Ex-NYC aide among four charged in migrant-shelter bribery scheme
A 13-count federal indictment in Brooklyn charges Anthony J. Carone, Frank V. Carone, Crystal Chen, and Yan Po Zhu with bribery, fraud, money laundering, obstruction of justice and tax fraud tied to steering a multi-million-dollar Emergency Shelter Contract for a Microtel in Queens to private interests amid New York City’s migrant surge. Prosecutors say $120,000 in bribes were funneled through a Law Firm Account to conceal payments, with tax evasion and a fabricated promissory note used to obstruct the investigation. The defendants allegedly leveraged Frank Carone’s former position as NYC chief of staff to push the contract despite DSS findings. All four were arrested and will be arraigned; each faces up to 20 years in prison if convicted. The case is being prosecuted by EDNY with FBI, IRS-CI and NYC DOI involvement.