Category: MIL-OSI

Source: US FBI

CLEVELAND, OH—In honor of World Elder Abuse Awareness Day on June 15, the FBI wants to remind friends, family, and loved ones of elderly Americans to know the signs of elder fraud. While elder abuse can be perpetuated in any number of ways, the FBI has seen a double digit increase in financial fraud involving older adults, prompting efforts from the bureau to bring public awareness to this type of crime.

According to the FBI’s latest Internet Crime Complaint Center (IC3) data, there have already been $1.6 billion in losses from January to May of 2024, up nearly $300 million from the same time period last year. In 2023, a total of $3.4 billion losses were reported, and elder fraud complaints increased by 14% from the year prior. In Ohio, total losses in 2023 were over $64 million.

“Empowering our seniors and their friends and family with education surrounding elder fraud schemes is critical to protecting them and their hard-earned money,” said Assistant Director Michael Nordwall of the FBI’s Criminal Investigative Division. “Unfortunately, elder fraud remains one of the most devastating violations we work in the FBI. The effects of these elaborate schemes go far beyond just financial losses. It robs an already vulnerable population of their sense of security. We all need to work together to make sure our seniors, their caregivers, families, and friends know the signs to look for that a criminal is after your money.”

“Unfortunately, we are seeing a growing number of northeastern Ohio seniors who have been a victim of some type of fraud or scam. The impact to victim lives is crushing, whether that is the financial toll or mental and emotional strain brought on by coercion or physical threats, regardless of how large or small the offense.

Remember, we need to educate our loved ones—no matter their age, about the warning signs of fraudulent behavior that can transpire via text, phone call, online, through the mail, or at their doorstep. A simple conversation can help to prevent another person from becoming a victim,” said FBI Cleveland Assistant Special Agent in Charge Charlie Johnston.

Criminal actors frequently target older adults, who they perceive to be more vulnerable and trusting. Criminal actors may also assume older adults have considerable financial savings, own real estate, have good credit, and are less likely to report fraud, especially if they feel ashamed following the fraud victimization or are unfamiliar with reporting channels such as IC3.gov.

Among the most common elder fraud schemes reported to IC3.gov in 2023 were tech support scams, confidence and romance scams, investment scams, and government impersonation scams. From 2021 to 2023, elder adult victim and dollar losses to investment scams has sharply increased; victimization and losses increased 209% and 419%, respectively, more than any other kind of fraud, largely because of the rising use of cryptocurrency.

While fraud can happen to anyone, small steps can be taken to protect yourself and your information:

• Search online for the contact information (name, phone number, email, addresses) of any unknown source which reaches out to you, as well as the proposed offer. Verify the legitimacy of businesses on websites such as Better Business Bureau. Other people have likely posted information online about businesses and individuals attempting to run scams.

• Resist the pressure to act quickly. Scammers create a sense of urgency to lure victims into immediate action, typically by instilling trust and inducing empathy or fear, or the promise of monetary gains, companionship, or employment opportunities.
• Be cautious of unsolicited phone calls, mailings, and door-to-door service offers.
• Never give or send to unverified people or businesses any personally-identifiable information, money, checks, gift cards, or wire information.
• Take precautionary measures to protect your identity should a criminal gain access to your device or account. Immediately contact your financial institutions to place protections on your accounts and monitor for suspicious activity.

Combating elder fraud continues to be a priority for the Department of Justice, which operates the Elder Justice Initiative. The Elder Justice Initiative supports and coordinates the DOJ’s enforcement and programmatic efforts to combat elder abuse, neglect, and financial fraud and scams that target our nation’s seniors.

If you believe you or someone you know may have been a victim of elder fraud, contact your local FBI office or submit a complaint on IC3.gov. You should document the name of the scammer/company and methods of contact, dates of contact, methods of payment, where funds may have been sent, and a thorough description of the interactions.

Resources:

Source: US FBI

The Cleveland Clinic Foundation (CCF) has agreed to pay $7,600,000 to resolve allegations that it violated the False Claims Act (FCA) by submitting to the National Institutes of Health (NIH) federal grant applications and progress reports in which CCF failed to disclose that a key employee involved in administering the grants had pending and/or active financial research support from other sources.

The settlement resolves allegations that CCF made false statements to NIH, a component of the Department of Health and Human Services (HHS), in connection with three federal grant awards. Despite NIH requirements to do so, CCF repeatedly failed to disclose that the employee who it designated as the Principal Investigator on each grant had pending and/or active grants from foreign institutions that provided financial assistance to support the employee’s research and already obligated that employee’s research time. CCF falsely certified that the grants submissions were true and accurate.

NIH requires full transparency in applications and throughout the life of the grants it awards. This includes a requirement that grant applicants disclose all sources of research support, from any source, on grant applications and on follow-up documents relating to grant awards. NIH uses this information to determine if the applicant has the time necessary to allocate to the proposed research project, and if the research proposal has other sources of funding that are duplicative. It also assists NIH in determining if an applicant’s financial interests may affect its objectivity in conducting research.

The settlement also resolves allegations that CCF violated NIH password policies by permitting CCF employees to share passwords. Some of the false submissions wherein CCF failed to disclose the Principal Investigator’s foreign grant support were made by CCF employees who were inappropriately given access to NIH’s online grant reporting platform.

“Each year, NIH awards federal grants to support research to improve public health, but those funds are limited and the grant process is competitive. Every entity or person who seeks such grant money must strictly play by the rules. As stewards of taxpayer dollars, our Office takes seriously its responsibility of ensuring that grant recipients fully and accurately report all required information to NIH so that it may properly award its limited funds to deserving institutions,” said U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio. “Today’s settlement illustrates the importance of being truthful at every stage of the grants process.”

In addition to the $7.6 million settlement, NIH has imposed Specific Award Conditions on all CCF’s grants for a one-year period. Federal regulations allow NIH to impose Specific Award Conditions on grant recipients, including on recipients that do not comply with the terms of a federal award. In this case, NIH is requiring a high-level CCF employee to personally attest to the truth, completeness, and accuracy of all “other grant support” information CCF provides to NIH. CCF must also develop a corrective action plan that includes an assessment of internal controls related to other grant support and foreign-component reporting; create a mandatory training program addressing requirements for disclosing other grant support, research security, and cyber security; and develop an improvement plan for its internal controls, ensuring that CCF has oversight at the institutional level to confirm that the information its Principal Investigators disclose is true, complete, and accurate, among other requirements. The Specific Award Conditions will begin Oct. 1, 2024, and remain in effect through Sept. 30, 2025, or until NIH is satisfied that CCF has successfully completed the Corrective Action Plan.

“The accuracy of information reported in applications and other documentation related to federal grants is critical to ensuring that these limited funds are utilized in the most efficient and effective manner and that the integrity of the application process is upheld,” said Special Agent in Charge Mario M. Pinto, of the United States Department of Health and Human Services Office of Inspector General (HHS-OIG). “Our agency is committed to ensuring that those who submit false statements in grant applications are identified and investigated, in cooperation with our federal law enforcement partners.”

A cooperative effort between HHS-OIG, the FBI, and the U.S. Attorney’s Office for the Northern District of Ohio resulted in the resolution obtained in this matter. Assistant United States Attorneys Michelle Heyer and Elizabeth Berry investigated the matter on behalf of the U.S. Attorney’s Office.

This settlement illustrates the government’s emphasis on combating fraud. If you have information regarding potential fraud, waste, abuse, or mismanagement in the U.S. Department of Health and Human Services’ programs, please file a report with OIG’s Hotline. You can submit your tip or complaint online at https://oig.hhs.gov/fraud/report-fraud/ or contact the OIG Hotline at 1-800-447-8477. The claims resolved by the settlement are allegations only and there has been no determination of liability.

Source: US FBI

CLEVELAND, OH—The FBI Cleveland Division and its Joint Terrorism Task Force announce the arrests of two individuals charged with numerous firearms violations, including trafficking, smuggling, and murder-for-hire.

George Baynes, aka Issa Yusef, age 66, of Cleveland, Ohio, and Aaron Betts, age 48, of Cleveland, Ohio, were arrested on May 10, 2024, and charged by criminal complaint in U.S. District Court, Northern District of Ohio, with several federal offenses.

It is alleged in charging documents that Baynes and Betts violated Title 18, United States Code, Section 922(d)(1), Selling or Disposing of a Firearm to a Convicted Felon; Title 18, United States Code, Section 932(b), Conspiracy to Straw Purchase Firearms; Title 18, United States Code, Section 933(a)(1), Firearms Trafficking; and Title 18, United States Code, Section 933(a)(1) and (3), Firearms Trafficking Conspiracy; and there is also probable cause that BAYNES has violated Title 18, United States Code, Section 554(a), Attempted Smuggling of Goods from the United States; Title 18, United States Code, Section 922(g)(1), Felon in Possession of a Firearm; and Title 18, United States Code, Section 1958(a), Murder-for-Hire. Finally, there is probable cause that BETTS has also violated Title 18, United States Code, Section 932(b), Straw Purchasing of Firearms.

Baynes and Betts were arrested without incident by federal agents and made their initial appearance on May 10, 2024, in U.S. District Court, Northern District of Ohio.

It is alleged in charging documents that Baynes repeatedly purchased and sold new and stolen firearms and further attempted to smuggle firearms overseas. Baynes also enlisted the assistance of Betts to purchase and obtain firearms at a Cleveland area gun show. Betts purchased and sold multiple firearms to Baynes, a known felon, and further understood the weapons were to be shipped overseas.

Baynes, according to the complaint, also provided a cooperating witness with firearms magazines and a gas mask to smuggle overseas along with the firearms and discussed smuggling parts for the creation and manufacture of pipe bombs. Additionally, Baynes solicited the witness to murder a specific subject known to Baynes.

Baynes and Betts are being held in custody pending detention and preliminary hearings.

A complaint is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

If convicted, each defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum, and, in most cases, it will be less than the maximum.

The investigation is being conducted by the Federal Bureau of Investigation, Cleveland Division, and its Joint Terrorism Task Force, which includes the Akron Police Department, ATF, CBP, Cleveland Division of Police, CMHA, Cuyahoga County School District, Cuyahoga County Community College Police Department, ERO, HSI, Parma Police Department, RTA, SSA, USCIS, USDA, and USSS.

Source: US FBI

CLEVELAND – A federal grand jury has returned a 17-count indictment charging Yue Cao, 34, of Winfield, Illinois, accusing him of bank fraud, aggravated identity theft, and engaging in monetary transactions in criminally derived property in connection with a scheme to steal funds from identity theft victims’ accounts at the bank where he worked.

According to the indictment, from between approximately May 2022 to April 2023, Cao allegedly engaged in a scheme to defraud the Ohio-based bank where he worked, and its customers, by transferring funds from those customers’ accounts to ones that Cao controlled, including accounts he had established in the customers’ names, all without their knowledge or authorization. He diverted the money stolen from the customer accounts for his personal use.

Cao was a quantitative modeling analyst at the bank and used his position to locate customers who had not yet enrolled in online banking services, primarily targeting elderly customers as identity theft victims. Without the victims’ knowledge, Cao created email addresses in their names and enrolled their accounts in online banking without their knowledge. By setting up online banking, he both obtained control of the victims’ accounts and ensured that bank statements and other notices about the accounts would be sent to the email addresses he controlled. Cao then used the victims’ personal identifying information to open unauthorized bank accounts and brokerage accounts in their names. Cao used his control of these accounts to set up at least $2.1 million in unauthorized online transfers from the victims’ true accounts to the unauthorized accounts he had opened in the victims’ names and to Cao’s own financial accounts.

An indictment is only a charge and not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum, and, in most cases, it will be less than the maximum.

The investigation was conducted by the FBI Cleveland Division. The case is being prosecuted by Assistant United States Attorney Edward Brydle.

Source: US FBI

            WASHINGTON – An Ohio man was convicted today of multiple felony and misdemeanor offenses, including assaulting law enforcement during the Jan. 6, 2021, breach of the U.S. Capitol. His actions and the actions of others disrupted a joint session of the U.S. Congress convened to ascertain and count the electoral votes related to the 2020 presidential election.

            Jonathan Joseph Copeland, 29, of Lima, Ohio, was convicted of six felonies and two misdemeanor offenses in U.S. District Court for the District of Columbia following a bench trial before U.S. District Court Judge Dabney L. Friedrich.

            Specifically, Copeland was convicted of the felony offenses of civil disorder, and assaulting, resisting, or impeding certain officers, entering and remaining in a restricted building or grounds, disorderly or disruptive conduct in a restricted building or grounds, and engaging in physical violence in a restricted building or grounds, all with a deadly or dangerous weapon. Copeland was also convicted of misdemeanors for an act of physical violence in the Capitol building or grounds and parading, demonstrating or picketing in a Capitol Building.

            Judge Friedrich will sentence Copeland on Sept. 18, 2024 at 1 p.m.  

            According to court documents and evidence presented during the trial, Copeland traveled from Ohio to Georgia to hear then-President Trump speak, and then to Washington, D.C., where he attended portions of the “Stop the Steal” rally on Jan. 6, 2021, at the Ellipse. Afterward, Copeland marched with others to the Peace Circle, located on U.S. Capitol grounds, where he walked around the downed barriers at the Peace Circle and moved towards the front of a line of rioters behind a bike-rack-style barrier manned on the opposite side by several U.S. Capitol Police (USCP) officers protecting the U.S. Capitol complex.

            At approximately 12:52 p.m., a group of rioters, including Copeland, advanced on the manned bike rack barricade. They pushed through the officers and the barricade to move closer to the building. Specifically, Copeland, with his arms outstretched, pushed on the backs of other rioters as those rioters pushed on the barricade. After the rioters overwhelmed the officers and trampled over the barricade, Copeland and his fellow rioters charged forward toward the West Plaza.

            At approximately 1:40 p.m., Copeland participated in pushing a large metal frame holding an oversized “TRUMP” sign into a defensive line of Metropolitan Police Department (MPD) and USCP officers, who were attempting to prevent a further advance towards the Capitol building. Copeland placed both hands onto the sign and pushed it into the line of officers.

            Court documents and trial testimony reflect that the all-metal frame was approximately eight feet tall and ten feet wide, welded with screws, and supported by large casters and wheels that were approximately the size of a person’s head. As described by one MPD officer who was a member of the defensive police line, the sign frame was heavy, with sharp metal angles jutting towards the officers.

            Also on the West Front, Copeland began arguing with a photographer within the crowd. Copeland shoved the cameraman several times and then a group of rioters attacked the photographer and pushed him off a ledge.

            Court documents and trial testimony reflect that Copeland entered the Capitol building at 2:25 p.m. via the Senate Wing Door. Once inside, he traveled through the Crypt and to the Capitol Visitor Center, repeatedly waving at other rioters to join him further inside the Capitol building. He finally exited the building at approximately 2:41 p.m. via a window next to the Senate Wing Door.

            The FBI arrested Copeland in Fort Shawnee, Ohio on Aug. 25, 2022.

            The U.S. Attorney’s Office for the District of Columbia and the Department of Justice National Security Division’s Counterterrorism Section prosecuted this case. The U.S. Attorney’s Office for the Northern District of Ohio provided valuable assistance.

            The FBI’s Cleveland and Washington Field Offices investigated this case. The United States Capitol Police and the Metropolitan Police Department provided valuable assistance.

            In the 40 months since Jan. 6, 2021, more than 1,424 individuals have been charged in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 500 individuals charged with assaulting or impeding law enforcement, a felony. The investigation remains ongoing.

            Anyone with tips can call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.