Three individuals, including two former employees of a Brooklyn-based nonprofit, have been charged in a federal indictment unsealed on Friday for their roles in a scheme that funneled over $500,000 in illegal kickbacks.
Gary DSilva, 46, of Manalapan, New Jersey; Jonathan Velazquez, 54, of Massapequa Park, New York; and Luis Camarena, 57, of Jackson Township, New Jersey, face charges including conspiracy to commit wire fraud, bribery and money laundering.
According to prosecutors, DSilva and Velazquez, who worked in the management information systems department of the nonprofit organization, conspired with Camarena, a contractor, to divert funds intended for the installation of security cameras at homeless shelters.
The vendor, operated by Camarena, received $1.6 million from the nonprofit between 2017 and 2021. Of that amount, more than $500,000 was allegedly paid back to DSilva and Velazquez through credit card payments and shell companies.
“These defendants misappropriated public funds through a brazen kickback scheme,” said U.S. Attorney Breon Peace. “When corrupt employees siphon public funds to line their own pockets, the neediest New Yorkers bear the brunt. My office will relentlessly pursue those who try to compromise the integrity of our community organizations.”
The investigation uncovered emails in which the defendants, DSilva, Velazquez and Camarena allegedly communicated about their scheme to divide the illicit profits. These messages detailed their coordination on how kickback payments, derived from contracts awarded to Camarena’s company, would be shared. Prosecutors noted that the emails provided clear evidence of the defendants’ intent to use their positions at the Brooklyn-based nonprofit to enrich themselves at the expense of public funds.
The case is being prosecuted by the Public Integrity Section of the U.S. Attorney’s Office, with Assistant U.S. Attorneys Laura Zuckerwise and Turner Buford leading the effort. All defendants have pleaded not guilty and are presumed innocent until proven guilty.
