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Federal Officials Distribute Medical Gear Seized in Price-Gouging Investigation

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  • Federal agents seized essential medical gear including 192,000 N95 respirator masks, 130,000 surgical masks, 598,000 medical grade gloves, from a man in Brooklyn, NY hoarding and reselling supplies at a 700% mark up.
  • When agents confronted the man, he allegedly lied about his crimes and coughed towards them, saying he had tested positive for the coronavirus.
  • He was charged with assaulting federal officers and making false statements to law enforcement. 
  • Officials took possession of the items and distributed them to NY and NJ health departments, saying they will pay the man “fair market value” for the goods. 

Supplies Seized

Federal officials said Thursday that they seized thousands of masks and other essential medical supplies from an alleged hoarder in Brooklyn this week, which they redistributed to health departments in New York and New Jersey. 

The supplies, taken from 43-year-old Baruch Feldheim, included 192,000 N95 respirator masks, 130,000 surgical masks, 598,000 medical grade gloves, surgical gowns, disinfectant towels, hand sanitizer, and spray disinfectant.

The Department of Justice and Health and Human Services said the equipment was seized by a task force created to crack down on coronavirus-related hoarding and price gouging.

The Investigation

While personal protective equipment, known as PPE, is in high demand all over the world, it is especially needed in New York and New Jersey, where the most coronavirus cases have been reported in the United States. 

The investigation against Feldheim came after a New Jersey doctor told NBC News in an interview last month that because of the severe supply shortages, he resorted to buying protective equipment on the black market at an extremely high price. 

Federal agents approached the doctor for more information and he directed them to a WhatsApp group where sales were being facilitated. The doctor told investigators Feldheim charged him $12,000 for a large order of maks, gowns, gloves, and hazmat gear. The F.B.I described that price as a 700% markup.

The doctor told investigators that when he went to pick up his order at an auto repair shop in Irvington, N.J., he saw enough pallets of medical gear, Clorox wipes, hand sanitizer, and surgical equipment to supply an entire hospital. FBI agents even said they themselves saw people walking away from Feldheim’s residence with boxes or bags of what appeared to be medical supplies. 

“It’s the most un-American thing I can think of right now, in a time of crisis, for anybody to take materials that they know are needed on the front line and take them out of the supply chain, hide them and try to sell them at a markup,” Craig Carpenito, the top federal prosecutor in New Jersey who was tapped by the attorney general last week to lead the task force, told CNN

Feldheim Charges

Federal agents first confronted Feldheim outside his home Sunday, where he reportedly lied about owning and selling large quantities of supplies. He also allegedly coughed towards the agents, telling them he had tested positive for the virus, authorities said. 

The following day, Justice Department prosecutors in Newark charged Feldheim with assaulting federal officers and making false statements to law enforcement. Carpenito told CNN prosecutors were still investigating and considering charges of hoarding and price gouging under the Defense Production Act.

Feildheim’s defense lawyer, James Moriarty, denied the charges and said his client had not entered a plea yet, according to Reuters. 

As far as the seized goods, Health and Human Services said it used its Defense Production Act authority to take possession of the items for the US government and will pay Feldheim the “fair market value” for them. The materials were inspected and redistributed to the health departments of New York State, New Jersey, and New York City, the authorities said.

In a message sent to his F.B.I. colleagues sent Thursday, the special agent in charge of the F.B.I.’s Newark office, Gregory W. Ehrie, said the efforts of law enforcement officers were making a difference during the healthcare crisis.

“It is gratifying when the challenging and risky work of our agents has such positive and tangible results,” Ehrie wrote. 

“Profiteers need to be aware that we are looking for them and will do whatever necessary to help stem the tide of this crisis. The public needs to know that they are a force multiplier in our efforts and should bring us any information that could curtail criminal activity.”

See what others are saying: (The New York Times) (Reuters) (Fox News

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Katie Couric Says She Edited Ruth Bader Ginsburg Quote About Athletes Kneeling During National Anthem

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Couric said she omitted part of a 2016 interview in order to “protect” the justice.


Kate Couric Edited Quote From Justice Ginsburg

In her upcoming book, journalist Katie Couric admitted to editing a quote from Supreme Court Justice Ruth Bader Ginsberg in 2016 in order to “protect” Ginsberg from potential criticism. 

Couric interviewed the late justice for an article in Yahoo News. During their discussion, she asked Ginsburg about her thoughts on athletes like Colin Kaepernick kneeling for the national anthem to protest racial inequality.

“I think it’s really dumb of them,” Ginsburg is quoted saying in the piece. “Would I arrest them for doing it? No. I think it’s dumb and disrespectful. I would have the same answer if you asked me about flag burning. I think it’s a terrible thing to do, but I wouldn’t lock a person up for doing it. I would point out how ridiculous it seems to me to do such an act.”

According to The Daily Mail and The New York Post, which obtained advance copies of Couric’s book “Going There,” there was more to Ginsburg’s response. Couric wrote that she omitted a portion where Ginsburg said the form of protest showed a “contempt for a government that has made it possible for their parents and grandparents to live a decent life…Which they probably could not have lived in the places they came from.

Couric Says She Lost Sleep Making Choice

“As they became older they realize that this was youthful folly,” Ginsberg reportedly continued. “And that’s why education is important.

According to The Daily Mail, Couric wrote that the Supreme Court’s head of public affairs sent an email asking to remove comments about kneeling because Ginsburg had misspoken. Couric reportedly added that she felt a need to “protect” the justice, thinking she may not have understood the question. Couric reached out to her friend, New York Times reporter David Brooks, regarding the matter and he allegedly likewise believed she may have been confused by the subject. 

Couric also wrote that she was a “big RBG fan” and felt her comments were “unworthy of a crusader for equality.” Because she knew the remarks could land Ginsburg in hot water, she said she “lost a lot of sleep” and felt “conflicted” about whether or not to edit them out. 

Couric was trending on Twitter Wednesday and Thursday as people questioned the ethics behind her choice to ultimately cut part of the quote. Some thought the move showed a lack of journalistic integrity while others thought revealing the story now harmed Ginsburg’s legacy.

See what others are saying: (New York Post) (The Daily Mail) (Insider)

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Biden Administration Orders ICE To Halt Workplace Raids

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The Department of Homeland Security will now focus on targeting employers who exploit undocumented workers, instead of carrying out raids that dissuade those workers from reporting labor violations.


DHS Reverses Worksite Raid Policy

The Biden administration announced Tuesday that it was ordering Immigration and Customs Enforcement (ICE) to stop workplace raids.

The move marks a reversal from Trump administration policies that have been strongly criticized by immigration activists who argue the efforts created fear in immigrant communities and dissuaded them from reporting labor violations or exploitative employment practices.

In addition to stopping the raids, Department of Homeland Security (DHS) Secretary Alejandro Mayorkas said in a memo that the administration will refocus enforcement efforts to instead target “employers who exploit unauthorized workers, conduct illegal activities or impose unsafe working conditions.” 

Mayorkas added that the immigration agencies housed in DHS will have the next 60 days to identify harmful existing policies and come up with new ones that provide better deportation protections for workers who report their employers.

In the Tuesday memo, the secretary argued that shift of focus will “reduce the demand for illegal employment by delivering more severe consequences to exploitative employers” and “increase the willingness of workers to report violations of law by exploitative employers and cooperate in employment and labor standards investigation.”

Labor Market Implications

The new policy comes at a time when the U.S. is experiencing a critical labor shortage, including in many sectors that rely on immigrant labor.

Some companies that use undocumented workers pay them wages that are far below the market rate, which is not only exploitative but also undercuts competitors.

According to Mayorkas, the pivot to employer-based enforcement will help protect American businesses.

“By exploiting undocumented workers and paying them substandard wages, the unscrupulous employers create an unfair labor market,” he said in the memo. “They also unfairly drive down their costs and disadvantage their business competitors who abide by the law.”

It is currently unclear how effective the new efforts will be, but historical precedent does not paint an optimistic picture.

The Biden administration’s efforts closely mirror a similar move by the Obama administration, which attempted to reverse workplace raids authorized under President George W. Bush by targetting those who employ undocumented workers rather than the workers themselves.

That effort, however, still led to thousands of undocumented workers being fired.

See what others are saying: (The Washington Post) (The New York Times) (ABC News)

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Mom Charged for Hosting Secret Teen Parties, Pressuring Kids To Drink and Engage in Sex Acts

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Investigators said some of the sex acts between teens were non-consensual and at times took place while the mother stood by laughing.


Mother Hit With Dozens of Charges

A California mother is facing 39 criminal charges after hosting a series of illegal parties for her teenage son and his mostly 14- and 15-year-old friends that regularly led to dangerous accidents and sexual assaults.

The mother, 47-year-old Shannon O’Connor, also known as Shannon Bruga, is currently awaiting extradition to Santa Clara County. According to The Mercury News, she was arrested Saturday in Ada County, Idaho, where she has a home in addition to her property in Los Gatos that is currently on the market.

Her criminal charges include 12 felony counts and 10 misdemeanor counts of child endangerment, one count of misdemeanor sexual battery, three counts of misdemeanor child molestation, and 13 misdemeanor counts of providing alcohol to minors.

“It took a lot of brave children to come forward and to untangle this deeply disturbing case,” Santa Clara County District Attorney Jeff Rosen said in a press release regarding the case. “As a parent, I’m shocked. As the DA, I’m determined to hold those adults who endanger children fully accountable to the law and our community.”

What Happened During the Parties?

Investigators claim O’Connor organized the functions, attended by as many as 20 teens, via text message and Snapchat. She would then allegedly supply the teens with alcohol and push them to binge drink, often to the point of illness or unconsciousness.

The harm that resulted from their intoxication included one teen breaking a finger and another almost drowning in a hot tub, among other serious situations.

In another instance, O’Connor let an unlicensed drunk teen drive her car. Her son and another one of his friends then hung off the back while it was moving, which caused the friend to fall, hit his head, and become unconscious for 30 seconds. He was later diagnosed with a concussion after spending the night vomiting.

O’Connor is additionally accused of manipulating and encouraging drunk teens to participate in sex acts with one another, which were sometimes non-consensual or carried out while she watched. In some cases, she allegedly laughed while the sexual acts happened or when assault victims asked her why she didn’t step in to help.

Investigators added that O’Connor required teens who attended her parties to keep them a secret. She’s even accused of helping them sneak out of their homes so she could drive them to her events. Authorities said she was found to have bullied at least one teen who she suspected of breaking the secret.

“Everyone should feel relieved this woman’s not on the street,” the parents of one assault victim told The Mercury News. “She was grooming these kids, setting them up for sexual acts, and she’s a mother and doing this to her own child. … I’ve been racking my brain trying to think what was in it for her.

See what others are saying: (The Mercury News) (ABC 7) (CBS San Francisco)

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