A0 91 (Rev. 02l09) Criminal Complaint United States District Court for the Western District of New York United States of America Case No. 18-MJ- 61/50 v. . GEORGE MOSES, Defendant CRIMINAL COMPLAINT I, the complainant in this case, state that the following is true to the best of my knowledge and belief. On or about the dates of July 25, 2018 and July 31, 2018, in the County of Monroe, 1n the Western District of New York the defendant violated Title 18 S. C. 1001, said offenses described as follows. There is probable cause to believe that the defendant, GEORGE MOSES, did knowingly violate Title 18, United States Code, Section 1001, by making false statements to Special Agents of the FBI. - This Criminal complaint is based on these facts: Continued on the attached sheet. ?Complainant? signature Daniel A. Ciavarri, Special Agent, Federal Bureau of Investigation Printed name and title Sworn to before me and signed in my presence. Date: October 2-3 2018 - . ?4?44 141?!!an Judge ?3 signature - HONORABLE MARIAN W. PAYSON City and State: Rochester. New York UNITED STATES MAGISTRATE JUDGE Printed name and title ?1 AFFIDAVIT IN SUPPORT OF CRIMINAL COMPLAJN State of New York County of Monroe ss: City of Rochester - 94/77 4/549 . I, Daniel A. Ciavarri, being duly sworn, depose and say: IN TRODUC TION l. I am a SpecialFAgent of the Federal Bureau of Investigation (FBI) and have been so employed for over 7 years. I have been trained to investigate, and have participated in investigations of, a wide range ?of federal criminal violations, including fraud and public corruption. I am empowered by law to conduCt investigations of, and make arrests for, offenses against the United States. 2. This af?davit is made in support of a criminal complaint charging GEORGE . H. MOSES With violating Title 18, United States Code, Section 1001 by making false statements to Special Agents of the FBI. The false statements were made in a matter within the jurisdiction of the executive branch of the Government of the United States. 3. . The factual information supplied in this af?davit is based on my own investigation in this case, including witness interviews and reviews of records, my experience . and background as an FBI Special Agent, and information provided by other law enforcement of?cers engaged in the investigation. Because I am submitting this af?davit for the limited It . purpose of securing a criminal complaint, I have not set forth each and every known fact known to me relating to this investigation. Rather, I have, set forth only those facts that I believe are necessary to establish probable cause to believe that GEORGE H. MOSES did knowingly violate Title 18, United States Code, Section 1001. BACKGROUND DefendantMOSES resides in Rochester, New York and is the Chairman of the Board of Commissioners of the Rochester Housing Authority and a board member of the Rochester Housing Charities He was the chairperson of the board of the RHC from in or about March 2015 to the fall of 2015. 5 . The RHA is located in Rochester, New York. It provides housing opportunities and services for the Rochester community. It oversees approximately 2,500 public?housing units, millions of dollars and subsidies for tens of thousands of people. The RHA has an annual contract with the United States Department of Housing and Urban Development from which it receives millions of dollars. 6. The RHC is located in Rochester, New York. On or about March 20, 2013, the RHA formed the RHC to assist in advancing the purposes of the RHA. On or about. February 12, 2014, the Internal Revenue Service granted RHC tax exempt status as a not for pro?t entity. Washington, D.C. Firm Capital Connection Partners LLC 7. In 2013, Capital Connection Partners LLC was formed as a limited liability ?company in Washington, D.C. Its alleged mission was to provide premier business and consulting services to government entities and organizations wishing to conduct business involving Washington, D.C. and the Federal government. now defunct and its only client was the RHC. Lisa Ransom was one of the three partners that made up CCP, which had no other employees. Adam McFadden and Caesar Develoument LLC 8. From on or about October 14, 2014, to onor about December 20, 2014, Adam McFadden was the Interim Executive Director of the RHA. On or about January 23, 2015, McFadden incorporated Caesar Development LLC as a limited liability company. Contracts 9. On or about July 7, 2015, the entered into an $87,500 one year contract with CCP (?the RHC and CCP Contract?), which provided that CCP would perform various services for the RHC, including advocating at the local, state and federal level of government for policy and legislation, reviewing best practices, and issuing presentations to elected of?cials, and ?nding self sufficient resources to include creating entrepreneurial opportunities and workforce development, developing revenue streams for residents, and applying for federal home loan bank grants. 10. On or about July 8, 2015, McFadden, on behalf of his company, Caesar Development LLC, executed a contract with CCP entitled the Pass Through Funding and 3 Services Agreement (the ?McFadden Pass Through Agreement?), which provided that CCP would pass through 75% of the funds it received ?rom the RHC to Caesar Development LLC. FALSE STATENIENTS 1 1. On July 25, 2018, Special Agents of the FBI, including your af?ant, interviewed MOSES at the RHA regarding the RHC and CCP Contract and the McFadden Pass Through Agreement. During that interview, MOSES made the following false statements: When asked how RHC learned of CCP, Moses stated he could not recall speci?cally who brought CCP to the attention of the RHC. . When asked whether he knew if CCP had any subcontractors doing work under the RHC and CCP Contract, Moses stated that he was unaware of any sub-contractors that CCP utilized to execute the RHC and Contract and he would have been aware if any existed as he was reviewing the work product related to the contract. 12. On July 31, 2018, Special Agents of the FBI, including your af?ant, interviewed MOSES at the United States Attorney?s OffiCe in Rochester regarding the RHC and CCP Contract and the McFadden Pass Through Agreement. During that interview, MOSES made the following false statements: When told that McFadden and his company received money from the RHC and CCP Contract, Moses stated that he was surprised that McFadden and Caesar Development LLC received such money. .. When discussing a meeting held between CCP and the boards of the REA and RHC on December 11, 2015, Moses stated that he was surprised that McFadden was also at the meeting. 13. The evidence discussed below establishes that when he was interviewed by Special Agents of the FBI, MOSES knew the following: Cb) That McFadden had brought CCP to the attention ?of MOSES and the RHC. That McFadden and his company, Caesar Development LLC, . were allegedly to perform werk on behalf of CCP in connection with the RHC and CCP Contract. That McFadden received money from the payments received by CCP from the RHC and CCP Contract. That McFadden would be at the December 11, 2015, meeting with CCP at the hotel in Rochester. PROBABLE CAUSE 14. During the tirne that McFadden was Interim Director of the REA, MOSES was the Chairperson of the Board of Commissioners of the RHA. While Interim Director, McFadden advised MOSES that McFadden wanted to get the RHC up and running. 15. In early January 2015, McFadden contacted Lisa Ransom at CCP to discuss CCP entering into a contract with the RHC. McFadden and Ransom had been prior acquaintances. At this time, MOSES did not have a prior relationship with anyone of the three partners of CCP and did not know of CCP?s'eXistence. 16. Between on or about January 1,2015, and March 25, 2015, MOSES engaged 1n hundreds of telephone calls with McFadden. 17 On or about March 25, 2015, MOSES, as board chairperson, caused the REA Board of Commissioners to appoint him as one of the three new board members of the RHC, and to approve a loan the amount of $300,000. At this time, the RHC only consisted of three board members, and had no employees or executive staff. 18. On or about May 11, 2015, MOSES had at least two telephone calls with McFadden, presumably to discuss approving the hiring of CCP by the RHC at'the RHC board meeting the next day. 19. On or about May 12, 2015 at the RHC board meeting, MOSES and the other tviro board members agreed that RHC would hire CCP to perform various services for the RHC. MOSES knew at the time that the RHC had not received a formal bid for the contract from CCP nor from any other company because no company ever provided a formal bid. 20. One of the other two RHC board members stated that MOSES introduced and suggested the hiring of CCP to the other two RHC board members. The other two board members had not knoWn of CCP until MOSES advised them of CCP. Thus, because MOSES had no prior knowledge of nor relationship with CCP, and because the other two board members ?rst learned of CCP from MOSES, there is probable cause to believe that MOSES ?rst learned 'of CCP from McFadden and then brought CCP to the attention of the other two board members. By bringing CCP to the attention of the?other two board members, MOSES brought CCP to the attention of the RHC. 21. On or about May 27, 2015 MOSES had two telephone calls with McFadden, during which it is reasonable to assume that they discussed the RHC and CCP Contract and the McFadden Pass Through Agreement. 22. On or about May 28, 2015, at approximately 11 4:2 a. m. ,McEadden emailed MOSES drafts of the RHC and CCP Contract and the McFadden Pass Through Agreement As stated above, the McFadden Pass Through Agreement provided that McFadden? 3 company, Caesar Development LLC, would be receiving 75% of the money the RHC would be paying to CCP under the terms of the RHC and CCP Contract. 23. Between on or about May 28,2015, the day MOSES received the drafts of the two contracts, and July 6,2018, the day before the RHC and CCP Contract was executed by the RHC, MOSES had almost daily telephone calls with McFadden. 24. On or about July 7, 2015 the RHC executed the RHC and CCP Contract. At that time, MOSES knew that CCP would be paying 75% of the money it received from the RHC to McFadden?s company, Caesar Development LLC. MOSES concealed McFadden?s involvement in the RHC and CCP Contract from both boards of the RHC and the RHA. 25. On or about July 8, 2105, McFadden, on behalf of his company, Caesar Development LLC, executed the McFadden Pass Through Agreement. MOSES and McFadden had a telephone call on that date. 26. On or about August 3, 2015 although the RHC and CCP Contract had only been entered into less than a month earlier, the REA on behalf of the RHC paid CCP $43,75 0, which represented the first installment payment under the I terms of the RHC and CCP Contract. At this time, MOSES was board chairperson of the RHA and a board member of the RHC. 27. On or about August 8, 2015, CCP paid $32,812.50 to Caesar Development LLC, vvhich represented 75% of the funds CCP had just received from the RHA. 28. On or about July 22, 2015, MOSES and another RHC and RHA board member, submitted to the RHA board of commissioners a copy of fraudulent RHC board minutes from the May 12, 2015, RHC board meeting. The board minutes falsely stated the RHC had received three formal bids before selecting CCP as the levy bidder. The board, minutes also failed to identify McFadden?s company, Caesar Development LLC, nor state that Caesar Development LLC Would be receiving most of the funds from the RHC and CCP Contract. 29. On or about December 10, 2015, two members of CCP traveled to Rochester and met with McFadden and MOSES 'at a local restaurant. Prior to that meeting, MOSES and McFadden had at least three telephone calls that day. 30. On or about December 11, 2015, the two members of CCP along with McFadden attended a' meeting with the RHC and RHA board members at a hotel in Rochester. There is probable cause to believe that MOSES knew that McFadden would be attending this meeting and that he was not surprised to see McFadden at the meeting. 31. Prior to the second $43,750 payment to CCP by the RHC in December 2015, McFadden regularly spoke with MOSES and sent him emails during and in which they discussed the second installment payment by the RHC to CCP. MOSES knew that McFa?dden?s company, Caesar Development LLC, would be receiving ?nds from this second payment. 32. On or about_December 23, 2015, the RHC paid $43,750 to CCP, which represented the second installment payment under the terms of the RHC and CCP Contract. At this time, MOSES was board chairperson of the RHA and a board member of the RHC. 33. On or about December 24, 2015, CCP paid $32,812.50 to Caesar Development LLC, which represented 75% of the funds CCP had just received from the RHC. CONCLUSION 34. Based on the foregOing, I respectfully submit that there is probable cause to believe that GEORGE MOSES did knowingly Violate Title 18, United States Code, Section 1001, by making false statements to Special Agents of the FBI. in?? %7 Daniel A. Ciavarri, Special Agent Federal Bureau of Investigation Sworn to before me this 23 day of October 2018. MM Ravi-?M HON. MARIAN W. PAYSON United States Magistrate Judge 10