43 Years Ago, Men Walked on the Moon

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WPCNR’S NEWS & COMMENT. By John F. Bailey.. July 21, 2012


This column originally appeared on WPCNR on February 1, 2003, and celebrates the Dreamers, the Achievers, the High and the Mighty:



The Space Blazers:


 The Apollo 11 Crew: Nail Armstrong, Michael Collins,  Buzz Aldrin, Jr. Mr. Armstrong set foot on the moon 43 years ago on July 20 (Friday).(NASA Photo)


The two papers I receive at WPCNR White Plains News Headquarters, White Plains, New York, USA did not tell you Friday morning that it was the 43rd  anniversary of the day when Neil Armstrong walked on the moon. The exact hour  was  20:11 GMT (Greenwich Mean Time). That was the culmination of the last great American achievement — conquering space — when Apollo 11 with Armstrong in command, with astronauts Michael Collins and Edwin E. Aldrin, Jr. blasted off to the stars .


Their mission was a success. But there have been the tragedies associated with striving for the stars and being the best, achieving the best, working for the good. Those are the persons who keep the dreams alive by their deaths and personal sacrifice. I wrote the following after the explosion of the Columbia Space Shuttle upon reentry after 19 days in space in January 2003.


Saturday’s fatal Columbia Space Shuttle accident killing all 7 astronauts aboard when the historic spacecraft broke up over East Texas at daybreak Saturday morning begins a period of national mourning.

The expected media speculations have started, guessing at the cause of the reentry that went bizarrely, awfully wrong.

The truth is the civilized world takes absolute scientific miracles for granted. We do not appreciate the courage and skills of the men and women creating the future.

Those of us with cell phones, internet connections, high-speed trains, satellite communications and entertainment (all products made possible by the space program), do not realize the magnitude of daring achievements that you and I have come to accept to be executed like clockwork.

I first learned of Columbia’s fate late Saturday afternoon when my wife mentioned that instead of sports programming being videotaped on our television, there was coverage of a live NASA event on ABC.

(Incredibly, the radio station I had been listening to on the way from a sports clinic had not reported any hint of the accident. That station was Z-100, the most listened-to station in the New York metropolitan area. America Online also on their first up page did not mention the missing craft as of midday. That kind of communications misjudgment is sad.)

As I watched the close of Mr. Jennings’ coverage at about 3 PM, he signed off with no recap, no names of astronauts, and some parting words about what he thought was the cause of the disaster.

I’ll say what he should have said.

Columbia’s seven astronauts who died — we know their names: they were


Columbus, Magellan, Cook, Lewis, Clark, the Wrights, Lindbergh, De Laroche, Earhart, Markham, Gruber, Chaffee, Grissom, White, Gargarin, Komarov, the Challenger Crew, the crew of Soyuz 11. They are the hundreds of brave men and women who went into the unknown.



Apoll 11’s Crew turned the dreams of the 1950s visualized in television shows like Tom Corbett, Space Cadet (above, Astro, Roger and Tom) and Captain Video, “The Master of Science” below  into reality.



America’s Spacemem and the explorers before them are the people who trust in their ability and their vessel to expand the world’s horizons, to know the unknown, whose legacies build a better world. Whose deeds inspire and achievements are the catalyst for achievement to come.

From Cook’s fragile vessel which sailed the Pacific, to the marvel that was the Columbia, the captains courageous who sailed the Roaring 40s, blazed the Oregon Trail, discovered how to fly, and flew the oceans, journeyed to the stars, knew the risks they were taking. 

The media  trivializes their courage, their skills, and the difficulty of what they did and wanted to do, to concentrate on the causes of their failure, as if knowing the cause will make their loss acceptable.

The Magnificent Seven

I do not know Columbia’s Magnificent Seven. I just see their smiling faces in their photograph, and I regret the loss of every one. They had achievement on their faces, pride in their demeanor. Their eyes shown with the glow of being alive and striving to do the great things they set out to do.

Civilization has been created because of people like the crew of the Columbia’s Magnificent Seven, not the incompetence we see demonstrated daily today where technology is concerned.

The Columbia itself had flown 26 missions since launching in 1981. It was guided and outfitted with the best 2003 communications and equipment had to offer.


Not like Captain James Cook’s bark, Endeavour, a 100-foot ship powered by sail that conquered the “space” of his time, the Pacific Ocean. It was the Columbia’s Magnificent Seven’s Endeavour. They were tracked, they were backed up, but they perhaps more than anyone here on the ground knew the high dangers of the shuttle mission.

Liftoff, as their predecessors, The Challenger crew fell victim to, is fraught with risk. Reentry, which needs to be negotiated at precisely the right angle of attack, is equally risky. Soyuz 11’s spacecrew of Dobrovolskiy, Volkov, and Patsayev died in 1971 on reentry, when the Russian cosmonauts took too long to descend.

No guarantees in real life. Machines sometimes run out of miracles.

The magnificence of the explorers’ sacrifice and dedication, is that they accept the risk of “the endeavor.”

They accept the challenge, bear it alone, seizing challenge with an indomitable spirit and confidence, facing death when it comes with the satisfaction that they made the effort, and I suspect analyzing, coping, trying to fix it until the end, the very end. Then never give up.

Columbia’s Magnificent Seven, after 16 days in space, are gone now. My sorrow is with their families who will miss these Magnificent Seven, and who know in their hearts that they died trying to reach the pinnacle of their aspirations.

They are only human.

They tried their best, achieved their best, and experienced what they longed to experience. They dared to live the great adventure.

Not all of us have the courage to follow our longed-for adventures and make them real. You can watch movies that attempt to give that experience by transference. That’s why, I believe, you and I take it so personally when we lose heroic personalities of our time. We wonder what they are like. We glorify them, rightly so.

Follow Me! They Say.

I wonder how those Magnificent Seven felt, how satisfying it must have been, to be at your best, doing what you love, coping with the risks.I envy them that.

The Columbia Crew is the Miracle.

In reality it is not machines that conquer, it is the intrepid personalities, each unique, each contributing, who perform the miracles with God’s help. That they fall short is an example to us, not to take ourselves, our fates, or our existences for granted.

This is true of the everyday people we take for granted: the firefighter, the policeman, the train engineer, the airline pilot, the construction worker, and yes, the crusading annoying reporter. All are highly trained disciplined workers, executing precise tasks for which the non-expert has no feel or understanding . What makes for the desire to achieve? What is out there or up there that leads them on?

The Feel of the Unknown

I took Anne Morrow Lindbergh’s biographical adventure diary, Listen! The Wind down from the bookshelf.


She was the young bride of the aviator-pioneer, Charles Lindbergh. She navigated for him in his aircraft, and ran his radio communications on his many exploratory flights around the world.


In a passage she describes a night flight over the ocean, in which she was operating the radio for her husband Charles, who was at the controls. Mrs. Lindbergh is describing the feelings she had as she tries to tune in the South American coast at sea in the dark of night in 1933, 79 years ago.


The feeling, the courage of the adventurer, the explorer has not changed. This is great:

“Night was the hardest. It would be all right once it was day. I kept saying…We began to hit clouds. I could tell without looking up, for the plane bumped slightly from time to time, first one wing down and then the other. And the moon blackened out for short periods.


Then for longer periods. I could not see to write my messages. I stiffened, dimly sensing fear – the old fear of bad weather – and looked out. We were flying under clouds. I could still find a kind of horizon, a difference in shading where the water met the clouds. That was all. But it seemed to be getting darker.


Storms? Were those clouds or was it the sky? We had lost the water. We were flying blind. I turned off the light quickly (to give my husband a little more vision), and sat waiting, tense, peering through the night. Now we were out again. There were holes through which one could see the dark sky. It was all right, I felt, as long as there were holes.

More blind flying. This is it, I thought is what people forget. This is what it means to fly across the ocean, blind and at night. But day is coming. It ought to be day before long… Daybreak! What a miracle. I didn’t see any sign of day and yet it must be lighter. The clouds were distinguishing themselves more and more from water and sea.

Daybreak—thank God—as if we had been living in eternal night—as if this were the first sun that ever rose out of the sea.



Note: This column originally appeared February 1, 2003 on WPCNR.

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Police Report Suicide at The Westchester

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WPCNR POLICE GAZETTE. July 21, 2012:


White Plains Police reported to the Journal News Friday that  Catherine Guarnieri apparently commited suicide after having lunch at the Nordstrom Cafe at the Westchester Mall Thursday. She was reported lying on the sidewalk at 3 PM on Bloomingdale Road. It was the second apparent suicide in five weeks.

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WP Police Prefer Disciplinary Charges Against Officer in Chamberlain Shooting.

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WPCNR WHITE PLAINS LAW JOURNAL. From  the White Plains Department of Public Safety. July 21, 2012:


The city’s Department of Public Safety in a news release distributed to media Friday announced 


“Departmental Disciplinary Charges were preferred against Police Officer Steven Hart, based on misconduct allegedly committed by Police Officer Hart outside of 135 South Lexington Avenue on November 19, 2011.”


The dispatch continues:


“The charges were served on Police Officer Hart earlier today (Friday). He has until July 30,2012 to file an answer to these charges.”


“If found guilty of the charges, Public Safety Commissioner David Chong, in his capacity as the appointing authority for police officers (under Section 220 of the City Charter), could impose a penalty on Police Officer Hart ranging from a reprimand to dismissal from the Police Bureau.


“Officer Hart has been suspended without pay. He is entitled to a hearing.  Given the pending nature of the charges, no further comments specific to this matter will be made.”

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Employment Inches Up in the Hudson Valley

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WPCNR QUILL & EYESHADE. From The New York State Department of Labor. July 20. 2012:

 

Private sector employment in the Hudson Valley Region increased 11,700 or 1.6 percent, to 754,100 for the 12-month period ending June 2012. Employment gains were recorded in educational and health services (+5,600), leisure and hospitality (+4,500), trade, transportation and utilities (+3,000), professional and business services (+2,200), other services (+600), and financial activities (+500). Meanwhile, job losses were centered in the following industries: natural resources, mining and construction (-2,600), manufacturing (-1,400), and information (-700). The Government sector shed 700 jobs over the year.

 





Labor market analyst observations

 


The regional job market continues to grow, albeit at a slower pace. For the 12-month period ending in June 2012, private sector job count in the region grew by 1.6 percent or 11,700 jobs. Nonetheless, job growth continues to be broad-based, with more industries reporting job gains than losses.

 

 Educational and health services, leisure and hospitality, professional and business services, and trade, transportation and utilities are the area’s leading job generators.

 

 Meanwhile, job losses in construction remain a concern, as the sector has yet to fully recuperate from the collapse of the housing market. Through the first six months of the year, this sector averaged a 3.5 percent decline over the same period in the prior year.


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McKinsey Partner Gets Probation, Forfeits Profits for Testifying

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WPCNR FBI WIRE. From the Federal Bureau of Investigation. July 20, 2012:


Preet Bharara, the United States Attorney for the Southern District of New York, announced that Anil Kumar, a former senior partner at McKinsey & Company (“McKinsey”), was sentenced today to two years of probation and ordered to forfeit $2,260,000 for his participation in an insider trading scheme in which he provided material, non-public information (“inside information”) stolen from McKinsey and its clients to Raj Rajaratnam, the head of Galleon Group (“Galleon”), who then traded based, in part, on the inside information. Kumar pled guilty in January 2010 to one count of conspiracy to commit securities fraud and one count of securities fraud. He was sentenced today in Manhattan federal court by U.S. Circuit Judge Denny Chin.


According to the information, statements made during Kumar’s guilty plea proceeding, and Kumar’s testimony during the criminal trials of Rajaratnam and Rajat Gupta, the former chairman of McKinsey and former member of the board of directors of Goldman Sachs and Procter & Gamble:


From 2004 through 2009, Kumar provided inside information relating to corporate transactions, revenue, and other financial information of McKinsey’s clients to Rajaratnam in anticipation that Rajaratnam would trade based, in part, on that information. Upon receipt of the inside information from Kumar, Rajaratnam executed and caused others to execute securities trades.


In return for the inside information, Rajaratnam paid Kumar nearly $2 million. By providing the inside information to Rajaratnam, Kumar violated his fiduciary and other duties of confidentiality to McKinsey and its clients.










***


In addition to the probation and forfeiture, Judge Chin ordered Kumar, 53, of Saratoga, California, to pay a $25,000 fine and a $200 special assessment fee.


Mr. Bharara praised the investigative work of the Federal Bureau of Investigation. He also thanked the U.S. Securities and Exchange Commission.


This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a co-chair of the Securities and Commodities Fraud Working Group. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes.


The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch and, with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.


The case is being handled by the Office’s Securities and Commodities Task Force. Assistant U.S. Attorneys Reed Brodsky and Richard Tarlowe are in charge of the prosecution.

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WP SCORES SURPASS HIGHER PASS LEVELS. STATE RESULTS INCREMENTAL

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WPCNR SCHOOL DAYS. From the New York State Education Department. July 18, 2012 UPDATED July 19, 2012 8:28 A.M. EDT:


A total of 59.3% of 2011-12 White Plains 8th Graders moving up to the high school this September passed the 8th Grade English assessment test this spring (with 56% managing to score in the Level 3 Range). The 59.3% passing ELA in 2012 compares to 52.7% who passed in the 2010-2011 8th grade class (now about to be sophomores.) 


In Math, 74.4% passed the assessment (47.5% scoring in the Level 3 Range)compared to 71.5% passing in 2011. Passing scores were set 20% points higher a year ago in this year’s tests by the New York State Department of Education.


At the elementary level, of 5th Grade students preparing to enter the Middle School this fall, 51.9% (48.2% scoring in the Level 3 (of 4 levels) passed the English Assessment Test, compared to 52.7% passing at the 5th grade level in 2011. On the Math side of the ledger, 64.2% of 5th Graders across the district passed (37.5% in the Level 3 score bracket. In 2011, 60.1% of 5th graders passed the math assessment.


Jessica O’Donovan, Assistant Superintendent for Curriculum & Instruction for the White Plains City School District commented to WPCNR:


“We are pleased overall with the assessment results considering the exams were more challenging this year than last year. We are particularly pleased with the ELA  (English Language Assessment) gains in grades 4, 7, and 8 and the Math gains in grades 5, 7, and 8. We also experienced some significant increases in the number of students achieving a Level 4 in ELA. For example, in gr. 3, our Level 4 results increased from 6% to 11%. So we are celebrating our successes, while simultaneously acknowledging that we still have hard work left ahead of us. “


 For complete White Plains School District Results, building by building, click on this link, and scroll down to White Plains using the WP state school district code, 662200010000:


http://www.p12.nysed.gov/irs/ela-math/2012/DistrictandBuildingAggregates-StateReport.pdf


 The White Plains scores and the scores of all districts across the state were released by the State Education Department (SED)for the April 2012 grades 3-8 math and English Language Arts (ELA) assessments Tuesday. The average scale scores on this year’s exams in both ELA and math across the state are slightly higher than last year in most grades, and there is a small increase in the percentage of grades 3-8 students across the State who met or exceeded the proficiency standard on both exams.


“There is some positive momentum in these numbers,” said Board of Regents Chancellor Merryl H. Tisch. “But too many of our students, especially students of color, English Language Learners and special education students, are currently not on a course for college and career readiness. That’s why we are continuing to press forward with critical reforms to ensure all of our kids are ready for college and careers. In the fall we will begin to phase in a new, more challenging, content rich curriculum and continue to press for the implementation of a rigorous teacher evaluation system in every district across the state.”


“We’re building a ladder, grade by grade, to college and career readiness,” Commissioner John B. King, Jr. said. “These results are a small, positive sign of growth, but not enough of our students are climbing as steadily as they should be. Next school year, we start to implement reforms to make that ladder strong enough to support all our students as they climb toward college and career readiness.”


King noted that the State Education Department and school districts have been working throughout the year to prepare for implementation of the Regents Reform Agenda. He said there are two related goals: preparing all students for college and careers and closing achievement gaps. Next year, new college and career ready standards will be introduced and a rigorous new fair and transparent teacher and principal evaluation system will start to be implemented.


The 2013 grades 3-8 state tests will begin to reflect the new, higher standards and provide better measurement of progress toward college and career readiness. King said next year’s tests will be tougher, but he believes New York’s teachers and students will rise to the challenge of higher standards for learning.


Summary of Statewide 3-8 Exam Results: Positive Momentum, But Gaps in Achievement Persist



  • 55.1% of grade 3-8 students across the State met or exceeded the ELA proficiency standard (an increase from 52.8% last year); 64.8% met or exceeded the standard in math (up from 63.3% last year).
  • 37.2% of African-American students in grades 3-8 met or exceeded the ELA proficiency standard (compared with 55.1% for all students and 66.4% for white students); 46.1% met or exceeded the standard in math (compared with 64.8% for all students and 74% for white students).
  • 40% of Hispanic students in grades 3-8 met or exceeded the ELA proficiency standard (compared with 55.1% for all students and 66.4% for white students); 53.1% met or exceeded the standard in math (compared with 64.8% for all students and 74% for white students).
  • 11.7% of English Language Learners (ELLs) in grades 3-8 met or exceeded the ELA proficiency standard (down from 12.6% last year); 34.4% of ELLs met or exceeded the standard in math (up from 32.3% last year).
  • 15.5% of Students with Disabilities (SWDs) met or exceeded the ELA proficiency standard (up from 14.5% last year) across grades 3-8; 28.5% of SWDs met or exceeded the standard in math (up from 26.9% last year).

Big 5 Students Trail the Rest of the State, But Progress Seen in Yonkers, NYC, and Syracuse


Across the Big 5 city school districts, a smaller proportion of students met or exceeded the math and ELA proficiency standards than in the rest of the state:



  • In Buffalo, 27.9% of students met or exceeded the ELA proficiency standard (up from 26.9% last year); 29.9% met or exceeded the math standard (down from 31% last year).
  • In Yonkers, 40.7% of students met or exceeded the ELA standard (up from 37.8% last year); 46.8% met or exceeded the math standard (up from 40.4% last year).
  • In New York City, 46.9% of students met or exceeded the ELA proficiency standard (up from 43.9% last year); 60% met or exceeded the math standard (up from 57.3% last year).
  • In Rochester, 20.7% of students met or exceeded the ELA proficiency standard (down from 24.4% last year); 27.3% met or exceeded the math standard (down from 29.4% last year).
  • In Syracuse, 24.2% of students met or exceeded the ELA proficiency standard (up from 22.5% last year); 26.9% met or exceeded the math standard (up from 25.3% last year).

A summary of the test results, as well as individual school and district results, are available at
http://www.p12.nysed.gov/irs/pressRelease/20120717/home.html.

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FBI CHARGES 48 WITH MASSIVE MEDICAID PRESCRIPTION DRUG FRAUD IN THE MILLIONS

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WPCNR FBI WIRE. SPECIAL TO WPCNR FROM THE FEDERAL BUREAU OF INVESTIGATION. JULY 17, 2012:


Preet Bharara, the United States Attorney for the Southern District of New York; Janice K. Fedarcyk, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (FBI); Raymond W. Kelly, the Police Commissioner of the City of New York (NYPD); and Robert Doar, the Commissioner of the New York City Human Resources Administration (HRA), announced today the unsealing of charges against 48 defendants.


They will be charged for their participation in a massive fraud scheme involving the unlawful diversion and trafficking of hundreds of millions of dollars’ worth of prescription drugs that had previously been dispensed to Medicaid recipients in the New York City area (“second-hand” drugs), in a national underground market.


As a result of the fraud, Medicaid lost more than an estimated $500 million in reimbursements for pills that were diverted into this second-hand black market. Forty-two of the defendants were charged in a superseding indictment, and six more were charged in a complaint.


Thirty-four of the defendants were arrested this morning in connection with today’s charges. Fifteen defendants were taken into custody in New York and New Jersey, and an additional defendant from the area was expected to surrender today. These 16 defendants were to  be presented and arraigned in Manhattan federal court before U.S. Magistrate Judge Frank Maas later this afternoon.


Nineteen other defendants were arrested in Pennsylvania, Massachusetts, Florida, and Texas and are expected to appear today and tomorrow in federal courts in those states. The remaining defendants charged are at large.


Manhattan U.S. Attorney Preet Bharara said,


“As alleged, these defendants ran a black market in prescription pills involving a double-dip fraud of gigantic proportions. It worked a fraud on Medicaid—in some cases, two times over—a fraud on pharmaceutical companies, a fraud on legitimate pharmacies, a fraud on patients who unwittingly bought second-hand drugs, and ultimately, a fraud on the entire health care system. With the dozens of arrests we made today, we have taken a significant step toward exposing and shutting down the black market for second-hand drugs, and our investigation is very much ongoing.”


FBI Assistant Director in Charge Janice K. Fedarcyk said,


“The scheme to collect, aggregate, and resell costly prescription drugs was bad medicine in three ways: profiting so obscenely by breaking the law is the very definition of unjust enrichment. The scheme was theft, plain and simple, from a program funded by taxpayers. And the scheme posed serious health risks at both the collection and distribution ends. People with real ailments were induced to sell their medications on the cheap rather than take them as prescribed, while end-users of the diverted drugs were getting second-hand medicine that may have been mishandled, adulterated, improperly stored, repackaged, and expired.”


NYPD Commissioner Raymond W. Kelly said,


“It’s one thing when people sell their blood for money; it’s another when they sell their drugs, especially when the diversion compromises the pharmaceutical supply with tainted and outdated drugs.”


HRA Commissioner Robert Doar said,


“This case is an egregious example of individuals preying on our most vulnerable population. The diversion, repackaging, and reselling of HIV/AIDS medications, in some cases expired, is a danger to our public health. The integrity of the Medicaid Program has been threatened by these criminals who have used taxpayer dollars for the opposite reasons for which they are intended. But make no mistake, together with our law enforcement partners, we will continue to pursue these types of criminals and prosecute them to the fullest extent of the law.”


The following allegations are based on the superseding indictment, the complaint, and other documents unsealed today in Manhattan federal court:


The prescription drugs involved in this scheme were drugs designed to treat various illnesses, including HIV, schizophrenia, and asthma, and were non-controlled substances that did not lend themselves to abuse. These second-hand drugs were originally dispensed to Medicaid recipients in the New York City area who then sold them into collection and distribution channels that ultimately ended at pharmacies for resale to unsuspecting consumers.


The defendants and their co-conspirators profited by exploiting the difference between the cost to the patient of obtaining the prescription drugs through Medicaid, which was usually nothing, and the hundreds of dollars per bottle that pharmacies paid to purchase those drugs to sell to their customers. In order to maximize their profits, the defendants and their co-conspirators targeted the most expensive drugs, which often cost more than $1,000 per bottle.


The Fraudulent Distribution and Trafficking Scheme


The lowest level participants in the scheme (the “Medicaid beneficiaries”) were typically AIDS patients or individuals who suffered from other illnesses that required expensive drug therapies. Using their Medicaid benefits to cover the costs, the Medicaid beneficiaries filled prescriptions for month-long supplies of drugs at pharmacies throughout the New York City area and then sold them to “collectors” for cash instead of using them for treatment.


These transactions occurred at street corners and bodegas in and around New York City, including in the Washington Heights neighborhood of Manhattan and in the Bronx. Collectors then sold the second-hand bottles to higher level participants in the scheme (“aggregators”), who typically bought large quantities of second-hand drugs from multiple collectors.


These transactions repeated themselves at increasingly higher levels of aggregators who purchased the drugs from multiple, lower level aggregators. The pills were ultimately sold to wholesale prescription drug distribution companies (“corrupt distribution companies”), which then sold them to pharmacies and to other wholesale prescription distribution drug companies across the United States.


Ultimately, these pharmacies then dispensed the second-hand drugs to unsuspecting customers, some of whom likely were Medicaid beneficiaries. Therefore, in some cases, Medicaid would have reimbursed patients for the same drugs twice—the second time for drugs that were misbranded, adulterated, and possibly expired—and would thereby have been defrauded twice.


The defendants charged in the superseding indictment and the complaint include collectors, aggregators, and owners and operators of the corrupt distribution companies who were carrying out this scheme in states including New York, New Jersey, Pennsylvania, Florida, Texas, Massachusetts, Utah, Nevada, Louisiana, and Alabama.


In addition, several defendants were also charged with narcotics trafficking offenses for buying and reselling drugs including Oxycodone and Oxymorphone.


The Fraudulent Labeling Scheme


Because the prescription drugs involved in the scheme were not drugs of abuse and were ultimately going to be resold in the legal drug distribution chain, it was essential that they be packaged in bottles that appeared to contain new drugs that came directly from the manufacturer via authorized and licensed wholesale distributors. Therefore, the defendants and their co-conspirators had to restore the previously dispensed bottles to their original appearance, with the manufacturer’s label still intact but without the patient labels that pharmacies affix when dispensing drugs to a patient.


After purchasing the second-hand bottles originally dispensed to Medicaid beneficiaries, the defendants and their co-conspirators used lighter fluid and other means to dissolve the adhesive on the patient labels so that they could be removed. During the process, the manufacturers’ labels sometimes became damaged, and/or the second-hand drugs were close to their expiration dates or had already expired.


When the bottles were not resaleable because of damaged manufacturers’ labels or expiration date problems, some of the defendants replaced the original manufacturers’ labels with counterfeit labels and/or altered the labels to backdate their expiration dates. Some of these counterfeit prescription drug manufacturers’ labels were obtained by two of the defendants from the Dominican Republic. In other instances, the defendants and their co-conspirators removed the drugs from the bottles and trafficked in loose pills, which were then completely untraceable.


E-mails obtained by search warrant revealed that a certain subset of the defendants bought and sold more than $62 million worth of second-hand prescription drugs during an approximately 12-month time period during the conspiracy, which they meticulously documented in a business-like manner through purchase orders and receipts scanned onto their computers and uploaded into e-mail accounts.


The Second-Hand Pills


The second-hand pills that found their way back into the legal drug distribution stream were potentially dangerous to the unwitting consumers who purchased them for several reasons. For example, the defendants and their co-conspirators stored the drugs in uncontrolled conditions, such as car trunks, residences, and rented storage facilities, which would have compromised the medical efficacy of the drugs over time.


During the investigation, the FBI seized more than $16 million worth of second-hand prescription drugs, comprised of more than 33,000 bottles and more than 250,000 loose pills, kept in uncontrolled and sometimes egregious conditions by various defendants and their co-conspirators.


* * *


Charts identifying each defendant, the charges, and the maximum penalties are below. The indicted case is assigned to U.S. District Judge Denise L. Cote.


Mr. Bharara praised the efforts of the FBI’s Health Care Fraud Task Force and thanked FBI, NYPD, and HRA for their work on the case. The New York FBI Health Care Fraud Task Force was formed in 2007 in an effort to combat health care fraud in the greater New York City area. The task force is comprised of agents, officers, and investigators from the FBI, NYPD, the New York State Insurance Fraud Bureau, U.S. Department of Labor, U.S. Office of Personnel Management Inspector General, U.S. Food and Drug Administration, New York State Attorney General’s Office, New York State Office of Medicaid Inspector General, New York State Health and Hospitals Inspector General, and the National Insurance Crime Bureau.


Mr. Bharara thanked the Drug Enforcement Administration, Immigration and Customs Enforcement’s Homeland Security Investigations, and the New York State Office of the Medicaid Inspector General for their assistance. He also thanked the FBI’s Boston, Houston, Miami, Newark, Philadelphia, and Salt Lake City Field Offices, as well as the U.S. Attorney’s offices in New Jersey, Massachusetts, Texas (Southern), Florida (Southern), Pennsylvania (Eastern), and Utah for their assistance in the investigation.


If you think you may have purchased second-hand prescription drugs or were otherwise victimized by this scheme, you can call the FBI Hotline at 212-384-3555.


The case is being prosecuted by the Office’s Organized Crime Unit. Assistant U.S. Attorneys Jason A. Masimore and Russell Capone are in charge of the prosecution. Assistant U.S. Attorney Alexander Wilson of the Office’s Asset Forfeiture Unit is responsible for the forfeiture of assets.


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


* * *


U.S. v. Viera, et al.

































Count Charge Defendants Maximum Penalties
1 Conspiracy to commit wire fraud, mail fraud, and healthcare fraud

Juan Carlos Viera
Jose Manuel Dominguez
Julio Dominguez
Carlos Alberto Padron
Juan Manuel Tavarez Padilla
Juan Tavarez
Aura Catalina Tavarez
Edwin M. Tavarez
Israel Tacher
Roberto Tacher
Vanessa Rosario
Eligio Armas
Eduardo Diaz
Carlos Peralta
Joselito Peralta
Juan Carlos Peralta
Hanser Olivo Liranzo
Kelvin Manuel Martinez Taveras
Glenn Luis Cabrera
Fary R. Caba Padilla Miguel Padilla
Americo Luis Garcia Dominguez
Wilfred Rodriguez
Jose Ramon Gonzalez Alex Justo
Yoel Fernandez Rivero
Amauris A. Rosario
Jacqueline Jimenez
Luis Santana
Bayohan Diaz
Paulino Cayetano
Armando Garcia
Sergio Novo
Lazaro Ospina

0 years in prison
2 Conspiracy to commit adulteration and misbranding offenses and the unlawful wholesale distribution of prescription drugs Juan Carlos Viera
Jose Manuel Dominguez
Julio Dominguez
Carlos Alberto Padron
Juan Manuel Tavarez Padilla
Juan Tavarez
Aura Catalina Tavarez
Edwin M. Tavarez
Israel Tacher
Roberto Tacher
Vanessa Rosario
Eligio Armas
Eduardo Diaz
Carlos Pera
Joselito Peralta
Juan Carlos Peralta
Hanser Olivo Liranzo
Kelvin Manuel Martinez Taveras
Glenn Luis Cabrera
Fary R. Caba Padilla
Miguel Padilla
Americo Luis Garcia Dominguez
Wilfred Rodriguez
Jose Ramon Gonzalez
Alex Justo
Yoel Fernandez Rivero
Amauris A. Rosario
Jacqueline Jimenez
Luis Santana
Bayohan Diaz
Paulino Cayetano
Armando Garcia
Sergio Novo
Lazaro Ospina
Five years in prison
3 Conspiracy to commit trafficking in counterfeit goods Vanessa Rosario
Joselito Peralta
10 years in prison
4 Narcotics conspiracy Juan Manuel Tavarez Padilla
Juan Tavarez
Aura Catalina Tavarez
Vanessa Rosario
Joselito Peralta
Hanser Olivo Liranzo
Amauris A. Rosario
Brenda Santos
Ira Karp
Joel Gabriel Casado
20 years in prison
5 Narcotics conspiracy Luis Santana
Bayohan Diaz
Luis Abreu
Paulino Cayetano
Jose Felipe
Benito Duran
Arelis Lee
Milagros Acevedo
20 years in prison


U.S. v. Oria, et al.


















Count Charge Defendants Maximum Penalties
1 Conspiracy to commit mail fraud and healthcare fraud Alex Oria
Joe H. Nelson
Kenneth Nelson
Conrado Vazquez
Efren Ruiz
Abel Gonzalez
20 years in prison
2 Conspiracy to commit money laundering Alex Oria
Joe H. Nelson
Kenneth Nelson
20 years in prison


Defendants’ Ages and Residencies































































































































































































Defendant Residence Age
Juan Carlos Vier Hialeah, Florida 49
Jose Manuel Dominguez Miami, Florida 62
Julio Dominguez Miami, Florida 60
Carlos Alberto Padron
Miami, Florida 54
Juan Manuel Tavarez Padilla Cliffside Park, New Jersey 30
Juan Tavarez New York, New York 58
Aura Catalina Tavarez New York, New York 36
Edwin M. Tavarez Cliffside Park, New Jersey 26
Israel Tacher Miami, Florida 62
Robert Tacher Miami, Florida 37
Vanessa Rosario Cutler Bay, Florida 28
Eligio Armas North Bergen, New Jersey 54
Eduardo Diaz Cliffside Park, New Jersey 58
Carlos Peralta West New York, New Jersey 49
Joselito Peralta Ridgefield Park, New Jersey 37
Juan Carlos Peralta Ridgefield Park, New Jersey 24
Hanser Olivo LIRANZO Fairview, New Jersey 32
Kelvin Manuel Martinez Taveras Bronx, New York 33
Glenn Luis Cabrera Ridgefield Park, New Jersey 22
Fary R. Caba Padilla Bronx, New York 21
Miguel Padilla Bronx, New York 62
Americo Luis Garcia Dominguez Miami, Florida 29
Wilfred Rodriguez Brooklyn, New York 49
Jose Ramon Gonzalez New York, New York 48
Alex Justo New York, New York 37
Yoel Fernandez Rivero Miami, Florida 32
Amauris A. Rosario Bronx, New York 31
Jacqueline Jimenez New York, New York 37
Luis Santana Richmond Hill, New York 39
Bayohan Diaz Richmond Hill, New York 27
Paulino Cayetano Bronx, New York 36
Armando Garcia Guttenberg, New Jersey 40
Sergio Novo North Arlington, New Jersey 74
Lazaro Ospina Bloomfield, New Jersey 71
Brenda Santos Philadelphia, Pennsylvania 34
Ira Karp New York, New York 77
Luis Abreu Worcester, Massachusetts 32
Joel Gabril Casado Gabriel
Bronx, New York 27
Jose Felipe
Brooklyn, New York 47
Benito Duran
Philadelphia, Pennsylvania 38
Arelis Lee Brooklyn, New York 56
Milagros Acevedo Brooklyn, New York 48
Alex Oria Missouri City, Texas 55
Joseph Nelson Sugar Land, Texas 75
Kenneth Nelson Sugar Land, Texas 52
Conrado Vazquez Miami, Florida 40

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County Mortgage Tax $$ Down 6% in first 6 months of 2012

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WPCNR COUNTY CLARION-LEDGER. Special to WPCNR from the Westchester County Clerk Office. July 17, 2012:


Revenue figures released today by Westchester County Clerk Timothy C. Idoni indicate that county mortgage tax receipts have fallen below first half collections in 2010 and 2011. 


 


The mortgage tax, considered a major county revenue source, continues to struggle as the national economy and our local real estate market recover.  The county received $6,170,454 this year so far, down 6.38% from the same point in both 2010 and 2011. 


 


“We are hopeful that record low interest rates combined with the slow improvement we are seeing in our local real estate market will result in a steady increase in this important revenue source in the second half of the year,” stated Idoni whose office collects mortgage tax for Westchester County.


 


Mortgage Tax Collected (County Portion Only)


2008-2012


 


       2008                       2009                       2010                     2011                 2012 (through 6/30/2012)


 


$19,279,690 $12,425,216 $12,969,204 $13,079,307   $6,170,454


 


The total 2012 mortgage tax for the county is projected to be only about a third of the $39,836,895 collected in 2005 when the real estate market was at its recent peak.  A comparison of the first half revenues from 2008 through 2012 follows:


                


    2008 (% chg from prior yr)     2009                         2010                               2011                   2012


 $10,793,553 (-)   $5,273,233 (-51.14%)    $6,478,880 (+22.86%)   $6,590,654 (+1.73%)   $6,170,454 (-6.38%)


 


Idoni has collected fifty nine percent (59%) of his land records departmental revenue budgeted for 2012 at the halfway point in the year.  As was the case in 2011, the source appears to be an increase in the number of consolidations, extensions and modifications of mortgages on properties throughout the county. 


 


While the filing of consolidations and modifications does generate some limited revenue for the county in the form of recording fees, there is often no mortgage tax due as no additional amounts have been borrowed.


 


For more information about the Office of the County Clerk, please call (914)995-3080 or visits www.WestchesterClerk.com.


 

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FASNY HIRES TEATOWN TO STUDY OPEN SPACE PRESERVATION ON DEFUNCT GOLF CLUB

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WPCNR SOUTH END TIMES. From  The French American School of  New York. July 9, 2012:


The French-American School of New York (FASNY) said today that it has contracted with one of the region’s leading environmental education organizations to conduct an in-depth baseline biodiversity study of the 84 acres of the former Ridgeway County Club that it is dedicating for its Greens to Green Conservancy, permanent publicly accessible open space. 


 


The school, which purchased the 130-acre former private golf club in January 2011, said the study would be conducted by Teatown Lake Reservation Inc., headquartered in Yorktown in northern Westchester, a respected regional environmental research and education center with expertise in assessing natural conditions and species.  Teatown’s assessment will serve as the foundation for all future management and research decisions relating to the Greens to Green Conservancy at the French-American School of New York in White Plains.  The study will commence this month and will assess the site during all four seasons.


 


The school’s concept for the conservancy is to restore the natural character of what for a century had been an intensively managed, artificial golf course environment to a more natural state, which the school refers to as ‘undevelopment.’ Key aspects of the study will include analysis of habitat and meadow restoration. Teatown will evaluate various strategies applicable to the site including meadow, wetland, pond and forest restoration. Potential short- and long-term agricultural uses for the site will also be evaluated and a protocol for on-site evaluation of meadow restoration practices will be developed.


 



“We are fortunate that Teatown agreed to serve as the primary consultant on the Greens to Green Conservancy, a significant component of the plan for our school campus and conservancy on the former golf course property,” said Mischa Zabotin, Chairman of the School’s Board of Trustees.


 


 “The members of our Conservancy Task Force spent many months visiting and meeting with the leaders of virtually every environmental education organization, land conservancy, nature center and land trust in the region, including Westchester, adjacent Connecticut and the Lower Hudson Valley. From this very impressive array, Teatown stood out as offering a science-based program that could provide the kind of in-depth analytic knowledge we need to create this unique conservation opportunity.”


 



Dianne Barron, Teatown’s Interim Executive Director, said the chance to work with the French-American School of New York at the early stages of the Greens to Green Conservancy was welcomed by the organization and its staff.


 


“To be able to work on a creative plan for the restoration of a golf course back to a natural state comes along very rarely. We applaud the French-American School of New York for its willingness not only to set aside nearly two thirds of the property it acquired as permanent publicly accessible open space, but for its commitment to exploring the unique educational opportunities that it affords. We look forward to a successful collaborative relationship as Greens to Green evolves.”


 



The site studies will be led by Michael Rubbo, Ph.D., Teatown’s Director of Conservation Science. Rubbo directs Teatown’s scientific research program and has extensive experience as an environmental consultant specializing in biodiversity assessments and conservation planning. He received his Ph.D. in Biology from The Pennsylvania State University and his B.S. from the SUNY College of Environmental Science and Forestry. He held a post-doctoral appointment at Virginia Polytechnic Institute. He has authored numerous articles on ecology and conservation in international scientific journals as well as in the mainstream media.


 



Through the Greens to Green project, Teatown extends its involvement in White Plains. In partnership with the White Plains Youth Bureau and Kids Excel program, Teatown has worked with 450 White Plains students a year for the past three years, a demonstration of the city’s belief in the impact of environmental education.


 



John Botti, parent of a student at the school, Trustee, and member of the Conservancy Task Force, said the biodiversity study and restoration analysis are evidence of the school’s commitment to the project and is the next step in developing a management plan for the Conservancy.


 


“A great deal of preliminary study has gone into the Greens to Green concept planning, but at this stage we need to turn to experts to conduct the in-depth evaluation that will provide the baseline upon which a management and stewardship program will be based. The Conservancy will play an integral role in the future educational program of our school as well as providing a significant addition to the open space inventory of White Plains. We have a chance to make this a unique teaching and learning opportunity while at the same time providing a beautiful natural setting for the enjoyment of the public. We want to get it right, and Teatown has the expertise to help assure that we do.”


 



The school recently launched the www.GreenstoGreen.org website that provides a comprehensive overview of the concept including maps and renderings. There is also an on-line petition for those who wish to express their support for the project. The City of White Plains is currently reviewing the Draft Environmental Impact Study for the proposed plan to create the French-American School of New York’s campus in White Plains, including the Greens to Green Conservancy.

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2nd Quarter County Home Sales Surge. Prices May be Leveling Out Realtors Hope

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WPCNR REAL ESTATE NEWS. Special to WPCNR from the Westchester-Putname Hudson Gateway Multiple Listing Service  July 9, 2012 (EDITED)


The Westchester-Putnam real estate market posted an improved performance in April May June.  Realtors participating in the Westchester-Putnam division of the Hudson Gateway Multiple Listing Service reported 1,788 closed residential sales in Westchester County, and 177 sales in Putnam County, during the second quarter of 2012.  These were increases of 13.0% and 23.8%, respectively, from the totals posted during the second quarter of 2011.


 


In Westchester, single family house sales led the improvement with a 16.7% increase. Condo sales were up by 12.8% and co-op sales by 7.0%.  In Putnam County, single family house sales increased by 31.1%, albeit in comparison to very poor sales results last year.


 


 


 

The second quarter median sale price2 of a Westchester single family house was $619,000 – a slight decrease of 0.6% from last year. The $156,250 cooperative median was also down by 0.6% and the condominium median of $338,000 was down by 3.0% from a year ago. Mean2 (average) sales prices were down by roughly the same percentages; for example, the mean sale price of a Westchester house was $852,636, a decrease of 0.5% from last year.


 


 When all the averages track in the same direction together, it often signifies that all price ranges and property types are being affected the same way.


 


In this case, gradual price reductions that appear close to bottoming out.


 


High-end properties, defined as those selling for $1 million or more, amounted to 22.7% of all single family house sales in Westchester, nearly the same ratio as was posted during the second quarters of 2011 and 2010.



On a seasonally adjusted1 basis, the second quarter sales in Westchester were equivalent to an annual sales rate of some 6,810 units, an increase of about 2% from the prior quarter. Taking the first quarter of 2012 into consideration as well, the likely year-end total if this pace of sales persists will be in the range of 6,700 – 6,900 units in Westchester and 650-700 units in Putnam, making 2012 the strongest year since the real estate recession gripped our region in 2008.



 


Prices start to level out?



The second quarter median sale price2 of a Westchester single family house was $619,000 – a slight decrease of 0.6% from last year. The $156,250 cooperative median was also down by 0.6% and the condominium median of $338,000 was down by 3.0% from a year ago. Mean2 (average) sales prices were down by roughly the same percentages; for example, the mean sale price of a Westchester house was $852,636, a decrease of 0.5% from last year.


 


 When all the averages track in the same direction together, it often signifies that all price ranges and property types are being affected  the same way, in this case, by ever more gradual price reductions that appear close to bottoming out.


 


High-end properties, defined as those selling for $1 million or more, amounted to 22.7% of all single family house sales in Westchester, nearly the same ratio as was posted during the second quarters of 2011 and 2010


.



In Putnam County, the median sale price of a single family house was $299,500, a $20,500 or 6.4% drop from last year. Putnam often lags Westchester on key volume and price indicators.



 


Inventory tightened. Market drivers give mixed signals.



 


There were 7,081 residential units listed for sale in the Multiple Listing Service in Westchester at the close of the quarter, 11.5% fewer than last year. In Putnam County the decrease was 11.7%. The recent spurt in sales volume accounted for some of the constriction of inventory, but most of it remained due to the reticence of property owners to enter the housing market while economic conditions remained shaky.


 



The closings that are the subject of this report were largely listed and negotiated during the 2011-2012 winter months and early spring. At that time, mortgage interest rates were quite low – in the range of 4.2-4.3% for 30-year conventional loans. They have since dropped below 4.0%. However, the current inherent affordability of mortgage financing is offset to some extent by much tighter lending criteria.


 


Uncertainty in Employment


 



Uncertain Job growth and job security continue to worry consumer confidence in homebuying. Although unemployment in Westchester and Putnam is well below that of the nation or of New York State as a whole, it is still high here by historical standards.


 


Further, in the opening months of 2012 when some of these closed listings were headed to contract, Westchester’s unemployment rates began to exceed 2011’s levels – not by much, but enough to give pause to some prospective purchasers. And there still is not enough job growth to stimulate buying activity. The only truly positive indicator during that period was the improvement in the equities markets, especially the Dow Jones average, which we know subsequently lost all of its gains, plus more, by the beginning of June.



 


Still, these are conditions that existed some 3-4 months ago. There is much commentary by member Realtors in the field that there is very strong market activity right now which they are characterizing as release of pent-up demand. It will take another several months to know if all that showing and marketing activity results in a true, lasting market rebound.



1 The seasonally adjusted rate is an annualized rate for a given quarter. It represents what the total sales volume would be for the whole year based on prior quarters’ customary shares of total annual sales.


2 The median sale price is the mid-point of all reported sales, i.e., half of the properties sold for more than the median price and half for less. The median is not affected by unusually low or high sale prices. The mean sale price is the arithmetic average, i.e., the sum of all sales prices divided by the number of sales. The mean does reflect the influence of sales at unusually low or high prices.



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