Former New York City Police Department Official Pleads Guilty To Conspiring To Bribe Police Officers In Connection With Gun License Bribery Scheme

  Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today the guilty plea of PAUL DEAN, to his role in a scheme to obtain approval of gun licenses by the New York City Police Department (“NYPD”) License Division in exchange for cash payments and non-monetary bribes.  DEAN, once second-in-command of the License Division, pled guilty to one count of conspiracy to commit bribery before U.S. District Judge Edgardo Ramos.

Manhattan U.S. Attorney Geoffrey S. Berman said:  “Paul Dean betrayed his duty as a former leader within the New York City Police Department to protect and serve the public.  Instead of assuring the integrity of the License Division he oversaw – a division charged with protecting the public safety by restricting access to firearms – he sought to corrupt it by bribing the very officers once under his command.  This Office will continue to stop such corruption which undermines the public’s confidence in the law enforcement officers and institutions sworn to serve us all.”

According to the Indictment and Complaint filed in this case, other public filings, and statements made during the plea proceeding:

DEAN was a member of the NYPD from 1994 through 2016, and was assigned to the License Division from 2008 through 2016.  DEAN, a lieutenant, was one of the highest-ranking members of the License Division and, from approximately November 2014 through November 2015, regularly ran the day-to-day operations of the License Division.  Robert Espinel was a member of the NYPD from 1995 through his retirement in 2016, and was assigned to the License Division from 2011 through 2016. 

From at least 2013 through 2016, multiple NYPD officers in the License Division serving under DEAN’s command, including David Villanueva and Richard Ochetal, solicited and accepted bribes from gun license expediters in exchange for providing assistance to the expediters’ clients in obtaining gun licenses quickly and often with little to no diligence.  They obtained bribes from at least three expediters: Gaetano Valastro, a/k/a “Guy,” Frank Soohoo, and Alex Lichtenstein, a/k/a “Shaya.”  Valastro was a former NYPD detective who retired in 1999, and who operated a gun store out of which he sold guns, gun paraphernalia, and gun safety courses.

The bribes included cash payments, paid vacations, food and liquor, the services of prostitutes, and free guns, among other things.  In exchange, Villanueva, Ochetal, and the other officers approved, expedited, and upgraded licenses for clients of Valastro, Lichtenstein, and Soohoo.  They did so by foregoing standard License Division diligence, including by failing to interview the applicants and failing to investigate the business-based need for applicants to carry guns.  They approved licenses for individuals with substantial criminal histories, including arrests and convictions for crimes involving weapons or violence, and for individuals with histories of domestic violence.

In 2015, dissatisfied with the fact that private gun expediters were profiting thousands of dollars per gun license applicant when DEAN and others did the work to approve those applications, DEAN and Espinel decided to retire and go into the expediting business themselves.  In order to ensure the success of their business, DEAN and Espinel planned to bribe Villanueva and Ochetal, who were still in the License Division, to enable their clients to get special treatment.  They also agreed with Valastro to run their expediting and bribery scheme out of Valastro’s gun store.  According to the plan, Valastro would benefit from the scheme because DEAN and Espinel would steer successful applicants to Valastro’s store to buy guns.  They also tried to corner the expediting market by forcing other expediters to work through them.  DEAN and Espinel attempted to coerce Frank Soohoo, another gun license expediter, into sharing his expediting clients with them by threatening to use their influence in the License Division to shut down Soohoo’s expediting business if Soohoo refused to work with, and make payments to, DEAN and Espinel.

DEAN, 44, of Wantagh, New York, pled guilty to one count of conspiracy to commit bribery.  The charge carries a maximum term of five years in prison.  DEAN is scheduled to be sentenced by Judge Ramos on November 15, 2018.  The maximum potential penalty is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Berman praised the investigative work of the Federal Bureau of Investigation and the New York City Police Department, Internal Affairs Bureau.

TWO MEN SENTENCED TO PRISON IN DEATH OF FDNY BATTALION CHIEF MICHAEL FAHY AT GROW HOUSE BLAST

Rare Instance of Someone Held Criminally Responsible for Conditions That Caused Line-of-Duty Firefighter Death

  Bronx District Attorney Darcel D. Clark today announced that two men have been sentenced to prison after pleading guilty to second-degree Manslaughter in the marijuana grow house explosion that killed FDNY Battalion Chief Michael Fahy. The victim had responded to a reported gas leak in the building in the Kingsbridge section of the Bronx. 

 District Attorney Clark said, “Battalion Chief Michael Fahy spent the last moments of his life saving others. He responded to a gas-infused building and instructed the residents—including one of the defendants—to evacuate. When the gas exploded, it blew off the slate roof and a section of it struck and killed Chief Fahy, and injured FDNY Lieutenant Richard Ruebenacker.

 “This case was an extremely rare instance in which someone is held criminally responsible for conditions that caused the death of a firefighter in the line of duty in New York City. I hope the prison sentences will send a message to those who would be callous about the safety of residents and first responders.” 

 District Attorney Clark said the defendants, Garivaldi Castillo, 33, of 465 W. 166 Street, Manhattan, and Julio Salcedo, 36, of unknown address, pleaded guilty to second-degree Manslaughter and first-degree Criminal Possession of Marijuana on July 13, 2018. As part of the plea agreement, Castillo was sentenced today by Bronx Supreme Court Justice Steven Barrett to two to six years in prison for the Manslaughter charge and five years on the Marijuana charge, to run concurrently. Salcedo was sentenced to one to three years in prison for the Manslaughter charge and four years for the Marijuana charge, to run concurrently.

 According to the investigation, on September 27, 2016, firefighters responded to the two-story building at 300 West 234 Street in Kingsbridge for a gas leak. They found numerous marijuana plants as well as heaters and fertilizer, allegedly maintained by Castillo and Salcedo. The windows on the 2nd floor were covered by foil panels, preventing the 2nd floor from being ventilated of the leaking gas.

 District Attorney Clark thanked NYPD Detectives Paul Sullivan of the 50th Precinct Squad and Peter Cullen of the Special Investigations Squad, as well as FDNY Fire Marshal John Burns.

 

News From DARCEL D. CLARK DISTRICT ATTORNEY, BRONX COUNTY

NYC DOC OFFICER, 3 INMATES AND TWO OTHERS INDICTED FOR SMUGGLING MARIJUANA INTO RIKERS ISLAND

  Bronx District Attorney Darcel D. Clark and New York City Department of Investigation Commissioner Mark G. Peters today announced that a New York City Department of Correction officer, three inmates and two other individuals have been indicted for smuggling marijuana into a Rikers Island jail. 

 District Attorney Clark said, “This officer allegedly betrayed his fellow officers, as well as fostered the criminal network inside and outside of Rikers Island that runs on contraband. Smuggling marijuana or any other item that fuels corruption and violence in jail is a serious crime, no matter who does it. We will continue to work with DOI, DOC, the NYPD and other law enforcement partners to improve safety in the jails. ” 

 District Attorney Clark said Correction Officer Pedro Santiago, 26, is charged with third degree Bribe Receiving, second-degree Promoting Prison Contraband, Official Misconduct, fifth degree Criminal Possession of Marijuana, unlawful Possession of Marijuana and fifth and sixth degree Conspiracy. He was arraigned today and is due back in court on December 6, 2018.

 The other defendants were arraigned earlier this month, and they are charged with third degree Bribery, second-degree Promoting Prison Contraband, and fifth and sixth-degree Conspiracy. The defendants are identified as former inmates Joshua Rodriguez, 27, of Brooklyn; Kelvin Dalrymple, 26, of Queens and Ricardo Brown, 29, of Queens; and Andrew Rivera, 25, of Brooklyn; and Meisha Nelson, 27, of Mount Vernon, NY. 

 According to the investigation, Santiago allegedly accepted between $500 and $800 in exchange for bringing an ounce or more of marijuana into the Anna M. Kross Center on each of three occasions in June and July 2017. The inmate defendants allegedly had instructed defendants Rivera and Nelson to deliver cash and marijuana to Santiago. He then brought the marijuana into the facility.

 An indictment is an accusatory instrument and not proof of a defendant’s guilt.

BRONX MAN SENTENCED TO 10 YEARS IN STATE PRISON FOR RAPE, KIDNAPPING INVOLVING 14-YEAR-OLD GIRL HE SOLD FOR SEX

  Bronx District Attorney Darcel D. Clark today announced that a Bronx man has been sentenced to 10 years in prison and 15 years post-release supervision for rape and kidnapping involving a 14-year-old girl whom he sold to men for sex. 

 District Attorney Clark said, “The sentence of this predator was handed down yesterday, the same day that a new state law was enacted making Sex Trafficking of a Child a B Violent Felony Offense. Under the new law, a person is guilty if he or she advances or profits from prostitution of a person less than 18 years old, without the requirement that the defendant use force, fraud or coercion. Had this law been in effect, this defendant could have been additionally charged with Sex Trafficking of a Child, and could have faced more time in prison on a consecutive sentence.” 

 District Attorney Clark said Jermel Rosario, 43, of 2541 Aqueduct Avenue, was sentenced on August 15, 2018 by Bronx Supreme Court Justice Steven Barrett to 10 years in state prison and 15 years post-release supervision, and he must register as a sex offender. A full final order of protection was issued. Rosario pleaded guilty on April 24, 2018 to second-degree Kidnapping and second-degree Rape.

 According to the investigation, the 14-year-old victim ran away from home, and was introduced to the defendant in June, 2015. She stayed with him, his wife, and their children for several months, during which time the defendant induced her to have sex with men who paid the defendant. Rosario also had sex with the victim on more than one occasion. He called the victim one of his “Cupcake Mafia.” The defendant also tied the victim up, raped her and held her in the apartment after he accused her of stealing property.

  District Attorney Clark thanked NYPD Detectives Anayansi Parris and Adrian Campos of the Vice Major Case Human Trafficking Unit; Grace Oboma-Layat, the victim’s attorney with the Legal Aid Society Juvenile Rights Practice; and Kathryn Kaplan, the victim’s social worker with the Legal Aid Society Juvenile Rights Practice.

Cynthia for New York - ANDREW CUOMO BACKS DOWN FROM FIGHT WITH TRUMP, FOLDS LIKE A CHEAP SUIT

After making his whole campaign about standing up to Trump, Cuomo finally gets the opportunity - and immediately backtracks after being insulted by the President

Convictions and principles aren't exactly his thing (but reading internal polls is!)

  In response to Andrew Cuomo's complete reversal today after being attacked by Donald Trump, Cynthia Nixon's campaign today released the following statement. 

"Instead of being a leader who stands up to Donald Trump, Andrew Cuomo backed down after a few insults from him today, and folded like a cheap suit. It turns out Andrew Cuomo’s tough talk was just that," Cynthia Senior Advisor Rebecca Katz said today. "As governor, Cynthia Nixon will stand up to Trump, and stand by her progressive convictions, regardless of what this horrible president or the polls might say. New York needs that principled toughness now more than ever." 

On Wednesday, Cuomo said in a speech, "We're not going to make America great again. It was never that great." Over the last two days, President Trump has attacked the governor repeatedly for the comment, including in tweets. 

Today, as Trump and Republicans continued to attack him, Cuomo issued the following reversal: "The expression I used the other day was inartful, so I want to be very clear: Of course America is great and of course America has always been great."

In so doing, Cuomo showed he will ditch his convictions if the President attacks him (or his internal polling shows they have damaged him). By contrast, when Vice President Mike Pence attacked Cynthia for her position on abolishing ICE, Cynthia held firm and steadfast, despite criticism from the White House.  

Statement Of Manhattan U.S. Attorney Geoffrey S. Berman On The Conviction Of Norman Seabrook, President Of Correction Officers’ Benevolent Association

  “Norman Seabrook was once one of the most powerful union leaders in this City.  Today he stands convicted of taking a $60,000 bribe to invest $20 million of his union members’ money in a fund that ultimately went belly-up, losing $19 million.  Seabrook’s is the fifth major public corruption conviction by our Office in as many months:  the governor’s right-hand man, the Speaker of the New York State Assembly, the Senate Majority Leader, and the key executive in the Buffalo Billion case.  I commend the hard-working members of the FBI who worked on all of these investigations, and the career prosecutors of this office who prosecuted this case: Martin Bell, Lara Pomerantz, and the chief of our public corruption unit, Russell Capone.  As long as there are public servants who put self-interest above the people they are sworn to serve, public corruption will remain a top priority of this Office.”

Bronx Man Sentenced In Manhattan Federal Court To Over 24 Years In Prison For Conspiracy To Commit Sex Trafficking Of A Minor

  Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that JAMEL GODDARD, a/k/a “Payroll,” was sentenced today by United States District Judge Loretta A. Preska to 292 months in prison for his role as the leader of a sex trafficking conspiracy.  GODDARD pled guilty on February 26, 2018, to one count of conspiracy to commit sex trafficking of a minor.

Manhattan U.S. Attorney Geoffrey S. Berman said:  “For years, Jamel Goddard preyed on vulnerable victims and exploited them for financial gain.  For his brazen and violent conduct, Goddard now faces a substantial prison term.  Today’s sentence should serve as a powerful message to the sex trafficking industry that such reprehensible conduct will not be tolerated.”

According to the Indictment filed in Manhattan federal court, previous court filings, and statements made at public court proceedings:

Between approximately 2012 until approximately July 2017, GODDARD operated and led a sex trafficking and prostitution enterprise (the “Enterprise”) that recruited vulnerable women and a 15-year-old girl and subsequently exploited them for GODDARD’s personal financial gain.  GODDARD typically recruited victims who lacked education, a stable home, and family support.  He required the women he trafficked to engage in sex acts with multiple customers in a single day, operating from hotel rooms in the Bronx, Brooklyn, upstate New York, New Jersey, Connecticut, Rhode Island, and Florida, and using classifieds websites to advertise for commercial sex.  GODDARD kept all or most of the victims’ earnings, which sometimes amounted to thousands of dollars in a single day, for himself.

Throughout the course of the Enterprise, GODDARD employed physical violence and threats of force to exert control over his victims.  On multiple occasions, GODDARD hit or punched victims for, among other things: being, in GODDARD’s view, disrespectful; owing GODDARD money; or holding back their earnings from commercial sex from GODDARD.

During prior periods of imprisonment, GODDARD continued to operate the Enterprise while incarcerated, communicating directives and threats to his victims by phone.  On one such occasion, GODDARD warned a victim to “watch what I do when I get out.”

In addition to his prison sentence, GODDARD, 32, was sentenced to 10 years of supervised release. 

Mr. Berman praised the investigative work of the Federal Bureau of Investigation and the New York City Police Department.

A.G. Underwood Announces Win In Lawsuit Against Bronx & Westchester Car Dealerships For Illegally Overcharging Consumers For Bogus Theft Protection Product

Court Order Permanently Enjoins Victory Mitsubishi of Larchmont and Victory Suzuki of the Bronx from Engaging in Deceptive Business Practices; Requires Dealerships to Pay Restitution, Damages, and Civil Penalties

Since 2015, the Attorney General’s Office Has Obtained Approximately $19 Million in Restitution and Penalties from Fraudulent Auto Dealers

  Attorney General Barbara D. Underwood today announced a court order that permanently enjoins Victory Motors, LLC (Victory Mitsubishi of Larchmont in Westchester) and Victory Auto Group, LLC (Victory Suzuki of the Bronx) from engaging in persistent fraudulent, deceptive, and illegal business practices in the sale of a passive security system and requires the dealerships to pay restitution, damages, and civil penalties. The court order is the result of a lawsuit filed by the Attorney General in December 2017, alleging that the car dealerships deceptively charged as many as 1,100 consumers for an unwanted and bogus anti-theft product that cost up to $4,000 per consumer. Known as an “after-sale” product, this item was often added onto the final cost of the vehicle without the consumer’s knowledge or consent – after the customer had agreed upon the purchase price of a vehicle but before the sale transaction was finalized.

Since 2015, the Attorney General’s Office has obtained approximately $19 million in restitution and penalties from auto dealers; nearly 29,000 consumers have been eligible for restitution under these settlements.

“This court order is a victory for New Yorkers who were ripped off by these car dealerships,” Attorney General Underwood said. “The dealerships’ deceptive conduct led consumers to sign contracts that did not reflect the negotiated sale terms, frequently including unwanted aftermarket add-ons that they did not agree to. My office will continue to protect New York’s consumers and ensure that car dealerships comply with state law.”

In April 2015, the Attorney General received a complaint from a consumer who, after purchasing a vehicle from Victory Mitsubishi in Larchmont, noticed that there was a puzzling charge of $1,995 labeled “Etch” on the bill of sale. When contacted by the Attorney General’s office, the dealership explained that the charge was for a glass etch product – a security add-on in which a serial number, often the vehicle identification number (“VIN”), is etched onto each of the vehicle’s windows. However, the consumer said that she had not been made aware by the dealership that she was purchasing the etch product, and that if she had been made aware, she would have declined to purchase it. After the Attorney General’s inquiry, the dealership made a full refund.

Concerned that other consumers could have been charged for the product without their knowledge or consent, the Attorney General’s office then launched an investigation that found both Victory Mitsubishi of Larchmont and Victory Suzuki of the Bronx – another dealership with common ownership – had charged as many as 1,100 consumers for a product called the Etch Guarantee. 

Consumers were charged amounts ranging from $129 to $3,998. In many instances, the two Victory dealerships added this fee onto the final sales price without the knowledge or consent of the consumers. As a result, the final price paid by the consumers was inflated by the amount charged for the after-sale product.

The two Victory dealerships also failed to clearly disclose the nature of the after-sale product to their customers. The “Vehicle Replacement Discount Allowance,” also known as the “Etch Guarantee,” is supposed to include a permanent etch or engraving of the vehicle’s VIN on the windows of the vehicle – supposedly to deter theft. However, in many instances, the Victory dealerships did not actually etch the VIN onto the windows of the vehicles.

Consumers were also led to believe that there would be a guaranteed credit of up to either $2,500 or $5,000 towards the purchase of a new vehicle should their car be stolen. However, there were numerous conditions and limitations – such as that the credit would not be applied if it eliminated the dealership’s profit on the sale – which rendered the “credit” illusory.

In December 2017, the Attorney General’s office filed a lawsuit against both Victory dealerships because they failed to offer full refunds to the 1,100 consumers who had been charged.

As sought by the 2017 lawsuit, the court order permanently enjoins the Victory dealerships from engaging in fraudulent, deceptive, and illegal sales tactics, and other deceptive practices. Both dealerships are also directed to pay restitution to consumers, damages, and civil penalties after an accounting is provided. 

This case is part of the Attorney General’s wider initiative to end the auto dealer practice of “jamming,” or unlawfully charging consumers for products and services without their knowledge or consent. 

Two Defendants Charged In White Plains Federal Court With Carjacking

  Geoffrey S. Berman, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., Assistant Director-in-Charge of the New York Division of the Federal Bureau of Investigation (“FBI”), and Shawn Harris, Commissioner of the Mount Vernon Police Department (“MVPD”), announced today the unsealing of a complaint charging two defendants with allegedly engaging in carjacking and, in furtherance of the carjacking, possessing, brandishing, and discharging firearms.  The defendants, CHESTER BROWN and TRAVIS SINCLAIR, were presented in White Plains federal court this afternoon before United States Magistrate Judge Paul E. Davison and ordered detained.  BROWN was taken into federal custody on August 15; SINCLAIR was previously in federal custody based on prior pending criminal charges.

As alleged in the Complaint unsealed today in White Plains federal court[1]:

On or about July 27, 2018, BROWN and SINCLAIR, the defendants, entered a car in Mount Vernon carrying guns.  The defendants threatened and punched the driver; BROWN hit the driver with his gun, which discharged.  When the driver ran from his vehicle, at least one of the defendants fired gun shots toward him.  These shots injured a person sitting in another car. 

BROWN and SINCLAIR each face a maximum term of life in prison, and a mandatory term of 10 years in prison. 

The statutory maximum sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants would be determined by the judge.

Mr. Berman praised the outstanding investigative work of the FBI Westchester County Safe Streets Task Force and the Mount Vernon Police Department.

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

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.