Key facts
- Frank Carone, former chief of staff to Mayor Eric Adams, was arrested on federal bribery charges.
- He is accused of accepting $120,000 in bribes from developer Andy Zhu.
- The bribes were allegedly to secure a $6.8 million contract for a migrant shelter.
- Carone's brother, Anthony Carone, developer Andy Zhu, and his manager Crystal Chen were also arrested.
- The indictment includes charges of bribery, wire fraud, money laundering, and obstruction of justice.
Frank Carone, the former chief of staff to New York City Mayor Eric Adams, was arrested Wednesday morning along with his brother Anthony Carone, Chinese developer Andy Zhu, and Zhu's business manager Crystal Chen. They face federal bribery charges related to the city's migrant crisis.
Prosecutors allege that Frank Carone accepted a series of bribes totaling $120,000, wired to an account controlled by his brother, in exchange for steering a $6.8 million emergency shelter contract to Zhu's Microtel Inn in Long Island City. The alleged scheme occurred between June 2022 and December 2023, a period when New York City was experiencing a significant influx of migrants and utilizing no-bid contracts for housing.
According to the indictment, Zhu leveraged his personal relationship with Carone, hosting him at gatherings and later asking for assistance in securing the contract. Despite initial opposition from the Department of Social Services due to the hotel's location next to an existing shelter, a city hall official indicated that directions for awarding the contract came "directly from the top." Following the contract award, payments allegedly began to Anthony Carone's account, with funds later funneled to Frank Carone for personal expenses.
Carone's attorney, Arthur Aidala, described the indictment as "weak" and based on circumstantial evidence. The defendants face 13 counts, including bribery, wire fraud, money laundering, and obstruction of justice. Prosecutors claim that the Carone brothers attempted to obstruct the investigation by fabricating evidence that the transactions were personal loans, backdating documents provided to investigators.
This arrest follows a pattern of indictments against high-ranking officials in the Adams administration, many of whom have faced charges related to bribes from real estate developers. The mayor himself was indicted in September 2024, though those charges were later dropped. Other officials indicted include former chief adviser Ingrid Lewis-Martin and former Deputy Commissioner Jesse Hamilton.