“Wolf Of Airbnb” Pleads Guilty In Connection With PPP And Real Estate Fraud Scheme

 

 Damian Williams, the United States Attorney for the Southern District of New York, announced that KONRAD BICHER pled guilty today to wire fraud in connection with his fraudulent operation of real estate companies, including by entering lease agreements for residential apartment units in Manhattan on false and fraudulent pretenses and by making false statements to obtain loans guaranteed by the United States government.  BICHER pled guilty before U.S. Magistrate Judge Sarah L. Cave.

According to the allegations in the Complaint, Indictment, other court documents, and statements made in Court:

Beginning in at least February 2019, BICHER, and/or individuals working in concert with BICHER, began renting apartment units (the “Units”) in Manhattan.  The Units were leased pursuant to lease agreements which required that the lessee make monthly rental payments and also included clauses that prohibited the lessee from renting the Units to third parties on a short-term basis and/or included clauses that prohibited the lessee from subletting the Units to third parties without written consent of the owner.  Despite the requirement to make monthly rental payments, BICHER failed to make payments as required by the lease agreements.  For many of the Units, BICHER also refused to vacate the Units after the expiration of the lease agreements.  During the period of time that BICHER failed to make required rental payments, including the period of time after a lease agreement expired and the premises had not been vacated, BICHER derived income by renting the Units on a short-term basis, including by posting the Units for rent on various online marketplaces, such as Airbnb, Inc. (“Airbnb”). 

Between in or about July 2019 and in or about April 2022, BICHER and his associates failed to make more than $1,000,000 in payments pursuant to the Lease Agreements or, for the period of time after the expiration of the Lease Agreements, based on the estimated fair market value for the Units.  During this period, BICHER caused the Units to be listed for short-term rent on Airbnb and at least one other online marketplace for short-term rentals, resulting in at least $1,170,000 in rental income to BICHER and his associates.

Throughout the course of this scheme, the lessors of the Units made numerous efforts to recover rental payments from BICHER and/or to stop BICHER from continuing to rent the Units on a short-term basis, including by initiating civil litigation against BICHER.  BICHER relied on legal protections intended to benefit tenants, including tenant protections adopted in connection with the COVID-19 pandemic, in order to oppose the lawsuits.  Despite relying on tenant protections for New Yorkers in need, BICHER continued to generate revenue by renting certain Units on a short-term basis. 

In addition, between at least in or about April 2021 until in or about July 2021, BICHER obtained government-guaranteed loans through a loan program of the United States Small Business Administration designed to provide relief to small businesses during the COVID-19 pandemic, namely the Paycheck Protection Program (“PPP”).  In furtherance of this scheme, BICHER submitted at least four applications for PPP loans on behalf of at least three entities and obtained over $565,000 in loan proceeds.  These PPP applications contained fraudulent documents and false information.  For example, in connection with the PPP applications, BICHER submitted tax documents which were purportedly filed with the Internal Revenue Service (“IRS”).  These documents were falsified in that the entities seeking PPP loans had not actually filed the purported tax returns with the IRS, and BICHER has not otherwise reported the purported income to the IRS.

During the course of the scheme, BICHER referred to himself as the “Wolf of Airbnb” and explained to media outlets that this nickname referred to the fact that he was “hungry and ruthless enough to get on top of the financial ladder” and had the “ferocity…of a wolf, because wolves are territorial, vicious, and show no mercy when provoked.”

BICHER, 31, of Hialeah, Florida, pled guilty to one count of wire fraud, which carries a maximum sentence of 20 years in prison.  BICHER also agreed to forfeit $1,740,407.12 and to make restitution to victims in the amount of $1,985,251.

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 a judge. 

Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation.

Attorney General James Announces Conviction of Former Suffolk County Investment Advisor for Defrauding New Yorkers of Nearly $7 Million

 

Shaun Golden Sentenced to One to Three Years in Prison, Pays More Than $2.8 Million in Restitution, and Is Barred from Securities Industry

New York Attorney General Letitia James today announced the sentencing of former investment advisor Shaun Golden, 48, owner of Golden Wealth Management, Inc. (GWM), for operating a multi-million-dollar securities and loan fraud scheme that cheated dozens of New Yorkers out of nearly $7 million. Between 2015 and 2019, Golden obtained millions in investments and used the money from his victims — many of whom were at or near retirement — to fund his personal real estate investment company, Golden Wealth Property, LLC (GWP). As a result of his schemes, many people lost their life savings, and some were forced to sell their assets or adjust their mortgages to stay afloat. Additionally, some individuals were unable to afford advanced medical care or contribute to their grandchildren’s college expenses. Golden — who pled guilty in August 2022 to six felony charges — was sentenced today to one to three years in prison, after already paying over $2.8 million in restitution. As part of his sentence, Golden must sell two Vermont properties with proceeds payable to his victims and agreed to an additional $3.5 million debt owed to his victims. Golden is also banned from New York’s securities industry for the period of his parole. 

“New Yorkers deserve the peace of mind that the professionals handling their investments aren’t swindling them,” said Attorney General James. “Shaun Golden betrayed those who trusted him and stole millions out of their hard-earned life savings. His crimes upended lives and harmed vulnerable New Yorkers who had spent decades working so they could retire in dignity. Today’s sentencing brings this criminal to justice, and my office will continue to ensure that those who defraud New Yorkers face the consequences of their harmful actions.”

As outlined in the complaint, Golden targeted New Yorkers who had been his long time GWM clients, including former schoolteachers and their relatives who needed help saving money for retirement. In late 2015, when Golden was no longer allowed to use a trading platform for his clients’ accounts, he began transferring their funds to his GWP company without seeking their oral or written approval. He later advised clients that the stock market was too volatile and recommended real estate as a safer investment.

In June 2016, after collecting approximately $5 million in funds from his victims, Golden diverted more than $165,000 to pay a personal tax bill and even purchased a mansion in Bridgehampton, New York under his own name. Soon after, he applied for a $3 million home equity loan on the mansion by submitting falsified bank statements that significantly inflated his assets. In June 2017, Golden purchased five lots of land in Wilmington, Vermont for $1.5 million under his own name again. In February 2018, he secured a $2.75 million construction loan to build houses on the land by submitting falsified bank statements that inflated his assets.  

After purchasing the land, which housed a members-only ski resort club, Golden learned that the ski resort club owed hundreds of thousands in property taxes, had defaulted on obligations with contractors, and owed tens of thousands in utility bills. He failed to disclose these issues to investors, and instead continued to solicit an additional $500,000 in investments from his GWM clients. In 2019, when his victims began making withdrawal requests, he lied to them, saying that their money had been lost due to financial difficulties.

Attorney General James thanks the Financial Industry Regulatory Authority (FINRA), its Criminal Prosecution Assistance Group, the U.S. Securities and Exchange Commission, and the New York State Department of Financial Services for their valuable assistance.

DASHBOARD UPDATE: NYC Comptroller Releases New Monthly Data on Department of Correction Operations

 

The New York City Comptroller’s Office released its monthly update to the Department of Correction (DOC) Dashboard, available here.

Key monthly DOC metrics show:

• As of June 1, 2023, the number of people in DOC jails was 6,004, a decrease of 20 people from May 1.

• 1,933 people entered DOC jails in May, compared to 1,860 people in April.

• DOC released 225 more people (1,956 total) in May than in April.

• In May, the average time spent in custody increased to 104 days – a six-day increase from April.
• In April, Rikers held 1,186 people with a serious mental illness, a slight increase  from 1,158 people in March.
• Incarcerated individuals missed their medical appointments 10,181 times in April, 98 fewer missed appointments than in February.

• DOC had 75 fewer uniformed officers between April and May, with uniformed staff totaling at 6,516.
• Violence incidents all increased from April to May: 40 more fights, 25 more slashings and stabbings, and one more assault.
• Although the number of use of force incidents against incarcerated individuals decreased in May, the rate of incidents per capita is higher due to a decline in the number of uniformed officers and incarcerated individuals.

• Judges assigned cash bail to 1,216 people in April (the latest data available). More than 1,000 people were assigned cash bail every month for the last 11 months.

Key data points from this month’s dashboard highlight pressing issues within the City’s jail system, including a rise in detained individuals with serious mental illness and more violent incidents. The DOC’s recent decision to discontinue disclosing deaths in custody sparked widespread concerns about transparency and accountability within the jail system. Comptroller Lander and Public Advocate Jumaane Williams conducted an oversight visit to Rikers after the Federal Monitor’s latest alarming reports in early June. Chief District Judge Laura Swain is now considering the appointment of a federal receiver to address the system’s challenges.

“The rollback of transparency coupled with the ever-growing number of detained people on Rikers amplifies the urgent need for management change. Judge Swain’s consideration of a federal receiver represents a significant signal toward the need for new management of City jails,” said Comptroller Brad Lander.

The Comptroller’s dashboard, first published in August 2022, monitors pervasive issues in the City’s jails, including staff absenteeism, missed medical appointments, and incidents of violence among detained people and staff. It also tracks the jail population every month and length of stay. The Comptroller’s office publishes data to this dashboard monthly to provide increased transparency and accountability over the City’s jail system.

View the DOC Dashboard here.

Governor Hochul Welcomes DEC Forest Ranger Crew Returning From Fighting Wildfires in Canada

 

Forest Ranger ‘Crew Boss’ Returns from Nova Scotia

  Governor Kathy Hochul today welcomed home New York State Department of Environmental Conservation Forest Rangers who spent two weeks battling wildfires in Canada. The first Forest Ranger returned last week after 14 days in Nova Scotia, where he served as Crew Boss to a wildland firefighting team assigned to the Barrington Fire Complex, which burned approximately 58,100 acres. Seven Forest Rangers returned on Sunday, June 25, after spending 14 days in Quebec working on multiple fires.

"We are all too familiar with the wildfires in Canada this month, but we’re fortunate to have brave men and women ready to mobilize to where help is needed the most,” Governor Hochul said. “New York’s Forest Rangers spent two weeks in harm’s way separated from friends and family to help protect our neighbors in the north, and I thank them for their service.”

New York State Department of Environmental Conservation Commissioner Basil Seggos said, "New York’s wildland firefighters have been supporting efforts to fight wildland fires across the country and beyond for more than 40 years. When there is a crisis, DEC Forest Rangers answer the call. Oftentimes, it’s out west, but in this case, it was for our neighbors to the north. As experts in incident command, DEC Forest Rangers often lead dozens of firefighters in the daunting task of containing a wildfire. I thank them for their dedication and sacrifice always."

Returning home are:

June 18 from Nova Scotia

Arthur Perryman II – Warren County

June 25 from Quebec

Matthew Adams – Essex and Franklin Counties

Anastasia Allwine – Greene County

Chester Lunt – Cayuga, Cortland, and Onondaga Counties

Christopher Pelrah – Herkimer and Oneida Counties

Robert Praczkajlo – Essex and Franklin Counties

William Roberts – Chemung, Schuyler, and Seneca Counties

Howard Thomes – Jefferson and Lewis Counties

Throughout Canada, more than 2,600 fires have burned an estimated 13 million acres. The first wildfire in Nova Scotia this year started in April. Since then, 212 wildfires have burned more than 62,272 acres. On June 8, Governor Hochul announced that a team of seven DEC Forest Rangers was deploying to assist with efforts to help contain the wildfires in Quebec. At the same time, New York State was under an Air Quality Health Advisory due to the smoke from those wildfires that traveled across state borders.

The Department of Environmental Conservation (DEC) and Department of Health (DOH) issue Air Quality Health Advisories when DEC meteorologists predict levels of pollution, such as ozone or smoke-induced fine particulate matter (PM2.5) are expected to exceed a federal Air Quality Index (AQI) value of 100. The AQI was created as an easy way to correlate levels of different pollutants to one scale, with a higher AQI value indicating a greater health concern. The latest AQI Forecast can be viewed here.

These two missions are the first time New York State Forest Rangers have been deployed to Canada since wildfires in Quebec in 2005. In 1979, New York sent its first firefighting crew to assist western states with large wildfires. On average, one or two crews are sent as needed to assist with wildfires nearly every year. In addition to helping contain wildfires and minimize damage, these crews gain valuable experience that can be utilized fighting wildfires and managing all-risk incidents in New York.

Personnel and travel expenses for the New York crews are either paid directly by the U.S. Forest Service or reimbursed to New York State based on a mutual aid agreement between states and federal land agencies.

Alexandria Ocasio-Cortez for Congress - Together we shocked the entire political establishment

 

Five years ago today, Alexandria shocked the world by winning her primary election against a 20-year incumbent who outspent her 10-1. Everybody counted our movement out, saying that we could never beat the establishment.

Photo by José A. Alvarado Jr.

Alexandria launched her campaign for Congress in 2017 and won the primary election on June 26, 2018. She won by building a grassroots movement, meeting people where they were, and doing the hard work of canvassing and knocking on every door she could — Alexandria knocked on doors and wore down her shoes until rainwater came through.

Today, we are still proving the naysayers wrong.

We have built a strong multi-generational, multi-ethnic coalition fighting for livable wages, universal health care, and a green future, and accomplished more together than anyone ever expected.

Your support has allowed us to build a different kind of campaign. A campaign that truly centers community organizing and building relationships year-round — not just before elections. Alexandria still doesn’t curry favor with billionaires or host fancy cocktail party fundraisers. This is still a people-powered operation that relies on thousands of small contributions.

→ On the fifth anniversary of AOC’s primary win, will you donate $3 right now to help Alexandria continue to fight for a brighter future for all?

Thank you for being a part of this movement. Together we will continue to fight for racial, social, economic, and environmental justice.

Pa’lante,

Team AOC

Permits Filed For 21 East 204th Street In Jerome Park, The Bronx

 

Permits have been filed for a four-story residential building at 21 East 204th Street in Jerome Park, The Bronx. Located between Grand Concourse and Villa Avenue, the lot is near the Bedford Park Boulevard subway station, serviced by the B and D trains. Selvie Domi of 21 East 204th Associates LLC is listed as the owner behind the applications.

The proposed 60-foot-tall development will yield 5,718 square feet designated for residential space. The building will have 13 residences, most likely rentals based on the average unit scope of 439 square feet. The concrete-based structure will also have a cellar, penthouse, and a 25-foot-long rear yard.

Anthony Cucich Architect is listed as the architect of record.

Demolition permits were filed back in 2016 for the three-story building on the site. An estimated completion date has not been announced.

MAYOR ADAMS ANNOUNCES NEW YORK CITY’S DNA TESTING LAB ACHIEVES 30-DAY TURNAROUND TIME FOR TESTING GUN CRIME EVIDENCE

Less Than One Year After Announcement of Nation’s First DNA Gun Crimes Unit, OCME Fulfills Promise of Unprecedented 30-Day Turnaround Time

 

NYC Now Home to Fastest Big City Lab for Testing and Analysis of Evidence in Gun Crimes in Nation

New York City Mayor Eric Adams and New York City Chief Medical Examiner Dr. Jason Graham today announced that, less than one year after the formation of the nation’s first-ever DNA Gun Crimes Unit at a public DNA laboratory, the New York City Office of Chief Medical Examiner (OCME) has achieved a 30-day or less turnaround time for testing and analysis of evidence from gun crimes. This unprecedented achievement not only delivers on a promise by Mayor Adams and Dr. Graham, but also secures New York City’s position as home to the fastest big city lab for the testing and analysis of evidence in gun crimes in the nation — strengthening public safety and the city’s criminal justice system.

 

“Public safety is the prerequisite to prosperity, and reducing gun violence is central to that mission. Last year, when we announced the DNA Gun Crimes Unit’s creation, we promised that this would be the fastest lab to analyze and test evidence from gun crimes. Today, we are proud to announce that the testing lab has achieved a 30-day or less turnaround time for testing and analysis of evidence from gun crimes,” said Mayor Adams. “New York City is now home to the fastest big city lab for testing and analyzing evidence. This means those involved in gun crime cases are being brought to justice faster, and we are getting more guns off the street. This is the real CSI: New York, where we are helping the criminal justice system to convict the guilty, exonerate the innocent, and keep our communities safe. And to those who commit crimes with a gun: The evidence doesn’t lie. Science is coming for you fast.”

 

“Justice delayed is justice denied, so the timely and accurate resolution of cases is critical to public safety,” said Deputy Mayor for Public Safety Philip Banks III. “New York City is once again setting the gold standard for innovation and progress in the fight against gun violence.”

 

“OCME is at the forefront of the city’s person-centric approach to serving each person with care, compassion, and fairness,” said Deputy Mayor for Health and Human Services Anne Williams-Isom. “The dedicated DNA Gun Crimes Unit is staffed by thoughtful scientists who actualize OCME’s mission of science serving justice. The agency has achieved a nation-leading turnaround time with gun crime cases that helps law enforcement and families striving for justice and helps keep New Yorkers safe.”

 

“Gun violence poses an urgent threat to public safety and exacts a profound toll on the health of our communities that reverberates across generations, which is why the Office of Chief Medical Examiner dedicates our scientific expertise to this important public health issue,” said Chief Medical Examiner Dr. Graham. “When we launched the DNA Gun Crimes Unit last year, our testing turnaround times already stood among the best in the nation, and now, we are proud to have reached the next level in quality and timely service to New Yorkers.”

 

“The city’s scientific advances in testing and analyzing evidence from gun crimes underscores the NYPD’s tireless work to eradicate gun violence and ensure public safety for all New Yorkers,” said New York City Police Department (NYPD) Commissioner Keechant L. Sewell. “The ongoing successes now being achieved, in rapidly developing crucial evidence in criminal cases, reflects our seamless communications and coordination with all our government partners. It is built upon the NYPD’s fundamental tenets of timely, intelligence-driven policing for the 21^st century.”

 

Funded by an investment of $2.5 million, OCME has hired and trained 24 new forensic scientists to ensure a fully staffed DNA Gun Crimes Unit dedicated solely to the testing and analysis of evidence from gun crimes throughout the five boroughs. Funding also supported upgrades in laboratory management software, the purchase of new equipment, and supplies that helped achieve these historic results.

 

During the month of May 2023, OCME achieved a 28-day turnaround time for the DNA testing of gun crime evidence, surpassing the initial 30-day goal for the first time. The 30-day turnaround time is measured from when testing is requested by a district attorney to the distribution of the case report to the district attorney and the NYPD.

 

Faster processing of DNA gun crime evidence helps move cases through the criminal justice system to keep communities safer. Recent cases handled by the OCME laboratory included the shooting of a New York City police officer in Jamaica, Queens, in April 2023, as well as the fatal shooting of a deli worker on the Upper East Side of Manhattan in March 2023, where swift analysis of DNA evidence contributed to prompt indictments of suspects in both cases.

 

While the 28-day turnaround time for testing gun crime evidence is unprecedented, the OCME DNA laboratory continues to perform at high levels across the board. The turnaround time for all violent crimes, including homicides, sexual assaults, robberies, and assaults, stood at 33 days for the month ending May 2023 — a benchmark achieved by no other big city forensic laboratory.

 

OCME operates the largest public DNA crime laboratory in North America, responsible for testing physical evidence from criminal cases within New York City. The lab tests approximately 50,000 items of evidence each year across all categories of crime.

 

Managed and staffed by scientists in OCME’s Department of Forensic Biology, the city’s DNA laboratory serves the criminal justice system as an independent resource, with testing results used to convict the guilty and exonerate the innocent. The lab is accredited by the American National Standards Institute National Accreditation Board and the New York State Forensic Laboratory Accreditation program.

Dismal Early Voting Numbers

 

The total number of early voters compiled by the New York City Board of Elections through the nine days of Early Voting.

June 25, 2023 - Day 9

 

• Manhattan - 10,648
• Bronx - 7,378
• Brooklyn - 12,230
• Queens - 14,355

 

Total Number of Early Voting Check-Ins 44,611

*As of Close of Polls – Unofficial and Cumulative