Grandson of Notorious Mob Boss John Gotti Faces Prison Time for Covid Relief Scam and Crypto Investment Scheme

Carmine Agnello, grandson of the notorious John Gotti, has been sentenced to 15 months in prison for his role in a $1.1 million Covid relief fund scam, with the proceeds partially used to invest in cryptocurrency, according to the Department of Justice. In a statement, the US Attorney's Office for the Eastern District of New York revealed that Agnello secured multiple disaster relief loans from the Small Business Administration by submitting false information. He then diverted the funds for personal use, including investing approximately $420,000 in a cryptocurrency business. The fraud occurred between April 2020 and November 2021, with Agnello falsely claiming the funds were for his autoparts and recycling business in Queens, including employee salaries. US Attorney Joseph Nocella condemned Agnello's actions, stating that he 'shamefully lined his own pockets with government and taxpayers' dollars' during the pandemic. Agnello's case is not an isolated incident, as numerous individuals have been caught defrauding the government's Covid relief fund, including Bruce Choi, who obtained $2 million in pandemic-related business loans for non-existent companies and used the money to buy cryptocurrency. According to the US Government Accountability Office, fraud against Covid-related relief funds has resulted in losses of up to $135 billion. Agnello's grandfather, John Gotti, was a powerful figure in organized crime, with a reputation for brutal violence and a penchant for the spotlight, earning an estimated $500 million annually from various illicit ventures.