Eleven Individuals Indicted For Social Security Fraud Related To Puerto Rico

The total loss for SS is $728,062.40; One Defendant Charged with Defrauding FEMA for Hurricane Maria Relief

  SAN JUAN, P.R. – On Aug. 23 and 24, 2018, a Federal Grand Jury in the District of Puerto Rico returned seven separate indictments charging 11 individuals with fraud against the Social Security Administration (SSA) disability insurance benefits in Puerto Rico, announced U.S. Attorney Rosa Emilia Rodríguez Vélez for the District of Puerto Rico. These cases were investigated by the Social Security Office of Inspector General (SS-OIG) with the collaboration of the Department of Homeland Security Office of Inspector General, U.S. Health and Human Services-Office of Inspector General, and the Puerto Rico Police Department.

The SSA is responsible for the implementation of the Disability Insurance Benefits Program. The SSA provides monetary benefits to workers with severe, long-term disabilities, who have worked in SSA covered employment for a required length of time. Spouses and dependent children of disabled workers may also be eligible to receive benefits.

Pursuant to SSA regulations, a claimant must prove to SSA that he or she is disabled by furnishing medical and other evidence with the application. The application and supporting evidence would then be evaluated by SSA to determine the individual’s medical impairments and determine the effect of the impairment on the claimant’s ability to work on a sustained basis.

Six indictments charged 10 individuals with theft of government property, concealment, or failure to disclose work activity to SSA, and false statements or representations to the SSA. These defendants knowingly and willfully embezzled, stole, and converted to their own use the Social Security Disability Insurance Benefit payments to which the defendants knew that they were not entitled. The seventh indictment charges Teresa González-Hernández with 40 counts of wire fraud against SSA.

The defendants who are alleged to have accepted by fraud the Social Security Disability Insurance Benefit payments, knowing that they were not entitled to the same, are: Evelyn Morales-Calderón and Victor Soriano-Morales (son of Evelyn Morales) received $190,110.00; Mario Zayas-Rodríguez and Elvin Santiago-Rodríguez (employer of Mario Zayas) received $118,098.20; José Alcazar-Román received $97,004.80; Alvin Alvelo-Crespo received $92,101.50; Abraham Burgos-Torres and Karla Burgos-Colón (daughter of Abraham Burgos) received $90,335.50; Nelson Concepción-Santana received $41,261.00; Wanda Rivera-Martínez received $41,204.40; and Teresa González-Hernández received $57,947.00.

Defendant Alvin Alvelo-Crespo was also charged with healthcare fraud. The defendant fraudulently caused Medicare to pay approximately $8,545.33 based on fraudulent claims. This defendant is also facing one count of Fraud in Connection with Major Disaster (Hurricane María) or Emergency Benefits. Alvelo-Crespo falsely represented to FEMA that his combined family pre-disaster gross income was $9,264.00 and that the residence located at Almirante Norte in Vega Baja, Puerto Rico was his primary residence when Hurricane María struck Puerto Rico. In fact, however, the defendant’s combined family pre-disaster gross income was higher than $9,264.00 and the residence located at Almirante Norte was not his primary residence at the moment Hurricane María struck Puerto Rico. The defendant received $500.00 for Critical Needs Assistance; $14,282.79 for Home Repair Assistance; $10,431.15 for Personal Property Assistance; and $1,486.00 for Rental Assistance, for a total of $26,699.94. All this assistance was authorized, transported, transmitted, transferred, disbursed or paid by, electronic fund transfers into his bank account.

Defendant Teresa González-Hernández was a social worker at Entity A, an entity located in San Juan, Puerto Rico that assists homeless individuals. Her victim with initials J.L.M, was a client or beneficiary of Entity A. On or about Sept. 4, 2008, González-Hernández abused her position of trust as a social worker for J.L.M. and opened a joint account with J.L.M. at Scotiabank of Puerto Rico. On Oct. 28, 2010, J.L.M. requested SSA that his disability benefits, which were later automatically converted to retirement benefits, be directly deposited into the joint account. After J.L.M. died on Nov. 19, 2010, González-Hernández failed to notify SSA about his death, and the DIB and Retirement benefits belonging to J.L.M. continued to be deposited into the joint account. González-Hernández embezzled the benefits that SSA issued to J.L.M., benefits which she knew she was not entitled to. As a result of the scheme, between Jan. 26, 2011, and continuing through Nov. 23, 2016, SSA made 71 electronic payment transactions to the joint account totaling $57,947.00.

If convicted, the defendants charged with SSA fraud could face a maximum penalty of 10 years in prison; the defendant charged with Fraud in Connection with Major Disaster (Hurricane María) or Emergency Benefits faces a maximum penalty of up to 30 years in prison and the defendant charged with wire fraud faces a maximum penalty of up to 20 years in prison. All defendants are subject to a fine of up to $250,000.00. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty.

The U.S. Department of Justice established the National Center for Disaster Fraud (NCDF) to investigate, prosecute, and deter fraud in the wake of Hurricane Katrina, when billions of dollars in federal disaster relief poured into the Gulf Coast region. Its mission has expanded to include suspected fraud from any natural or manmade disaster. More than 20 federal, state, and local agencies participate in the NCDF, which allows the center to act as a centralized clearinghouse of information related to disaster relief fraud.

Members of the public are reminded to apply a critical eye and do their due diligence before trusting anyone purporting to be working on behalf of disaster victims, and to be especially cautious of anyone who contacts you seeking personal identifying information or financial information. Members of the public who suspect fraud involving disaster relief efforts, or who believe that they have been the victim of fraud from a person or organization soliciting relief funds on behalf of disaster victims, should contact the National Disaster Fraud Hotline toll free at (866) 720-5721. The telephone line is staffed by a live operator 24 hours a day, 7 days a week. You can also fax information to the Center at (225) 334-4707, or email it to disaster@leo.gov. Learn more about the NCDF at www.justice.gov/disaster-fraud 

ALLEGED TRINITARIO INDICTED IN STABBING MURDER OF LESANDRO “JUNIOR” GUZMAN-FELIZ

Defendant Allegedly Plotted With 12 Men To Hunt For Member of Upstart Set, Chased Teen and Later Gathered With Co-Defendants After Murder

  Bronx District Attorney Darcel D. Clark today announced that a Bronx man has been indicted in the fatal stabbing of 15-year-old Lesandro Guzman-Feliz on June 20, 2018 in the Bronx. 

 District Attorney Clark said, “This defendant is an additional perpetrator to the previously indicted 12 men in this brutal attack on a 15-year-old boy, Lesandro “Junior” Guzman-Feliz, whom they came upon as they sought to commit violence against a rival set within the gang. We will not tolerate violence by gangs on our streets, and anyone who plays a role in such crimes will be prosecuted.” 

 District Attorney Clark said the defendant, Ronald Urena, 29, of 2780 Grand Concourse, has been indicted on second-degree Murder, first-degree Manslaughter, second-degree Conspiracy, first-degree Gang Assault, second-degree Gang Assault, and fourth-degree Criminal Possession of a Weapon. He was arraigned today before Bronx Supreme Court Justice Robert Neary. He was remanded and is due back in court on October 25, 2018. If convicted of the top charge, he can face up to 25 years to life in prison. 

 According to the investigation, on June 20, 2018, the defendant, who allegedly is part of the “Los Sures” set of the Trinitarios gang, gathered with co-defendants at the Boston Road home of Diego Suero, alleged leader of Los Sures, to plan to commit violence against another set of the Trinitarios called “Sunset.” The defendants then travelled in four cars, and came upon the victim, who fled from them, running approximately four blocks to a bodega in Belmont, where he tried to hide. The victim was dragged out of the store and repeatedly stabbed and slashed with knives and a machete.

 According to the investigation, after the stabbing, the defendants fled and went back to Diego Suero’s home to hide weapons and provide aid to a defendant whose hand was cut in the midst of the stabbing. The investigation is ongoing.

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

RIKERS ISLAND INMATE INDICTED IN STRANGLING DEATH OF ANOTHER INMATE

Defendant Allegedly Put Victim In Chokehold Causing Death

  Bronx District Attorney Darcel D. Clark today announced that a Rikers Island inmate has been indicted for strangling a fellow inmate, causing his death. 

 District Attorney Clark said, “The victim was seated when the defendant allegedly went up to him and placed his arms around the victim’s neck in a chokehold. We must continue to do all we can to stop violence in the jails.” 

 District Attorney Clark said the defendant, Artemio Rosa, 27, an inmate at Rikers Island, was arraigned today on first-degree Manslaughter, first-degree Strangulation and second-degree Assault before Bronx Supreme Court Justice Julio Rodriguez III. Remand was continued and the defendant is due back in court on October 22, 2018. 

 According to the investigation, on July 9, 2018 in the Anna M. Kross Center on Rikers Island, the defendant strangled Casey Holloway, the 35-year-old victim. The pressure from the strangulation made it difficult for Holloway to breathe and he collapsed to the ground. He was then pronounced dead.

 District Attorney Clark thanked the New York City Department of Correction and the New York Police Department for their assistance in the investigation. 

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

Comptroller Stringer and Councilmember Salamanca Demand Accountability in the South Bronx

Long delayed Roberto Clemente Plaza construction project in the busy Bronx Hub harms residents and local businesses

Coalition calls on City to end the bureaucratic nightmare and finish Roberto Clemente Plaza immediately

  Today, City Comptroller Scott Stringer and Councilmember Rafael Salamanca protested the extensive and detrimental construction delays at Roberto Clemente Plaza in the South Bronx and called for the Department of Design and Construction (DDC) to release a transparent timeline as well as a realistic plan for completion. Joining the Comptroller and Councilmember was a community coalition that included neighborhood residents, local business owners and the Third Avenue Business Improvement District.

With an originally anticipated public opening in November 2015, Roberto Clemente Plaza was designed to be a community centerpiece for Mott Haven and Melrose residents with open seating, welcoming fountain, food vendors and a bus stop. It was also meant to provide a pathway to connect local businesses to pedestrians and plaza visitors.

Fast forward to present day and despite its nearly completed look, the plaza is completely blocked off to public access. The community has voiced concerns that the walled off plaza has become an eye sore that they feel creates congestion on the roads, prohibits pedestrian traffic by blocking a substantial section of sidewalk and obstructs a bus station. Multiple local businesses have closed and the former owners cite the diminished pedestrian foot traffic as a critical reason they had to shut their doors.

The ongoing project is managed by a myriad of agencies involved in its construction – including Department of Design and Construction (DDC) and the Department of Transportation (DOT).

“Instead of representing progress and economic development, this project has been met by delay after delay,” said Comptroller Stringer. “It’s unacceptable that these setbacks have prevented the public from using Roberto Clemente Plaza – even worse, now the construction delays are harming small businesses owned by local residents. It’s long past time for the City to get its act together and finish this park. The South Bronx deserves nothing less.”

“A few weeks ago, we were celebrating the near completion of the Roberto Clemente Plaza, a project that has been a decade in the making. Today, I stand with the Third Avenue BID, Comptroller Stringer, and members of the community demanding that the City take this project seriously and get it done,” said Council Member Rafael Salamanca Jr. “Centrally located in my district, this plaza has tremendous opportunity to serve the neighborhood but delay after delay has left this community without this resource. This plaza must be finished promptly.”

This month, Comptroller Stringer’s office returned a contract to the City for a variety of reasons. The contract not only would have extended the project timeline yet again, it listed an extension date that has already passed. The Comptroller and Councilmember are calling on the administration to immediately end the bureaucratic dysfunction and coordinate the agencies involved to get this plaza open.

EDITOR'S NOTE:

It should be noted that Councilman Rafael Salamanca is the Chair of the City Council Land Use Committee. It should also be noted that the responsibility of a council member is to see that projects such as this get done on time and come in on budget. 

As the Councilman Salamanca says "A few weeks ago we were celebrating the near completion of the Roberto Clemente Plaza." It would appear that City Council Land Use Committee Chair Rafael Salamanca does not have the power which former City Council Land Use Committee Chairs had. The city Council land Use Chair is also given the task to oversee all Land Use Matters in the City of New York.

STATEMENT FROM BOROUGH PRESIDENT DIAZ - RE: Updated Hurricane Maria Death Toll

 "As more data is being compiled, we are getting a clearer picture of the devastation left behind by Hurricane Maria. With each passing day, we are becoming more aware of the fact that the original estimates of the storm’s devastation were so grossly underestimated, worse than we could have imagined, that they were essentially useless.

 

"That the Trump Administration ever dared to claim that only 64 people died as a result of Hurricane Maria insults the intelligence of any rational person. And the truly sad part is that the figures presented by George Washington University's Milken School of Public Health may still be underestimating how many died as a result of this natural disaster.

"It is unconscionable how President Trump and his administration responded to Hurricane Maria. This is President Trump’s Katrina. The administration’s failure throughout the ongoing recovery of Puerto Rico, how they have treated the American citizens of Puerto Rico compared to those in Texas or Florida, is a stain on this nation," said Bronx Borough President Ruben Diaz Jr.

EDITOR'S NOTE:

Did not elected officials and medical experts go to Puerto Rico not once, not twice, but several times? 

Why was it that the Governor of New York and those elected officials and medical experts who were with the Governor did not report on the devastation and loss of lives which they witnessed when they were in Puerto Rico?

We should not be fighting about numbers, but aiding those who need help the most. While Bronx Borough President aligns himself with Governor Cuomo to blame President Trump, he should be asking Governor Andrew Cuomo, Assemblyman Marcos Crespo, and the nurses from Montefiore Hospital if they were in the parts of the island that was hit the most by Hurricane Maria, or were they in other areas that had electricity, fresh clean water, and luxuries in their visits to Puerto Rico?

BronxTalk 87th A.D. Debate

  In what seemed to be a good debate that lasted less than thirty minutes three candidates answered questions from Bronxtalk host Gary Axelbank. The candidates are seated above according to the draw. Ms. Farah Despaignes drew number one, Sergeant John Perez drew number two, and Ms. Karines Reyes drew number three. There were questions about the candidates commitment to the community, and other topics. Both women candidates Ms. Despaignes and Ms. Reyes said that they came to the Bronx in 1999. Sergeant Perez answered that he had grown up in the Bronx. 

As the debate went on the well rehearsed Ms. Reyes gave generic non committal answers, while Ms. Despaignes and Sergeant Perez gave more honest answers. At one point in the debate when State Senator Luis Sepulveda sat down next to me, I said to him your candidate seems to be well rehearsed, to which he smiled. 

Farah Despaignes spoke of having been a teacher, but agreeing with John Perez that the current elected officials are not servicing the community the way the community should. John Perez spoke of his youth helping to organize "We Stay/Nos Quedamos in opposition to the gentrification of the Melrose Community in the 1990's. Karines Reyes gave answers almost as if she knew what the question was going to be, as her answers were very well rehearsed, and very vague using generic phrases. At a point in the debate John Perez said that all the things Karines Reyes is saying are already done, is she trying to take credit for them?

As to who won the debate, and who lost you if you did not see the 87th A.D. Bronxtalk debate, you can watch it when it is repeated on Optimum Cable channel 67,

Fios Cable channel 33, or on Bronxnet at 

https://www.bronxnet.org/watch/shows/bronxtalk/

Bronxtalk host Gary Axelbank with the three candidates for the 87th A.D.

Bronx Man Sentenced On Heroin Charge

  U.S. Attorney James P. Kennedy, Jr. announced today that Eriel Rivera, 42, of Bronx, NY, who was convicted of possession with intent to distribute 100 grams or more of heroin, was sentenced to serve 41 months in prison by U.S. District Court Judge Lawrence J. Vilardo.

Assistant U.S. Attorney Laura A. Higgins, who handled the case, stated that on July 8 and July 22, 2017, the defendant sold a quantity of cocaine to a confidential source working with the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Rivera was arrested on September 29, 2017, in a coffee shop in Niagara Falls, NY. At the time, the defendant was in possession of $1,885 in cash and a quantity of suspected heroin.

The sentencing is the culmination of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict.

Manhattan U.S. Attorney Announces Murder Charges Against Bronx Gang Member For 2011 Murder Of Jose Webster

  Geoffrey S. Berman, the United States Attorney for the Southern District of New York, James J. Hunt, the Special Agent-in-Charge of the New York Field Division of the Drug Enforcement Administration (“DEA”), and James P. O’Neill, Commissioner of the New York City Police Department (“NYPD”), announced additional charges in a Superseding Indictment against a member of the “MacBallas” gang based in the Andrew Jackson and Melrose Houses in the Bronx.  In the Superseding Indictment, which was returned today, NATHANIEL FLUDD, a/k/a “Juntao,” is charged with the September 15, 2011, murder of Jose Webster, a/k/a “Spillz.”

FLUDD and a co-defendant were previously charged with the 2011 murder of Daniel Delgado in an Indictment unsealed on June 27, 2018.  That Indictment also charges 20 members and associates of the MacBallas with racketeering, narcotics trafficking, robbery, and firearms offenses. In addition to the new charges related to the Webster murder, the Superseding Indictment re-alleges the charges that had previously been brought in the Indictment against FLUDD and 19 others. The case is assigned to U.S. District Judge Denise L. Cote.  FLUDD and the 19 other defendants will be arraigned on the new charges later in the week.

Manhattan U.S. Attorney Geoffrey S. Berman said:  “As alleged, Jose Webster was murdered in 2011 by Nathaniel Fludd and other members of the violent MacBallas gang. We thank our law enforcement partners for their extraordinary efforts investigating this murder. With their help, we will continue our efforts to eradicate this senseless gang violence from our communities.”

DEA Special Agent-in-Charge James J. Hunt said:  “The comprehensive investigations into gang-related crime have an uncanny knack for uncovering and linking additional crimes to defendants. In this case, we identified not just one, but two murders committed by one of the gang members, Nathaniel Fludd.  I commend the agents, detectives, and prosecutors for their diligent work on this investigation.”

Mr. Berman praised the outstanding investigative work of the NYPD’s Bronx Violent Crimes Squad and the New York Field Division of the DEA.

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