19 Defendants Charged With Defrauding The National Basketball Association Players’ Health And Welfare Benefit Plan

 

18 Former Players of the National Basketball Association and a Spouse of a Former Player Alleged to Have Submitted Nearly $4 million in Fraudulent Reimbursement Claims for Medical Services that They Never Received

 Audrey Strauss, the United States Attorney for the Southern District of New York, Michael J. Driscoll, Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Dermot Shea, Police Commissioner of the City of New York (“NYPD”), announced today the unsealing of an Indictment charging TERRENCE WILLIAMS, ALAN ANDERSON, ANTHONY ALLEN, DESIREE ALLEN, SHANNON BROWN, WILLIAM BYNUM, RONALD GLEN DAVIS, CHRISTOPHER DOUGLAS-ROBERTS, a/k/a “Supreme Bey,” MELVIN ELY, JAMARIO MOON, DARIUS MILES, MILTON PALACIO, RUBEN PATTERSON, EDDIE ROBINSON, GREGORY SMITH, SEBASTIAN TELFAIR, CHARLES WATSON JR., ANTOINE WRIGHT, and ANTHONY WROTEN with conspiracy to commit health care fraud and wire fraud, in connection with a scheme to defraud the National Basketball Associations (“NBA’s”) Health and Welfare Benefit Plan out of nearly $4,000,000.  TERRENCE WILLIAMS is also charged with aggravated identity theft in connection with the same scheme.  The case is assigned to U.S. District Judge Valerie E. Caproni.

Manhattan U.S. Attorney Audrey Strauss said: “The defendants’ playbook involved fraud and deception. Thanks to the hard work of our law enforcement partners, their alleged scheme has been disrupted and they will have to answer for their flagrant violations of law.”

FBI Assistant Director Michael J. Driscoll said: “Today we’ve charged 18 former NBA players and one spouse for their alleged participation in a health care fraud scheme that resulted in nearly $2 million in losses to the National Basketball Association’s Health and Welfare Benefit Plan. The health care industry loses tens of billions of dollars a year to fraud. Thanks to the work of our dedicated FBI agents and partners alike, cases like this demonstrate our continued focus in uncovering health care fraud scams that harm both the industry and the consumers of their services.”

NYPD Commissioner Dermot Shea said: “Today’s federal indictment represents the NYPD’s long-term commitment, working with its law enforcement partners, in making sure those accused of health care related fraud are held accountable. I commend those involved in the investigation, the FBI, and the office of the United States Attorney for the Southern District in New York for its work in ensuring there is justice in this case.”

TERRENCE WILLIAMS, ALAN ANDERSON, DESIREE ALLEN, SHANNON BROWN, WILLIAM BYNUM, RONALD GLEN DAVIS, MELVIN ELY, JAMARIO MOON, DARIUS MILES, MILTON PALACIO, RUBEN PATTERSON, SEBASTIAN TELFAIR, CHARLES WATSON JR., ANTOINE WRIGHT, GREGORY SMITH, and ANTHONY WROTEN were arrested today. 

WILLIAMS and WROTEN will be presented in the Western District of Washington.  DAVIS will be presented in the Central District of California.  SMITH will be presented in the Eastern District of California.  PATTERSON will presented in the Northern District of Ohio.  MOON will be presented in the Northern District of Alabama.  BYNUM and ELY will be presented in the Northern District of Illinois.  MILES will be presented in the Middle District of Florida.  ANDERSON, WATSON, and WRIGHT will be presented in the District of Nevada.  BROWN will be presented in the Northern District of Georgia.  DESIREE ALLEN will be presented in the Western District of Tennessee.  TELFAIR will be presented in the Southern District of New York before U.S. Magistrate Judge Katharine H.  Parker.

ANTHONY ALLEN, DOUGLAS-ROBERTS, and ROBINSON remain at large.

As alleged in the Indictment unsealed today[1]:

The National Basketball Association Players’ Health and Welfare Benefit Plan (the “Plan”) is a health care plan providing benefits to eligible active and former players of the NBA. From at least in or about 2017, up to and including at least in or about 2020, TERRENCE WILLIAMS, ALAN ANDERSON, ANTHONY ALLEN, DESIREE ALLEN, SHANNON BROWN, WILLIAM BYNUM, RONALD GLEN DAVIS, CHRISTOPHER DOUGLAS-ROBERTS, a/k/a “Supreme Bey,” MELVIN ELY, JAMARIO MOON, DARIUS MILES, MILTON PALACIO, RUBEN PATTERSON, EDDIE ROBINSON, GREGORY SMITH, SEBASTIAN TELFAIR, CHARLES WATSON JR., ANTOINE WRIGHT, and ANTHONY WROTEN engaged in a widespread scheme to defraud the Plan by submitting and causing to be submitted fraudulent claims for reimbursement of medical and dental services that were not actually rendered. Over the course of the scheme, the defendants submitted and caused to be submitted to the Plan false claims totaling nearly $4 million.

WILLIAMS orchestrated the scheme to defraud the Plan. WILLIAMS recruited other Plan participants to defraud the Plan by offering to provide them with false invoices to support their fraudulent claims.  WILLIAMS provided ANDERSON, ANTHONY ALLEN, DESIREE ALLEN, BROWN, BYNUM, DAVIS, DOUGLAS-ROBERTS, ELY, MOON, MILES, PALACIO, PATTERSON, ROBINSON, SMITH, TELFAIR, WATSON, WRIGHT, and WROTEN with false provider invoices, which those defendants then submitted and caused to be submitted to the Plan for reimbursement of fraudulent claims. 

WILLIAMS provided the other charged defendants fake invoices from a particular Chiropractic Office in California, which were created by individuals working with WILLIAMS.  In addition, WILLIAMS obtained fraudulent invoices from a dentist affiliated with dental offices in Beverly Hills, California, and from a doctor at a Wellness Office in Washington State.  The fraudulent invoices purported to document that ANDERSON, ANTHONY ALLEN, DESIREE ALLEN, BROWN, BYNUM, DAVIS, DOUGLAS-ROBERTS, ELY, MOON, MILES, PALACIO, PATTERSON, ROBINSON, SMITH, TELFAIR, WATSON, WRIGHT, and WROTEN, and, in some cases, members of their families, had been recipients of expensive medical and dental services.  But the defendants had not received the medical or dental services described in the invoices WILLIAMS provided them.  In many instances, the defendants were not even located in the vicinity of the service providers on the dates the invoices stated they received medical or dental services.  In particular, GPS location information and/or documents, such as flight records, show that the defendants were in locations other than the vicinity of the medical or dental offices falsely claimed as the providers of services.

In return for his provision of false supporting documentation for their fraudulent claims, many of the defendants paid WILLIAMS kickbacks, totaling at least approximately $230,000.  WILLIAMS also used the personal identifying information of an employee of the Administrative Manager, which managed the Plan, in the course of the fraud scheme.

TERRENCE WILLIAMS, ALAN ANDERSON, ANTHONY ALLEN, DESIREE ALLEN, SHANNON BROWN, WILLIAM BYNUM, RONALD GLEN DAVIS, CHRISTOPHER DOUGLAS-ROBERTS, a/k/a “Supreme Bey,” MELVIN ELY, JAMARIO MOON, DARIUS MILES, MILTON PALACIO, RUBEN PATTERSON, EDDIE ROBINSON, GREGORY SMITH, SEBASTIAN TELFAIR, CHARLES WATSON JR., ANTOINE WRIGHT, and ANTHONY WROTEN are each charged with one count of conspiracy to commit health care fraud and wire fraud, which carries a maximum sentence of 20 years in prison.  TERRENCE WILLIAMS is also charged with one count of aggravated identity theft, which carries a mandatory minimum sentence of two years in prison.  The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.

Ms. Strauss praised the outstanding investigative work of the FBI/NYPD Health Care Fraud Task Force, which is composed of agents, detectives, and investigators from the FBI, the NYPD, and other law enforcement entities.  Ms. Strauss additionally praised the work of the FBI’s Seattle, Los Angeles, Cleveland, Birmingham, Chicago, Sacramento, Memphis, Tampa, Las Vegas, Atlanta, Portland, and Detroit Field Offices.

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

[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.

Governor Hochul Signs Legislation Package to Combat Opioid Crisis

 

S.911/A.2354 Relates to the Possession of Opioid Antagonists 

  

S.1795/A.533 Relates to the Establishment of a Program for the Use of Medication Assisted Treatment for Incarcerated Individuals 

  

S.2523/A.868 Decriminalizes the Possession and Sale of Hypodermic Needles and Syringes 

  

S.6044/A.128 Establishes an Online Directory for Distributers of Opioid Antagonists 

  

S.7228/A.5511 Relates to a Judicial Diversion Program for Certain Felony Offenders 

 Governor Kathy Hochul today at John Jay College signed legislation (S.911/A.2354, S.1795/A.533, S.2523/A.868, S.6044/A.128, S.7228/A.5511) aimed toward reducing drug-related overdose deaths across New York State and encouraging those suffering from addiction to seek help in their recovery.

"Addiction can impact any family, suddenly and harshly - those who find themselves trapped in a vicious cycle are there through no fault of their own," Governor Hochul said. "This is a personal battle for me and I am proud to be able to combat the opioid crisis by signing these bills into law. There is no shame in seeking help for substance use and I want to let all New Yorkers know that we are here for you. Treatment should always be accessible for those who need it."

Legislation S.911/A.2354 amends the criminal procedure law, the civil practice law and rules and the executive law to promote the use of opioid antagonists in preventing drug-related overdoses. This bill will decriminalize possession of opioid antagonists, which are drugs that block opioids by attaching to opioid receptors without activating them. 

Legislation S.1795/A.868 works to establish a program for the use of medication assisted substance use disorder treatment for incarcerated individuals in state and local correctional facilities. Expanding medication assisted treatment, MAT, across state and local facilities will allow incarcerated individuals access to medications and therapies to provide them the opportunity to overcome substance use and lessen the likelihood that they may suffer drug-related overdoses upon their reentry into society.

Legislation S.2523/A.868 decriminalizes the possession and sale of hypodermic needles and syringes. The act of decriminalizing drug-related paraphernalia contributes to public safety by permitting harm reduction approaches for those suffering from substance use disorder and by reducing the rate at which HIV and hepatitis are transmitted. 

Legislation S.6044/A.128 establishes an online directory for distributors of opioid antagonists making them more accessible to New Yorkers who may want to equip themselves with these life-saving medications. The directory is to be maintained by the Office of Addiction Services and Supports on their website.

Legislation S.7228/A.5511 expands the number of eligible crimes committed by individuals with a substance use disorder that may be considered for diversion to a substance use treatment program and updates the term "substance abuse" to "substance use." This ensures judges can order an individual to treatment instead of incarceration, allowing them a greater chance for successful, long-term rehabilitation.

DEC ANNOUNCES OCT. 16 OPENING OF STATE’S NEW CATCH-AND-RELEASE SEASON IN TROUT STREAMS

 

New Season Expands Opportunities for Trout Stream Fishing Year-Round

 New York State Department of Environmental Conservation (DEC) Commissioner Basil Seggos today reminded anglers that the State’s new catch-and-release trout stream season begins on Oct. 16, expanding recreational opportunities.

 

“Using science, research, and public input, DEC is increasing fishing opportunities while advancing responsible trout management in order to ensure trout reach their fullest ecological and recreational potential,” Commissioner Seggos said. “New York State’s new catch-and-release season in trout streams expands opportunities for anglers so they can enjoy the State’s trout stream fishing resources year-round.”

 

The new catch-and-release trout stream season is a product of DEC’s Statewide Trout Stream Management Plan, developed to improve and modernize the State’s management of its trout stream fishing resources. The new season, which runs from Oct. 16 - March 31, requires anglers to use only artificial lures and immediately release trout they catch. The catch-and-release season applies to trout streams only. Fishing for trout in lakes and ponds is prohibited after Oct. 15, unless these waters are managed under a special regulation that allows for angling. Anglers should consult DEC’s regulations guide for regulations associated with lakes and ponds that harbor trout before fishing.

 

This time period was traditionally closed to trout stream fishing as a precautionary measure during the reproductive period for wild trout. DEC biologists concluded that fishing during the spawning season will not result in negative fishery impacts. To provide due diligence, DEC will conduct an Angler Use and Wild Trout Young-of-Year Recruitment Study to gauge angling pressure and young-of-year trout abundance on a statewide sample of 19 wild trout stream reaches from 2021-2024. DEC biologists will use the results of the study to evaluate the new regulation and guide future management. Anglers are reminded to use best practices when releasing fish to ensure trout are returned to the stream immediately and unharmed. Visit https://www.dec.ny.gov/outdoor/9223.html for more information on catching and releasing fish. 

 

Anglers venturing to inland trout streams this fall should check out the DEC’s Interactive Trout Stream Fishing Map on the DECinfo Locator. The map provides anglers with a one-stop-shop for information about stocking, fishing access, season dates, and regulations. DEC encourages anglers to use this resource before hitting the water, so they are aware of all the trout stream fishing opportunities available to them both locally and afar.

For more information on freshwater fishing in New York waters, go to DEC’s Freshwater Fishing Regulations Guide at https://www.dec.ny.gov/outdoor/7917.html. Anglers interested in receiving information about fishing and fisheries management in New York can subscribe to the Fishing Line Newsletter at https://www.dec.ny.gov/public/65855.html.

Pelham Parkway Neighborhood Association October Meeting, Tuesday October 12, 2021 - 2134 Barnes Avenue 7 PM

 

Join us as the PPNA has their monthly community  meeting  on Tuesday  October  12, 2021 at 7pm at our new location 2134 Barnes Avenue (on the corner of Lydig Avenue and Barnes Avenue). We will welcome from the NYC Dept of Sanitation Citywide Community Affairs Officer Mr. Stephen J. Caruso Jr.  This is your opportunity to bring your issues, questions and concerns and problems  to this meeting. Involvement from the community  is essential  to having a safe ,clean, and graffiti  free neighborhood.  Its time to get  involved in your community  and stay involved .Your  problems get addressed and action taken. Show  up  and speak up! 

FIVE YOUTHS, EIGHT MEN INDICTED FOR CRIMES INCLUDING MURDERS OF TWO BOYS, NON-FATAL SHOOTING, CARJACKINGS

 

Rival Crews Committed Retaliation Shootings, Crimes Against Bronx Residents From May Through July; Ballistics Recovered From Boys’ Killings Matched to Nine Other Shootings

 Bronx District Attorney Darcel D. Clark and New York City Police Commissioner Dermot Shea today announced that 13 people—including five 16-year-old boys—have been indicted on charges related to the fatal shootings of a 13-year-old, a 16-year-old, and the non-fatal shooting of two men, as well as car jackings and robberies in the Bronx that occurred from May through July. 

 District Attorney Clark said, “These defendants are charged in a string of violent crimes, culminating in the murders of two boys, that contributed to a brutal summer. These indictments are an assurance to the people of the Bronx that we will hold accountable anyone who brings gunfire to our streets. But these indictments are also a tragic chronicle of a lost generation: boys and young men who turned to guns, and two lives were taken and 14 lives have been squandered. We must do something to change the course of our young people who gravitate to gangs so that they do not wind up committing serious crimes. We are experiencing an utter catastrophe in the Bronx.”

 Commissioner Shea said, “This is yet another case illustrating the endless stream of guns in our city and their devastating impact on victims’ lives. Each gun seized tells the story of kids and others gunned down in the street, of mothers and loved ones in mourning, and of neighborhoods traumatized. We remain thankful today for the courage and tenacity of our NYPD investigators and our partners in the Bronx district attorney’s office for their ceaseless commitment to public safety and for meeting this violence with meaningful consequences.” 

 District Attorney Clark said defendants Jahlil Califf, 16, and Justin Baez, 18, were charged with second-degree Murder and Manslaughter in the death of 13-year-old Jaryan Elliott; and Alec McFarlane, 16, and Tyquan Howard, 16, were charged with second-degree Murder and Manslaughter in the death of 16-year-old Ramon Gil-Medrano. Baez is also charged with Attempted Murder for a double non-fatal shooting.

 They and the other defendants—Marcus Odom, 16, Mekhi Williams, 20, Hasib Cutts, 19, Jonathan Westbury, 18, Elyesha Cook, 21, Tyshawn McClure, 20, Damian James, 20, and Dante Thomas, 21—are variously charged with second-degree Criminal Possession of a Weapon, Conspiracy to Commit Murder, fourth-degree Conspiracy, third and fourth-degree Grand Larceny, and first, second, third-degree Robbery.

 They were arrested on various dates and have been arraigned on the indictment.

 According to the investigation, the shootings involved members of two rival neighborhood crews, the 800 YGs based in Belmont and Thirdside, who are based in the Norwood/Mosholu area of the Bronx.

 The indictments charge these crimes:

 on May 24, 2021, Baez allegedly carjacked a Toyota Camry; 

 on June 24, 2021, Baez and Westbury allegedly carjacked a 2020 Mercedes Benz and robbed a person at gunpoint;

 on July 11, 2021, Califf allegedly fatally shot Jaryan Elliot on East 187th Street; 

 on July 11, 2021, McFarlane and Howard, riding on scooter, allegedly fatally shot Ramon Gil-Medrano, 16, who was inside a livery cab driving on East 178th Street;

 on July 12, 2021, Baez drove a vehicle and he and others allegedly shot two 19-year-old rival gang members on East 184th Street and Washington Avenue; 

 on July 14, 2021, McClure, Thomas and James were in a stolen vehicle with a loaded firearm; 

 on July 14, 2021, Cook posessed a loaded 9-mm pistol that was used in the homicide of Jaryan Elliott;

on July 23, 2021, Califf, Odom, Pearce and Westbury allegedly were in a stolen vehicle with two loaded firearms; 

 on July 23, 2021, Baez and Westbury robbed two people of property. 

 District Attorney Clark thanked NYPD Detectives Frank Orlando and Brianna Cosentino, Detectives Michael Delgardo and Pat Nichols of the NYPD Gun Violence Suppression Division, Detective Kevin Godspeed of Queens South Homicide Squad, Police Officer Jordan Moses of the 48th Precinct, and the 48th , 46th , 52nd and 49th Precinct Detective Squads and Patrol Officers.

An indictment is an accusatory instrument and not proof of a defendant’s guilt.

NEW YORK CITY ADOPTS ZONING RULES TO ADVANCE TRANSIT ACCESSIBILITY

 

Elevate Transit: Zoning for Accessibility will expand zoning tools to deliver transit station accessibility improvements

 

Initiative incentivizes private developers to incorporate station accessibility projects or build improvements at nearby MTA stations while saving taxpayer dollars

 Mayor Bill de Blasio, the New York City Council, and the Metropolitan Transportation Authority (MTA) announced the approval of Elevate Transit: Zoning for Accessibility, a collaboration between the MTA, City Council, the Department of City Planning (DCP) and the Mayor’s Office for People with Disabilities (MOPD) to boost New York City’s push to make its transit system fully accessible. The initiative will allow the MTA to leverage planned private development to achieve a fully accessible transit system faster, while saving taxpayer dollars as the MTA faces financial challenges caused by the ongoing pandemic.

 

Zoning for Accessibility incentivizes private developers to design their buildings to incorporate public station accessibility projects or build the improvements at nearby MTA stations. It creates a new set of tools – and strengthens existing ones – that build off the MTA’s commitment of over $5 billion of funding for 77 accessible subway, Long Island Rail Road, Metro-North Railroad and Staten Island Railway station projects within New York City in the 2020-2024 MTA Capital Plan.

 

“Building a recovery for all of us means making public transportation accessible to everyone who rides it – especially seniors, young families, and New Yorkers with mobility disabilities,” said Mayor Bill de Blasio. “I’m proud to work across government to drive greater investment in these accessibility improvements, and I look forward to collaborating on more creative ideas to make our city fairer and more equitable.”

 

"Elevate Transit: Zoning for Accessibility is an important step in advancing a fair and equitable recovery for all New Yorkers. These zoning levers add another tool in our toolkit to meet our accessibility goals and better serve people with mobility disabilities, senior citizens, and transit riders as a whole," said Deputy Mayor for Housing and Economic Development Vicki Been. “We thank the City Council, the MTA, and all the city agencies involved for their collaboration and leadership to make this creative idea a reality."

 

“Everyone deserves access to our transit system but unfortunately only a third of New York City’s train stations are easily accessible for people with disabilities. We can do better, which is why in my 2019 State of the City address, I outlined a plan for developers to help build new elevators and take other measures to make more subways and train stations ADA compliant. This is a game-changer for millions of New Yorkers, including seniors, disabled people, parents of young children, and anyone who has a harder time getting around. I’m proud of the Council’s role in helping bring together the Department of City Planning and the MTA to advance this proposal. This success shows the Council’s effectiveness in convening solutions to complex citywide problems and I hope it’s something we do more in the future,” said Speaker Corey Johnson.

 

“Zoning for Accessibility builds on the MTA’s historic $5.2 billion investment in making our transit system more accessible, by using private development to accelerate ADA upgrades,” said MTA Acting Chair and CEO Janno Lieber. “This initiative reflects Governor Hochul and the MTA’s shared commitment to all New Yorkers — particularly riders with mobility disabilities, seniors, and parents of young children — to modernize the entire transit system as quickly and efficiently as possible.”

 

“The approval of Zoning for Accessibility is a significant milestone in our efforts to make New York the most accessible city in the world,” said Victor Calise, Commissioner of the NYC Mayor’s Office for People with Disabilities and MTA Board Member. “The MTA is already working hard on the design and construction of additional accessibility projects.  With the introduction of new private dollars through Zoning for Accessibility, the MTA will be able to complete more accessibility projects on a faster timeline.”

 

“The passage of Zoning for Accessibility is an exciting moment in the MTA’s efforts to expand accessibility to all New Yorkers across the entirety of our transit system,” said MTA Chief Accessibility Officer Quemuel Arroyo. “This legislation will harness the power of public-private partnerships to speed up accessibility enhancements and create a more equitable city for all New Yorkers and visitors alike.”

 

“Zoning for Accessibility is a major win for all New Yorkers. With this joint planning initiative, we’ll make life easier and fairer for those with disabilities, parents of young children, senior citizens and so many more,” said DCP Director Anita Laremont.

 

The innovative proposal allows developers to help deliver transit station accessibility throughout the city in two ways:

 

Easement Certification

This provision requires developers of most mid-or-high-density sites adjacent to subway, Staten Island Railway, Long Island Rail Road, and Metro-North Railroad stations within New York City to consult with the MTA first to determine whether the MTA needs an easement (permanent access to a small piece of property) for future accessibility projects at the adjacent station. Easements can play a critical role in helping to reduce expensive, time-consuming barriers to constructing elevators, such as underground utility relocations, and allow for station designs that better serve riders. If an easement is necessary, the developer would receive targeted zoning relief to offset the creation of an easement.

 

Transit Improvement Bonus

This provision expands the existing “transit improvement bonus” from central business districts to other high-density areas in the city. This program incentivizes private developers to directly fund and build new transit station access improvements, such as elevators or other circulation improvements at already accessible stations, in exchange for a floor area bonus of up to 20%. Accessibility improvements attained through the bonus mechanism are achieved at no cost to the MTA and will be in addition to projects funded through the MTA’s Capital Plan. Each bonus application will still require a public review and approval process.

 

These provisions will help free up funds for the MTA to make more stations accessible on a faster timeline and provide more accessible routes for its customers. Today, only about 30% of the 493 subway and Staten Island Railway (SIR) stations in New York City are fully ADA-accessible.

 

To learn more about Zoning for Accessibility, visit https://new.mta.info/elevatetransit.

 

Napoleon Grier Extradited From The Netherlands On Fraud Charges

 

Grier and His Co-Conspirators Allegedly Defrauded Victims of $2.275 Million as Part of an Advance Fee Scheme

 Audrey Strauss, the United States Attorney for the Southern District of New York, and Michael J. Driscoll, the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today the extradition of NAPOLEON GRIER from the Netherlands on alleged wire fraud and wire fraud conspiracy charges.  GRIER was taken into custody by Dutch authorities in Amsterdam on August 13, 2019.  After contested extradition proceedings, GRIER arrived in the United States yesterday.  He will be presented today before United States Magistrate Katharine H. Parker.  The case is assigned to United States District Judge Richard M. Berman.

U.S. Attorney Audrey Strauss said: “As alleged, Napoleon Grier was part of a criminal conspiracy that bilked victims out of more than $2 million in advance fees for promised project financing that was never delivered.  Now, Grier is in U.S. custody and facing federal felony charges.”

FBI Assistant Director Michael J. Driscoll said: “Advance-fee schemes are based on false pretenses that criminals use to ensnare victims and trap them in their fraudulent plot. When victims pay these fees, they assume their alleged investor will put up the money promised to fund their venture, but that never happens. While Grier’s victims expected a loan they never received, he and his co-conspirators likely didn’t anticipate the FBI would deliver on its promise to hold con artists accountable.”

According to the allegations in the Complaint and the Indictment[1]:

From at least in or about April 2012, up to and including at least in or about August 2012, GRIER and others devised and participated in a scheme that defrauded victims of at least $2.275 million (the “Advance Fee Scheme”).  GRIER and his co-conspirators – operating out of offices near Wall Street in New York, New York – held themselves out to victims as experienced financiers and promised that they could obtain financing for victims’ intended projects.  GRIER and his co-conspirators promised victims that after the victims wired initial deposits into escrow accounts controlled by the co-conspirators, the victims would later receive the full amount of their promised financing, often in a few months’ time.  GRIER and his co-conspirators never provided any of the financing they promised to victims and they never returned any of the more than $2.275 million in advance fees they defrauded the victims into depositing into escrow accounts.

The Advance Fee Scheme included at least four sets of victims.  GRIER and his co-conspirators defrauded (1) a New Jersey-based woman, who was promised $2.5 million in financing to purchase, remodel, and reopen a concert hall in New Jersey, of a $225,000 advance fee; (2) two Pennsylvania-based men, who were promised $20 million in financing to start a fuel additive company in Ecuador, of a $150,000 to advance fee; (3) a Canadian filmmaker and a California-based filmmaker, who were promised $3 million of financing to make a movie, of a more than $900,000 advance fee; and (4) two Illinois-based men, who were promised up to $10 million in financing for the purchase of a Canadian wind turbine company, of a $1 million advance fee.

GRIER, 56, is charged with one count of wire fraud and one count of wire fraud conspiracy, each of which carries a maximum penalty of 20 years in prison.  

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.

Ms. Strauss praised the outstanding investigative work of the FBI.  She also thanked the Justice Department’s Office of International Affairs of the Department’s Criminal Division and the Netherlands’ Ministry of Justice and Security for their assistance.

[1] As the introductory phase signifies, the entirety of the texts of the Indictment and the Complaint, and the description of the Indictment and Complaint set forth below, constitute only allegations, and every fact described should be treated as an allegation.

Governor Hochul Announces $125 Million for Landlord Rent Relief in New York State

State Funding to Assist Landlords Whose Tenants Declined to Participate in New York's Emergency Rental Assistance Program or Have Vacated with Arrears  

Landlords Can Now Apply for Funding Using State's Rental Assistance Portal  

$804 Million In Assistance, More Than 63,000 Approved Payments to Landlords  

 Governor Kathy Hochul today announced that $125 million in state funding is now available to help landlords that couldn't participate in the New York State Emergency Rental Assistance Program due to a federal requirement for tenants to participate in the application process. Administered by the State Office of Temporary and Disability Assistance and accepting applications starting Thursday, Oct. 7, the Landlord Rental Assistance Program provides up to 12 months of past-due rent to landlords who are ineligible for the federally funded program because their tenants either declined to complete an application or vacated the residence with arrears. Priority will be given to those landlords owning small-to-medium-sized properties. 

"Getting pandemic relief money out the door to New Yorkers has been a top priority for my administration since day one," Governor Hochul said. "I am proud that our state's rental assistance program has already provided much needed relief to tens of thousands of New Yorkers, but there are still many small landlords ineligible for that relief because of federal rules who also need our help. This funding is a critical tool to close that gap and help more New Yorkers recover from the pandemic."

Last month, Governor Hochul signed into law a moratorium on residential evictions through Jan. 15, 2022. The law set aside $125 million to help landlords with tenants who decline to participate or have vacated the residence with arrears.  

In addition, Governor Hochul last month sent a letter to the U.S. Treasury Department requesting additional funding for New York's Emergency Rental Assistance Program due to its shrinking balance and a continuing need for assistance throughout the state. 

So far, the program has approved more than 63,000 direct payments to landlords, totaling $804 million in assistance. New York State has now obligated or paid $1.8 billion in rental assistance, ranking the state first nationally in obligated funding and among the leaders in direct payments, according to the National Low Income Housing Coalition, which tracks the state-by-state implementation of ERAP. New York State's ERAP provides approved tenants with eviction protection even if a landlord does not provide the information necessary to issue a payment or declines the awarded arrears.