Apr.09, 2010

NEWARK - Union City real estate investor Itzhak Friedlander pleaded guilty yesterday to his role in the state's largest corruption sting.

Friedlander, 42, faces 24 to 30 months in prison after pleading guilty to one count of conspiracy to launder money to conceal a crime.

Friedlander admitted before U.S. District Judge Jose Linares in Newark that he passed about $175,000 from federal informant Solomon Dwek through the charity Gmach Shefa Chaim from June 2007 to August 2008.

In answering questions from Assistant U.S. Attorney Dustin Chao, Friedlander acknowledged that Dwek, who was posing as a real estate developer, informed him that the funds were the proceeds of illegal activities, including bank fraud, trafficking counterfeit goods and concealing property from a federal bankruptcy court and trustee.

Friedlander admitted that the funds were being funneled through the charity to Union City officials in exchange for getting Dwek development approvals for a site in the city.

During questioning by Chao, Friedlander implicated Moshe "Michael" Altman, 40, of Monsey, N.Y., and Shimon Haber, 34 of Brooklyn, saying they conspired together to "wash" dirty money through the charity based out of Altman's Union City real estate office.

Haber pleaded guilty to a one count of conspiracy in January and is scheduled to be sentenced May 25.

A 41-count indictment against Altman alleges, he, Friedlander and Haber laundered a total of $668,000 from February 2007 to July 2009. Altman has pleaded not guilty and will go to trial.

In pleading guilty, Friedlander waived his right to an appeal. Linares set Friedlander's sentencing for July 14. The minimum recommended sentence is 24 to 30 months.