Informant in N.J. corruption probe has been living in Pikesville
[UPDATE: While the New Jersey press reported that Dwek's whereabouts were previously unknown, I was pointed to a link tonight showing that the Baltimore Jewish Times had written about Dwek's local residency a full year and a half ago, link here. I regret the oversight.]
The operator of a massive Ponzi scheme and key informant in a federal corruption sting in New Jersey, which led to the arrests of dozens of politicians, public officials and rabbis, has been living in Pikesville while waiting to testify in the cases.
The information first came to light late last month in New Jersey, when Solomon Dwek, 38, was unable to take the stand in the trial of the former mayor of Secaucus, N.J. because of an arrest here. Dwek, who turned informant after being implicated in a $400 million Ponzi scheme, was charged in Baltimore with failure to return a rental car, triggering a federal judge to revoke his bail.
On Thursday, the car theft charges were dropped in Baltimore District Court. Defense attorney Marc Zayon called the case a "financial oversight with no criminal intent." He said the car had been returned to Hertz Rent-a-Car, where Dwek is a "gold" member, and all payments had been made.
But Dwek's troubles are far from over. His bail was revoked after the FBI said he lied in an affidavit when quizzed about the car theft, and a federal judge ordered him jailed over recommendations from prosecutors that he be placed on home monitoring. A $12,500 monthly stipend he was receiving from a federal bankruptcy trustee has been revoked, along with a $100-an-hour private security team.
With Dwek incarcerated, prosecutors had to move forward without his testimony in the trial of former Mayor Secaucus Mayor Dennis Elwell, who was convicted last week of bribery but acquitted on extortion charges.
Elwell was charged with taking a $10,000 cash payment from Dwek through a middleman in exchange for his support for a purported hotel project, the New Jersey newspaper reported. Dwek played the role of a corrupt developer in the three-year sting, a high-profile case which shocked the Jewish community there.
Zayon said attorneys are "working very hard to try to get him another bail review in New Jersey and get him released back to the community."
Dwek became involved as an informant in the corruption probe after he was charged with passing a bogus $25 million check through drive-through window of a bank, then immediately withdrawing $22 million. He has been convicted of bank fraud and is awaiting sentencing in that case.
A one-time multimillionaire real estate mogul and son of a respected Monmouth County rabbi, his investment empire was later revealed to be a massive Ponzi scheme fueled by bogus mortgages and phony land deals.
He then turned informant, against public officials but also against rabbis from New Jersey to Brooklyn, which was seen by many in the Syrian Jewish community as an act of betrayal. According to media reports, his father planned to sit shiva - the traditional Jewish mourning period held after a family member dies - for his son out of disgust.
Dwek was under heavy security during his court appearances, and had been reported to be hiding out with his wife and six children since his role as an informant went public.
Zayon said Dwek has been living in the Pikesville area for about a year. He declined to comment on whether Dwek has been working or involved in the community here.
Categories: Baltimore County, Crime elsewhere
