition and is facing the challenge of mending old relationships. While his marriage lies in shambles, he faces new competition from Gyp Rosetti, a hair-trigger gangster determined to siphon off his alcohol business. The conflict brings out the best and worst in Nucky, who proves his brutal mettle in a series of violent encounters, as new and familiar faces also undergo compelling metamorphoses.

Blu-ray Features (along with all DVD extras):

-American Empires: Prohibition did little to quench the country's thirst for alcohol, and proved to be a boon to the era's gangsters. Learn more about these gangsters, their influence, and their systems of distribution in this interactive compendium.

-Boardwalk Chronicle: Track the major players and locations within each episode, and learn more about the historical threads woven into the season three storyline with this interactive, in-feature guide.

-Newsreels: Explore some of the real-world events and historical figures that inspired Boardwalk Empire season three with these 24 exclusive featurettes.

Boardwalk Empire stars Steve Buscemi as Nucky Thompson; Kelly Macdonald as Margaret, Nucky's wife; Michael Shannon as federal agent Nelson Van Alden; Gretchen Mol as Gillian, Jimmy Darmody's mother; Shea Whigham as Nucky's estranged brother Elias; Michael Stuhlbarg as gangster Arnold Rothstein; Stephen Graham as gangster Al Capone; Vincent Piazza as gangster Lucky Luciano; Michael Kenneth Williams as Nucky's ally Chalky White, leader of the city's African-American community; Anthony Laciura as Eddie Kessler, Nucky's valet; Paul Sparks as gangster Mickey Doyle; Jack Huston as Richard Harrow, a disfigured war veteran; Charlie Cox as Owen Sleater, Nucky's right-hand man; Bobby Cannavale as Gyp Rosetti, Nucky's new foe; Arron Shiver as gangster Dean O'Banion; Christopher McDonald as U.S. Attorney General Harry Daugherty; Stephen Root as Gaston Means, a go-between for Nucky and Daugherty; and Meg Chambers Steedle as Billie Kent, Nucky's new mistress. Created by Terence Winter, the series is executive produced by Winter, Martin Scorsese, Mark Wahlberg, Stephen Levinson, Tim Van Patten and Howard Korder; co-executive producers, Eugene Kelly, Chris Haddock, Andrew Schneider, Diane Frolov, Rolin Jones; producers, Joseph Iberti, Rick Yorn; co-producer, Steve Kornacki; supervising producer, David Stenn.

Thursday, August 22, 2013

Gun Talk Television and Guns & Gear TV are Back!

From the Tom Gresham Truth Squad Newsletter:

Our two television series are on the air right now on Pursuit Channel. If you have Dish or DirecTV, you can get Pursuit. The shows (Gun Talk Television and Guns & Gear TV) also will air on Sportsman Channel beginning in January. Find the schedules, videos, and more at www.guntalktelevision and www.gunsandgeartv.com.

To see them now, just hop over to our YouTube channel at www.youtube.com/GunTalkTV. With all the smart TVs today, you can watch our shows (and First Person Defender) in HD on your home TV.

Wednesday, August 21, 2013

PGA Tour Pro Could be Next Republican Presidential Candidate

Mitt Romney spoke at a GOP fundraiser in New Hampshire where he urged the Republicans to nominate a presidential candidate who hates high taxes and can win. Everybody cheered. Phil Mickelson would be our third left-handed president in a row.

Marek Leszczynski, A Former Sales Broker Pleads Guilty in New York Federal Court in Connection with Securities Fraud Scheme

Marek Leszczynski, a former sales broker, pleaded guilty in New York federal court to conspiring with others to commit securities fraud and wire fraud, announced Preet Bharara, the U.S. Attorney for the Southern District of New York. Along with other individuals, Leszczynski defrauded clients of millions of dollars by misrepresenting the prices at which securities were bought and sold, thereby enabling his former employer to earn undisclosed trading profits and himself and his co-conspirators to be awarded lucrative bonuses. Leszczynski pleaded guilty before U.S. District Judge John F. Keenan this afternoon.

“Along with his cohorts, Marek Leszczynski sold his firm’s clients a bill of goods by repeatedly misrepresenting the prices of trade executions, all so he could increase firm profits and secure a hefty bonus,” said U.S. Attorney Bharara. “Ultimately, Leszczynski’s lies were exposed, and today’s conviction ensures he’ll be punished for his fraud.”

According to the complaint, the indictment, statements made during the plea proceeding, and other documents filed in Manhattan federal court:

From 2005 through December 2008, Leszczynski worked at a broker-dealer that was headquartered in London, England, with offices in Europe, Asia, and New York, New York (Broker-Dealer 1). Among other services offered, Broker-Dealer 1 bought and sold securities on behalf of institutional clients, such as commercial banks and investment firms, located throughout the United States and in various major European cities. Leszczynski worked as a sales broker for Broker-Dealer 1’s cash equity desk in New York. In that capacity, he was responsible for, among other things, receiving orders to buy or sell securities from Broker-Dealer 1’s clients, relaying those orders to traders who executed the trades, communicating with clients as their orders were being filled, and sending out trading confirmations back to the clients that showed the prices at which securities were bought or sold, including the commissions, if any, that Broker-Dealer 1 charged.

Instead of accurately recording and reporting the actual execution prices of the securities, Leszczynski and his co-conspirators, Chouchane and Condron, who worked alongside Leszczynski at Broker-Dealer 1, misrepresented the prices of trade executions. Where Broker-Dealer 1 received a buy order from a client, Leszczynski and his co-conspirators caused the purchase price of the security that would be reported back to the client to be “marked up” from its actual purchase price. Additionally, where Broker-Dealer 1 received a sell order from a client, Leszczynski and his co-conspirators caused the sale price of the security that would be reported back to the client to be “marked down” from its actual sale price. These markups and markdowns were not disclosed to Broker-Dealer 1’s clients and were separate and apart from the agreed-upon commissions that were disclosed on trading confirmations sent to Broker-Dealer 1’s clients.

As a result of this fraudulent scheme, Broker-Dealer 1 earned millions in undisclosed trading profits to which it was not entitled. Leszczynski and his co-conspirators were paid inflated bonuses.

Leszczynski, 44, of Miami, pleaded guilty to one count of conspiracy to commit securities fraud and wire fraud. He faces a maximum sentence of five years in prison, as well as a maximum fine of $250,000 or twice the gross gain or loss from the offense. In addition, Leszczynski has agreed to forfeit $1.5 million as part of his guilty plea. Leszczynski is scheduled to be sentenced before Judge Keenan on December 19, 2013.

Chouchane, 39, of New York City, pleaded guilty before Judge Keenan on June 12, 2013, to one count of conspiracy to commit securities and wire fraud. He is scheduled to be sentenced before Judge Keenan on October 24, 2013.

Condron, 34, of Yorktown Heights, New York, pleaded guilty before U.S. District Judge Naomi Reice Buchwald on October 5, 2012, to two counts of conspiracy to commit securities fraud and one count of securities fraud. Condron’s sentencing date is pending.

Mr. Bharara praised the investigative work of the FBI. He also thanked the U.S. Securities and Exchange Commission for their assistance.

This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a Co-Chair of the Securities and Commodities Fraud Working Group. The task force was established to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it is the broadest coalition of law enforcement, investigatory, and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state, and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions, and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.StopFraud.gov.

The case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Chi T. Steve Kwok is in charge of the prosecution.

The 20 Critical Moments That Changed the Way We Think About Crime

A website called Top Criminal Justice Schools has published an article about "The 20 Critical Moments That Changed the Way We Think About Crime." The piece offers a fascinating and free look at how law enforcement has evolved over the past century and the resulting impacts on society.

The topics chosen for the article are meant as a resource for students who are interested in criminal justice education. Critical moments on the list include:

  • Targeting the Mafia Through Tax Evasion Prosecution When Mafia gangsters ruled the streets, the Supreme Court ruled that their illegal income was taxable. Federal authorities gained a new weapon against organized crime.
  • The Failure of Alcohol Prohibition In the 1920s, U.S. authorities learned that some laws can create far more negative impacts than positive. Alcohol prohibition increased organized crime and caused many deaths and injuries from homemade alcohol.
  • The War on Drugs The U.S. war on drugs has been one of the most costly, deadly and fruitless attempts at law enforcement.
  • Advent of Social Media Social media provides untold advantages for law enforcement. Criminal activity is easier to observe, investigate and prevent.
  • Rise in Cyber Crime and the Development of the Computer Fraud and Abuse Act Laws against computer-related crimes were developed in the 1980s. The article asserts that further regulations are needed to reduce computer fraud.
  • Fight Against School Shootings Strict no-tolerance policies often force unreasonable punishments for minor violations, yet the incidents of school violence have not lessened.
  • Megan's Law, Jessica's Law, and the Sex Offender Registry The national Sex Offender Registry gives law enforcement better access to sexual offender information and greater capabilities to find and prosecute sexual criminals.
  • The Development of the Department of Homeland Security Several U.S. government and military agencies joined forces after 9/11 to share information and work in unison to avert terrorist attacks.
  • The USA Patriot Act The launch of the Patriot Act is another moment that changed the way we think about crime. The new law expanded the powers of domestic law enforcement to search private homes and properties without warrants.
  • The Rise of Private Prisons and the Questions of Cash Incentives This topic explores the scandal-ridden practice of privatized prisons. According to the article, prisons-for-profit are the cause of major corruption in the justice system. 
  • The Use of Drones in Domestic Law Enforcement The use of remote controlled drones for surveillance has become more and more common in the last decade.  While no known instances exist of weaponized drones in domestic use, the possibility has some American citizens and civil liberty experts on edge.
  • The NSA and Passive Data Collection Edward Snowden helped expose the NSA's all-encompassing data collection system that includes phone and Internet records for all American citizens.  The legality of the NSA program is still under question and has resulted in strong public backlash.


Tuesday, August 20, 2013

New National Language for the United States

The Department of Education vowed Friday to improve student test scores in public schools, which fell last year. Nothing reflects a country's prestige like the quality of its public education. The national language of the United States is now third-grade English.

The Mob Gets the Tax Man, @TheMobMuseum Receives Donation of Artifacts from the Estate of Famed IRS Investigative Chief Elmer Lincoln Irey

The Mob Museum, The National Museum of Organized Crime and Law Enforcement, recently added to its Archives a collection of artifacts related to U.S. Treasury Department official Elmer Lincoln Irey (1888–1948), famed chief of the U.S. Treasury Department’s law enforcement agencies. Active from 1919 until his retirement in 1946, Irey eventually oversaw the operations of the U.S. Secret Service, the IRS Intelligence Unit, U.S. Customs and the Bureau of Narcotics, the Alcohol Tax Unit and the U.S. Coast Guard.

Irey led investigations credited with the prosecution of many notorious mobsters, including Al Capone, Waxey Gordon, Leon Gleckman, Johnny Torrio, Enoch “Nucky” Johnson, Moe Annenberg, Tom Pendergast, Frank Nitti, Paul Ricca and Louis Campagna. He is also recognized for the capture of suspected Lindbergh baby kidnapper Bruno Hauptmann. The Irey artifacts, which include newspaper clippings, correspondence between Irey and Charles Lindbergh as well as Franklin D. Roosevelt, photographs and other records, were donated to the Museum by the Gridley family.

The Mob Museum Archives are available to scholars, researchers and working press on an appointment basis. Building an archival collection enables the Museum to serve as a resource for those working in the fields of organized crime and law enforcement.

“We’re extremely grateful to Carole Irey Gridley and the entire Irey family for donating this collection to the Museum,” said Jonathan Ullman, executive director and CEO, The Mob Museum. “Adding important materials such as these to the Museum’s Archives is one of our long-term priorities. Irey’s investigative work for the U.S. Treasury Department was instrumental in apprehending many of the early 20th century’s most infamous Mob figures.”

A new exhibition, including the Irey objects and artifacts, is in development at the Museum with its public opening expected to be announced next year.

Sunday, August 18, 2013

Micky Fawcett Discusses "Krayzy Days, The Story of Britain's Most Notorious Gangsters, The Krays" on #CrimeBeatRadio

On August 22nd, Micky Fawcett, author of Krayzy Days, the story of Britain's most notorious gangsters, the Krays appears on Crime Beat Radio.

Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Tuesday, August 13, 2013

Part chronicle of tragedy and heroism, part detective story, and part legal thriller - "City of Dust: Illness, Arrogance, and 9/11"

In City of Dust, Anthony DePalma offers the first full accounting of one of the gravest environmental catastrophes in United States history. The destruction on 9/11 of two of the world's largest buildings unleashed a vortex of dust and ash that blotted out the sun and has distorted science, medicine and public policy ever since. The likely dangers of 9/11's massive dust cloud were evident from the beginning, yet thousands chose not to see.

Why?

As the sickening results of exposure became evident, many still refused to recognize them.

Why?

The consequences are still being tallied in the wasted bodies and disrupted lives of thousands who gave their all when the need was greatest, but whose demands for justice have been consumed by years of politics and courtroom maneuvers.

Why?, separating reality from myth - and doing so with exceptional literary style and grace. DePalma covered Ground Zero for The New York Times for four years. DePalma introduces heroic firefighters, dedicated doctors and scientists, obsessive city officials, partisan politicians, aggressive lawyers, and compassionate judges and reveals the individual decisions that destroyed public trust, and the desperate attempts made to rebuild it. The dust that was the World Trade Center has changed everything it touched.

This is the story of that dust, the 9/11 disaster after the disaster, and what it tells us about ourselves and our future.

Sneak Peak #AmishMafia Video of the New Season of @AmishMafia




Nine Individuals Indicted in One of the Largest International Penny Stock Frauds and Advance Fee Schemes in History

Earlier today, the Federal Bureau of Investigation (FBI) arrested six men in New York, Arizona, New Jersey, Florida, and California for engaging in an international fraud conspiracy that spanned the globe from North America to Europe and Asia. A seventh defendant was also arrested today on a provisional arrest warrant in Ontario, Canada. The arrests resulted from an indictment charging nine defendants with 24 counts of securities fraud, wire fraud, and false personation of Internal Revenue Service (IRS) employees in connection with the sale of securities and conspiracy (the investigation showed that the identities used were fictitious and that no IRS employees were involved in the scheme). As set forth in court filings, the defendants masterminded securities fraud and advance fee schemes that victimized investors in approximately 35 nations and generated more than $140 million through various brokerage and bank accounts under their control. To uncover the international aspects of the scheme and gather evidence, the FBI used wiretaps in the United States and undercover agents in foreign countries.

The indictment and arrests are the result of one of the largest international penny stock investigations ever conducted by the Department of Justice and the FBI and mark the unveiling of a multi-year, ongoing investigation, which included significant assistance from the Royal Canadian Mounted Police (RCMP), as well as from other U.S. law enforcement agencies and law enforcement authorities in England, as well as assistance from Thailand and China.

The defendants are charged in two separate but interrelated schemes. According to the indictment, the defendants first engaged in an international "pump and dump" scheme during which they fraudulently "pumped up" the share price of worthless penny stocks and then "dumped" billions of shares of those stocks by unloading them on unsuspecting victim investors across the globe. Second, the defendants operated boiler rooms in at least four countries that induced investors in penny stocks, including many of the same victims from the pump and dump scheme, to pay advance fees that the defendants promised would enable the victim-investors to sell their penny stocks and recover losses that they incurred. In reality, the defendants simply stole the fees without providing any services, fraudulently extracting millions of additional dollars from their victims.

The charges and arrests were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York; George Venizelos, Assistant Director in Charge, FBI, New York Field Office; Toni Weirauch, Special Agent in -Charge, IRS, Criminal Investigation, New York; James C. Spero, Special Agent in Charge, Homeland Security Investigations, Department of Homeland Security, Buffalo; and Robert O’Malley, Special Agent in Charge, Treasury Inspector General for Tax Administration (TIGTA).

The Pump and Dump Scheme

As alleged in the indictment, defendants Sandy Winick, Gary Kershner, Joseph Manfredonia, Cort Poyner, Songkram Roy Shachaisere, and William Seals orchestrated one of the largest international penny stock frauds in history. First, the defendants gained controlling interests of huge quantities of worthless stock in 11 public companies known in the industry as "file cabinet businesses"—thinly traded companies with minimal assets and non-existent business operations, which in many cases were mere shell companies. They then pumped up the share prices of the companies’ stock by engaging in fraudulent and illegal sales campaigns, which included distributing false press releases, announcing non-existent business ventures and fake mergers, posting false information on social media sites and bribing stock promoters and brokers.

These efforts fraudulently inflated share prices so that the pump and dump defendants could trade billions of shares of penny stocks that they owned and controlled at a profit, ultimately generating more than $120 million worth of fraudulent stock sales in accounts under their control. As a result of the defendants’ efforts, investors in 35 countries were defrauded in connection with their purchase of the companies’ stock.

To avoid detection, the defendants, many of whom operated from outside the United States, were often careful to use “throwaway phones.” In fact, defendant Poyner was intercepted on a wire communication reminding others in the scheme to use such mobile devices to avoid being caught. The defendants also knew that they should not draw attention to their illegal trading scheme. For example, defendant Winick boasted about the superiority of the charged scheme compared to another more obvious scam, stating, “That deal is obviously a pump and dump. We know enough to be subtle.”

The Advance Fee Scheme

As the indictment alleges, defendants Winick, Gregory Curry, Kolt Curry, and Gregory Ellis perpetrated a second scheme in which they fraudulently induced penny stock victims to pay advance fees, on the promise that the victims would then either be able to sell their securities to other waiting investors or join lawsuits to reclaim their losses. In reality, the advance fees were nothing more than a con, as neither the investors nor the lawsuits existed. To hoodwink the penny stock owners, the advance fee defendants invented fake trading companies and a fake law firm and then posed as employees of those entities while soliciting advance fees from the penny stock victims.

To facilitate the scheme, the defendants established boiler rooms or call centers from which members of the conspiracy would solicit advance fees from the unsuspecting penny stock victims. The call centers were located in various locales around the world, including Canada, Thailand, and the United Kingdom. Recently, the defendants began planning to open a new call center in Brooklyn, New York. Some of the victims were told that they either needed to pay the advance fee to remove restrictions that were placed upon their penny stock, which prevented the victims from selling their stock in the market, or to join investors in a pending or anticipated lawsuit to recover losses that they incurred while owning the penny stock. Victims were then told that the advance fees were needed to convert the warrants of their stocks to a saleable security. In several instances, the advance fee defendants even pretended to be IRS employees collecting a bogus advance tax from victim investors before they could unload their penny stocks (the investigation showed that the identities used were fictitious and that no IRS employees were involved in the scheme). The victims were directed to send payment of the advance fees to banks around the world, including bank accounts in New York City. The fraud proceeds were then transferred through a funds transfer network located in Getzville, New York, to an account maintained in Beirut, Lebanon. Ultimately, these defendants generated more than $20 million in fraudulently obtained advance fees.

Defendant Kolt Curry described the advance fee scheme in the following way over an intercepted wire communication: “I would say that 100 percent of these stocks are like uh pink uh...just dumps...so...ya know they’re totally, they’re like, so a lot of these guys are dying...to get rid of this crap....The money is good, it’s easy. It’s easy money. Definitely easy money, and it’s good money.” In fact, while bragging about his prowess as a fraudster, defendant Kolt Curry further stated, “I had a guy send me a million dollars over one phone call....He actually sent me almost two million dollars over the period of the hit....I guess in the industry they coin it as a smash and grab.” As for the group’s recent plans to open a call center in Brooklyn, New York, defendant Kolt Curry said, “I tell you what man...hitting the Americans would be like taking money from a baby.”

“As alleged in the indictment, the defendants used our securities markets as a platform from which to run elaborate fraudulent schemes to victimize unsuspecting investors across the globe. Where others saw citizens of the world, the defendants saw a pool of potential marks. They cheated, lied, and swindled investors into buying billions of shares of worthless stock, then turned around and used a second scam to cheat those investors again. But today, the defendants were the marks, and it was law enforcement that ran the table,” stated United States Attorney Lynch. “As this case shows, we are committed to preserving the rule of law and protecting our investors and markets from fraud. I would like to thank our partners at FBI for their hard work on this important investigation.” Ms. Lynch also thanked the Royal Canadian Mounted Police, Financial Crime Intelligence Unit in Vancouver and the Integrated Market Enforcement Team in Toronto, the IRS, the Department of Homeland Security, TIGTA, and the Serious Organized Crime Agency in the United Kingdom. Throughout the course of the investigation, significant assistance was also provided by the United States Embassies in Ottawa, Toronto, London, Bangkok, and Beijing. Ms. Lynch also expressed her grateful appreciation to the Securities and Exchange Commission for its cooperation and assistance in the investigation.

FBI Assistant Director in Charge Venizelos stated, “As alleged in the indictment, the defendants overstated the value of penny stocks and sold them to unwitting investors worldwide. By tricking victims into paying advance fees with the promise of realizing larger gains or recovering losses, some of the defendants dipped into the pockets of those they had betrayed not once, but twice. The investing public has the right to trade in an uncorrupted market, and we have a responsibility to uphold the public’s confidence in the integrity of our financial markets. While the charges announced today are significant, they are but one example of what’s left to come as we continue to work with our partners in this ongoing investigation.”

“The criminals behind this scheme were shameless in heartlessly defrauding hundreds of victims out of their savings and retirement accounts for their own enrichment,” said James C. Spero, special agent in charge of Immigration and Customs Enforcement Homeland Security Investigations (HSI) in Buffalo. “HSI is committed to working with our partners at the FBI and the U.S. Attorney’s Office to hold these perpetrators accountable and recover as much money as possible for their victims.”

IRS Special Agent in Charge Weirauch stated, “Illegal activity in the investment industry continues to bring financial ruin to unsuspecting American investors. IRS-Criminal Investigation is proud to be part of the multi-agency team that stopped this international investment scam. We stand ready to bring our forensic accounting skills to the fight against other investment schemes and white-collar crimes.”

“Impersonation of an employee of the Internal Revenue Service is a violation of federal law,” said Robert E. O’Malley, Special Agent in Charge for the TIGTA. “Taxpayers should exercise extreme caution when contacted by individuals representing themselves as IRS employees and immediately verify those individuals’ employment by contacting the IRS through their website at www.irs.gov. If the individuals cannot be verified as IRS employees, they should immediately contact TIGTA.”

The defendants have been charged with one count of conspiracy to commit securities fraud, two counts of conspiracy to commit wire fraud, 15 counts of wire fraud, four counts of securities fraud, and two counts of false personation of an officer of the United States. If convicted, the defendants will face up to 20 years’ imprisonment for each count of conspiracy to commit wire fraud, substantive wire fraud and substantive securities fraud and up to five years’ imprisonment for conspiracy to commit securities fraud. The defendants face up to three years in prison for each count of false personation of an officer of the United States. In addition, all proceeds of fraudulent schemes are subject to forfeiture. The defendants will be presented for arraignment later today at the United States Courthouses in Brooklyn, New York; Los Angeles, California; Miami, Florida; and Tucson, Arizona. The defendants in Los Angeles, Miami, and Tucson are expected to be removed to Brooklyn.

The government’s case is being prosecuted by Assistant United States Attorneys Christopher A. Ott, Sylvia Shweder, and Melanie Hendry.

This prosecution was the result of efforts by President Barack Obama’s Financial Fraud Enforcement Task Force (FFETF), which was created in November 2009 to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ Offices, and state and local partners, it is the broadest coalition of law enforcement, investigatory, and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state, and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions, and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants. For more information on the task force, visit www.stopfraud.gov.

Defendants:

SANDY WINICK
Citizenship: Canada
Age: 55
Bangkok, Thailand

GREGORY CURRY
Citizenship: Canada
Age: 63
Bangkok, Thailand

KOLT CURRY
Citizenship: Canada
Age: 38
Ontario, Canada

GREGORY ELLIS
Citizenship: Canada
Age: 46
Ontario, Canada

GARY KERSHNER
Citizenship: United States
Age: 72
Tucson, Arizona

JOSEPH MANFREDONIA
Citizenship: United States
Age: 45
Tom’s River, New Jersey

CORT POYNER
Citizenship: United States
Age: 44
Boca Raton, Florida

SONGKRAM ROY SAHACHAISERE
Citizenship: United States
Age: 43
Huntington Beach, California

WILLIAM SEALS
Citizenship: United States
Age: 51
Fallbrook, California

It's Official, Federal Jury Convicts Whitey Bulger, Sentencing Set for November, Max Time is Life + 30 Years

Following a two-month long trial in U.S. District Court, a federal jury today convicted James J. Bulger, holding him responsible for the murder of 11 people, as well as numerous counts of extortion, money laundering, drug dealing, and firearms possession.

After deliberating for over 32 hours, over five days, the jury found the former fugitive guilty of racketeering conspiracy and numerous racketeering acts of murder, extortion, narcotics distribution, money laundering, and possession of firearms, including machine guns. With this verdict, the jury has found that Bulger played a role in the murders of Deborah Hussey, Paul McGonagle, Edward Connors, Thomas King, Richard Castucci, Roger Wheeler, Brian Halloran, Michael Donahue, John Callahan, Arthur Barrett, and John McIntyre.

Bulger, the former leader of the Winter Hill Gang, ran a vast criminal network that emanated from South Boston and controlled much of the city and the surrounding areas during the 1970s and 1980s. In order to generate money and maintain dominance among other criminal enterprises, Bulger and his associates engaged in numerous illegal activities such as loansharking, extortion of local business owners and bookmakers, trafficking of narcotics and firearms, and murder. Bulger, and associates under his direction, used violence, threats, and intimidation to carry out these illegal activities.

In late 1994, upon learning of his impending indictment, Bulger fled Massachusetts. On June 22, 2011, Bulger and his companion, Catherine Greig, were arrested in Santa Monica, California, after 16 years on the run. Greig was later convicted of conspiracy to harbor a fugitive and is currently serving eight years in federal prison.

U.S. District Court Judge Denise J. Casper scheduled sentencing for November 13. He faces a maximum of up to life, plus 30 years in prison.

United States Attorney Carmen M. Ortiz; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; William P. Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Michael E. Horowitz, Inspector General for the Department of Justice; Vincent Lisi, Special Agent in Charge of the FBI’s Boston Field Division; and U.S. Marshal John Gibbons made the announcement today.

The case was prosecuted by Assistant U.S. Attorneys Fred M. Wyshak, Jr., Brian T. Kelly, and Zachary Hafer of Ortiz’s Public Corruption and Special Prosecutions Unit.

Monday, August 12, 2013

Mathew Luzi Discusses His Book "The Boys in Chicago Heights: The Forgotten Crew of the Chicago Outfit" on #CrimeBeatRadio

On August 15th, Mathew Luzi, author of The Boys in Chicago Heights: The Forgotten Crew of the Chicago Outfit appears on Crime Beat Radio.

Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Sunday, August 11, 2013

Amir George Discusses His Book "Liberating Iraq: The Untold Story of the Assyrian Christians" on #CrimeBeatRadio

On August 15th, Amir George, author of Liberating Iraq: The Untold Story of the Assyrian Christians appears on Crime Beat Radio.

Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Friday, August 09, 2013

Two Men Indicted on Conspiracy to Obstruct Justice Charges in #BostonMarathonBombing Investigation

A federal grand jury returned a two-count indictment against two men previously charged with conspiracy to obstruct justice in the Boston Marathon bombing investigation.

Dias Kadyrbayev, 19, and Azamat Tazhayakov, 19, nationals of Kazakhstan who were residing in New Bedford on student visas, were charged today with conspiracy to obstruct justice and obstructing justice with the intent to impede the Boston Marathon bombing investigation. Kadyrbayev and Tazhayakov were originally charged on May 1, 2013 via criminal complaint.

Today’s indictment alleges that on the evening of April 18, 2013, after the FBI posted photographs of the two men suspected of carrying out the Marathon bombings (who were later identified as Tamerlan Tsarnaev and Dzhokhar Tsarnaev), Kadyrbayev received a text message from Dzhokhar Tsarnaev suggesting that he go to Tsarnaev’s “room and take what’s there.” Kadyrbayev, Tazhayakov, and another conspirator, according to the indictment, then went to Tsarnaev’s dormitory room and removed several items, including Tsarnaev’s laptop computer and a backpack containing fireworks, and brought them to Kadyrbayev and Tazhayakov’s apartment in New Bedford. Later that night, Kadyrbayev, with Tazhayakov’s knowledge and agreement, placed Tsarnaev’s backpack, which contained several items, including fireworks, in a garbage bag and put it in a trash dumpster outside their New Bedford apartment.

If convicted, Kadyrbayev and Tazhayakov face up to 20 years in prison on the obstruction of justice count and up to five years in prison on the conspiracy count, each to be followed by up to three years of supervised release and a $250,000 fine. Both face the possibility of being deported.

U.S. Attorney Carmen M. Ortiz and Vincent B. Lisi, Special Agent in Charge of the Federal Bureau of Investigation’s Boston Field Division, made the announcement today. This investigation was conducted by the FBI’s Boston Division, the Massachusetts State Police, and member agencies of the Boston Joint Terrorism Task Force (JTTF), which is composed of more than 30 federal, state, and local enforcement agencies. The University of Massachusetts Dartmouth Department of Public Safety, the City of New Bedford, New Bedford Police Department, Dartmouth Police Department, U.S. Department of Transportation-Office of Inspector General, U.S. Treasury Inspector General for Tax Administration (TIGTA), Essex County Sheriff’s Office, and Internal Revenue Service-Criminal Investigations provided assistance in this investigation.

The case is being prosecuted by Assistant U.S. Attorneys B. Stephanie Siegmann and John A. Capin of Ortiz’s Anti-Terrorism and National Security Unit with the assistance of the Counterterrorism Section of the Justice Department’s National Security Division.

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

Alan Beiler of the #AmishMafia Receives Prison Sentence

A Pennsylvania man who stars in the Discovery Channel show "Amish Mafia" has been sentenced to three to 23 months in prison for leading police on a chase that injured a state trooper last summer.

Thirty-five-year-old Alan Beiler received the sentence Thursday in Perry County Court.

Police say the Lancaster County resident led them on a chase after they tried to stop him for an expired car registration. They say he drove against traffic and caused a pursuing state trooper to crash and suffer a concussion.

Beiler pleaded guilty in May to charges of attempting to elude police, drug possession and driving with a suspended license.

Defense attorney Mark Forrest Walmer says his client has turned around his life and has been drug-free for a year.

The show provides a look at the men who protect an Amish community.

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