Four Arrested, More Than $1.2m Seized in Federal, State Investigation

Summary

A press release of the U.S. Attorney's Office, District of Rhode Island, dated Wednesday, October 14, 2020, announcing that four individuals were arrested in Florida and more than $1.2 million dollars in cash seized in a joint federal and state investigation into fraudulent unemployment insurance claims submitted to the Rhode Island Department of Labor and Training. It names Allen Bien-Aime, James Legerme, Junior Mertile, Tony Mertile and Irvin Vilneus, and states that Allen Bien-Aime had yet to be apprehended. The release states that the five defendants were each charged by federal criminal complaints with offenses including bank fraud, wire fraud, money laundering and aggravated identity theft. It states that a federal criminal complaint is merely an accusation and quotes United States Attorney Aaron L. Weisman.

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                                        Department of Justice

                                          U.S. Attorney’s Office

                                         District of Rhode Island

FOR IMMEDIATE RELEASE                                                      Wednesday, October 14, 2020

  Four Arrested, More Than $1.2m Seized in Federal, State
Investigation into CARES Act Unemployment Benefits Fraud
                      in Rhode Island
PROVIDENCE – Four individuals in Florida have been arrested and more than $1.2 million dollars
in cash has been seized in a wide-ranging, ongoing joint federal and state investigation into a
significant number of fraudulent unemployment insurance claims submitted to the Rhode Island
Department of Labor and Training (RIDLT), and elsewhere, for benefits funded in part by the
Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act was passed by
Congress to assist, among others, individuals whose employment has been impacted by the
pandemic.

On Tuesday, four individuals were arrested in the Southern District of Florida by Rhode Island-
based FBI and IRS agents. A fifth defendant, Allen Bien-Aime, 29, of Lehigh Acres, has yet to be
apprehended.

At the time of the arrests, court-authorized searches resulted in the seizure of more than $1.2 million
dollars in cash, several hundred debit cards in the names of individuals whose identities were
allegedly stolen, a large collection of high-end jewelry, and six firearms.

According to court documents, it is alleged that Allen Bien-Aime, 29, of Lehigh Acres, James
Legerme, 29, of Sunrise, Junior Mertile, 30, of Pembroke Pines, Tony Mertile, 28, of Miramar, and
Irvin Vilneus, 28, of North Lauderdale, were involved in complex schemes to use stolen personal
identifying information belonging to Rhode Islanders, and others, to apply online for unemployment
benefits, and to have those benefits direct deposited into one of many bank accounts opened
expressly for receiving fraudulently obtained unemployment insurance benefit payments, as well as
fraudulently obtained federal and state tax refunds.

It is alleged that, using stolen personal identifying information, at least three of the individuals filed
fraudulent applications with RIDLT or other state unemployment systems to obtain unemployment
benefits. All five are alleged to have withdrawn fraudulently obtained funds shortly after the funds
were deposited and posted to bank accounts in the names of other individuals.

“As today's announcement makes clear, there are serious, criminal, consequences to making use of
stolen personal identification information, filing fraudulent applications for unemployment
insurance, and withdrawing such fraudulently obtained funds for one's own, unlawful, benefit,” said
United States Attorney Aaron L. Weisman. “The federal government, with its many dedicated
components and with the invaluable assistance of our state and local law enforcement partners, is
committed to and will spare no effort in ensuring that unemployment insurance funds not be
fraudulently misdirected by scammers and away from the hardworking Rhode Islanders entitled to
and deserving of unemployment benefits.”

“What these individuals are accused of doing is absolutely despicable. They cashed in on a public
health crisis by allegedly stealing the identities of innocent victims and unemployment benefits that
are a lifeline for thousands of Rhode Islanders trying to feed their families,” said Joseph R.
Bonavolonta, Special Agent in Charge of the FBI Boston Division. “It’s critical that every dollar spent
goes to someone who actually needs it, and not to con artists trying to cheat the system. That’s why
the FBI and our law enforcement partners will not stop until everyone responsible has been
identified and brought to justice.”

“When people collect benefits they aren’t entitled to, as is alleged here, they reduce the amount of
benefits that are available to those who are eligible and who really need them,” said Attorney General
Peter F. Neronha. “These defendants’ alleged conduct sought to defraud the government during a
crucial time as it provided assistance to struggling Rhode Islanders. That’s why this work is
important, and that's why we do it.”

Colonel James M. Manni, Superintendent of the Rhode Island State Police and Director of the
Department of Public Safety stated, “During a time when life was brought to a standstill by an
unprecedented pandemic, these individuals chose to prey on the most vulnerable and those in need
of the government’s assistance. Their indiscriminate criminal actions affected tens of thousands of
Americans and the full weight of Federal, State and Local investigative forces was used to bring them
to justice.”

“Investigating fraud involving the Unemployment Insurance Program is an important part of the
mission of the U.S. Department of Labor Office of Inspector General, particularly now when our
nation is providing billions of dollars in unemployment benefits to American workers in need due to
the economic effects of the COVID-19 pandemic. The Office of Inspector General will continue to
work with our law enforcement partners to vigorously investigate unemployment insurance fraud,”
stated Michael C. Mikulka, Special Agent-in-Charge, New York Region, U.S. Department of Labor
Office of Inspector General.

“Stealing funds designated to help American taxpayers during the COVID pandemic is both
disgraceful and criminal,” stated Acting Special Agent in Charge Joleen Simpson of the Internal
Revenue Service-Criminal Investigation Division. “Today’s arrests exemplify IRS-CI’s commitment
to provide resources to combat COVID related fraud and to work jointly with our law enforcement
partners in pursuit of this endeavor.”

The five defendants, each charged by way of federal criminal complaints with bank fraud, wire fraud,
conspiracy to commit bank and wire fraud, access device fraud, money laundering, conspiracy to
commit money laundering, aggravated identity theft, theft of public money, conspiracy to commit
theft of public money, conspiracy to commit access, conspiracy to commit access device fraud, and
conspiracy to commit aggravated identity theft, were arrested without incident and have made initial
appearances in U.S. District Courts in Florida. The defendants will appear in U.S. District Court in
Providence on dates yet to be determined.

A federal criminal complaint is merely an accusation. A defendant is presumed innocent unless and
until proven guilty.

Tony Mertile, Junior Mertile, James Legerme, and Irvin Vilneus made their initial appearances in
Magistrate Court this morning in the Southern District of Florida. They have been detained in
custody pending further proceedings scheduled for Monday, October 26.

The case is being prosecuted in U.S. District Court by Assistant U.S. Attorneys Denise M. Barton and
Stacey P. Veroni and Rhode Island Assistant Attorney General John M. Moreira, chief of the Rhode
Island Attorney General’s Public Integrity Unit.

This ongoing investigation is being conducted by the United States Attorney’s Office, Rhode Island
Department of the Attorney General, Federal Bureau of Investigation, Rhode Island State Police,
Internal Revenue Service Criminal Investigations, and the Department of Labor – Office of Inspector
General, with substantial assistance from the United States Postal Inspection Service, United States
Secret Service, and United States Social Security Administration, Office of Inspector General/Office
of Investigations.

United States Attorney Aaron L. Weisman, Rhode Island Attorney General Peter F. Neronha and FBI
Boston Division Special Agent in Charge Joseph R. Bonavolonta thank the Miami Division of the FBI
and the Fort Myers Resident Agency of the FBI Tampa Division for assistance they provided to the
FBI’s Complex Financial Crimes Unit in the arrest of the defendants, and the U.S. Marshal Service in
Florida for their assistance detaining the defendants.

United States Attorney Weisman extends his gratitude to the United States Attorneys and
prosecutors in the Middle District of Florida and the Southern District of Florida for their assistance.

Rhode Islanders who believe their personal identification has been stolen and used to fraudulently
obtain unemployment benefits from the RIDLT are urged to contact the Rhode Island State Police
at financialcrimes@risp.gov or the FBI Providence office at (401) 272-8310.


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