Two Kennedy Street Crew Members Convicted of Drug Trafficking and Money Laundering

WASHINGTON — Two members of the Kennedy Street Crew (KDY), a violent drug trafficking organization, were sentenced today to federal prison terms for their roles in operating open-air drug markets in Northwest Washington, D.C. Aaron DeAndre Mercer, 33, and Ronald Lynn Dorsey, 30, both of Washington, D.C., received prison sentences for their involvement in drug trafficking and money laundering activities that fueled the KDY Crew’s illegal activities.

Mercer, also known as “Curby,” was sentenced to 10 years in prison for supplying fentanyl, cocaine base and marijuana to the KDY organization. Dorsey, also known as “HBGeezy,” was sentenced to 30 months for his role in laundering the group’s drug proceeds by setting up shell companies and using casinos to hide illegal profits.

The sentences were announced by U.S. Attorney Matthew M. Graves, along with FBI Acting Special Agent in Charge David Geist, DEA Special Agent in Charge Jarod Forget, ATF Special Agent James VanVliet, and IRS Special Agent in Charge Kareem Carter.

Mercer pleaded guilty in June 2024 to conspiracy to distribute 400 grams or more of fentanyl, marijuana and cocaine base. Dorsey pleaded guilty in February 2024 to conspiracy to commit money laundering.

According to court documents, KDY operated open-air drug markets along an 11-block stretch of Kennedy Street in Northwest Washington, D.C., and surrounding streets. The organization was heavily armed to protect its territory and facilitate its drug trafficking.

Mercer played a key role in trafficking large quantities of fentanyl, cocaine base, and marijuana, while Dorsey helped launder the drug proceeds by setting up two fake companies: Heavy Baggz LLC and HBG LLC. These entities were falsely portrayed as legitimate businesses, but tax records confirmed that neither reported any income. Additionally, Dorsey and an accomplice used the companies to apply for and receive forgivable loans from the Small Business Administration during the COVID-19 pandemic, including Economic Injury Disaster Loans (EIDL) and Paycheck Protection Program (PPP) loans, which were allegedly used to purchase drugs for KDY’s drug trafficking operation.

Dorsey also concealed his illegal income by regularly visiting local casinos, where he would wager the proceeds from his drug dealing and then cash out with minimal losses, making the money appear legitimate.

The case was part of the Organized Crime Drug Enforcement Task Force (OCDETF) initiative, which focuses on dismantling drug traffickers, money launderers, gangs, and transnational criminal organizations through a multi-agency approach.

MONTGOMERY, Alabama — A federal jury in Birmingham has convicted Michael Roman Black, 32, of Hueytown, Alabama, on charges of making threats to kill and soliciting the killing of a federal prosecutor, as well as making false statements to a federal agent, according to an announcement by Acting U.S. Attorney Kevin P. Davidson for the Middle District of Alabama.

The conviction stems from a plot uncovered in February 2023 while Black was incarcerated in Hoover, Alabama, on separate federal charges brought by the U.S. Attorney’s Office for the Northern District of Alabama. According to court records and evidence, Black told a fellow inmate about his plan to have two associates kill a federal prosecutor working on his case. Black provided specific details about the plan, stating that the prosecutor would be shot while she sat in her car.

Law enforcement officials learned of the plot and, after confirming its seriousness, intervened to prevent the crime. When questioned by federal agents, Black made false statements in an attempt to cover up the plan.

On March 28, 2023, Black was indicted by a federal grand jury in Birmingham on charges of making a threat to kill a federal officer, solicitation to commit murder, and making false statements to a federal agent.

“A threat against a prosecutor or law enforcement professional is a serious offense and a direct attack on our justice system,” said Acting U.S. Attorney Davidson. “I am grateful for the diligent work of law enforcement in identifying and thwarting this plot to take the life of a public servant who is simply seeking justice for the people of the United States.”

Black now faces a possible prison sentence of up to 10 years for threatening a federal officer with murder, up to 20 years for soliciting murder, and up to five years for making false statements to a federal agent. He is scheduled to be sentenced on December 12, 2024, where a federal district judge will determine his sentence based on the U.S. Sentencing Guidelines and other statutory factors.

WASHINGTON — Walgreens Boots Alliance Inc. and Walgreen Co. (together Walgreens) have agreed to pay $106.8 million to resolve allegations that they violated the False Claims Act by billing government health care programs for prescriptions that were never dispensed, the U.S. Department of Justice said. The settlement centers on allegations that between 2009 and 2020, Walgreens improperly submitted payment requests to Medicare, Medicaid and other federal programs for prescriptions that were processed but never picked up by beneficiaries.

The government alleges that Walgreens restocked and sold the drugs without reversing the original claim for payment, effectively receiving payment twice for the same prescription. This practice resulted in tens of millions of dollars being paid to Walgreens for drugs that were never dispensed to patients.

In resolving the case, Walgreens received credit for cooperating with the investigation and taking steps to resolve the issue. This included making improvements to its electronic pharmacy management system to prevent similar issues in the future and voluntarily repaying $66.3 million related to the claims. Walgreens will receive credit for this amount as part of the settlement.

“Federal health care programs provide essential health care services to millions of Americans,” said Principal Deputy Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “We will hold accountable those who abuse these programs by knowingly billing for goods or services they did not provide.”

The settlement was reached with the cooperation of U.S. attorneys from multiple districts, including New Mexico, Texas and Florida, and underscores the federal government’s commitment to protecting public health care programs like Medicare and Medicaid from fraud.

In total, the federal government will recover $91.9 million, with another $14.9 million being reimbursed to individual states through separate agreements to reimburse their share of Medicaid funding. This marks a significant achievement in the ongoing effort to combat health care fraud and ensure the integrity of taxpayer-funded health care programs.