NEW YORK – A New York City real estate mogul with close ties to New York Lieutenant Governor Brian Benjamin has been charged with fraud and identity theft as part of an alleged scheme to conceal the source of contributions to the Benjamin’s unsuccessful campaign for office in the city.
Manhattan federal prosecutors allege that Gerald Migdol planned for more than a year on behalf of “the campaign of a New York City Comptroller candidate,” ordering the collection of allegedly fraudulent contributions so that the candidate could raise public funds from counterpart.
Among other things, the government alleges that Migdol personally reimbursed the alleged donors and ordered others to submit pooled “donations” to the campaign from people who had never actually donated. The indictment cites alleged messages from Migdol instructing others on how to make donations, promising payment when they said they did not have the money.
Prosecutors did not name the candidate in their statement or in a redacted indictment, but sources familiar with the investigation confirmed it was Benjamin.
“Neither Lieutenant Governor Benjamin nor his campaign are being charged with any crime and are willing to fully cooperate with the authorities. As soon as the campaign discovered that these contributions were improperly obtained, they donated them to the funding board of the campaign, in accordance with guidance obtained from the CFB, “a campaign spokesperson said in a statement.
The City previously reported on allegedly questionable donations to Benjamin’s campaign, which the campaign promised to return. They also reported that Migdol’s family, including a young child, donated to Benjamin’s campaign for comptroller, and that Benjamin nominated Migdol for various community awards.
The Migdol Organization website specifically touts the group’s past support for Benjamin, among a select group of local Democrats. Harlem World magazine reported last year that Benjamin was one of the featured speakers at Migdol’s 70th birthday party; Photos from the event show a smiling Benjamin perched directly to Migdol’s right. (Attorney General Letitia James spoke, hand in hand with Migdol, at the same event, and Representative Adriano Espaillat handed her a proclamation).
The lieutenant governor’s office was not immediately available to comment on the allegation.
Benjamin, a former state senator, finished a distant fourth in the June Democratic primary. Governor Kathy Hochul appointed him lieutenant governor in August, replacing her after Andrew Cuomo resigned and she rose to the governor’s office.
Migdol, 71, faces charges of wire fraud, conspiracy to commit wire fraud and identity theft. The attorney’s information was not immediately available. A person who answered the phones at the offices of the Migdol Organization said he had no comment.
– .
