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LINITED STATES OF AMERICA I" .;JI -'CRTMTNAL NO. 3:19 CT
tll - v L/4
V

TONY TUAN PHAM,

a.k.a. "Anh Nguyen," VIOLATIONS:
SAMUEL COPENHAVER, and l8 U.S.C. $ 371 (Conspiracy)
CONSTANCE MOERLAND l8 U.S.C. $ 1343 (Wire Fraud)

INDICTMENT

The Grand Jury charges:

COUNT ONE
(Conspiracy)

1. At all relevant times, the Residential Drug Abuse Program ("RDAP") was a

substance abuse treatment program that was administered by the Federal Bureau of Prisons

("BOP"), a subdivision of the United States Department of Justice. In order to gain admission to

the RDAP, an inmate had to meet certain criteria, including having a diagnosable and verifiable

drug or alcohol abuse disorder. By successfully completing the RDAP, an inmate could qualify for

up to 12 months' early release from custody.

2. The BOP spent thousands of dollars per inmate to administer the RDAP, including

on staff salaries, inmate screening, counseling, and other programmatic costs.

3. From in or about September 2012throtgh the date of this Indictment, the exact

dates being unknown to the Grand Jury, in the District of Connecticut and elsewhere, the

defendants, TONY TUAN PHAM, also known as "Anh Nguyen," SAMUEL COPENHAVER,

and CONSTANCE, MOERLAND (collectively, the "Defendants"), and others known and

unknown to the Grand Jury, did unlaufirlly, knowingly, and intentionally combine, conspire,
confederate, and agree with each other to commit certain offenses against the United States,

namely:

a. False statements, that is, willfully and knowingly making materially false,

fictitious, and fraudulent statements and representations in a matter within the jurisdiction of the

BOP, a department or agency of the United States, in violation of Title 18, United States Code,

Section 1001; and

b. Wire fraud, that is, knowingly and withthe intent to defraud, having devised

a scheme and artifice to defraud and to obtain money and property by means of materially false

and fraudulent pretenses, representations, and promises, transmitting and causing to be transmitted

writings, signals, and sounds by means of wire communication in interstate and foreign commerce

for the purpose of executing the scheme and artifice to defraud, in violation of Title 18, United

States Code, Section 1343.

Purpose of the Conspiracy

4. The purpose of the conspiracy was to defraud the BOP and to obtain money and

things of value for the Defendants and their co-conspirators by among other ways, assisting, for a

fee, prospective and current federal inmates who did not have substance abuse disorders and who

did not require substance abuse treatment, to fraudulently gain admission to the RDAP at various

BOP facilities around the United States, and thus to deceive the BOP; deprive the BOP of

information that could impact its economic decisions, including with respect to screening and

selecting inmates for admission to the RDAP; and cause the BOP to expend unnecessarily funds

on providing substance abuse treatment to inmates who did not need or qualiff for such treatment.

2
 Manner and Means of the Conspiracy

5. The manner and means by which the Defendants and their co-conspirators sought

to accomplish and did accomplish the purpose of the conspiracy included the following:

6. The Defendants were managing partners of RDAP Law Consultants, LLC ("RDAP

Law Consultants"), a company that operated out of locations in Ohio and Michigan between in or

about September 2012 andthe date of this Indictment.

l. On behalf of RDAP Law Consultants, the Defendants solicited, on a contingency

fee basis, prospective and current federal inmates through interstate telephone calls and emails

with offers of assistance in applying to, and qualifying for, the RDAP. The Defendant's pitch was

reflected on the website of RDAP Law Consultants, which stated in relevant part:

[W]e assist you to document and qualify for eligibility and admissions to the Bureau
of Prison's 500-hour Residential Drug Abuse Treatment Program (RDAP),
reducing your prison time by up to 1 8 months ( I 2 months direct sentence reduction
and 6 months halfivay house and home confinement). We are so confident in our
services that for most cases, we will provide you with a performance guarantee:
there is a fee only if you are admitted into the RDAP program! Your success is the
only way for our success.

8. If a prospective or current inmate became a client of RDAP Law Consultants, the

Defendants coached and advised the client through interstate telephone and video calls, text

messages, emails, and in-person meetings on how to gain admission to the RDAP, including by

making materially false representations to the BOP about the existence, duration, and extent of a

purported qualifying substance abuse disorder.

9. If a client denied a history of alcohol abuse, the Defendants instructed the client to

falsely inform the BOP that, among other things, the client: (a) was a frequent or daily user of

alcohol; (b) had tried unsuccessfully to quit drinking alcohol; (c) suffered from withdrawal

symptoms if the client did not drink alcohol; and (d) had abused alcohol in ways that adversely

J
affected the client's personal and professional life and, in particular, contributed to the client's

conviction.

10. The Defendants directed the clients to fraudulently obtain one or more prescriptions

for medications used to treat withdrawal symptoms, and to bring such medications upon reporting

to a BOP facility to begin serving their term of imprisonment, thus creating and substantiating the

false appearance ofa substance abuse disorder.

I 1. The Defendants also educated clients about how to falsely and fraudulently mimic

withdrawal symptoms.

12. The Defendants also instructed clients who were not yet in custody to adopt a daily

habit of drinking alcohol or to have a medical professional provide a prescription for anti-anxiety

medication prior to the client reporting to a BOP facility.

13. The Defendants also directed clients to consume alcohol immediately before

reporting to a BOP facility to begin serving a term of imprisonment.

14. The Defendants charged a fee for their services that typically averaged several

thousand dollars. Often, a client had the option of paying a discounted upfront fee purportedly to

be refunded if the client were denied admission to the RDAP, or depositing the fee into an escrow

account to be released to RDAP Law Consultants only if the client were to be admitted to the

RDAP.

15. In order to conceal his true identity, PHAM used the name "Anh Nguyen" during

his dealings with clients of RDAP Law Consultants.

4
 Overt Acts

16. In furtherance of the conspiracy and to effect its unlawful objects, the Defendants

and their co-conspirators committed and caused to be committed, in the District of Connecticut

and elsewhere, the following overt acts, among others:

17. On or about August 28, 201J, MOERLAND mailed an unsolicited letter to a

cooperating witness ("CW-1") who was a resident of West Virginia and had been sentenced to 60

months of imprisonment following a federal felony conviction, but had not yet reported to a BOP

facility. In the letter, MOERLAND requested that CW-l contact her "to discuss the sentence

reduction program" and stated that CW-1 "can get up to 12 months off from your sentence."

18. On or about October 2,201J, MOERLAND emailed CW-l materials about the

RDAP and RDAP Law Consultants. In the cover email, MOERLAND stated: "Mr. Nguyen has

done this well over 300 times now." MOERLAND also stated: "Our clients receive an average 18

month reduction from the initial judge ordered sentence. We take pride in our 9lYo success rate

for clients accepted into the RDAP and Second Change program, where the success rate for those

who do not utilize our service is less than ljYo."

19. On or about December 29,2017, MOERLAND and PHAM spoke on the telephone

with CW-1. During the call, CW-l denied any history of substance abuse, and MOERLAND stated

that "we absolutely can" still help CW-l gain admission to the RDAP. MOERLAND went on to

state, in substance: "What we would want to do because you don't have anything that's needed to

get into the program right now, . . . what we would want to do is have you become a client

immediately." PHAM then stated, in substance: "The way we get you into this program is, there's

a saying, it goes like this: if you walk like a duck and you quack like a duck, what are they gonna

say? . . . You're a duck! You're a duck!" PHAM further stated, in substance: "There are six things

5
the BOP want you to say. We're gonna make sure you say it correctly and honestly. We practice

your story. Then after that, we have licensed substance abuse counselor to work with you. . .

They're not going to lie for you or for me. But you are going to say all the correct things, you're

gonna say all the right things, and when they're done, they're going to diagnose you and they're

going to write a nice report."

20. Also on or about December 29,2017, MOERLAND emailed PHAM about CW-

1's interest in RDAP Law Consultants' services. In the email, MOERLAND stated, in part, that

CW-1's "[s]ubstance abuse history is sketchy. Will need comprehensive documentation via our

staff counselor."

21. On or about January 2,2078, PHAM sent an email to CW-l requesting a copy of

CW-1's presentence report ("PSR").

22. On or about January 3,2018, after reviewing CW-l's PSR, which disclosed that

CW-l denied any history of substance abuse, PHAM emailed CW-1, copying MOERLAND: "I

have reviewed your PSR and know exactly what we are up against. We will be moving to the next

steps soon."

23. On or about January 4,2018, PHAM and an uncharged co-conspirator who also

was an employee of RDAP Law Consultants ("UCC-I") spoke on the telephone with CW-l.

During the call, PHAM instructed CW-1, in part and in substance:

There are six things the Bureau of Prisons wants you to say. Six. [UCC-1] is going
to send you an email on these six things. . . . Once you know these six things . . .
you need to practice your story. Practice your story.

Here are the six things. Number one, you drink every day, including weekdays. . . .
Number two, alcohol is very important to you. It's a big part of your life. . . . Three,
you're a good drinker now. . . . Your first glass of wine you don't feel anything. . .
Number four, you've tried to quit many times and you can't. . . . You get sick if
you don't drink, you don't feel like yourself. Ok? You can't sleep. You can't think.
Like an alcoholic, like an addict. You don't feel good unless you have a drink.

6
 That's five. And number six, it's called abuse. Abuse meaning bad things. Ok? You
do bad things when you drink.

24. LateronoraboutJanuary 4,2018,UCC-1 sentCW-1 anemailwiththesubjectline

"6 things," stating, in part and in substance, "the 6 things that you want to know about yourself to

say in the interviews and assessments."

25. AlsoonoraboutJanuary 4,20L8,UCC-1 sentCW-1 anemailwiththesubjectline

"Doctor Visit." In relevant part, the email stated:

Please go to your doctor and tell him the following:

1) You have been drinking everyday for a very long time and are an alcoholic.
2) You will be going to prison and are scared that they are going to make you stop
drinking cold-turkey. Your attorney told you that you need to walk in there with
some prescriptions or the prison will ignore your medical needs since it is so
crowded in there. Tell the doc you don't want to suffer.
3) Ask the doctor to please give you a prescription for "Librium" or "Ativan" or
"Naltrexone" OR ANYTHING else he feels appropriate to help with the
withdrawal. Also ask for "Thiamine", which is a vitamin . . . . Thiamine is the
one that is very important to get. They will not allow non-prescription pills into
prison so buying it over the counter is useless (ie. it has to be a prescription).
Let me know when you get this. Please fill it immediately.
You will be carrying and walking into prison with the bottle of pills...remember
to bring them.

26. On or about January 8,2018, PHAM spoke on the telephone with CW-l. During

the call, PHAM stated, in part and in substance:

If you walk in there and you say, you know what, I don't do any drugs. I don't do,
I don't use any prescription drugs, street drugs, and I don't drink at all. They're
gonna say, well, then there's no way you can get in this program. . . . You can't be
honest. You can't be honest about it. If you're honest about it, you're not getting in
this program.

27. On or about January 9,2018, PHAM sent CW-l an email with the subject line

"Must Show Withdrawal Symptoms," in which PHAM stated: "You need to show serious

withdrawal symptoms as soon as you get to prison." PHAM also included links to two videos

available on the Internet and instructed CW-l to "watch these videos. You will be doing this in

7
some degree." One of the videos depicted a person going through, and displaying symptoms of,

withdrawal.

28. On or about January 9,2018, in a separate email to CW-l with the subject line

"Prison Preparation To-Do's," PHAM stated, in part:

These are our talking points on the phone soon. Please print this email out and take
with you.
Please throw it away before walking into prison.
Please remember to bring the bottle and pills with you.

1) What to Bring: your prescriptions, some cash, your eyeglasses

2) Drink 15 minutes beforearriving and get prison doc to give you any meds for
withdrawal using the l-2-3 method (ask me to explain what that is). Tell them
"I abuse alcohol everyday.. My doc gave me these meds because he's afraid I
may get a seizure and die or get brain damage. I am really scared. I need the
meds. Please help me!"

- Never say that you have anxiety or depression. They will treat you for that and
you will fail. I lost two clients because of this.
- Take the medication that they give you ! Refusing would mean that you do not
have a problem!

3) When asked about symptoms, ALWAYS complain that you have them. Never
say I am doing better EVER even after several months! They will use it against
you that you are not really an alcoholic.

4) Don't try to apply or ask too many questions for at least two weeks...remember
you are suppose to be sick these two weeks.

- Start to go to Alcohol Anonymous and/or Narcotic Anonymous classes right

away.

5) Dealing with staff..they don't care about you. Look and act stupid, like a loser,
and don't ask too many smart questions. Notice how these men are all stupid
looking. You want to be one of them. Act dumb and clueless about the RDAP
program always. Never challenge prison staff or they will get you and make it
so hard! Always, "Yes Sir".

6) Communications: we will communicate through your family. NEVER EVER

communicate about RDAP through email but instead only by phone or
visitation. lf by phone, talk about RDAP near the end of the call. All
communication is through your one family member (wife?). My new name is

8
 "ONLINE RESEARCH". So, when referring to me, your family should say,
based on my online research, you should do "X" next. Do not talk about refunds
or failures over the phone. . . . There may be long periods of time where you
have not heard directly from me...however we are always working and we are
the ones that got you in.

29. On or about May 15, 2018, COPENHAVER sent an unsolicited email to another

cooperating witness ("CW-2") who was a resident of Connecticut and had been convicted of two

federal felonies but had not yet been sentenced at the time. In the email, COPENHAVER stated

that he was "trying to get in touch with you about an opportunity to explore early release programs

offered in the BOP, should your case go that direction."

30. On or about July 27,2018, COPENHAVER emailed CW-2, copying PHAM. In the

email (which was substantially similar to the email MOERLAND sent CW-l on or about October

2, 20ll), COPENHAVER stated: "Our clients receive an average 18 month reduction from the

initial judge ordered sentence. We take pride in ow 9l%o success rate for clients accepted into the

RDAP program, whereas the success rate for those who do not utilize our service is less thanl}oh."

Attached to COPENHAVER's email was a draft consulting agreement that outlined RDAP Law

Consultants' fee structure: "Client will pay $6,500.00 into escrow account of client's choosing

with funds released to Company only upon successful admissions into RDAP. Alternatively, Client

may choose to pay Company upfront the discounted fee of $5,000.00."

31. Also on or about luly 27,2018, COPENHAVER spoke on the telephone with CW-

2. During the call, COPENHAVER stated that RDAP Law Consultants monitored federal court

dockets nationwide to identifu prospective clients. After CW-2 denied having a substance abuse

disorder, COPENHAVER stated: "As long as you're able to follow instructions and you're a

willing participant, everything will be A-OK." During that call, COPENHAVER also stated that

he wanted to introduce CW-2 to his "partner," whom COPENHAVER identified as "Anh

9
Nguyen." COPENHAVERthen connected PHAM to the call, who described to CW-2 the services

provided by RDAP Law Consultants.

32. On or about July 3L,2}LS,COPENHAVER again spoke onthe telephone with CW-

2. During the call, CW-2 denied having a substance abuse disorder, but COPENHAVER stated, in

part and in substance:

I got it, I hear you. As long as you know how tofollow instructions. Let Ahn take
the lead on this. He is a good man. He's a good guy, he's smart, he's got a good
team working with him. So, I mean, just let him take the lead on this and just follow
instructions, and everything will be just fine.

33. On or about July 31,2018, COPENHAVER sent an email to PHAM, copying CW-

2. In the email, COPENHAVER stated, in part, that CW-2 was "moving forward with our

services" and noted: "substance abuse history is nonexistent. Needs comprehensive

documentation via our staff counselor."

34. On or about August 1,2018, PHAM spoke on the telephone with CW-2. During

the call, CW-2 denied a substance abuse disorder, and PHAM advised, in part and in substance, to

begin drinking alcohol before surrendering to a BOP facility:

[I]t's very unusual to see a man who may be going to prison to not be at least doing
something. At least taking some pills to calm their nerves, or having a glass of wine
or two a night to help them with the stress. You had just said me told me that you're
stressed out. It would be worth doing something to help calm your nerves.

And it would be beneficial for RDAP if you drank now and then. That's all. And I
think it'll help you. . . . [Y]ou get to decide, but it would be beneficial for you
health-wise, stress-wise, and RDAP-wise, if you were drinking a glass of wine
every night or two, and some of wine is very delicious. I like wine coolers myself.

They're not looking for quantity. They're - and you know, whether you drink one
wine cooler or ten wine coolers a night, nobody knows. You're sifiing in your own
house, who's going to know? There's no recording.

All I'm saying is I would prefer you not have to say that you drink every day when
you really don't. So you can remedy that. And it's good for your health.

10
 I'm not going to tell you to do any'thing. So so you need to reflect and I don't know.
And I'll go over the secret to RDAP, you need to reflect on it. If you're ready to
say, you gotta be ready to say that you have a drinking problem. If you're ready to
do that, I'11 help you tell your story of having a drinking problem. And that because
of your drinking, it clouded your judgement sometimes, you know?

35. On or about August 7, 2018, PHAM spoke on the telephone with CW-2. During

the call, after CW-2 again denied a substance abuse disorder, Pham stated:

Okay, so we are at a crossroad, and the crossroad, . . . is that you have to be using
alcohol or a drug before you can have a problem. Right?

If you're chemical free when you walk into prison, and if that's what you tell them,
you can't get in the program. There's no way around it.

You've got to use. And it's not hard. I've had guys get in for Benadryl they buy off
the shelf. You know, they have a hard time, they have allergies, they can't sleep
unless they take some Benadryls. I have guys that have been taking Benadryl for a
long time. I've had people get in for um other over the counter, you know, sleep
meds that they buy over the counter. That works too. But it has to be some sort of
chemical - chemical is alcohol as well.

Your PSR is done, I see it here. So that's kind of set in stone in a way. We can get
you in. . . . But you need to kind of help me figure out how to, you know, get you
lined up for that.

And here comes the secret to RDAP. Here's the secret. You know what, Doc? I
blame alcohol as one of the main reasons why I'm in prison with you today. If I
wasn't drinking every day, I would be thinking more clearly and I would figure,
what I was doing was a big - I'd be scared. If I wasn't drinking, I would've been
thinking more clearly, I would have been scared that what I was doing would put
me in prison. I wouldn't have done it.

The secret is you've got to blame the drugs or you've got to blame the alcohol

It's about drinking maybe a beer, a couple of beers, or a glass of wine or two. That's
it. You know, but you were doing it consistently. Or or you're using prescription
drugs consistently or you're using Benadryl off the shelf consistently. Something
consistently.

In prison, everybody is saying what they need to say to get into this program.
Everybody.

11
 Everybody's saying, and I know guys who say, yeah I've been smoking weed since
I was five. I know that's a lie, who smokes weed at five?

But people, you'll blend in with everybody else trying to get in. Except that you're
going to be well prepped. Okay? You're going to be well prepped, you're going to
have the documentation, you'll be alright.

36. Also on or about August 7,2018, Pham sent CW-2 an email with the subject line

"6 things" (which was substantially similar to the email UCC-I sent CW-l on or about Jantary 4,

2018). In the email, PHAM stated, in part:

Below are the 6 things you want to be able to say based on your history. At the
interviews, make sure you don't say anything to go against these six things by
accident.

Remember the secret to this program was that we were using everyday even prior
to your arrest on this case and it clouded your judgment and is a big reason why
you have this case now.

These are the 6 things the substance abuse counselor and rdap doctor wants you to
say for sure. Never go against these six things while in the interview. They will ask
you stories about your life and drinks and pills, what you took, when, and why so
be ready to tell your true life story with the substances. We will discuss together
before your interview.

1) Frequent user (daily) - Story of your daily use

2) Life revolves around alcohol/pills - examples of stories here - such as inventory

stocking up and daily personal and business activities

3) Increased tolerance - stories you use more and more over the years to get the
same effect

4) Failure to quit - tried many times but unsuccessful - too hard

5) Have withdrawal symptoms - can't sleep unless used alcohol/pills, stressed out
and agitated until using

6) Abuse in a) personal, b) business, c) criminal

a) personal - family mad that you use all the time, waste so much money, driving
under influence
b) business - got to work late, left early to get to go use

t2
 c) criminal - alcohol/pills contributed to me committing my crime since it clouded
my judgment and I thought I can get away with it (liquid courage)

All in violation of Title 18, United States Code, Section 371

COUNTS TWO THROUGH NINE

(Wire Fraud)

The Scheme and Artifice to Defraud

37. Paragraphs I through 36 are incorporated by reference.

38. From in or about September 2012 tfuough the date of this Indictment, the exact

dates being unknown to the Grand Jury, in the District of Connecticut and elsewhere, PHAM and

COPENHAVER, together with others known and unknown to the Grand Jury, knowingly and with

the intent to defraud, devised a scheme and artifice to defraud the BOP in order to obtain money

and property by means of materially false and fraudulent pretenses, representations, and promises,

to wit, by assisting, for a fee, prospective and current federal inmates who did not have substance

abuse disorders and did not require substance abuse treatment to fraudulently gain admission to

the RDAP at various BOP facilities around the United States, as described above.

Executions of the Scheme and Artifice to Defraud

39. On or about the dates listed below, in the District of Connecticut and elsewhere, for

the purpose of executing the above-described scheme and artifice to defraud, PHAM and

COPENHAVER, together with others known and unknown to the Grand Jury, knowingly caused

to be transmitted in interstate commerce by means of wire communications certain writings,

signals, and sounds, each constituting a separate count of this Indictment, as follows:

13
 Count Approx. Date Description of Interstate Wire

2 5lr5l20t8 Email from COPENFIAVER, outside Connecticut, to CW-2, in

Connecticut.
a
712712018
J
Email from COPENHAVER, outside Connecticut, to CW-2, in
Connecticut.
4 712712018
Call between COPENHAVER and PHAM, both outside Connecticut,
and CW-2, in Connecticut.

5 713y20r8
Call between COPENHAVER, outside Connecticut, and CW-2, in
Connecticut.
6 713U2018
Email from COPENHAVER, outside Connecticut, to CW-2, in
Connecticut.
1 8lU20r8
Call between PHAM, outside Connecticut, and CW-2, in Connecticut.

8 81712018
Call between PHAM, outside Connecticut, and CW-2, in Connecticut.

9 81712018
Email from PHAM, outside Connecticut, to CW-2, in Connecticut.

All in violation of Title I 8, United States Code, Section 1343

FORFEITURE ALLEGATION

40. Upon conviction of one or more of the offenses alleged in Counts Two through

Nine of this Indictment, each of PHAM and COPENHAVER shall forfeit to the United States of

America, pursuant to Title 18, United States Code, Section 981(a)(1)(C) and Title 28, United States

Code, Section 2461(c), all right, title, and interest in any and all property, real or personal, which

constitutes or is derived from proceeds traceable to such offense(s), including but not limited to

the following assets:

a. All funds in an account at Northpointe Bank with an account number ending in

1691 held in the name of P.P. and M.P., whose identities are known to the Grand

Jrry;

l4
 b. All funds in an account at Wells Fargo Bank with an account number ending in

5911 held in the name of Community Management Services, Inc.;

c. All funds in an account at KeyBank with an account number ending in 8493 held
in the name of CMS, Inc.;

d. All funds in an account at Citizens Bank with an account number ending in2437

held in the name of Honest Startups, Inc.; and

e. All funds in an account at Citizens Bank with an account number ending in 3069

held in the name of Honest Startups, Inc.

41. If any of the above-described forfeitable property, as a result of any act or omission

of PHAM and COPENHAVER, cannot be located upon the exercise of due diligence, has been

transferred, sold to, or deposited with a third party, has been placed beyond the jurisdiction of the

court, has been substantially diminished in value, or has been commingled with other property

which cannot be divided without difficulty, it is the intent of the United States, pursuant to Title

21, United States Code, Section 853(p), as incorporated by Title 28, United States Code, Section

2461(c),to seek forfeiture of any other property of PHAM and COPENHAVER up to the value of

the forfeitable property described above.

15
 All in accordance with Title 18, United States Code, Section 981(a)(1), as incorporated

by Title 28, United States Code, Section 2461(c), and Rule 32.2(a) of the Federal Rules of

Criminal Procedure.

A TRUE BILL

il
H.D
STATES

AVI M.
SPECIAL ASSISTANT UNITED STATES ATTORNEY

t6