Press Releases

FOR IMMEDIATE RELEASE
Wednesday, December 2, 2015

 

Owner of Brooklyn Optical Stores and Medical Supplies Dealer
Charged with Stealing $3.4 Million in Loans
Purportedly Meant to Purchase Eye Care Equipment

Allegedly Stole Doctors’ Identities to Secure Financing; Spent Money on
Gambling, Luxury Cars, Designer Goods and High-End Condo

Brooklyn District Attorney Ken Thompson today announced that the owner of an optical store in Park Slope, Brooklyn, and the owner of a dealership that specializes in the sale of medical equipment have been variously charged in a 148-count indictment for allegedly stealing about $3.4 million from financial institutions that provided financing for purported purchases of medical equipment. The defendants allegedly submitted false information and fraudulent documents and, instead of buying eye care equipment, pocketed the funds, with the alleged leader of the scheme using them on lavish spending that included gambling in Atlantic City, shopping for his girlfriend at luxury stores and renting a condo in Battery Park City.

District Attorney Thompson said, “This long-running scheme allegedly took advantage of banks and leasing companies as well as of hard-working doctors whose identities were stolen so they could be listed as loan guarantors. We investigated this brazen scam, put an end to it and will now hold those responsible accountable.”

The District Attorney identified the two main defendants as Maksim Grinberg, 43, of 70 Little West Street in Manhattan, and Steven Schuster, 59, of 8 Loretta Court in Centereach, NY, as well as three corporations that they own. They are variously charged in a 148-count indictment that was unsealed today with fourth-degree conspiracy, first-degree money laundering, first-degree scheme to defraud, first- second- and third-degree grand larceny, first-degree identity theft and related counts. The defendants face up to 25 years in prison if convicted of the top count with which they are charged. In addition, Grinberg’s estranged wife, Diana Gets, 39, of Sheepshead Bay, Brooklyn, was charged with conspiracy. Grinberg was arraigned today before Brooklyn Supreme Court Justice Danny Chun, who set bail at $1 million bond, and the two other defendants are expected to surrender tomorrow.

The District Attorney said that Grinberg and Gets owned DM Optical Inc. (also known as D & M Optical Inc.) and Grinberg also owns 9^th Street Vision Center, both operating out of 332 9th Street in Park Slope, Brooklyn. Schuster owns MKM-Medical Supplies, a dealership specializing in selling medical equipment, including instruments for eye care and eye care examinations.

It is alleged that between September 2010 and July 2015, the defendants conspired to defraud at least six financial institutions and medical equipment leasing companies, including Sterns Bank, Wells Fargo Equipment Finance and Ascentium Capital, by providing false information and fraudulent documents to secure financing for the purported purchases of medical equipment. But the equipment did not exit or was never purchased.

To secure the loans, the defendants submitted fraudulent documents, including applications, lease agreements and delivery acceptance forms as well as forged signatures of loan guarantors, according to the indictment. Without permission or consent, they allegedly used names and personal information of seven optometrists and ophthalmologists, who worked for them or applied to work with them, as loan guarantors. Personal information that was previously provided to the defendants, including the physicians’ dates of birth, social security numbers and driver’s license copies, was used in the applications. As guarantors, the doctors could have been exposed to debt and credit problems when the loans were not repaid.

To complete the paperwork, the defendants were required to submit invoices of the purportedly purchased items, including descriptions and serial numbers. It is alleged that they submitted false invoices from MKM that stated that the eye care stores bought equipment that did not exist or equipment that did exist, but had been purchased by other entities or did exist, but was bought under prior financial agreements. Based on the defendant’s representations, the Park Slope Vision Center was supposed to have approximately 150 units of medical equipment when, in reality, it had about four, the investigation found. In all, the defendants submitted false documents in at least 60 different transactions, stealing about $3.4 million in the course of the charged scheme.

The District Attorney said that Schuster would keep 4% of each transaction and Grinberg would pocket the rest, according to the investigation. Grinberg spent the money on gambling trips to the Borgata Hotel Casino & Spa in Atlantic City, on purchases at luxury good outlets, including Saks 5^th Avenue and Bergdorf Goodman, on rent for a high-end condo in Battery Park City that he shares with his girlfriend and on lease payments on Mercedes and Audi automobiles.

The District Attorney thanked the New York State Office of the Comptroller as well as the U.S. Health and Human Services, Office of the Inspector General, for their assistance in the investigation and prosecution.

The case was investigated by Supervising Financial Investigator Kandi Conquest of the District Attorney’s Investigations Division, Department Manager Agostino Bianco and Paralegal Edward Joyce of the District Attorney’s Healthcare Fraud Unit, Detective Investigator Ismael Zayas and Supervising Detective Investigator Robert Addonizio, under the supervision of Deputy Chief Edwin Murphy, Assistant Chief Horace Norville and Chief Richard Belluci of the District Attorney’s Investigations Bureau.

The case is being prosecuted by Senior Assistant District Attorney Sabrina Thanse and Assistant District Attorney Rebecca Gibson, Deputy Chief of the District Attorney’s Healthcare Fraud Unit, under the supervision Felice Sontupe, Chief of the District Attorney’s Frauds Bureau, and under the overall supervision of Executive Assistant District Attorney William E. Schaeffer, Chief of the District Attorney’s Investigations Division.

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

FOR IMMEDIATE RELEASE
Wednesday, December 2, 2015

 

Brooklyn Man Sentenced to 40 Years to Life in Prison for
Murder of Two Men

Brooklyn District Attorney Ken Thompson today announced that a 61-year-old man has been sentenced on two counts of second-degree murder and second-degree criminal possession of a weapon for the 2013 shooting death of two men outside a home in East New York.

District Attorney Thompson said, “This defendant shot and killed two men in an act of senseless gun violence. Today’s sentence holds this defendant accountable for his deadly violent actions.”

The District Attorney identified the defendant as Raul Correa, 61, of East New York, Brooklyn. The defendant was sentenced today by Brooklyn Supreme Court Justice Neil Firetog to 40 years to life in prison. He was convicted on November 12, 2015 of two counts of second-degree murder and second-degree criminal possession of a weapon following a jury trial.

The District Attorney said that, according to trial testimony, on October 18, 2013 at approximately 8:30 p.m., outside of a home located at 202 Pennsylvania Avenue, in East New York, the defendant fired shots at the victims, striking and killing both men.  The shooting was in retaliation for an assault earlier that evening, according to testimony. The victims were not involved in the earlier assault.

The case was investigated by Detective Brian Champion of the New York City Police Department’s 75^th Precinct Detective Squad and Detective Richard Amato of the Brooklyn North Homicide Squad.

The case was prosecuted by Assistant District Attorney Emily Dean of the District Attorney’s Homicide Bureau, under the supervision of Assistant District Attorney Kenneth Taub, Bureau Chief.

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FOR IMMEDIATE RELEASE
Wednesday, December 2, 2015

 

Disbarred Lawyer Sentenced to One Year in Jail for Stealing
Escrow Funds from Clients

Defendant Embezzled Settlement Checks; Paid $280,000 in Restitution

Brooklyn District Attorney Ken Thompson today announced that a former attorney was sentenced to one year in jail and also paid $280,000 in restitution for stealing money from over 25 clients whom he had represented in personal injury cases.

District Attorney Thompson said, “This defendant re-victimized people who suffered personal injuries by stealing their settlement money, abusing their trust and betraying his profession. He paid back a substantial amount in restitution and now deserves to spend time behind bars.”

The District Attorney identified the defendant as Kenneth Gellerman, 58, of 2596 Ocean Avenue in Bellmore, L.I.  He was sentenced today by Brooklyn Supreme Court Justice Danny Chun to one year in jail following a guilty plea to one count of third-degree grand larceny and one count of scheme to defraud, which was entered on June 3, 2015.  The defendant today also made a final restitution payment to reach the sum of $280,000 that was contemplated as part of his plea agreement.

The restitution payments were made to the Lawyers’ Fund for Client Protection, a trust that reimburses people who were embezzled by their lawyers. The Fund will distribute the money to the defendant’s former clients.

District Attorney Thompson said that, according to the plea, from December 3, 2008 until September 30, 2013, the defendant engaged in a scheme to embezzle money from more than 25 clients by depositing checks received from negotiated settlements for mostly personal injury lawsuits into his escrow account or into other accounts that he controlled.

The defendant withdrew money from these accounts, according to the indictment, by drafting checks and transferring money into his business account.  He failed to pay his clients some or all of the money to which they were entitled and in at least one case, he failed to pay money to a third party having a claim secured by the settlement.

After he was suspended from practicing law in January 2013, according to the indictment, the defendant continued to collect settlements without forwarding the money to clients. To conceal these thefts, the defendant often allegedly settled cases without informing clients and he signed endorsements on the reverse sides of the checks in order to deposit those checks into his accounts. He was disbarred following his arrest last year.

The case is being prosecuted by Assistant District Attorneys Joseph DiBenedetto and John Holmes of the District Attorney’s Investigations Division, under the supervision of Felice Sontupe, Chief of the Frauds Bureau, and the overall supervision of William E. Schaeffer, Chief of the Investigations Division.

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FOR IMMEDIATE RELEASE
Monday, November 30, 2015

 

Brooklyn Man Pleads Guilty to Stabbing Death of Wife
Following Argument in Bay Ridge Apartment

Defendant to Receive 18 Years at Sentencing

Brooklyn District Attorney Ken Thompson today announced that a 54-year-old Bay Ridge man has pleaded guilty to first-degree manslaughter for the stabbing death of his 46-year-old wife following an argument inside of their apartment last year.

District Attorney Thompson said, “This defendant senselessly killed his wife – the mother of his four children – who are now left with no parents to care for them as he will be spending many years in prison.”

The District Attorney identified the defendant as Hasan Rugova, 54, of 101 Marine Avenue, in Bay Ridge, Brooklyn. The defendant today pleaded guilty to one count of first-degree manslaughter before Brooklyn Supreme Court Justice John Ingram, who indicated he would sentence the defendant to a determinate term of 18 years in prison and five years’ post-release supervision when he is sentenced on December 9, 2015.

The District Attorney said that, according to the investigation, on May 20, 2014, at approximately 2 a.m., at 101 Marine Avenue, the defendant’s 14-year-old son observed the defendant, his father, repeatedly stabbing his wife, Gyltene Rugova (who was the child’s mother), in the chest and neck with a knife and intervened, pulling the defendant off of his wife. The defendant then stabbed himself in the stomach. The teen sustained a slash to his arm and was treated at the hospital with stitches and released.

Furthermore, according to the investigation, the stabbing occurred after Gyltene Rugova indicated she wanted a divorce from the defendant. Gyltene Rugova died as a result of multiple stab wounds to her chest and neck, according to the Office of the Chief Medical Examiner.

The case was prosecuted by Assistant District Attorneys Cynthia A. Lynch and Joan Erskine, of the District Attorney’s Domestic Violence Bureau, under the supervision of Michelle L. Kaminsky, Bureau Chief.

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FOR IMMEDIATE RELEASE
Monday, November 23, 2015

 

Serial Rapist Who Committed Four Rapes Within One Week, Including of a
15-Year-Old Girl, Sentenced to 100 Years to Life in Prison

Brooklyn District Attorney Ken Thompson announced today that a 26-year-old Brooklyn serial rapist has been sentenced to 100 years to life in prison for committing four rapes within a one-week period, including one of a 15-year-old girl.

District Attorney Thompson said, “This serial rapist, who committed four rapes within one week, including one of a 15-year-old girl, is a sadistic and violent sexual predator who is simply not fit to walk the streets ever again. That’s why he must spend the rest of his life behind bars.”

The District Attorney said that the defendant, Dexter Bell, 26, of Crown Heights, Brooklyn, was sentenced today to 100 years to life in prison by Brooklyn Supreme Court Justice Vincent Del Giudice. The defendant was convicted on November 9, 2015, of six counts of predatory sexual assault following a jury trial.

The District Attorney said that, according to trial testimony, on April 4, 2013, at approximately 8 p.m., in the vicinity of Albany Avenue and Fenimore Street in Crown Heights, Brooklyn, the defendant began following the first victim, a 25-year-old woman, after she exited a B12 bus. After trying to talk to her, he grabbed her hand, pulled her into a rear alley, put his hands around her neck, threatened to kill her and punched her in the face before raping her. The victim went home and later went to the hospital and a rape kit was collected and police were notified.

On April 8, 2013, at approximately 4 p.m., in the vicinity of Schenectady Avenue and Montgomery Street, in Crown Heights, Brooklyn, according to trial testimony, the defendant approached the second victim, a 21-year-old woman, and said hello. The defendant started talking to her and she recognized him from the neighborhood but told him she was heading to work. The defendant led the victim into an alleyway in the vicinity of Crown Street and raped her. The victim went to the hospital and a rape kit was collected. She reported the incident to police after seeing media reports about the other attacks featuring the defendant’s photo.

On April 11, 2013, at approximately 8 a.m., in the vicinity of Farragut Road and 88^th Street, in Canarsie, Brooklyn, according to trial testimony, the defendant approached the third victim, a 19-year-old woman, and began talking to her. He eventually led her to a stairwell and grabbed her by the hair when she tried to leave. He then raped her. The victim went home and told her friend and her aunt, and then went to the hospital where a rape kit was collected. Police were notified.

Finally, on April 11, 2013, at approximately 8 p.m., the fourth victim, a 15-year-old girl, was walking along the B12 bus route and saw the defendant, whom she had also seen there the day before. The two spoke and were walking together and went into a building on Midwood Street in Crown Heights. The defendant pulled the victim by the arm into an elevator and then into a staircase on the 6^th floor and raped her. She later told an acquaintance and then went to the hospital where a rape kit was collected. Police were notified.

The defendant was arrested after an anonymous tipster provided the police with his name and address after seeing media reports about the rapes.

The case was prosecuted by Assistant District Attorney Elizabeth Doerfler, Deputy Chief of the District Attorney’s Special Victims Bureau, and Senior Assistant District Attorney Olatokunbo Olaniyan, under the supervision of Assistant District Attorney Miss Gregory, Bureau Chief.

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FOR IMMEDIATE RELEASE
Friday, November 13, 2015

 

Brooklyn Man Convicted Of Double Murder in East New York

Faces 50 Years to Life in Prison

Brooklyn District Attorney Ken Thompson today announced that a 60-year-old man has been convicted of two counts of second-degree murder and second-degree criminal possession of a weapon for the 2013 shooting death of two men outside a home in East New York.

District Attorney Thompson said, “This defendant engaged in senseless gun violence on the streets of Brooklyn and ended up shooting and killing two men.  He will now spend a good part of his life behind bars for committing such deadly violence.”

The District Attorney identified the defendant as Raul Correa, 61, of East New York, Brooklyn. He was convicted yesterday afternoon of two counts of second-degree murder and second-degree criminal possession of a weapon, following a jury trial before Brooklyn Supreme Court Justice Neil Firetog. The defendant will be sentenced on December 2, 2015 at which time he faces 50 years to life in prison on the top two counts.

The District Attorney said that, according to trial testimony, on October 18, 2013 at approximately 8:30 p.m., outside of a home located at 202 Pennsylvania Avenue, in East New York, the defendant fired shots at the victims, striking and killing both men. The shooting was allegedly in retaliation for an assault earlier that evening, according to testimony. The victims were not involved in the earlier assault.

The case was investigated by Detective Brian Champion of the New York City Police Department’s 75^th Precinct Detective Squad and Detective Richard Amato of the Brooklyn North Homicide Squad.

The case was prosecuted by Assistant District Attorney Emily Dean of the District Attorney’s Homicide Bureau, under the supervision of Assistant District Attorney Kenneth Taub, Bureau Chief.

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FOR IMMEDIATE RELEASE
Thursday, November 12, 2015

 

Gang Member Who Sexually Assaulted Woman during Violent
Home Invasion Robbery Sentenced To 15 Years in Prison

Terrorized Two Residents and Took Turns with Cohorts in Violating Victim at Gunpoint

Brooklyn District Attorney Ken Thompson today announced that a Brooklyn gang member was sentenced to 15 years in prison for a violent armed home invasion in which he and three others broke into a Brooklyn apartment, robbed two roommates at knife- and gun-point, then took turns sodomizing the woman while she was hogtied and blindfolded. The sentence will run consecutively with a 10-year sentence the defendant is already serving on an unrelated case for a total of 25 years in prison.

District Attorney Thompson said, “This defendant and other gang members broke into a home, terrorized and brutalized the occupants, and repeatedly sexually assaulted an innocent woman at gunpoint while she was tied up and blindfolded. This sentence, which will run consecutively with an earlier 10-year sentence given to the defendant, reflects the horrendous and vile criminal acts that he committed and will serve to protect society from this dangerous and violent criminal.”

The District Attorney identified the defendant as Derrin Dyson, 21, of 1563 Pacific Street in Crown Heights, Brooklyn. He was sentenced today by Brooklyn Supreme Court Justice Albert Tomei to 15 years in prison, following his conviction on first-degree criminal sexual act, first-degree sexual abuse, first-degree burglary, first-degree robbery and related charges. He was found guilty on October 21, 2015 after a non-jury trial.

The District Attorney said that, according to trial testimony, on the afternoon of January 30, 2012, the defendant and three accomplices – all members of the Brower Boys gang – used a cohort’s home to gain access to the roof of a building in Bedford-Stuyvesant, Brooklyn. They disengaged the video security system, covered their faces with masks or bandanas and broke into an apartment in an adjoining building.

They used a .22 caliber revolver and knives to physically threaten the two occupants of the apartment. They blindfolded them and tied their hands behind their backs, placing the man in the bathroom and the woman on a bed in her bedroom. The defendant demanded the PIN numbers of the victims’ debit and credit cards, left the apartment and withdrew over $1,000 from the female victim’s account, according to the evidence.

When he returned, the defendant orally sodomized the victim while she was tied up on the bed with a gun to her head, after two of his accomplices had already sodomized her. Upon leaving, the perpetrators sold most of the stolen goods, including a MacBook laptop and an iPod, in a nearby deli. The male victim later identified a Movado watch that was recovered in the defendant’s bedroom as belonging to him, testimony showed. The defendant was also implicated by DNA evidence.

The District Attorney said that the three other accomplices have previously pleaded guilty to this crime. Christopher Scott, 21, was sentenced to seven years in prison, Dezhaun Samuels, 22, was sentenced to 16 years in prison and the case against the third accomplice, who was 13 at the time of the incident, was adjudicated in Family Court. Dyson is currently serving a 10-year prison sentence on an unrelated robbery and conspiracy to which he pleaded guilty on July 17, 2015. That term will run consecutively to the sentence he received today for a total term of imprisonment of 25 years.

The case was prosecuted by Senior Assistant District Attorney Michael Perkins and Assistant District Attorney Grace Brainard, under the supervision of Nicole Chavis, Chief of the District Attorney’s Violent Criminal Enterprises Bureau and the overall Supervision of Executive Assistant District Attorney William E. Schaeffer, Chief of the Investigations Division.

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FOR IMMEDIATE RELEASE
Tuesday, November 10, 2015

 

Two Defendants Indicted For Targeting Immigrants in Green Card Scam

One Allegedly Impersonated NYPD Officer, Said He Could Get Documents for a Fee

Brooklyn District Attorney Ken Thompson today announced that a man and a woman have been named in an eight-count indictment in connection with a scheme in which they allegedly stole more than $8,000 from two victims by falsely promising to help them obtain green cards and other government documents. The defendants were arrested in Pennsylvania last month and extradited to Brooklyn on November 9, 2015.

District Attorney Thompson said, “These defendants are accused of engaging in a pattern of preying on some of the most vulnerable members of our society.  It’s particularly troubling that a defendant allegedly even posed as a police officer to carry out this scheme to defraud.  As DA, I’m committed to stopping such con artists from targeting and ripping off members of our immigrant communities.”

The defendants, Richard Gomez, 44, and Marisol Mercado, 43, were apprehended in Lebanon, Pennsylvania on October 23, 2015 and returned to Brooklyn today.  Defendant Mercado was arraigned yesterday afternoon and Defendant Gomez was arraigned today by Brooklyn Supreme Court Justice Danny K. Chun on an eight-count indictment in which they are charged with third-degree grand larceny and third-degree attempted grand larceny. Defendant Gomez is additionally charged with three counts of first-degree criminal impersonation, second-degree criminal impersonation, fourth-degree grand larceny and petit larceny.

If convicted on the top count, the defendants face up to seven years in prison. The defendants next court date scheduled for December 16, 2015.

According to the indictment, between June 18, 2015 and September 3, 2015, Gomez falsely claimed to be an NYPD Sergeant named “Sergeant Russo” and with the assistance of Marisol Mercado allegedly took money from the victims in exchange for Gomez’s assistance with various government documents, including green cards. The defendants also, it is alleged, claimed “Sergeant Russo” could get a liquor license for the victims’ restaurant in Bushwick.

The District Attorney said that, according to the investigation, Gomez first approached his victims seeking a donation for the New York City Police Department—to which the victims would give cash. Gomez allegedly continued this ruse to convince his victims to hand over money in exchange for his assistance with various applications to government agencies.

In one instance, Gomez allegedly secured a $2,100 loan from a victim but upon repayment the check was declined due to insufficient funds.

The indictment further alleges that in another instance, defendant Marisol Mercado called a victim demanding an additional $6,000 to fix an alleged problem with the immigration paperwork for the victim’s husband. It is alleged that Gomez threatened deportation if the victim did not pay.

If you believe you have been a victim of Immigrant Fraud, please call the Brooklyn District Attorney’s Immigrant Fraud Helpline at 718-250-3333.

The investigation was conducted by New York City Police Department Detectives Edward Myles and Carl Locke of the Police Impersonation Investigation Unit, under the supervision of Lieutenant Gerard Hirschfield, and overall supervision of Deputy Commissioner Joseph J. Reznick of the Internal Affairs Bureau.

The District Attorney also thanked Pennsylvania State Police Trooper Neal Navitsky and Detective Sergeant John Hess of the Lebanon Police Department for their cooperation and assistance in the apprehension of the defendants.

The case is being prosecuted by Assistant District Attorney Jose Interiano of the District Attorney’s Immigrant Fraud Unit, under the supervision of Kin Ng, Chief of the Immigrant Fraud Unit, and Trish McNeill, Deputy Chief of the Investigations Division, and the overall supervision of Executive Assistant District Attorney William E. Schaeffer, Chief of the Investigations Division.

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

 

FOR IMMEDIATE RELEASE
Friday, November 6, 2015

 

Brooklyn Man Sentenced to 25 Years to Life for Fatally Shooting
16-Month-Old Baby; Accomplice Sentenced to 15 Years for
Handing Him Illegal Gun

Bullets Were Meant for Child’s Dad Who Was Pushing Son in Stroller

Brooklyn District Attorney Ken Thompson today announced that a Brooklyn man, convicted of murdering a 16-month-old boy, was sentenced to 25 years to life in prison, and another man was sentenced to 15 years in prison for supplying the gunman with the deadly weapon. The bullets were aimed at the victim’s father, but the shooter missed and struck the toddler, who was being pushed in a stroller.

District Attorney Thompson said, “These defendants showed a callous disregard for human life – and now an innocent baby is dead because of their outrageous actions.  They’re not fit to remain in society and deserve every minute they’ll spend in prison.”

The District Attorney identified the defendants as Daquan Breland, 25, of 187 Riverdale Avenue in Brownsville, Brooklyn and Daquan Wright, 21, of 24 Chester Street in East New York, Brooklyn. Breland, who was convicted on July 16, 2015 of second-degree murder and second-degree criminal possession of a weapon after a jury trial, was sentenced today by Brooklyn Supreme Court Justice Neil Firetog to the maximum sentence of 25 years to life in prison. Wright, who was tried with Breland and convicted of the top count he was charged with, second-degree criminal possession of a weapon, was sentenced today by Judge Firetog to the maximum of 15 years in prison.

The District Attorney said that, according to trial testimony, on September 1, 2013, at about 7:20 p.m., Wright handed a .45-caliber semiautomatic pistol to Breland, who fired several shots in the direction of Anthony Hennis at the intersection of Bristol Street and Livonia Avenue in Brownsville, Brooklyn. Anthony Hennis was pushing a stroller with his son, 16-month-old Antiq Hennis, sitting inside. One bullet struck the boy in the head, killing him. Both defendants fled the state and were apprehended in Pennsylvania five days after the homicide.

An eyewitness testified at trial that he saw Wright hand the gun to Breland then watched as Breland shot at Anthony Hennis as he was pushing a stroller. Breland’s former roommate testified that the defendant admitted to him shortly after the incident that he shot a rival, referring to the victim’s father by his nickname.

The case was prosecuted by Assistant District Attorney Howard Jackson of the District Attorney’s Homicide Bureau, under the supervision of Assistant District Attorney Kenneth Taub, Chief.

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FOR IMMEDIATE RELEASE
Monday, October 26, 2015

 

Staten Island Contractor Indicted For Bribery

Faces Up to Seven Years in Prison if Convicted

Brooklyn District Attorney Ken Thompson, together with New York City Department of Investigation Commissioner Mark G. Peters, today announced that the owner of a Staten Island construction company who was awarded a nearly $2.5 million contract with the School Construction Authority has been indicted for allegedly offering $3,500 in bribes to expedite payments for the work.

District Attorney Thompson said, “This indictment shows our commitment to root out and prosecute public corruption in Brooklyn. It also serves to put construction companies awarded city contracts on notice that we will fully investigate and prosecute any acts of bribery.”

Commissioner Peters said, “This charged criminal conduct is corruption at its most fundamental. But in this case, an honest employee derailed the scheme and reported the wrongdoing to the Inspector General. I commend the employee whose actions are a testament to the power of integrity, and I caution any individual who thinks bribery is a way to circumvent the rules.”

The defendant, Abdulkader Kassem Elchoum, 55, of Staten Island, was arraigned today before Brooklyn Supreme Court Justice Danny Chun on an indictment in which he is charged with six counts of third-degree bribery. He was released without bail and ordered to return to court on December 12, 2015. If convicted, he faces up to seven years in prison.

The District Attorney said that, according to the indictment, in or about April 2014, the School Construction Authority sought bids for a new corridor, a fire alarm upgrade, and heating, ventilation and air conditioning work at Public School 138K in Crown Heights, Brooklyn. The defendant, who owns AMA Construction/NY, Inc., submitted the lowest bid of $2.478 million and was awarded the contract.

The SCA, according to the indictment, generally pays its construction contractors in installments, depending on the nature and amount of work completed. In or about early June 2015, the defendant expected a payment in the amount of approximately $163,000. On June 3, 2015, the defendant allegedly offered an SCA project officer, who was assigned to monitor the project, a bribe of $2,000 to expedite the $163,000 payment. The project officer had previously reported an improper overture and the SCA’s Inspector General’s office immediately followed up.

Furthermore, according to the indictment, between June 8, 2015 and August 10, 2015, on five separate occasions, the defendant delivered a total of approximately $3,500 in cash to the project officer, with the understanding that he would use his influence to expedite payments to AMA and limit SCA scrutiny of AMA’s work.

The investigation was conducted by SCA Inspector General Investigators William J. O’Brien and Jose Romero, under the supervision of Deputy Counsel Jason S. Herman, Assistant Inspector General John Gray, and the overall supervision of Inspector General Maria Mostajo. The Inspector General for SCA reports to DOI Commissioner Mark G. Peters.

The case is being prosecuted by Assistant District Attorney Adam S. Libove of the District Attorney’s Public Integrity Bureau, under the supervision of Assistant District Attorney Michael Spanakos, Bureau Chief, and the overall supervision of Executive Assistant District Attorney William E. Schaeffer, Chief of the District Attorney’s Investigations Division.

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