South Carolina Criminal Lawyer Blog

North Carolina Medicare Fraud

Tue, 08 May 2012 11:22:20 -0500

According to prosecutors, Armando Gonzalez is a convicted cocaine trafficker who got involved in Medicare fraud schemes in the mid-2000’s when he opened mental health clinics in the Kendall and Cutler Bay areas. By 2008, Gonzalez suspected the feds were on to him, the Miami-Dade resident moved to North Carolina and took his businesses with him. Before he was recently arrested, he was planning to open a psychotherapy clinic in Tennessee.

His charges are related to conspiracy to steal $63 million from Medicare. He has now been ordered to be held without bail since prosecutors argued that he is a flight risk due to the fact that he faces 30 years to life in prison. According to reports, “Gonzalez’s three clinics — accused of entertaining patients with TV and movies instead of providing actual group psychotherapy sessions — collected $28 million from the Medicare program for seniors and the disabled between 2004 and 2011. Justice Department lawyers say in court papers that the ‘vast majority’ of the money ‘has disappeared’ with a ‘substantial portion ... laundered through shell corporations.’”

Last week, Gonzalez was indicted on a variety of Medicare fraud charges along with eight co-defendants, including a registered nurse, John Thoen, and other employees of his company, Health Care Solutions Network.

Eight other people were named in the indictment with Gonzalez, including Serena Joslin of Buncombe County, who was the clinical coordinator for HCSN-NC, and Alexandra Haynes of Miami-Dade and Henderson counties, who was program coordinator for HCSN-NC.

Also charged are Daniel Martinez, Raymond Rivero and Ivon Perez, owners of three assisted-living facilities in the Homestead area called Mi Renacer, God Is First, and Kayleen and Denis Care. The owners are accused of taking bribes from Gonzalez in exchange for supplying a steady flow of patients, including many who suffered from dementia and Alzheimer's disease and could not have benefitted from the therapy.

As part of the criminal case, prosecutors are seeking to recover the $28 million that Medicare paid Gonzalez's businesses in Miami-Dade and North Carolina. They want to seize his 3,500-square-foot house in Hendersonville, which was on the market for $750,000 before his arrest. They also want to seize his 17 vehicles, including two Cadillac Escalades, a BMW, a Mercedes Benz and Ford vans, for transporting patients.

If you or someone you know has been charged with fraud, you will need to consult with an experienced criminal defense attorney in your area. Call one of the Myrtle Beach lawyers at The Mace Firm to schedule your free consultation.

107 Charged in Medicare Fraud Scheme

Thu, 03 May 2012 14:20:07 -0500

107 doctors, nurses and social workers in 7 cities have been charged by federal authorities with Medicare fraud this week. With scams that allegedly billed Medicare $452 million, this nationwide crackdown is the “highest dollar amount in a single Medicare bust in U.S. history.” These arrests are the latest in a series of major arrests over the past two years. Authorities believe that these types of scams have cost the government between $60 billion and $90 billion every year.

This week, hundreds of federal agents around the country were busy raiding businesses, seizing fraudulent documents and charging suspects in Miami, Los Angeles, Houston, Detroit, Chicago , Tampa and Baton Rouge. “Among those arrested Wednesday were the owners of two community mental health centers in Baton Rouge, charged with billing $225 million in their scams. Hoor Naz Jafri and Roslyn Dogan allegedly recruited vulnerable patients, including elderly people, drug addicts and the mentally ill. Patient charts were doctored to show services that were billed to Medicare but often never given, according to an indictment.”

The latest trend in Medicare fraud comes from community mental health centers. Over the years, mental health facilities have come up with more developed schemes related to medical equipment, HIV infusion fraud and ambulance scams. The scams become even more complex when patient recruiters are paid to recruit patients, while doctors and nurses coordinate to make it look like they are providing medical services when they are not.

"Medicare fraud also exposes some of our most vulnerable citizens to identity theft, and, in some cases, endangers patients' lives," said Gary Cantrell, Deputy Inspector General for Investigations for HHS. "The indictments announced [this week] demonstrate that we're fighting back."

Over time, authorities have employed a new data system that allows them to spot trends in billing patters quicker. Ideally, this will stop fraudulent payments before they go out. Additionally, the Centers for Medicare and Medicaid Services launched a $77 million computer system to do the same thing, but the program has provided few results since it was implemented last summer.

If you or someone you know has been charged with fraud, it would be beneficial to speak with a good criminal defense attorney in your area. Call one of the Myrtle Beach attorneys at The Mace Firm to schedule your free consultation. Our fraud lawyers in Myrtle Beach are ready to speak with you about your case.

Operation Red Harvest

Tue, 01 May 2012 10:48:55 -0500

Multiple law enforcement agencies searched 10 locations in Horry County and one in Georgetown County on Monday morning. The search was in connection with an 18-month investigation that started in December 2010 called Operation Red Harvest.

The operation “centered around the cultivation, distribution and trafficking of marijuana involving local chapters of the Hells Angels organization.” As a result of this operation, 226 indictments for 34 different suspects were sealed and handed down last week. Additionally, authorities ended up making 15 arrests with 19 remaining at-large.

Police said Ellis Howard Schindler, 48, of Myrtle Beach is the president of the regional chapter for the Hells Angels. He is now facing eight charges of criminal conspiracy, two charges of accessory before the fact to a felony, two charges of third degree assault and battery by a mob, kidnapping, use of threat of physical violence by a criminal gang member, unlawful use of a telephone for obscene calls or threats, manufacturing marijuana, possession with intent to distribute marijuana and conspiracy to distribute marijuana.

Operation Red Harvest was led by Horry County police, Horry County Sheriff’s office, 15th Circuit Solicitor’s Office, Charleston County Sheriff’s office, Georgetown County Sheriff’s office, Myrtle Beach police, Surfside Beach police and the State Law Enforcement Division. Solicitor Greg Hembree said his office has been involved from the beginning, sometimes communicating daily with the officers in the investigation, and the work isn’t over. Hembree said part of why the investigation took so long was to get information on leaders of the organization.

The amount of marijuana seized was not released and police declined to comment on how much they believe was distributed by the local organization. From the charges, however, the amount was between 100 pounds and a ton.

As reported by local media, the following is a list of those charged:

• Jeffrey Carl Lozier, 41, of Myrtle Beach is facing seven charges of criminal conspiracy, two charges of third degree assault and battery by a mob, two charges of accessory before the fact of a felony, simple assault and battery, kidnapping and conspiracy to distribute marijuana.

• Scott Richard Rowan, 48, of Myrtle Beach was identified as a member of the Hells Angels. He has been charged with five counts of criminal conspiracy, two charges of conspiracy to distribute marijuana, two charges of third degree assault and battery by a mob, kidnapping and manufacturing marijuana.

• Thomas Allen Doucette, 49, of Myrtle Beach is facing the most charges of all 15 arrested Monday. He was charged with 22 counts of distribution of marijuana, eight charges of criminal conspiracy, conspiracy to distribute marijuana, manufacturing marijuana, assault and battery in the first degree, possession of a weapon during a violent crime, third degree assault and battery by a mob and kidnapping.

• Melanie Ann Doucette, 42, of Myrtle Beach was charged with 16 counts of conspiracy to distribute marijuana, manufacturing marijuana and trafficking more than 100 pounds but less than 2,000 pounds of marijuana.

• Thomas Allen Doucette Jr., 29, of Myrtle Beach was charged with two counts of trafficking more than 100 pounds but less than 2,000 pounds of marijuana, distribution of marijuana, conspiracy to distribute marijuana and criminal conspiracy.

• Scott Richard Rowan, 48, of Myrtle Beach was charged on five counts of criminal conspiracy, two charges of conspiracy to distribute marijuana, two charges of third degree assault and battery by a mob, kidnapping and manufacturing marijuana.

• Patrick John Baker, 37, of Myrtle Beach is charged with two counts of distribution of marijuana, conspiracy to distribute marijuana, manufacturing marijuana, criminal conspiracy and trafficking more than 100 pounds but less than 2,000 pounds of marijuana.

• Ashley Nicole Martin, 21, of Myrtle Beach was charged with three counts of distribution of marijuana, conspiracy to distribute marijuana, manufacturing marijuana, and criminal conspiracy.

• Jacob Pierce Austin, 35, of Myrtle Beach is facing three charges of conspiracy to distribute marijuana, manufacturing marijuana, criminal conspiracy and trafficking more than 100 pounds but less than 2,000 pounds of marijuana.

• Jessica Diane Martin, 25, of Myrtle Beach was charged with criminal conspiracy, conspiracy to distribute marijuana and manufacturing marijuana.

• John Marshall Volosin, 31, of Myrtle Beach is facing four charges of criminal conspiracy, two charges of third degree assault and battery by a mob, manufacturing marijuana, conspiracy to distribute marijuana and kidnapping.

• Christina Elizabeth Baker, 26, of Myrtle Beach is facing two charges of trafficking more than 100 pounds but less than 2,000 pounds of marijuana, two charges of conspiracy to distribute marijuana, manufacturing marijuana and criminal conspiracy.

• Daniel John Baker, 36, of Myrtle Beach was charged with criminal conspiracy, manufacturing marijuana, and trafficking more than 100 pounds but less than 2,000 pounds of marijuana.

• Police said Lee Michael, 42, of Myrtle Beach is a Red Devil. He was charged with criminal conspiracy and conspiracy to distribute marijuana.

If you or someone you know has been charged with a crime, you will need to speak with an experienced criminal defense attorney in your area. Our Myrtle Beach defense attorneys at The Mace Firm are ready to talk about your case. Call one of the criminal lawyers in Myrtle Beach to schedule your free consultation.

Gag Order Denied in Trayvon Martin Case

Fri, 27 Apr 2012 16:42:39 -0500

Criminal defense attorneys for George Zimmerman, the prosecution and the media appeared in front of a judge in Seminole County Friday morning. Judge Ken Lester heard many issues from all sides involved in the second-degree murder trial including gag orders, sealing of case information and bond money. The state began the hearing asking for a gag order for Zimmerman's attorney, Mark O'Mara.

The prosecutor for the case said that O’Mara was talking to the media about the facts of the case. O’Mara argued that he had not been speaking to the media because he has not seen any of the evidence. Judge Lester finally ruled that there would be no gag order and praised O’Mara for “tampering down the emotions in the case.”

Judge Lester also said that he “would not seal any information unless the attorneys for Zimmerman or the state filed a motion asking to do so, including names and addresses of witnesses.” Both sides for this case agreed that they are concerned about the safety and anonymity of the witnesses. Judge Lester plans to “approach the information on a case by case basis.” He also made it clear that “any information dealing with security issues would not be made public to the media.”

O'Mara did make the court aware of the significant amount of money that was donated to Zimmerman on his website, www.therealgeorgezimmerman.com, which has since been shut down by O'Mara. O'Mara told the court he was not aware of the $200,000 when the family spoke April 20. He went on to say that the family also didn't know the money was available to them when they testified about their finances. "They could easily have made a maneuver to try and get to that money but they didn't," said O'Mara. "That proves they were not holding or hiding anything with this money because they did not use it."

It will be very interesting to see how Zimmerman’s attorneys plan to defend him in this case. If you or someone you know has been accused of a crime, speaking with an experienced criminal defense attorney will be highly beneficial. Call one of the Myrtle Beach lawyers at The Mace Firm to schedule your free consultation.

2255 Proceedings

Fri, 20 Apr 2012 09:25:51 -0500

There are four broad remedies a district court may consider when a petition is determined to be meritorious in whole or in part. The court may: 1) discharge the prisoner; 2) grant a new trial; 3) resentence; or 4) correct the sentence. Within these broad remedial perameters, however, 2255 "confers a broad and flexible power to the district courts to fashion an appropriate remedy." In United States vs. Silvers, where a habeas petitioner successfully challenged his conviction for conducting a continuing criminal enterprise (CCE), the district court reinstated a lesser-included conspiracy conviction (vacated at sentencing to avoid double jeopardy), and proceeded directly to resentencing. The Fourth Circuit affirmed, concluding that the district court had properly "placed [the defendant] in exactly the same position he would have been had there been no error in the first instance."

On the other hand, "a court violates double jeopardy by imposing a new sentence for one that has been fully discharged." A habeas petitioner may challenge an expired sentence to which a current sentence was consecutive, because "we view consecutive sentences in the aggregate, not as discrete segments."

In United States vs. Smith, the defendant had completed all but that portion of his consecutive 924(c) sentence set aside on collateral review. Applying Silvers, the Fourth Circuit found no double jeopardy or due process violations in resentencing generally or in applying the firearm enhancement in particular. In United States vs. Green, the defendant filed a successful 2255 motion to set aside his 924(c) conviction following a guilty plea. The defendant argued that his subsequent reindictment--for the 924(c) violation and other counts which had been dismissed in the plea bargain--violated the Double Jeopardy Clause and breached his Plea Agreement. The Fourth Circuit disagreed:

The Double Jeopardy Clause does not preclude prosecution of the offenses to which Green did not plead guilty. A jury was never impanelled to try these counts; the court never received evidence on these counts; Green was never acquitted of these counts; and Green was never sentenced for these counts. "The hallmarks of double jeopardy are not present."

In Peguero vs. United States, the defendant moved to vacate his sentence based on the trial court's failure to advise him, at the time of sentencing four years earlier, of his right to appeal, The Supreme Court "granted certiorari to resolve a Circuit conflict over whether a district court's failure to advise the defendant of his right to appeal provides a basis for collateral relief even when the defendant was aware of his right to appeal."

If you or someone you know would like to start the appeals process, call one of the experienced Myrtle Beach appeal lawyers at The Mace Firm for a free consultation.

Ineffective Assistance of Counsel

Fri, 13 Apr 2012 15:28:29 -0500

A defendant can raise the claim of ineffective assistance of counsel in one of three ways:
1) in a motion for a new trial based on anything other than newly discovered evidence
2) on direct appeal if and only if it conclusively appears from the record that his counsel did not provide effective assistance
3) by a collateral challenge

Whether reached on direct appeal or in a post conviction proceeding, the two pronged test announced by the Supreme Court in Strickland v Washington, is the benchmark in determining whether assistance of counsel has been constitutionally adequate.

The first prong of the Strickland test relates to professional competence. Here, the defendant must show that counsel's representation fell below an objective standard of reasonableness. In making this determination, there is a strong presumption that counsel's conduct was within the wide range of reasonable professional assistance.

To satisfy the second prong of the Strickland test, the defendant must show that there is a reasonable probablility that, but for counsel's unprofessional errors, the result of the proceeding would have been different. A reasonable probability is a probability sufficient to undermine confidence in the outcome. These two parts of the Strickland test are sometimes referred to as the "performance prong" and the "prejudice prong."

It should be noted that the defendant bears the burden of proving Strickland prejudice, and that unless the defendant meets this burden, a reviewing court need not consider the performance prong. A defendant who alleges ineffective assistance of counsel following entry of a guilty plea has an even higher burden to meet. The Fourth Circuit described the defendant's additional burden in a post-guilty plea claim of ineffective assistance of counsel in Hooper v Garraghty:
-When a defendant challenges a conviction entered after a guilty plea, the prejudice prong of the Strickland test is slightly modified. Such a defendant must show that there is a reasonable probability that, but for counsel's errors, he would not have pleaded guilty and would have insisted on going to trial.

If you or someone you know would like to start the appeals process, call one of the experienced Myrtle Beach appeal lawyers at The Mace Firm for a free consultation.

$40.8 Million Mortgage Fraud Scheme

Tue, 10 Apr 2012 14:41:04 -0500

A fifth New Jersey man today admitted that he played a role in a $40.8 million mortgage fraud conspiracy by recruiting “straw buyers” to purchase real estate properties in New Jersey, South Carolina, and Georgia which caused lenders to release more than $18 million based on fraudulent mortgage loan applications. 60-year-old William Brown from Newark, New Jersey pleaded guilty to charges of conspiracy to commit wire fraud and conspiracy to commit money laundering.

According to documents filed and statements made in court, "Brown recruited “straw buyers” for his co-conspirators to purchase oceanfront condominiums overbuilt by financially distressed developers in Wildwood Crest, N.J., premier real estate in vacation destinations in Georgia and South Carolina, and properties in New Jersey owned by financially distressed homeowners facing foreclosure."

Brown’s co-conspirators completed fraudulent loan applications listing inflated incomes and assets and allowed them to be submitted to mortgage lenders in the straw buyers’ names. Once the loans were approved and the mortgage lenders sent the loan proceeds in connection with the real estate closings on the properties, Brown’s co-conspirators took a portion of the proceeds from the fraudulent mortgage loans. Brown also admitted that he and his co-conspirators laundered the proceeds of the mortgage fraud by having some of those proceeds transferred to the recruiters and straw buyers. Brown received $96,000 for his role in the mortgage fraud scheme.

The wire fraud conspiracy charge that Brown pleaded guilty to has a potential penalty of 30 years in prison and a $1 million fine. The money laundering conspiracy charge carries a maximum potential penalty of 10 years in prison and a $250,000 fine. In addition, Brown agreed to forfeit $96,000, representing the amount of proceeds obtained as a result of the offense. Sentencing for Brown is currently scheduled for July 19, 2012.

If you or someone you know has been charged with fraud, you will need to speak with a good fraud lawyer in your area. The lawyers in Myrtle Beach at The Mace Firm are ready to speak with you about your case. Call one of the Myrtle Beach attorneys to schedule your free consultation.

Fraud, Rewarding?

Mon, 02 Apr 2012 13:22:08 -0500

Following a recent episode of "60 Minutes" which investigated Medicare fraud in Florida, one may feel it is quite easy to get away with fraud. Instead of focusing on the wrongdoing, some see Medicare fraud as a quick way to get rich. A reveiw of some companies' pay raises and bonuses reveals the following:

•Amgen Chairman and CEO Kevin Sharer is expected to get $49 million after he retires at the end of the year. Meanwhile, Amgen has reserved $780 million to settle litigation associated with illegal drug marketing allegations.

•GlaxoSmithKline CEO Andrew Witty recently got a new pay package totaling about £10.5 million (roughly $16.5 million) – just four months after Glaxo announced that it will pay an historic $3 billion to settle federal allegations of illegal marketing of many of its prescription drugs. Glaxo felt its chief executive is “underpaid.”

•Johnson & Johnson Chairman and CEO William Weldon received a 55 percent increase in his annual performance bonus for 2011 and a pay raise despite continued product recalls and a settlement J&J is negotiating with the Justice Department over the marketing of the prescription drug Risperdal for unapproved uses. Reports say that settlement could be as much as $1.8 billion.

Avoiding Medicare Fraud:

You, as the Medicare beneficiary, are the most important link in finding Medicare fraud. You know better than anyone what healthcare services you have received. Review your Medicare Summary Notice when you receive it, and make sure you understand all of the items listed.

If you don’t remember a procedure that is listed, you should first call your physician, provider, or supplier that is listed on the Medicare Summary Notice. Many times a simple mistake has been made and can be corrected by your physician, provider, or supplier’s office when you call.

If you or someone you know has been charged with fraud, you will need to speak with an experienced fraud lawyer in your area. Call one of the Myrtle Beach attorneys at The Mace Firm to schedule your free consultation today.

$25 Billion Mortgage Settlement

Wed, 21 Mar 2012 09:29:52 -0500

The government has filed a $25 billion settlement with the five largest mortgage lenders in federal court, putting an official stamp on the landmark agreement announced last month over alleged foreclosure abuses. The court papers offered few new details on the deal between the federal government and 49 states and Bank of America, Wells Fargo, JPMorgan Chase, Citigroup and Ally Financial. The banks agreed to settle this matter to address allegations of filing false Federal Housing Administration mortgage insurance claims. This is one of the largest false claims act settlement ever obtained by the district of South Carolina and it is "the first step in holding mortgage servicers accountable for fraudulent and abusive practices in South Carolina and across the country."

There are many types of fraud, but fraudulent activities can usually be grouped into three basic categories: government, employee, and consumer. Some fraud cases involve complicated financial transactions conducted by so-called white-collar criminals, those business professionals with specialized knowledge and criminal intent. In many cases, fraud is just one element of a larger crime that must be proven. For example, someone who steals another person's identity — pretending to be someone else for financial or other gain — might be charged with criminal impersonation or identity theft rather than fraud. In such cases, fraud might be considered the method by which the second crime was committed.

It can be difficult to prove fraud in a court of law. Laws may vary from state to state and from country to country, but several conditions usually must be met. One of the most important things that must be proven is a deliberate misrepresentation of the facts. This involves proving the speaker or seller knew — or had a good reason to believe — that the information was incorrect, the product was defective, or the investment was worthless.

If you or someone you know has been charged with fraud, you will benefit from speaking with a good defense attorney in your area. Call one of the experienced Myrtle Beach lawyers at The Mace Firm. Call The Mace Firm today to schedule your free consultation with one of our lawyers in Myrtle Beach.

$1.3 Million Wine Scam

Fri, 09 Mar 2012 09:17:44 -0500

An Indonesian millionaire who was once known as one of the world's up-and-coming collectors and dealers of rare wines was arrested this week for allegedly trying to fool other wealthy buyers with more than $1.3 million worth of fake bottles. Rudy Kurniawan, 35, of Arcadia, California, was arrested in Los Angeles, where he has been living luxury for years despite a deportation order expelling him from the country, said federal prosecutors. He is being charged in New York for his repeated attempts to sell sophisticated fakes of vintage wines that can trade for thousands of dollars per bottle.

Prosecutors are charging Kurniawan with "multiple fraudulent schemes" which relate to his wine business between 2007 and 2012. He also fraudulently obtained millions of dollars in loans over the years to support his schemes. "Mr. Kurniawan's days of wine and wealth are over, if the allegations in this case are proven," Manhattan U.S. Attorney Preet Bharara said in a statement. "Rudy Kurniawan held himself out to be a wine aficionado with a nose for a counterfeit bottle, but he was the counterfeit."

Apparently, the wealth was clouding Kurniawan's judgement. He attempted to sell one bottle that he said was a 1929 bottle from Domaine Ponsot, but Domaine Ponsot did not begin estate bottling until 1934, the complaint said. Kurniawan also consigned bottles of wine that had supposedly been bottled between 1945 and 1971 from the Clos. St. Denis vineyard of Domaine Ponsot, according to the complaint. But Domaine Ponsot did not make wine from that vineyard until 1982. The batch of fakes was supposed to sell for $600,000 until it was withdrawn from the sale because there were questions about how authentic the bottles were.

Kurniawan was charged with "three counts of wire fraud and two counts of mail fraud. Each count carries a maximum sentence of 20 years in prison," prosecutors said.

While different jurisdictions may have their own definitions, under common law in the United States, fraud includes the following elements:

•a representation, or statement, of fact;
•the falsity of that representation — the statement must be untrue;
•the statement must be material, meaning that it is important or relevant;
•the speaker must know the statement is false;
•the speaker intends the statement to be relied on;
•the hearer does not know the statement is false;
•the hearer relies on the truth of the statement to make a decision;
•the hearer's right to rely on the statement — the hearer has no reason to think the statement might not be true; and
•the hearer must suffer some kind of damages.

If you or someone you know has been charged with fraud, you will need to speak with a good fraud lawyer in your area. Call one of the Myrtle Beach lawyers at The Mace Firm today. Our lawyers in Myrtle Beach are ready to speak with you about your case.

Medicare Fraud Scheme

Fri, 02 Mar 2012 08:54:21 -0500

Federal officials report that they have busted the biggest Medicare fraud scheme investigators have ever discovered: a $375 million dollar home healthcare scam operating in the Dallas, Texas area. The alleged leader of this scheme, Dr. Jacques Roy, certified tons of fraudulent claims so he could be reimbursed by Medicare. The result of the fraud scheme allowed Dr. Roy to pocket millions in Medicare payments for services that were unneeded or never given. According to prosecutors, Dr. Roy "operated a boiler room to churn out thousands of phony Medicare claims and recruited homeless people as fake patients." Dr. Roy was arrested earlier this week and could be sentenced to life in prison.

"Today, the Medicare Fraud Strike Force is taking aim at the largest alleged home health fraud scheme ever committed," said Assistant Attorney General Lanny Breuer. "According to the indictment, Dr. Roy and his co-conspirators, for years, ran a well-oiled fraudulent enterprise in the Dallas area, making millions by recruiting thousands of patients for unnecessary services, and billing Medicare for those services."

Dr. Roy's scam was well thought-out and extremely profitable. Prosecutors say that he exploited the Medicare requirement that a doctor must "certify" that Medicare services are legitimate, in other words, that the services are needed and being given to the patient. Apparently, Dr. Roy was planning on to take the money and disappear. He kept a lot of his funds from the fraud scheme in an offshore account held in the Cayman Islands. Investigators also found evidence that Dr. Roy was planning to change his identity. In fact, "prosecutors claim that he had created a false Canadian identity under the name Michel Poulin, had a copy of a book called "Hide Your A$$ET$ and Disappear: A Step by Step Guide to Vanishing Without A Trace," and a copy of "The Offshore Money Manual."

In May 2009, DOJ and HHS announced the creation of the Health Care Fraud Prevention and Enforcement Action Team (HEAT). With the creation of the new HEAT team the fight against Medicare fraud has become a Cabinet-level priority. Secretary Kathleen Sebelius and Attorney General Eric Holder pledge to continue fighting waste, fraud and abuse. As of today, DOJ and HHS continue to make progress and succeed in the fight against Medicare fraud.

If your or someone you know has been charged with fraud, you will likely need to speak with an experienced fraud lawyer. Call one of the Myrtle Beach lawyers at the Mace Firm to schedule your free consultation. Our attorneys in Myrtle Beach are ready to speak with you about your case.

Citi Admits Mortgage Fraud

Mon, 20 Feb 2012 10:40:59 -0500

Citigroup Inc. is paying $158 mllion as a settlement for accusations that the company took advantage of a federal mortgage insurance program. Citi has admitted that it gave incorrect information about the quality of the company's mortgages to a federal insurance program which is run by the U.S. Department of Housing and Urban Development. In this case, the government provided funds for the mortgages which resluted in the loss of millions when borrowers defaulted.

The complaint was filed last week as a part of the settlement. The complaint stated that CitiMortgage violated the rules of the Federal Housing Administration insurance program for at least 6 years. The complaint also said that Citi systematically ignored these rules, leading the government to insure lower-quality loans. Worse than that, employees in Citi's mortgage unit are accused of asking members of the compliance department to not report problems with the mortgages to the government. “For far too long, lenders treated HUD’s insurance of their mortgages like they were playing with house money," U.S. Atty. Preet Bharara said in a statement.

The government insurance allowed Citi to give cheap loans to higher-risk borrowers and then sell the loans to investors. The complaint filed in this action gives another look at how the nation's biggest banks helped inflate the mortgage bubble by lying to government authorities. Citigroup made a statement saying it was happy to have settled the FHA fraud case. The also stated they have set aside provisions in the fourth quarter to cover legal costs resulting from this action. Citigroup also said it would continue making FHA-insured loans "with the full support of HUD. We are committed to continuing to work with HUD to make mortgage loans available to low- and moderate-income borrowers through the FHA program."

The biggest of these mortgage fraud cases to date involved Bank of America and Countrywide Financial. The companies decided on a $1 billion settlement of claims that Countrywide defrauded the FHA by purposely writing loans for unqualified buyers in additon to basing loans on inflated appraisals.

Most of the fraudulent mortgages closed during the height of the real estate bubble, the financial crimes division said, 81% of the reports involved suspicious activities before 2008 and 63% described what appeared to be fraud occurring four or more years ago. Charts from the Financial Crimes Enforcement Network show that California had more reports of mortgage fraud on a per-capita basis than any other state, followed by Florida and Nevada. Six of the top 10 metropolitan-area hotbeds of mortgage fraud were in the Golden State.

"Honeymoon Killer" Trial

Thu, 16 Feb 2012 11:05:57 -0500

Gabe Watson is being accused of shutting off his new wife's oxygen tank while scuba diving in Australia on their honeymoon. Watson is now known as the "honeymoon killer" and is now being indicted on two counts of murder.

Allegedly, Watson turned off his new bride's air supply during their diving trip and held her underwater. At first, he was charged with murder in Queensland. He pleaded guilty to manslaughter in 2009 and finished his sentence of 18 months in a Queensland prison. At present, Watson has been deported to the United States under the condition that he would not face the death penalty if he is re-tried in Alabama.

The suspected motive in this case is money. Watson stood to gain over $200,000 in insurance if his wife would die. Watson's criminal defense attorney is arguing that Tina Watson's death was misinterpreted by Australian authorities. The authorities used Watson's dive computer as evidence of guilt and viewed new evidence with that in mind. The criminal defense attorney is also arguing that Tina Watson accidentally knocked off her husband's dive mask, which is why he had to swim to the surface alone.

In fact, two highly experienced divers witnessed the indcident and they found that Watson's story is just not plausible. One witness stated that he saw Watson swim to his wife and he thought Watson was trying to save her, but "then he just let her go." There is a photo of his wife lying motionless on the sea floor that was introduced as evidence and an Australian police officer testified that Watson was calm and cooperative until he was told he could not have his dive computer back. The dive computer is a watch-like device that tracks a swimmer's dive. Watson and his wife quickly returned to the boat at the beginning of his dive because his computer was beeping. Prosecutors think that was a ploy to get his wife away from other divers to kill her.

Many jurisdictions divide murder by degrees. The most common divisions are between first and second degree murder. Generally, second degree murder is common law murder, and first degree is an aggravated murder. The aggravating factors of first degree murder are a specific intent to kill, premeditation, and deliberation. Additionally, murder committed by acts such as strangulation, poisoning, or lying in wait are also treated as first degree murder.

It will be interesting to see the outcome of Watson's trial. If you or someone you know has been charged with a serious crime, call one of the criminal defense attorneys at The Mace Firm. Our Myrtle Beach criminal defense lawyers are ready to speak with you about your case.

15 Tons of Meth Seized

Fri, 10 Feb 2012 09:51:08 -0500

The historic seizure of 15 tons of pure methamphetamine in western Mexico, equal to half of all meth seizures worldwide in 2009, feeds growing speculation that Mexico could become a world platform for meth production, instead of just a supplier to the United States. Although Army officials did not reveal which drug gangs could have been behind the 15 tons of meth, it is believed that the powerful Sinaloa cartel is involved in the production of the meth seized. The Sinaloa cartel is a major international trafficker of cocaine and marijuana. They have now started meth production and manufacturing on an idustrial scale.

The Sinaloa cartel, lead by Joaquin "El Chapo" Guzman, is equipped to produce and distribute drugs "for the global village," said Antonio Mazzitelli, the regional representative of the U.N. Office on Drugs and Crime. "Such large-scale production could suggest an expansion ... into Latin American and Asian markets," Mazzitelli said. But he also mentioned, "it may be a product that hasn't been able to be sold, and like any business, when the market is depressed, stockpiles build up." Officials also feel that Sinaloa is making an attempt "to reduce its reliance on Columbian cocaine by flooding the market with meth."

In the United States, the suppliers of meth are traditionally outlaw motorcycle gangs and other independent groups. While they continue to produce methamphetamine and control a share of the market, methamphetamine smuggling into the United States from Mexico is controlled primarily by the same major organizations that dominate the production and trafficking of other illicit drugs from Mexico into the United States.

According to the DEA, in the last 3 years, there has been a 518% increase in the amount of meth seized in California. Also, reports from Los Angeles indicate that meth use is more popular than cocaine. An official from Atlanta reported that meth tends to be used by white, middle-class teenagers and young adults who have no links to the crack scene and are afraid of crack because of its negative image as a highly addictive drug. Ethnographic data indicate that meth is becoming more popular and available in suburbs.

The consequenses of producing, trafficking or possession of meth has many variables. If you or someone you know is facing drug related charges, it will be highly beneficial to speak with an experienced criminal defense attorney. Call one of the Myrtle Beach criminal defense lawyers at The Mace Firm to schedule a free consultation.

Knox Appeals Slander Conviction

Tue, 07 Feb 2012 14:32:19 -0500

On Monday, appellate lawyers for Amanda Knox asked an appeals court in Italy to overturn her slander conviction. Knox was cleared of murder in October by an Italian court. The slander conviction stems from statements Knox made while she was being questioned by police in 2007. During the interrogation, Knox falsely accused bar owner, Patrick Lumumba, of the murder of her housemate, Meredith Kercher. She even mentioned that she was hit in the head by police who were questioning her. Knox later confessed that she was under pressure from police which is why she accused the bar owner. Lumumba was actullay jailed for two weeks based on her accusation, but was released due to lack of evidence.

An appellate court is a court with the authority to review decisions made by lower courts, and to hand down new decisions when it is appropriate. In most countries, the legal system has several levels, which allows people to potentially petition a series of appellate courts if they feel that their cases have not been judged fairly.

The appellate court system ensures that people who wish to appeal have the opportunity to do so. A wide variety of decisions made by lower courts can be appealed. For instance, people who are convicted of murder and sentenced to death typically appeal, with the goal of being found innocent, or at least to drag out the process to delay the carrying out of the sentence. Appeals are filed by a lawyer or team of appeal lawyers. It is best to retain an experienced appeal attorney who is familiar with the appeals process, as it can help to achieve the desired outcome.

If you believe that you or someone you know has been sentenced unfairly, you will need to hire a good appeal lawyer to assist you with your appeal. There are deadlines for certain documents to be filed in the district court to be able to appeal your sentence, so you should contact an appeal attorney immediately after you have been sentenced. Please contact The Mace Firm to set a consultation with one of our appellate attorneys.