Friday, December 6, 2024

VCJC News & Notes 12/6/24

 

Van Cortlandt Jewish Center
News and Notes

Here's this week's edition of the VCJC News and Notes email. We hope you enjoy it and find it useful!

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Former Long Island Resident Pleads Guilty to Massive Fraud Scheme Involving Sports Betting

 

Defendant’s Organization Misled Victims into Believing It Had Inside Information on College and Professional Sporting Events

In federal court in Central Islip, Cory Zeidman pleaded guilty to conspiring to commit mail and wire fraud in connection with a yearslong scheme to defraud prospective sports bettors in New York and Florida by claiming to have inside information on sporting events.  The proceeding was held before United States Magistrate Judge Lee G. Dunst.  When sentenced, Zeidman faces a maximum sentence of 20 years’ imprisonment, as well as forfeiture and restitution of approximately $3.6 million.

Breon Peace, United States Attorney for the Eastern District of New York, William S. Walker, Special Agent in Charge, Homeland Security Investigations, New York (HSI), Daniel B. Brubaker, Inspector in Charge, United States Postal Inspection Service, New York (USPIS) and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the guilty plea.

“Zeidman and his partners baited unsuspecting victims with false claims of an edge in sports betting only to feed them lies and pocket millions of dollars from their savings and retirement accounts,” stated United States Attorney Peace.  “This guilty plea sends a message to all those who would prey upon the public by falsely advertising gambling as an ‘investment opportunity’: the only sure bet here is that this Office will work tirelessly to root out sources of disinformation and fraud and prosecute them to the fullest extent of the law.”

“Sports bettors sought Corey Zeidman’s advice before gambling their money— but it was Zeidman himself who was scoring big through his deceptive practices, outright lies, and high-pressure tactics that exploited unsuspecting clients,” stated HSI New York Special Agent in Charge Walker. “Today, HSI New York and our law enforcement partners brought Zeidman’s racket to an end. The public deserves to know the truth concerning where their money is going, and HSI is committed to working with our partners to protect the community wherever and whenever possible from illicit schemes.”

“This guilty plea is proof that this individual gambled and lost when he thought his illegal activities would fly under the radar,” stated USPIS Inspector in Charge Brubaker. “Illegal gambling is not a victimless crime, Zeidman and his partners were able defraud so many individuals with their lies and had them pay these exorbitant fees for nothing. USPIS will continue to investigate individuals who are intentionally skirting federal regulations for their own selfish desires. I would like to thank Homeland Security Investigations, Nassau County Police Department, and the United States District Court for the Eastern District of New York for their collaborative effort on this massive investigation,” stated USPIS Inspector in Charge Brubaker.

“The guilty plea of defendant Cory Zeidman is a reminder that crimes against our residents will not go unpunished. Numerous victims lost millions of dollars after being given fraudulent and misleading information regarding online betting.  We need to set an example and continue to investigate and arrest offenders who commit fraud and any other crimes against our residents.  I would like to thank the United States Attorney for the Eastern District of New York and Homeland Security Investigations for their assistance in this case,” stated NCPD Commissioner Ryder.

As alleged in court documents, Zeidman helped run an organization that placed national radio advertisements to lure prospective bettors to retain the organization for sports betting advice. Using fake names and high-pressure sales tactics, Zeidman and his partners falsely led the bettors to believe that their organization had access to non-public information—bettors were often told, for example, that Zeidman’s organization had access to non-public player injury information, “dirty” referees, or that professional sporting events were “fixed” and that media executives’ shares predetermined outcomes with Zeidman’s organization.  This information, the bettors were told, made gambling on sporting events a low or no-risk proposition.  Victims were required to pay exorbitant fees to obtain this supposedly privileged information which, unbeknownst to them, was fictitious or based on the conspirators’ open-source internet research.  Over the course of several years, Zeidman and his partners reaped millions in fees from victims.

Any individuals who believe they may have been the victim of the alleged crimes perpetrated in connection with this release can contact HSI at 1-866-347-2423.

In July 2022, Mr. Peace was selected as the Chairperson of the White Collar Fraud subcommittee for the Attorney General’s Advisory Committee (AGAC).  As the leader of the subcommittee, Mr. Peace plays a key role in making recommendations to the AGAC to facilitate the prevention, investigation and prosecution of various financially motivated, non-violent crimes including the sort of predatory fraud perpetrated by Zeidman and his partners.

MAYOR ADAMS CELEBRATES CONFIRMATION OF MURIEL GOODE-TRUFANT AS NEW YORK CITY CORPORATION COUNSEL


New York City Mayor Eric Adams celebrated the confirmation of Muriel Goode-Trufant, his pick for New York City’s 82nd corporation counsel, by the New York City Council in a 41-7 vote. Goode-Trufant has spent more than 30 years at the New York City Law Department, where she has served as acting corporation counsel since this summer.  

  

“Muriel Goode-Trufant’s deep legal expertise and decades of experience as a public servant have made her fully prepared to serve our entire city government and help lead New York City forward in her new role as the city’s chief lawyer,” said Mayor Adams. “Thank you to my colleagues in the City Council for their fair and timely consideration of such a supremely qualified and capable nominee.”  

  

“It is an honor to serve as New York City’s 82nd corporation counsel and to lead the finest public law office in the country,” said Corporation Counsel Goode-Trufant. “I thank both Mayor Adams and the City Council for nominating and confirming me for this position. I look forward to continuing my work with the dedicated members of the Law Department, who embody the principles of fairness and justice as they work to further the interests of the city.”  

 

As corporation counsel, Goode-Trufant will lead the Law Department, which is primarily responsible for providing legal representation to the City of New York — including for the Mayor’s Office, the Public Advocate’s Office, the Comptroller’s Office, city agencies, and the City Council — in all affirmative and defensive civil litigation. Goode-Trufant replaces Judge Sylvia Hinds-Radix, who retired this spring.   

  

About Muriel Goode-Trufant  Muriel Goode-Trufant began her career at the New York City Law Department in 1991 as an attorney in the General Litigation Division, where she held numerous roles, including assistant chief of the division. She later became the agency’s equal employment opportunity officer and rose to the position of chief in the Special Federal Litigation Division. Goode-Trufant became the Law Department’s managing attorney in 2015 and first assistant corporation counsel in 2023. Before working for the city, she was an associate at the Philadelphia law firm Cohen, Shapiro, Polisher, Shiekman and Cohen. Goode-Trufant has won numerous legal awards, including the Law Department’s highest honor, the Corporation Counsel’s Award for Distinguished Legal Service, in 2011. Goode-Trufant is a graduate of Temple University School of Law and the University of Pennsylvania.     

Three Charged in Fentanyl/Heroin Packaging Operation in the Bronx: Over 13 Pounds of Illicit Drug Mixtures Seized


Bags of Narcotics Tossed from 9th Floor Window onto Ground and Neighbors’ Balconies

As part of an ongoing investigation          into fentanyl/heroin trafficking in New York City, federal, state and local law enforcement officers recovered over 13 pounds of drug mixtures, including fentanyl, heroin, xylazine, methamphetamine, and cocaine, from inside a packaging mill. The drugs are estimated to carry a street value of over $2 million. An indictment filed by the Office of the Special Narcotics Prosecutor (SNP) in Manhattan Supreme Court charges three individuals in connection with the packaging operation, which was based inside 2300 Olinville Avenue, a residential building located across from PS 96, The Richard Rogers School. 

Bridget G. Brennan, New York City’s Special Narcotics Prosecutor, Bronx District Attorney Darcel D. Clark, Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration’s (DEA) New York Division (NY), New York City Police Commissioner Jessica S. Tisch, and New York State Police Superintendent Steven G. James announced the arrest and indictment of Juancito RIVERA, Josue PICHARDO, and Joseph MARTINEZ. The indictment, unsealed today in conjunction with arraignments in Manhattan Supreme Court, contains charges of Criminal Possession of a Controlled Substance in the First, Second and Third Degrees.

The investigation was conducted by the New York Drug Enforcement Task Force (NYDETF) Group T-21, comprised of agents and officers from DEA New York Division, the New York City Police Department (NYPD) and the New York State Police, with assistance from SNP’s Investigators Unit.

Special Narcotics Prosecutor Bridget Brennan said, “This organization demonstrated callous disregard not only for the lives of its customers, but also for residents of the surrounding neighborhood. Our investigation interrupted the packaging and distribution of hundreds of thousands of dosages of dangerous drug mixtures, including opioids, sedatives, and stimulants. Those who lived in the 20-story apartment building where this organization was based had no warning of the risks they were exposed to, even as 17 large packages of potentially deadly substances were hurled out of a window. I commend the New York Drug Enforcement Task Force and my office’s Special Investigations Bureau and Investigators Unit for saving lives by dismantling this operation.”

Bronx District Attorney Darcel D. Clark said, “It is deeply concerning that an illegal narcotics packaging mill operated across the street from a public school, involving fentanyl and xylazine, two highly toxic drugs, and cocaine, heroin and methamphetamine. Thirteen pounds of these substances were recovered, and I thank our local, state and federal partners for intercepting these drugs that continue to ravage our communities. Xylazine was involved in more than a quarter of fatal overdoses in the city in 2023; opioid overdose reversal drugs are not effective on it, making it even more dangerous.”

DEA Special Agent in Charge Frank A. Tarentino III said: “Over the past few months, our DEA New York team, along with our law enforcement partners, targeted individuals involved in the packing and distribution of illicit narcotics, which included both fentanyl and xylazine. Knowing the harmful effects that both fentanyl and xylazine poise, these dealers continued to mix both into their product, recklessly endangering the lives of those individuals they distributed to. The DEA remains committed to saving lives and will never stop targeting those responsible for poisoning our communities.”

NYPD Commissioner Jessica S. Tisch said, “Today’s charges should serve as a warning to anyone seeking to profit from the packaging and distribution of illegal drugs anywhere in New York City. Dedicated investigators from the NYPD, in collaboration with our state and federal law enforcement partners, are tirelessly working day and night to root you out and hold you accountable for your actions. I commend all the members of the NYDETF and everyone at the office of New York City’s Special Narcotics Prosecutor for their unwavering efforts on this case, and their ongoing commitment to ensuring the safety and quality of life of all New Yorkers.”

New York State Police Superintendent Steven G. James said, “We continue to work with our local and federal partners to target those who are trafficking dangerous narcotics in our communities. This investigation has shut down a major packaging operation and has taken 13-pounds of deadly heroin and fentanyl off the streets. I want to thank our members and partners for their outstanding work.”

During a short-term investigation, members of NYDETF Group T-21 conducted physical and electronic surveillance at 2300 Olinville Avenue and identified a suspected drug packaging location within Apartment 9A. Several individuals, including MARTINEZ, RIVERA, and PICHARDO, were observed coming and going from the apartment, sometimes carrying bags. MARTINEZ is alleged to have operated the mill and was the target of the investigation

On November 6, 2024, at approximately 9:45 p.m., members of NYDETF Group T-21 arrived at 2300 Olinville Avenue, Apartment 9A, to conduct a court authorized search. As agents and officers worked to open the apartment door, which was secured by multiple deadbolt locks, an NYPD detective assigned to NYDETF was stationed outside the residential building and observed bags of what appeared to be drugs being tossed from a 9th floor window. 

Approximately 10 individual bags containing narcotics and other substances were recovered from the ground outside 2300 Olinville Avenue. Another seven bags were found on neighboring balconies underneath the window on the 7th and 8th floors. Subsequent DEA laboratory analysis determined these bags contained various mixtures and quantities of fentanyl, heroin, xylazine, methamphetamine and cocaine, as well as other substances.

When agents and officers entered the apartment, RIVERA was allegedly near the front door and MARTINEZ and PICHARDO were allegedly in a back bedroom that contained the window from which the drugs were tossed.

During the search of this bedroom and another bedroom in the apartment, agents and officers allegedly recovered approximately 17 large bags of suspected drugs. DEA laboratory analysis later determined these bags contained various mixtures of fentanyl, heroin, xylazine, and methamphetamine. 

A bag containing over three pounds of xylazine mixed with caffeine were also found. Additionally, agents and officers recovered tens of thousands of individual dose glassine envelopes filled with mixtures of fentanyl, heroin and xylazine.

A non-controlled substance, xylazine is present in a significant proportion of overdose deaths in New York City. According to the New York City Department of Health and Mental Hygiene, xylazine was involved in more than a quarter of fatal overdoses in New York City in 2023. It is often found mixed with fentanyl and is not responsive to opioid overdose reversal drugs. 

Also in the apartment, agents and officers recovered over $3,700 cash and all the equipment necessary for packaging drugs, including empty glassine envelopes, strainers, grinders, and kilogram press devices.

During arraignments this morning, Manhattan Supreme Court Abraham Clott ordered MARTINEZ held without bail. RIVERA and PICHARDO are on supervised release with electronic monitoring.

Special Narcotics Prosecutor Bridget Brennan thanked Bronx District Attorney Darcel D. Clark, and commended SNP’s Special Investigations Bureau and Investigators Unit, DEA New York Division, the New York Drug Enforcement Task Force, the New York City Police Department, and the New York State Police for their work on the investigation.

Defendants

 

Charges

Juancito Rivera

Bronx, NY

Age: 34

CPCS 1st – 1 ct

CPCS 2nd – 1 ct

CPCS 3rd – 1 ct

Josue Pichardo

New York, NY

Age: 27

CPCS 1st – 1 ct

CPCS 2nd – 1 ct

CPCS 3rd – 1 ct 

Joseph Martinez

Teaneck, NJ

Age: 32

CPCS 1st – 1 ct

CPCS 2nd – 1 ct

CPCS 3rd – 1 ct

The charges and allegations are merely accusations, and the defendants are presumed innocent until proven guilty.