MAYOR ADAMS CELEBRATES $160 MILLION INVESTMENT IN BROWNSVILLE RECREATION CENTER, ADDITIONAL MAINTENANCE WORKERS AT 62 PARKS TO IMPROVE QUALITY OF LIFE ACROSS FIVE BOROUGHS

City to Fully Rebuild 70-Year-Old Brownsville Recreation Center, NYC Parks to Open Temporary Brownsville Spaces During Construction

 

NYC Parks to Hire 240 Additional “Second Shift” Staff to Add Weekend, Evening Cleaning to 100 Hotspots at 62 Parks in All Five Boroughs

Announcement Follows On-Time, Balanced, and Fiscally-Responsible $112.4 Billion Adopted Budget That Invests in Future of New York City 

New York City Mayor Eric Adams, Deputy Mayor for Operations Meera Joshi, and New York City Department of Parks and Recreation (NYC Parks) Commissioner Sue Donoghue today celebrated major investments in New York City’s public parks and facilities as part of an on-time, balanced, and fiscally-responsible $112.4 billion Fiscal Year (FY) 2025 Adopted Budget that addresses the city’s affordability crisis head-on and invests in the future of the city and the working-class people who make New York the greatest city in the world. The FY25 Adopted Budget ensures parks have what they need to engage New Yorkers and attract tourists and other visitors, as a critical part of the city’s economic and social wellbeing, as well as to improve healthy lifestyles. After making multiple investments in New York City's parks, including in the Parks Opportunity Program (POP) that gives thousands of low-income New Yorkers six-month paid opportunities and training programs each year and help maintain and operate New York City parks and facilities, Mayor Adams and the City Council went even further in the FY25 Adopted Budget by investing $160 million to fully rebuild the 70-year-old Brownsville Recreation Center, providing a brand-new, state-of-the art recreation center in the heart of Brooklyn. Additionally, thanks to a $15 million city investment, NYC Parks will hire an additional 240 full-time maintenance and operations staff to provide a second shift of cleaning service at 100 hotspots at 62 public parks in all five boroughs.

 

Last month, the City Council voted to pass the FY25 Budget. After the budget handshake announcement, New Yorkers from across the city, including parks advocates, praised the budget for its wide-ranging investments that help protect public safety, rebuild the economy, and make New York City more affordable and livable. Funding for this “second shift” is baselined in the FY25 Adopted Budget.

 

“We came into office with a clear mission: protect public safety, rebuild our economy, and make our city more affordable and livable for working-class New Yorkers. And providing New Yorkers with clean, vibrant public spaces, particularly in neighborhoods like Brownsville that have long been overlooked, helps us continue to deliver on that mission,” said Mayor Adams. “Our $160 million investment in the Brownsville Recreation Center will transform this 70-year-old complex into a state-of-the-art community space in the heart of Brooklyn. And because we’re focused on keeping our public spaces clean, too, we’re investing $15 million in a second cleaning shift at parks in all five boroughs. We came into office promising a safer, cleaner, more livable city that is equitable and affordable. The new Brownsville Recreation Center and cleaner parks are the next steps forward in our mission.”

 

“This historic resourcing of $160 million to the Brownsville Recreation Center is an investment that underscores our commitment to our neighbors in Brownsville and the vital role that community centers fill across the city,” said First Deputy Mayor Sheena Wright. “As we prioritize the array of resident needs and especially work to prevent gun violence in community-based settings, this historic contribution to fully rebuild the 70-year-old Brownsville Recreation Center honors the need for safe spaces, improved facilities, and expansive programming as we build a brand-new, state-of-the art recreation center in the heart of Brownsville.” 

 

“New Yorkers across the five boroughs deserve public recreation spaces that feel safe and welcoming. This investment in the Brownsville Recreation Center and 62 parks citywide, helps the Adams administration deliver them,” said Deputy Mayor Joshi. “When people walk into their local recreation center or take their kids to play in a park, they should be able to feel the care and attention that has gone into those spaces — a symbol of a city that is joyful, safe, and attended to. My deep thanks to Commissioner Donoghue and the members of City Council who advocated for these investments and made them possible.”

 

“The city's $160 million investment to reconstruct Brownsville Recreation Center will provide Brooklynites with a new, state-of-the-art recreation facility that will serve generations to come,” said NYC Parks Commissioner Donoghue. “In addition, baselined funding for 'second shift' cleaning will ensure our most heavily used parks citywide are clean and safe. Along with the recently announced initial investment of $3.2 billion for our Vital Parks plan to bolster the city’s living infrastructure, we’re advancing our mission of providing accessible, safe, and well-maintained public spaces for all.”

 

“Congratulations to Mayor Adams for allocating $160 million in city funds to fully transform the Brownsville Recreation Center and to NYC Parks for this major investment that will allow them to continue to serve the people of Brooklyn, and all across the five boroughs,” said New York City Department of Design and Construction (DDC) Commissioner Thomas Foley. “These renovations will greatly benefit the seniors, adults and youth who visit this community hub. We are already working with NYC Parks on the Mary Cali Dalton Recreation Center in Staten Island, the Shirley Chisholm Recreation Center in Brooklyn, and two new recreation centers in the Bronx. We look forward to collaborating with NYC Parks again to turn this 70-year-old center into a state-of-the-art facility.”

 

“On behalf of the Brownsville community, I would like to publicly thank Mayor Adams and his administration for this righteous, long-needed funding to the Brownsville Recreation Center,” said AT Mitchell-Mann, co-chair, Gun Violence Prevention Task Force. “The Brownsville Recreation Center is a staple in the Brownsville community. It has served generations of families with dignity and honor for decades. With this much needed financial commitment, it will assure that the legacy of the Brownsville Recreation Center will be around for more generations to come. This is what true gun violence prevention looks like. This is what we mean when we say, ‘Brownsville Never Ran, Never Will.’”

 

“Our parks and recreation centers are the hearts of communities and provide critical resources for the social, physical, and mental health for all,” said Chief Public Realm Officer Ya-Ting Liu. “The investment in the Brownsville Recreation Center and additional cleaning to our city’s parks affirms the Adams administration’s commitment to improving quality of life through vibrant public spaces.”

 

Brownsville Recreation Center

 

The Brownsville Recreation Center first opened as a city facility in 1955. In 2016, then-Mayor Bill de Blasio announced a $20 million selective reconstruction of the center; preliminary work on the center found significant damage and deterioration requiring a partial closure (including the indoor pool and the gymnasium) and a complete demolition and reconstruction of the center. The new facility will be designed with extensive input from the Brownsville community, and NYC Parks will work with DDC to build the new space quickly and cost-efficiently. While the recreation center is closed for the multi-year demolition, planning, design, and construction period, NYC Parks will open interim spaces in Brownsville to ensure residents continue to have uninterrupted access to the classes and resources that NYC Parks’ recreation centers provide.

 

This investment builds on the Adams administration’s commitment to investing in under-resourced communities like Brownsville that have been ignored for decades. In July 2023, Mayor Adams and the Gun Violence Prevention Task Force released “A Blueprint for Public Safety,” with over $485 million in investments to offer early interventions for young people, increase employment and entrepreneurship opportunities, improve housing security, provide easier access to public benefits, bolster community institutions, foster connections to mental health services, and strengthen police-community relations. Those investments are focused on six precincts that experience a disproportionate level of gun violence, including precincts covering Brownsville and East New York. Additionally, in March 2024, Mayor Adams launched Jobs NYC, a new multi-pronged citywide effort to reduce barriers to economic opportunities and deliver workforce development services directly to communities across the five boroughs that are experiencing high unemployment. That effort includes monthly hiring halls in every borough in areas experiencing employment disparities, connecting New Yorkers to private- and public-sector jobs.

 

Second Shift

 

NYC Parks’ second shift program targets 100 hot spots in 62 parks throughout the five boroughs for an additional shift of cleaning services on weekends and in the evenings to improve cleanliness and quality of life. This deployment of 240 new maintenance and operations staff will work from Thursday to Monday to create cleaner parks and public restrooms, while also fighting the scourge of rodents in New York City. It also builds on the Adams administration’s historic commitment to citywide cleanliness, including through the “Trash Revolution” — the administration’s ongoing effort to get black trash bags off of New York City streets and into containers. As of November 12, 2024, Mayor Adams and New York City Department of Sanitation Commissioner Jessica Tisch will have required the city to containerize 70 percent of New York City’s 14 billion pounds of annual trash. This feat has been accomplished in just over two years’ time, reversing 50 years of municipal mismanagement that saw mountains of black trash bags lining streets and attracting rats.

 

Thanks to the Adams administration’s ongoing strong fiscal management, which was bolstered by better-than-expected revenue growth, the administration overcame unprecedented challenges in this budget cycle to stabilize the city’s financial outlook and close a $7.1 billion budget gap. Because of steady, decisive decision making, the FY25 Adopted Budget allows the Adams administration and the City Council to reinvest in initiatives and programs that protect public safety, rebuild the city’s economy, and make the city more affordable and livable for working-class New Yorkers. As part of the budget agreement, the Adams administration and the City Council joined together to pass a collaborative budget that addresses the three things that cost New Yorkers the most — housing, childcare, and health care — and invests billions of dollars of city resources in critical areas, including early childhood education, libraries, parks, public safety, housing, health care, transit, cultural institutions, and more.

  

“Brownsville Recreation Center has always been more than just a recreational facility; it is a symbol of community strength and solidarity,” said Dr. Frank Mason, second generation member, Brownsville Old Timers Committee. “Generations of parents and their children have walked through its doors, finding not only a place to exercise and engage in activities, but also a sense of belonging and a commitment to helping others. The center has fostered a spirit of cooperation and mutual support, instilling values that resonate far beyond its walls.”

 

“The Brownsville Recreation Center stands as the only multi-service recreation center in Brownsville,” said Decosta Headley, founder, D.R.E.A.M Foundation. “The neighboring communities of East New York and Canarsie also find its residents utilizing the facilities and amenities at the recreation center. Thanks to the hardworking dedicated staff and the supportive community of the Brownsville Recreation Center, many beautiful occurrences that produced great people in entertainment and sports have benefited from the leadership of the recreation center. Thank you for rebuilding a staple and legacy for the people of Brownsville, Brooklyn.”

New York Man Pleads Guilty to Obstructing Investigation into Workplace Death

 

Richard Zagger, of Blue Point, New York, pleaded guilty to a charge of conspiracy and three charges of obstruction. A sentencing hearing is scheduled for Oct. 16.

The four-count indictment alleges that Zagger was a supervisor for Northridge Construction Corporation, located in East Patchogue, Long Island, New York. On Dec. 8, 2018, Zagger was overseeing employees of Northridge Construction Corporation who were constructing a metal shed on the Northridge property. During the construction, one of the employees fell from the improperly secured shed roof and died.

The Occupational Safety and Health Administration (OSHA) investigated the employee’s death and violations of worker safety standards. Among other worker safety standards, OSHA regulations require maintaining the stability of a metal structure at all times during construction. The indictment charges that during the investigation, Zagger made false statements and conspired with others to make false statements to obstruct the federal agency’s inquiry. 

The maximum penalty for the conspiracy count and each obstruction count is five years in prison and a $250,000 fine, or twice the economic gain to the defendant or loss suffered by the victim because of the crime.

Also, in regards to the same fatal incident, Northridge previously pleaded guilty to violating a worker safety standard causing the death of one of its employees and to making two false statements that obstructed OSHA’s investigation. The corporation is scheduled to be sentenced on Aug. 6.

Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division made the announcement.

The Department of Labor’s Office of the Inspector General investigated the case.

Senior Trial Attorneys Daniel Dooher and Richard J. Powers and Trial Attorney Rachel Roberts of the Environment and Natural Resources Division’s Environmental Crimes Section are prosecuting the case.

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

 

Dear Neighbor,

 

Thank you for joining us for another week in review.

 

The New York State Department of Environmental Conservation has issued an Air Quality Health Advisory for New York City from 11:00 AM to 11:00 PM. We are urging our older adults, pregnant individuals, and those with medical conditions to exercise caution and reduce their exposure to the heat. If you don't have air conditioning in your home, please find a cool place to visit nearby. Heat illness can devastate our health and should not be taken lightly. Click here for a list of cooling centers near you.

Call 911 if you or someone you know has these symptoms:

Heavy sweating

Muscle cramps

Lightheadedness/ feeling faint

Headache

Decreased energy

Loss of appetite/nausea

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

We launched Disability Pride Month at Borough Hall in partnership with Disability Unite and our Disability Advisory Council!

 

We are intentional in this work to provide access and opportunities for our residents living with disabilities. From employment to housing, transit access, education, job training, and investments in our infrastructure, our team is committed to making our borough more accessible for our residents and their families.

 

Earlier this year, we hosted a job fair at Borough Hall for Bronxites living with disabilities, announced capital funding for a sensory lab in partnership with Majority Leader Farias to prepare our scholars for life outside the classroom, and currently working on other initiatives alongside our Disability Advisory Council with a focus on equity and inclusion.

 

Thank you to our community partners and participants for attending and participating in this year`s Disability Pride Month celebration.

We were proud to partner with The Association for the Study of African American Life and History (ASALH) for our Annual Abolition Commemoration Day Event. ASALH is the oldest and largest historical society established to promote African American history. We thank the Association for the Study of African American Life and History (ASALH) for their continued partnership and commitment to highlighting African American culture and contributions to American history. 

Our Bronx Summer Concert Series kick-off at the Bronx Night Market was a huge success!

Thank you to Marco Shalma and our sponsors for their partnership on this event, highlighting musical talent and food vendors across the Borough.

We look forward to seeing everyone at our next concert!

UPCOMING EVENTS

Poughkeepsie Gang Member Pleads Guilty To June 2020 Murder Of 16-Year-Old

 

Damian Williams, the United States Attorney for the Southern District of New York, announced the guilty plea of ELIJAH BERMUDEZ, a/k/a “Quiet,” in connection with his criminal activities as a member of the violent gang Bully Hard Hunna Blood (“Bully Hard”), including his role as the shooter in the June 20, 2020, murder of 16-year-old bystander Frederick Wells, known to his friends and family as “Khabir.”  The murder arose out of a dispute between Bully Hard gang members and members of a rival set of Bloods called the Untouchable Gorilla Stone Nation (“Gorilla Stone”), which led to, three months later, a retaliatory September 21, 2020, broad daylight murder of a second minor victim, 15-year-old Jalani Jones, in Poughkeepsie. BERMUDEZ pled guilty today before U.S. District Judge Nelson S. Román.  

U.S. Attorney Damian Williams said: “In a tragic three-month stretch in 2020, brutal gang violence between the Bully Hard and Gorilla Stone sets of the Bloods caused two senseless murders of minor victims in Poughkeepsie.  Previously, Gorilla Stone leader Brandon Soto was convicted and sentenced to 35 years in prison for his role in planning out and ordering the retaliatory September 21, 2020, murder of a 15-year-old.  Today, thanks to our law enforcement partners and the dedicated prosecutors of this Office, Elijah Bermudez has now admitted to an earlier, June 20, 2020, murder that prompted the retaliatory September 2020 murder.  Today’s plea is a reminder that this Office will relentlessly pursue any gangs who threaten the safety of New Yorkers.”

According to allegations in the Indictment and Information and statements made in public filings and public court proceedings:

From early 2020 to April 2022, BERMUDEZ was a member or associate of a racketeering enterprise known as Bully Hard, a criminal organization whose members and associates engaged in, among other things, murder, robberies, narcotics trafficking, and fraud.  Bully Hard operated in New York City and Upstate New York, including in Poughkeepsie.  Members and associates of Bully Hard engaged in a series of violent disputes with rivals of Bully Hard, as well as those within Bully Hard who they deemed disloyal.  During these disputes, members and associates of Bully Hard committed murder, shootings, and assaults against their rivals and against fellow members of Bully Hard.  They also distributed heroin and marijuana.

On June 20, 2020, BERMUDEZ shot and killed 16-year-old bystander Frederick Wells in the vicinity of Charles Street in Poughkeepsie in furtherance of his membership in the Bully Hard racketeering enterprise.  Specifically, on the night of June 20, 2020, BERMUDEZ and another member of Bully Hard (“Bully Hard Member-1”) got into a physical fight with members of Gorilla Stone, a rival set of Bloods.  During the fight, Bully Hard Member-1 confronted a 17-year-old Gorilla Stone member (“Gorilla Stone Member-1”).  At the time, Gorilla Stone Member-1 was standing with Wells, who was Gorilla Stone Member-1’s friend from school, was not in a gang, and was a bystander to the altercation.  BERMUDEZ then stabbed Gorilla Stone Member-1, picked up Bully Hard Member-1’s gun, which had dropped to the ground, and shot Wells as Wells tried to run away.   Wells was found dead with a gunshot wound to his head. 

BERMUDEZ, 31, of New York, New York, pled guilty to one count of racketeering conspiracy, which carries a maximum sentence of 20 years in prison; one count of being a felon in possession of ammunition, which carries a maximum sentence of 10 years in prison; and one count of conspiracy to possess ammunition after a felony conviction, which carries a maximum sentence of five years in prison.  BERMUDEZ is scheduled to be sentenced by Judge Román on October 17, 2024.   

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

Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation Westchester County Safe Streets Task Force.  Mr. Williams also thanked the City of Poughkeepsie Police Department and Dutchess County District Attorney’s Office for their assistance in the case.

Governor Hochul Announces MTA Bridge and Tunnel Officers, NYPD and Law Enforcement Partners Impound Nearly 1,500 Vehicles Through 25 Joint Enforcement Operations Focusing on Ghost Plates and Persistent Toll Violators in 2024

Officers Have Impounded 1,540 Vehicles, Issued 12,007 Summonses, Made 339 Arrests Through 25 Operations

Interagency Operations During June and July Held at the Queens Midtown Tunnel, Williamsburg Bridge, RFK Bridge and Bronx Whitestone Bridge

Governor Kathy Hochul announced that through 25 joint enforcement operations focusing on ghost plates and persistent toll violators on bridges and in tunnels throughout New York City, MTA Bridge and Tunnel officers, NYPD officers and local law enforcement partners have impounded 1,540 vehicles, made 339 arrests and issued 12,007 summonses. These drivers owe more than $12.5 million in unpaid tolls and fees.

“Ghost plates and toll evasion cost our state millions each year and impede our efforts to build a mass transit system that benefits everyone,” Governor Hochul said. “Our heightened enforcement efforts are cracking down on the brazen lawlessness that has gone unchecked for too long, and our message is simple: enough is enough.”

On Monday, July 8, law enforcement officers impounded 55 vehicles from motorists crossing the Bronx Whitestone Bridge. Scofflaws had amassed more than $480,000 in unpaid tolls, fees and judgments. The operations resulted in 13 arrests and 433 summonses.

On Tuesday, July 2, law enforcement officers impounded 67 vehicles from motorists crossing the Verrazzano-Narrows Bridge. Scofflaws had amassed approximately $537,429 in unpaid tolls, fees and judgments. The operations resulted in 7 arrests and 527 summonses.

On Monday, June 24, law enforcement officers impounded a total of 79 vehicles from motorists crossing the Queens Midtown Tunnel, Williamsburg Bridge, Lincoln Tunnel, Holland Tunnel, Goethals Bridge, Bayonne Bridge and Outerbridge Crossing. Scofflaws had amassed more than $128,000 in unpaid tolls, fees and judgments. The operations resulted in 25 arrests and 686 summonses.

Vehicles impounded during this operation involved a number of violations including unpaid tolls, forged documents, unregistered vehicles and suspended licenses. The interagency operation included MTA Bridge and Tunnel officers, MTA Police, NYPD, New York State Police, New York City Sheriff’s Office, the New York State Department of Motor Vehicles (DMV), New York City Taxi and Limousine Commission (TLC) Police, and the Port Authority Police Department (PAPD).

Significant Arrests

During an operation on June 24, MTA Bridge and Tunnel officers conducted a traffic stop at the RFK Bridge on Randall’s Island. Officers observed the driver intentionally obstructed and concealed the last character of their license plate. A subsequent investigation revealed the driver had a suspended license, was wanted for several crimes, and officers found a large quantity of narcotics and a loaded firearm in the vehicle.

Port Authority Police apprehended three individuals during the 23rd interagency enforcement operation at the Lincoln and Holland Tunnels. One arrest was made at the Lincoln Tunnel after it was revealed the driver had an outstanding traffic warrant. Two drivers at the Holland Tunnel were arrested for tampering with public records and for theft of service.

During an operation at the Queens Midtown Tunnel and Williamsburg Bridges, NYPD officers stopped a moped operator for a vehicle traffic law offense. An initial investigation revealed the operator had a suspended license and upon further inspection, officers discovered the moped operator also had a substantial quantity of crack-cocaine. During a background check, officers discovered the individual is a Person of Interest for a shooting in Brooklyn in 2022.

During the 12th interagency enforcement operation on the Bronx Whitestone Bridge, NYC Sheriff’s apprehended four individuals who fled after causing a collision. All four are known to the NYPD, and two of the individuals are co-defendants in a grand larceny pattern involving stolen credit cards.

These arrests provide yet another extraordinary example of how the interagency enforcement operations are not only focused on improving traffic safety but to enhance public safety overall.

New York Man and Canadian National Plead Guilty to Multimillion-Dollar Export Control Scheme

Defendants Exported Millions of Dollars of Electronics Used by Russia in Missiles and Drones 

Nikolay Goltsev, 38, of Montreal, and Salimdzhon Nasriddinov, 53, of Brooklyn, New York, pleaded guilty today to conspiracy to commit export control violations for their roles in a global procurement scheme on behalf of sanctioned Russian companies, including Russian military companies. Some of the electronic components shipped by the defendants were later found in seized Russian weapons platforms and signals intelligence equipment in Ukraine.

“The defendants shipped millions of dollars of U.S. electronics critical to the missiles and drones Russia uses to attack Ukraine, and they now face U.S. prison time for their scheme,” said Deputy Attorney General Lisa Monaco. “As Russia continues to wage its unjust war of aggression against Ukraine, the Department remains committed to holding accountable those who fuel Putin’s war machine.”

“The defendants shipped millions of dollars’ worth of electronic components to Russia, including the exact type of parts found in Russian weapons and drones used to attack Ukraine,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “We know the devastation and destruction that these weapons cause and the Justice Department is committed to holding accountable those who violate U.S. laws to supply the Russian war machine.”

“Eliminating illegal global procurement networks that prop up the Russian war machine requires a full-court press,” said Assistant Secretary of Commerce Matthew S. Axelrod for Export Enforcement. “That’s why we and our law enforcement partners are working nonstop to ensure that those operating such networks like Nasriddinov and Goltsev face American justice.”

“The defendants flouted U.S. law to help Russia in its war against Ukraine, but they were stopped in their tracks and swiftly brought to justice,” said U.S. Attorney Breon Peace for the Eastern District of New York. “Today’s guilty pleas reflect that that this Office will take on and successfully neutralize the complicated procurement networks that are making it possible for Russia to continue its unprovoked war against Ukraine.”

“The defendants in this case engaged in an illegal scheme to funnel electronic components to Russia to use in its unjust invasion of Ukraine,” said Executive Assistant Director Robert Wells of the FBI’s National Security Branch. “They tried to disguise their activities using front companies but were ultimately discovered and brought to justice. The FBI will continue working with our partners to investigate and hold accountable those who violate sanctions in support of adversarial nations.”

“With today’s guilty pleas, all three defendants have acknowledged their involvement in their scheme to provide more than $7 million worth of material support to the Kremlin in its inhumane attacks on Ukraine,” said Special Agent in Charge Ivan J. Arvelo of Homeland Security Investigations (HSI) New York. “Nikolay Goltsev, Salimdzhon Nasriddinov, and their co-conspirator coordinated the deployment of over 300 shipments of restricted electronics that were ultimately used on the Russian battlefield. HSI New York remains committed to utilizing its unique authorities to relentlessly pursue individuals who seek to exploit U.S. export control laws for financial gain. I am proud to stand alongside the Justice Department, FBI, and Department of Commerce in confronting these issues directly.”

According to court documents, Goltsev and Nasriddinov used two Brooklyn companies, SH Brothers Inc. and SN Electronics Inc., to unlawfully source, purchase, and ship millions of dollars in dual-use electronics from U.S. manufacturers to sanctioned end users in Russia. Some of the electronic components and integrated circuits shipped by the defendants through SH Brothers have been found in seized Russian weapons platforms and signals intelligence equipment in Ukraine, including the Torn-MDM radio reconnaissance complex, the RB-301B “Borisoglebsk-2” electronic warfare complex, the Izdeliye 305E light multi-purpose guided missile, the Vitebsk L370 airborne counter missile system, Ka-52 helicopters, Orlan-10 unmanned aerial vehicles (UAVs) and T-72B3 battle tanks. Some of these components were critical to Russia’s precision-guided weapons systems being used against Ukraine. During the period charged in the indictment, SH Brothers made hundreds of shipments valued at over $7 million to Russia.

To carry out their criminal scheme, Nasriddinov and Goltsev purchased the electronic components from U.S. manufacturers and distributors under the auspices of SH Brothers and SN Electronics and arranged for the items to be shipped from those manufacturers and distributors to various locations in Brooklyn. Nasriddinov and Goltsev then unlawfully shipped the items to a variety of intermediary front companies located in other countries, including Turkey, Hong Kong, India, China, and the United Arab Emirates, where they were rerouted to Russia.

The defendants were aware of the potential military applications of the electronics that they exported to Russia. For example, in a message exchange on or about and between Nov. 8, 2022, and Nov. 15, 2022, Goltsev commented how shipping to Russia had become “dangerous” and discussed a shipment of electronic components that had been detained by U.S. officials at John F. Kennedy International Airport in Queens, New York. Nasriddinov responded that “Ukrainians alleged that they’re being bombed from parts from there [the U.S. manufacturer], maybe that’s why they started investigating everything?” Goltsev responded that “we need to figure out why they keep holding the package . . . I don’t really understand how they figured [it] out.” In a subsequent message, Goltsev commented that, “in the future we will need to load from several companies, not to attract attention . . . for now large packages will be dangerous until we understand what they figured out . . . we will need to think of diversifying the load . . . so that not everything is not moving from the same deck.”

In a Feb. 23, 2023, message, Nasriddinov wrote to Goltsev, “Happy Defender of the Fatherland,” referring the holiday in Russia and parts of the former Soviet Union celebrating those who served in the armed forces. Goltsev responded, “happy holiday to you too my friend, we are defending it in the way that we can [smile emoji].”

The scheme involved millions of dollars and proved to be lucrative for the defendants. For example, in a Sept. 15, 2022, text message from Nasriddinov to Goltsev, Nasriddinov boasted, “SH [Brothers] is one of the best companies in the world, it’s time to move forward onto the stock exchange and stock market, capital should be in the billions, we are working.” Goltsev responded, “pushing components to those who need it I can do, everything else you will have to teach me [three smile emojis].”

The government seized $20,000 in cash from the New York hotel room in which Goltsev was arrested. In total, the government has seized approximately $1.68 million dollars in connection with this export scheme.

Goltsev and Nasriddinov are scheduled to be sentenced on Dec. 10 and Dec. 11, respectively. They each face a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Co-defendant Kristina Puzyreva pleaded guilty in February to conspiracy to launder the proceeds of the export scheme. She is awaiting sentencing.

The FBI, HSI and Department of Commerce, Export Enforcement are investigating the case, with assistance from the U.S. Customs and Border Protection and Justice Department’s Office of International Affairs.

Trial Attorney Christopher M. Cook of the National Security Division’s Counterintelligence and Export Control Section and Assistant U.S. Attorneys Artie McConnell, Ellen H. Sise, and Laura Mantell for the Eastern District of New York are prosecuting the case.

Today’s actions were coordinated through the Justice and Commerce Departments’ Disruptive Technology Strike Force and the Justice Department’s Task Force KleptoCapture. The Disruptive Technology Strike Force is an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation states. Task Force KleptoCapture is an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export restrictions and economic countermeasures that the United States has imposed, along with its allies and partners, in response to Russia’s unprovoked military invasion of Ukraine

Attorney General James Urges New Yorkers to Use Free Credit Monitoring and Identity Theft Protection Services in Aftermath of Change Healthcare Cyberattack

 

Cyberattack on Change Healthcare’s Systems Affected Millions of Patients and Providers Nationwide

New York Attorney General Letitia James today issued a consumer alert to raise awareness about free credit monitoring and identity theft protection services available for millions of consumers impacted by the Change Healthcare data breach. In February, Change Healthcare, which operates the nation’s largest electronic health care payment system, experienced a cyberattack that exposed the personal information of millions of patients, including millions of New Yorkers. After the cyberattack, Attorney General James urged UnitedHealth Group. Inc., the nation’s largest health insurer and the parent company of Change Healthcare, to bolster its efforts to protect providers, pharmacies, and patients harmed by the breach. Today, Change Healthcare is offering all New York residents free credit monitoring and identity theft protections for two years to safeguard their personal information.

“The disastrous cyberattack on Change Healthcare leaked the personal information of millions of Americans and made them vulnerable to bad actors,” said Attorney General James. “While UnitedHealth and its subsidiary work to address the fallout from the cyberattack, I urge everyone who believes their information may have been compromised to use the free credit monitoring and identity theft protection services to protect themselves. Companies should not treat strong data security as an afterthought, it is necessary to protect New Yorkers from fraud and my office will continue to ensure companies take this responsibility seriously.”

The cyberattack on Change Healthcare interrupted health care services at thousands of doctors’ offices, hospitals, and pharmacies and leaked Americans’ sensitive health and personal data onto the dark web, a hidden portion of the internet where cyber criminals can buy, sell, and track personal information. Change Healthcare estimates that the data breach could impact up to one-third of all Americans. 

Since Change Healthcare has not yet notified affected individuals, Attorney General James encourages everyone to use the free credit monitoring and identity theft protection services to safeguard their information. These resources will be available for free for two years. Consumers can enroll in free credit monitoring and identity protection services online or by calling 1-866-262-5342.

Consumers should be aware of potential warning signs that someone is using their medical information. These signs include: 

• Bills for medical services they did not receive. 
• Errors in their Explanation of Benefits statement, such as charges for services never received or prescriptions not taken.
• Calls from debt collectors about medical debts they do not owe.
• Medical debt collection notices on their credit report that they do not recognize.
• Notices from their health insurance company about reaching benefit limits.
• Denials of insurance coverage due to inaccurate pre-existing conditions.

If you are concerned about your data but prefer not to use the free services provided by Change Healthcare, consider freezing your credit by calling all three credit bureaus, Experian, Equifax, and TransUnion. A credit freeze prevents banks or lenders from accessing your credit report. This will stop identity thieves from taking out new loans or credit cards in consumers' names because creditors will not approve their loans or credit requests if they cannot first access their credit reports. By law, a credit bureau must allow consumers to place, temporarily lift, or remove a credit freeze for free.

When consumers freeze their credit with each bureau, the bureaus will send them a personal identification number (PIN). The consumers can then use that PIN to unfreeze their credit if they want to apply for a loan or credit card. Consumers can also use the PIN to freeze their credit again after they have applied for loans or a new credit card.

Consumers should call all three credit bureaus, Experian, Equifax, and TransUnion to freeze their credit.

• You can place a credit freeze with Experian online or by calling +1 (888) 397-3742. 
• You can place a credit freeze with Equifax online or by calling +1 (888) 766-0008.
• You can place a credit freeze with TransUnion online or by calling +1 (800) 680-7289.

Consumers can report concerns related to the Change Healthcare cyberattack to the Office of the Attorney General (OAG) by calling 1-800-771-7755 or filing a complaint online.