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Charges Against U.S. Rep. Michael Grimm Put Spotlight on His 11-Year FBI Career

Rep. Michael Grimm

Steve Neavling

U.S. Rep. Michael Grimm, who was indicted on fraud and other charges this week, served as an FBI agent for 11 years, spending about half of that time investigating financial corruption, the Wall Street Journal reports.

Grimm’s congressional biography states that he worked in the New York FBI office from 1995 to 2006.

About five of those years were spent “deep undercover” with the bureau’s Financial Fraud Squad.

Grimm helped lead an investigation that netted charges against nearly four dozen traders in a currency trading scheme.

Grimm also investigated organized-crime fires and corrupt public officials.

Now the FBI said it will review his handling of the cases following the charges filed against him, including perjury.

“That’s something we definitely will look at. No doubt about it,” George Venizelos, assistant-director-in-charge of the FBI’s New York office, said.

Former FBI agent, Rep. Michael Grimm, faces federal charges, surrenders to FBI in New York

Steve Neavling

U.S. Rep. Michael Grimm, a former FBI agent, was indicted Monday on 20 counts of fraud and other charges in connection to a Manhattan restaurant he owned, Fox News reports.

The Republican from New York evading the IRS and hiding more than $1 million in profits to avoid paying taxes.

Grimm, who was released on a $400,000 bond, pleaded not guilty in a Brooklyn federal court following his arrest earlier in the day.

“Michael Grimm made the choice to go from upholding the law to breaking it,” U.S. Attorney Loretta Lynch said at a press conference detailing the charges. “And in doing so, he turned his back on every oath he had ever taken.”

Grimm responded that he’s the victim of a “political witch hunt.”

“We’re going to fight tooth and nail until I am fully exonerated,” Grimm said outside the courthouse, flanked by his attorneys.
Grimm was previously an FBI special agent and Marine Corps combat veteran.

The indictment accuses him of mail and wire fraud charges and filing false federal tax returns. According to the indictment, he tried to hide the sales at his Upper East Side restaurant, Healthalicious, which he operated from 2007 to 2010.

U.S. Rep. Michael G. Grimm to Surrender to Federal Authorities on Charges Tied to Old Business

Rep. Michael Grimm

Steve Neavling

Michael G. Grimm, the New York Congressman under investigation over his past ownership of a restaurant in Manhattan, is expected to turn himself over to federal authorities today, the Washington Post reports.

Grimm faces multiple charges connected to his former Manhattan health food restaurant that had ties with an Israeli fundraiser. The related donations reached more than $500,000.

The FBI declined to comment.

Grimm, who has denied improprieties, acknowledged collecting up to $300,000 in contributions from followers of Israeli Rabbi Yoshiyahu Yosef Pinto. Members of the congregation donated tens of thousands of dollars in allegedly illegal contributions that included gifts.

FBI Pobes Illegal Fundraising by Tea Party Candidate in NY

Steve Neavling

The FBI’s ongoing investigation into illegal fundraising for Staten Island Congressman Michael Grimm’s 2010 campaign has led agents to question of at least four people who worked with the Tea Party favorite, the New York Daily News reports.

The four who were questioned in the past two weeks were campaign operatives or volunteers, according to the Daily News.

The probe began after members of Rabbi Yoshiyahu Yosef Pinto’s congregations said they were strong-armed for donations.

Grimm denies any wrongdoing.

Congressman Michael Grimm — an Ex-FBI Agent — Keeps Suspicious Business Ties

By Danny Fenster

After leaving the FBI, Congressman Michael G. Grimm invested about a million bucks of borrowed money in a Texas real estate investment. Looking for a builder for the project, Grimm found a former FBI agent he had served with in New York–an agent who was at the time under indictment on state racketeering charges, according to the New York Times.

The builder, Carlos Luquis, was later convicted for his role in stealing $2 million from Texas taxpayers, and eventually served 18 months in prison.

Even so, Congressman Grimm continued to do business with Luquis through two other companies. “Mr. Grimm’s ties to Mr. Luquis reflect a checkered business background that seems to clash in some ways with his image as a straight-arrow veteran of the Marine Corps and the F.B.I.,” writes the Times. “That image has been crucial to his ascent in the Republican Party.”

To read more click here.

Ex-FBI Agent Turned Congressman Described as Hotheaded Agent in New Yorker Piece

Rep. Michael Grimm

By Allan Lengel

WASHINGTON — Was New York Congressman Michael Grimm a hotheaded FBI agent with a chip on his shoulder?

That’s apparently the conclusion of an article in the latest edition of the New Yorker, according to the Staten Island Advance newspaper. Grimm, a former FBI agent, represents, Staten Island. He is a Republican.

“The 10-page story has unearthed a decade-old allegation that Grimm, during his days as an FBI agent, abused his authority and waved his gun during a nightclub dust-up with the husband of a woman he was dating,” the Staten Island Advance wrote.

The article quotes unnamed FBI colleagues. Some applauded him for his undercover work and others said they were bothered that he used his FBI career as a political springboard, the Staten Island reported.

The magazine piece includes agent Lawrence Ferazani, who said, “I wouldn’t question his integrity,” and “he never, ever, challenged the rules,” according to the Staten Island Advance.

Another agent called Grimm “a very good undercover” with a “big ego.” A former agent said, “He was not thought of very highly.”

On his Congressional website, here’s how he describes part of his career:

“It was during his tenure with the Fraud Squad that Michael started his undercover career becoming the first FBI Agent to successfully infiltrate Wall Street. Posing as a hedge fund manager during Operation Wooden Nickel, arguably one of the most successful White Collar undercover investigations in the history of the FBI, Michael obtained evidence against more than 50 individuals committing frauds spanning the spectrum from stock manipulation and currency scams to money laundering. After establishing a reputation as a reliable, “go-to” undercover agent, Michael was enlisted to investigate corrupt politicians in New Jersey, corrupt police officers in Florida, and various other cases. Michael has relentlessly fought corruption and served our country proudly.”