A federal indictment unsealed Wednesday revealed that Frank Carone, former chief of staff to New York City Mayor Eric Adams, accepted over $100,000 in bribes to steer a $6.8 million emergency migrant shelter contract to a Queens hotel owned by Yan Po Zhu. The charges, filed in Brooklyn federal court, include bribery, wire fraud, and money laundering, with Carone and Zhu among four defendants arrested in the scheme that allegedly exploited the city’s migrant crisis for profit.
How the Bribery Scheme Allegedly Worked
The indictment alleges that Carone, while serving as Adams’ chief of staff in 2022, pressured city officials to reverse an initial rejection of Zhu’s hotel for a migrant shelter contract. The hotel, located in Long Island City, had been denied due to its proximity to another shelter and limited capacity, according to internal city emails cited in the filing. After Carone’s intervention, the contract was awarded, and Zhu and his employee Crystal Chen allegedly funneled approximately $120,000 in bribe payments—disguised as legal fees—to Carone through his brother Anthony, who is also charged. The money was used to pay Carone’s personal credit card bills, prosecutors said.
The scheme continued even after Carone left City Hall in December 2022, the indictment states, with payments lasting through September 2023. When investigators began probing the matter in 2024, the Carone brothers allegedly attempted to cover their tracks by creating a fake promissory note dated to 2022, according to City & State New York.
Text messages between Zhu and Carone, included in the indictment, reveal a close relationship. In one exchange from September 2022, Zhu wrote, *“Thank you my big guy,”* after the contract was secured. The indictment also notes that the group socialized frequently, including gatherings at Zhu’s Long Island home.
Who Else Is Charged and What Are the Bail Amounts?
In addition to Carone, his brother Anthony Carone—a lawyer and co-owner of a law firm—was charged with conspiring to launder the bribe money. Zhu, the hotel owner, and Chen, his employee, were also indicted. All four pleaded not guilty in Brooklyn federal court Wednesday afternoon. Carone was released on $2 million bail, while Zhu was released on $8 million bail, according to NBC New York.
Photo: NBC New York
The indictment does not name Gary Jenkins, the former Social Services Commissioner who oversaw the contract approval process, but refers to him as *“City Official #1.”* Jenkins allegedly reconsidered the initial rejection of Zhu’s hotel after Carone’s intervention. After leaving City Hall in early 2023, Jenkins joined Carone’s consulting firm, Oaktree Solutions, raising questions about potential conflicts of interest, though Jenkins did not immediately respond to requests for comment.
Carone’s Role in Adams’ Administration and Political Career
Carone was a key figure in Adams’ political rise, serving as his chief of staff for less than a year before leaving in December 2022. Before that, he worked as a lawyer for the Brooklyn Democratic Party and played a pivotal role in Adams’ 2021 mayoral campaign, including fundraising efforts. Despite his brief tenure at City Hall, Carone remained a fixture in Adams’ inner circle, according to City & State New York.
Former top aide to Mayor Adams indicted in $175K bribery scheme
In a statement, Todd Shapiro, a spokesperson for Adams, called Carone *“a dedicated public servant”* and expressed support for his family, though he did not address the allegations directly. *“This is an ongoing legal matter, and my prayers are with his family,”* Shapiro said.
Carone’s lawyer, Arthur Aidala, dismissed the indictment as *“weak”* and *“based on purely circumstantial evidence.”* *“Today’s indictment is a sad day for our criminal justice system,”* Aidala said in a statement. *“It epitomizes the government first finding a target and then spending three years and enormous taxpayer resources to find a crime.”* The defense’s argument highlights the challenges prosecutors face in proving intent in corruption cases, where evidence often relies on circumstantial links rather than direct admissions.
Mayor Zohran Mamdani, who took office after Adams’ term ended, praised Police Commissioner Jessica Tisch for her commitment to cracking down on corruption. *“Commissioner Tisch has already shown a real commitment to cracking down on corruption and ensuring that the public servants in the NYPD are held to the highest standards,”* Mamdani said. The comments reflect broader efforts to restore public trust in city agencies following a series of scandals, including the ongoing FBI investigation into NYPD promotions and assignments.
Broader Context: NYPD Corruption Probe and Adams’ Legal Troubles
The indictment against Carone comes as the NYPD faces its own corruption investigation, with FBI and NYPD agents executing search warrants Wednesday at the homes of current and former police executives, including Jeffrey Maddrey, the former Chief of Department, and James McCarthy, the current Chief of Manhattan South. The probe is examining promotions, assignments, and how they were carried out, according to ABC7 New York.
Photo: City & State New York
The timing of these investigations is notable. Tisch assumed the role of Police Commissioner in November 2024, following the departures of Edward Caban and Tom Donlon, both of whom resigned amid scandals. Caban’s resignation in September 2024 was linked to a federal investigation into document retention from his FBI tenure, while Donlon faced scrutiny over his handling of the NYPD’s overtime abuse issues. The current probes suggest a broader pattern of misconduct within the department, with officials saying the investigations are ongoing.
What Happens Next: Legal and Political Ramifications
Carone’s case is likely to drag on for months, with prosecutors needing to present evidence of his intent to accept bribes. The defense’s argument—that the case relies on circumstantial evidence—could complicate the government’s ability to secure a conviction. Meanwhile, the political fallout for Adams remains uncertain, though his spokesperson’s measured response suggests he is distancing himself from the scandal.
For the NYPD, the ongoing corruption probes could further erode public trust, particularly as the department grapples with its image following years of controversies over police conduct. The Mamdani administration’s emphasis on transparency may be tested as these cases unfold, with the city’s reputation hanging in the balance.
One thing is clear: the indictment against Carone marks another chapter in a series of high-profile corruption cases that have shaken New York City’s political and law enforcement institutions. As the legal process moves forward, the city will be watching closely to see how these investigations play out—and whether they signal a broader reckoning with systemic corruption.
Claire Donovan coordinates breaking-news coverage across global time zones. She has reported on elections, social movements, and investigative stories in over ten countries. Known for her calm leadership under pressure, Claire guarantees Globally Pulse delivers news that is fast, factual, and fair.
