U.S. Department of Labor OIG, U.S. Attorney Announces Results Of Multi-Faceted Strategy To Combat Fraud Related To COVID-19 (USAO MD-FL 10/18/2022) (2022-10-27)
Summary
A press release from the U.S. Attorney's Office, Middle District of Florida, dated October 18, 2022, in which U.S. Attorney Roger B. Handberg announces the district's results against COVID-19 fraud for fiscal year 2022. It states that the Middle District of Florida COVID-19 Fraud Task Force, formed in March 2020, has prosecuted more than 40 defendants who collectively sought to defraud the United States of over $52 million. Examples include Marqus Johnson, who pleaded guilty to bank fraud and illegal monetary transactions after fraudulently obtaining $544,900, and Julio Lugo, sentenced on July 28, 2022 for conspiracy to commit money laundering, with a $4.4 million forfeiture money judgment. It reports forfeiture of more than $14.3 million of EIDL, UI and PPP funds and charts pending, adjudicated and sentenced cases by division.
Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used
Cite this document
“U.S. Department of Labor OIG, U.S. Attorney Announces Results Of Multi-Faceted Strategy To Combat Fraud Related To COVID-19 (USAO MD-FL 10/18/2022) (2022-10-27).”
Original at www.oig.dol.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/u-s-department-of-labor-oig-u-s-attorney-announces-results-of-multi-fa-9cf76f00eb/
, SHA-256 738eea32cd9af92983ac60ddb3651609bb95b779c59b85d84887378e93602a59.Full text
Department of Justice
U.S. Attorney’s Office
Middle District of Florida
FOR IMMEDIATE RELEASE Tuesday, October 18, 2022
U.S. Attorney Announces Results Of Multi-Faceted Strategy
To Combat Fraud Related To COVID-19
Tampa, FL – United States Attorney Roger B. Handberg announces the results achieved by the
Middle District of Florida’s efforts to combat fraud related to COVID-19 during fiscal year 2022,
ending September 30, 2022. Those efforts have included complementary actions by the Criminal,
Asset Recovery, and Civil Divisions, along with federal, state, and local law enforcement agencies.
“The U.S. Attorney’s Office will continue to work with its law enforcement partners to protect the
integrity of government programs established to provide relief for those impacted by the COVID-19
pandemic,” said U.S. Attorney Handberg. “Those who seek to exploit these programs and further
harm victims should beware. We will prosecute them to the fullest extent of the law.”
On the criminal-enforcement front, the United States Attorney’s Office and federal, state, and local
law enforcement agencies joined together in March 2020 to form the Middle District of Florida
COVID-19 Fraud Task Force to identify, investigate, and prosecute fraud related to the ongoing
COVID-19 pandemic. Since its inception, the task force has prosecuted more than 40 defendants for
fraud schemes designed to exploit federal programs created or expanded to address the COVID-19
pandemic, including the Paycheck Protection Program (“PPP”), Economic Injury Disaster Loans
(“EIDL”), Unemployment Insurance (“UI”), the Main Street Lending Program (“MSLP”), and the
Emergency Rental Assistance Program (“ERAP”). These cases and matters involve diverse schemes,
from traditional healthcare fraud involving COVID-19 programs, to violent gangs using
unemployment insurance fraud proceeds to operate their narcotics businesses. These defendants
collectively sought to defraud the United States of over $52 million. Over thirty of those defendants
have already been found guilty, while prosecution remains pending against nine defendants. (See
chart for criminal case details.)
For example, on September 15, 2022, Marqus Johnson (40, Tampa) pleaded guilty to a 9-count
Information charging him with bank fraud and illegal monetary transactions. Johnson formed and
operated two corporate entities—All American Health, LLC and Next Level Health & Transportation,
LLC—that purportedly were engaged in health care-related transportation services. In April and
June 2020 and January 2021, Johnson use false and fraudulent representations to apply for a total
of seven SBA-backed loans (one PPP loan and six EIDL) and received loan funding in connection
with three of the loan applications. Based on his false representations, Johnson fraudulently
obtained $544,900, including a $375,000 PPP loan.
In another matter, Julio Lugo (45, Davenport), a convicted felon on federal supervised release,
conspired with others to steal nearly $6 million from the SBA’s PPP and EIDL programs and launder
the proceeds of those stolen funds. Lugo pleaded guilty conspiracy to commit money laundering and
was sentenced to more than nine years in federal prison on July 28, 2022. The court also imposed a
forfeiture money judgment in the amount of $4.4 million and entered an order of restitution in the
amount of $4.8 million.
The Middle District of Florida has been at the forefront of addressing the complex issues that arise
out of investigating and charging frauds relating to new government programs. The Fort Myers
Division, for example, was the first office in the country to take a COVID-19 fraud case to trial
in United States v. Casey Crowther. Crowther was found guilty and sentenced to more than three
1
years in federal prison. The Orlando Division meanwhile handled the country’s first COVID-19 fraud-
related extradition in United States v. Don V. Cisternino. Cisternino recently pleaded guilty to wire
fraud, aggravated identity theft, and illegal monetary transactions related to his scheme to secure
more than $7.2 million in emergency funds through a PPP loan.
Further, the Asset Recovery Division and federal seizing agencies have completed the forfeiture of
more than $14.3 million of EIDL, UI, and PPP funds that were fraudulently obtained, depriving the
fraudsters of their ill-gotten gains and recovering the proceeds for the victims. More than $8.5
million in additional pandemic fraud proceeds have been seized and are pending civil or criminal
forfeiture.
The Attorney General has established the COVID-19 Fraud Enforcement Task Force to marshal the
resources of the Department of Justice in partnership with agencies across government to enhance
efforts to combat and prevent pandemic-related fraud. For more information on the department’s
response to the pandemic, please visit https://www.justice.gov/coronavirus.
Through the PPP, the federal government authorized over $600 billion in forgivable loans to small
businesses for job retention and certain other expenses through the PPP. The EIDL program
provides economic relief to small businesses that are currently experiencing a temporary loss of
revenue. The MSLP provided support to small and medium-sized businesses and their employees
across the United States during the COVID-19 pandemic. UI programs provided unemployment
benefits to eligible workers who became unemployed through no fault of their own.
The criminal cases charged by the Middle District of Florida COVID-19 Fraud Task Force have been
investigated by the Federal Bureau of Investigation, United States Secret Service, Internal Revenue
Service—Criminal Investigation, Department of Labor—Office of Inspector General, U.S. Postal
Service, Federal Housing Finance Agency, Small Business Administration, Federal Deposit Insurance
Corporation—Office of Inspector General, Homeland Security Investigations, Bureau of Alcohol,
Tobacco, Firearms and Explosives, Special Inspector General for Pandemic Recovery, Federal
Reserve Board – Office of Inspector General, Metropolitan Bureau of Investigation, the Tampa Police
Department, the Orlando Police Department, the Manatee County Sheriff’s Office, the Hillsborough
County Sheriff’s Office, the Sarasota County Sheriff’s Office, the Winter Park Police Department, the
Osceola County Sheriff’s Office, the Seminole County Sheriff’s Office, and the Orange County
Sheriff’s Office. The cases are being prosecuted by Assistant United States Attorneys throughout the
Middle District of Florida.
The Department of Justice needs the public’s assistance in remaining vigilant and reporting
suspected fraudulent activity. To report suspected fraud, contact the National Center for Disaster
Fraud (NCDF) at (866) 720-5721 or file an online complaint at: https://www.justice.gov/disaster-
fraud/webform/ncdf-disaster-complaint-form. Complaints filed will be reviewed at the NCDF and
referred to federal, state, local, or international law enforcement or regulatory agencies for
investigation.
An indictment is merely a formal charge that a defendant has committed one or more violations of
federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
Intended
Charge(s)
Type of Loss
Defendant(s) (Age)
Fraud*
Max. Imprisonment
Amount
2
Tampa Division
Wire fraud
Joseph Abdo (39) Maximum Prison Term: 20 Years
PPP $500k
Illegal monetary transactions
Maximum Prison Term: 10 Years
Wire fraud
Jorge Gutierrez Echeverria
EIDL $150k
(33)
Maximum Prison Term: 20 Years
Wire fraud
Maximum Prison Term: 20 Years
Bank fraud
Alexander Leszczynski (22) PPP $200k
Maximum Prison Term: 30 Years
Illegal monetary transactions
Maximum Prison Term: 10 Years
Bank fraud
Charles Cunningham (72) PPP $800K
Maximum Prison Term: 30 years
These COVID Fraud cases from the Tampa Division are being handled by AUSAs Rachel Jones, Greg
Pizzo, Candace Rich, Diego Novaes, and Jennifer Peresie
Orlando Division
Possession of device-making
equipment
Brian Blake (30)
Maximum Prison Term: 15 Years
PPP/UI $832k
Access device fraud
Maximum Prison Term: 10 Years
3
Aggravated identity theft
Maximum: Prison Term: Two
Years Consecutive
Wire fraud
Emmet Bowens (53) Maximum Prison Term: 20 Years
PPP $740k
Illegal monetary transactions
Maximum Prison Term: 10 Years
These COVID Fraud cases from the Orlando Division are being handled by AUSAs Chauncey Bratt
and Amanda Daniels
Jacksonville Division
Wire fraud
Jacob Byrd PPP $20K
Maximum Prison Term: 20 Years
This COVID Fraud case from the Jacksonville Division is being handled by AUSA Kevin Frein
Fort Myers Division
Mail fraud
Venera Price (45) ERAP $82K
Maximum Prison Term: 20 Years
This COVID Fraud case from the Fort Myers Division is being handled by AUSA Yolande Viacava
Ocala Division
Wire Fraud (14 counts)
Lavelle Harris (36) PPP $1.2M
Maximum Prison Term: 20 Years
per count
4
This COVID Fraud case from the Ocala Division is being handled by AUSA Hannah Nowalk
Adjudicated Cases
Tampa Division
Conspiracy to commit money
Keith Nicoletta (49) laundering
PPP $1.9M
Maximum Prison Term: 20
Years
Conspiracy to commit money
Rosenide Venant (37) laundering $413k
EIDL/PPP
Maximum Prison Term: 20
Years
Racketeering conspiracy
Maximum Prison Term: 20
Years
Aggravated identity theft
Keaujay Hornsby (26) UI $3M
Maximum Prison Term: Two
Years Consecutive
Access device fraud
Maximum Prison Term: 10
Years
Racketeering conspiracy
Maximum Prison Term: 20
Years
Kareem Spann (27) Aggravated identity theft UI $3M
Maximum Prison Term: Two
Years Consecutive
Access device fraud
5
Maximum Prison Term: 10
Years
Conspiracy to commit wire fraud
Maximum Prison Term: 5 Years
Wire fraud
Melinda Hernandez (33)
Maximum Prison Term: 20 UI $1.5M
Years
Aggravated identity theft
Maximum: Prison Term: Two
Years Consecutive
Conspiracy to commit bank fraud
Maximum Prison Term: 30
Richard Simpkins (47) Years
PPP $1.9M
Illegal monetary transactions
Maximum Prison Term: 10
Years
Conspiracy to commit wire fraud
Maximum Prison Term: 5 Years
Wire fraud
Steve Moodie (33)
Maximum Prison Term: 20 UI $1.5M
Years
Aggravated identity theft
Maximum: Prison Term: Two
Years Consecutive
Bank fraud
Maximum Prison Term: 30
Marqus Willard Johnson PPP $500K
Years
Money laundering
6
Maximum Prison Term: 20
Years
These COVID Fraud cases from the Tampa Division are being handled by AUSAs Rachel Jones,
Tiffany Fields, John Michelich, and Greg Pizzo
Orlando Division
Conspiracy to commit wire fraud
Maximum Prison Term: 20
Years
Aggravated identity theft
Daniel Johnson (34) UI $2.3M
Maximum Prison Term: Two
Years Consecutive
Unlawful transfer of firearm
Maximum Prison Term: 5 Years
Conspiracy to commit wire fraud
and other offenses while on
Joel Greenberg (37) pretrial release EIDL $430k
Maximum Prison Term: 15 Years
Conspiracy to commit wire fraud
$730k
and other offenses
Teresa McIntyre (55) EIDL
Maximum Prison Term: 5 Years
Wire fraud
Maximum Prison Term: 20 $7.2M
Years
Don Cisternino (46)
Illegal Monetary Transactions PPP
Maximum Prison Term: 10
Years
Aggravated Identity Theft
7
Maximum Prison Term: Two
Years Consecutive
This COVID Fraud cases from the Orlando Division are being handled by U.S. Attorney Roger
Handberg and AUSAs Chauncey Bratt, Amanda Daniels, Jennifer Harrington, and Dana Hill
Fort Myers Division
Wire fraud
Maximum Prison Term: 20
Years
Bank fraud
Maximum Prison Term: 30
Years
Money laundering
Daniel Joseph Tisone (34)
Maximum Prison Term: 10 PPP/EIDL/MSLP $2.6M
Years
Aggravated Identity Theft
Maximum Prison Term: 2 Years
Consecutive
Possession of Ammunition by a
Prohibited Person
Maximum Prison Term: 10
Years
Wire fraud
Liliana Gonzalez (31)
PPP $169k
Maximum Prison Term: 20
Years
These COVID Fraud cases from the Fort Myers Division are being handled by AUSAs Trent
Reichling and Jesus M. Casas
Sentenced Cases
8
Tampa Division
Wire Fraud
Louis Thornton, III (63)
EIDL/PPP $815k
Sentence Imposed: 42 months in
federal prison
Conspiracy to commit access
device fraud and aggravated
identity theft
Kary Stevenson (48)
Sentence Imposed: 5 years, 10
Corey Quinn (35) UI $1M
months in federal prison
(Stevenson)
Sentence Imposed:7 years in
federal prison (Quinn)
Bank fraud
Bridgitte Keim (52)
PPP $588k
Sentence Imposed: 2 years in
federal prison
Conspiracy to commit wire fraud
Wayne Ganaway (47)
EIDL $300k
Sentence Imposed: 4 years in
federal prison
Racketeering conspiracy,
aggravated identity theft, access
device fraud
Eriaius Bentley (29) UI $3M
Sentence Imposed: One year in
federal prison
Access device fraud, Aggravated
Rolanda Wingfield (39) identity theft $135k
UI
Sentenced Imposed: 3 years in
federal prison
Racketeering conspiracy,
Tywon Spann (25) aggravated identity theft, access UI $3M
device fraud
9
Sentence Imposed: 6 years and 9
months in federal prison
Wire fraud, aggravated identity
Randy Jones (34) theft
EIDL/UI $250k
Sentence Imposed: 5 years and 1
month in federal prison
Conspiracy to commit money
Julio Lugo (45) laundering
EIDL/PPP $4.4M
Sentence Imposed: 7 years and 6
months in federal prison
These COVID Fraud cases from the Tampa Division were handled by AUSAs Rachel Jones, Greg
Pizzo, Tiffany Fields, Diego Novaes, and SAUSA Chris Poor
Orlando Division
Possession of short-barreled
rifle; felon in possession of $10k
Jacquavius Smith (21) firearm; and aggravated identity
theft PPP
Sentence Imposed: 7 years, 1
month in federal prison
Wire fraud
Johnson Eustache (40)
EIDL/PPP $2.2M
Sentence Imposed: 5 years in
federal prison
Conspiracy to commit wire fraud
Joseph Harrison (43)
UI $2.1M
Sentence Imposed: 12 months in
federal prison
Tomas Ziupsnys (39) Conspiracy to commit bank
fraud; bank fraud; aggravated PPP $2M
identity theft
10
Sentence Imposed: 5 years in
federal prison
Conspiracy to commit bank fraud
Holly Urban (36)
PPP $1.5M
Sentence Imposed: 30 months in
federal prison
These COVID Fraud cases from the Orlando Division were handled by AUSAs John Gardella,
Amanda Daniels, Chauncey Bratt, Emily Chang, and Jennifer Harrington
Fort Myers Division
Bank fraud, false statement to a
financial institution, illegal
Casey Crowther (36)
monetary transaction
PPP $2.7M
Sentence Imposed: 3 years, 1
month in federal prison
Conspiracy to commit wire fraud
Wire fraud
Conspiracy to commit money
laundering
Anthony Bruey (36)
Illegal monetary transactions
Amber Bruey (35) PPP/EIDL $881k
Sentence Imposed:
Anthony Bruey: 4 years, 3
months in federal prison
Amber Bruey: 4 years in federal
prison
False statement to a lending
Edrica Leann Watson (30) institution
PPP $392k
Sentence Imposed: 15 months in
federal prison
11
These COVID Fraud cases from the Fort Myers Division were handled by AUSA Trent Reichling and
AUSA Jesus M. Casas
Types of Fraud*
Economic Injury Disaster Loan (EIDL)
Paycheck Protection Program (PPP)
Unemployment Insurance (UI)
Main Street Lending Program (MSLP)
Emergency Rental Assistance Program (ERAP)
Topic(s):
Coronavirus
Disaster Fraud
Financial Fraud
Component(s):
USAO - Florida, Middle
Updated October 18, 2022
12
File and source
- File
- 2022-10-27-U-S-Attorney-Announces-Results-Of-Multi-Faceted-Strategy-To-Combat-Fraud-Related-To-COVID-19-USAO-M.pdf
- Size
- 192,900 bytes
- SHA-256
- 738eea32cd9af92983ac60ddb3651609bb95b779c59b85d84887378e93602a59
- Original
- www.oig.dol.gov