Bronx District Attorney Darcel D. Clark announced Friday that eight alleged members and associates of the “Shiesty 66” gang have been indicted in a large-scale bank fraud scheme that reportedly stole more than $10 million from federal funds.
The indictment follows an investigation conducted by the Bronx DA’s Office in collaboration with the New York City Police Department, the U.S. Secret Service, and the U.S. Postal Inspection Service. Law enforcement agencies reported working together to uncover the details of the complex scheme, which they allege involved the gang members stealing COVID-19 relief checks from the mail.
The defendants are accused of attempting to steal $12.6 million in federal COVID-19 relief funds, in addition to reportedly spending the stolen money on luxury items such as Rolls Royces, chartered yachts, jewelry, and designer clothing.
“The defendants allegedly conspired to steal millions of dollars, recruiting vulnerable people as partners in fraud,” Clark said. “At one point, they allegedly attempted to steal $12.6 million in federal COVID-19 relief funds. The defendants allegedly spent the money as quickly as they stole it, on luxury items.”
According to the DA’s office, the investigation began in November 2021 after reports of shots fired near East 166th Street and Sheridan Avenue led to the identification of alleged members of the “Shiesty 66” gang. Public profiles of the gang on social media revealed some of its members were allegedly involved in “card cracking” in which they recruited people on social media to give them access to their debit card information, deposited a phony check in the account, immediately withdrew cash at an ATM, gave the account holder a kickback and then the card was reported stolen.
Between April 28, 2022, and September 11, 2023, the defendants, acting in concert with each other, engaged in a card-cracking, check-washing, and bank fraud scheme, officials reported. The reputed members allegedly exploited loopholes in the banking system to commit fraud throughout the tri-state area and the West Coast.
In one instance, one of the defendants attempted to get the information needed to deposit a stolen U.S. Treasury check worth $12.6 million meant for Mount Sinai Medical Center as part of Covid relief funds, the DA’s office said.
In a public statement, NYPD Interim Commissioner Thomas G. Donlon said, “We are committed to identifying and investigating alleged gang members and ending the illegal schemes used to fund their criminal activities, as highlighted by this indictment. The NYPD will always vigorously collaborate with our law enforcement partners to hold accountable those involved in deceit and fraud.”
Clark reported the defendants are variously charged over four indictments with Enterprise Corruption, Grand Larceny, Forgery, Criminal Possession of Stolen Property, and related charges. Bronx Supreme Court Justice Margaret Clancy set bail on six of the defendants and remanded two. However, they all are due back in court on November 19, 2024.
