Grandson of Notorious Mob Boss John Gotti Sentenced to Prison for Covid-19 Relief Fund 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 Covid-19 relief fund scam, in which he fraudulently obtained $1.1 million from the US government's Small Business Administration and invested at least $420,000 in cryptocurrency, according to the Department of Justice. The scheme involved Agnello submitting false information to secure multiple disaster relief loans, claiming the funds were for his autoparts and recycling business in Queens, including employee salaries. The US Attorney's Eastern District of New York office stated that Agnello 'diverted [the proceeds] for his personal use, including by investing approximately $420,000 in a cryptocurrency business.' The fraud occurred between April 2020 and November 2021, during the height of the pandemic, with Agnello set to begin his prison term on July 1. US Attorney Joseph Nocella condemned Agnello's actions, stating that he 'shamefully lined his own pockets with government and taxpayers' dollars.' The case is one of several instances of Covid-19 relief fund fraud, with statistics from the US Government Accountability Office suggesting that up to 15% of the total funds, approximately $135 billion, were lost to scams. Agnello's grandfather, John Gotti, was a notorious figure who exerted power through violence and was eventually found guilty on 13 criminal counts, dying in federal prison in 1992.