Los Angeles, CA – In a shocking revelation, several Los Angeles County Sheriff's Department (LASD) deputies have admitted to conspiring with a crypto mogul, Adam Iza, dubbed "The Godfather," in an elaborate extortion scheme. The deputies allegedly used their official positions to intimidate, harass, and extort victims, leveraging their authority for personal gain.
Corrupt Alliance Uncovered
Federal prosecutors have unveiled a deep-seated conspiracy involving Adam Iza, a 24-year-old cryptocurrency entrepreneur and founder of the now-defunct trading firm Zort, and multiple LASD deputies. Iza, who referred to the deputies as his "pawns," allegedly paid them hundreds of thousands of dollars monthly to carry out his illicit activities. These activities included illegal search warrants, intimidation tactics, and even armed confrontations to extort rivals and victims.
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The scheme involved deputies using their badges and access to sensitive law enforcement databases to obtain personal information on Iza's targets.
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Deputies allegedly created fake search warrants and conducted staged traffic stops to coerce victims.
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Iza is accused of accumulating wealth through shell companies, spending lavishly on luxuries, and evading millions in income taxes.
Key Players and Their Admissions
Among those implicated, Eric Chase Saavedra, a longtime LASD detective, pleaded guilty to conspiracy against rights and tax crimes. Saavedra admitted to running a private security company that Iza paid $100,000 monthly, recruiting 20-25 active deputies to work off-duty shifts for $750 cash each. These deputies often carried firearms and displayed their LASD badges while working for Iza.
Other deputies, including David Anthony Rodriguez and Christopher Michael Cadman, have also pleaded guilty to similar charges. Cadman admitted to participating in an incident where a victim was held at gunpoint in Iza's Bel Air mansion and forced to transfer $25,000. Rodriguez confessed to obtaining a fraudulent search warrant by lying to a judge to track a victim's GPS location for a private security client.
Modus Operandi: Extortion and Intimidation
The criminal enterprise involved a range of coercive tactics:
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Illegal Data Access: Saavedra and other deputies used their credentials to access confidential law enforcement databases, providing Iza with personal information on individuals with whom he had disputes.
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Fake Warrants: Saavedra created a fake search warrant using an official Sheriff's Department template to intimidate a potential client, leading them to hire his security company.
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Armed Coercion: Victims were subjected to armed confrontations, such as the incident where a party planner, identified as R.C., was held at gunpoint and forced to reimburse Iza for party costs.
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Targeting Crypto Assets: In one notable case, Iza sought a laptop believed to contain over $100 million in cryptocurrency. Saavedra obtained an illegal search warrant for the phone of Enzo Zelocchi, an associate of the laptop's alleged owner, by falsely claiming it was part of a firearms investigation. This led to an attempted forced entry into Zelocchi's home.
Legal Ramifications and Department Response
Iza has pleaded guilty to conspiracy against rights, wire fraud, and tax evasion, facing up to 35 years in prison. Saavedra faces up to 13 years, while Rodriguez could face up to 10 years. Both Iza and Saavedra also admitted to federal tax crimes, with Iza evading nearly $7 million in taxes and Saavedra receiving approximately $373,146 in unreported income.
The LASD has condemned the actions, stating that such behavior "betrays public trust, and tarnishes the reputation of all deputies." At least six deputies have been relieved of duty in connection with the case, and federal authorities indicate that the investigation is ongoing, with the possibility of more arrests.
Sources
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L.A. deputy was 'crooked cop' on crypto mogul's payroll, feds say, Los Angeles Times.
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FBI Investigates Crypto Platform Founder for Alleged Extortion Scheme with Law Inforcement, Cryptodnes.bg.
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One LA Sheriff’s Deputy Charged, Another Pleads Guilty in Crypto ‘Godfather’ Case, Decrypt.
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Crypto founder paid LA cops to help extort victims for crypto, FBI alleges, Cointelegraph.
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LA Sheriff Officers Charged for Role in Crypto Extortion Scheme, MoneyCheck.
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