Two LA deputies linked to crypto ‘Godfather’ plead guilty

Source Cryptopolitan

A U.S. attorney in California has charged two Los Angeles County Sheriff’s Department (LASD) deputies, with one entering a guilty plea against their roles to commit conspiracy against rights. According to court documents, both LA deputies’ illegal activities are linked to one incarcerated cryptocurrency businessman known as ‘The Godfather.”

Iza founded crypto trading platform Zort, which prosecutors found was used to funnel illegal payments to LA County officers. The crypto entrepreneur entered into an agreement with the DOJ in January on charges of tax evasion, conspiracy against rights, and wire fraud.

Officer Rodriguez and Cadman’s dealings with Iza

43-year-old LASD deputy David Rodriguez pleaded guilty to running a scheme with 24-year-old crypto businessman and Beverly Hills and Newport Coast resident Adam Iza. The U.S. Attorney’s Office also revealed that Rodriguez admitted to abusing his powers as an officer to conduct illegal businesses on behalf of a private security client not affiliated with Iza. 

Rodriguez was also charged with illegal activities together with LASD deputy Eric Chase Saavedra, who is also under investigation by the DOJ. The court noted that Rodriguez improperly obtained a court-authorized search warrant using his police powers in July 2022. 

The LASD deputy orchestrated an illegal search warrant by deceiving a judge, claiming it was linked to a robbery investigation. According to the court, Saavedra harassed, threatened, and intimidated his victim after tracking them using the GPS location from Rodriguez. Despite being released on a $50,000 bond, the former federal task force officer is scheduled to appear for a hearing on November 10. The court also threatened to imprison Rodriguez for 10 years in prison for his illicit crimes.

The second officer, 33-year-old Christopher Michael Cadman, also pleaded guilty to misusing his powers to help Iza intimidate a victim after staging a traffic stop in Paramount and using excessive force with a firearm. According to court documents, Cadman and another anonymous LASD deputy stole $25,000 from a victim by holding him at gunpoint at Iza’s Bel Air mansion and instructing him to transfer the funds to Iza’s bank account.

The court found that Cadman filed incorrect returns to the IRS in 2022, which amounted to $40,500. The DOJ disclosed that the LASD deputy owed a total of $11,000 in federal taxes for 2021 alone.

Court finds Iza behind the officers’ illegal activities

The court also found that the funds were part of a larger scheme orchestrated by Iza, where he gave law enforcement officers hundreds of dollars in exchange for illegal favors. One court report revealed that his crypto trading firm had transferred roughly $154,933 to an LASD officer. 

According to court filings, he allegedly impersonated an FBI agent to steal digital assets from a laptop of a victim and his girlfriend at gunpoint. Prosecutors have also accused the founder of Zort of paying officers to arrest his enemies on drug charges. One victim was pulled over by officers and arrested under drug charges, which he claimed he was unaware of.

The FBI also accused Iza, who is scheduled for a hearing on December 15, of evading his tax returns by using adversaries and several shell companies. The agency’s report disclosed that the crypto businessman has hidden roughly $1,715,196 in taxes and also failed to file his taxes between 2020 and 2022.

Prosecutors also charged Izah’s ex-girlfriend Iris Ramaya Au in March for failing to report his illegal operations and for tax fraud. Au could be incarcerated for three years in prison for aiding her ex-boyfriend in his $2.6 million criminal operation. The duo reportedly spent over $10 million on luxury recreational activities.

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