Cesar Pina used his actual property seminars and social media clout to allegedly orchestrate a nationwide fraud and cash laundering scheme that netted thousands and thousands and included bribing a New Jersey official, federal prosecutors introduced Tuesday (July 15).
The New Jersey actual property promoter, identified on-line as “Flipping NJ,” was indicted by a federal grand jury on six felony counts, together with wire fraud, cash laundering conspiracy and bribery tied to federally funded packages. In line with the U.S. Lawyer’s Workplace, Pina allegedly promised excessive returns to traders, then used their cash to repay earlier traders and fund private bills.
“Cesar Pina is alleged to have misappropriated thousands and thousands of {dollars} of peoples’ hard-earned cash, laundered cash for narcotics traffickers, and bribed a politician in furtherance of actual property initiatives,” U.S. Lawyer Alina Habba stated. “This multi-year torrent of felony exercise harm traders round america, facilitated the scourge of narcotics trafficking, and undermined confidence in our public officers.”
The indictment accuses Pina of operating a Ponzi-style funding rip-off beginning in 2017, soliciting funds beneath the guise of flipping residential properties in New Jersey and past. He allegedly promised returns of 30 % or extra inside months, however as an alternative used new investor cash to repay earlier backers and canopy unauthorized enterprise and private prices.
Federal brokers say Pina additionally laundered drug cash and took half in a sting operation the place he allegedly cleaned funds that have been represented as narcotics proceeds. He’s additional accused of bribing a Paterson metropolis official to push ahead an actual property mission known as “Previous Faculty 5,” which was beneath evaluation by town’s zoning board.
“Relatively than make the most of his social media presence for the betterment of society, Mr. Humberto Pina selected to make use of it to increase his felony actions,” DEA New Jersey Particular Agent in Cost Cheryl Ortiz stated. “His actions, alongside together with his willingness to launder cash from medicine proceeds, is not any totally different than these people flooding our streets with illicit and diverted narcotics.”
The costs carry steep penalties. Every wire fraud rely might result in as much as 20 years in jail and a $250,000 wonderful. The cash laundering costs carry the identical jail time period however with fines as much as $500,000. The bribery cost might end in 10 years behind bars and a $250,000 wonderful.
“Underneath the guise of being an entrepreneur together with his shoppers’ greatest pursuits at coronary heart, Cesar Pina allegedly defrauded dozens of traders of thousands and thousands of {dollars},” FBI Particular Agent in Cost Stefanie Roddy stated. “His alleged actions didn’t cease at fraud however concerned bribery, cash laundering, and conspiring to launder illicit funds from the sale of medicine.”
The investigation was led by the U.S. Lawyer’s Workplace for the District of New Jersey, the DEA, the FBI, the IRS Prison Investigation Division and the U.S. Postal Inspection Service. The Franklin Lakes Police Division additionally assisted. The case is a part of an Organized Crime Drug Enforcement Job Drive operation.
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