Former LA Sheriff’s Deputy Sentenced to 5 Years for Helping Crypto “Godfather” Extort Rivals

United States District Judge Percy Anderson has sentenced former Los Angeles County Sheriff’s deputy and helicopter pilot Michael David Coberg to 63 months in federal prison.

According to the press release, Coberg assisted a self-styled crypto businessman in extorting a rival and orchestrating a sham illegal drug possession arrest of another adversary in Paramount in 2021.

He worked alongside Adam Iza, a self-styled “Godfather.” Iza was involved in fraudulent marketing and cryptocurrency schemes. He has been in federal custody since September 2024 and has pleaded guilty to federal charges. Iza is expected to be sentenced in the coming months.

Authorities alleged that Coberg’s arrangement with Iza extended beyond standard security work. This allowed him to act as a business partner and advisor. 

At one point, the two also discussed launching a business focused on selling anabolic steroids. Iza reportedly paid Coberg at least $20,000 per month for his services.

“Coberg swore an oath to uphold the Constitution and laws of the United States. Instead, [he] betrayed that oath and those he swore to protect, abusing the awesome power of his badge. And he did so for an all-too-common reason: greed,” prosecutors argued in a sentencing memorandum.

Coberg pleaded guilty in September 2025 to one count of conspiracy to commit extortion and one count of conspiracy against rights.

In addition to the prison term, Judge Anderson ordered him to pay $127,000 in restitution. This sentencing comes amid a broader push by US authorities to crack down on crypto-related fraud and organized financial crime.