Hudhaifa
01-01-04, 21:22
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Two link rabbi to jails scheme
By ROBERT GEARTY
DAILY NEWS STAFF WRITER
Hot seat: Rabbi Milton Balkany has been implicated in a federal jails bribery scheme.
A prominent Brooklyn rabbi has been implicated in a bribery scandal for allegedly helping to get inmates moved to country club prison camps from medium-security federal prisons, the Daily News has learned.
Two people who pleaded guilty in the bribery scam have told authorities that a rabbi was heavily involved; one said the rabbi "takes the money and he pays it to those who need to be paid."
Law enforcement sources said that rabbi is Milton Balkany, 57, director of the Bais Yaakov girls school in Borough Park.
Balkany, known as the Brooklyn Bundler for his ability to raise campaign funds for politicians - mostly Republicans - already is facing charges for allegedly misusing $700,000 in federal funds earmarked for disabled kids at his school.
The rabbi has proclaimed his innocence on those charges, adding yesterday that he also is innocent of bribery allegations.
"Not 10 cents, not even a box of toothpicks," has been given to any prison official, Balkany said. "It has never happened without exception, and I say that in the strongest truth."
Alexander Zakharov, 44, a former Brooklyn livery cab driver currently of Seminole, Fla., and Sam Kaplun, 61, of Hallandale, Fla., formerly of Staten Island, were arrested in 2001 and immediately began cooperating.
When he pleaded guilty two months ago, Zakharov said: "The money was to be given to [the] rabbi. They told me that the money was then supposed to be given to federal government officials."
Kaplun pleaded guilty Nov. 24.
A spokesman for Interim Manhattan U.S. Attorney David Kelley said the investigation was continuing. No prison officials have been charged.
The FBI first heard about the bribery allegations in March 2001 after Kaplun's son Vadim, imprisoned for manipulating penny stocks, met a Russian mobster doing time for extortion at Otisville federal prison in upstate New York.
The Russian mobster told FBI agents that Vadim Kaplun claimed he had a contact in the Bureau of Prisons who could arrange transfers to prison camps.
Vadim Kaplun gave the mobster Zakharov's cell phone number. During the spring and summer of 2001, a Russian-speaking undercover cop then talked with Zakharov about a transfer for the Russian mobster.
In court papers, Zakharov was quoted as saying that he reported to "a rabbi who had done this kind of thing for other inmates."
At a meeting at a Brooklyn gas station, the undercover paid Zakharov $5,000 in partial payment for the transfer.
At another meeting, Zakharov told the undercover he could pay part of the $10,000 balance with a certified check made payable to an organization connected to the rabbi.
http://www.nydailynews.com/12-23-2003/news/story/148551p-131015c.html
Two link rabbi to jails scheme
By ROBERT GEARTY
DAILY NEWS STAFF WRITER
Hot seat: Rabbi Milton Balkany has been implicated in a federal jails bribery scheme.
A prominent Brooklyn rabbi has been implicated in a bribery scandal for allegedly helping to get inmates moved to country club prison camps from medium-security federal prisons, the Daily News has learned.
Two people who pleaded guilty in the bribery scam have told authorities that a rabbi was heavily involved; one said the rabbi "takes the money and he pays it to those who need to be paid."
Law enforcement sources said that rabbi is Milton Balkany, 57, director of the Bais Yaakov girls school in Borough Park.
Balkany, known as the Brooklyn Bundler for his ability to raise campaign funds for politicians - mostly Republicans - already is facing charges for allegedly misusing $700,000 in federal funds earmarked for disabled kids at his school.
The rabbi has proclaimed his innocence on those charges, adding yesterday that he also is innocent of bribery allegations.
"Not 10 cents, not even a box of toothpicks," has been given to any prison official, Balkany said. "It has never happened without exception, and I say that in the strongest truth."
Alexander Zakharov, 44, a former Brooklyn livery cab driver currently of Seminole, Fla., and Sam Kaplun, 61, of Hallandale, Fla., formerly of Staten Island, were arrested in 2001 and immediately began cooperating.
When he pleaded guilty two months ago, Zakharov said: "The money was to be given to [the] rabbi. They told me that the money was then supposed to be given to federal government officials."
Kaplun pleaded guilty Nov. 24.
A spokesman for Interim Manhattan U.S. Attorney David Kelley said the investigation was continuing. No prison officials have been charged.
The FBI first heard about the bribery allegations in March 2001 after Kaplun's son Vadim, imprisoned for manipulating penny stocks, met a Russian mobster doing time for extortion at Otisville federal prison in upstate New York.
The Russian mobster told FBI agents that Vadim Kaplun claimed he had a contact in the Bureau of Prisons who could arrange transfers to prison camps.
Vadim Kaplun gave the mobster Zakharov's cell phone number. During the spring and summer of 2001, a Russian-speaking undercover cop then talked with Zakharov about a transfer for the Russian mobster.
In court papers, Zakharov was quoted as saying that he reported to "a rabbi who had done this kind of thing for other inmates."
At a meeting at a Brooklyn gas station, the undercover paid Zakharov $5,000 in partial payment for the transfer.
At another meeting, Zakharov told the undercover he could pay part of the $10,000 balance with a certified check made payable to an organization connected to the rabbi.
http://www.nydailynews.com/12-23-2003/news/story/148551p-131015c.html