BRONX MAN INDICTED FOR SEXUAL ASSAULT OF 12-YEAR-OLD GIRL HE FOLLOWED, DRAGGED INTO ALLEYWAY AT GUNPOINT

Defendant Extradited From Massachusetts; Faces Up To Life In Prison

  Bronx District Attorney Darcel D. Clark today announced that a Bronx man has been indicted on Predatory Sexual Assault and other sexual crimes for attacking a 12-year-old girl at gunpoint. 

   District Attorney Clark said, “An act of violence against a child is the worst imaginable crime and one of sexual violence is especially heartbreaking. The defendant faces life behind bars, a sentence worthy of the brutal crime he is charged of committing. We will work hard to see that the brave survivor of this horrific attack receives justice.” 

 District Attorney Clark said the defendant, Malcolm Lugo, 20, of 1771 Monroe Avenue, was indicted for Predatory Sexual Assault against a Child, two counts of first-degree Criminal Sexual Act, Predatory Sexual Assault, first-degree Sexual Abuse, Endangering the Welfare of a Child and fourth-degree Criminal Possession of a Weapon. He was arraigned today before Bronx Supreme Court Justice George Villegas. He was remanded and is due back in court on Feb. 13, 2018. If convicted of the top charge, he faces up to life in prison. 

  According to the investigation, on the morning of August 13, 2017, near the area of Weeks Avenue and East 173rd Street in Concourse Village, the defendant followed a 12-yearold girl who was returning from a local store. The defendant allegedly placed a gun to the child’s head and dragged her into a nearby alley, where he sexually assaulted her. Before fleeing the scene, he threatened the victim, stating “I know where your family is” and “I’ll kill them all.” The District Attorney’s Office worked with the Fugitive Task Force Warrant Squad to locate the defendant in Massachusetts.

  District Attorney Clark thanked NYPD Detectives Christopher Ort and Harris Goldner of the Bronx Special Victims Unit.

An indictment is an accusatory instrument and not proof of a defendant’s guilt.

Comptroller Stringer Releases 4th Annual Making the Grade Report

Since letter grades started in 2014, progress emerging

More Agencies Receiving “A” and “B” grades than ever before, though some agencies holding the City back

Annual spending with M/WBEs to $554 million in FY 2017, an increase of $208 million since FY 2014

   Comptroller Scott M. Stringer released his fourth annual “Making the Grade” Report, which evaluates each City agency’s contracting with minority- and women-owned businesses – or M/WBEs. Using an identical formula as previous iterations of the report, the 2017 “Making the Grade” gives the City an overall “D+” grade for the third straight year.

In FY 2017, the City awarded $21 billion total in goods and services to outside vendors. Of all citywide contracts, just over $1 billion was awarded to M/WBEs. That represents 4.9 percent of all citywide awards – an uptick from 4.8 percent a year ago and a rise from 3.9 percent in FY 2014.

Enacted in 2013, Local Law 1 regulates the M/WBE program. When examining Local Law 1 spending specifically – which reflects a smaller subset of overall City procurement – the City awarded 11.4 percent of all its contracts with M/WBEs. Though it represents a decline from 13 percent two years ago, it reflects a significant rise from 6.8 percent in FY 2014.

Promising signs have emerged, however. In FY 2017:

• Actual spending with M/WBE firms is up to $554 million in FY 2017, a $208 million increase since FY 2014
• 22 percent of the 5,259 certified M/WBEs received City spending, compared to 18 percent in FY 2014. The number of M/WBE companies receiving City contracts – 1,113 in total – has reached an all-time high.
• In the last three years, the City has certified nearly 1,000 more M/WBEs, which helps those companies receive government services and contracts – a jump from 4,115 in FY 2015 to 5,259 in FY 2017.
• The Commission on Human Rights, the Department for the Aging, and the Department of Small Businesses Services – which received a “C”, “D”, and “D” in FY 2014 respectively – all received ‘A’ grades. That represents a concerted, laudable effort by those agencies to increase their spending with M/WBEs.

“Four years ago, we launched this groundbreaking report to elevate conversation about fairness in our economy. Today, progress is happening. For decades, the deck has been stacked against M/WBEs. But now, we’re seeing steps in the right direction,” Comptroller Stringer said. “This issue is about growing our neighborhoods by delivering real, community-level wealth creation. It’s critical to tackling our affordability crisis, and let there be no doubt that the City has a long way to go. The Mayor’s Office and Deputy Mayor Buery, in particular, must be recognized for taking important steps forward. It’s our hope and belief that the initiatives launched by the City recently will pay dividends in our reports down the road.”

“Making the Grade” awards agency grades based on the actual spending in each fiscal year, rather than the registered value of contracts, which may or may not result in actual spending and can often span multiple years. The report uses data from CheckbookNYC – the Comptroller’s transparency website – to analyze how much 31 Mayoral Agencies and the Comptroller’s Office spent with M/WBEs during the last fiscal year. While spending with M/WBEs has increased in recent years, the City’s grade remains a “D+” largely because agencies with the highest spending are also those with the worst M/WBE performance. Last year:

• Compared to FY 2016, grades increased at 13 agencies in FY 2017. Overall, 42 percent of agencies saw their grade increase in the last year.
• There are now more agencies receiving “A” and “B” grades than ever before.
• Grades decreased at seven agencies and remained the same at 11 agencies.
• Four agencies received “F” grades. The Department of Buildings, the Department of Citywide Administrative Services, the Department of Sanitation, and the Department of Transportation scored the lowest marks.
• The Comptroller’s Office received a “B” grade for the second straight year. In FY 2017, the Comptroller’s Office spent $3.3 million with M/WBEs, or 24.3 percent of total office procurement.

As part of this report, Comptroller Stringer issued a series of policy recommendations for the City to pursue in order to attain the Administration’s goals of certifying 9,000 M/WBEs by 2019 and awarding 30 percent of the dollar value of contracts to M/WBEs by 2021. Specifically, this report calls on the City to take the following additional steps:

• Assess large contracts with upcoming renewals and consider re-bidding to create new M/WBE opportunities;
• Establish a working group comprised of all certifying bodies and relevant stakeholders to streamline the certification process through a universal certification system. Even with recent improvements, the current M/WBE certification process is too cumbersome. As many as 10 separate entities certify M/WBEs and each have different processes that vary in their requirements.
• Like the Comptroller’s Office, the City should hire a full time Chief Diversity Officer (CDO) at every City agency to focus exclusively on M/WBE accountability. Each City agency should do so as well. Similar to the M/WBE Officer, the CDO would report directly to the agency head. However, M/WBE accountability would be the full time focus of the CDO, rather than just one part of their larger portfolio.

To read the full report, click here, and to view Power Point slides on the report, click here.

Comptroller Stringer Launches New Interactive Website Analyzing the City’s Economy, Releases Report on the City’s Growth in the 3rd Quarter of 2017

New website available at www.comptroller.nyc.gov/EconomicData

NYC’s economy continued to grow, as both the number of jobs and earnings rose

For the first time ever, venture capital in the New York City Metro Area outpaced both San Francisco and Silicon Valley

   Between July and September 2017, New York City’s economy continued to grow, expanding by 3.6%, according to an analysis released today by New York City Comptroller Scott M. Stringer. The report also shows that while average wages grew moderately and venture capital investment in the City reached an all-time high in the third quarter of 2017, 45% of the new jobs created were in low-wage industries.

In addition to releasing the report, Comptroller Stringer launched a new website — www.comptroller.nyc.gov/EconomicData — that presents data on the City’s economy in an accessible, open, and easy to manipulate way. This will allow everyday New Yorkers, policymakers, and economists to explore the data that underpins the Comptroller’s Quarterly Economic Reports and analyze the City’s economic performance over time.

“In an age of ‘alternative facts,’ transparency matters. Everyone should be able to access economic data in a digestible way — and we’ve developed a new, innovative tool to do just that. Sunlight matters now more than ever,” New York City Comptroller Scott M. Stringer said. “Our economic analysis shows that New York City’s economy is continuing to grow — but it’s a mixed bag. Both employment and venture capital are near record highs, and wages are finally starting to grow. But from the high number of low-wage jobs, to the city’s affordability crisis, to chaos in Washington around budgeting, there are concerns on the horizon. My office will keep crunching the numbers New Yorkers need — so we can plan today for anything that happens tomorrow.”

Released every three months, the Comptroller’s Quarterly Economic Update tracks New York City’s economic health and analyzes the City’s economy in a national context. The report includes information on economic growth, unemployment, average wages, business activity, real estate transactions, and other economic indicators. For the first time ever, the report and its underlying data are available on an interactive website at www.comptroller.nyc.gov/EconomicData.

Findings include:

Economic Growth Continued to Speed Up

• In the 3rd quarter of 2017, New York City’s economy grew at a rate of 3.6% — up from 3.3% in the previous quarter, and triple the growth rate of 1.2% in the 3rd quarter of 2016;
• The City’s economy out-performed the national economy, growing 3.6%, compared to 3.0% nationwide.

Job Growth Remained Robust, But Concerns About Low-Wage Jobs Lingered

• In the 3rd quarter, New York City added 29,000 private sector jobs, for a seasonally-adjusted annual rate of growth of 2.7%. Job growth in the city accelerated from last quarter, and was once again stronger than the rest of the country;
• Since the city’s economic recovery began at the end of 2009, the city has added an average of 23,500 jobs per quarter — resulting in an average annual growth rate of 2.7%. Over the same time period, the national growth rate was just 2.0%;
• The City’s unemployment rate, adjusted for seasonality, was 4.9% in the 3rd quarter — up from an all-time low of 4.3% in the 1st and 2nd quarters of the year – but initial unemployment claims continue below trend;
• Continuing a years-long trend, most of the new private-sector jobs added in the 3rd quarter — 13,100 jobs, or 45.0% — were in low-wage industries. An almost equal number, 13,000 jobs (44.9%) were in medium-wage industries;
• The remainder of the jobs created in the 3rd quarter, 10.1%, were in high-wage industries. On this metric, New York City is lagging the nation — in the 3rd quarter, 16.2% of all new jobs in the United States were in high-wage jobs;
• Just 36% of new jobs were in the export sector, which provides goods and services to those outside the NYC metro area, while the remainder were in the local job sector. Export sector job growth typically leads to the creation of more local sector jobs.

Average Wages in New York City Rose Modestly

• Average hourly earnings for private employees in New York City rose 2.7% compared to the 3rd quarter of 2016 to $34.95. This was the largest third-quarter gain since 2015;
• Similarly, Personal Income Tax (PIT) revenues rose 7.8% year-over-year. PIT revenues are made up of two sources, which account for income based on wages and from non-wage sources:
• Withholding tax revenues on wage income rose 14.0% compared to the 3rd quarter of 2016;
• Estimated tax payments on non-wage income, such as interest, rental income, and capital gains, fell 5.7% year-over-year.

Venture Capital Registered a Record High

• After multiple quarters of falling venture capital investment, New York City saw an uptick in the 2nd quarter of 2017. That growth continued in the 3rd quarter, and venture capital investment in the New York City metro area reached an all-time high of $4.23 billion;
• For the first time ever, New York City saw more venture capital investment than both San Francisco and Silicon Valley;
• This massive increase in New York City-based venture capital was in a large part due to a $3 billion investment in WeWork.

New York City’s Real Estate Markets Showed Mixed Data

• In the 3rd quarter of 2017, new commercial leasing activity in Manhattan reached 8.1 million square feet — 17.2% higher than the 3rd quarter of 2016, and the highest level of 3rd quarter leasing since 2006;
• The Manhattan housing market softened in the 3rd quarter of 2017. After nine straight quarters of growth, average sales prices and average price per square foot fell to $2 million (down 1.3% year-over-year) and $1,678 (down 11.5% year-over-year), respectively;
• Similarly, housing market prices in Brooklyn softened, as the average sales prices fell 0.2% year-over-year to $981,623;
• In Queens, however, the average sales price rose 9.3% year-over-year to $614,492;
• The rental market was mixed, with the number of new leases in September 2017 declining 10.7% in Manhattan, falling 4.1% in Brooklyn, but increasing 0.7% in Queens, when compared to September 2016;
• Over the same time period, average asking rents fell 0.6% in Manhattan and 2.3% in Brooklyn, while they grew 3.5% in Queens.

Positive Leading Economic Indicators Point to Future Growth

• Overall leading economic indicators for the City, originally introduced to the Comptroller’s Quarterly Economic Update earlier this year, point to growth in the coming months;
• As reported by ISM-New York, the business condition index — which measures business procurement professionals’ view of the current state of the economy — rose to 56.4% in the 3rd quarter, up from 52.7% last quarter. A reading above 50% indicates economic growth;
• The ISM-NY six-month outlook, which predicts economic growth over the next six months, fell to 59.0% from 69.4%. While still above 50% — which indicates future growth — this change shows less optimism.

To view the full report, visit Comptroller Stringer’s new, interactive webpage at www.comptroller.nyc.gov/EconomicData or click here for a PDF.

HASA Overview: Entitlements, Housing Options, etc.

Gateway Community Development, Inc.

In Collaboration With

Claremont Neighborhood Centers, Inc., and 

NYC Human Resources Administration/

Dept. of Social Services (HRA/DSS)

            Present an

Information/Education Forum

HASA Overview:

Entitlements, Housing Options, etc.

WHO SHOULD ATTEND:

Civilians & Veterans. Persons new and longtime to the field of HIV/AIDS Services & Supports – Health & Housing Resource and Service Providers, Clients, Advocates, Peer Educators, Ministry Leaders, Family-Go-To-Persons, other. Find out what’s new. Come for review of HASA services/resources & referrals. Learn what you need to know to ensure appropriate referrals, service coordination, and adequate service delivery/acquisition.

PRESENTER

John J. Ruscillo | Director of Housing Services
HRA/DSS Special Services

(Wednesday) November 29, 2017

1:00 P.M. – 3:00 P.M.

At

Claremont Neighborhood Centers, Inc.

489 East 169^th Street

Bronx, NY 10456

(Off corner of E. 169^th Street & Third Ave /

 TRAVEL: Bus #15 to E. 169^th Street & Third Ave)

For Additional Information Contact: Carrie Taft, Founder & President/CEO

Gateway Community Development, Inc | (917) 226-7960 | GtwyCDvlpmntInc@aol.com

Doctor And Four Executives Plead Guilty In $30 Million Scheme To Defraud Medicare And Medicaid

Defendants Fraudulently Ran Medical Clinics and Related Medical Supply and Ambulette Companies, While Paying Elderly People to Act as Patients, and Billing for Unjustified or Non-Existent Medical Goods and Services

  Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced today that five defendants have pleaded guilty in the past week to participating in a scheme to defraud Medicare and Medicaid through the operation of eight medical clinics and related health care providers in Brooklyn. The defendants pleading guilty are Dr. MUSTAK Y. VAID, medical supply company president MARINA BURMAN, clinic executives ASHER OLEG KATAEV, a/k/a “Oleg Kataev,” and ALLA TSIRLIN, and IVAN VOYCHAK, who helped run two of the fraudulent clinics and a related ambulette company. The defendants were charged with participating in a $30 million health care fraud scheme. As part of the scheme, the defendants or their co-conspirators paid cash kickbacks to elderly patients (the “Paid Patients”) insured by Medicare and/or Medicaid, and then billed Medicare and Medicaid for unnecessary medical services, tests, and supplies.

Acting U.S. Attorney Joon H. Kim said:  “These five defendants bilked Medicare and Medicaid out of millions of dollars for unjustified medications, procedures, and supplies. Medicare and Medicaid were established to assist the elderly and economically disadvantaged, not to serve as cash cows for corrupt professionals.”

Five additional defendants remain under indictment in the case, which is scheduled to go to trial before United States District Judge Lorna G. Schofield on April 23, 2018. Those remaining defendants are presumed innocent unless and until proven guilty.

As alleged in the Indictment and in court papers and proceedings in the case: Aleksandr Burman, an individual with no medical license, established eight medical clinics in Brooklyn (the “Related Clinics”), which operated between 2007 and 2013. For each clinic, Aleksandr Burman hired a doctor, one of whom was VAID, as the nominal owner of the clinic, since New York State law requires that such clinics be owned by a medical professional. In fact, however, VAID was hired by Aleksandr Burman simply to pose as the owner of one of the clinics, and to sign medical charts falsely stating that he had examined a number of Paid Patients, and to provide prescriptions and referrals for medically unnecessary supplies.

In pleading guilty, the five defendants have admitted to various specific roles in operating several of the clinics and two related businesses.

VAID, 44, a physician, pled guilty before Magistrate Judge Henry B. Pitman on November 8, 2017 to charges of falsely holding himself out as the owner of one medical clinic, and falsely signing medical documents stating that he had provided medical services that he had not.

BURMAN, 54, is a resident of Manhattan whose former husband, Aleksandr Burman, previously pleaded guilty in a related indictment and was sentenced in May 2017 to 10 years in prison.  BURMAN pled guilty before Judge Schofield on November 14, 2017 to charges that, as the registered president and owner of Universal Supply Depot, she fraudulently billed Medicaid more than $3 million for medical equipment, particularly including large amounts of adult diapers, that were in fact not dispensed. BURMAN was also charged with arranging for Paid Patients to exchange their diaper prescriptions for valuable merchandise, such as bed linens, tablecloths, dishes, kitchen appliances, and other housewares.

KATAEV, 49, and TSIRLIN, 47, who are siblings, pled guilty to charges of helping operate two of the fraudulent clinics, where they participated in bribing patients and causing fraudulent bills to be submitted to Medicare and Medicaid. KATAEV pled guilty before Magistrate Judge Barbara C. Moses on November 6, 2017. TSIRLIN pled guilty before Judge Pitman on November 9, 2017.

VOYCHAK, 37, pled guilty before Magistrate Judge Kevin Nathaniel Fox on November 13, 2017 to charges that he helped operate a medical ambulette company that fraudulently billed Medicaid for transportation services that were not medically necessary, and participated a scheme to pay kickbacks to patients at the fraudulent medical clinics.

Each of the defendants pled guilty to Counts One and Two of the indictment. Count One charges the defendants with conspiring to commit health care fraud, mail fraud, and wire fraud; while Count Two charges each defendant with health care fraud. Count One carries a maximum sentence of 20 years in prison, while Count Two carries a maximum penalty of 10 years in prison.

The statutory maximum sentence is prescribed by Congress and provided here for informational purposes only, as the appropriate sentences will be determined by the Judge.

Mr. Kim praised the investigative work of the New York FBI’s Health Care Fraud Task Force and the New York State Office of the Medicaid Inspector General (“OMIG”).

A.G. Schneiderman Announces Indictment Of Unlicensed Plastic Surgeon And Licensed Physician Charged With Illegally Performing Over 60 Plastic Surgeries

After Losing His Medical License, Brad Jacobs Allegedly Engaged In A Four-Year Scheme To Illegally Perform Over 60 Plastic Surgeries And Many Other Additional Procedures In Manhattan With Licensed Physician Nicholas Sewell 

Jacobs And Sewell Are Also Charged With Causing Permanent Disfigurement To One Patient; If Convicted, Defendants Face Up To 25 Years Each In Prison 

Schneiderman Issues Tips To Protect New Yorkers From Falling Victim To Unlicensed Physician Schemes

  Attorney General Eric T. Schneiderman announced the arrests of unlicensed plastic surgeon Brad Jacobs, 56, of Westbury, NY, and licensed physician Nicholas Sewell, 74, of Jackson Heights, NY, on charges they engaged in a four-year scheme to illegally perform plastic surgeries on over 60 patients, including causing permanent disfigurement to one patient. Jacobs, a former plastic surgeon, surrendered his New York medical license in 2007 after the New York State Department of Health charged him with 29 specifications of Professional Medical Misconduct. From September 2012 to June 2016, Jacobs and Sewell allegedly defrauded patients undergoing costly cosmetic surgery procedures – each averaging between $8,000 and $10,000 – by falsely representing that Jacobs was authorized to practice medicine.

“It is unconscionable that an unlicensed surgeon would take advantage of unsuspecting patients like this,” said Attorney General Schneiderman. “Practicing medicine without a license jeopardizes the lives of New Yorkers, undermines our health care system, and diminishes the work of licensed doctors committed to their patients’ safety and health.”

“The State Education Department's Office of the Professions investigates allegations of illegal practice in more than 50 licensed professions to help protect New Yorkers,” said State Education Commissioner MaryEllen Elia. “We are grateful for our continuing partnership with Attorney General Schneiderman and his team of professionals as we work together to ensure the public is protected from the dangers of illegal practice.”

“The doctor-patient relationship is one that is built on trust and when abused can have serious consequences,” said State Health Commissioner Dr. Howard Zucker. “The Health Department is proud to have worked with the Office of the Attorney General to root out those that seek to diminish the responsibility that goes with being a licensed physician. My agency will continue to work to ensure that New Yorkers have access to quality care and will support the Attorney General as he holds these wrongdoers accountable.”

The Attorney General’s investigation revealed that, over the course of four years, Jacobs and Sewell allegedly performed surgeries on over 60 patients, along with scores of additional medical procedures on patients, including Botox and injectables. Many of the individuals allegedly defrauded were either former patients of Jacobs or individuals referred by Jacobs’ former patients.

In order to conceal their illegal activity, the defendants allegedly directed patients to pay either in cash or to write checks payable to a relative of Sewell’s. Checks were then deposited into an account under the relative’s name, although it was completely controlled by Sewell. Sewell then allegedly transferred money from that account to an account under one of Jacobs’ relatives’ names – which was likewise completely controlled by Jacobs. It is alleged that, from the nine witnesses specified in the indictment alone, nearly $50,000 was transferred between the two accounts in an effort to conceal the proceeds of their crimes.

Jacobs was licensed to practice medicine in 1988 and practiced until June 18, 2007, when the New York State Department of Health, Office of Professional Medical Conduct (“OPMC”) invoked its emergency powers to summarily suspend his license and shut down his practice. Jacobs was thereafter formally charged with 29 specifications of Professional Medical Misconduct, including gross negligence, incompetence, and moral unfitness related to his performance of surgeries including breast augmentation, tummy tucks, liposuction, and rhinoplasty.  

During the OPMC’s revocation hearing, Jacobs admitted that he could not defend against the charges, and in September 2007, surrendered his license to practice medicine. The Surrender Order entered against Jacobs was extremely restrictive. It not only ordered him to immediately cease the practice of medicine, but it also prohibited Jacobs from representing that he was eligible to practice medicine; providing an opinion as to the practice or application of medicine; occupying, using, or sharing office space in which another physician provides health care services; or sharing or receiving any fee for professional services. Since 2007, Jacobs has remained unlicensed as a physician or as any other medical professional.

Defendant Nicholas Sewell has been a licensed physician in New York State since 1982. In 2011, Sewell procured operating room space at Allure Plastic Surgery, located at 150 East 61^st Street in Manhattan. Immediately thereafter, Sewell and Jacobs allegedly began seeing patients and performing surgeries and other cosmetic procedures – falsely representing that Jacobs was authorized to practice medicine. 

The Attorney General’s indictment – filed today in New York County Supreme Court – charges Jacobs and Sewell with one count of Assault in the First Degree (a Class “B” felony), one count of Assault in the Second Degree (a Class “D” felony), eight counts of Grand Larceny in the Third Degree (a Class “D” felony), nine counts each of Unauthorized Practice of a Profession (a Class “E” felony), two counts of Scheme to Defraud in the First Degree (a Class “E” felony), and one count of Money Laundering in the Fourth Degree (a Class “E” felony). 

If convicted, each defendant faces up to 25 years in prison.

Defendants Jacobs and Sewell were arraigned today in New York County Supreme Court before the Honorable Justice Gregory Carro. Jacobs is currently in custody on $4 million bond or $2 million cash bail; Sewell is currently in custody on $2 million bond or $2 million cash bail. The judge also ordered that both defendants surrender their passports.   

The charges are merely accusations and the defendants are presumed innocent unless and until proven guilty in a court of law.

In an effort to protect and educate New Yorkers, Attorney General Schneiderman issued the following tips to help avoid falling victim:

• Physicians and Physicians Assistants must be licensed in the State of New York by the New York State Department of Education. If possible, before visiting one of these professionals, confirm their license on the State Education Department's website - Office of the Professions: http://www.op.nysed.gov/opsearches.htm
• If you are receiving medical treatment out of state, contact that state's respective licensing authority to confirm that the medical professional is in fact licensed to practice that area of medicine.  

If you have additional information regarding this matter, please contact the Attorney General’s office at 212-416-8686. 

Attorney General Schneiderman thanked the New York State Department of Education and New York State Department of Health for their valuable assistance in this investigation.

A.G. Schneiderman Announces Prison Sentence For Fake Attorney Who Defrauded Over 400 New Yorkers

Antonia Barrone, a/k/a Mario Vrendenburg Charged Consumers Thousands Of Dollars For Unauthorized Legal Services And Forged Signatures On Legal Documents

Defendant Will Serve 1 ½ To 3 Years In State Prison For Conviction And Pay Nearly $270,000 In Restitution And Penalties

  Attorney General Eric T. Schneiderman announced the sentencing of Antonia Barrone, a/k/a Mario Vrendenburg (“Barrone”), who pled guilty to operating a fake law firm and pretending to be a licensed attorney. Through a civil lawsuit and an extensive investigation, the Attorney General’s office uncovered that Barrone defrauded over 400 New Yorkers out of more than $23,000 over the course of nearly five years. Today, Barrone was sentenced before Albany County Court Judge Honorable Peter A. Lynch to 1 ½ to 3 years in state prison for one count of Scheme to Defraud in the First Degree. Barrone was also ordered to pay nearly $270,000 in restitution and penalties.

In May 2017, the Attorney General’s Consumer Frauds and Protection Bureau filed a lawsuit in Albany County Supreme Court against NYS Prisoner Assistance Center, Inc., operating as the NYS Prisoner Assistance Center or NY Parole Aids (“NYSPAC”), and its owner, Barrone. The suit charged Barrone with bilking hundreds of New Yorkers, including prison inmates and their families, out of thousands of dollars to handle administrative parole appeals and other legal matters. The lawsuit alleged that Barrone operated these fraudulent businesses from her home and duped hundreds of consumers by falsely claiming to be an attorney and by misleading consumers to think that the NYS Prisoner Assistance Center was staffed with attorneys.

“Deceiving vulnerable New Yorkers into paying for unlicensed legal services is reprehensible, costing them thousands each and jeopardizing their rights,” said Attorney General Schneiderman. “My office won’t hesitate to prosecute those who defraud New Yorkers by practicing without a license.”

Department of Corrections and Community Supervision Acting Commissioner Anthony J. Annucci said, “I commend Attorney General Schneiderman for the successful prosecution in this case, as well as the hard-working attorneys with the Board of Parole for their conscientious and painstaking assistance in helping to bring to justice this unscrupulous individual, who otherwise would have continued to take advantage of inmates and their families during a particularly vulnerable period in their lives.”

According to papers filed by the Attorney General’s Office, although Barrone is not an attorney, she advertised an array of legal services on the NYSPAC’s website and charged thousands of dollars to provide legal services. The services included filing administrative and judicial appeals on behalf of inmates who were denied parole by the New York State Department of Corrections and Community Supervision (DOCCS) and representing inmates at administrative hearings and individuals facing criminal charges in various New York State courts. In some cases, Barrone accepted fees but did not perform any services.

Following Attorney General Schneiderman’s lawsuit, in August 2017, the Honorable Gerald W. Connolly of Albany County Supreme Court ordered Barrone and the NYS Prisoner Assistance Center to pay a $244,500 penalty to the State as well as full restitution of $23,427.70 to known consumers who paid for legal services. The judgment also prohibits Barrone and NYSPAC from practicing law without a license or advertising or selling legal or paralegal services.

In addition to the civil lawsuit, the Attorney General’s Criminal Enforcement and Financial Crimes Bureau launched a criminal investigation into Barrone’s conduct. On October 16, 2017, Barrone was arrested and arraigned in Albany City Court before the Honorable Holly A. Trexler on a felony complaint filed by the Attorney General’s Office charging: five counts of Criminal Possession of a Forged Instrument in the Second Degree, a class “D” felony; two counts of Grand Larceny in the Third Degree, a class “D” felony; one count of Grand Larceny in the Fourth Degree, a class “E” felony; one count of Unauthorized Practice of a Profession, a class “E” felony; and, one count of Scheme to Defraud in the First Degree, a class “E” felony. 

According to the Attorney General’s felony complaint and statements made by the prosecutor, between September 1, 2012 and April 30, 2017, Barrone pretended to be an attorney and stole thousands of dollars from the families of inmates who hired her to provide legal representation for their loved ones. In furtherance of her nearly five-year scheme, Barrone filed legal documents with forged signatures and fake notary stamps, wrote letters on behalf of consumers on letterhead bearing the name of the fictitious law firm “Stacchini & Barrone, Attorneys at Law,” and appropriated the name of a licensed attorney, without that attorney’s knowledge. 

Also according to the felony complaint, during the course of her scheme, Barrone made use of multiple different names, including Mario Vrendenberg, Antonio Barrone, Mario Stacchini, Mario Helems, T. Helems, and Mark Vredenburg. The prosecutor stated that Barrone and the entities she operated had over 400 clients seeking legal services throughout New York State, including but not limited to Albany, Cayuga, Clinton, Rensselaer, Saratoga, Schoharie, Suffolk, Ulster, Warren, and Westchester Counties.

Barrone’s sentence today before the Honorable Peter A. Lynch will run consecutive to a sentence of 1 1/3 to 4 years in state prison that Barrone received today before the Honorable Andrew G. Ceresia on an unrelated felony conviction. In addition to the prison sentences issued today in Albany County, Barrone is scheduled to be sentenced in Saratoga County Court before the Honorable James A. Murphy, III to a concurrent term of incarceration on a separate unrelated felony conviction. Combined, Barrone will spend 2 5/6 to 7 years in state prison.

Consumers can check whether an individual is a licensed attorney in New York State by visiting the New York State Unified Court System’s website.

The convictions were the result of a joint investigation by the Attorney General’s Office and DOCCS. Attorney General Schneiderman thanks DOCCS for its valuable assistance in this matter.

Additionally, Attorney General Schneiderman thanks the Board of Parole Counsel’s Office, which uncovered Barrone’s efforts to deceive and bilk families by meticulously going through records and identifying this fraudulent activity. Their findings contributed to the Attorney General's investigation and criminal prosecution.  

A.G. Schneiderman Announces Takedown Of National Drug Trafficking Ring That Peddled Deadly Fentanyl Pills Disguised As Oxycodone

Multi-Agency “Operation Blue Death” Results In Arrest Of 10 Individuals Who Allegedly Trafficked Narcotics – Including Heroin And Fake Oxy Pills – From California To Western New York 

Takedown Follows AG’s September Public Health Warning On Potentially Lethal, Fentanyl-Laced Pills

Operation Blue Death Marks Latest Development In SURGE Initiative To Curb Opioid Epidemic

    Attorney General Eric T. Schneiderman announced the takedown of a ten-person drug trafficking ring that allegedly trafficked narcotics – including heroin and faux oxycodone pills which contained fentanyl – from California to Western New York. 

The 59-count indictment against nine Buffalo residents and their alleged supplier in California details a broad scheme to sell dangerous narcotics throughout Erie and Chautauqua Counties in Western New York.  As part of the multi-agency investigation dubbed “Operation Blue Death,” authorities seized 502 pills laced with fentanyl, over 100 grams of black tar heroin, over 130 grams of cocaine, 15 pounds of marijuana, and a 9mm highpoint pistol with 27 rounds of ammunition. The pills – purposely designed to look identical to oxycodone pills – were made from a toxic mix of fentanyl and acetaminophen.

“As we charge in our indictment, these dealers were playing Russian Roulette with New Yorkers’ lives,” said Attorney General Schneiderman. “Today we’re taking these poison pill traffickers off our streets following an extensive investigation that spanned both coasts. With the opioid epidemic devastating families in Buffalo and across New York, we’ll continue to use every tool at our disposal to tackle the crisis head on.”

State, federal, and local law enforcement agents led by Attorney General Schneiderman’s Organized Crime Task Force, along with the New York State Police and the U.S. Drug Enforcement Administration (“DEA”), conducted a nearly year-long investigation that included undercover operations, hundreds of hours of covert surveillance, and wiretaps.

Today’s indictment follows Attorney General Schneiderman’s September public health warning in Buffalo regarding the dangerous and potentially lethal faux-oxycodone pills after they were intercepted by authorities. Law enforcement subsequently determined that the pills, which appear virtually identical to the prescription medication oxycodone, actually contain a toxic mixture of the deadly drug fentanyl and acetaminophen. Attorney General Schneiderman explained that the faux oxycodone pills, which were purposely designed to be sold as prescription-strength oxycodone, are extremely dangerous as the unsuspecting user is actually ingesting a potentially deadly quantity of fentanyl, which is fifty times stronger than heroin. 

As today’s indictment details, that package, as well as one which contained “black tar” heroin and over ten pounds of marijuana, was one of many allegedly sent from California to Buffalo by defendant Pablo Zambrano.  The packages were intended for delivery to Jonathan Rosario and Jonathan Ivan Medina (known as “Tati’), who would allegedly distribute narcotics to Fernando Maldonado (known as “Fendi”), Frank Perez (also known as “Andy”), and others for resale.  Various individuals would accept delivery of packages for the trafficking ring after the packages were mailed from California to several addresses in Erie and Chautauqua counties.

As alleged in the indictment, other members of this narcotics conspiracy trafficked cocaine, as well as heroin.  During the investigation, more than 130 grams of cocaine were seized from Roger Gonzalez, who sold cocaine along with his cousin, Randy Gonzalez.  The pair allegedly obtained the cocaine from Carlos Martinez; Martinez is alleged to also have sold heroin, often laced with fentanyl, on several occasions, using co-conspirators Angel Medina and Anthony Roman as runners to deliver heroin to customers. 

DEA Special Agent in Charge James Hunt stated, “These arrests will make a significant impact in quality of life for residents on the West Side of Buffalo. This year-long investigation alleges defendants enabled addiction by selling heroin, cocaine, and fentanyl disguised as oxycodone pills for their personal gain. By working collaboratively, law enforcement uprooted this organization and placed them behind bars.”  SAC Hunt would like to thank those who participated in the investigation and DEA's Charlotte District Office and Riverside District Office for their assistance. 

Superintendent George P. Beach said, “With today's arrests, law enforcement is once again sending a strong message that the trafficking of heroin and other illegal drugs will not be tolerated in New York State. The successful conclusion to this investigation is only possible because of the continued collaboration of state, federal and local law enforcement partners, which is necessary to bring down these drug trafficking networks. I commend our members and our partners for their outstanding work.”

Today’s indictment charges ten individuals with a total of 59 felony counts of possession and distribution of narcotics:

Jonathan Rosario – Buffalo, New York

Jonathan Ivan Medina, a/k/a “Tati” – Buffalo, New York

Carlos Martinez – Buffalo, New York

Roger Gonzalez – Buffalo, New York

Randy Gonzalez – Buffalo, New York

Pablo Zambrano - Rialto, California

Frank Perez, a/k/a “Andy” – Buffalo, New York

Angel Medina – Buffalo, New York

Anthony Roman – Buffalo, New York

Fernando Maldonado, a/k/a “Fendi” – Buffalo, New York

“Operation Blue Death” is the latest takedown in the Attorney General’s SURGE Initiative (Suburban and Upstate Response to the Growing Epidemic), a partnership with state and local law enforcement to root out violent gangs and drug dealers. Launched in April 2017, the SURGE Initiative focuses on the communities that have been hardest hit by drug trafficking and drug abuse across New York State. In the months since the SURGE Initiative was launched, the Attorney General’s office has arrested more than 270 dealers across the state.

In total, the Attorney General’s Organized Crime Task Force has now busted more than 35 large narcotics trafficking rings, made more than 1,200 felony narcotics arrests, and seized millions in cash, more than a ton of illegal drugs, and hundreds of firearms since 2011.

Since 2010, Attorney General Schneiderman has launched a multi-pronged strategy to tackle New York's constantly evolving heroin and opioid epidemic, including settlements with health insurers to remove barriers to treatment and enforce Mental Health Parity Laws; the I-STOP system, which has successfully reduced “doctor shopping” by 90%; the Community Overdose Prevention program, equipping law enforcement with naloxone; and more.

The charges against the defendants are merely accusations and the defendants are presumed innocent unless and until proven guilty in a court of law.