Congratulations to the District of Maryland’s newest US District Court Judge!
The common theme in this morning’s news is alleged misconduct by prosecutors and police:
In this lawsuit, brought by Chad Curlett of Levin & Curlett LLC, it is alleged that police officers lied in an arrest warrant (shocking!), leading to the arrest of the WRONG MAN.
news rumors coming out of the US Attorney’s Office in the District of Maryland:
AUSA Stuart Berman, the Greenbelt Branch Chief, is retiring after many successful years of government service. It is expected that Stuart will be joining a small law firm in the mid-Atlantic region.
AUSA Peter Nothstein has been detailed to the Senate Judiciary Committee for six months. Peter just recently received an annual award for excellence in prosecuting violent crime. See below.
AUSA Mark Crooks doesn’t just prosecute alleged criminals; he chases them too.
And let’s not forget these AUSAs, following the break: Continue reading
Felix Unger was asked to remove himself from his place of residence. That request came from his wife.
Happy Felix Unger Day from your friends at Levin & Curlett LLC, who vigorously defend those who are also asked to remove themselves from their homes (often by the feds).
Earlier today, an Indictment was unsealed and “wanted” posters were issued for fugitives charged with multimillion dollar international cyber fraud scheme.
The posters looked nothing like this:
Welcome to Miami: Two men from Miami have pleaded guilty to laundering millions of dollars obtained through a $10.5 million Medicare fraud scheme using shell companies they controlled.
|SEC Announces Fraud Charges Against Collateral Manager Of CDO|
|SEC Halts Pyramid Scheme Targeting Asian-American Community|
|SEC Charges Knight Capital With Violations of Market Access Rule|
|Previously Unknown Insider Traders in Heinz Agree to $5 Million Settlement|
The Proffer Letter:
The First Landmine in Federal Criminal Defense Practice
Assistant United States Attorneys (AUSAs) often take the position that a proffer letter, or a “Queen for a Day” agreement, is intended to protect a defendant who ultimately chooses not to cooperate with the government. Stated another way, as the Seventh Circuit Court of Appeals did in United States v. Threw, 861 F.2d 1046 (7th Cir. 1988), “the purpose of [a proffer letter], according to the government, is to ensure that in the event a cooperating defendant decides not to plead guilty, any information he may have ‘proffered’ to the government cannot later be used against him at trial” or sentencing, with some exceptions. It is those exceptions that call into question a proffer letter’s true purpose. In my view, the purpose of a proffer letter, from the government’s perspective, is to ensure that a defendant pleads guilty, because if he goes to trial after proffering, he is going to sentencing as well.
A typical two-page proffer letter in the District of Maryland contains the following language (liberally summarized): Continue reading
To read more about fraud, check out this New York Times article on The Civil War’s War on Fraud.
To read more about the FCPA, check out this article entitled Private Equity: blindsided by the FCPA–hedging against anti-corruption.
Finally, the Lincoln Law just turned 150 years old.
In US ex rel. Noah Nathan v. Takeda Pharmaceuticals, Relator, a sales manager for Takeda, brought a qui tam action against his employer under the False Claims Act, 31 U.S.C. 3729-3733, alleging that Takeda violated the Act by causing false claims to be presented to the government for payment under Medicare and other federal health insurance programs. Continue reading
A Note From the Doctor Won’t Help This Government Employee, Sentenced for Scheme to Defraud Federal Voluntary Leave Transfer Program She Administered–she created false doctor notes to take paid time off donated by other employees
You’ve got to love the alliteration of this press release: Four-Time Fraudster Sentenced to 44 Months.
What is it that they say about the family that schemes together? Here’s what the US Attorney’s Office has to say: Frederick Couple PLEAD GUILTY to Fraudently Obtaining Over $700,000 in Advanced Fees.
So much for the security in the Social Security Administration: SSA RETIREE PLEADS GUILTY TO EMBEZZLING OVER $400,000 AND TO TAX EVASION.
SEC Receives More Than 3,000 Whistleblower Tips in FY2012
Listen to the soothing voice of CNN’s Libby Lewis here as she reports on “Blowing the Whistle on Wall Street:” http://cnnradio.cnn.com/2012/11/15/blowing-the-whistle-on-wall-street/
And read the SEC’s press release here:
Washington, D.C., Nov. 15, 2012 — Over the past year, the Securities and Exchange Commission received more than 3,000 whistleblower tips from all 50 states and from 49 countries, according to the agency’s 2012 Annual Report on the Dodd-Frank Whistleblower Program released today. Continue reading
Judge Motz is willing to do the right thing, to include correcting an error made at trial. In this post-verdict Order, Judge Motz granted in part a motion for acquittal based on drug weight:
IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF MARYLAND
UNITED STATES OF AMERICA *
v. * Criminal No. – JFM-11-003
WAYNE LAMPKIN, JR. *
Defendant has filed a motion for new trial or judgment of acquittal. The motion will be granted in part and denied in part. Continue reading
USAO-MD: Morgan State University Professor Indicted in Scheme to Defraud the National Science Foundation.
USAO-MD: Labor Union PAC Fund Manager Indicted for Embezzling not $500,000, but $502,586.
USAO-MD: Ringleader and Girlfriend Plead Guilty in Identity Theft Fraud Scheme Involving Not 254 Individual Victims, but Over 250.
USAO-EDVA: Mental Health Service Provider Sentenced to 48 Months for Conspiracy to Commit Health Care Fraud.
The Justice Department’s Bureau of Justice Statistics has issued this new report on pretrial release in the federal system.
Here is the accompanying press release:
From 2008 to 2010, federal district courts released more than a third (36 percent) of defendants prior to case disposition, according to a study released today by the Justice Department’s Bureau of Justice Statistics (BJS). Nearly two-thirds (66 percent) of released defendants were released at their initial appearance hearing, while the rest were released at subsequent events including detention or bond hearings. Continue reading
A Victory for Discretion
In 2004, the then-US Attorney for the District of Maryland famously wrote in a leaked email that he wanted three front-page indictments by November of that year. Though open to interpretation, the impression left by the poorly-drafted missive is that prosecutors should seek headlines rather than justice. Let’s give credit to the prosecutors involved in the Petraeus/ Broadwell affair, er, matter for their exercise of sound discretion. Continue reading
News from the US Attorney’s Office for the District of Maryland:
BARRY LANDAU CONSPIRATOR SENTENCED TO PRISON IN SCHEME
TO STEAL VALUABLE HISTORICAL DOCUMENTS: Original Documents of Abraham Lincoln, George Washington, John Adams, Stephanie Gallagher, Franklin Roosevelt, and Others Stolen from Historical Societies and Museums.
SILVER SPRING MAN SENTENCED TO OVER 6 YEARS IN PRISON IN CREDIT CARD FRAUD SCHEME.
News from the US Attorney’s Office in the District of Columbia:
Couple Indicted For Wire Fraud and Other Charges In Scheme to Steal Grant Funds Intended for Charitable Youth Boxing Program
-Defendants Allegedly Used Money for Gambling, Other Personal Expenses-
Maryland Woman Sentenced to 75 Months in Prison For Defrauding D.C. Medicaid Program By Submitting Over $7 Million in Phony Claims
– Defendant Billed Some Patients For More Than 24 Hours of Therapy In A Single Day
News from the US Attorney’s Office in the District of Maryland:
Convicted Fraudster Pleads Guilty in Scheme to Buy Merchandise Using Stolen Identifying Information of Others to Open Instant Credit Accounts.
Title Agent Sentenced to 2 Years in Prison for Stealing Over $694,000 from Mortgage Escrows.
Pfizer discloses $491M charge for Rapamune marketing settlement : http://www.fiercepharma.com/story/pfizer-discloses-491m-charge-rapamune-marketing-settlement/2012-11-01
Here is the complaint: http://www.scribd.com/doc/31948038/PfizerWyeth
In United States v. Bennett, the Fourth Circuit held that Tapia v. United States, a case in which the US Supreme Court held that a federal court cannot give a criminal defendant a longer sentence to promote rehabilitation, applies to revocation proceedings. Here’s what Amy Winehouse had to say about that.
|2012-217||Oct. 26, 2012||SEC Charges Denver-Based Insurance Executive with Insider Trading|
|2012-216||Oct. 26, 2012||SEC Charges Silicon Valley Executive for Role in Galleon Insider Trading Scheme|
|2012-215||Oct. 22, 2012||SEC Adopts Standards for Risk Management and Operations of Clearing Agencies|
|2012-214||Oct. 19, 2012||More Than 1,500 Private Fund Advisers Registered With the SEC Since Passage of the Financial Reform Law|
|2012-213||Oct. 18, 2012||SEC Charges Trio in “.44 Magnum” Investment Scheme|
|2012-212||Oct. 18, 2012||Hong Kong Firm to Pay $14 Million to Settle Insider Trading Charges|
|2012-211||Oct. 17, 2012||Andrew Calamari Named Director of New York Regional Office|
|2012-210||Oct. 17, 2012||SEC Proposes Rules for Security-Based Swap Dealers and Major Security-Based Swap Participants|
|2012-209||Oct. 17, 2012||SEC Charges Hedge Fund Adviser and Two Executives With Fraud in Continuing Probe of Suspicious Fund Performance|
|10/25/12||Conspirator in Bank Fraud Scheme Sentenced to Over 3 Years in Prison|
|10/25/12||Bank Vice President Pleads Guilty to Embezzling over $600,000|
|10/25/12||Boehringer Ingelheim Pharmaceuticals, Inc. to Pay $95 Million to Resolve Off-label Promotion and Kickback Allegations|
|10/25/12||Pennsylvania Man Pleads Guilty to Receipt of Child Pornography for Secretly Recording Boys in Maryland Restrooms|
|10/25/12||Bladensburg Armed Career Criminal Exiled to 15 Years in Prison for Possessing a Gun|
|10/24/12||Employee Pleads Guilty to Stealing from Non-profit Organization and up to 72 of its Disabled Clients|
|10/23/12||Former Employee of Federal Court Contractor Indicted for Bribery, Witness Tampering and Perjury in Federal Grand Jury|
|10/19/12||Silver Spring Man Sentenced to 10 Months in Prison for Failing to Register as a Sex Offender|
|10/18/12||New York Drug Dealer Sentenced to 8 Years in Prison|
Alleged Trafficker of Counterfeit Automotive Accessories Indicted in Virginia.
Miami Area Assisted Living Facility Owners Plead Guilty for Roles in $63 Million Fraud Scheme.
“Forced Waiver of the Corporate Attorney-Client Privilege,” Corporate Counsel, Oct. 25, 2012.
“Rajaratnam Appeal Judges Voice Concern Over U.S. Wiretaps,” Bloomberg, Oct. 25, 2012. [Related Story]
“Bank of America Faces Claim of ‘Brazen’ Mortgage Fraud,” New York Law Journal, Oct. 25, 2012.
“Antibribery Track Record: Republicans vs. Democrats,” Corporate Counsel, Oct. 24, 2012. [Related Story]
“Business Groups File Challenge to SEC Conflict Minerals Rule,” Corporate Counsel, Oct. 24, 2012.
Also, attached please find a PDF file of the following recently released paper:
Ryan M. Rodenberg and Anastasios Kaburakis, Legal and Corruption Issues in Sports Gambling (Oct. 2012)
SEC: The staff of the Securities and Exchange Commission today issued a report summarizing the staff’s observations and concerns arising from the examinations of ten credit rating agencies registered with the SEC as Nationally Recognized Statistical Rating Organizations (“NRSROs”) and subject to Commission oversight.
USAO-MD: Silver Spring, MD man convicted of one count of conspiracy to commit bank fraud; two counts of bank fraud; and two counts of aggravated identity theft. He, along with other co-conspirators, posed as bank customers, requesting addresses to be changed to those controlled by members of the scheme. The conspiracy involved over 20 individual victims and multiple financial institutions. The compromised accounts contained over $1 million in available funds.
The office of the first-ever inspector general of the Federal Housing Finance Agency, Steve Linick, has released a report heavily criticizing FHFA managers’ approval of a dubious Bank of America mortgage deal with Freddie Mac in 2010. Linick’s office asserted that the deal may have cost taxpayers billions of dollars.