ICE and State, Local Law Enforcement 287(g) Partners Launch Initiative to Protect Vulnerable Children the Biden Administration Allowed to be Placed with Unvetted Sponsors

 

Many of the sponsors of these unaccompanied children are often criminals including sex traffickers, gang members, and abusers 

U.S. Immigration and Customs Enforcement (ICE) launched an initiative with our state and local law enforcement 287(g) partners aimed at protecting the 450,000 unaccompanied children (UAC) illegally smuggled over the border and placed with unvetted sponsors under the Biden administration.

This new law enforcement partnership, known as the UAC Safety Verification Initiative, represents ICE’s commitment to protect vulnerable children from sexual abuse and exploitation through collaboration with 287(g) law enforcement partners. The primary focus of this initiative is to conduct welfare checks on these children to ensure that they are safe and not being exploited. 

The Biden administration's open border policies empowered human and sex traffickers. The Trump administration is taking a sledgehammer to human trafficking rings and ensuring these children who were smuggled across the border are not being abused.

“Secretary Noem is leading efforts to rescue and stop the exploitation of the 450,000 unaccompanied children the Biden administration lost or placed with unvetted sponsors. Many of the children who came across the border unaccompanied were allowed to be placed with sponsors who were smugglers and sex traffickers. The Trump administration has located more than 24,400 of these children in-person, in the United States, through visits and door knocks," said Assistant Secretary Tricia McLaughlin. "We've jumpstarted our efforts to rescue children who were victims of sex and labor trafficking by working with our state and local law enforcement partners to locate these children. President Trump and Secretary Noem are laser-focused on protecting children and will continue to work with federal, state, and local law enforcement to reunite children with their families."

The UAC Safety Verification Initiative began on November 10 in the state of Florida and will begin rolling out with other 287(g) partners across the country.

Ensuring the safety of unaccompanied children who came across our border requires a whole-of-government approach, and partnerships with state and local law enforcement agencies through the 287(g) task force model are critical to achieving this goal.

Below are examples of ICE administrative immigration arrests based on sponsors' criminal activity: 

• In Arizona, ICE arrested a Guinean alien sponsor who had been arrested by Arizona law enforcement for felony aggravated assault.
• In Florida:
  • ICE arrested a Honduran alien sponsor who had been convicted by Florida authorities for assault.
  • ICE arrested a Honduran alien sponsor who had been criminally arrested by Florida law enforcement for larceny, fraud, and counterfeiting.
  • ICE arrested a Honduran alien sponsor who had been criminally arrested by Florida law enforcement for attempted robbery with a weapon. 
  • ICE arrested a Guatemalan alien sponsor who had been arrested by Florida law enforcement for felony hit and run and driving without a license.
• In Georgia, ICE arrested a Guatemalan alien sponsor who had been convicted of domestic violence by Georgia authorities.
• In Maryland, ICE arrested a Guatemalan alien sponsor who had been arrested by Maryland law enforcement for rape of the unaccompanied child.
• In Massachusetts, ICE arrested an Ecuadorian alien sponsor who had been criminally arrested for enticement of a child under 16 and possession of child sexual abuse material.
• In Michigan, ICE arrested an El Salvadoran alien sponsor who had been convicted for drug trafficking. 
• In Nevada, ICE arrested a Honduran alien sponsor who had been arrested by Nevada law enforcement for assault.
• In New Jersey, ICE arrested a Guatemalan alien sponsor wanted for attempted aggravated homicide.
• In New York, ICE arrested a Venezuelan alien sponsor who had been criminally arrested by New York law enforcement for prostitution, possession of marijuana, and failure to appear.
• In North Carolina, ICE arrested a Guatemalan alien sponsor who had been criminally arrested by North Carolina law enforcement for attempted murder.
• In Ohio, ICE arrested a Honduran alien sponsor who had been convicted by Ohio authorities for a felony weapon offense.
• In Pennsylvania, a sponsor had already been removed to Honduras subsequent to an arrest for aggravated assault with a deadly weapon.
• In Texas, ICE and local law enforcement arrested a Guatemalan alien sponsor unrelated to the unaccompanied child for human trafficking and statutory rape. The 14-year-old unaccompanied child was pregnant with the sponsor’s baby.

Cryptocurrency Investment Firm Founder Sentenced to Five Years in Prison for Defrauding Investors in $9.4M Ponzi Scheme

 

An Oklahoma man was sentenced to 60 months in prison and ordered to pay over $1 million in forfeiture and over $170,000 in restitution for his leading role in a cryptocurrency investment fraud conspiracy.

According to court documents and admissions, Travis Ford, 36, of Glenpool, Oklahoma, was the CEO, co-founder, and head trader of Wolf Capital Crypto Trading LLC, a cryptocurrency investment firm that raised $9.4 million from approximately 2,800 investors. From at least January 2023 through at least August 2023, Ford solicited investments through the company website and other social media and internet-based promotion activities. Ford held himself out as a sophisticated trader, able to deliver high returns of 1–2% per day (approximately 547% per year). As part of his guilty plea, Ford admitted that he did not believe those promised investment returns were possible to achieve consistently. Instead, Ford and his co-conspirators allegedly made such false promises to induce members of the public to invest money in the company. Ford then misappropriated and diverted investor funds to benefit himself and his co-conspirators, to the financial detriment of investors.

In January 2025, Ford pleaded guilty to one count of conspiracy to commit wire fraud.

Acting Assistant Attorney Matthew R. Galeotti and Inspector in Charge Eric Shen of the U.S. Postal Inspection Service (USPIS) Criminal Investigations Group made the announcement.

The USPIS is investigating the case.

Eight Men Charged In Conspiracy To Steal More Than 100 Cars And Sell Them To Unsuspecting Buyers

 

Years-long Scheme Caused Millions of Dollars of Losses

United States Attorney for the Southern District of New York, Jay Clayton, Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), Ricky J. Patel, Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch, and Superintendent of the New York State Police (“NYSP”), Steven G. James, announced the unsealing of a Complaint charging eight defendants in connection with operating a years-long stolen car ring involving more than approximately 100 stolen cars, primarily Honda, Acura, and Jeep vehicles, worth approximately millions of dollars.  The defendants are charged with conspiracy to possess and sell stolen vehicles, wire fraud, and conspiracy to commit wire fraud.  Six of the defendants were arrested and presented in Manhattan federal court before U.S. Magistrate Judge Robyn F. Tarnofsky. 

“New Yorkers have every right to expect safety and security on our streets and in our homes,” said U.S. Attorney Jay Clayton.  “New Yorkers are smart.  They know that car theft rings and other fraud schemes inflict great harm on their victims and cost all of us.  As alleged, the eight men charged stole cars from the streets of New York, time and again, and trafficked them to unsuspecting buyers along the East Coast, causing millions of dollars in losses. These arrests reinforce that when thieves prey upon hardworking New Yorkers, the women and men of the SDNY and our law enforcement partners will bring them to justice on behalf of all law-abiding New Yorkers.” 

“This announcement highlights HSI New York's unwavering commitment to ensuring a safer community and to pursuing all individuals and co-conspirators allegedly tied to this auto theft ring,” said HSI Special Agent in Charge Ricky J. Patel.  “This is not a victimless crime; a stolen car disrupts daily life and inflicts lasting harm on innocent New Yorkers, robbing them of their sense of security and stability.  The public deserves to know their neighborhoods are safe, that they can park their vehicles without fear, and that their hard-earned purchases are protected.  HSI New York, in collaboration with our law enforcement partners, will continue to identify, dismantle, and deter the criminal networks that exploit our neighborhoods and threaten our livelihoods.”

“Hondas continue to represent a significant number of auto thefts in New York City, and the NYPD is doing exactly what we do best to combat crime: finding the criminals responsible and stopping their illegal operations,” said NYPD Commissioner Jessica S. Tisch.  “Through precision policing and a multi-year investigation, the world’s greatest detectives dismantled this massive criminal ring – and I want to thank the NYPD investigators for their commitment to this case, as well as HSI and the U.S. Attorney’s Office for their continued partnership.”

“Through collaboration among law enforcement partners at all levels, we have intercepted a highly organized car theft operation that was responsible for victimizing car buyers across the East Coast,” said NYSP Superintendent Steven G. James.  “The defendants had no regard for the financial damage they inflicted or for the safety of the victims.  I commend the efforts of all those involved in bringing this criminal activity to an end and for the outstanding work that led to the charges in this case.”

According to the allegations contained in the Complaint:[1]

From approximately March 2022 through November 2025, the defendants and others conspired to steal cars—primarily those parked on the street in the Bronx or Queens, New York—and sell them to unsuspecting buyers across the East Coast.  After stealing the cars, the defendants and their co-conspirators stashed them in so-called lay-up spots for a cooling-off period to avoid law enforcement detection. Meanwhile, they took steps to disguise the fact that the cars had been stolen.  They altered the cars’ Vehicle Identification Numbers (“VINs”) and then obtained services for the cars—often an oil change—using the new, fake VINs.  This allowed the defendants to obtain vehicle history reports that appeared to show genuine maintenance and other activity, thereby helping the defendants to trick purchasers into believing that the car was not stolen.  The defendants then offered to sell the stolen cars, generally starting on a social media platform that allows users to buy and sell products and then completing the sale in person. 

PEDRO MANUEL LOPEZ MARTE, 38, of the Bronx, New York; JERRY LOPEZ PAULINO, 33, of the Bronx; SERGIO DIAZ RAMIREZ, 35, of the Bronx; PEDRO ROJAS, 62, of the Bronx; JUSTIN MARTHA, 24, of the Bronx; ERICK ROJAS CRUZ, 27, of the Bronx; JOSE FERREIRA, 48, of the Bronx; and RONALD ARIAS SANTOS, 30, of Hempstead, New York, are each charged with one count of conspiracy to possess and sell stolen vehicles, which carries a maximum sentence of five years in prison; one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; and one count of wire fraud, which carries a maximum sentence of 20 years in prison.

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

Mr. Clayton praised the efforts of the NYPD Auto Crime Division Major Case Team, the special agents and task force officers from the HSI New York Seaport Trade Group, and the NYSP Auto Theft Unit.

The case is being handled by the Office’s General Crimes Unit.  Assistant U.S. Attorney James Mandilk is in charge of the prosecution.

The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

State Comptroller Thomas P. DiNapoli's Weekly News - State Pension Fund Posts Strong Second-Quarter Returns

 

State Pension Fund Posts Strong Second-Quarter Returns

The estimated value of the New York State Common Retirement Fund was $291.4 billion at the end of the second quarter of State Fiscal Year 2025-26, Comptroller DiNapoli announced. Fund investments returned an estimated 4.13% for the quarter and 9.82% for the first six months of the fiscal year.

"Despite ongoing domestic and global volatility, financial markets have performed well over the past quarter, benefitting the state pension fund,” DiNapoli said. “Yet concerns over a slowing labor market, inflation and uncertain federal policy warn of turbulence ahead. Our diversification strategy, long-term perspective and effective management strongly positions the Fund to ensure that state and local government employees will receive the retirement benefits they have earned, even amid any market fluctuations.”

The Fund's audited value was $273.1 billion as of March 31, 2025, the end of the state’s fiscal year.

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Comptroller DiNapoli's Fight Against Public Corruption

Comptroller DiNapoli is committed to fighting public corruption through a strong partnership with law enforcement. The Comptroller's anti-corruption initiative investigates corruption and fraud in state and local government, fraud and abuse of public resources by private entities, and pension fraud. These efforts have brought those who tried use their positions for personal benefit to justice and have recouped stolen taxpayer money. The Comptroller actively encourages the public to report any evidence they find of fraud and abuse. 

 

New Yorkers can report allegations of fraud involving taxpayer money by visiting the Office of the State Comptroller Division of Investigations, calling the toll-free Fraud Hotline at 1-888-672-4555, by emailing a complaint to investigations@osc.ny.gov or by mailing a complaint to: Office of the State Comptroller, Division of Investigations, 8th Floor, 110 State St., Albany, NY 12236. All complaints are confidential.

 

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Comptroller DiNapoli Updates NYC 311 Services Monitor

Continuing efforts to promote data-informed decision-making and increased transparency, Comptroller DiNapoli has updated the NYC311 Monitoring Tool through the first three quarters of 2025. New York City residents can look at the service request types and complaints in their borough, neighborhood, and zip code to see what issues can be improved on. Parking issues and housing conditions continue to be major items that residents are reporting at higher levels than last year, while residential and street noise violations are down compared to last year. 

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Comptroller DiNapoli Releases October Cash Report

State tax receipts for State Fiscal Year (SFY) 2025-26 totaled $63.6 billion through October, $5 billion (or 8.5%) higher than the same period last year, according to the monthly State Cash Report released by Comptroller DiNapoli. In comparison to the Division of the Budget’s Mid-Year Update to the SFY 2025-26 Enacted Budget Financial Plan estimates, year-to-date collections were $296.7 million higher.

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M U N I C I P A L  &  S C H O O L   A U D I T S

• Serven Volunteer Fire Company – Board Oversight
• Border City Fire District – Board Oversight
• Border City Hose Company – Financial Oversight
• Henderson Fire District – Financial Activities
• Canisteo-Greenwood Central School District – Claims Auditing

A L S O   I N   T H E   N E W S

• After much lobbying, NY agrees to require personal finance classes in school
• Oversight gaps allowed court-ordered mental health treatments to lapse
• New York let $10M in improper Medicaid payments slip through
• New Windsor couple charged with stealing over $2 million from New York

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P O S T   O F   T H E   W E E K

Attorney General James’ Office of Special Investigation Opens Investigation into Civilian Death in Manhattan

 

The New York Attorney General’s Office of Special Investigation (OSI) has opened an investigation into the death of a civilian who died on November 13, 2025 following an encounter with members of the New York City Police Department (NYPD) in Manhattan.

At approximately 7:20 p.m. on November 13, NYPD officers were canvassing an area after receiving multiple 911 calls reporting a man with a gun. Officers encountered a man matching the description with a gun in his hand at an address on Madison Avenue in Manhattan. The man fired the gun, and officers discharged their service weapons in response, striking the man. He was taken to a local hospital, where he was pronounced dead. Officers recovered a gun at the scene.

Pursuant to New York State Executive Law Section 70-b, OSI assesses every incident reported to it where a police officer or a peace officer, including a corrections officer, may have caused the death of a person by an act or omission. Under the law, the officer may be on-duty or off-duty, and the decedent may be armed or unarmed. Also, the decedent may or may not be in custody or incarcerated. If OSI’s assessment indicates an officer may have caused the death, OSI proceeds to conduct a full investigation of the incident.

These are preliminary facts and subject to change.   

Permits Filed for 1911 Harrison Avenue in Morris Heights, The Bronx

 

Permits have been filed for an eight-story residential building at 1911 Harrison Avenue in Morris Heights, The Bronx. Located between West Burnside Avenue and Morton Place, the lot is near the Tremont Avenue subway station, served by the B and D trains. Daniel Rrezja of Albundian LLC is listed as the owner behind the applications.

The proposed 79-foot-tall development will yield 19,264 square feet designated for residential space. The building will have 28 residences, most likely rentals based on the average unit scope of 688 square feet. The concrete-based structure will also have a 30-foot-long rear yard.

Jakov Saric of Node Architecture, Engineering, Consulting PC is listed as the architect of record.

Demolition permits have not been filed yet. An estimated completion date has not been announced.

Department of Homeland Security Contractor Agrees to Pay $3.9M to Resolve Alleged Violations of the False Claims Act

Zephyr Aviation LLC, located in Mineral, Virginia, and its owners Frederick Credno Jr. and Frederick W. Credno III have agreed to pay $3,901,000 to resolve allegations that they violated the False Claims Act by submitting inflated invoices for aviation contracts to the Department of Homeland Security (DHS).

“Companies that do business with the government are expected to charge the United States accurately for the goods and services they provide,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “The Department will continue to pursue those who knowingly overcharge the government at the expense of the American taxpayers.”

“With this settlement, we are sending a clear message that committing fraud in federal contracts will be met with significant sanctions against those defrauding the American taxpayer,” said Inspector General Joseph V. Cuffari of the Department of Homeland Security Office of Inspector General (DHS-OIG). “I commend our law enforcement partners and the Department of Justice’s Civil Fraud Section for tirelessly pursuing this investigation to hold these individuals accountable.”

“This settlement showcases CBP OPR’s ongoing commitment to accountability and integrity,” said Acting Assistant Commissioner Robert B. Danley of the Customs and Border Protection (CBP) Office of Professional Responsibility. “Today’s settlement reaffirms our duty to protect taxpayers and hold accountable those who take advantage of our government programs.”

This settlement resolves allegations pertaining to contracts with DHS under which Zephyr chartered flights to transport persons in the custody of CBP between 2022 and 2025. In connection with these contracts, Zephyr subcontracted with various aircraft operators to fly the required flights, and Zephyr submitted invoices to CBP purportedly based on the required flight times. The United States alleged that Zephyr and its owners routinely submitted invoices to DHS that requested payment for flight hours that exceeded the actual flight times of the aircraft operators.

The resolution obtained in this matter was the result of a coordinated effort among the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, U.S. Customs and Border Protection, and DHS Office of Inspector General. The matter was handled by Trial Attorney Daniel W. Kastner of the Fraud Section.

The claims resolved by the settlement are allegations only and there has been no determination of liability. 

Update from the Office of the NYC Comptroller on New Municipal Employee Health Insurance

 

Pursuant to the New York City Charter, the Office of the New York City Comptroller is responsible for reviewing and registering contracts entered into by City agencies to ensure that they comply with procedural requisites established by the Charter and the Procurement Policy Board. The Comptroller’s review does not address the substance of the contract, but instead whether the procurement process followed established procedures. In those cases (fewer than one percent) where established procedures have not been followed, the Comptroller returns the contract to the contracting agency, which can either withdraw the contract, correct and resubmit, or deem the contract registered over the Comptroller’s Office’s objection. This review must be performed, and the contract registered or returned within thirty days of contract submission to the Comptroller’s Office. During Comptroller Lander’s tenure, the Office reviewed and registered over 60,000 contracts and returned fewer than one percent.

After its review of the contract submitted by the NYC Office of Labor Relations (OLR) for the NYC Employees PPO plan (NYCE PPO), offered by EmblemHealth (Emblem) and United Healthcare (UHC), the Comptroller’s Office concluded that all procedural requisites for the procurement process were met. As a result, the Comptroller’s Office registered the contract, effective November 13, 2025. The NYCE PPO contract will replace the City’s current healthcare plan for active employees, currently held by GHI CBP/Anthem BlueCross and BlueShield.

In June 2023, the Comptroller’s Office declined to register the City’s proposed contract with Aetna to shift City retirees to a Medicare Advantage health plan. In that case, pending litigation called into question the legality of this procurement and constrained the Comptroller’s Office from confirming that procurement rules were followed, sufficient funds were available, and the City had the necessary authority to enter into the contract. In this case, the parties filed a lawsuit petitioning for a temporary restraining order to prevent the City from being able to replace the GHI plan with the self-insured NYCE PPO; the judge denied that request on Thursday, November 6 and allowed the City to proceed with the procurement.

During the contract review, the Comptroller’s Office posed a number of questions to OLR as part of its due diligence. Summaries of the answers to those and other frequently asked questions regarding changes to the municipal health offerings are provided below.

Procurement Requisites

Q: How was this contract procured?

A: This was a complex procurement that required significant collaboration between the City and the Municipal Labor Committee. OLR complied with all applicable public notice requirements in soliciting expressions of interest from qualified vendors and received several that were determined to be qualified to advance to the negotiation stage. Ultimately, a handful of qualified vendors submitted responsive proposals and an evaluation committee reviewed and scored all proposals and requested best and final offers from finalists before making a vendor selection, with the goal of achieving the best possible combination of services and pricing for City employees, pre-Medicare retirees, and their dependents.

Q: This contract is a self-insured health plan, rather than a fully-insured plan or a minimum premium plan (like the current GHI-CBP plan). Was that OLR’s intention from the start?

The initial procurement contemplated selection of a vendor to provide either a fully-insured health plan or a self-insured health plan. A fully insured health plan entails that the selected health carrier charge a monthly premium composed of both the healthcare claims cost (the actual medical/hospital healthcare costs) and the health carrier administrative services fee. In a self-insured health plan, the selected health carrier charges for administrative fees only, as the City is responsible for the payment of the healthcare claims. For this contract, the estimated administrative fee for the base term of the contract and the renewal is $950 million.

Q: Mid-registration review period, a lawsuit was filed. What makes this different than when the Comptroller previously denied a contract when litigation was pending, such as the Medicare Advantage contract?

A: When a contract comes to the Comptroller’s Office for registration where pending litigation calls into question the legality of that procurement, it may constrain us from fulfilling our Charter mandated duties.

In this case, the parties filed a lawsuit petitioning for a temporary restraining order to prevent the City from being able to replace the GHI plan with the self-insured NYCE PPO; the judge denied that request on Thursday, November 6 and allowed the City to proceed with the procurement.

Changes to Municipal Health Offerings

Q: Is my doctor covered by the switch in health insurance coverage?

A: To see if your health provider is covered by the new NYCE PPO, visit https://www.emblemhealth.com/providers/resources/nyce-ppo/faqs

Q: What, if any, guarantees or measures exist to guard against future changes in provider network? 

A: There is a network adequacy commitment that guarantees both a minimum number of providers and a minimum percentage of claims in-network. Both these commitments protect against significant adverse changes in the provider network.

Budgetary Analysis

Q: How much will this save the City in costs?

A: OLR estimates the cost reductions will be approximately $900 million starting from the first year of the contract. Cost reductions are attributed to 1) provider discounts; and 2) plan management.