Judge Mary Kay Vyskocil | Horse Racing Free Tips

Guilty Verdict for Lisa Giannelli

The federal government's crackdown on horse doping notched another courthouse win May 6 with a jury finding Lisa Giannelli guilty of conspiracy to misbrand and adulterate drugs after an eight-day trial.

The jury of eight men and four women in U.S. District Court in New York returned the verdict after less than two hours of deliberations spanning two days.

Giannelli, 55, of Felton, Del., faces a maximum sentence of five years in prison at her sentencing Sept. 8 before Judge Mary Kay Vyskocil.

The jurors rejected Giannelli's testimony in which she defended her actions selling medications for veterinarian Dr. Seth Fishman when she was his employee for 18 years at Florida-based Equestology.

As part of their verdict, the jury also agreed that Giannelli's intent was to defraud and mislead.

New York U.S. Attorney Damian Williams said, “For almost two decades, Lisa Giannelli peddled untestable performance-enhancing drugs to give racehorse trainers the tools to dope racehorses. As a former standardbred racehorse trainer, Giannelli knew firsthand the dangers of selling illegal, injectable performance-enhancing drugs to trainers who were recklessly injecting horses to gain a competitive edge. The jury's swift conviction demonstrates the gravity of Giannelli's criminal scheme. This Office remains committed to holding accountable those who would engage in the kind of fraud and animal abuse exemplified by Giannelli's crimes.”

Giannelli stood at the defense table and turned towards the jury during the reading of the verdict. She was wearing a mask and had no visible reaction. She remains free on a $100,000 bond.

She rushed out of the courtroom with her husband.

“I'm disappointed,” defense attorney Louis Fasulo said. He plans to file a motion challenging the verdict.

The charges against Giannelli grew out of a lengthy FBI investigation into horse doping at Thoroughbred and harness race tracks two years ago that resulted in the indictments of more than two dozen people.

Just before announcing their verdict, the jury came to the courtroom to inspect a seized drug bottle that the government introduced into evidence during the trial.

The bottle was labeled BB3 which prosecutors said was a misbranded and adulterated PED designed to boost a horse's red blood cells.

Ten jurors walked past the bottle before two stopped to inspect the bottle with gloved hands.

“The government's case was very strong,” juror Joe Coughlan, 56, of Valley Cottage, N.Y., said after the verdict. “It was a preponderance of the evidence. I couldn't see any other verdict but guilty.”

Coughlan said it's “obviously not a good thing” that horses were being doped at race tracks.

“That amounts to cheating,” he said.

He said he had no idea how extensive the problem was until the trial.

“It's a sport and you've got bettors who are relying on everything being okay,” he said. “You want things to be above board. If they are not, what do you do?”

Prosecutors said the products Giannelli distributed for Fishman were illegal substances meant to enhance a horse's performance while being undetectable in tests conducted by racing authorities after races.

Fishman, a Florida veterinarian, was found guilty at his own trial in February. His sentencing is May 26.

Since the initial indictments, the number of defendants has grown to 31.

Of those 14 have pleaded guilty including two former harness trainers who became government witnesses against Giannelli.

Two other defendants agreed to deferred prosecution agreements.

Defendants with charges still pending include the prominent trainer Jason Servis, whose 3-year-old Maximum Security finished first in the 2019 Kentucky Derby presented by Woodford Reserve (G1) and then was disqualified for interfering with another horse during the race.

The post Guilty Verdict for Lisa Giannelli appeared first on TDN | Thoroughbred Daily News | Horse Racing News, Results and Video | Thoroughbred Breeding and Auctions.

Source of original post

Giannelli Trial Continues

Lisa Giannelli testified at her horse doping trial May 4 that she had a good reason for wanting to testify in her own defense.

“To tell my story,” she told the jury in U.S. District Court in New York.

She is on trial on a conspiracy charge, accused of assisting veterinarian Seth Fishman in the distribution of performance-enhancing drugs that prosecutors say were used by corrupt trainers to dope racehorses in violation of racing regulations.

During three hours of questioning by her attorney Louis Fasulo, Giannelli, who admitted being nervous when her testimony began, told the jury that it was never her intention to defraud any racing commissions.

She also testified that she never benefited financially when trainers decided to break the rules to win races.

And she testified that she never agreed with Fishman to engage in fraud.

“It was never my intention,” Giannelli testified.

The testimony came on the trial's sixth day in front of Judge Mary Kay Vyskocil.

The trial resumes May 5 with closing arguments and then possibly jury deliberations.

Prosecutors say Fishman, who was convicted in February and faces 20 years in prison, manufactured PEDs that Giannelli sold out of her home as an employee of Fishman's company Equestology.

Giannelli testified it was her understanding she could sell whatever products Fishman created because he was a licensed veterinarian.

“I was just to take orders,” she told the jury. “I was not to give medical advice or offer a medical opinion or act as a veterinarian.”

Giannelli testified drugs she kept in her home that the FBI seized when she was arrested in 2020 were “items of Dr. Fishman that clients called in for as needed.”

She said Fishman manufactured his products without her help and that she knew little about them.

Gianelli also testified that she wasn't involved in designing labels for those products.

Asked then by Fasulo why another Equestolgoy employee sought her input on the color of a new drug bottle's cap, she replied, “Dr. Fishman was color blind.”

She also said that in conversations with Fishman it was hard to know what he was talking about.

Giannelli told the jury she didn't know what he meant when he told her about “stem cells” in a 2019 call that was wiretapped by the FBI.

“He is rambling and I was just like 'yeah,'” Gianelli testified. “Dr. Fishman rambled a lot.”

When asked why she sold drugs without any label on the bottle, she said, “That was a decision by my boss. It was what it was.”

On cross examination, prosecutor Sarah Mortazavi asked Giannelli if she knew the difference between prescription and non-prescription drugs.

“My employer did,” the witness testified, adding that she knows the difference now.

“But you didn't at the time?” Mortazavi asked.

“I know only know what Dr. Fishman told me,” Giannelli replied.

At another point, Mortazavi asked Giannelli if she had suggested new products for Fishman to make a Equestology.

“Yes,” the witness said.

“So now you are clarifying your testimony on direct in which you testified that you didn't suggest new products for Seth Fishman to make?” the prosecutor asked.

“Correct,” Giannelli testified.

At the start of the cross-examination, Mortazavi asked Giannelli about her days working as a groom and a trainer at harness tracks decades ago, before she began working for Fishman. Giannelli acknowledged her license was suspended when a horse tested positive for TCO2.

“It was a bicarbonate,” the witness testified.

“Is that baking soda?” Mortazavi asked.

“Bicarbonate is whatever bicarbonate is,” Giannelli told the jury.

The Thoroughbred industry's leading publications are working together to cover this key trial.

The post Giannelli Trial Continues appeared first on TDN | Thoroughbred Daily News | Horse Racing News, Results and Video | Thoroughbred Breeding and Auctions.

Source of original post

Lisa Giannelli Trial Begins

Jury selection kicked off April 27 in the trial of a Delaware woman who prosecutors say helped veterinarian Dr. Seth Fishman supply illegal performance-enhancing drugs to trainers who used them to secretly dope horses to win races.

By day's end, a jury of eight men and four women was sworn in to hear the case against Lisa Giannelli in U.S. District Court in New York.

Judge Mary Kay Vyskocil scheduled opening statements for Apr. 28. The government has two FBI agents lined up to testify as their first witnesses.

Giannelli was in court for the jury selection.

One of the jurors chosen is a 60-year-old woman who said during voir dire that she has attended the GI Kentucky Derby “numerous times.”

Giannelli, of Felton, worked for Fishman and his Florida company Equestology as a sales representative. They were arrested two years ago following a lengthy FBI investigation into suspected backstretch horse doping that nabbed more than two dozen others.

Those charged included prominent Thoroughbred trainers Jorge Navarro and Jason Servis. Navarro pleaded guilty last year and was sentenced to five years in prison. Servis is awaiting a trial that has been pushed back to early 2023.

Giannelli's case is being heard in the same courthouse where Fishman was convicted Feb. 2 on two counts of conspiracy to violate adulteration or misbranding laws after an 11-day trial. She is charged with one of those crimes.

Fishman and Giannelli have been the only ones in the case to take their chances at trial. There have been nine other guilty pleas since the arrests, including Navarro's.

Giannelli was to be tried with Fishman, but after opening statements and testimony from the government's first witness, a mistrial was declared in her case after her lawyer Louis Fasulo tested positive for COVID-19, preventing him from proceeding.

She faces five years in prison if convicted. She is free on $100,000 bond.

At a conference Apr. 25, Fasulo said his client would be testifying in her own defense. He also said she would be his only witness. Fishman didn't testify, and his lawyers called no other witnesses.

Fasulo told Vyskocil that he was “100% certain” Gianelli would take the stand.

“I never make that commitment, but we know it's going to happen,” he said.

In court papers last month, prosecutors spelled out their case against Giannelli.

They said she had traveled to racehorse training facilities in the northeast U.S., offering to sell Fishman's drugs “on demand, without regard to the existence of any prescription, the medical need for such drugs or the legality (or propriety) of selling such drugs directly to racehorse trainers.”

In court papers, Fasulo has signaled his intent to put on a “good faith” defense.

“A person acts in good faith when he or she has an honestly held belief, opinion, or understanding that as part of her experience in the horse racing industry veterinarians were allowed to sell drugs they compounded or manufactured and it was the trainer's responsibility to follow withdrawal times, even though the belief, opinion or understanding turns out to be inaccurate or incorrect,” Fasulo wrote in a proposed instruction that he wants the jury to hear before it begins deliberations.

At the previous trial, Fasulo sought to distance his client from Fishman, a tactic he is expected to take this time around.

“We sit here today after hearing the government's opening statement that Lisa Giannelli is a lone wolf in a herd of sheep,” he said as he began his opening remarks to the prior jury. “This case will prove that Lisa was a sheep herded by the sheep master.”

Fasulo said then that Giannelli had been a groom and a trainer before she went to work for Fishman. He said they had worked together for 18 years.

Fasulo said his client had no ability to create the products that Fishman manufactured and had no ability to label them.

“She took no responsibility as to the products as they were presented to her, other than they were presented by a veterinarian who was licensed in the states in which she was dealing,” he said.

At the end of his remarks, he said they don't hide from the fact that Giannelli worked for Fishman.

“What the government found in her home were products given to her by Seth Fishman, the veterinarian, and you will hear that she believed those products to be okay to transport to others,” he said.

The trial is expected to last two weeks.

The Thoroughbred industry's leading publications are working together to cover this key trial.

The post Lisa Giannelli Trial Begins appeared first on TDN | Thoroughbred Daily News | Horse Racing News, Results and Video | Thoroughbred Breeding and Auctions.

Source of original post

Chris Oakes Sentenced to Three Years

NEW YORK–Standardbred trainer Chris Oakes, who has admitted to supplying Jorge Navarro with performance- enhancing drugs as well as using illegal drugs with his own horses, was sentenced to three years in prison Thursday. In October, Oakes, 57, pled guilty to one count of misbranding and drug adulteration with intent to defraud or deceive.

The decision was handed down by Judge Mary Kay Vyskocil in the United States District Court for the Southern District of New York before a small audience that included Meadowlands owner Jeff Gural. Under the sentencing guidelines, three years was the maximum allowable sentence.

“I believe this offense is serious,” Vyskocil said. “I have taken that into account as well as the characterizations of Mr. Oakes as a human being and a person. But I do not see any compelling reason to go below the sentencing guideline.”

While the case against Oakes involved his pattern of doping his own horses, it also focused on his relationship with Navarro and the doping of Navarro's XY Jet (Kantharos). Oakes supplied Navarro with PEDs that were given to X Y Jet, including a “blocker” PED. On Feb. 13, 2019, the same day X Y Jet won an allowance race at Gulfstream, Navarro instructed Oakes to enter the Gulfstream backstretch to administer PEDs to the sprinter.

“Mr. Oakes shared misbranded and adulterated drugs with others, including, and most particularly Mr. Navarro,” Vyskocil noted. “Specifically, he helped Mr. Navarro dope XY Jet.”

While still in training, XY Jet died in early 2020. Navarro said at the time that the cause of death was a heart attack.

Addressing the court, government lawyer Sarah Mortazavi lashed into Oakes, saying that he had failed to realize the severity of his actions.

“The defendant has not grappled with the seriousness of his crimes,” she said, “Instead of remorse, we have gotten from him self-serving excuses meant to minimize his conduct. He has said that the government can't prove that I killed any horses or did something to improve their performances, so what I did was not detrimental to these horses. But he injected these horses with drugs up to and including the day of their race, putting their health at risk.”

Oakes' attorney Page Pate did not deny that his client used PEDs and broke laws but asked the court to consider that trainer had many good qualities. That, he argued, was justification for leniency.

“The offenses committed, while clearly wrong, are inconsistent with who he was as a person and as a trainer who cared for his horses,” Pate said. “It's true that he tried to win purses by using PEDs he got from Dr. [Seth] Fishman and PEDs he created on his own and that that gave him an unfair competitive advantage in his races. But the narrative became Mr. Oakes abused his horses. Looking back over his 40-year career that is not consistent with what so many people who knew him and worked with him have told the court. The things he has done for his community, his random acts of kindness, they show that he is not a criminal.”

When addressing the court, Oakes, who began to choke up, brought up what he said was a long-running battle with alcoholism.

“I drank when I succeeded and I drank when I failed and I failed a lot,” he said. “I did not ask for help because I thought that would show a sign of weakness.”

Vyskocil said Oakes would have to enter a drug and alcohol treatment program once in prison.

Oakes said he was remorseful and blamed his decisions on stress and the pressure he felt to succeed.

“I was constantly unhappy, irritated and depressed,” he said. “I wanted everything to be perfect and I demanded that of my wife, my kids and my employees. I regret the path that I followed. I allowed stress and the pressure I was under to dictate my decisions. I have no one to blame but myself. I am aware of the crimes that I have committed, and I have learned from them. I humbly ask for leniency.”

Gural, who had banned Oakes at his tracks well before he was indicted, sat quietly and listened to the testimony. Gural was instrumental in putting together the investigation that led to Oakes and more than two dozen others being indicted on charges related to doping.

“I am glad I came, if for no other reason than to see how justice works,” he said. “I thought everybody did a good job and the judge understood the severity of the situation. It is a tragedy. These horses can't talk for themselves. When I started this, I had friends who told me it was a waste of time, that it was impossible to catch these guys. Getting 5 Stones involved and the fact that so many horses died in California, that got the attention of the U.S. Attorney, and they were willing to prosecute. I spent a great deal of time talking to the U.S. Attorney and convincing them that there were people out there using drugs.”

Oakes owned a handful of Thoroughbreds before his arrest and won 14 races. His horses were trained by Navarro. Oakes was a prominent harness trainer with 1,875 career wins and $29,631,843 in career earnings.

The post Chris Oakes Sentenced to Three Years appeared first on TDN | Thoroughbred Daily News | Horse Racing News, Results and Video | Thoroughbred Breeding and Auctions.

Source of original post