Grandson of Notorious Mob Boss John Gotti Sentenced to Prison for Covid Relief Fraud and Crypto Scheme

Carmine Agnello, grandson of notorious mob boss John Gotti, has been sentenced to 15 months in prison for his role in a $1.1 million Covid relief funding scam, with proceeds invested in cryptocurrency, according to the Department of Justice. The US Attorney's Eastern District of New York office released a statement detailing how Agnello fraudulently obtained disaster relief loans from the Small Business Administration and used the funds for personal gain, including a $420,000 investment in a cryptocurrency business. Between April 2020 and November 2021, Agnello submitted false information to the SBA, claiming the funds were for employee salaries and his autoparts and recycling business in Queens. 'During the height of the pandemic, the defendant shamelessly used government and taxpayers' dollars for personal gain, which he must repay as part of his sentence,' said United States Attorney Joseph Nocella. 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, an estimated $135 billion, or up to 15% of the total Covid relief funds, was lost to scams. Agnello's grandfather, John Gotti, was a notorious figure who exerted power through brutal violence and amassed significant wealth from various illicit ventures, including extortion, gambling, and stock fraud, before being sentenced to federal prison in 1992.