Author: MIL-OSI Publisher

Source: United States Department of Justice Criminal Division

Persico USA Agrees to Pay $1.46 Million to Resolve False Claims Act Allegations Relating to Paycheck Protection Program Loans

Wilmington, Delaware – First Assistant U.S. Attorney Julianne E. Murray announced today that Persico USA, Inc. (“Persico”) agreed to pay more than $1.4 million to resolve allegations that it improperly obtained a Paycheck Protection Program (“PPP”) loan from the U.S. Small Business Administration (“SBA”) for which it was not eligible.

PPP was an emergency loan program established by Congress in March 2020 under the Coronavirus Aid, Relief and Economic Security (“CARES”) Act and administered by the SBA.  It was created to support small businesses and ensure that they could continue to pay employees and meet other business expenses during the COVID-19 pandemic. Whether an applicant qualified as a small business was determined, in part, by assessing the number of employees of the business, including any domestic and foreign affiliates.  In early 2021, Congress authorized a second tranche of loans, known as second draw loans, that were available to certain small businesses that had already obtained a first draw loan.

Persico is a subsidiary of a multinational entity that manufactures and sells equipment for the automotive, rotomoulding, marine, and medical industries.  The United States contends that Persico obtained a PPP loan that it was not eligible for because it exceeded the size requirements for a second draw PPP loan. Specifically, Persico was ineligible for the PPP loan because it, together with its foreign affiliates, had over 300 employees.

“PPP was designed keep small businesses afloat during the COVID-19 pandemic,” said First Assistant U.S. Attorney Murray.  “Multinational companies that obtained loans for which they did not qualify deprived small businesses of funding intended to keep American workers employed.  Our office will continue to investigate and aggressively pursue any instances of fraud or misconduct within the Paycheck Protection Program.”

The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act.  Under those provisions, a private party—known as a relator—can file an action on behalf of the United States and receive a portion of any recovery.  The qui tam case is captioned United States ex rel. Verity Investigations, LLC v. Persico USA, Inc., 25-cv-260-CFC (D. Del.).  The relator will receive a share of the settlement.

This matter was handled by Assistant U.S. Attorney William E. LaRosa.

Individuals with information about allegations of fraud involving COVID-19 are encouraged to report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

The claims resolved by the settlement are allegations only.  There has been no determination of liability.

Source: United States Department of Justice Criminal Division

Matthew Dane Billingsley, 40, of Fresno, was sentenced today by U.S. District Judge Jennifer L. Thurston to seven years and six months in prison for wire fraud in a scheme that defrauded individual lenders and financial institutions out of more than $30 million, U.S. Attorney Eric Grant announced.

“The defendant defrauded victims out of millions of dollars. Over nearly five years, he repeatedly and deliberately committed crimes by altering documents, forging signatures, and otherwise lying,” said U.S. Attorney Grant. “This office, together with our law enforcement partners, will continue to aggressively pursue those who defraud victims and threaten our financial system through deceit.”

“Matthew Billingsley orchestrated a deliberate campaign of fraud, stealing more than $30 million through falsified documents,” said FBI Sacramento Special Agent in Charge Sid Patel. “The FBI, in partnership with IRS Criminal Investigation, put an end to his pattern of manipulation and exploitation. We will relentlessly pursue those who victimize others through dishonesty and greed.”

“Today’s sentencing sends a clear message: those who engage in deception to defraud lenders and abuse the financial system will be held accountable,” said IRS Criminal Investigation (IRS‑CI) Oakland Field Office Special Agent in Charge Linda Nguyen. “By fabricating brokerage statements and misusing loan funds, Mr. Billingsley not only betrayed the trust of financial institutions and individual lenders but also undermined the integrity of our financial markets. IRS-CI uses fundamental accounting principles mixed with advanced technology to build investigations that extinguish such financial deceit.”

According to court documents, between June 2018 and February 2023, Billingsley made false representations about having a brokerage account with millions of dollars in assets to serve as collateral for loans. Billingsley gave fabricated brokerage account statements to obtain more than $30 million in loans from individual lenders and financial institutions. The brokerage account statements were false because the brokerage account did not exist. Billingsley also misrepresented to individual lenders and financial institutions the intended use of the loan funds and, instead, used the money to pay down previous loans and for his personal benefit.

To obtain one of the loans, Billingsley used a Fresno restaurant owner’s name and signature on a profit-sharing agreement that Billingsley created and forged. Billingsley presented the false and fraudulent profit-sharing agreement to a financial institution to obtain a loan.

This case was the product of an investigation by the Federal Bureau of Investigation and the IRS Criminal Investigation. Assistant U.S. Attorney Brittany M. Gunter prosecuted the case.

Source: United States Department of Justice Criminal Division

BEAUMONT, Texas – A Liberty County convicted felon has been charged with a firearms violation in the Eastern District of Texas, announced U.S. Attorney Jay R. Combs.

Jason Reeves, 51, was named in an indictment returned by a federal grand jury in the Eastern District of Texas charging him with possession of a firearm by a prohibited person.

The indictment alleges that on November 21, 2025, Reeves, a convicted felon, was found in the Eastern District of Texas in possession of a firearm.  As a convicted felon, Reeves is prohibited by federal law from owning or possessing firearms.

If convicted, Reeves faces up to 15 years in federal prison.

This case is part of Operation Take Back America a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.

This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and Liberty County Sheriff’s Office and prosecuted by Assistant U.S. Attorney Reynaldo P. Morin.

A federal indictment is not evidence of guilt.  All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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Source: United States Department of Justice Criminal Division

CHARLESTON, S.C. — Jaidan Latrell Alexander, 26, of Ladson, was sentenced to 10 years in federal prison after pleading guilty to possessing firearms in furtherance of drug trafficking crimes and possession of marijuana with intent to distribute.

Evidence presented in court showed that Alexander obtained multiple firearms through a straw purchasing scheme involving a family member, despite being prohibited from possessing firearms because of his prior criminal convictions. Investigators also recovered social media evidence showing that Alexander was actively involved in narcotics distribution, and he was arrested several times while armed.

According to court records, on April 13, 2023, Alexander exchanged gunfire outside his Ladson apartment during an attempted robbery. A later search of the apartment uncovered firearms, illegal drugs, and equipment used to package and distribute narcotics.

On Aug. 30, 2024, agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives arrested Alexander at his residence and executed a search warrant. Inside, they found additional firearms, hundreds of rounds of ammunition, drug-distribution tools including scales, vacuum sealers, and packaging materials, and more than 2.5 pounds of marijuana.

United States District Judge Bruce H. Hendricks sentenced Alexander to 10 years imprisonment to be followed by five years of court ordered supervision. There is no parole in the federal system.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Chris Lietzow is prosecuting the case.

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Source: United States Department of Justice Criminal Division

Today, following Attorney General Pamela Bondi’s announcement that Alina Habba will serve as Senior Advisor to the Attorney General for United States Attorneys, Deputy Attorney General Todd Blanche announced the following personnel appointments and authorizations within the District of New Jersey:

• Philip Lamparello will serve as Senior Counsel and is authorized to supervise or conduct the work of the district’s Criminal Division and Special Prosecutions Division, including such work in the district’s branch offices;
• Jordan Fox will serve as Special Attorney and is authorized to supervise or conduct the work of the district’s Civil Division and Appellate Division, including such work in the district’s branch offices, along with any other matters arising within the district not specifically delegated herein; and
• Ari Fontecchio will serve as Executive Assistant United States Attorney and is authorized to supervise or conduct the work of the district’s Administrative Division, along with any other administrative matters arising within the district.

“The Department of Justice is committed to bringing in the best and brightest to carry out our mission,” said Deputy Attorney General Todd Blanche. “I have full confidence in each of these exceptional attorneys and look forward to our continued collaboration as we make New Jersey and America safe again.”

Source: United States Department of Justice Criminal Division

BOSTON – A Dominican national unlawfully residing in Dorchester pleaded guilty on Friday in federal court in Boston to his role in a large-scale fentanyl trafficking conspiracy.

Anderson Ernesto Andujar Echavarria, 28, pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl; three counts of distribution of 40 grams or more of fentanyl; one count of distribution of 40 grams or more of fentanyl and methamphetamine; and one count of possession with intent to distribute 400 grams or more of fentanyl. U.S. District Court Judge Indira Talwani scheduled sentencing for April 6, 2026. The defendant was arrested and charged in September 2024 along with three co-conspirators: Waner Bernabel Presinal; Carlos Fabal; and Freddy Artemio Guerrero Soto.

In November 2023, law enforcement identified Andujar as a large-scale drug trafficker distributing various narcotics. Over the course of the investigation, Andujar distributed tens of thousands of press fentanyl tablets as well as powdered fentanyl, cocaine and crystal methamphetamine to undercover law enforcement.

Bernabel was identified as a co-conspirator who worked with Andujar to distribute fentanyl pills and Fabal was identified as a fentanyl pill supplier to Andujar. Fabal was previously convicted in 2007 in federal court in Boston of conspiracy to distribute cocaine, for which he was sentenced to 67 months in prison and five years of supervised release.

At the time of the arrests, 30,000 blue pressed fentanyl pills were seized along with and 500 grams of powder fentanyl from Andujar and Guerrero Soto.

All three of Andujar’s co-defendants have pleaded guilty. Fabal and Bernabel each pleaded guilty in September 2025 and October 2025, respectively, and are scheduled to be sentenced in March 2026. Guerrero Soto pleaded guilty in February 2025 and, in May 2025, was sentenced to 30 months in prison.

The charge of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl provides for a sentence of at least 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. The charges of distribution of 40 grams or more of fentanyl and distribution of 40 grams or more of fentanyl and methamphetamine each provide for a sentence of at least five years up to 40 years in prison, at least four years and up to a lifetime of supervised and a fine of up to $5 million. The charge of possession with intent to distribute 400 grams or more of fentanyl provides for a sentence of at least 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million.  Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

United States Attorney Leah B. Foley and Jarod A. Forget, Special Agent in Charge of the Drug Enforcement Administration in New England made the announcement. Valuable assistance in the investigation was provided by the Massachusetts State Police and Boston Police Department. Assistant U.S. Attorney Christopher Pohl of the Criminal Division is prosecuting the case.

Source: United States Department of Justice Criminal Division

BOSTON – A Rockland, Mass. man was sentenced on Dec. 3, 2025 in federal court in Boston for being a convicted felon in possession of a firearm and ammunition.

Lamont Boswell, 40, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to 83 months in prison to be followed by three years of supervised release. In September 2025, Boswell pleaded guilty to one count of unlawfully possessing a firearm and ammunition while being a convicted felon as well as violating the terms of his supervised release.

On April 2, 2025, while conducting a wellness check on Boswell who appeared to be passed out in the driver’s seat of his parked car, law enforcement found a pistol inside the vehicle. The recovered firearm was a Smith and Wesson semi-automatic handgun, loaded with 13 9mm rounds of ammunition in the magazine and one 9mm round in the chamber.

At the time of the offense, Boswell was under federal supervision after being convicted in 2021 of being a felon in possession of a firearm and ammunition, for which he was sentenced to 57 months in prison and three years of supervised release. In that case, Boswell was also found to have illegally possessed a loaded firearms while driving his car.

United States Attorney Leah B. Foley and Thomas Greco, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division made the announcement. Special assistance was provided by Plymouth County District Attorney’s Office and the Scituate Police Department. Assistant U.S. Attorney Fred M. Wyshak III of the Organized Crime & Gang Unit prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

Source: United States Department of Justice Criminal Division

BEAUMONT, Texas – A Mexican national, illegally living in Dayton, has been charged with a firearms violation, announced Eastern District of Texas U.S. Attorney Jay R. Combs.

Vicente Gerardo-Cruz, 47, was named in an indictment returned by a federal grand jury in the Eastern District of Texas charging him with possession of a firearm by a prohibited person.

The indictment alleges that on November 5, 2025, Gerardo-Cruz, an illegal alien, was found in the Eastern District of Texas in possession of a firearm.  As an illegal alien, Gerardo-Cruz is prohibited by federal law from owning or possessing firearms in the United States.

If convicted, Gerardo-Cruz faces up to 15 years in federal prison.

This case is part of Operation Take Back America a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.

This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and Homeland Security Investigations and prosecuted by Assistant U.S. Attorney Reynaldo P. Morin.

A federal indictment is not evidence of guilt.  All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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Source: United States Department of Justice Criminal Division

BEAUMONT, Texas – A Mexican national, illegally living in Splendora, has been charged with child exploitation violations, announced Eastern District of Texas U.S. Attorney Jay R. Combs.

Henry Alberto Calix-Martinez, 24, was named in an indictment returned by a federal grand jury in the Eastern District of Texas charging him with production and distribution of child pornography.

The indictment alleges that Calix-Martinez sexually exploited a minor by producing and distributing child pornography.

If convicted, Calix-Martinez faces up to 30 years in federal prison.

This case is part of Operation Take Back America a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs) and protect our communities from the perpetrators of violent crime.

This case is being investigated by Homeland Security Investigations and prosecuted by Assistant U.S. Attorney Joseph R. Batte.

A federal indictment is not evidence of guilt.  All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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