Attorney General James Announces Takedown of Drug Trafficking Ring that Sold Heroin, Fentanyl, and Cocaine in the Capital Region

 

Investigation Recovered Handguns, High-Capacity Magazines, and $350,000 Worth of Heroin, Fentanyl, and Cocaine

25 Individuals Indicted and Charged with 164 Crimes

New York Attorney General Letitia James today announced the takedown of a major drug trafficking ring that was distributing heroin and fentanyl, as well as powder and crack cocaine in Rensselaer, Albany, Saratoga, Schenectady, and Dutchess counties. The takedown resulted in the indictment of 25 individuals charged with 164 crimes and recovered more than three kilograms of cocaine, approximately 40 grams of heroin laced with fentanyl — which have a combined potential street value of approximately $350,000 — four handguns, two large capacity ammunition feeding devices, and the seizure of over $50,000 in cash.

“These individuals trafficked a deadly combination of heroin and fentanyl that has claimed lives and poisoned communities across our state,” said Attorney General James. “This investigation is part of my office’s ongoing work to keep New Yorkers safe and combat the scourge of drug-related addictions and overdoses. We will continue to pursue drug traffickers who endanger lives and threaten public safety, and I thank our partners in law enforcement for their support and collaboration in this operation.”

“The culmination of this investigation and the dismantling of a major drug trafficking ring in the Capital Region is the direct result of the hard work done by members of the various local law enforcement agencies involved and exemplifies just how effective law enforcement can be when we work together,” said New York State Police Acting Superintendent Dominick L. Chiumento. “This case also shows the scale of drugs, weapons, and money that travel through our suburban and upstate communities. We have shown by this collaborative effort that law enforcement will rise to the challenge and protect our communities from these ruthless criminals and the destructive drugs that are infiltrating our neighborhoods.”

“The Troy Police Department applauds the collaborative efforts of the Attorney General and this law enforcement group,” said Troy Police Department Chief Daniel DeWolf. “We are proud to be a part of this successful investigation. The scourge of illegal drug use and distribution are far reaching and negatively affect neighborhoods, families, and the entire community. The fruits of this laborious operation can serve as a beacon of hope in our combined duty to quell the illegal drug trade and provide a safer environment for our residents.”

Recovered firearms

Heroin and fentanyl packages stamped with the phrase “American Gangster”

Cocaine recovered by the investigation

Alexander Torres and Yamillet Galarza were central figures in this narcotics distribution network and they often partnered together to obtain and sell heroin, fentanyl, and cocaine in Rensselaer County. As alleged in the indictment, the investigation revealed that Torres had four different sources of supply for the cocaine and narcotics and he then sold the drugs to a network of customers around the Capital Region.  

During the investigation, Torres attempted to import a kilogram of cocaine from a supplier in Puerto Rico by mailing the cocaine to his residence in Troy inside of an encyclopedia. Later in the investigation, Torres purchased heroin laced with fentanyl from a Bronx-based narcotics dealer in custom-designed bags stamped with the phrase “American Gangster” as a brand to distinguish his narcotics from other local narcotics sellers. Torres is charged with Operating as a Major Trafficker, which carries a mandatory life sentence in state prison.

Efrain Acevado was also a major cocaine distributor in this operation. During the course of the investigation, Acevado opened a restaurant called “El Coqui,” in Troy, and he sold narcotics to customers from the restaurant and used it as a location to stash his narcotics and related proceeds. 

The multi-agency investigation brought together the resources of state and local law enforcement agencies led by the Attorney General’s Organized Crime Task Force (OCTF), including the New York State Police, City of Troy Police Department, the Rensselaer County Sheriff’s Office, Schenectady Police Department and the Schenectady Sheriff’s Office. The year-long investigation included covert surveillance and hundreds of hours of wiretaps over more than two dozen target phones, aimed at rooting out heroin, fentanyl, and cocaine dealers operating in the Capital region and elsewhere in New York state.

Today’s takedown is the latest in the Attorney General’s SURGE Initiative (Suburban and Upstate Response to the Growing Epidemic) to root out violent drug trafficking. Since launching in 2017, SURGE has taken 934 alleged traffickers off the streets.

The indictment, which was unsealed today in Rensselaer County Court, contains 164 counts, charging the defendants with crimes in relation to their involvement in the narcotics trafficking operation, including various counts of Criminal Sale and Criminal Possession of a Controlled Substance (class A, B, C, D felonies), as well as Conspiracy in the Second Degree (class B felony). Those charged in today’s indictment include:

Efrain Acevedo, Troy, NY – 33 years old

Raul Baez, Schenectady, NY – 36 years old

Erick Baez, Schenectady, NY – 35 years old

Jose Cintron, Troy, NY – 37 years old

Elvis Colon, Troy, NY – 45 years old

Javier Colon, Philadelphia, PA – 51 years old

Mercedes Danahy, Troy, NY – 38 years old

James Foley, Troy, NY – 43 years old

Jack Frazier, Troy, NY – 37 years old

Jose Galarza, Troy, NY – 49 years old

Yamillet Galarza, Troy, NY – 35 years old

Vladimir Guzman Grullon, Bronx, NY – 31 years old

David Harden, Troy, NY – 62 years old

Mark House, Troy, NY – 55 years old

Karim Little, Troy, NY – 32 years old

Jordan McCullen, Troy, NY – 32 years old

Jahtiek Milisci, Troy, NY – 25 years old

Beau Moreau, Schenectady, NY – 36 years old

Michael Nelson, Troy, NY – 37 years old

Tracy Taylor, Troy, NY – 52 years old

Denzel Timot, Troy, NY – 24 years old

Alexander Torres, Troy, NY – 36 years old

Israel Vasquez, Troy, NY – 37 years old

Abner Velasquez, Holyoke, MA – 42 years old

David Venson, Troy, NY – 56 years old

The charges against the defendants are merely accusations and the defendants are presumed innocent until and unless proven guilty in a court of law. 

Attorney General James would like to thank Rensselaer District Attorney Mary Pat Donnelly and the Schenectady County Drug Task Force for their assistance in the investigation.    

The investigation was directed by New York State Police Investigator Matthew Guiry under the supervision of Senior Investigators Robert Martin and Vonnie Vardine and OCTF Detective Michael Connelly, with the assistance of the U.S. Army National Guard Counterdrug Task Force, under the supervision of OCTF Supervising Detective Brian Fleming, OCTF Assistant Chief Investigator John Monte, and OCTF Deputy Chief Investigator Andrew Boss. The Attorney General’s Investigations Division is led by Chief Oliver Pu-Folkes. 

Governor Hochul Announces $100 Million in Environmental Bond Act Funding Now Available for Zero-Emission School Buses

 

New York School Bus Incentive Program Makes Clean Buses and Charging Infrastructure More Affordable for Public Schools

Supports Climate Leadership and Community Protection Act Goal to Reduce Greenhouse Gas Emissions by 85 Percent by 2050

Governor Kathy Hochul today announced $100 million is now available for zero-emission school buses under the historic $4.2 billion Clean Water, Clean Air, and Green Jobs Environmental Bond Act of 2022. The New York School Bus Incentive Program provides funding to make clean buses and the associated charging infrastructure more affordable for public school districts and bus operators that contract with them while reducing pollution, and improving air quality in communities across the state, particularly those that are underserved. Today’s announcement supports the Climate Leadership and Community Protection Act goal to reduce greenhouse gas emissions 85 percent by 2050 and New York State’s requirements that all school buses in New York State be zero-emission by 2035.

“New York State is empowering school districts to embrace zero-emission school buses which will provide our leaders of tomorrow with healthy and clean transportation today,” Governor Hochul said. “Ensuring electric school buses are at the forefront of student transport is a critical health investment and demonstrates the benefits of clean energy while reducing harmful emissions to improve air quality and protect our precious environment.”

Administered by The New York State Energy Research and Development Authority (NYSERDA), NYSBIP provides incentives to eligible school bus fleet operators that purchase zero-emission battery electric vehicles (BEV) or hydrogen fuel cell electric vehicles (FCEV). This funding is available on a first-come, first-served basis with incentive amounts starting at $114,000 and covering up to 100percent of the incremental cost of a new or repowered zero-emission school bus, depending on the type of vehicle. Larger voucher amounts are available for priority districts that include high-need school districts and disadvantaged communities, as defined by the New York State Climate Justice Working Group. Additional incentives are also available for fleets removing internal combustion engine buses from operation, purchasing wheelchair accessible buses, or purchasing buses with vehicle to grid capability.

NYSERDA CEO and President Doreen M. Harris said, “Made possible through the historic Environmental Bond Act, this incentive program will help school districts accelerate the deployment of zero-emission school buses in the medium- and heavy-duty vehicle weight classes throughout New York State. Bringing manufacturers, school districts, and bus operators together to reduce transportation emissions and create cleaner, healthier commutes to school for our students will pay dividends for decades to come.”

The program also provides rebates to eligible school bus fleet operators who purchase and install eligible charging infrastructure in association with newly purchased zero-emission school buses. School bus fleet owners (the school district or their contractor) are also eligible to receive $25,000 per bus for charging infrastructure, or $35,000 if they serve a priority district. Fleet owners that have completed electrification plans are eligible to receive $55,000 per bus for charging infrastructure, or $65,000 if they serve a priority district. Vehicle manufacturers and bus dealers can also continue to apply to offer their vehicles on a rolling basis.

Program eligibility and rules for charging infrastructure funding are available online through the NYSBIP Implementation Manual. NYSERDA will accept applications on a rolling basis until funding is exhausted under the current round and will accept applications under future rounds as it oversees the distribution of the Bond Act’s additional $400 million earmarked for zero-emission school buses and infrastructure. Schools and school bus contractors do not apply to the program directly. School bus dealers apply on their behalf after they have issued purchase orders for their electric buses. Incentives for school buses are disbursed directly to dealers and manufacturers to offset some or all of the difference in purchase price between zero-emission school buses and comparable diesel or gas-powered buses while charging infrastructure incentives are issued directly to the fleet owner. To share more information about the NYSBIP process and new charging incentives, NYSERDA will host a webinar on December 11, 2023 at 3pm ET (register here). 

Bronx Borough President Vanessa L. Gibson - Community Resources & Updates

Dear Neighbor,

 

Thank you for joining us for another week in review. 

We hope everyone had a safe and fun holiday weekend. This Thanksgiving season, our team was proud to join with community partners and colleagues in government to distribute over 2,000 turkeys and chickens to our residents and their families. Thank you to everyone who contributed to making this season of giving a huge success.

As the temperature drops, we urge tenants without heat or hot water to contact their landlord. Building owners are legally required to provide heat and hot water to their tenants. Hot water must be provided 365 days per year at a constant minimum temperature of 120 degrees Fahrenheit. If an issue with hot water or heat persists, please contact 311 immediately.

Lastly, join us tomorrow at Bronx Borough Hall (851 Grand Concourse) as we host a public hearing on the Department of City Planning`s 'City of Yes for Economic Opportunity' proposal. You can click here for more information.

As always, if you have any questions or concerns, please do not hesitate to contact our office at 718-590-3500 or email us at webmail@bronxbp.nyc.gov.

 

In partnership,

Bronx Borough President Vanessa L. Gibson

IN THE COMMUNITY

Our borough’s Puerto Rican Pride was on full display at our Puerto Rican Heritage Celebration. Thank you to Monroe College, our emcee, sponsors, honorees, performers, and everyone else who helped to make this event a huge success.

This Thanksgiving season, we provided Bronxites with food for their families! Thank you to our generous sponsors for their collaboration and thoughtful contributions! We are so grateful for their support.

We had a wonderful Senior Luncheon for our older adults this Thanksgiving season! We had a wonderful afternoon of dancing, food, music, giveaways, and great company. 

UPCOMING EVENTS

MAYOR ADAMS UNVEILS PLAN TO MAKE NYC FIRST EAST COAST CITY TO TRANSITION CITY’S HEAVY-DUTY FLEET VEHICLES TO RENEWABLE FUEL

 

By Mid-2024, All 12,600+ Heavy-Duty Vehicles in City’s Fleet Will

Transition to Cleaner, Renewable Diesel

 

Transition Will Replace Up to 16 Million Gallons of Fossil Fuel Every Year

New York City Mayor Eric Adams and New York City Department of Citywide Administrative Services (DCAS) Commissioner Dawn M. Pinnock today outlined a plan that will make New York City the first city on the East Coast to transition all heavy-duty vehicles in the city’s fleet from fossil to renewable fuel. The city’s fleet currently includes more than 12,600 on- and off-road trucks and specialized equipment that operate on diesel fuel — but by the end of Fiscal Year 2024, they will all operate on renewable diesel.

 

Renewable diesel is proven to reduce carbon emissions and will replace up to 16 million gallons of fossil fuel used every year to power the city’s heavy-duty fleet, which includes garbage trucks and ambulances. After the full rollout of 16 million gallons of renewable diesel, the city will have cut 128 billion grams of carbon dioxide pollution each year. The transition began this past September, with 2.5 million gallons of renewable diesel already used across heavy-duty vehicles.

 

“New York City continues to lead the way for the rest of the country by making our vehicles cleaner, greener, and safer,” said Mayor Adams. “From our vehicles to our buildings and our food, we are making sustainability a critical component of all the work we do. This is the ‘Get Sustainability Done’ administration, and we will continue to serve as a model for cities across the globe in combating climate change while still delivering vital government services to New Yorkers every day.”

 

“New York City is proud to run on clean, renewable diesel and play our critical role in protecting the planet,” said First Deputy Mayor Sheena Wright. “By transitioning to renewable diesel with our heavy-duty vehicles, we are reducing dangerous greenhouse gas emissions and keeping our air clean. This change exemplifies the Adams administration’s steadfast commitment to addressing climate change and delivering environmental justice by taking an innovative, forward-thinking approach.”

 

“City government must be the change we want to see, leading the way in our city’s green energy transition,” said Deputy Mayor for Operations Meera Joshi. “This commitment to renewable diesel is a major milestone in our broad strategy to transition city operations to green and clean energy and do our part in protecting our planet’s limited resources.”

 

“Our transition to renewable diesel brings city government one step closer to renewing, revitalizing, and restoring our environment to better serve all New Yorkers,” said DCAS Commissioner Pinnock. “At DCAS, our efforts to green the city fleet have always been multifaceted, and with the adoption of renewable diesel, we are ushering in a new era in city government operations. With more than 2 million gallons of renewable diesel already delivered to city agencies, DCAS is setting a new standard for environment protection — one that does not compromise but enhances our ability to deliver critical services.”

 

Renewable diesel biofuel fully replaces fossil diesel — protecting the environment and delivering the same quality fuel. As the city works to fully electrify its entire vehicle fleet — in line with the goals of Intro. 279-A, which Mayor Adams signed into law in October 2023 — renewable diesel represents an important and immediately impactful intermediate step until viable electric models become fully available for city trucks and specialized equipment. Currently, 20,450 city vehicles — nearly three-quarters of the entire fleet — use a type of cleaner fuel alternative, such as electric, solar, hybrid, or biofuels. The city is also on track to meet its goal of eliminating half of the fleet’s 2015 greenhouse gas emission levels by 2025, as outlined in the NYC Clean Fleet Plan.

 

In addition to implementing cleaner fuel alternatives, the Adams administration is moving swiftly to electrify the city’s fleet. DCAS expects to operate over 5,000 electric vehicles by the end of 2023, with the number of electric vehicles in the DCAS-managed fleet increasing by 49 percent in Fiscal Year 2023. DCAS also already operates the largest electric vehicle charging network in New York state, with over 1,800 charging ports available to fleet vehicles, including fast chargers and solar carports. And DCAS will deploy another 500 charging ports in the next 18 months. The Adams administration has also supported the efforts of private partners to complement the city’s work by investing in and expanding electric vehicle charging infrastructure across the city.

 

“Tackling the climate crisis means ending our dependence on fossil fuels and transitioning to cleaner, renewable energy sources,” said New York City Department of Transportation Commissioner Ydanis Rodriguez. “The transportation sector is the largest source of carbon emissions in the United States, and renewable diesel will help reduce New York City’s carbon footprint. I thank Mayor Eric Adams and DCAS Commissioner Dawn Pinnock for their leadership to make our city’s fleet the cleanest and greenest in America.”

 

“The Department of Sanitation operates thousands of heavy-duty vehicles, and New Yorkers expect those trucks to get the job done — whether picking up trash or plowing snow,” said New York City Department of Sanitation Commissioner Jessica Tisch. “The transition to renewable diesel means our collection trucks will be there when needed, with less than half the damage to the air we breathe. I want to thank Mayor Adams for leading the way with this announcement, which sits squarely at the intersection of ‘Get Stuff Done’ and ‘Get Stuff Clean.’”

 

“We are proud to work with DCAS to adopt innovative technologies for our fleet that are sustainable and result in fewer emissions, and we cannot wait to put renewable diesel to work for NYC Parks’ heavy-duty diesel vehicles and equipment,” said New York City Department of Parks & Recreation (NYC Parks) Commissioner Sue Donoghue. “With this new Parks equipment switching over to renewable diesel — in addition to our nearly 100 recently unveiled electric pickup trucks complementing our existing electric fleet — we will continue to proactively look to reduce our emissions and make our city as clean and green as possible.”

 

“In order to fight climate change and the more destructive weather it is bringing to the region, city government is leading by example as we aggressively move to transition all of our operations to the cleanest possible fuels,” said New York City Chief Climate Officer and New York City Department of Environmental Protection (DEP) Commissioner Rohit T. Aggarwala. “At DEP, all of our roughly 750 trucks transitioned to renewable diesel earlier this fall, and our fleet of marine vehicles has been running on biodiesel for several years.”

 

“This major milestone is a win for our climate and for public health, especially for New Yorkers disproportionately burdened by preexisting health conditions like asthma, heart disease, and other respiratory illnesses,” said Mayor’s Office of Climate and Environmental Justice Executive Director Elijah M. Hutchinson. “New York City is leading the nation, and the world, as we meet our aggressive goal of reducing emissions from government operations by 50 percent by 2030.”

 

“In 2015, New York City completed its first test of biofuels at NYC Parks. Biofuels have now been used for over a decade in every municipal fleet unit and building,” said DCAS Deputy Commissioner for Fleet Management and Chief Fleet Officer Keith Kerman. “Today, we take the biggest step forward yet — replacing all fossil diesel for city trucks and off-road equipment with renewable diesel. We will clean our truck emissions now using biofuels and keep working towards an even more exciting transition to electric and zero-emission vehicles in the years ahead.”

 

Mayor Adams has already taken aggressive steps to make New York City’s vehicle fleet greener and safer — transitioning 4,000 city vehicles to electric vehicles three years ahead of schedule and winning more than $10 million in federal funding to transition nearly 1,000 more, creating the “Green Rides” program to make for-hire vehicles zero-emission or wheelchair-accessible by 2030, and adding lifesaving active intelligent speed assistance technology in hundreds of city vehicles.

 

“We applaud Mayor Adams and DCAS for transitioning New York City’s entire truck fleet to renewable diesel, a major step in the city’s effort to reduce air pollution and fight climate change,” said Julie Tighe, president, New York League of Conservation Voters (NYLCV). “As we find ways to cut carbon emissions in our fuel supply and in every corner of the economy, renewable diesel has an increasingly important role to play, which is why NYLCV strongly advocates for a Clean Fuel Standard so more fleets can move off polluting fossil fuels and it is why today’s announcement is important to our public health and climate fight.”

 

Housing Lottery Launches For 375 Dean Street In Boerum Hill, Brooklyn

 

The affordable housing lottery has launched for 375 Dean Street, a 17-story residential building at 35 4th Avenue in Boerum Hill, Brooklyn. Designed by S. Wieder Architects and developed by 35 Holding LLC, the structure yields 143 residences. Available on NYC Housing Connect are 36 units for residents at 40 to 130 percent of the area median income (AMI), ranging in eligible income from $31,543 to $165,230.

375 Dean Street in Boerum Hill, Brooklyn via NYC Housing Connect

Amenities include pet-friendly policies, a dog washing station, garage with assigned parking spaces, bike storage lockers, gym, storage, media room, party room, recreation room, children’s playroom, and a rooftop terrace. Residences come with hardwood floors, air conditioning, washers and dryers, and name-brand kitchen appliances. Tenants are responsible for electricity.

At 40 percent of the AMI, there are six studios with a monthly rent of $834 for incomes ranging from $31,543 to $45,200; eight one-bedrooms with a monthly rent of $888 for incomes ranging from $33,806 to $50,840; and one two-bedroom with a monthly rent of $1,051 for incomes ranging from $40,458 to $61,000.

At 50 percent of the AMI, there is one studio with a monthly rent of $1,067 for incomes ranging from $39,532 to $56,500, and 13 one-bedrooms with a monthly rent of $1,138 for incomes ranging from $42,378 to $63,550.

At 60 percent of the AMI, there is one one-bedroom with a monthly rent of $1,388 for incomes ranging from $50,949 to $76,260.

At 100 percent of the AMI, there is one one-bedroom with a monthly rent of $2,389 for incomes ranging from $85,269 to $127,100, and four two-bedrooms with a monthly rent of $2,852 for incomes ranging from $102,206 to $152,500.

At 130 percent of the AMI, there is one one-bedroom with a monthly rent of $3,140 for incomes ranging from $107,658 to $165,230.

375 Dean Street in Boerum Hill, Brooklyn via NYC Housing Connect

Prospective renters must meet income and household size requirements to apply for these apartments. Applications must be postmarked or submitted online no later than January 29, 2024.

EDITOR'S NOTE:

If you meet the income levels as prescribed these apartments are really affordable right in the heart of Downtown Brooklyn. Anyone can apply, you don't have to live in Brooklyn, but you can be living in Brooklyn.

Recidivist Fraudster Sentenced To 212 Months In Prison In Connection With $40 Million Ponzi Scheme And Other Frauds

Damian Williams, the United States Attorney for the Southern District of New York, announced that FRANKLIN RAY was sentenced today by U.S. District Judge Analisa Torres to 212 months in prison for engaging in multiple fraud schemes, including a $40 million Ponzi scheme and two COVID-19 loan fraud schemes, and committing aggravated identity theft in connection with one of those schemes.  RAY previously pled guilty to four counts of wire fraud and one count of aggravated identity theft. 

U.S. Attorney Damian Williams said: “In the span of less than two years, Franklin Ray engaged in four separate fraudulent schemes, including a $40 million Ponzi scheme that victimized hundreds of people and schemes that stole funds intended for those in need during the COVID-19 pandemic.  Ray even had the audacity to continue his Ponzi scheme while on pretrial release after his arrest in March 2022, stealing approximately $2 million from unsuspecting victims after he was charged with federal crimes.  Today’s sentence shows that engaging in fraudulent conduct will have severe consequences.” 

As alleged in the previously filed Complaint and Indictment and other court documents:

Beginning in at least June 2021, FRANKLIN RAY began to offer investors an opportunity to invest in his trucking and logistics company, CSA Business Solutions LLC (the “Truck Investment Scheme”).  Specifically, RAY and the investors entered into contracts pursuant to which CSA Business Solutions LLC would procure and operate a truck in its trucking business for each $20,000 contributed by the investor.  RAY told investors that the trucks would perform delivery services for a multinational e-commerce company and/or a multinational shipping company and that the investors would be entitled to 77% of the net income of the trucks.  In reality, CSA Business Solutions LLC operated few trucks and had minimal revenues from trucking activities.  Instead, investors in the Truck Investment Scheme received payments from new investments into the scheme or from other sources.  After the investors purchased the rights to trucks from CSA Business Solutions LLC, RAY sent them falsified spreadsheets at regular intervals, purporting to show the performance of their trucks during the relevant period.  RAY ultimately persuaded approximately 275 investors to invest at least $40 million and fraudulently claimed to have purchased over 2,000 trucks with the investments.

RAY also carried out fraudulent schemes to obtain over $1.9 million in government-guaranteed loans designed to provide relief to small businesses during the COVID-19 pandemic on behalf of CSA Business Solutions LLC and another Michigan-based trucking company (the “SBA Loan Fraud Schemes”).  In connection with the SBA Loan Fraud Schemes, RAY submitted false information and forged documents to the Small Business Administration and commercial lenders.  RAY claimed that these businesses engaged in significant trucking business, but they had minimal revenues and trucking activity.  RAY also committed aggravated identity theft with respect to one of the SBA Loan Fraud Schemes.

In addition, RAY fraudulently induced a New York City-based real estate company (the “Company”) to pay $175,000 in startup costs for a joint venture (the “Joint Venture”) between the Company and CSA Business Solutions LLC.  In order to persuade the Company to enter into the Joint Venture and pay the $175,000, RAY lied about his personal business experience and the trucking business conducted by CSA Business Solutions LLC.  Rather than pay for startup costs, RAY spent the funds on personal expenses, including private airplane trips.  The Joint Venture was never formed.

RAY was arrested in early March 2022, and a CSA Business Solutions LLC bank account was seized at that time.  After his arrest, up until his Indictment in April 2022, RAY continued to operate the Truck Investment Scheme.  RAY hid the fact of his arrest and the seizure of the bank account and lied to investors about why he did not make expected payments after his arrest.  During the period after his arrest, RAY opened new bank accounts on behalf of CSA Business Solutions LLC and continued to solicit and accept investor funds for trucks that did not exist.  In the post-arrest period alone, RAY defrauded investors into paying at least $1.9 million into his scheme.

RAY previously pled guilty to bank fraud and wire fraud in the Eastern District of Michigan.  He received a two-year sentence in connection with those crimes and was released from federal custody in 2010.

In addition to the prison term, RAY, 52, of Canton, Michigan, was sentenced to five years of supervised release and ordered to forfeit $42,128,912.00 and several assets, including a 1968 Chevy Camaro.  The defendant was also ordered to pay restitution in an amount to be determined.

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