Miami-Area Residents Mayelin Santoyo and Jose Martin Olivares Indicted by a Federal Grand Jury for Alleged Roles in $190 Million Medicare Fraud Scheme

October 1, 2013

The Federal Bureau of Investigation on September 27, 2013 released the following:

“WASHINGTON—Two Miami-area residents were indicted in connection with their alleged participation in a $190 million Medicare fraud scheme.

Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division; U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida; Special Agent in Charge Michael B. Steinbach of the FBI’s Miami Field Office; and Special Agent in Charge Christopher B. Dennis of the HHS Office of Inspector General (HHS-OIG) Office of Investigations, Miami Office, made the announcement after the indictment was unsealed.

Mayelin Santoyo, 28, and Jose Martin Olivares, 36, were each charged with one count of conspiracy to defraud the United States and to receive illegal health care kickbacks and two counts of receiving health care kickbacks. Each charge carries a maximum penalty of five years in prison upon conviction.

According to the indictment, the scheme that Santoyo and Olivares allegedly participated in lasted from approximately February 2006 to October 2010. The scheme was orchestrated by the owners and operators of American Therapeutic Corporation (ATC) and its management company, Medlink Professional Management Group Inc. (Medlink). ATC and Medlink were Florida corporations headquartered in Miami. ATC operated purported partial hospitalization programs (PHPs), a form of intensive treatment for severe mental illness, in seven different locations throughout South Florida and Orlando. Both corporations have been defunct since their owners were arrested in October 2010.

The indictment alleges that Santoyo and Olivares served as patient brokers who provided ineligible patients to ATC in exchange for kickbacks in the form of checks and cash. The amount of the kickback was based on the number of days each recruited patient spent at ATC. Throughout the course of the ATC conspiracy, millions of dollars in kickbacks were paid in exchange for Medicare beneficiaries who did not qualify for PHP services and who attended treatment programs that were not legitimate PHPs so that ATC could bill Medicare for the medically unnecessary services. According to court filings, to obtain the cash required to support the kickbacks, the co-conspirators laundered millions of dollars of payments from Medicare.

ATC, Medlink, and various owners, managers, doctors, therapists, patient brokers, and marketers of ATC and Medlink have pleaded guilty or have been convicted at trial. In September 2011, ATC owner Lawrence Duran was sentenced to 50 years in prison for his role in orchestrating and executing the scheme to defraud Medicare.

The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

The case is being investigated by the FBI and HHS-OIG and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. The case is being prosecuted by Trial Attorneys Anne P. McNamara and Robert A. Zink of the Fraud Section.

Since their inception in March 2007, Medicare Fraud Strike Force operations in nine locations have charged more than 1,500 defendants who collectively have falsely billed the Medicare program for more than $5 billion. In addition, the HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.”

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Douglas McNabb – McNabb Associates, P.C.’s
Federal Criminal Defense Attorneys Videos:

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To find additional federal criminal news, please read Federal Criminal Defense Daily.

Douglas McNabb and other members of the U.S. law firm practice and write and/or report extensively on matters involving Federal Criminal Defense, INTERPOL Red Notice Removal, International Extradition Defense, OFAC SDN Sanctions Removal, International Criminal Court Defense, and US Seizure of Non-Resident, Foreign-Owned Assets. Because we have experience dealing with INTERPOL, our firm understands the inter-relationship that INTERPOL’s “Red Notice” brings to this equation.

The author of this blog is Douglas C. McNabb. Please feel free to contact him directly at mcnabb@mcnabbassociates.com or at one of the offices listed above.


Florida Attorney Charged with Allegedly Laundering Purported Stock Fraud Proceeds

July 11, 2013

The Federal Bureau of Investigation (FBI) on July 10, 2013 released the following:

Michael Scaglione, Esq. Laundered More Than $750,000, was Placed Under Arrest After Accepting an Additional $500,000 in Cash to Launder

BROOKLYN, NY— Michael J. Scaglione, Esq., 41, an attorney in Coral Gables, Florida, was arrested this morning on charges that he laundered more than $750,000, which he believed were proceeds from a penny stock fraud scheme. The money was, in fact, provided to Scaglione by an undercover law enforcement agent who posed as a criminal stock promoter as part of a sting operation. Scaglione, who is a partner at Scaglione Law Firm P.A. in Coral Gables, Florida, was arrested after he took possession of an additional $500,000 in cash that he agreed to launder.

The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York; George Venizelos, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Toni Weirauch, Special Agent in Charge, United States Internal Revenue Service, Criminal Investigation, New York (IRS).

According to the complaint unsealed this morning in the Eastern District of New York, Scaglione exploited his position as an attorney to launder money through an escrow account for an undercover law enforcement agent (“undercover agent”) who posed as a corrupt stock promoter. In his dealings with Scaglione, the undercover agent represented himself to be a middleman working with corrupt stock brokers who artificially inflated prices for worthless stock in exchange for high commissions. Scaglione agreed to launder what he believed were proceeds of this stock fraud through his attorney escrow account in order to hide that money from the United States Securities and Exchange Commission and the IRS. Scaglione then funneled over $750,000, including $88,000 in cash given to him in a Federal Express box in the lobby of a Miami Beach hotel, through the escrow account into the undercover agent’s bank account in Long Island, New York. Scaglione carefully structured the movement of these funds to avoid triggering financial reporting requirements. In exchange, Scaglione collected over $25,000 in fees. In recorded conversations, Scaglione assured the undercover agent that their conversations were “completely privileged” and that his money was “safe” with Scaglione. When the undercover agent explained to Scaglione that he did not “want to go to jail,” Scaglione stated to the undercover agent that the escrow account was “tight as can be.” Directly prior to his arrest this morning, at a hotel in Miami Beach, Florida, Scaglione accepted an additional $500,000 in cash from the undercover agent, which Scaglione believed to be proceeds from the penny stock fraud.

“As alleged in the complaint, Scaglione hid behind his license to practice law as he threw himself into the purported scheme to launder money. In so doing, he crossed the line from attorney to defendant,” stated United States Attorney Lynch. “I would like to thank our partners at the FBI and the IRS for their swift action and effective work on this important investigation.”

FBI Assistant Director in Charge Venizelos stated, “As alleged, the defendant breached the code of ethics for his profession and flagrantly broke the law, in laundering what he believed to be the proceeds of criminal activity. Contrary to the counsel he gave, the attorney-client privilege is not a veil of secrecy to hide criminal conduct.”

IRS Special Agent in Charge Weirauch stated, “Criminal attempts to conceal reportable financial transactions from government agencies, including the Internal Revenue Service and the Securities and Exchange Commission, may appear to be victimless crimes to some. However, they erode our nation’s financial systems and ultimately harm the American public. In particular, the laundering of proceeds from illegitimate activities that are nevertheless taxable threatens our voluntary tax compliance system; failure to investigate and prosecute these types of crimes would erode public confidence.”

The defendant is scheduled to appear tomorrow before United States Magistrate Judge Alicia M. Otazo-Reyes at the United States Courthouse in Miami, Florida, for removal proceedings to the Eastern District of New York.

The charges in the complaint are merely allegations, and the defendant is presumed innocent unless and until proven guilty.

The government’s case is being prosecuted by Assistant United States Attorney Jacquelyn M. Kasulis.

This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency 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.

Defendant:

Michael J. Scaglione
Age: 41
Miami Springs, Florida”

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Douglas McNabb – McNabb Associates, P.C.’s
Federal Criminal Defense Attorneys Videos:

Federal Crimes – Be Careful

Federal Crimes – Be Proactive

Federal Crimes – Federal Indictment

Federal Crimes – Detention Hearing

Federal Mail Fraud Crimes

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To find additional federal criminal news, please read Federal Criminal Defense Daily.

Douglas McNabb and other members of the U.S. law firm practice and write and/or report extensively on matters involving Federal Criminal Defense, INTERPOL Red Notice Removal, International Extradition Defense, OFAC SDN Sanctions Removal, International Criminal Court Defense, and US Seizure of Non-Resident, Foreign-Owned Assets. Because we have experience dealing with INTERPOL, our firm understands the inter-relationship that INTERPOL’s “Red Notice” brings to this equation.

The author of this blog is Douglas C. McNabb. Please feel free to contact him directly at mcnabb@mcnabbassociates.com or at one of the offices listed above.


FBI says passenger who rushed cockpit at Miami International Airport in custody

May 25, 2012

Sun Sentinel on May 25, 2012 released the following:

“By Erika Pesantes, Sun Sentinel

An unruly passenger was taken into federal custody following his attempt to rush toward the cockpit of an American Airlines plane after landing at Miami International Airport Friday, the FBI said.

Ryan Snider, 24, of Canada, was arrested after the incident aboard American Airlines flight 320 originating from Montego Bay, Jamaica.

He is not believed to be connected to terrorists and was not on the “no fly list,” the FBI said.

Passenger Malik Cann, who said he was a trained security officer from Bermuda, told WSVN-Ch.7 that he helped restrain Snider.

“I gripped him straight by his arm,” Cann said, “We didn’t allow him to harm anyone. He was screaming, ‘Get me off the plane! Get me off the plane!'”

Snider is facing federal charges including interference with a flight crew. His first appearance in federal court is Tuesday, the FBI said.”

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Douglas McNabb – McNabb Associates, P.C.’s
Federal Criminal Defense Attorneys Videos:

Federal Crimes – Be Careful

Federal Crimes – Be Proactive

Federal Crimes – Federal Indictment

Federal Crimes – Detention Hearing

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To find additional federal criminal news, please read Federal Criminal Defense Daily.

Douglas McNabb and other members of the U.S. law firm practice and write and/or report extensively on matters involving Federal Criminal Defense, INTERPOL Red Notice Removal, International Extradition Defense, OFAC SDN Sanctions Removal, International Criminal Court Defense, and US Seizure of Non-Resident, Foreign-Owned Assets. Because we have experience dealing with INTERPOL, our firm understands the inter-relationship that INTERPOL’s “Red Notice” brings to this equation.

The author of this blog is Douglas C. McNabb. Please feel free to contact him directly at mcnabb@mcnabbassociates.com or at one of the offices listed above.


FBI arrest three former football players on allegations of ID-theft and tax-related fraud charges

May 1, 2012

The Miami Herald on May 1, 2012 released the following:

“Feds bust three former football players on ID-theft and tax-related fraud charges

BY JAY WEAVER

Two ex-National Football League players and a former Miami high school star have been arrested by the FBI on federal charges in connection with an alleged scheme to steal people’s identities and file false tax returns in others’ names to collect thousands of dollars in refunds, according to authorities.

The two ex-NFL players charged with defrauding the federal government and ID theft are: William Joseph, a University of Miami defensive tackle drafted in the first round by the New York Giants in 2003, and Michael Bennett, a University of Wisconsin running back also drafted in the first round by the Minnesota Vikings in 2001.

The third defendant, Louis Gachelin, is the half-brother of Denver Broncos star Elvis Dumervil. Gachelin was a standout at Miami Jackson High and Syracuse University as a defensive lineman and signed as a free agent with the New England Patriots in 2004. But he never made the final roster. Gachelin played in 2005 for NFL Europe’s Frankfurt Galaxy.

Joseph and Gachelin grew up in Miami; Bennett was born in Milwaukee.

All three were questioned after their arrests Monday by FBI agents at the bureau’s North Miami Beach regional office. They were then transferred to the Federal Detention Center in downtown Miami for court appearances Tuesday afternoon before U.S. Magistrate Judge Robert Dube, according to the clerk’s office. Details of the alleged scheme are expected to be disclosed in a criminal complaint to be released later Tuesday.

FBI spokesman Mike Leverock declined to comment.

As part of a related investigation, the FBI also arrested about a half-dozen other defendants Monday.

Authorities say the latest tax-related fraud case, while unique because of the ex-NFL defendants, is yet another indication of escalating identity-theft crimes in South Florida.

In April, a Coral Springs woman pleaded guilty to stealing the identities of U.S. Marines and others in a tax-refund scheme designed to trick the Internal Revenue Service into sending her tens of thousands of dollars, according to the U.S. attorney’s office.

Dorothy Boulin, 29, pleaded guilty in Miami federal court to one count each of fraud and aggravated identity theft. She faces up to 22 years in prison, but as part of her plea agreement Boulin agreed to work in an “undercover role” for the FBI that could significantly reduce her prison term.

For her scam, Boulin used an electronic IRS number — normally issued to legitimate tax preparers — to file false returns in the names of at least 14 people, including several U.S. Marines serving in Afghanistan, according to court records. The bogus returns sought more than $53,000 in refunds.

Boulin’s plea agreement cited a person identified only as “C.J.” as the supplier of the names, dates of birth and Social Security numbers of Marines victimized in her scam.

Crooks like Boulin have graduated from everyday credit-card fraud to stealing people’s identities such as names, dates of birth and Social Security numbers in order to rob taxpayers of refunds before they file their returns with the Internal Revenue Service, according to the U.S. attorney’s office in Miami.

Authorities say tax-return rackets are particularly pernicious because they harm two victims: the federal government as well as legitimate taxpayers whose identities and refunds have been stolen.

Here’s the root of the problem: Scammers have exploited a hole in the IRS electronic filing system, according to the U.S. Government Accountability Office.

The federal watchdog agency found that the IRS does not actually match tax returns to the W-2 income forms that employers file until months after the filing season ends on April 15. Employers file them at the end of February or early March, but the agency does not match them up with employees’ incomes reported on 1040 forms until June.

That’s way too late to catch identity thieves who file false returns in others’ names early in the year. What’s more, the IRS offers to download the refunds onto prepaid debit cards for speed and convenience.

Because of the relative ease, everyday criminals are moving into identity-theft rackets, using computers, the Internet and online tax services to fleece the IRS and taxpayers. The GAO reports that the number of identity theft-related fraud incidents on tax returns reached 248,000 in 2010, about five times more than in 2008.

In the past two years, the IRS has “redoubled” efforts to fight tax fraud by identity theft, according to Steven T. Miller, the IRS’s deputy commissioner for services and enforcement, who testified before the U.S. Senate Finance Committee in March.

Miller told the panel that last year the IRS launched new software filters to flag fraudulent returns, and new procedures for handling suspect returns.

Recent federal legislation may help combat the crime.

U.S. Sen. Bill Nelson, D-Florida, who presided over the March hearing, has sponsored a bill that would make it a felony, punishable by up to five years in prison, to use someone else’s Social Security or taxpayer identification numbers to file a fraudulent return.”

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Douglas McNabb – McNabb Associates, P.C.’s
Federal Criminal Defense Attorneys Videos:

Federal Crimes – Be Careful

Federal Crimes – Be Proactive

Federal Crimes – Federal Indictment

Federal Crimes – Detention Hearing

————————————————————–

To find additional federal criminal news, please read Federal Criminal Defense Daily.

Douglas McNabb and other members of the U.S. law firm practice and write and/or report extensively on matters involving Federal Criminal Defense, INTERPOL Red Notice Removal, International Extradition Defense, OFAC SDN Sanctions Removal, International Criminal Court Defense, and US Seizure of Non-Resident, Foreign-Owned Assets. Because we have experience dealing with INTERPOL, our firm understands the inter-relationship that INTERPOL’s “Red Notice” brings to this equation.

The author of this blog is Douglas C. McNabb. Please feel free to contact him directly at mcnabb@mcnabbassociates.com or at one of the offices listed above.


Rothstein Associate Charged with Alleged Conspiracy to Violate the Federal Election Campaign Act, Defraud the United States, and Defraud a Financial Institution

April 10, 2012

The Federal Bureau of Investigation (FBI) on April 9, 2012 released the following:

“Wifredo A. Ferrer, United States Attorney for the Southern District of Florida; John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office; and José A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation Division (IRS-CID), announced the filing of charges against Steven N. Lippman, 49, of Plantation, for conspiring to commit crimes through the operation of the former Fort Lauderdale law firm of Scott W. Rothstein, called Rothstein, Rosenfeldt, and Adler, P.A. (RRA). The defendant was an attorney admitted to practice law in Florida and, in early 2005, was designated as a shareholder of RRA, but had no equity interest in the firm.

The one-count information, which was filed earlier today, charges Lippman with conspiracy to violate the Federal Election Campaign Act, to defraud the United States, and to defraud a financial institution, in violation of 18 U.S.C. §371. If convicted, the defendant faces a maximum statutory sentence of up to five years in prison.

According to the information, Lippman violated the Federal Election Campaign Act in that he was unlawfully reimbursed by RRA for certain contributions that he made to the presidential campaign of John McCain. More specifically, the information alleges that co-conspirator Rothstein and others, including defendant Lippman, attempted to dramatically increase the stature and political power of RRA on the federal, state, and local levels by making substantial political contributions to political candidates. However, since many of the attorneys and administrative personnel of RRA either had insufficient funds to contribute to the political campaigns and/or lacked the desire to contribute to the various political candidates selected by Rothstein, co-conspirator Rothstein enlisted Lippman and others to contribute to the McCain campaign by agreeing that RRA unlawfully would provide them with the funds to make the political contributions. For example, in one instance, Lippman made a $67,800 contribution to McCain-Palin Victory 2008. Lippman, in turn, received a check from RRA in the amount of $77,500, which constituted reimbursement of the funds he used to make the contribution. The check was fraudulently backdated to reflect that it was issued six days prior to the date of the actual contribution, and the memo section of the check stated “bonus.”

The information also alleges that Lippman engaged in a bank fraud scheme with Rothstein. According to the allegations in the charging document, RRA was experiencing financial difficulties and required a source of funds to maintain the law firm’s operations. Lippman maintained a bank account from a prior law firm where he had been a partner (the LVS account). Around February 2006, co-conspirator Rothstein requested that Lippman use the LVS account to float checks between and among certain bank accounts maintained by RRA, a practice commonly known as “check-kiting.” By simultaneously issuing and depositing checks between the LVS account and the RRA accounts, co-conspirator Rothstein and defendant Lippman would artificially inflate posted balances in each of the checking accounts, which allowed them to unlawfully obtain beneficial financing for RRA from financial institutions during the “float” period, i.e., the time that it took for the checks to clear. For example, the information alleges that from February 2006 through February 2008, Lippman issued checks in amounts ranging from $4,000 to $400,000, totaling approximately $10,311,688, from the LVS account. At the time many of the checks were written, there were insufficient funds in the account of LVS to cover those checks. Defendant Lippman also deposited into the LVS account checks issued from RRA accounts in amounts ranging from $37,500 to $330,000, totaling approximately $10,664,987. Lippman and other co-conspirators engaged in this fraudulent conduct to create the appearance that RRA was an affluent and successful law firm and to gain additional time to meet the financial obligations of RRA.

Lastly, the information alleges that Lippman defrauded the IRS by failing to report as income certain expense reimbursements and other reportable income he received from RRA. Among other things, the information alleges that defendant Lippman and co-conspirator Rothstein agreed that Lippman would be paid a base salary and be given an expense account for which he would be fraudulently reimbursed for personal expenditures disguised as deductible business expenses. This was done so that Lippman and RRA could avoid paying additional federal income and employment taxes. In addition, Lippman was paid from both the operating account and the payroll account of RRA but would only receive an IRS Form W-2 reflecting the money paid to him through the payroll account. Lippman would not report to the Internal Revenue Service the money paid to him by RRA for expenses.

U.S. Attorney Wifredo A. Ferrer stated, “The breadth, scope, and sheer complexity of Rothstein’s $1.2 billion Ponzi scheme is mind-boggling. Its success depended, in no small part, on the complicity of his colleagues and associates, like Steven Lippman. Lippman, an attorney, is now the ninth person to face criminal charges in connection with this scheme. As this investigation continues, I am sure that more will follow.”

“The charges against Steven Lippman show our resolve to unravel all the schemes in this complex financial fraud perpetrated by convicted Ponzi schemer Scott Rothstein and his co-conspirators,” said John V. Gillies Special Agent in Charge of the FBI’s Miami Office. “It is disappointing that the number of people who chose wrong over right and participated with Rothstein in this massive fraud is at nine and rising.”

“With the April 15 tax deadline fast approaching, it is important for people to have confidence that when they file accurate, honest, and timely income tax returns, their neighbors will do the same,” said José A. Gonzalez, Special Agent in Charge of the IRS-Criminal Investigation, Miami Field Office. “Defendant Lippman attempted to skirt his tax obligations but got caught. IRS–CI will continue to aggressively pursue those who attempt to defraud America’s tax system.”

Mr. Ferrer commended the investigative efforts of the FBI and the IRS-CID. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz, and Jeffrey N. Kaplan.

An information is only an accusation and a defendant is presumed innocent unless and until proven guilty.

A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls.”

18 U.S.C. § 371

US v. Steven N Lippman – Federal Criminal Information

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Douglas McNabb – McNabb Associates, P.C.’s
Federal Criminal Defense Attorneys Videos:

Federal Crimes – Be Careful

Federal Crimes – Be Proactive

Federal Crimes – Federal Indictment

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To find additional federal criminal news, please read Federal Crimes Watch Daily.

Douglas McNabb and other members of the U.S. law firm practice and write and/or report extensively on matters involving Federal Criminal Defense, INTERPOL Red Notice Removal, International Extradition and OFAC SDN Sanctions Removal.

The author of this blog is Douglas C. McNabb. Please feel free to contact him directly at mcnabb@mcnabbassociates.com or at one of the offices listed above.


Royal West Owner Charged in Alleged Securities Fraud Scheme

January 5, 2012

The Federal Bureau of Investigation (FBI) on January 4, 2012 released the following:

“Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Gaston E. Cantens, 73, of Miami, was charged in a criminal information with one count of conspiracy to commit mail and wire fraud, in violation of Title 18, United States Code, Section 371.

According to the Information filed in court, Royal West Properties, Inc. (“Royal West”) was a Miami-Dade corporation that promised to pay investors a fixed rate of return on investments made with the company. Gaston E. Cantens was the president of Royal West Properties, Inc. In this capacity, Cantens allegedly recruited individuals to invest in Royal West by promising investors that their investments would be guaranteed by properties or mortgages that acted as collateral.

According to the information, Cantens misappropriated money from investors by making materially false representations and concealing and omitting to state material facts concerning, among other things, the financial condition of Royal West, the manner in which mortgages and properties were assigned as collateral to investors, the assignment of non-performing mortgages, the assignment of mortgages that were paid in full, the proper recording of mortgages, and the recording of investors’ interests in properties and mortgages.

Specifically, the Information alleges that Cantens told investors that their moneys were collateralized by individual properties but failed to inform them that the collateralized properties had previously been assigned to other investors. Cantens received moneys from investors based on these misrepresentations, and used the moneys for his personal benefit and to further the fraud scheme.

The information alleges specific instances of fraud. For example, according to the Information, in February 2008, Cantens allegedly assigned a property to Our Lady of Belen Jesuit as collateral for an investment. In May 2008, Cantens assigned the same property again as collateral to investor “R.R.” for an investment. In addition, according to the factual proffer in the plea agreement filed today, Royal West sold the property to “V.R.” and assigned the mortgage on the property to yet another investor, “S.M.” Cantens never informed the investors, including Our Lady of Belen Jesuit, of the existence of other investors or their interests in the property.

Mr. Ferrer commended the investigative efforts of the FBI. Mr. Ferrer also commended the efforts of SEC Regional Director Eric Bustillo and his staff for their contributions to this investigation and its successful prosecution. The case is being prosecuted by Assistant U.S. Attorney H. Ron Davidson.

An information is merely an accusation and a defendant is presumed innocent until proven guilty.

A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.”

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Douglas McNabb – McNabb Associates, P.C.’s
Federal Criminal Defense Attorneys Videos:

Federal Crimes – Be Careful

Federal Crimes – Be Proactive

Federal Crimes – Federal Indictment

Federal Crimes – Detention Hearing

Federal Mail Fraud Crimes

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To find additional federal criminal news, please read Federal Crimes Watch Daily.

Douglas McNabb and other members of the U.S. law firm practice and write and/or report extensively on matters involving Federal Criminal Defense, INTERPOL Red Notice Removal, International Extradition and OFAC SDN Sanctions Removal.

The author of this blog is Douglas McNabb. Please feel free to contact him directly at mcnabb@mcnabbassociates.com or at one of the offices listed above.


Alvaro Lopez Tardon, Fabiani Krentz, David William Pollack, and Vincente Orlando Cardelle Indicted by a Miami Federal Grand Jury for Conspiracy to Launder Over $26 Million in Drug Proceeds

July 15, 2011

The U.S. Attorney’s Office Southern District of Florida on July 14, 2011 released the following:

“INTERNATIONAL DRUG MONEY LAUNDERING INDICTMENT UNSEALED

Wifredo Ferrer, United States Attorney for the Southern District of Florida and John V. Gillies, Special Agent in Charge of the Federal Bureau of Investigations (FBI), Miami Field Office, announce today the unsealing of an Indictment charging Alvaro Lopez Tardon of Miami Beach, Fabiani Krentz and David William Pollack of Miami and Artemio Lopez Tardon of Madrid, Spain, with a conspiracy to launder over $26 million in drug proceeds. Vincente Orlando Cardelle of Miami is also charged with bulk cash smuggling. This Indictment is being unsealed in conjunction with the arrests of numerous co-conspirators throughout Spain by the Spanish National Police.

It is alleged that Alvaro Lopez Tardon (Alvaro) and his brother Artemio Lopez Tardon (Artemio), through a network of contacts in Colombia and with the assistance of Alvaro’s right-hand man David William Pollack (Pollack), arranged for the laundering of proceeds from multi-hundred kilogram quantities of cocaine smuggled from Colombia to Spain. Once in Spain, the cocaine was processed and distributed and the drug proceeds collected by other co-conspirators. Artemio, who lives in Spain, would then send Alvaro’s money to the United States either by courier or via wire transfers. Once the money was in Miami, Fabiani Krentz (Krentz) and Pollack would assist Alvaro in laundering the money through the purchase of real estate and exotic automobiles. Conservatively, from 2004 to the present, it is alleged that Alvaro has received over $26,000,000 in drug proceeds from Spain.

On April 12, 2011, Vincente Orlando Cardelle, an associate of Alvaro, was stopped at Miami International Airport, on his way to Madrid, Spain and 21,605 euros believed to be proceeds from the sale of cocaine were seized from him.

The real estate purchased by Alvaro and his associates includes condos at 100 South Point Drive, Miami Beach, FL; 1000 South Point Drive, Miami Beach, FL; 1155 Brickell Bay Drive, Miami, FL; and 325 S. Biscayne Boulevard, Miami, FL.

The exotic automobiles include a Bugatti Veyron, a Ferrari Enzo, a Rolls-Royce Ghost, a Mercedes-Benz SLR McLaren, a Mercedes-Benz Maybach 57S, a Bentley Continental GT, an Aston Martin DB9, a Lamborghini Murceliago, a Lamborghini Gallardo, an Audi R8 and other Mercedes-Benz and BMWs.

If convicted, Alvaro, Artemio, Krentz and Pollack each face a maximum term of imprisonment of 20 years. If convicted, Cardelle faces a maximum term of imprisonment of 5 years.

“International money launderers can no longer seek refuge behind jurisdictional barriers. The outstanding cooperation among international law enforcement agencies and governments leaves no place to hide for those who profit from the drug trade,” said United States Attorney Wifredo Ferrer.

“From the beaches of Miami to the shores of Spain, the fight against crime has no boundaries,” said Special Agent in Charge John V. Gillies of the FBI Miami Division. “This is another outstanding example of an international partnership, this time with the Spanish National Police, that disrupted a major drug organization”.

This Indictment is the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The OCDETF mission is to identify, investigate, and prosecute high level members of drug trafficking enterprises, bringing together the combined expertise and unique abilities of federal, state and local law enforcement.

Mr. Ferrer and Mr. Gillies would like to commend the US Immigration and Customs Enforcement’s Homeland Security Investigations, the Coral Gables Police Department, the US Drug Enforcement Administration, US Immigration and Customs Enforcement, the Internal Revenue Service, Criminal Investigation Division, the Miami Police Department, the Miami-Dade Police Department, the Miami Gardens Police Department, the Monroe County Sheriff’s Office, the North Bay Village Police Department and the Spanish National Police for their assistance with this investigation.

The case is being prosecuted by Assistant United States Attorney Tony Gonzalez and is before Judge Joan A. Lenard.

An Indictment is only an accusation, and a defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.”

To find additional federal criminal news, please read The Federal Crimes Watch Daily.

Douglas McNabb and other members of the U.S. law firm practice and write extensively on matters involving Federal Criminal Defense, INTERPOL Red Notice Removal, International Extradition and OFAC SDN List Removal.

The author of this blog is Douglas McNabb. Please feel free to contact him directly at mcnabb@mcnabbassociates.com or at one of the offices listed above.

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