WASHINGTON — Federal prosecutors charged Republican Rep. George Santos of New York with fraud, cash laundering and other crimes, according to an unsealed indictment Wednesday, a startling progression after months of scrutiny through the freshman congressman that began after lies he told. About his background began to crumble.
Santos, 34, was arrested Wednesday morning, the Justice Department said. He advocated not to blame his arraignment before U. S. District Judge Arlene Lindsay in Central Islip Federal Court in New York. your passport
“Taken together, the indictments accuse Santos of relying on repeated dishonesty and deceit to scale the halls of Congress and enrich himself,” U. S. Attorney Breon Peace said in a statement. “He used political contributions to line his pockets, illegally demanded unemployment benefits that have gone to New Yorkers who had lost their jobs due to the pandemic, and lied to the House of Representatives. “
The 13-count indictment issued through a federal grand jury Tuesday includes
If convicted, Santos faces up to 20 years on the most serious charges.
Speaking to reporters outdoors in court after his arraignment, Santos said he has “the right to fight to prove my innocence,” and remains indifferent to calls for his resignation.
“I’m going through to make it turn out I’m innocent and then we’re going through to move on from there. Re-election is a long way off,” he said, adding that “I will not resign. “
Santos accused the Justice Department of organizing a “witch hunt” against him, a characterization former President Donald Trump has made of investigations into his conduct.
“I’m going to fight my battle. I will comply. I’m going to fight the witch hunt, I’m going to clear my name and I’m going to go ahead to do it,” Santos said.
The 20-page indictment exposes an alleged scheme in which Santos operated a limited liability company to defraud potential supporters of his 2022 congressional campaign. Federal prosecutors allege Santos incited supporters to donate cash to the company “under the false pretense that the money would be used to support” his candidacy. He then spent “thousands of dollars” of solicited donations for expenses, adding luxury designer clothes, car credits and car bills, and debt bills.
Santos allegedly ordered an unidentified political representative to inform them of his candidacy that the company was a tax-exempt charity and that the contributions they made would be used for his congressional campaign, in addition to paying for television ads. Two donors transferred $25,000 each to the company’s account, which Santos controlled, and that cash was then transferred to Santos’ nonpublic bank accounts, according to court documents.
Prosecutors said the company is neither a 501(c)(4) nor an independent expenses committee, and Santos “converted most of the budget for his private benefit. “
The indictment also alleges that Santos fraudulently earned enhanced unemployment benefits from New York State during the COVID-19 pandemic, despite being hired at the time as a regional director for a Florida-based investment firm, Harbor City Capital, earning about $120,000 a year. She earned more than $24,000 in unemployment benefits for which she was not eligible, according to prosecutors.
Federal prosecutors go on to claim Santos worked to mislead the House and the public about his money in two congressional campaigns, a failed 2020 House bid and his 2022 bid.
During his 2020 campaign, Santos filed two revelations in the House, in which he “falsely certifies” that his only source of earned income was a salary totaling $55,000 in the applicable reference period and that the only earnings he earned above $5,000 came from an “unspecified commission bonus. “
But the indictment says Santos exaggerated the source of income he earned and failed to disclose his salary from the Florida investment firm.
In September 2022, for his election campaign at the moment, prosecutors said Santos exaggerated his source of income and assets in a form of House disclosure and falsely claimed he earned $750,000 from the Devolder Organization, a Florida-based entity of which he is the sole beneficiary and earned between $1 million and $5 million in dividends from the company.
He also allegedly lied about having a checking account with between $100,000 and $250,000 and a savings account with between $1 million and $5 million. However, prosecutors say the claims were false.
The charges against Santos were filed through federal prosecutors in the Eastern District of New York, one of several investigative entities examining the Republican lawmaker’s crusade and monetary transactions. Local and state authorities, such as the FBI and law enforcement in Brazil, have also investigated Santos.
The congressman elected to constitute New York’s third congressional district last November and has spent the months since then wondering about his background in education and painting, as well as his finances and campaign expenses.
Santos was accused of illegally using the budget collected from his 2022 congressional crusade for non-public spending and of presenting false data about the origin of his donations and the expenses of the crusade. Below the $200 threshold where receipts are required, they were also discovered, prompting more questions about the expenses of his crusade.
The FBI is investigating Santos’ alleged role in allegedly raising funds for a veteran’s dying dog through a puppy charity, while the Securities and Exchange Commission tested his jobs at Harbor City Capital, a financial company that shut down in 2021 for allegedly operating as a Ponzi scheme.
Santos was questioned through Seattle detectives and the U. S. Secret Service. It was launched in the U. S. in 2017 as part of an investigation into a scheme to steal ATM numbers. An affidavit the firm obtained from a Brazilian man arrested for installing skimmers at a Seattle bank said Santos was “responsible” for the loans. Card fraud scheme.
Santos’ troubles followed him to the Capitol, where he recused himself from two House committees due to the “continued attention” of the multitude of investigations into his alleged misconduct. The House ethics committee opened an investigation into Santos in March, part of which is he engaged in illegal activities similar to his 2022 congressional crusade and failed to properly disclose the required information about the House statements.
Santos admitted to “embellishing” his resume and also denied any wrongdoing.
The steady stream of revelations about the New York Republican has led Republicans in the New York delegation to call for his resignation. Many have reiterated their demands that Santos resign his seat in light of charges of thieves opposing him.
“I can’t wait for him to leave,” Republican Rep. Marc Molinaro of New York told reporters Wednesday of Santos.
Santos, however, resisted pressure to leave Congress and announced in April that he would seek a momentary term in 2024. His attorney, Joseph Murray, told CBS News that Santos is “absolutely” still running for re-election and would not be discouraged through fees. Murray told Wednesday’s indictment that Santos would be free to attend crusade events and fundraisers.
Although Santos is limited to New York, Long Island and the District of Columbia, he can make requests to the court to leave those areas.
Murray said he expects Santos to return to painting in Washington. The congressman, Murray said, “is running away from nowhere. “
House Speaker Kevin McCarthy also continued to answer questions about whether he would ask Santos to resign, telling reporters Tuesday he would do so if Santos was ultimately convicted. to get their legislative priorities passed.
“Like any American, he has his day in court,” he told reporters Wednesday after the indictment against Santos was dropped, adding that the New York congressman “will spend his time on trial. We’ll see what the result is. “
Asked Wednesday about Santos’ impeachment, House Majority Leader Steve Scalise said the embattled congressman is no longer on House committees.
“There is a judicial proceeding, the charges have been pronounced,” Scalise told a reporter at a news conference, adding that there is a “presumption of innocence, but those are serious allegations. “
Scalise and House Republican Conference Speaker Rep. Elise Stefanik must root out fraud and abuse in all federal programs, adding pandemic relief.
“This court proceeding will unfold,” Stefanik said. Unfortunately, this is the first time a congressman from either party has been charged. “
Pat Milton, Caitlin Huey-Burns and Kathryn Watson contributed to this report.