NEW YORK (AP) — A chief of staff to former New York City Mayor Eric Adams has been charged with accepting more than $100,000 in bribes to steer a lucrative migrant shelter contract to a Queens hotel, according to a federal indictment unsealed Wednesday.
Frank Carone’s arrest Wednesday was the latest in a string of corruption allegations that have rocked the one-term mayor and his inner circle. And it came the same day federal authorities executed search warrants related to a separate bribery investigation involving high-ranking police officials under Adams, the latest sign that prosecutors are continuing to hone in on the previous administration.
The indictment accuses Carone of leveraging his position as Adams’ chief of staff to commit multiple acts of bribery, wire fraud and money laundering. His brother, Anthony Carone, as well as the Queens hotel owner, Yan Po Zhu, and Crystal Chen, an employee of the hotel, were also charged.
“I asked my partners to pay you for a year," Zhu told Carone in a text message, according to prosecutors. Carone, who is also charged with obstruction of justice, deleted the message after learning he was under investigation, prosecutors said.
The defendants are expected to be released after their arraignments Wednesday afternoon in Brooklyn federal court. They each face up to 20 years in prison if convicted.
Prosecutors said Carone accepted a series of bribes from Zhu and Chen to steer a multimillion dollar shelter contract to their hotel, which city officials had said was smaller than two other proposed hotels and could house fewer migrants. The contract was awarded amid an influx of migrants to New York that overwhelmed the city’s homeless shelters.
Frank Carone’s lawyer, Arthur Aidala, said the indictment was “not worth the paper upon which it is printed.”
“Today’s indictment is a sad day for our criminal justice system,” Aidala said in a statement. “It epitomizes the government first finding a target and then spending three years and enormous taxpayer resources to find a crime.”
Carone, a longtime Brooklyn power broker, is widely credited as one of the architects of Adams’ political rise. Among the wider public, he is perhaps most notorious for his role in an episode that led to a Brooklyn pastor being stripped of his duties partly for allowing pop star Sabrina Carpenter to film scenes for a provocative music video at his Roman Catholic church.
The church was later subpoenaed by federal investigators seeking information about business dealings between Monsignor Jamie Gigantiello, who approved the video, and Carone.
Adams himself was indicted on bribery charges in 2024 for allegedly accepting illegal campaign contributions from Turkish officials and others in exchange for political favors. The case was tossed by the Justice Department, which said it was distracting Adams from assisting in President Donald Trump's immigration crackdown. Adams has denied wrongdoing but abandoned his campaign for a second term last year.
The former mayor was not accused of wrongdoing in Carone's indictment.
A lawyer for Zhu, Stephen Scaring, said the hotel owner “will be entering a plea of not guilty and is anxious to establish his innocence.”
Chen's lawyer declined to comment. Messages were left for Anthony Carone's lawyer.
In total, Frank Carone was paid around $120,000 by Zhu and Che for the emergency shelter contract, prosecutors said. The money was passed through a law firm owned by his brother, Anthony Carone, according to the indictment.
The city’s Social Services Department had initially rejected the hotel’s application to house migrants due to growing resistance to the high number of shelters already operating in the neighborhood, the indictment said.
Carone then interceded on the hotel’s behalf, prosecutors allege. In one text exchange in September 2022, Zhu wrote: “Thank you my big guy,” according to the indictment.
Zhu's hotel received $6.8 million from city shelter contracts, prosecutors said.
The Carones and Zhu socialized frequently and attended gatherings at Zhu’s Long Island home, the indictment said.
In a separate statement, Todd Shapiro, a spokesperson for Adams, said Frank Carone “dedicated decades of his life to public service, the legal profession, and helping countless individuals, businesses, and charitable organizations throughout New York.”
Carone played a key role in Adams’ campaign for mayor in 2021 and served as Adams’ chief of staff in 2022. In 2023, he formed a political consulting firm. He also was a one-time lawyer for the Brooklyn Democratic Party.
Separately Wednesday, federal agents searched the homes of current and former New York Police Department leaders as part of a bribery investigation that grew out of an inquiry into Jeffrey Maddrey, the chief of department under Adams, according to a law enforcement official briefed on the searches.
As part of that inquiry, the FBI and the NYPD executed warrants on the home of NYPD Chief of Manhattan South James McCarthy and former Deputy Commissioner Tarik Sheppard, according to the person, who spoke on condition of anonymity because they were not authorized to discuss the investigation.
Maddrey’s home was also searched by federal agents, the person said.
The searches were not related to the arrest of Frank Carone, according to another person familiar with the matter who also spoke on condition of anonymity because they were not authorized to publicly discuss details of the case. There is no public indication of any arrests as part of those searches.
Once the highest-ranking uniformed officer in the department, Maddrey resigned in late 2024 over allegations that he demanded sex from a subordinate in exchange for opportunities to earn extra pay.
An inquiry to his attorney was not immediately returned. Attorney information for Sheppard and McCarthy was not immediately available.
Collins reported from Hartford, Connecticut, and Durkin Richer reported from Washington.
FILE - New York City Mayor Eric Adams, center, speaks during a cabinet meeting on his first day in office in New York, Jan. 1, 2022. To Adams' right is his Chief of Staff Frank Carone. (AP Photo/Seth Wenig, File)
FILE - The lower Manhattan skyline, including the new One World Trade Center building at right, is shown as viewed from near the Statue of Liberty, Jan. 31, 2014, in New York. (AP Photo/Ted S. Warren, File)
