Federal investigators are at present scrutinizing New Jersey Senator Bob Menendez amid allegations that he acquired gold bars valued within the lots of of hundreds of {dollars} from a convicted felon for help, as revealed in a not too long ago revealed report.
A federal grand jury convened to try to find out if corruption prices must be introduced in opposition to the long-time lawmaker and senior New Jersey senator, NBC’s native New York affiliate reported Wednesday. Witnesses have begun to testify.
At challenge are Menendez’s ties to New Jersey actual property tycoon and ex-bank chairperson Fred Daibes. FBI and nationwide tax investigators are probing if Daibes gave Menendez’s spouse, Nadine Arslanian, gold bars price as much as $400,000.
The change passed off on the identical time that Daibes was below federal investigation for financial institution fraud, prices that would have led him to spend a decade behind bars, NBC reported. A authorized skilled informed the information outlet that it may very well be prison if Menendez agreed to contact Justice Division officers concerning the case for the items.
“For functions of the Federal Extortion Act, it makes no distinction if the senator took an official act as long as he accepted the cash and there was data the cash was in change for that official affect, even when he by no means carried out what he had promised he would do,” mentioned NBC authorized analyst Danny Cevallos.
Menendez disclosed that his household acquired the gold bars in 2020, however after the investigation into Daibes had begun, mentioned NBC.
New Jersey’s U.S. Lawyer’s Workplace agreed final yr to permit Daibes to plead responsible to at least one prison cost and serve probation. He had confronted dozens of financial institution fraud prices associated to a $1.8 million mortgage from Mariner’s Financial institution, the place he was chairperson.
Daibes’ sentencing has been delayed 3 times up to now yr by U.S. District Court docket Choose Susan Wigenton. His attorneys have denied he’s cooperating with federal prosecutors in opposition to Menendez, in accordance with NBC.
However the gold bars change is only one a part of the probe, mentioned NBC. Authorities are additionally analyzing whether or not Menendez or his spouse accepted items from IS EG Halal.
The beginning-up firm received a profitable contract with the Egyptian authorities to conduct all halal inspections for the U.S., regardless of not having any expertise within the discipline.
Investigators are searching for to find out whether or not Menendez used his seat as Senate Overseas Relations chairperson to bolster the New Jersey firm’s bid in change for items.
Menendez and IS EG Halal have denied any wrongdoing.