Defense Criminal Investigative Service (DCIS)

Nov. 5, 2024

Leonard Glenn Francis Sentenced to 15 Years in Prison for Massive Bribery, Fraud and Disappearance

Leonard Glenn Francis, mastermind of an unprecedented bribery and fraud scheme targeting the U.S. Navy, was sentenced in federal court today to 180 months in prison and ordered to pay $20 million in restitution to the Navy and a $150,000 fine. Francis was also ordered to forfeit $35 million in ill-gotten proceeds from his crimes.

Nov. 5, 2024

Confluence Corp. Settles Allegations of False Claims for Payment of Work Performed by Unqualified Welders

United States Attorney Clare E. Connors announced that Confluence Corp. d/b/a Regal Service Company (“Regal”), a Hawaii corporation and Department of the Navy contractor, has agreed to pay $300,000 to settle allegations that it violated the False Claims Act by knowingly submitting false claims for payment for work performed by unqualified welders on the USS Chung Hoon, USS John Paul Jones, and USS William P. Lawrence at the Pearl Harbor Naval Shipyard and Intermediate Maintenance Facility between January 2020 and October 2021.

Nov. 1, 2024

Optometrist Settles Allegations That His Optometry Practices Submitted False Claims Using Incorrect National Provider Identifiers

Dr. Tony Jacob, an optometrist who operated a network of optometry practices in Central Texas, has agreed to pay the United States and the State of Texas $1,055,379.96 to resolve allegations under the Federal False Claims Act and the Texas Health Care Program Fraud Prevention Act. Under the terms of the settlement, the United States will receive $922,071.59 and the State of Texas will receive $133,308.37.

Nov. 1, 2024

Compound Ingredient Supplier Medisca Inc., to Pay $21.75M to Resolve Allegations of False and Inflated Average Wholesale Prices for Ingredients Used in Compounded Prescriptions

The Justice Department announced today that Medisca Inc. (Medisca), has agreed to pay $21.75 million to resolve allegations concerning the establishment of false and inflated Average Wholesale Prices (AWPs) for two ingredients used in compound prescriptions. Medisca’s pricing scheme allegedly caused pharmacies that purchased those ingredients to submit false prescription claims to the Defense Health Agency, which administers the TRICARE Program for the Department of Defense and the Department of Labor’s Office of Workers’ Compensation Programs (federal health care programs).

Oct. 31, 2024

Jury Finds Non-Fungible Token Developer Guilty Of Defrauding Investors And Laundering Proceeds Through Solana And Ethereum Blockchains

United States Attorney Roger B. Handberg announces that a federal jury has found Berman Jerry Nowlin, Jr. (21, Huntsville, Alabama), a/k/a “Repulse” and “Zayous,” guilty of conspiracy to commit wire fraud and money laundering. Nowlin faces a maximum penalty of five years in federal prison. Sentencing has been set for January 23, 2025.

Oct. 30, 2024

Defense Contractor, Former Executive Indicted for Bribing Government Employee

A federal grand jury has returned an indictment charging Cask Technologies, LLC and former company executive Mark Larsen with bribing a government employee to win lucrative government contracts. According to court records, Larsen and his subordinates at Cask gave former Naval Information Warfare Center employee James Soriano various things of value, including expensive meals, golf outings, and full-time jobs for Soriano’s close family friend and immediate family member. At the time of the conspiracy, Larsen was the director, and later the managing director, vice president, and executive vice president of Cask with offices in San Diego and Stafford, Virginia.

Oct. 29, 2024

U.S. Joins International Action Against RedLine and META Infostealers

RedLine and META Infostealers stole information from millions of victims around the world; U.S. complaint charges developer and administrator; U.S. law enforcement seizes infrastructure. The Department of Justice joined the Netherlands, Belgium, Eurojust and other partners in announcing an international disruption effort against the current version of RedLine Infostealer, one of the most prevalent infostealers in the world that has targeted millions of victim computers, and the closely-related META Infostealer.

Oct. 29, 2024

Six Charged in Scheme to Defraud the Federal Government

Six defendants have been charged for their roles in schemes to rig bids, defraud the government and pay bribes and kickbacks in connection with the sale of IT products and services to federal government purchasers, which resulted in overcharges of millions of dollars to the U.S. government, including the Department of Defense (DoD).

Oct. 29, 2024

Former Sioux City Plastic Surgeon Agrees to Pay Nearly $200,000 to Settle Allegations He Submitted False Claims

Adam B. Smith, M.D., also known as “Adam Bryant,” has agreed to pay $198,755.42 to the United States and the State of Iowa to resolve allegations that he billed government health insurance programs, including Medicare and Medicaid, for medically unnecessary procedures and for procedures more complicated than those he performed. The settlement resolves allegations brought by the United States and the State of Iowa in a Civil Complaint filed last May in the United States District Court for the Northern District of Iowa. The settlement amount was based on Smith’s ability to pay.

Oct. 28, 2024

U.S. Navy Reserve Officer Sentenced for Bribery Scheme Involving Department of State’s Approval Process for Special Immigrant Visas

A U.S. Navy Reserve Commander from Florida was sentenced today to 30 months in prison for his role in a years-long bribery scheme involving Special Immigrant Visas (SIVs) for Afghan nationals.