Justice Department Announces Murder-For-Hire Charges Against Islamic Revolutionary Guard Corps Brigadier General and Former Intelligence Officer and Members of an Iranian Intelligence Network

 

Ruhollah Bazghandi, an OFAC-Sanctioned Brigadier General in the IRGC and Former IRGC Intelligence Organization Counterintelligence Chief, and Members of His Iran-Based Network, Contracted Members of an Eastern European Organized Crime Group to Murder a U.

The Justice Department announced today the unsealing of a superseding indictment containing murder-for-hire, money-laundering, and sanctions evasion charges against Ruhollah Bazghandi, also known as Roohollah Azimi; Fnu Lnu, also known as Haj Taher, Haj Taher; Hossein Sedighi; and Seyed Mohammad Forouzan, all of Iran.

“The Justice Department has now charged eight individuals, including an Iranian military official, for their efforts to silence and kill a U.S. citizen because of her criticism of the Iranian regime,” said Attorney General Merrick B. Garland. “We will not tolerate efforts by an authoritarian regime like Iran to undermine the fundamental rights guaranteed to every American. Three of the defendants charged in this horrific plot are now in U.S. custody, and we will never stop working to identify, find, and bring to justice all those who endanger the safety of the American people.”

“Today’s indictment exposes the full extent of Iran’s plot to silence an American journalist for criticizing the Iranian regime,” said FBI Director Christopher Wray. “According to the charges, a brigadier general in the Islamic Revolutionary Guard Corps and a former Iranian intelligence officer, working with a network of conspirators, planned to kill a dissident living in New York City. The FBI’s investigation led to the disruption of this plot as one of the conspirators was allegedly on their way to murder the victim in New York. As these charges show, the FBI will work with our partners here and abroad to hold accountable those who target Americans.”

“Today’s indictment makes plain that the Iranian regime for years has been behind a violent campaign to stalk, intimidate, and arrange the killing of an American dissident on U.S. soil for bravely speaking up for the rights of the Iranian people,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Department is committed to exposing and holding accountable those in Tehran who believe they can hide their hand in carrying out such reprehensible activities.”

“As alleged, for years, the Government of Iran has attempted to assassinate, on U.S. soil, a U.S. citizen of Iranian origin who is a prominent critic of the Iranian regime,” said U.S. Attorney Damian Williams for the Southern District of New York. “In January 2023, we unsealed charges alleging that members of an Eastern European crime group engaged in a plot to murder this victim. As we allege, that group was not acting alone. Today, we hold their Iranian masters to account, and allege that these Iran-based co-conspirators, including a Brigadier General in the Islamic Revolutionary Guard Corps, directed the murder plot. By charging these Iran-based defendants, we seek to strike another public blow at the heart of the Government of Iran’s efforts to execute the victim — as well as its lethal targeting, intimidation, and repression of other Iranian dissidents critical of the regime in the U.S. and abroad.”

As detailed in the superseding indictment, Bazghandi, Haj Taher, Sedighi, and Forouzan contracted members of an Eastern European criminal organization, including Rafat Amirov, also known as Farkhaddin Mirzoev, Pᴎᴍ,  and Rome; Polad Omarov, also known as Araz Aliyev, Polad Qaqa, and Haci Qaqa; and Zialat Mamedov, also known as Ziko, to murder a U.S. citizen of Iranian origin in New York City who has publicly opposed the Iranian government and who has previously been the target of similar plots by the Iranian government. Amirov, Omarov, and Mamedov previously were arrested on charges contained in underlying indictments. Amirov and Omarov are in custody in the United States, pending trial; Mamedov was extradited from the Czech Republic to the Republic of Georgia to face charges there. Bazghandi, Haj Taher, Sedighi, and Forouzan, all of whom are based in Iran, remain at large. The case is pending before U.S. District Judge Colleen McMahon for the Southern District of New York.

According to the allegations contained in the superseding indictment, other court filings, and statements made during court proceedings, Bazghandi, who resides in Iran, is an IRGC Brigadier General and has previously served as chief of an IRGC Intelligence Organization (IRGC-IO) counterintelligence office. In April 2023, the U.S. Secretary of State designated IRGC-IO as a Specially Designated Global Terrorist under Executive Order 14078, for hostage-taking and the wrongful detention of U.S. nationals abroad. On the same date, the Treasury Department sanctioned Bazghandi in connection with his involvement with the detention of foreign prisoners held in Iran. Bazghandi was designated by the Treasury Department a second time in June 2023, this time under Executive Order 13224, for his participation in IRGC-IO’s lethal targeting operations. Haj Taher, Sedighi, and Forouzan (collectively with Bazghandi, the Bazghandi Network), each of whom resides in Iran, also have connections to the Government of Iran.   

The Bazghandi Network contracted Amirov, Omarov, Mamedov, and Khalid Mehdiyev to murder, on U.S. soil, a victim residing in New York City. The victim is a journalist, author, and human rights activist who has publicized the Government of Iran’s human rights abuses and suppression of political expression, including in connection with continuing protests against the regime across Iran. As recently as 2020 and 2021, Iranian intelligence officials and assets plotted to kidnap the victim from within the United States for rendition to Iran in an effort to silence the victim’s criticism of the regime. That plot was disrupted and exposed by the FBI and led to the filing of federal kidnapping conspiracy and other charges in the Southern District of New York against several participants in the plot in United States v. Farahani, et al.

Since at least July 2022, the Bazghandi Network tasked members of the organization with assassinating the victim. The organization’s participation in the murder-for-hire plot was directed by Amirov, who resided in Iran and who was tasked with targeting the victim by individuals in Iran. On approximately July 13, 2022, Amirov forwarded targeting information — which Amirov had received from individuals in Iran — about the victim and the victim’s residence to Omarov. Omarov, in turn, together with Mamedov, directed and collaborated with Mehdiyev, who was residing in Yonkers, New York, to carry out the plot against the victim. Mehdiyev’s participation in the plot was disrupted when he was arrested near the victim’s home on or about July 28, 2022, while in possession of the assault rifle, along with 66 rounds of ammunition, approximately $1,100 in cash, and a black ski mask.

In January 2023, Amirov, Omarov, and Mamedov were arrested overseas. On Jan. 27, 2023, they were charged publicly for their roles in the plot to assassinate the victim. Nevertheless, in the months that followed, members of the Bazghandi Network continued to target the victim. For example, in or about March 2023, Haj Taher searched for information about the victim’s family members and Sedighi saved an image of the victim’s residence. As recently as on or about May 1, 2023, Bazghandi conducted an internet search, in Farsi, for, “a person in the house of [the victim] movie,” and, on the same date, watched a video with the title, “A video of the arrested gunman in front of [the victim]’s home in New York received by [the victim’s employer].”

Bazghandi, Haj Taher, Sedighi, and Forouzan, have been charged with murder-for-hire, which carries a maximum penalty of 10 years in prison; conspiracy to commit murder-for-hire, which carries a maximum penalty of 10 years in prison; conspiracy to commit money laundering, which carries a maximum penalty of 20 years in prison; and conspiring to violate the International Emergency Economic Powers Act and sanctions against the Government of Iran, which carries a maximum penalty of 20 years in prison.

Amirov, Omarov, and Mamedov  have also been charged with murder-for-hire, conspiracy to commit murder-for-hire, and conspiracy to commit money laundering. In addition, Amirov, Omarov, and Mamedov were charged with attempted murder in aid of racketeering, which carries a maximum penalty of 10 years in prison and possession and use of a firearm in connection with the attempted murder, which carries a maximum penalty of life in prison and a mandatory minimum penalty of five years in prison. If convicted, a federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The FBI investigated the case. The Justice Department’s Office of International Affairs assisted with the extradition of Mamedov.

Assistant U.S. Attorneys Michael D. Lockard, Jacob H. Gutwillig, and Matthew J.C. Hellman for the Southern District of New York, Trial Attorneys Christopher Rigali and Leslie Esbrook of the National Security Division’s Counterintelligence and Export Control Section, and Trial Attorney Dmitriy Slavin of the National Security Division’s Counterterrorism Section are prosecuting the case.

An indictment is merely an accusation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

State Labor Department Releases Preliminary September 2024 Area Unemployment Rates

The New York State Department of Labor today released preliminary local area unemployment rates for September 2024. Rates are calculated using methods prescribed by the U.S. Bureau of Labor Statistics. The State’s area unemployment rates rely in part on the results of the Current Population Survey, which contacts approximately 3,100 households in New York State each month. To recap last week’s statewide press release, New York State’s seasonally adjusted unemployment rate held constant at 4.4% in September 2024. 

Local Area Unemployment Rates* (%)

September 2023 and September 2024

(Not seasonally adjusted)

The data in the preceding table are not seasonally adjusted, which means they reflect seasonal influences (e.g., holiday and summer hires). Therefore, the most valid comparisons with this type of data are year-to-year comparisons of the same month, for example, September 2023 versus September 2024. Labor force data for the current month are preliminary and subject to revision as more information becomes available the following month. Revised estimates for prior months are available at: https://dol.ny.gov/local-area-unemployment-statistics.

Labor force statistics, including the unemployment rate, for New York and every other state are based on statistical regression models specified by the U.S. Bureau of Labor Statistics. These are the most up-to-date estimates of persons employed and unemployed by place of residence. Estimates are available for New York State, labor market regions, metropolitan areas, counties and municipalities with population of at least 25,000.

Unemployment Rates By County,

New York State,

September 2024

Jobs and Unemployment Fact Sheet This fact sheet conveys important technical information that will contribute to a better understanding of labor force data (“household survey”), including resident employment/unemployment rates, and jobs by industry data (“business survey”), which are presented in the New York State Department of Labor’s monthly press release. State Unemployment Rates Based on Regression Model Beginning with data for January 1996, unemployment rates for New York State and all other states (as well as New York City and the City of Los Angeles) have been estimated using time-series regression statistical models developed by the U.S. Bureau of Labor Statistics (BLS). Advantage of Regression Model Use of a time-series regression model reduces the month-to-month variation in unemployment rates and resident employment by reducing variation caused by sampling errors and other components of statistical noise (irregularities). Benchmarking of Estimates Once each year, labor force estimates, such as civilian labor force and the unemployment rate, are revised to reflect updated input data including new Census Bureau populations controls, newly revised establishment jobs data and new state-level annual average data from the Current Population Survey (CPS). As part of this procedure, all state figures are reviewed, revised as necessary and then re-estimated. This process is commonly referred to as “benchmarking.” Changes in Methodology Labor force estimates are now produced with an improved time-series regression model, which utilizes “real-time” benchmarking. “Real-time” benchmarking reduces end-of-year revisions, which also means that major economic events will be reflected in a more timely manner in state labor force estimates. In addition, the new methodology includes an updated way of estimating for sub-state areas (e.g. counties, metro areas) the number of unemployed who are new entrants or re-entrants into the labor force. This change in methodology will result in lower unemployment rates in some areas and increased rates in others. Unemployed and UI Beneficiaries The estimate of the number of unemployed includes all persons who had no employment during the reference week (the week including the 12th of the month), were available for work, except for temporary illness, and had made specific efforts to find employment sometime during the 4-week period ending with the reference week. Unemployment insurance (UI) beneficiaries include those who apply for and qualify for UI benefits. Consequently, the estimate of the number of unemployed and the number of UI beneficiaries do not necessarily move in tandem. Jobs Data Jobs data are obtained from a separate joint federal-state survey of business establishments. The survey, called the Current Employment Statistics of Establishments, samples establishments in New York State. It excludes self-employed workers, agricultural workers, unpaid family workers and domestic workers employed by private households. This data represents a count of jobs by place of work. Data for each month is revised the following month as more complete information becomes available. The New York State Department of Labor is an Equal Opportunity Employer/Program.

NYC Comptroller Lander Proposes Excluding Future Private Markets Investments in Midstream and Downstream Fossil Fuel Infrastructure by the New York City Retirement Systems

 

If adopted by trustees, the policy would expand the funds’ divestment from fossil fuel reserve owners and exclusion of upstream fossil fuel investments in private markets to cover midstream and downstream infrastructure, such as pipelines and distribution terminals

New York City Comptroller Brad Lander announced support for a policy that would cease future investments by New York City public pension funds in midstream and downstream fossil fuel infrastructure. The proposal builds upon the leadership taken previously by Comptroller Lander and the trustees of the New York City Employees’ Retirement System (NYCERS), Teachers’ Retirement System (TRS), and Board of Education Retirement System (BERS) to decarbonize the funds’ holdings through strong action consistent with fiduciary duty to their beneficiaries.

The three pension funds previously divested from fossil fuel reserve owners in their public equities portfolio (passed by the boards in 2018, completed in 2022), and voted to exclude upstream fossil fuel investments (i.e. exploration and extraction) in their private markets investments in 2023. The policy Lander is proposing today would expand this exclusion to include a prohibition on future investments in midstream and downstream infrastructure (e.g. pipelines, LNG terminals) in their funds’ private equity and infrastructure portfolios.

“Climate risk is financial risk, and we have a fiduciary duty to our beneficiaries to take that risk seriously as we make long-term investment decisions,” said Comptroller Brad Lander. “The impacts of the climate crisis are playing out in real time, with more frequent hurricanes, flash floods, intense heat waves, and deteriorating air quality jeopardizing our planet and our portfolios. Excluding pipelines and LNG terminals from future investments will help mitigate the systemic risks that climate change poses to the global economy and to New York City’s public pension funds.”

These exclusions are part of the funds’ broader Net Zero Implementation Plans, adopted in 2023, which include annual disclosure of Scope 1, 2, and 3 emissions; strategic engagement with portfolio companies and asset managers to reduce real-world emissions; and significantly scaling up the funds’ investments in renewable energy and climate solutions. Under Comptroller Lander’s leadership, the funds have:

• Completed their divestment from publicly traded fossil fuel reserve owners, making them the first sizable U.S. public pension system that has divested from both its active and passive publicly traded fossil fuel portfolio.

• Established an exclusion policy in upstream fossil fuels in private markets.

• Led shareholder campaigns that persuaded JP Morgan Chase, Citibank, and Royal Bank of Canada to disclose the ratio of their green vs. fossil fuel financing, with the goal of making this a sector-wide standard that supports the energy transition on a Paris-aligned timeline.

• Led shareholder engagement with utilities (a leading source of Scope 1 and 2 emissions in our portfolio) to decrease their carbon footprint in line with the Paris Accords.

• Adopted an ambitious net-zero plan, which includes expectations that all of the funds’ public markets investment managers will have net-zero plans in place by 2025, and private market investment managers by 2026.

• Dramatically increased investments in renewable energy and climate solutions to over $11 billion.

• The New York City Employees’ Retirement System (NYCERS) has joined the Net-Zero Asset Owner Alliance (NZAOA), a broader investor alliance for aligned climate action.

Staff of the Comptroller’s Bureau of Asset Management will engage in research and development to craft the specific policy language and present it to the trustees of the three funds in early 2025, along with an assessment of its implications and impacts. Notwithstanding the funds’ prior divestment actions, overall investments in energy and climate solutions have grown to over $11 billion, nearly three times the volume of the funds’ holdings in fossil fuel reserve owners prior to 2021.

Attorney General James Announces Convictions of Orange County Transportation Company Owners for Stealing More Than $2.1 Million from Medicaid

 

Damir Yuldashev, Leader of the Scheme, Will Be Sentenced to Two to Six Years in State Prison and Required to Pay More Than $2.1 Million to Medicaid

New York Attorney General Letitia James today announced that the owners of DYD Universe, Inc. (DYD), a New York Medicaid-enrolled transportation company, have pleaded guilty for their roles in a scheme that stole more than $2.1 million from Medicaid and paid illegal kickbacks to Medicaid recipients. Damir Yuldashev, 64, his son Daler Yuldashev, 38, and Daler’s mother Nigina Iskandarova, 60, all of Monroe, New York, admitted that from April 2018 to March 2023, they stole more than $2.1 million from Medicaid by submitting fraudulent claims for services that they knowingly did not provide and toll charges that they knew were not incurred. The owners also admitted to paying illegal kickbacks to Medicaid recipients in exchange for providing DYD with their confidential Medicaid identification in order to carry out the scheme. As a result of the pleas, Damir Yuldashev will be sentenced to two to six years in prison and, along with Daler Yuldashev, must pay back over $2.1 million to Medicaid. Daler Yuldashev and Nigina Iskandarova will be sentenced to probation, and all three defendants will be permanently banned from being providers in all government-funded health programs. 

“Stealing taxpayer funds that are meant to provide health care for low-income New Yorkers is unacceptable,” said Attorney General James. “Instead of providing vulnerable patients with the transportation services they needed to get them to their appointments, these individuals exploited Medicaid recipients to carry out their fraud. I will not tolerate schemes like these that damage our health care system, and my office will continue to go after fraudsters who steal from Medicaid.”  

Medicaid recipients who lack access to transportation can use approved transportation providers to travel to and from covered medical services. These providers receive reimbursements from Medicaid for the rides they provide. From April 2018 to March 2023, Daler and Damir Yuldashev billed Medicaid for fictitious trips and added fake tolls to their trips to inflate their costs. DYD’s claims often added toll charges from $15 to as much as $50 when the trip did not actually incur any tolls at all. As a result of their scheme, DYD illegally overcharged Medicaid more than $2.1 million.

To carry out their scheme, the defendants paid Medicaid recipients to sign up with DYD and use fake addresses or drive themselves to their appointments, allowing DYD to either inflate or submit entirely false claims for transportation to Medicaid. These payments were illegal and undermined the businesses of other transportation providers in the Hudson Valley. Some passengers were paid thousands of dollars each to take rides that allowed DYD to collect tens of thousands of dollars in fees per passenger.

All three defendants pleaded guilty in Orange County Court in front of Judge Richard Guertin. Damir Yuldashev pleaded guilty to Grand Larceny in the First Degree, a class B felony. Daler Yuldashev pleaded guilty to Grand Larceny in the Third Degree, a class D felony. Nigina Iskandarova pleaded guilty to violating New York’s anti-kickback statute, Social Services Law section 366-d, a class E felony. DYD also pleaded guilty to Grand Larceny in the First Degree.

Damir Yuldashev faces a sentence of two to six years in state prison. Daler Yuldashev and Nigina Iskandarova, both of whom played lesser roles in the scheme, will be sentenced to probation, with Daler Yuldashev required to perform at least 1,200 hours of community service. As part of their sentence, Damir and Daler Yuldashev must pay $2,127,624 to Medicaid in restitution for their crimes. If they fail to pay restitution as ordered by the Court at sentencing, Damir and Daler Yuldashev will be required to serve additional time in state prison. As a result of their convictions, each defendant is also permanently excluded from being a provider in all government-funded health programs, including Medicaid and Medicare.

The Office of the Attorney General thanks the New York State Department of Health and the Office of the Medicaid Inspector General for their assistance in this investigation.

Reporting Medicaid Provider Fraud: MFCU defends the public by addressing Medicaid provider fraud and protecting nursing home residents from abuse and neglect. If an individual believes they have information about Medicaid provider fraud or about an incident of abuse or neglect of a nursing home resident, they can file a confidential complaint online or call the MFCU hotline at (800) 771-7755. If the situation is an emergency, please call 911.

New York MFCU’s total funding for federal fiscal year (FY) 2025 is $70,502,916. Of that total, 75 percent, or $52,877,188, is awarded under a grant from the U.S. Department of Health and Human Services. The remaining 25 percent, totaling $17,625,728 for FY 2025, is funded by New York State.

NYC Council Speaker Adams to Introduce Legislation Initiating Charter Revision Commission to Renew Confidence in City Government, Improve Governance and Transparency

 

Commission will seek to re-establish strong standards for Charter revision process, prioritizing extensive public input from New Yorkers and comprehensive policy reviews

On Wednesday, New York City Council Speaker Adrienne Adams will introduce legislation to establish a new Charter Revision Commission (CRC) that prioritizes improving city government and transparency and restoring public confidence in local democracy. The authorizing legislation would include safeguards for the proposed commission and seeks to re-establish a good government model for CRCs. In contrast to the recently empaneled commission by Mayor Adams that rushed completion of the process in less than two months, the proposed legislation would provide at least eight months for the commission’s work before its earliest submission of proposals for a General Election in 2025 and up to 20 months for the 2026 General Election. It would prohibit registered lobbyists from serving as members, provide representation for all city elected officials, and prioritize thorough public engagement, review and transparency, unlike Mayor Adams’ recent commission. The mayor’s commission, by contrast, was comprised of only his appointees and included registered lobbyists. It advanced Proposals 2 – 6 to this year’s General Election ballot by approving specific proposals less than two days after their release without any opportunity for public input.  

“Charter Revision Commissions present unique opportunities to present ideas, engage New Yorkers, and advance proposals that improve city government, making it more responsive to the needs of our communities,” said Speaker Adrienne Adams. “The goal of this legislation is to establish a commission that restores model standards for how to transparently and inclusively revise the City Charter – our vital constitution – through transparent consideration of thoughtful proposals. After the Mayor’s rushed commission undermined norms of good governance and now seeks to mislead New Yorkers via Proposals 2 – 6 on this year’s ballot, it is crucial to prevent this anomaly from becoming a new baseline that normalizes attacks to weaken our local democracy. I look forward to uniting all stakeholders and New Yorkers to advance a process that prioritizes strengthening our city rather than political gamesmanship. The last several months have negatively impacted public trust in city government and it is essential for us to rebuild that critical bond with New Yorkers.”

CRCs prior to the one created by Mayor Adams this year have advanced meaningful reforms, such as 2018 and 2019 changes to the oversight authority of the Civilian Complaint Review Board, reforms to Conflict of Interest laws and community boards, and improvements to government transparency related to the budget and other issues. The commission, proposed for creation by the Speaker’s legislation, would continue this legacy by advancing a mission to democratically develop, review and advance reforms that strengthen city government.

The Commission proposed by the Council legislation would be authorized to submit ballot proposals no later than the General Election of 2026. The Commission would be composed of 17 members, with nine members appointed by the Speaker and the remaining members each appointed by the Mayor, Public Advocate, Comptroller, and five Borough Presidents. The commission would be authorized to “conduct an extensive outreach campaign that solicits ideas and recommendations form a wide variety of civic and community leaders, and which encourages the public to participate…”

A Charter Revision Commission is a major process to change the City’s constitution, known as the City Charter. It requires a full review of the City Charter, and the standard has been to develop proposals that improve government. However, Mayor Adams’ recent CRC seemed to operate solely in service to his Administration’s political agenda in ways that could undermine checks-and-balances in city government and circumvent the legislative process. This has highlighted the need to re-establish a model with strong standards for how future commissions should operate. The commission proposed by the Council’s legislation would focus on restoring best practices and integrity for Charter reviews, rebuilding public trust, and enhancing city government’s effectiveness and transparency. 

Truist Bank Pays Over $9M to Resolve Allegations Concerning SunTrust Bank’s Administration of Trust Accounts

 

Truist Bank (Truist), based in Charlotte, North Carolina, has agreed to pay the United States $9,125,000 to resolve claims under the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA), in connection with the administration of certain trust accounts by SunTrust Bank (SunTrust) from December 2011 through December 2015. SunTrust was acquired by Branch Banking and Trust Company in December 2019, and the combined entity was renamed Truist.

“Our federally insured financial institutions must act in accordance with the law, including meeting their obligations to beneficiaries when they serve as trustees,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Today’s settlement makes clear that the department will hold banks accountable when they knowingly run afoul of applicable legal requirements.”

The settlement announced resolves claims arising out of SunTrust’s management of certain trust accounts it administered as part of its relationship with a New Jersey company doing business as The Halpern Group (Halpern).  Halpern served as a “structured settlement facilitator” in matters involving individuals who received settlement awards in personal injury litigation and referred those individuals to SunTrust. These individuals then established trusts at SunTrust that were intended to help them preserve their recoveries by protecting against unwise disbursements.  Both SunTrust and Halpern collected fees in exchange for their agreement to provide these services.

In or around December 2011, SunTrust began administering a group of trust accounts, known as the “Doe Run Accounts,” that were referred to the bank by Halpern and resulted from the settlement of lead poisoning cases near Herculaneum, Missouri. Those accounts involved beneficiaries who claimed various health and cognitive issues from lead poisoning. The United States contends that, rather than helping these beneficiaries avoid unwise disbursements, Halpern requested and SunTrust frequently approved imprudent disbursements that were not in the beneficiaries’ best interests, including disbursements for the benefit of third-parties (e.g., relatives). The United States contends that SunTrust’s approval of these disbursements violated its fiduciary obligations as the trustee of these accounts.

“Banks occupy a special place of trust in our society,” said U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia. “This settlement shows that when banks violate that trust — especially in situations involving vulnerable customers — they will face accountability.”

The settlement was the result of a coordinated effort by the Civil Division’s Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the Northern District of Georgia.

Senior Trial Counsel David W. Tyler of the Civil Division’s Commercial Litigation Branch and Assistant U.S. Attorney Austin M. Hall for the Northern District of Georgia handled the matter.

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

Governor Hochul Secures Major Disaster Declaration From President Biden for Communities Damaged by Severe Weather on August 18-19

Declaration Provides Federal Disaster Assistance for Suffolk, Oswego and Lewis Counties

New York Also Granted Access to FEMA’s Hazard Mitigation Grant Program To Support Long-Term Measures To Reduce Loss of Life and Protect Property 

Governor Kathy Hochul announced that President Biden approved her request for a Major Disaster Declaration to provide federal assistance to communities impacted by severe weather on August 18 and 19. This declaration allows for federal financial assistance to support public infrastructure reconstruction efforts in Suffolk, Oswego, and Lewis counties. As the State awaits the President’s decision on direct support for homeowners, we will continue to do all we can to help those impacted by extreme weather this summer.

“Severe weather on August 18 and 19 left extreme damage across parts of our state, and I'm thankful President Biden has approved my request for a Major Disaster Declaration,” Governor Hochul said. “My administration will continue to work with FEMA to ensure those affected receive the critical funding they need to begin the recovery and rebuilding process.”

A Major Disaster Declaration secures financial assistance from the federal government, primarily through FEMA’s Public Assistance Program, and provides funding to local governments and eligible non-profits for debris removal, protective measures and repairs to buildings and infrastructure, including roads, bridges, water and wastewater treatment facilities, critical infrastructure sites, schools, parks and other facilities.

As part of the declaration, New York was also granted access to FEMA’s Hazard Mitigation Grant Programs. Following a Presidential disaster declaration, FEMA provides funding for states to administer grant programs supporting local hazard mitigation planning and long-term hazard mitigation measures to reduce the loss of life and to improve property damaged by natural disasters. Local governments and certain non-profits that perform government-like functions are eligible to apply for these grants. All counties in the State will have the ability to apply for this funding. More information will become available in the coming months.

This Declaration builds on a number of the Governor’s efforts to help impacted communities recover. On August 23, Governor Hochul Declared a State of Emergency and announced emergency assistance to support homeowners impacted by flash flooding caused by the record rainfall. At Governor Hochul’s direction, New York Homes and Community Renewal launched an emergency repair program that would provide grants of $50,000 to eligible homeowners in Nassau and Suffolk counties. Lewis County was granted access to this program, as well as low-interest loans from the U.S. Small Business Administration following extreme weather earlier this summer.

New Rochelle Physician Pleads Guilty To Selling Thousands Of Oxycodone Pills For Cash

 

Damian Williams, the United States Attorney for the Southern District of New York, and Naomi Gruchacz, Special Agent in Charge of the U.S. Department of Health and Human Services Office of Inspector General (“HHS-OIG”), announced that MORDECHAI BAR pled guilty to one count of illicitly distributing and dispensing oxycodone and other controlled substances.  BAR pled guilty before U.S. District Judge Cathy Seibel, to whom his case is assigned. 

U.S. Attorney Damian Williams said: “Dr. Mordechai Bar hid behind his medical license while he prescribed oxycodone without a legitimate medical need.  Like any drug dealer, he pumped highly addictive substances into the streets for profit, with no regard for the impact on the community. Along with our law enforcement partners, we will continue to aggressively prosecute physicians who help fuel the opioid crisis.” 

HHS-OIG Special Agent in Charge Naomi Gruchacz said: “This physician accepts responsibility for illegally prescribing controlled substances, an action that is especially egregious given the ongoing opioid epidemic. HHS-OIG will continue to work with our law enforcement partners to ensure individuals involved in fraud schemes that exploit federal health care programs and threaten patient safety are held accountable.”

According to documents filed in this case including the Complaint, the Information, BAR’s plea agreement, and statements made in Court:

Between in or about January 2023 and in or about June 2024, BAR, a physician, repeatedly prescribed oxycodone without a legitimate medical purpose and outside of the usual course of professional practice.  Oxycodone, a Schedule II narcotic, is a highly addictive opioid that is used to treat severe and chronic pain, as well as pain associated with certain forms of cancer and other terminal illnesses.  Oxycodone prescriptions command high prices in the black market because of demand by drug abusers.  BAR often prescribed oxycodone in combination with amphetamines and/or alprazolam, controlled substances that are themselves frequently abused and resold illicitly.  BAR sold these prescriptions for cash, and he did so without performing physical examinations or medical tests on the patients in whose names the prescriptions were issued. 

BAR, 71, of Larchmont, New York, pled guilty to one count of distributing oxycodone and other controlled substances, which carries a maximum sentence of 20 years in prison.  The statutory maximum sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing will be determined by a judge.  BAR is scheduled to be sentenced by Judge Seibel on February 18, 2025.

Mr. Williams praised the outstanding efforts of the DEA, HHS-OIG, the FBI, IRS-CI, and the Organized Crime Drug Enforcement Task Force (“OCDETF”) New York Strike Force.  Mr. Williams also thanked the New York State Department of Health Bureau of Narcotic Enforcement for their assistance in this case.

The OCDETF New York Strike Force provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location.  This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations.  The specific mission of the OCDETF New York Strike Force is to identify, disrupt, and dismantle drug trafficking and money laundering organizations, reduce the illegal drug supply in the United States, and bring criminals to justice.  Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.