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Tuesday, July 9, 2024

Fugitive Sheepshead Bay Lawyer Indicted for
Embezzling Over $250,000 from Eight Clients

Defendant Allegedly Stole Settlement Money Before Fleeing the United States

Brooklyn District Attorney Eric Gonzalez today announced that a personal injury attorney has been charged with embezzling approximately $253,000 from eight of his clients. The defendant fled the United States before being disbarred in 2019.

District Attorney Gonzalez said, “This defendant allegedly betrayed the trust of his clients and violated his oath as an attorney by pocketing hundreds of thousands of dollars to which he was not entitled. Criminal conduct in the legal profession will not be tolerated, and my Office is determined to hold this defendant to account for his alleged thefts.”

The District Attorney identified the defendant as Alan Ross, 66, whose law office was located in Sheepshead Bay, Brooklyn. He was arraigned today before Brooklyn Supreme Court Justice Donald Leo on a 10-count indictment in which he is charged with second-degree criminal possession of stolen property; second-degree grand larceny; seven counts of third-degree grand larceny; and first-degree scheme to defraud. The defendant was released under supervision and ordered to return to court on September 25, 2024.

The District Attorney said that, according to the investigation, from December 2015 to May 2019, the defendant, who handled personal injury cases, allegedly embezzled approximately $253,000 in settlement funds from eight of his clients. The thefts ranged in size from approximately $10,000 to $83,000. As part of the scheme, the defendant allegedly transferred settlement funds from his clients’ escrow accounts to his law firm’s operating account as well as his personal account. It is alleged the defendant spent over $52,000 of the stolen funds on a vacation to Aruba and another $3,000 on laser micro-surgery.

Furthermore, according to the investigation, the defendant abandoned his practice, leaving numerous files in his law office before fleeing the country to Israel. He was disbarred in February 2019.

The defendant was arrested at the Seattle-Tacoma International Airport last month and waived extradition to New York.

The case is being prosecuted by Senior Assistant District Attorney Frank Ungerer of the District Attorney’s Investigations Division, under the supervision of Adam Libove, Deputy Chief of the District Attorney’s Public Integrity Bureau, and Laura Neubauer, Chief of the Public Integrity Bureau, and the overall supervision of Michel Spanakos, Deputy Chief of the Investigations Division, and Patricia McNeill, Chief of the Investigations Division.

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

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Tuesday, July 9, 2024

Former Chairman of Emergency Medicine at SUNY Downstate Medical Center Charged for Allegedly Stealing Almost $1.5 Million

Defendant Allegedly Used Business Credit Card for Purchases Ranging from a High-End Pet Resort to Personal Travel, Catering Expenses, College Tuition and Cash Advances

Brooklyn District Attorney Eric Gonzalez, together with New York State Inspector General Lucy Lang, today announced that an emergency medicine doctor has been arraigned on an indictment in which he is charged with grand larceny and other crimes for allegedly stealing approximately $1.448 million by using a business credit card for personal purchases and cash advances.

District Attorney Gonzalez said, “As a high-ranking doctor at this vital healthcare institution this defendant was entrusted with access to significant funds, which he allegedly exploited, stealing more than one million dollars to pay for a lavish lifestyle. The scope of the alleged thefts is shocking, and my office is committed to holding accountable anyone who rips off the taxpayers. I am grateful to the Inspector General’s Office for its partnership on this case.”

Inspector General Lang said, “New Yorkers deserve doctors who uphold their oath with the utmost integrity. The spending spree on the State’s dime alleged here is an insult to hardworking taxpayers and the medical profession. My office will continue to rigorously investigate any public servant who violates the public trust by abusing their position of authority. I am grateful to Brooklyn District Attorney Eric Gonzalez and his staff for their diligence in doing the same.”

The District Attorney identified the defendant as Dr. Michael Lucchesi, 66, of Staten Island. He was arraigned today before Brooklyn Supreme Court Justice Donald Leo on a nine-count indictment in which he is charged with first- and second-degree grand larceny, first-degree falsifying business records and third-degree criminal tax fraud. The defendant was released without bail and ordered to return to court on September 25, 2024.

The District Attorney said that, according to the investigation, between December 1, 2016 and January 31, 2023, the defendant, a medical doctor, who was the Chairman of Emergency Medicine at SUNY Downstate Medical Center, and at various points was the acting head of Downstate Hospital and the medical school, and was the Chief Medical Officer, made personal purchases using a credit card meant to be used for business purposes only by members of the clinical practice, University Physicians of Brooklyn, of SUNY Downstate.

The District Attorney said that, according to the investigation, the defendant’s spending totaled approximately $1.448 million and included cash advances of approximately $115,000; pet care totaling $176,000 (including $120,000 paid to The Greenleaf Pet Resort & Hotel in New Jersey); $348,000 spent on personal travel; $109,000 in payments to the New York Sports Club for membership and personal training; $52,000 in catering expenses; $46,000 in tuition payments for his children; and assorted payments for online shopping, flowers, liquor, electronics and other items.

The alleged thefts were discovered by SUNY during an audit.

The District Attorney thanked Investigative Counsel Thomas Collery, Senior Investigative Auditor Angelus Okeke, Investigative Auditor Victoria Oliva, and Senior Investigator Jimmy Gibson, under the supervision of Chief of Investigations for the Downstate Regional Offices Ben Defibaugh, Deputy Inspector General for the New York City Regional Office Ken Michaels, and Chief Deputy Inspector General Michele Bayer of the Offices of the New York State Inspector General for their work on the case.

The District Attorney thanked KCDA Chief Financial Investigator Ludwig Sanchez for his assistance on the case.

The case is being prosecuted by Assistant District Attorney Michael Choi and Assistant District Attorney Andrew Kohler, both Special Counsel to the District Attorney’s Investigations Division, under the supervision of Assistant District Attorney Michel Spanakos, Deputy Chief of the Investigations Division, and the overall supervision of Assistant District Attorney Patricia McNeill, Chief of the Investigations Division.

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

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Friday, July 5, 2024

Brooklyn District Attorney Eric Gonzalez Warns Against Smishing Scam

That Uses Official-Looking NYC Website, After Shutting Down 11 Domains

Text Messages Ask Users for Nominal Fee to Settle Outstanding Parking or Toll Balance;

Clicking on Accompanied Link Lets Scammers Harvest Personal and Financial Information

Brooklyn District Attorney Eric Gonzalez, together with New York City Mayor Eric Adams, today announced that his Virtual Currency Unit shut down 11 internet domains associated with a smishing scam in which people receive a text message regarding a purported unpaid parking ticket balance or toll fee. Clicking on the attached link takes potential victims to an official-looking website, where they’re asked to enter their identifying information, which can then be used for identity theft or sold on the Dark Web.

District Attorney Gonzalez said, “Swift response by our Virtual Currency Unit allowed us to dismantle 11 domains that were used to scam New Yorkers by using credible-looking websites. People should be very suspicious of any unsolicited text message or email requesting money or personal information, and to never click on link without knowing the sender. Even as we continue to shut down these fraudulent sites, education and prevention remain the best defense.”

Mayor Adams said, “This administration will not sit idly by while bad actors attempt to take advantage of unsuspecting New Yorkers. When we were informed of this scam, we immediately alerted New Yorkers and reminded them that the Department of Finance and NYC City Pay will never require payment from anyone via text message. We remain committed to keeping New Yorkers informed and commend District Attorney Gonzalez for moving quickly to shut down 11 websites involved in this devious text message phishing scam. We will not tolerate these attempts to exploit our community’s trust. As always, we urge New Yorkers to stay vigilant and stay informed, and NYC Cyber Command will continue to partner with the DA’s Office to ensure all New Yorkers are aware of similar campaigns and have all the information needed to protect themselves from identity theft.”

The District Attorney said that this week, his office became aware of this scam after a detective received a text message requesting $2.50 to settle a $25 balance and providing a link. Dozens of complaints describing the same text were additionally received by the Cyber Currency Unit. The operation was identified as a smishing scam, which is a type of phishing scam that uses text messages and websites to solicit users’ personal information, and often starts with an alarming, and legitimate-looking text message.

The investigation revealed that, when users clicked on the link, they were taken to a realistic-looking website, purportedly from “NYC Citypay,” where they were asked for their name, date of birth, driver’s license number, and credit or debit card number. That information could then be sold online and used for identity theft, to open credit cards accounts, and for other illegal activities. Twenty-four hours after initiating an investigation, the DA’s Office identified 11 domains connected to the scam and took them offline pursuant to a court order. The dismantled domains are: nycitypay.com, newyorktollbymail.com, tollsnewyorkbymail.com, tollwebmail518ny.com, nytoll585.com, nyaccounttoll.com, mailny8291.com, nytollbymail.com, nytolls2229.com, nybymail.com, ny1ezpassexpress.com, newyorktollbymail.com.

People who responded to the text and entered their information, should freeze the account they used to pay the small fee, activate a credit card freeze, notify their bank and credit card provider, and closely monitor their finances for a few months to look for unusual activity.

The investigation into this case was handled by Assistant District Attorney Alona Katz, Chief of the Virtual Currency Unit with assistance from Virtual Currency Analyst Sam Weaver and Senior Detective Investigator Gerard Caffrey.

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FOR IMMEDIATE RELEASE

Tuesday, July 2, 2024

Queens Man Sentenced to 3 to 9 Years in Prison for Running Red Light and Crashing into Vehicle, Killing Driver in Crown Heights

Defendant Pleaded Guilty to Manslaughter in May

Brooklyn District Attorney Eric Gonzalez today announced that a Queens man has been sentenced to 3 to 9 years in prison following his guilty plea to second-degree manslaughter for speeding and running a series of red lights, ultimately crashing into another vehicle, and killing a man.

District Attorney Gonzalez said, “This defendant’s reckless decision to speed and disobey traffic lights cost an innocent man his life and endangered many others. He has now been held accountable for his criminal conduct. I remain committed to keeping Brooklyn’s streets safe for all people.”

The District Attorney identified the defendant as Elijah Lucaine, 25, of Cambria Heights, Queens. He was sentenced today by Brooklyn Supreme Court Justice Joanne Quinones to 3 to 9 years in prison. The defendant pleaded guilty to second-degree manslaughter on May 15, 2024.

The District Attorney said that, according to the investigation, on March 13, 2023, at approximately 4:35 p.m., the defendant was driving a 2015 white Infiniti when he was observed by police going through multiple red lights, traveling at a high rate of speed, and swerving in and out of oncoming traffic.

At approximately 4:45 p.m., at the southwest corner of Crown Street and Nostrand Avenue in Crown Heights, Brooklyn, the defendant drove through a red light at approximately 70-m.p.h., in a 25-m.p.h. zone, and t-boned a black Acura belonging to David Ellis, 56, who was in the driver’s seat. The victim was trapped in his car and the Emergency Services Unit ultimately had to cut off the door. The driver was taken to Kings County Hospital with a leg fracture, rib fractures, and a lung contusion. He died five days later because of blunt force trauma from the crash.

The case was prosecuted by Senior Assistant District Attorney Danyelle Shapiro, of the District Attorney’s Green Zone Trial Bureau, under the supervision of Assistant District Attorney Jennifer Nocella, Chief of the Street Safety Bureau and Assistant District Attorney Frank DeGaetano, Chief of the Green Zone Trial Bureau.

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FOR IMMEDIATE RELEASE

Friday, June 28, 2024

Fugitive Indicted for Murder of 15-Year-Old in Bensonhurst
Extradited from Panama to Face Prosecution

Defendant Allegedly Shot the Victim in Broad Daylight After Dispute Among Teens

Brooklyn District Attorney Eric Gonzalez today announced that a fugitive who fled to Panama after allegedly shooting a teenager in Bensonhurst last summer has been returned to Brooklyn to faces charges in the boy’s death.

District Attorney Gonzalez said, “This defendant was returned to Brooklyn from Panama and will now be brought to justice for allegedly killing Faridun Mavlonov, who was just 15 years old and had his whole life ahead of him. Hopefully this prosecution will bring some solace to Faridun’s heartbroken family and friends.”

The District Attorney identified the defendant as Leopoldo Nash Montoya, 18, formerly of Brooklyn. The defendant was arraigned today before Brooklyn Supreme Court Justice Craig S. Walker on an indictment in which he is charged with second-degree murder, second-degree attempted murder, second-degree criminal possession of a weapon, first-degree attempted gang assault, and third-degree assault. He was ordered held without bail and to return to court on July 3, 2024. If convicted, he faces up to 25 years to life in prison.

The District Attorney said that, according to the investigation, on July 12, 2023, in the vicinity of 20th Avenue and 60th Street, in Bensonhurst, Brooklyn, the defendant, acting in concert with others, punched and kicked a 16-year-old boy about the head and body, causing physical injuries.

Furthermore, according to the evidence, on July 17, 2023, at approximately 1 p.m., in the vicinity of 20th Avenue and 62nd Street, in Bensonhurst, Brooklyn, the defendant displayed a firearm and repeatedly discharged the firearm at the 16-year-old boy who was walking with a group of friends. The defendant struck one of the individuals in the group, Faridun Mavlonov, 15, who was rushed to a local hospital and died the following day of one gunshot wound to the torso, which perforated his heart.

Following an investigation, including a review of extensive video surveillance footage, the defendant was identified. He was arrested in Panama on June 5, 2024 and returned to Brooklyn yesterday.

The case is being prosecuted by Senior Assistant District Attorney Joseph Mancino, of the District Attorney’s Homicide Bureau, under the supervision of Assistant District Attorney Leila Rosini, Homicide Bureau Chief.

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

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Tuesday, June 18, 2024

Woman Sentenced to 12 Years in Prison

For Unprovoked Acid Attack in Brooklyn Subway Station

Victim Suffered Serious Burns and Permanent Facial Scarring

Brooklyn District Attorney Eric Gonzalez announced today that a woman has been sentenced to 12 years in prison for a random attack inside a Brooklyn subway station in which she threw sulfuric acid in a stranger’s face, causing serious second- and third-degree burns to the victim as well as significant scarring. The defendant was convicted of assault in May.

District Attorney Gonzalez said, “Today’s sentence holds this defendant accountable for a frightening and random attack on an innocent woman. Brooklyn residents deserve to feel safe when taking the subway and those who jeopardize their safety will be held accountable. My heart goes out to the young victim of this attack as she continues to heal from her injuries.”

The District Attorney identified the defendant as Rodlin Gravesande, 34, formerly of Brownsville, Brooklyn. The defendant was sentenced today by Brooklyn Supreme Court Justice Joanne Quinones to 12 years in prison. The defendant was convicted of first- and second-degree assault on May 14, 2024, following a jury trial.

The District Attorney said that, according to the evidence, on December 2, 2022, at approximately 12:45 a.m., the victim, a 21-year-old woman, was riding a southbound 2 train to work at Kings County Hospital when the defendant began to yell and threatened to push passengers on the train. The defendant did this for several minutes before turning her attention to the victim.

Furthermore, according to the evidence, when the train arrived at the Winthrop Street Station, in Prospect Lefferts Gardens, the victim exited the train. The defendant followed the victim off the train and onto the platform. The two exchanged words. The victim continued to walk away. The defendant then punched the victim in the head. When the victim walked toward the stairs, the defendant followed her. The defendant then opened a vial of sulfuric acid and threw it in the victim’s face, before fleeing the station.

The acid burned a hole through the victim’s clothing and caused second- and third-degree burns to the left side of her face.

The victim ran out of the subway station and around the corner to Kings County Hospital. She was transferred to the burn unit at Jacobi Medical Center in the Bronx. Since the attack, the victim has received a nose and lip reconstruction as well as multiple skin grafts.

The defendant fled to Atlanta, Georgia. She was extradited back to Brooklyn in January 2023.

The case was prosecuted by Senior Assistant District Attorney Kathleen Conlon and Assistant District Attorney Bianca Kushner, of the District Attorney’s Green Zone Trial Bureau, under the supervision of Assistant District Attorneys Michael Boykin and Lana Schlesinger, Deputy Bureau Chiefs, and under the overall supervision of Assistant District Attorney Frank DeGaetano, Bureau Chief.

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FOR IMMEDIATE RELEASE

Tuesday, June 18, 2024

Man Sentenced to 17 Years to Life in Prison for Sexual Assault

Defendant Grabbed the 62-Year-Old Victim as She Walked to Work

Brooklyn District Attorney Eric Gonzalez today announced that a Brooklyn man has been sentenced to 17 years to life in prison for sexually assaulting a woman in Stuyvesant Heights. The victim was walking to work when the defendant grabbed her by the hair, pushed her into an alley and assaulted her.

District Attorney Gonzalez said, “This horrific and violent attack on an innocent woman shocks the conscience, and the depravity of the crime warrants today’s lengthy prison sentence. We are steadfast in our commitment to seeking justice for all victims of sexual violence and continuing the progress we have made making Brooklyn safer for everyone.”

The District Attorney identified the defendant as Leroy Hatcher, 44, of Stuyvesant Heights, Brooklyn. He was sentenced today to 17 years to life in prison by Brooklyn Supreme Court Justice Danny Chun. The defendant pleaded guilty to first-degree attempted criminal sexual act and first-degree sexual abuse on May 30, 2024.

The District Attorney said that, according to the investigation, on February 6, 2021, at approximately 5:45 a.m., the victim, who was 62 years old at the time of the attack, was walking to work in the vicinity of 482 Kosciuszko Street, in Stuyvesant Heights, when the defendant approached her, grabbed her by the hair and put his hand over her mouth. She struggled to get away. He told her to be quiet, pushed her toward an alley, and put a knife to her throat.

Furthermore, the District Attorney said, he pushed her toward the ground, grabbed her about the body, removed her pants and underwear, and sexually assaulted her at knifepoint, according to the investigation. He then left the area.

Surveillance video recovered from multiple locations captured the defendant in the area and he was identified by a detective and by his parole officer. A condom recovered from the alley had the defendant’s DNA as well as the victim’s DNA. The defendant was apprehended on February 24, 2021.

The case was prosecuted by Senior Assistant District Attorney Gwen Barnes and Assistant District Attorney Sherri Litvak, of the District Attorney’s Special Victims Bureau, under the supervision of Assistant District Attorney Miss Gregory, Bureau Chief.

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FOR IMMEDIATE RELEASE

Friday, June 14, 2024

Defendant Convicted of Murdering Young Father in Fort Greene

And Shooting Another Individual Sentenced To 28 Years to Life in Prison

Defendant was Convicted of Shooting Two Victims Following Jury Trial

Brooklyn District Attorney Eric Gonzalez today announced that a Brooklyn man has been sentenced to 28 years to life in prison following his conviction on one count of murder and one count of assault for shooting two young men at the Ingersoll Houses in Fort Greene following a petty dispute.

District Attorney Gonzalez said, “This was a violent and inexplicable shooting of two strangers by this defendant who, after a minor verbal dispute, retrieved a gun and lay in wait for his victims. I hope that today’s sentence brings some closure to the friends and family of Jo’heem Hamilton, a young father, and to the surviving gunshot victim.”

The District Attorney identified the defendant as Earl Morgan, 54, of Fort Greene, Brooklyn. He was sentenced today to 28 years to life in prison by Brooklyn Supreme Court Justice Laura Johnson. The defendant was convicted of second-degree murder and first-degree assault on April 26, 2024, following a jury trial.

The District Attorney said that, according to the evidence, on May 30, 2020, just after 2:00 a.m., in the vicinity of 24 Monument Walk, Jo’heem Hamilton, 25, and another man, age 36, were walking to a store to get some food when they encountered the defendant hanging out in and around the lobby. As the victims walked by, according to the evidence, the defendant approached them and engaged in a brief verbal altercation.

When the victims walked away, the defendant left the area and retrieved a loaded firearm, according to the evidence, and then returned and waited in a stairwell near the entrance of the lobby for the victims. When they returned, and their backs were turned, he fired multiple shots at point-blank range. He then put the gun in his waistband and walked away, according to the evidence.

Jo’heem Hamilton, who was father to an infant daughter, was shot in the back and died of his injuries. The second victim was also shot in the back and suffered serious injuries.

The defendant was arrested on June 16, 2020.

The District Attorney thanked Homicide Paralegal Angelika Rostkowska and Chief Analyst Alexandra Aber of the Digital Evidence Lab for their assistance on the case.

The case was prosecuted by Senior Assistant District Attorney Joseph Bianco, of the District Attorney’s Homicide Bureau, and Assistant District Attorney Amelia DiGirolamo, of the District Attorney’s Red Zone Trial Bureau, under the supervision of Assistant District Attorney Leila Rosini, Homicide Bureau Chief.

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FOR IMMEDIATE RELEASE

Thursday, June 13, 2024

Brooklyn Woman Sentenced to 20 Years to Life in Prison for Striking and Killing Senior Citizen While Trying to Run Over Man With SUV

Defendant Convicted of Murder Last Month Following a Jury Trial

Brooklyn District Attorney Eric Gonzalez today announced that a woman has been sentenced to 20 years to life in prison for striking and killing a 70-year-old woman with her SUV after she deliberately drove up onto the sidewalk and attempted to run over a male pedestrian.

District Attorney Gonzalez said, “Today’s sentence holds this defendant accountable for her shocking and depraved actions that cost an innocent woman her life. While nothing can bring Brenda Ann Whidbee back to her family and friends, I hope this sentence offers them some sense of solace.”

The District Attorney identified the defendant as Layla Adredini, 33, of Stuyvesant Heights, Brooklyn. She was sentenced today by Brooklyn Supreme Court Justice Michael Kitsis to 20 years to life in prison. The defendant was convicted of second-degree murder and second-degree attempted murder on May 23, 2024, following a jury trial.

The District Attorney said that, according to the evidence, on August 24, 2021, at approximately 9:20 p.m., the defendant was driving her 2003 white Ford Explorer in the vicinity of 2185 Pacific Street in Ocean Hill when she deliberately drove up on the sidewalk in an attempt to hit a 50-year-old male acquaintance. The defendant missed her intended target, and instead crashed into Brenda Ann Whidbee, 70, who was seated in a chair outside her home.

Furthermore, according to the evidence, the defendant attempted to flee the scene on foot before being stopped by neighborhood residents.

This week, the Virtual Currency Unit, pursuant to a court order, seized a network of 70 linked scam domains, all associated with the investment scam targeting Russian victims in Brooklyn and elsewhere. It identified over 20 Brooklyn victims from Brighton Beach, Borough Park, Midwood, Sheepshead Bay, Ocean Parkway, Manhattan Beach, Kensington, and other neighborhoods. There were three additional victims from Manhattan. The victims ranged in age from 35 to 75 with the majority older than 50. They reported individual loss amounts ranging from $18,000 to over $117,000. In total, the New York victims lost over $1 million.

Whidbee, a grandmother and a fixture of her community for over 40 years, suffered severe injuries. She was taken to Brookdale Hospital where she was pronounced dead.

The case was prosecuted by Senior Assistant District Attorney Daphney Gachette, of the District Attorney’s Homicide Bureau, and Senior Assistant District Attorney Gianna Del Grippo, of the District Attorney’s Green Zone Trial Bureau, under the supervision of Assistant District Attorney Leila Rosini, Homicide Bureau Chief.

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FOR IMMEDIATE RELEASE

Thursday, June 6, 2024

Brooklyn District Attorney Eric Gonzalez Announces Seizure of 70 Domains

That Targeted the Russian Community in Cryptocurrency Scams

Victims Targeted Through Facebook Ads, Including One Promising Investment

Advice from Elon Musk; More Than 20 Brooklyn Residents Lost Over $1 Million

Brooklyn District Attorney Eric Gonzalez today announced that his Virtual Currency Unit successfully disrupted a cryptocurrency scam operation that targeted members of the Russian community. The victims were lured into making what turned out to be bogus investments by responding to Facebook ads about investment opportunities then getting a call from a purported investment advisor, who spoke in Russian and guided them into making cryptocurrency transactions on what were actually bogus websites. The investigation identified over 20 Brooklyn investors who lost over $1 million and additional victims from across the United States who lost an additional $4 million combined. The cluster of 70 linked domains have now been taken offline.

District Attorney Gonzalez said, “My office continues to respond to complaints from Brooklyn residents who fall victim to the growing problem of cryptocurrency scams. This particular operation targeted members of the Russian community through Facebook advertising, by speaking their language, gaining their trust, and convincing them into making investments that were ultimately stolen. We have now severely disrupted this long running scam and will continue this work on taking fake investment websites offline to protect the public while raising awareness, so our neighbors can protect themselves.”

The District Attorney said that starting in October 2023, his Virtual Currency Unit started to regularly receive complaints about thousands of dollars in losses from residents of Russian speaking communities who were convinced into investing in what they believed to be legitimate cryptocurrency investment platforms.

The investigation identified a shared narrative under which victims were lured into the scam by clicking on a Facebook advertisement promising impressive returns. Many of the ads they described featured a “deepfake” video of Elon Musk, encouraging people to invest in cryptocurrency (see attached image). Victims then received a follow up call from an “investment advisor” who spoke to them in Russian and coached them into creating an account on an investment website. With the help of the “advisor,” victims purchased cryptocurrency and transferred it to addresses linked websites. After “investing” for several weeks or months, the victims attempted to make a withdrawal but were locked out of their account or told they had to pay additional fees and taxes. This type of scam is commonly known as “Pig Butchering.”

An analysis of the websites reported by this cluster of victims revealed similarities in their appearance, HTML structure, IP addresses, hosting provider, and domain registrar. Most obvious of the similarities was an identical looking login page that served as a portal for the victims to create an account and begin their “investments” (see attached image). It is believed that the sites originated from Russia and the scammers were speaking in Russian as a way to ingratiate themselves to the victims and build trust. Because Russia is outside U.S. jurisdiction, recovering any stolen funds is extremely difficult and therefore, the DA’s Office strategy has been to disrupt the scam by taking control of the fake websites.

This week, the Virtual Currency Unit, pursuant to a court order, seized a network of 70 linked scam domains, all associated with the investment scam targeting Russian victims in Brooklyn and elsewhere. It identified over 20 Brooklyn victims from Brighton Beach, Borough Park, Midwood, Sheepshead Bay, Ocean Parkway, Manhattan Beach, Kensington, and other neighborhoods. There were three additional victims from Manhattan. The victims ranged in age from 35 to 75 with the majority older than 50. They reported individual loss amounts ranging from $18,000 to over $117,000. In total, the New York victims lost over $1 million.

In addition, the investigation found other Russian speaking victims from across the country (California, Maryland, Washington, Nebraska, Florida, Illinois, South Carolina and Pennsylvania). The combined victims across the country reported a total of $4 million in losses, believed to be just a fraction of the total financial damage caused in this scam.

Since seizing the domains, which now redirect to a warning message from law enforcement, the DA’s Office received multiple calls from victims who had been in the midst of sending more money to the fake investment companies but were alerted to the scam by the DA’s seizure notice.

The District Attorney shared the following warning signs of someone trying to lure a victim into a cryptocurrency scam:

• You get a “wrong message” text from a stranger who attempts to start a friendship and talks about how much money they’ve made by investing in cryptocurrency.
• You are added to a group chat on WhatsApp or Telegram that offers advice on how to invest in cryptocurrency with promises of getting rich quickly.
• Someone on Facebook brags about how much money they have made in cryptocurrency and tells you they can help you get rich.
• Someone you’ve never met in-person starts giving you cryptocurrency investment advice and promises returns on investments that seem too good to be true.
• You are directed to download an app to track your investments from a cryptocurrency website for a company you’ve never heard of before, not from an official mobile app store.
• The financial advisor or customer support for a cryptocurrency website communicates with you through Telegram or WhatsApp.
• You are asked to make cryptocurrency investments by giving large amounts of cash to couriers and company representatives in-person.
• You can make small withdrawals at the start but can’t withdraw any large amounts without having to pay a tax or additional fee.

The District Attorney also shared the following tips on how to protect people from these cryptocurrency scams:

• Don’t trust cryptocurrency investment opportunities that seem too good to be true.
• Do not make cryptocurrency investments based on the advice of someone you’ve never met in person.
• Don’t download investment apps from unverified cryptocurrency investment websites.
• Don’t install apps that force you to override your phone’s security features.
• Verify the legitimacy of a company. Ask a friend, family member, or contact the KCDA Command center if you are unsure if something is legitimate.
• Never allow download programs such as AnyDesk that allows remote access to your computer.

• Do not pay more money in order to try and recover your investment from a cryptocurrency website.
• Check whether a cryptocurrency exchange is licensed to operate in New York State by going to https://www.dfs.ny.gov/who_we_supervise or calling the New York State Department of Financial Services hotline at 800-342-3736.

The investigation into this case was handled by Assistant District Attorney Alona Katz, Chief of the Virtual Currency Unit with assistance from Senior Digital Forensic Analyst Mauricio Suarez-Marquez, under the supervision of Chief of the Digital Evidence Lab Unit Jingu Chong. Virtual Currency Analysts Sam Weaver and Lindiwe Mangondo, Assistant District Attorney Brian Umana of the Virtual Currency Unit, and Senior Detective Investigator Gerard Caffrey of the KCDA Detective Bureau also assisted in the investigation.

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