U.S. Attorney Announces Charges In Four Separate Insider Trading Cases Against 10 Individuals, Including Drug Company Employees, Investment Firm Executive Director, And SPAC Investors

 

Pfizer Employee and Associate Charged with Insider Trading Based on Non-Public Drug Trial Results for COVID-19 Treatment

Investment Firm Executive Director Charged with Insider Trading Based on Information Stolen from a Major Investment Bank

SPAC Investors Charged with Insider Trading by Exploiting Their Privileged Access to Information to Engage in Illegal Open Market Trades

Network of Individuals, Including Police Chief, Charged with Insider Trading Based on Inside Information About an Impending Merger

 Damian Williams, the United States Attorney for the Southern District of New York, and Michael J. Driscoll, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced charges in four separate insider trading cases, collectively charging 10 defendants with securities fraud and other related charges.  These cases involve trading based on confidential information misappropriated from entities and individuals in a variety of industries and reflect the U.S. Attorney’s Office for the Southern District of New York’s broad investigative reach and continued resolve to root out corruption in our financial markets.  The defendants in these cases collectively generated more than $30 million dollars from illegal securities trading based on material, non-public information (“MNPI”) that was stolen from numerous sources.

FBI Assistant Director in Charge Michael J. Driscoll said: “The charges announced today center on the defendants’ alleged participation in illegal securities trading based on material, non-public information.  Insider trading schemes not only yield ill-gotten gains for those directly involved but also damage the public’s faith in the fairness of our financial markets.  Today’s announcement serves as a reminder to anyone attempting to tilt the balance in their direction using insider trading, investigating this illegal behavior is a top priority of the FBI.”

According to the allegations contained in the Indictments filed in federal court and other publicly available information:[1]

United States v. Amit Dagar and Atul Bhiwapurkar

In or about November 2021, AMIT DAGAR and ATUL BHIWAPURKAR participated in an insider trading scheme to reap illicit profits from options trading based on inside information about the results of clinical trials of Paxlovid, a medicine used to treat COVID-19.  DAGAR was an employee of Pfizer Inc. (“Pfizer”) and assisted in managing the data analysis in certain clinical drug trials. 

On or about November 4, 2021, DAGAR learned that a Pfizer trial of the drug Paxlovid, a medicine designed to treat mild to severe COVID‑19 infection, had produced positive results.  The results were confidential and meant to remain so until Pfizer publicized them on or about November 5, 2021.

Later that same day, and while those results remained confidential, DAGAR purchased short-dated, out-of-the-money call options in Pfizer stock.  DAGAR also tipped his close friend, ATUL BHIWAPURKAR, about the coming drug results and BHIWAPURKAR also purchased short-dated, out-of-the-money Pfizer call options that expired approximately two weeks later.  BHIWAPURKAR also tipped another friend (“Individual-1”), who similarly purchased short-dated, out-of-the-money Pfizer call options that expired approximately three weeks later.

The next day, on or about November 5, 2021, and before the market opened, Pfizer publicly released results of its Paxlovid study.  That same day, following the publication of the positive results, Pfizer’s stock price increased substantially, opening — and eventually closing — more than 10% higher than the prior day’s closing price.  In the coming weeks, DAGAR, BHIWAPURKAR, and Individual-1 sold their Pfizer call options at significant profits, totaling approximately more than $350,000.  

DAGAR, 44, of Hillsborough, New Jersey, who was arrested this morning, has been charged with four counts of securities fraud, each of which carries a maximum sentence of 20 years in prison, and one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison.

BHIWAPURKAR, 45, of Milpitas, California, who was arrested this morning, has been charged with two counts of securities fraud, each of which carries a maximum sentence of 20 years in prison, and one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison.

United States v. Jordan Meadow

From at least in or about March 2021 through in or about May 2022, JORDAN MEADOW, a registered broker at a brokerage firm based in New York, New York, used inside information stolen from a major investment bank in New York City (“the Investment Bank”) to make millions of dollars in illegal profits trading stock on behalf of himself and his clients.  In or about late 2020, MEADOW offered and agreed to provide items of value, such as Rolex watches, to a friend, Steven Teixeira, in exchange MNPI that Teixeira obtained by secretly accessing confidential work documents on a personal laptop computer (the “Laptop”) belonging to Teixeira’s then-girlfriend, an executive assistant at the Investment Bank.  The documents on the Laptop contained MNPI about planned corporate acquisitions in which the Investment Bank served as an advisor.

In or around late July 2021, Teixeira secretly accessed confidential work information on the Laptop and learned that in less than a week, Penn National Gaming, Inc. (“Penn National”), was going to acquire Score Media and Gaming Inc. (“Score”), a Canadian digital media company, for approximately $2.2 billion.  Teixeira shared this MNPI with a friend, who in turn shared it with MEADOW.  MEADOW then purchased more than 769 call option contracts in Score between August 2, 2021, and August 3, 2021, based on the MNPI and also advised a colleague at the brokerage firm where he worked, their clients, and a friend to purchase Score securities.  After Penn National’s acquisition of Score was announced publicly on August 5, 2021, MEADOW, his colleague, their clients at the brokerage firm, and MEADOW’s friend sold their holdings in Score for a combined profit exceeding $5 million. 

Later, in or around early March 2022, Teixeira secretly accessed confidential work information on his then-girlfriend’s laptop and learned about a planned corporate acquisition of VMWare, an enterprise software company, for approximately $65 billion.  Teixeira shared this MNPI with his friend, who in turn shared it with MEADOW.  MEADOW purchased over 5,000 shares of VMWare stock, as well as call options contracts in VMWare, between May 9, 2022, and May 18, 2022, and advised his colleague at the brokerage firm to purchase VMWare securities.  After there was public reporting that Broadcom was in talks to acquire VMWare, the VMWare holdings of MEADOW and his colleague increased significantly, and they began to sell their VMWare holdings for a combined profit exceeding $100,000. 

MEADOW, 34, of Warren, New Jersey, who was arrested this morning, has been charged with six counts of securities fraud under Title 15, each of which carries a maximum sentence of 20 years in prison; one count of securities fraud under Title 18, which carries a maximum sentence of 25 years in prison; and one count of conspiracy, which carries a maximum sentence of five years in prison.

Also unsealed today were charges against Steven Teixeira, who has pled guilty pursuant to a cooperation agreement.

United States v. Michael Shvartsman, Gerald Shvartsman, and Bruce Garelick

In October 2021, MICHAEL SHVARTSMAN, GERALD SHVARTSMAN, and BRUCE GARELICK together made more than $22 million dollars in illegal profits by trading in securities of Digital World Acquisition Corporation (“DWAC”) based on MNPI about DWAC’s planned but not yet public business combination with a media company founded by former President Donald J. Trump.

As sophisticated investors, MICHAEL SHVARTSMAN, GERALD SHVARTSMAN, and BRUCE GARELICK were invited to invest in DWAC and another special purpose acquisition company (“SPAC”), and after signing non-disclosure agreements, they were provided confidential information about the SPACs, including that a potential target of the SPACs was Trump Media & Technology Group (“Trump Media”).  As a condition of receiving this information, the defendants were prohibited by the non-disclosure agreements from disclosing the confidential information they learned or using it to buy and sell securities on the open market.  After making initial investments into DWAC through the initial public offering process, GARELICK was given a seat on DWAC’s board of directors, which gave him access to valuable MNPI about DWAC’s plans to merge with Trump Media.  After learning MNPI through his role on DWAC’s board, GARELICK provided updates to his alleged co-conspirators — which he called “intelligence” — about the status of the merger negotiations and the timing of a public merger announcement.

In violation of the non-disclosure agreements that they had signed, and in contravention of GARELICK’s duties and responsibilities as a board member, the defendants bought millions of dollars of DWAC securities on the open market before the news of the Trump Media business combination was public.  In addition to their own purchases, the defendants also passed DWAC’s confidential information to their friends on a trip to Las Vegas, to MICHAEL SHVARTSMAN’s neighbors, and to GERALD SHVARTSMAN’s employees at a furniture supply store.  After DWAC’s merger with Trump Media was announced publicly, the stock and warrant holdings of MICHAEL SHVARTSMAN, GERALD SHVARTSMAN, and BRUCE GARELICK, and those they tipped, significantly increased in value.  The defendants and the individuals they tipped then sold their DWAC securities for a significant profit.

MICHAEL SHVARTSMAN, 52, of Sunny Isles Beach, Florida, who was arrested this morning, has been charged with five counts of securities fraud under Title 15, each of which carries a maximum sentence of 20 years in prison; one count of securities fraud under Title 18, which carries a maximum sentence of 25 years in prison; and one count of conspiracy, which carries a maximum sentence of five years in prison.

GERALD SHVARTSMAN, 45, of Aventura, Florida, who was arrested this morning, has been charged with three counts of securities fraud under Title 15, each of which carries a maximum sentence of 20 years in prison; one count of securities fraud under Title 18, which carries a maximum sentence of 25 years in prison; and one count of conspiracy, which carries a maximum sentence of five years in prison.

BRUCE GARELICK, 53, of Fort Lauderdale, Florida, who was arrested this morning, has been charged with five counts of securities fraud under Title 15, each of which carries a maximum sentence of 20 years in prison; one count of securities fraud under Title 18, which carries a maximum sentence of 25 years in prison; and one count of conspiracy, which carries a maximum sentence of five years in prison.

United States v. Joseph Dupont, Shawn Cronin, Slava Kaplan, and Paul Feldman

In 2020, JOSEPH DUPONT, SHAWN CRONIN, SLAVA KAPLAN, a/k/a “Stanley Kaplan,” and PAUL FELDMAN engaged in an insider trading scheme surrounding the announcement of one pharmaceutical company’s acquisition of another.  CRONIN, KAPLAN, and FELDMAN collectively made more than $2.2 million dollars in illegal profits by trading in stocks and options based on MNPI that DUPONT misappropriated from his employer.

DUPONT was a vice president at Alexion Pharmaceuticals, Inc. (“Alexion”) and, on January 31, 2020, was informed of Alexion’s upcoming acquisition of Portola Pharmaceuticals, Inc. (“Portola”).  Before that acquisition was publicly announced, in April 2020, DUPONT provided MNPI about the acquisition to his childhood friend, CRONIN.  Not only were CRONIN and DUPONT childhood friends, but also CRONIN — who, at the time, was a sergeant in the police department of Dighton, Massachusetts, and later served as the chief of police — supervised DUPONT in DUPONT’s capacity as a reserve officer in that police department.  Based on the MNPI that DUPONT provided CRONIN, CRONIN purchased shares of Portola stock as well as out-of-the-money call options for Portola stock.

In turn, CRONIN shared MNPI about Portola’s pending acquisition with Jarett Mendoza, another childhood friend of both CRONIN’s and DUPONT’s.  CRONIN also assisted Mendoza in purchasing Portola stock in the days before the acquisition was publicly announced.

CRONIN shared MNPI about Portola’s pending acquisition not only with Mendoza, but also with KAPLAN, a friend of CRONIN’s, who was also known to DUPONT.  CRONIN shared the MNPI with KAPLAN both so that KAPLAN could trade in advance of the acquisition and so that KAPLAN would assist CRONIN in formulating trading strategies to maximize CRONIN’s own insider trading profits.  Based on the MNPI that CRONIN gave to KAPLAN, KAPLAN bought Portola shares and options.

KAPLAN, in turn, shared MNPI about the upcoming acquisition with, among others, FELDMAN, a friend and colleague of KAPLAN’s.  Based on the MNPI that KAPLAN gave FELDMAN, FELDMAN aggressively bought Portola call options.

FELDMAN, for his part, shared MNPI about the Portola acquisition with others, including a work colleague.

Alexion’s acquisition of Portola was publicly announced on the morning of May 5, 2020.  Portola’s stock increased significantly in value.  CRONIN, KAPLAN, FELDMAN, and their tippees sold their shares of Portola and call options for Portola stock, reaping millions of dollars of illegally obtained trading profits.

DUPONT, 44, of Rehoboth, Massachusetts, who surrendered to authorities today, has been charged with one count of Title 15 securities fraud and one count of tender offer fraud, each of which carries a maximum sentence of 20 years in prison, and one count of securities fraud under Title 18, which carries a maximum sentence of 25 years in prison.

CRONIN, 43, of Dighton, Massachusetts, who surrendered to authorities today, has been charged with three counts of securities fraud under Title 15 and three counts of tender offer fraud, each of which carries a maximum sentence of 20 years in prison; one count of securities fraud under Title 18, which carries a maximum sentence of 25 years in prison; and one count of conspiracy to commit securities fraud and tender offer fraud, which carries a maximum sentence of five years in prison;.

KAPLAN, 45, of Hopewell Junction, New York, who was arrested today, has been charged with three counts of securities fraud under Title 15 and three counts of tender offer fraud, each of which carries a maximum sentence of 20 years in prison; one count of securities fraud under Title 18, which carries a maximum sentence of 25 years in prison; and one count of conspiracy to commit securities fraud and tender offer fraud, which carries a maximum sentence of five years in prison.

FELDMAN, 48, of Poughquag, New York, who was arrested today, has been charged with six counts of securities fraud under Title 15 and six counts of tender offer fraud, each of which carries a maximum sentence of 20 years in prison; one count of securities fraud under Title 18, which carries a maximum sentence of 25 years in prison; and one count of conspiracy to commit securities fraud and tender offer fraud, which carries a maximum sentence of five years in prison.

Also unsealed today were charges against Jarett Mendoza, who has pled guilty pursuant to a cooperation agreement.

The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as the sentencing of the defendants will be determined by the judge.

Mr. Williams praised the outstanding investigative work of the FBI’s New York and Philadelphia Field Offices.  He also thanked the Miami Field Office of the U.S. Department of Homeland Security, Homeland Security Investigations, for its assistance in the investigation in United States v. Michael Shvartsman, Gerald Shvartsman, and Bruce Garelick.  He further thanked the Securities and Exchange Commission for its cooperation and assistance across these investigations.   

These cases are being handled by the Office’s Securities and Commodities Fraud Task Force.  United States v. Dagar and Bhiwapurkar is in the charge of Assistant U.S. Attorney Alex Rossmiller.  United States v. Meadow is in the charge of Assistant U.S. Attorney Nicholas Folly.  United States v. Michael Shvartsman, Gerald Shvartsman, and Bruce Garelick is in the charge of Assistant U.S. Attorneys Elizabeth Hanft, Nicolas Roos, and Matthew Shahabian.  United States v. Dupont, Cronin, Kaplan, and Feldman is in the charge of Assistant U.S. Attorneys Samuel P. Rothschild, Sarah Mortazavi, and Margaret Graham.    

The charges contained in the Indictments 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 Indictments and the description of the Indictments set forth below constitute only allegations, and every fact described should be treated as an allegation.

NYIC Action’s Immigrant Rights Champions Emerge Victorious in Primary Election

 

With the majority of the races called in the June primary elections, it is clear that New Yorkers showed up for immigrant communities at the ballot box.

Last night, NYIC Action’s – the New York Immigration Coalition’s sister 501 (c)4 organization -- slate of endorsed candidates for NYC Council cruised to victory. They can now continue their work as champions for immigrant New Yorkers in their respective legislative bodies.

All endorsed candidates have committed to NYIC Action’s Policy Pledge, 2023: A Blueprint for New York State. This inclusive political agenda ensures our vision integrates into their policy platform. 

Murad Awawdeh, Executive Director of NYIC Action, said:

“Once again, New Yorkers affirmed the significance of our ongoing pursuit for a more equitable and inclusive state at the ballot box. At a time when New York State’s legislative session fell far short in serving our communities and county officials have tried to vilify newly arrived asylum seekers, the significance of having champions who are committed to immigrant rights and the well-being of every New Yorker at all levels of government has become increasingly vital. The results speak to the increasing political power of immigrant New Yorkers. We congratulate our endorsed candidates and eagerly anticipate collaborating with elected officials from across the state who will persistently drive forward transformative legislation, improving the lives of everyone who calls New York home.” 

NYIC Action's endorsed primary winners include:

• Christopher Marte, District 1 
• Carlina Rivera, District 2
• Carmen De La Rosa, District 10
• Marjorie Velazquez, District 13
• Pierina Sanchez, District 14
• Tiffany Caban, District 22
• Linda Lee, District 23
• Shekar Krishnan, District 25
• Lynn Schulman, District 29
• Jennifer Gutiérrez, District 34

To view NYIC Action’s full slate of 2023 endorsed candidates who will head to the general election, click here. 

Background

This election cycle, NYIC Action endorsed candidates for New York City Council and Erie County Legislature. These endorsements were made following a careful review of candidates who signed on to NYIC Action’s policy platform pledge, to create healthy communities; end state support for detention, deportation, and mass incarceration; create quality education for all; build immigrant power and guarantee civil rights; and ensure economic justice and good jobs. 

About NYIC Action

NYIC Action (nyicaction.org) was originally formed in 2010 as a sister organization to the New York Immigration Coalition (NYIC), a 501(c)(3) coalition with 200 member organizations across New York State.  In order to increase the political potency of the immigrant vote, Immigrant Action endorses candidates and elected officials who stand up for immigrant communities and against anti-immigrant opponents. Immigrant Action engages in targeted advocacy on specific immigrant-related issues such as legislative scorecards, pointed advocacy flyers highlighting individual elected officials’ stances, and intensive grassroots and direct lobbying of elected officials.

 

Nos Quedamos - Films al Fresco - Melrose Movie Nights 2023 | June 30th: "ENCANTO" - Yolanda García Park

Come join Nos Quedamos this coming Friday, June 30th as we proudly present "ENCANTO," the first of five family-friendly films during the summer and fall of 2023 as part of our new free screening and park activation series, ‘Films al Fresco – Melrose Movie Nights.’

Films al Fresco will run will through October 21st and showcase popular and culturally-relevant films that uplift, inspire, and entertain in a safe outdoor setting in your favorite community space—Yolanda García Park! (East 159th Street and Melrose Avenue, The Bronx)

Join us with your folding chair or Yoga mat and settle in for a summer of animated movies right in the heart of Melrose Commons. The popcorn is on us! (with registration at the event)  Download Progra

June 30, 2023: "ENCANTO" A Colombian teenage girl has to face the frustration of being the only member of her family without magical powers. The magic of the Encanto has blessed every child in the family with a unique gift every child except Mirabel. However, she soon may be the Madrigals last hope when she discovers that the magic surrounding the Encanto is now in danger.

- July 15, 2023: "LIGHTYEAR" - August 12, 2023: "SOUL" - September 23, 2023: “RAYA AND THE LAST DRAGON” - October 21, 2023: "THE NIGHTMARE BEFORE CHRISTMAS" NOTE: All film showings begin at sunset.

Click link or scan QR Code for full program details.

Click for Info & Film Trailers

For more information, contact Edwin Pagán (event program curator) at: epagan@nosquedamos.org

Air Quality Health Advisory Issued for All Regions of New York State

 

In Effect for Thursday, June 29, 2023

New York State Department of Environmental Conservation (DEC) Commissioner Basil Seggos and State Department of Health (DOH) Commissioner Dr. James McDonald issued an Air Quality Health Advisory for all regions across the State for Thursday, June 29, 2023.  

Air quality is forecasted to reach ‘Unhealthy’ Air Quality Index (AQI) levels on Thursday for Western and Central New York, Eastern Lake Ontario, and the Adirondacks. At this level, everyone may begin to experience health effects, members of sensitive groups may experience more serious health effects. Air quality is forecasted to reach ‘Unhealthy for Sensitive Groups’ in the remaining regions of the State. At this level, members of sensitive groups may experience health effects. The general public is not likely to be affected. See chart here: https://www.dec.ny.gov/cfmx/extapps/aqi/aqi_info.cfm.

The pollutant of concern is: Fine Particulate Matter (due to Canadian wildfires)

The advisory will be in effect from 12 a.m. through 11:59 p.m. 

 

DEC and DOH issue Air Quality Health Advisories when DEC meteorologists predict levels of pollution, either ozone or fine particulate matter are expected to exceed an 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. DEC and DOH issue Air Quality Health Advisories and corresponding guidelines based on 24-hour forecasts, although one-hour values may exceed forecast values in these regions.

FINE PARTICULATE MATTER

Fine particulate matter consists of tiny solid particles or liquid droplets in the air that are 2.5 microns or less in diameter. PM 2.5 can be made of many different types of particles and often come from processes that involve combustion (e.g. vehicle exhaust, power plants, and fires) and from chemical reactions in the atmosphere.

Exposure can cause short-term health effects such as irritation to the eyes, nose, and throat, coughing, sneezing, runny nose, and shortness of breath. Exposure to elevated levels of fine particulate matter can also worsen medical conditions such as asthma and heart disease. People with heart or breathing problems, and children and the elderly may be particularly sensitive to PM 2.5.

 

When outdoor levels are elevated, going indoors may reduce exposure. If there are significant indoor sources of PM 2.5 (tobacco, candle or incense smoke, or fumes from cooking) levels inside may not be lower than outside. Some ways to reduce exposure are to minimize outdoor and indoor sources and avoid strenuous activities in areas where fine particle concentrations are high.

 

New Yorkers also are urged to take the following energy saving and pollution-reducing steps:

• use mass transit instead of driving, as automobile emissions account for about 60 percent of pollution in our cities.
• conserve fuel and reduce exhaust emissions by combining necessary motor vehicle trips;
• turn off all lights and electrical appliances in unoccupied areas;
• use fans to circulate air. If air conditioning is necessary, set thermostats at 78 degrees;
• close the blinds and shades to limit heat build-up and to preserve cooled air;
• limit use of household appliances. If necessary, run the appliances at off-peak (after 7 p.m.) hours. These would include dishwashers, dryers, pool pumps and water heaters;
• set refrigerators and freezers at more efficient temperatures;
• purchase and install energy efficient lighting and appliances with the Energy Star label; and
• reduce or eliminate outdoor burning and attempt to minimize indoor sources of PM 2.5 such as smoking.

Additional information on ozone and PM 2.5 is available on DEC's website and on DOH's website. To stay up-to-date with announcements from DEC, sign up for DEC Delivers: DEC's Premier Email Service.

 

Recording Artist Casanova Sentenced To 188 Months In Prison For Gang-Related Racketeering And Narcotics Offenses

 

  Damian Williams, the United States Attorney for the Southern District of New York, announced that recording artist CASWELL SENIOR, a/k/a “Casanova,” was sentenced by U.S. District Judge Philip M. Halpern to 188 months in prison for racketeering and narcotics offenses arising out of his leadership role in the Untouchable Gorilla Stone Nation Bloods Gang (“Gorilla Stone”).  As part of the racketeering conspiracy, SENIOR participated in a shooting in Florida on July 5, 2020, and a robbery in New York City on August 5, 2018, and conspired to traffic over 100 kilograms of marijuana.

According to the Indictment, public court filings, and statements made in court:

Since at least 2004, Gorilla Stone has been a brutally violent street gang with a national presence that was founded by SENIOR’s co-defendant Dwight Reid, a/k/a “Dick Wolf.”  Gorilla Stone has many members across New York State, including throughout New York City, Westchester, and the New York State Prison System, and all over the country — such as in Florida, where SENIOR engaged in substantial criminal conduct.  Gorilla Stone is comprised of various sets (or “Caves,” as they are called by gang members).  Gorilla Stone is a highly organized and efficient street gang with an organizational commitment to violence that strictly enforces its internal laws.

SENIOR’s Gorilla Stone co-defendants were charged with a host of crimes committed in furtherance of their joint enterprise.  Some of the charges against Gorilla Stone members include racketeering conspiracy, various frauds, a large-scale narcotics conspiracy that SENIOR actively participated in, myriad firearms offenses, and numerous acts of violence, including a daytime murder of a juvenile in the middle of a Poughkeepsie street; multiple attempted murders and shootings, including two in Florida in which SENIOR was involved; a gunpoint drug-related robbery; and a brutal slashing. 

For over a decade, SENIOR participated in and was associated with the Gorilla Stone racketeering conspiracy.  SENIOR was a powerful, respected, high-profile member of the gang.  SENIOR admitted that he was an organizer or leader of a criminal activity that involved five or more participants.  SENIOR joined the gang while incarcerated over a decade ago and has remained an active member ever since, including upon his release from custody from a prior case in 2013.    

As part of the racketeering activity, on or about July 5, 2020, while in Florida for a gang member’s birthday, SENIOR shot a gun at a gang member with whom he was having a gambling dispute, hitting one gang member in the leg/calf area and a second, different gang member in the foot when the bullet ricocheted.  A victim suffered serious bodily injury because of the shooting and was treated at a Miami-area hospital for a gunshot wound to the foot.  Thereafter, other party attendees, including a member of Gorilla Stone, discharged multiple firearms. 

Additionally, as part of an August 5, 2018, robbery at a Manhattan diner that SENIOR participated in, a victim was restrained and suffered serious bodily injury.  The robbery started when SENIOR appeared to believe that a female victim took a photo of him from the booth where the victim was sitting.  SENIOR then proceeded to forcefully take the victim’s cellphone.  SENIOR’s gang member associate then came up behind the victim and put her in a headlock until she fell to the floor unconscious from lack of oxygen.   

SENIOR further agreed to traffic at least 100 kilograms of marijuana.  During an approximately nine-month period, SENIOR was responsible for distributing between 100 kilograms and 400 kilograms of his personally branded “2x” marijuana.

SENIOR, 36, of Montville, New Jersey, previously pled guilty on May 11, 2022, before Judge Halpern to one count of conspiring to conduct and participate in the conduct of the affairs of a criminal enterprise through a pattern of racketeering activity and one count of conspiring to distribute over 100 kilograms of marijuana.  In addition to the prison term, SENIOR was sentenced to four years of supervised release and ordered to forfeit $50,000.

SENIOR is the 12th defendant in the Gorilla Stone case to have been sentenced. 

Five additional defendants have pled guilty and are awaiting sentencing: DESHAWN THOMAS, a/k/a “Don,” AHMED WALKER, a/k/a “Ammo,” BRANDON SOTO, a/k/a “Stacks,” ROBERT WOODS, a/k/a “Blakk Rob,” and BRINAE THORNTON, a/k/a “Luxury.”

Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation (“FBI”) Westchester County Safe Streets Task Force, which is comprised of special agents and task force officers from the FBI, U.S. Probation, New York State Police, New York State Department of Corrections and Community Supervision, New York City Police Department, Westchester County Police Department, Westchester County District Attorney’s Office, Putnam County Sheriff’s Office, Rockland District Attorney’s Office, and the Yonkers, New Rochelle, Mount Vernon, Greenburgh, White Plains, Peekskill, Ramapo, and Clarkstown Police Departments.

Attorney General’s Office of Special Investigation Releases Report on Deaths of Marcelo Pelaez and Leonardo Rodriguez-Mendoza

 

New York Attorney General Letitia James’ Office of Special Investigation (OSI) released its report on the deaths of Marcelo Pelaez and Leonardo Rodriguez-Mendoza in Queens County. Following a thorough and comprehensive investigation, which included crash reconstruction analysis, review of security camera video, and witness interviews, OSI determined that a prosecutor would not be able to prove beyond a reasonable doubt at trial that the officer committed a crime, and therefore criminal charges could not be pursued in this matter. 

On May 24, 2021, around 12:30 a.m., an off-duty member of the New York City Police Department (NYPD) was driving home with his wife and daughter after visiting friends. While driving northbound on Woodhaven Boulevard at the intersection with Rockaway Boulevard, the officer hit Mr. Pelaez and Mr. Rodriguez-Mendoza, who were crossing Woodhaven Boulevard from east to west in the northern crosswalk. The officer and multiple bystanders called 911 to request medical assistance. Mr. Pelaez and Mr. Rodriguez-Mendoza were transported to a local hospital. Mr. Pelaez was pronounced dead upon arrival. Mr. Rodriguez-Mendoza was in critical condition and unresponsive; he died in the hospital on July 14, 2021. 

Collision reconstruction analysis by the NYPD’s Collision Investigation Squad (CIS) and corroborated by an independent expert engaged by OSI determined that the officer had the green light and was driving approximately five to nine miles above the posted speed limit of 30 MPH when the collision occurred.  

Security camera video secured from earlier in the evening shows the officer and his family meeting friends on Myrtle Avenue in Queens around 9:30 p.m. The video shows the officer drink from what appeared to be three beers from a few minutes before 10 p.m. until almost 11 p.m. The officer and his family left around 11:22 p.m., and security camera video from a gas station next to a Burger King on Cross Bay Boulevard in Queens shows the family enter the restaurant before getting back in the car with bags of food at 12:04 a.m.  

Officers at the scene reported that the officer did not smell of alcohol and showed no signs of impairment. When CIS arrived nearly two hours after the incident occurred, the officer submitted to three field sobriety tests. He passed all three tests but declined to submit to a breathalyzer test, which resulted in a 30-day suspension from NYPD. 

Under New York law, proving criminally negligent homicide requires proving beyond a reasonable doubt that a person failed to perceive a substantial and unjustifiable risk that death would occur; that the failure to perceive the risk was a gross deviation from a reasonable person’s standard of care; and that the person engaged in blameworthy conduct.  

In this case, though the officer was driving five to nine miles above the speed limit, this does not qualify as “dangerous speeding” under precedent. Further, while he was drinking alcohol earlier in the evening before the collision, there is no direct evidence of the amount of alcohol in his system at the time of the incident, and the multiple witnesses who saw and spoke with the officer after the collision did not identify any signs of impairment. Given the circumstances and the evidence, a prosecutor would not be able to prove beyond a reasonable doubt at trial that the officer had engaged in “risk-creating behavior” or “seriously blameworthy carelessness.” 

The NYPD’s patrol guide requires that if qualified to do so, the patrol supervisor must administer an alcohol test to any police officer involved in a collision that results in a death. CIS did not attempt to breath-test the officer involved in this incident until almost two hours after the collision, when CIS arrived on the scene. OSI therefore recommends that all patrol supervisors be trained in the administration of breathalyzer tests and field sobriety tests so that any on-duty or off-duty police officer, or any civilian, involved in a motor vehicle collision can be tested on scene as soon as practicable to ensure the most accurate results.

Governor Hochul Announces $121.6 Million Available for Rail and Port Infrastructure Projects Statewide

 

Funding Supports Reliability and Resiliency Enhancements to Major Trade Corridors

Applications Accepted through October 6, 2023

Learn More and Apply for Funding Here

 Governor Kathy Hochul today announced $121.6 million in state funding is available through the Passenger and Freight Rail Assistance Program. This program funds rail and port projects across the state, boosting New York’s trade corridors and its position as a global commerce destination, while enhancing safety. Applications will be accepted through October 6, 2023.

“Sustained commerce is the lifeblood for our regional and state economy, and investing in our trade routes ensures that New York State can remain competitive on a national and global scale,” Governor Hochul said. “I urge anyone with qualifying projects to apply for this funding because modernizing our freight rail and port infrastructure is crucial - not just for the many businesses who depend on safe, reliable commerce routes - but for the quality of life of New Yorkers.”

The Passenger and Freight Rail Assistance Program is administered by the New York State Department of Transportation. Winning projects will be selected through a competitive solicitation process and rated based on established criteria that include a benefit cost analysis, adherence to regional economic development plans, safety enhancements, compatibility with other private and public investments, and actions that enhance resilience and reduce climate risk.

New York State Department of Transportation Commissioner Marie Therese Dominguez said, “Freight rail is a key component of our state’s transportation network, and by making these smart investments we are creating jobs, ensuring continued economic growth, and reducing New York’s carbon footprint by helping to take trucks off our roads. I commend Governor Hochul for her commitment to modernizing and fortifying New York’s freight rail infrastructure, ensuring New York’s economic competitiveness.”

Eligible project activities include track and bridge rehabilitation; yard, terminal and siding construction; elimination of clearance obstructions; wharf, dock and bulkhead construction and reconstruction; dredging; at-grade crossing railroad crossing resurfacing; material handling equipment storage facilities; wayside detectors and other projects that enhance the safe movement of goods, economic competitiveness and reduce greenhouse gas emissions.

The New York State Department of Transportation will be accepting application forms for this funding opportunity through October 6, 2023. Program guidance and application materials may be found at: dot.ny.gov/railgrants.

NYC PUBLIC ADVOCATE'S STATEMENT ON NEW FUNDING FOR THE CRISIS MANAGEMENT SYSTEM

 

"I am heartened by this investment, and hope the principle behind it is the same that will guide the final negotiations of this budget process. This is what the administration should be focused on funding when it comes to public safety — proven, community-driven efforts to prevent violence and strengthen wraparound services. The Crisis Management System is a program I’ve advocated for over a decade, and it must be a foundation of our strategy to stop gun violence. This funding should be the new floor, not a ceiling — we need to fund other initiatives that build on the success of CMS. 

"In these final days before the final budget, we have a chance to invest deeply in public safety policies that will meet our mandate to help New Yorkers be safe and feel safe, and last beyond any news cycle or administration."