Saturday, August 5, 2017

Attorney General Eric T. Schneiderman - Doing Well While Doing Good Seminar


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The Attorney General’s Charities Bureau is pleased to invite you to attend a Charities Presentation in collaboration with Congressmember Adriano Espaillat. The event will include presentations on the Attorney General’s oversight role for New York not-for-profits, duties of Officers and Directors of not-for-profits, transactions by not-for-profits, and fundraising. The presentation is part of the Charities Bureau’s educational program designed to assist non-profit organizations in New York in fulfilling their missions effectively while complying with the legal mandates of this State.
The Symposium will be held on Thursday, August 10, 2017 - 8:30 AM to 11:00 AM  at:

Adam Clayton Powell Jr. State Office Building

163 West 125th Street, 3rd Floor 
New York, NY 10027



If you have any questions, please contact the Attorney General’s Charities Bureau at (212) 416-8402 or charities.bureau@ag.ny.gov


We look forward to seeing you on August 10th. 

Sincerely,

Eric Schneiderman


Friday, August 4, 2017

High-Ranking “Ygz” Gang Member Sentenced To 41 Years In Prison For Stomping Murder Of 16-Year-Old And Other Crimes


  Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that WENDELL BELLE, a/k/a “Delly Dell,” was sentenced this afternoon to a term of 384 months of imprisonment in federal custody, which must run consecutively to a prior sentence of 108 months of imprisonment in state custody, for his crimes as a high-ranking member of the “Young Gunnaz” or “YGz” gang. Those crimes included the April 16, 2012 murder of Moises Lora, a/k/a “Noah,” 16, during which BELLE and several other YGz gang members stomped Lora to death in a courtyard in the Melrose housing projects in the Bronx, and the November 26, 2013 attempted murder of a rival gang member, whom BELLE shot near the Bronx Criminal Courthouse. BELLE was sentenced in Manhattan federal court by United States District Judge Valerie E. Caproni, before whom he previously pled guilty.

Acting Manhattan U.S. Attorney Joon H. Kim said: “Wendell Belle and his fellow gang members stomped to death Moises Lora, a frail, 90-pound, 16-year-old, a few yards from a playground, and Belle later shot a rival gang member on a busy street in the middle of a workday near the Bronx Criminal Courthouse. The sentence imposed holds Belle accountable for his brutal crimes, and we hope that it also brings some comfort to the victims of Belle’s crimes, including the family of Moises Lora. Together with our law enforcement partners, we will continue to aggressively prosecute those who engage in such violence in our communities.”
According to the charging and other documents filed in the case, as well as the evidence presented at a co-defendant’s presentencing hearing and statements made during BELLE’s guilty plea and sentencing proceedings and other court proceedings in this case:
BELLE was a high-ranking member of the Bronx-based street gang known as the YGz. From at least 2005 to 2016, members and associates of the YGz enriched themselves by committing robberies and by selling drugs, such as crack cocaine, heroin, and marijuana, and committing acts of violence, including the murder of rival gang members, rival drug traffickers, and innocent bystanders. As part of his involvement in the YGz gang, BELLE participated in numerous acts of violence in the South Bronx.
For example, as part of his involvement in the YGz gang, BELLE and several other YGz gang members murdered Moises Lora, a member of a rival gang, on April 16, 2012, in the South Bronx. On the date of the murder, a group of YGz members, including BELLE, got drunk, and began arguing among themselves about who had done the most violence for the YGz. This group of YGz members went to the territory of a rival gang in the Melrose housing projects to settle their dispute. Upon arriving at the Melrose projects, BELLE and other members of the YGz saw Lora and attacked him. During the attack, Lora’s skull was fractured in several places. BELLE and the group left Lora to die. Following the stomping, BELLE and several of his confederates bragged to fellow YGz members about what they had done.
In addition, on November 26, 2013, BELLE shot and attempted to kill a rival gang member in the vicinity of the Bronx County Criminal Court.
Mr. Kim praised the outstanding work of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, and the New York City Police Department in the investigation of this case. He also thanked the Bronx County District Attorney’s Office for their support in this case.

Gary Hirst, Former President And Chairman Of The Board Of Gerova Financial Group, Sentenced To Over Six Years In Prison For Defrauding Shareholders Of $72 Million In Stock


   Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced today that GARY HIRST, former president and chairman of the board of Gerova Financial Group, Ltd. (“Gerova”), a publicly traded company listed on the New York Stock Exchange, was sentenced to 78 months in prison for defrauding the shareholders of that company by secretly giving away nearly $72 million of company stock to himself and his co-conspirators for no legitimate business purpose. HIRST was convicted after a two-week trial in September, 2016, before U.S. District Judge P. Kevin Castel.

Acting U.S. Attorney Joon H. Kim said: “Today’s sentence reflects the magnitude of Gary Hirst’s massive fraud scheme, which netted tens of millions in ill-gotten gains. Hirst and his co-conspirators issued large amounts of stock, lied about their roles, and found other novel means to defraud the stockholders of Gerova Financial and the investing public. Ultimately, Hirst’s stock manipulation resulted not in huge returns, but instead in a long prison sentence.”

According to the allegations contained in the Indictment as well as the evidence presented during trial[1]:
From 2009 to 2011, GARY HIRST, along with his co-conspirators Jason Galanis, John Galanis, Derek Galanis, Ymer Shahini, and Gavin Hamels, engaged in a scheme to defraud the shareholders of Gerova, and the investing public, by issuing shares of Gerova stock for no legitimate business purpose and by effecting securities transactions in Gerova stock for the purpose of conferring millions of dollars of undisclosed remuneration on HIRST and his co-conspirators.

As a part of the scheme to defraud, GARY HIRST and Jason Galanis obtained sufficient control over Gerova to be able to cause Gerova to enter into transactions of their own design, and for their benefit, including the issuance of Gerova stock. Jason Galanis obtained this control without causing himself to be identified as an officer or director of Gerova in order to appear to abide by an SEC-imposed bar which forbade him from holding such positions at publicly traded companies. Among other means and methods, HIRST caused over 5 million shares of Gerova stock, which represented nearly half the company’s public float and which were intended for HIRST and his co-conspirators’ ultimate benefit, to be issued to and held in the name of Ymer Shahini, who knowingly served as a foreign nominee for the co-conspirators. HIRST, Jason Galanis, John Galanis, Jared Galanis, Derek Galanis, and Shahini understood that the purpose of the stock grant to Shahini was to disguise the co-conspirators’ true ownership interest in the stock, and to evade the SEC’s regulations for issuing unregistered shares of stock.

In furtherance of the scheme, HIRST and his co-conspirators created fraudulent, back-dated documents to conceal their theft of the stock and cover their tracks. Also in furtherance of the scheme, HIRST deliberately misled Gerova’s other officers, including its chief financial officer, and caused Gerova to fail to disclose the stock giveaway in Gerova’s public filings with the SEC. In a telephone call with Jason Galanis that was recorded by the FBI, HIRST gloated, upon reviewing a draft of one such public filing, “That whole, that whole Shahini thing, I mean, nobody, they totally missed it. Everybody.”

At the same time, and as a further part of the scheme to defraud, HIRST’s co-conspirators opened and managed brokerage accounts in the name of Shahini (the “Shahini Accounts”), effected the sale of Gerova stock from the Shahini Accounts, and received and concealed the proceeds, knowing that this activity was designed to conceal from the investing public the fraudulent nature of the co-conspirators’ ownership of and control over the Gerova stock.

Jason Galanis, among others, also fraudulently induced investment advisers, including Gavin Hamels, to purchase shares of Gerova stock in the investment advisers’ client accounts by offering compensation and/or other benefits to the respective investment adviser. By causing the purchase of Gerova stock at the time, quantity, and/or price of their choosing, the co-conspirators were able to, among other things, effectuate the sale of large quantities of Gerova stock from the Shahini Accounts that the co-conspirators controlled while artificially maintaining the price of Gerova stock through coordinated matched trading. Such coordinated trading served to manipulate the market for Gerova stock and deceive the investing public.

As a result, GARY HIRST, Jason Galanis, and their co-conspirators reaped nearly $20 million in profits, including approximately $2.6 million that benefitted HIRST directly.


In addition to the prison term, GARY HIRST, 64, was sentenced to 1 year of supervised release. HIRST was also ordered to forfeit $19,038,650.53, and restitution to be determined at a later date.

Jason Galanis, who pled guilty to two counts of conspiracy to commit securities fraud, one count of securities fraud, and one count of investment adviser fraud, was sentenced to a term of 135 months in prison on February 15, 2017. John Galanis and Derek Galanis, each of whom pled guilty to one count of conspiracy to commit securities fraud and one count of securities fraud, were each sentenced to a term of 72 months’ imprisonment on February 16, 2017. Jared Galanis, who pled guilty to misprision of a felony, was sentenced to a term of 150 days in prison on January 11, 2017. Gavin Hamels, who pled guilty to one count of conspiracy to commit securities fraud, one count of securities fraud, and one count of investment adviser fraud, is scheduled to be sentenced before Judge Castel on November 29, 2017. Defendant Ymer Shahini remains a fugitive.

Mr. Kim praised the work of the U.S. Postal Inspection Service and the Federal Bureau of Investigation, and thanked the SEC.

This charges were brought in connection with the President’s Financial Fraud Enforcement Task Force. task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it is the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
[1] As for co-defendant Ymer Shahini, who remains a fugitive, the description of the charges set forth herein constitute only allegations.

Manhattan U.S. Attorney Announces Arrest In Scheme To Defraud Investors In Purported Medical And Pharmaceutical Businesses


  Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today the unsealing of a criminal Complaint charging PATRICK MURACA with wire fraud, in connection with a scheme to defraud investors in purported medical and pharmaceutical companies owned and controlled by MURACA. MURACA was arrested this morning in Pittsfield, Massachusetts, and is expected to be presented in federal court in Springfield, Massachusetts, later today.

Acting U.S. Attorney Joon H. Kim said: “Patrick Muraca promised investors their money would be used to expand his businesses, but as alleged, he instead used those funds to line his pockets. Thanks to the investigative work of the FBI, Muraca must now answer for his fraud.”

FBI Assistant Director-in-Charge William Sweeney said: “The prevalence of fraud in today’s society is simply troubling. Misappropriating investor funds for one’s own indulgences will never be taken lightly, and fraud of any kind will be thoroughly investigated.”

According to the allegations in the Complaint[1] unsealed today in Manhattan federal court:

MURACA, the former President of Nuclea Biotechnologies, Inc., which filed for bankruptcy in August 2016, founded two new businesses in 2016: NanoMolecularDX LLC (“NanoMolecular”) and MetaboRx LLC (“Metabo”). In sworn testimony during a deposition conducted by the Securities and Exchange Commission (“SEC”) in April 2017, MURACA stated that NanoMolecular’s primary business is to develop medical diagnostic tests and that Metabo is a pharmaceutical company.

From at least in or about May 2016 up to and including in or about June 2017, MURACA solicited and received a total of more than approximately $1 million from investors by making false and misleading representations that the investors’ money would be used to expand the business of NanoMolecular and Metabo. MURACA then misappropriated hundreds of thousands of dollars of these investors’ funds and used the misappropriated money for personal expenses. For example, MURACA spent tens of thousands of dollars of investor funds on rent, utilities, and food distributor expenses related to the operation of a restaurant owned by his fiancée. In addition, MURACA wrote approximately $176,000 in checks to himself from the bank accounts associated with NanoMolecular and Metabo, and he used investor funds to make purchases of hundreds of dollars each at a cigar store, an online ticket retailer, and a tattoo and piercing establishment, among other businesses.


MURACA, of Pittsfield, Massachusetts, is charged in the Complaint with one count of wire fraud, which carries a maximum sentence of 20 years in prison. The maximum potential sentence 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. Kim praised the investigative work of the FBI in this case, and thanked the SEC, which has filed civil charges in a separate action.

The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorney David Abramowicz is in charge of the prosecution.

The charge contained in the Complaint is merely an accusation, and the defendant is presumed innocent unless and until proven guilty.
 
[1] As the introductory phase 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.

The New York League of Conservation Voters Announces 2017 Endorsements for New York City


 NYLCV has announced its roster of endorsements in New York City for the 2017 election cycle. Each year, NYLCV develops candidate questionnaires that detail its policy priorities for fighting climate change, conserving land and water and protecting public health. This year, NYLCV received 86 questionnaires and made 36 endorsements in New York City. The screening process also included interviews of candidates by NYLCV's New York City Chapter Board, which then made recommendations. These recommendations were given final approval by NYLCV's State Board of Directors. 

Questionnaires of endorsed candidates are available on NYLCV's website, found within each candidate's profile page.

NYLCV is the only non-partisan statewide environmental organization in New York State that uses the power of endorsements to hold elected officials accountable for progress on environmental priorities. 

"Officials in Washington are responding to climate change by burying their heads in the sand so cities must fill the vacuum and lead. These candidates represent both our most dedicated allies and an exciting group of new environmental leaders who will be champions for New York City. We are confident that collectively, they can continue to implement the goals of OneNYC, conserve our clean water and open spaces and protect our public health, particularly in the most vulnerable communities," said Marcia Bystryn, President of the New York League of Conservation Voters

CountyFirst NameLast NameOffice / PositionDistrictNYC Council Scorecard Term Average
CitywideBillde BlasioMayor n/a
CitywideLetitiaJamesPublic Advocate n/a
CitywideScottStringerComptroller n/a
BronxRubenDiaz, Jr.Borough President n/a
BronxAndrewCohenCity Council11
BronxMarjorieVelazquezCity Council13
BronxRitchieTorresCity Council15

Applebee's presents Dinner and a free Movie: "SMURFS: The Lost Village" | Sunday | August 13, 2017 | 5:00-7:30pm



Applebee's - Metro Center Atrium
1776 Eastchester Road.
718-792-5000

Public Hearing Scheduled for the 5731 Broadway-Families with Children Shelter Contract


  This is for the Stagg building located at 5731 Broadway where Praxis Corp. and the Department of Homeless Services want to open 83 units of transitional housing.

NOTICE IS HEREBY GIVEN that a Contract Public Hearing will be held on Thursday, August 17, 2017, at 1 Centre Street, Mezzanine, Borough of Manhattan, commencing at 10:00 A.M., on the following:


IN THE MATTER OF a proposed contract between the Department of Homeless Services of the City of New York and the contractor listed below, to operate a Stand Alone Transitional Residence for Homeless Families. The term of this contract will be from August 15, 2017 to August 14, 2022 with an option to renew from August 15, 2022 to August 14, 2026.

Vendor/Address:
Praxis Housing
Initiatives Inc.
17 Battery Place, Suite 307
New York, NY 10004

Amount: 
$26,413,130.00

The proposed contractor has been selected by means of the Competitive Sealed Proposal method (Open Ended Request for Proposals), pursuant to Section 3-03 (b) (2) of the Procurement Policy Board (PPB) Rules.

A draft copy of the proposed contract is available for public inspection at the Human Resources Administration of the City of New York, 150 Greenwich Street, 37th Floor, New York, NY 10007, on business days, from August 4, 2017 to August 17, 2017, excluding Saturdays, Sundays and holidays, from 10:00 A.M. to 5:00 P.M. If you need to schedule an inspection appointment and/or need additional information, please contact Paul Romain at (929) 221-5555.

Marjorie Velázquez Launches Community Petition over 2800 Bruckner Blvd Social Service Clearinghouse Concerns


Bronx Community Board 10 Treasurer and City Council candidate collects nearly 200 signatures from local residents amid recently-announced tenant eviction, concern over rumored plans to convert office building into social service clearinghouse

Change.org petition seeks greater community input and the halting of work and activity at 2800 Bruckner Blvd.; Velázquez also pens letter to property owner and developer seeking answers

  Amid growing concerns over the possible conversion of a Throggs Neck office building into a social service clearinghouse, Bronx Community Board 10 Treasurer and Democratic candidate for City Council Marjorie Velázquez has launched a petition urging more input from local residents and cessation of work currently underway. In addition to the effort, which has already gathered hundreds of signatures, Velázquez is also writing a letter to the landlord and developer to seek answers for the families living in the largely residential community.

"Throggs Neck families are up in arms. The hundreds of petition signatures we've gathered in the last few days reflects just how concerned we are about this property," said Marjorie Velázquez. "Local businesses and offices are being evicted so that developers can have their way with the site and force something on us that we were not informed about or had any opportunity to comment on. As a resident and member of this community, I will fight for the answers we deserve."

This past weekend, Velázquez launched a petition on the site change.org calling for an end to work at 2800 Bruckner Boulevard in the Throggs Neck section of the Bronx. Velázquez's actions were spurred by growing confusion amid residents over the future of the commercial office property after office tenants were recently served with 30-day eviction notices. During this time, nearby residents also reported seeing beds and furniture moved into the property, and residents found job postings for substance abuse staff to work at the location, prompting fears that the site will be converted into a possible social service clearinghouse.

In just a few days, the petition has gathered over 190 signatures. The dozens of comments left by signers express a mix of fear, anger and frustration over the lack of community input in the proposed change, as well as concerns over the future of the site.

Velázquez echoes these concerns in a letter penned today to Steward Redevelopment and Bruckner East LLC, the two entities tied to the property. Velázquez notes attending a July 28th  evening meeting with local community leaders to discuss the issue, and that no advance notice was given prior to the evictions. Velázquez urges the companies to halt all work and present plans to the community board before any additional steps are taken.

"My community is fearful that the building will become a clearinghouse for programs that would negatively impact our quality of life. I stand with my neighbors to ensure that this building will not become a detriment to our neighborhood," said Velázquez.