Dec. 1, 2022

New York Man Sentenced to Three Years in Prison for Conspiring to Traffic in Stolen Goods Worth More Than $1 Million

A Staten Island, New Yark, man who conspired with others to traffic in stolen goods and merchandise was sentenced today to 36 months in prison, U.S. Attorney Philip R. Sellinger announced.

Nov. 30, 2022

Texas Man Pleads Guilty to Lying About Origin of Chinese-Made Products

A Grand Prairie man pleaded guilty Wednesday to lying to the federal government about where his company's products were manufactured, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham. Suhaib Allababidi, 45, pleaded guilty to one count of conspiracy to defraud the United States. His company, 2M Solutions Inc., pleaded guilty to one count of conspiracy to defraud the United States and one count of filing false or misleading export information.

Nov. 29, 2022

Two Owners of New Jersey Pharmaceutical Marketing Company Admit Role in $38 Million Compounding Fraud Scheme

Two owners of a New Jersey pharmaceutical marketing company admitted their roles in a $38 million compounded medication health care fraud scheme, U.S. Attorney Philip R. Sellinger announced. Samantha Zaretzky, 4 2, of Wayne, New Jersey, and Lee Nichols, 4 3, of Fair Haven, New Jersey, pleaded guilty by videoconference before U.S. District Judge John Michael Vazquez to separate informations charging each with one count of conspiracy to commit health care fraud.

Nov. 29, 2022

Government Contractor Agrees to Pay $8.4 Million to Resolve Claims Related to its Failure to Disclose Cost or Pricing Data

The Department of Justice announced today that PowerSecure, Inc. (PowerSecure), located in Durham, North Carolina, has agreed to pay $8.4 million to resolve allegations that it violated the False Claims Act arising from its failure to provide certified cost or pricing data when negotiating rates with the U.S. Army Corps of Engineers (USACE) in connection with a sole source contract for the repair and restoration of Puerto Rico's power grid following the damage caused by Hurricane Maria in September 2017.

Nov. 23, 2022

Orange County Pharmacist Found Guilty of 22 Felonies for Her Role in $11 Million Scheme to Defraud the U.S. Military's Health Care Plan

A licensed Orange County pharmacist has been found guilty by a jury of nearly two dozen federal criminal charges for her role in a health care fraud scheme in which more than 1,000 bogus prescriptions for compounded medications were filled, costing Tricare, the U.S. military's health care plan, more than $11 million in losses, the Justice Department announced today.

Nov. 18, 2022

Doctor Sentenced for Accepting Illegal Kickback Payments in Return for Writing Prescriptions for Compounded Drugs, Will Pay $3.1 Million in Civil Settlement

A doctor licensed in Virginia, Maryland, and elsewhere was sentenced today to 3 years for writing and referring compounded drug prescriptions in return for illegal kickback payments. The doctor previously entered into a civil settlement with the Government that requires him and the company he owned to pay $3.1 million.

Nov. 18, 2022

Defense contractor pleads guilty to providing fraudulent parts to military

A California man pleaded guilty in U.S. District Court in Columbus to crimes related to supplying the military with faulty parts.

Nov. 9, 2022

Three Arrested for Illegal Scheme to Export Controlled Data and Defraud the Department of Defense

A federal indictment was unsealed today following the arrest of three defendants and their initial appearances in the U.S. District Court in the Western District of Kentucky. According to court documents, Phil Pascoe, 60, of Floyds Knobs, Indiana; Monica Pascoe, 4 5, of Floyds Knobs, Indiana; Scott Tubbs, 59, of Georgetown, Kentucky; and Quadrant Magnetics LLC are charged with wire fraud, violations of the Arms Export Control Act, and smuggling of goods for their roles in an illegal scheme to send export-controlled defense-related technical data to China and to unlawfully supply U.S. Department of Defense (DOD) with Chinese-origin rare earth magnets for aviation systems and military items.

Nov. 7, 2022

Insulation Contracting Firm Sentenced for Rigging Bids

Axion Specialty Contracting LLC (Axion) was sentenced to pay a $1,001,989 criminal fine and $313,121 in restitution on Nov. 4 in Bridgeport, Connecticut, for its participation in a bid-rigging scheme targeting public and private entities in Connecticut. This is the third sentencing arising out of a long-running investigation into the insulation contracting industry.

Nov. 1, 2022

Four Defendants Charged in Multi-Million Dollar National Coronavirus Fraud Ring

Four defendants have been charged in the District of South Carolina for their alleged roles in a fraud scheme related to the Coronavirus Aid, Relief, and Economic Security's Paycheck Protection Program (PPP) that involved nearly a hundred individuals from across the country including Texas, North Carolina, and South Carolina.