LTC 085-2008 State Attorney Investigation - Warrant Informationm MIAMIBEACH
OFFICE OF THE CITY MANAGER
NO. LTC # 085-2008 LETTER TO COMMISSION
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager ~4
DATE: March 19, 2008
~~ __.
.;
SUBJECT: State Attorney Investigation -Warrant Information
As you may be aware, today, two current City employees and one former employee were
arrested by the Florida Department of Law Enforcement (FDLE) on charges of racketeering
and for unlawful compensation.
The two current employees are Mohammad Partovi, Chief Structural Inspector, Building
Department, and Henry Johnson, Planner, Planning Department. The former employee is
Andres Villarreal, former Chief of Violations, Building Department.
The present status of the two current employees is suspended without pay pending
additional disciplinary action.
For your information, please find attached copies of the arrest warrants for the employees
and the former employee involved.
If you need any additional information, please let me know.
J MG/TH
Attachments
F:\cmgr\$ALL\LTC-08\LTC- State Attorney Investigation.doc
IN THE CIRCUIT COURT OF THE ELEVENTH JUDICIAL CIRCUIT IN AND FOR
MIAMI-DADE COUNTY, FLORIDA
STATE OF FLORIDA
vs.
Henry Johnson
DOB: 09/10/1958
AFFID VI IN UPPOR OF ARREST WARRANT
BEFORE ME, ~ ~ ,Circuit Judge of the
Eleventh Judicial Circuit in and for Miami-Dade County, Florida, personally appeared Special
Agent Gaylon White of the Florida Department of Law Enforcement (FDLE) who, being first
sworn, deposes and says: Your Affiant is a sworn law enforcement officer of the State of
Florida, and as such is empowered to conduct investigations of and make arrests for violations
of the criminal laws of the State of Florida, Special Agent Gaylon White has been a law
enforcement officer for nineteen years and is currently assigned to the Public Integrity Squad at
FDLE Miami Regional Office. Additionally, personally appeared Detective Rosa Redruello of
the Miami Beach Police Department (MBPD), Strategic Investigations Unit of the Criminal
Investigations Division. Detective Rosa Redruello has been employed by the Miami Beach
Police Department for eighteen years and is currently assigned to the Public Integrity Squad at
FDLE Miami Regional Office, and is empowered to conduct investigations of, and make arrest
for violations of the criminal laws of the State of Florida. Additionally, personally appeared
Detective Alkareem Azim of the Miami Beach Police Department, Strategic Investigations Unit
of the Criminal Investigations Division . Detective Alkareem Azim has been employed by the
Miami Beach Police Department for eleven years and is currently assigned to the Public
Integrity Squad at FDLE Miami Regional Office. and is empowered to conduct investigations of,
and make arrest for violations of the criminal Paws of the State of Florida.
f/ f Page 1 of 9 ~
Judges Initials /~i ~> Affiant s Initials ~~~~~ `, ~j~
.~~~~--- -1---
INITIAL INVESTIGATION
Your Affiants, Detectives Rosa Redruello and Alkareem Azim commenced an
investigation into public corruption within the Building Department of the City of Miami Beach
back in May 2006. This investigation revealed the following:
Thomas E. Ratner (hereinafter "RATNER"), Chief Electrical Inspector for the City of
Miami Beach, was involved in corrupt activity in regard to accepting payment from private
sources for actions taken as a public official. As a result of a proactive investigation conducted
by your Affiants Rosa Redruello and Alkareem Azim, together with other members of the Miami
Beach Police Department, RATNER was arrested on September 13, 2006 on charges
consisting of one (1) count of Unlawful Compensation, F.S. 838.016(1), a second degree felony,
and three (3) counts of Official Misconduct, F.S. 838.022(1)(a). RATNER pled guilty to all
charges and was sentenced to 366 days in State Prison, following a plea agreement under
which he agreed to cooperate in further investigation of corruption in the City of Miami Beach.
During the investigation of RATNER your Affiants interviewed an individual under
subpoena named Michael Stern (hereinafter "STERN"). STERN is a lifetime resident of the City
of Miami Beach and a developer and contractor in the city since 2000. STERN; who was
suspected of being involved in making payments to RATNER, provided sworn statements in
which he admitted to making such payments as well as making payments to other corrupt public
officials connected to the City of Miami Beach. STERN agreed to act in an undercover
investigative capacity to gather further evidence against those corrupt City officials, under the
direction and supervision of FDLE and MBPD investigators; and the State Attorney's Office.
This portion of the investigation identified Henry Johnson (hereinafter referred to as
DEFENDANT), date of birth of September 10. 1958, employed at the City of Miami Beach
Page 2 of 9
Judge's Initials ,~ Affiant's Initials ~ ~~
Planning Department in the position of Planner, assigned to planning and concurre
mitigation duties. The DEFENDANT'S job description, according to the Cit of Miami ncy
website, includes responsibility for specialized and professional work in v ~ y Beach
anous phases of City
planning, and includes making preliminary recommendations on planning issues. T
DEFENDANT is vested with the latitude to use independent judgment sub~e he
~ ct to compliance
with department standards and objectives.
STERN has had extensive business dealings with the City of Miami Beach's Buildin
Department, as well as the Planning Department and possesses a good workin knowle g
the procedures involved in the approval of plans regarding building constru ~ g dge of
coon and renovation.
STERN informed your Affiants that on approximately five (5) occasions he had given cash to
DEFENDANT while STERN was at the DEFENDANT"S office in connection w~ the
ith his various
plans and job sites in the City of Miami Beach. STERN told your Affiants that he could re
occasions on which he gave the DEFENDANT between Two Thousand Dollars call
Eight Thousand Dollars ($8,000.00) in cash. STERN stated th ($2'000.00 and
at, in consideration of such
payments, the DEFENDANT would promise to give him a significant reduction on the
"Concurrency Mitigation" impact fee to be paid by him to the City of Miami Beach.
STERN gave the following information as his understanding of "Concurrency Miti anon":
Concurrency Mitigation is a revenue producing function for the City due to the fact t g
charged by the City for reviewin and hat fees are
9 processing plans for compliance with Concurrency
Mitigation standards. All plans need to get approvals from the Planning Department re
Concurrency Mitigation. ff the planned project would cause a significant increa garding
se in the number
of people coming to a specific area, the Concurrency Mitigation unit measures how man
these individuals would be expected to make, and then the City Of Miami Seach y taps
accordingly for the anticipated impact of the project. There is also an ad charges a fee
ditionaf standard fee of
~ fj'~ Page 3 of 9
Judge's Initials ~_
Affiant's Initials %'~~~~ ~~
$385.00 for the review of plans for Concurrency Mitigation. The employee in charge of
Concurrency Mitigation is the DEFENDANT.
STERN provided your Affiants with further information concerning one of the above-
mentioned payoffs to the DEFENDANT. STERN stated to your Affiants that sometime during
2005, he had paid cash to the, DEFENDANT in connection with the DEFENDANT'S review of
the plans regarding job site located at 1434 Collins Avenue, Miami Beach, Florida, atwo-story
building housing multiple retail stores. STERN met with the DEFENDANT regarding the job
site, which required approval for Concurrency Mitigation. The DEFENDANT looked at the plans
and stated, "The regular price is Twenty Thousand Dollars ($20,000.00); I'm going to charge
you Ten Thousand Dollars ($10,000.00). Make a check to the City for Six Thousand Dollars
($6,000.00) and give me Four Thousand Dollars ($4,000.00) in cash for me." STERN also
stated that the DEFENDANT confirmed the amount by giving him a hand signal showing four (4)
fingers to STERN. The hand signal meant to STERN that he would have to pay the
DEFENDANT that amount in thousands of dollars, i.e., STERN would have to pay Four
Thousand Dollars ($4000.00). STERN told your Affiants that on this occasion, as on other
occasions, he made the pay-off to the DEFENDANT inside the Miami Beach City Hall.
STERN related a further incident concerning the building at 1434 Collins Avenue.
STERN stated that he given the DEFENDANT an additional payoff for his handling of the plans
for one of the retail stores that was to occupy the building. The owner of the planned store was
FishScale USA LLC. According to STERN, he is unsure of whether on this occasion he had
paid the DEFENDANT Four Thousand Dollars ($4000.00) or Eight Thousand Dollars
($8000.00}. STERN stated that sometime after he had made the payment to the DEFENDANT,
he found out that the DEFENDANT had charged the owner of the store an additional Fifteen
Hundred Dollars ($1500.00) in cash for the Concurrency Mitigation review. STERN told your
Affiants that he was upset because he had already paid both the DEFENDANT and the City of
~~~~/~j Page 4 of 9
Judge's Initials __ILJ~~ ~,_,(
Affiant's Initials ~~~ rr
Miami Beach for Concurrency Mitigation at the same job site. STERN said that when he found
out about the payment, he complained to the DEFENDANT. STERN said he demanded that the
DEFENDANT return the money, but that the DEFENDANT never did so. According to STERN,
the DEFENDANT kept the money and that he believed that none of the funds paid by the retail
store owner to the DEFENDANT were ever turned over to the City of Miami Beach.
RACKETEERING INCIDENT #1: SER LLC, 1434 COLLINS AVENUE, UNITS 1 and 2
CRIME: UNLAWFUL COMPENSATION, 2nd DEGREE FELONY
On May 1, 2007 your Affiants along with other members of the FDLE set up surveillance
at the City of Miami Beach City Hall located at 1700 Convention Center Drive, Miami Beach,
Florida. Under the direction of your Affiants, STERN had a meeting with the DEFENDANT in his
office. STERN was issued a monitoring device which captured both audio and visual recordings
of the meeting. STERN and the DEFENDANT had conversations in reference to a STERN job
site known as SER, LLC, located at 1434 Collins Avenue, Units 1 & 2, Miami Beach, Florida.
STERN was proposing to add an additional forty seats to the restaurant space at this location
and needed approval for Concurrency Mitigation. According to STERN, the DEFENDANT told
him that the cost would be Fifteen Thousand Dollars ($15;000.00) to be paid to the City of Miami
Beach, and Four Thousand Dollars ($4000.00) to be paid to the DEFENDANT. The
DEFENDANT at that time proceeded to show four (4) fingers to STERN. The DEFENDANT and
STERN then discussed when this agreement could be completed- The DEFENDANT stated.
"Late Thursday would be the ideal time., because it is a lot quieter.' The DEFENDANT and
STERN again confirmed the pay-off amount, and then the DEFENDANT provided STERN with
a form to be completed in reference to the 1434 Collins Avenue job site. This form was to be
..
Page 5 of 9 s
Judges Initials ~,/ ~/`~ `~ Affiant s Initials ~~~~~~ ~°"
completed and returned to the DEFENDANT for the meeting on Thursday, May 3, 2007 along
with the Four Thousand Dollar ($4,000.00) pay-off.
On May 3, 2007 your Affiants, along with other FDLE agents, set up surveillance at City
of Miami Beach City Hall located at 1700 Convention Center Drive, Miami Beach, Florida. Your
Affiant Special Agent White, after searching STERN and his vehicle and removing all property,
including all cash from him, gave STERN Four Thousand Dollars ($4,000.00) in investigative
funds. STERN was issued a monitoring device which captured both audio and visual recordings
of the meeting. Under the direction of your Affiants, STERN met with the DEFENDANT inside
the DEFENDANT's office. Inside the office STERN and the DEFENDANT discussed the
Concurrency Mitigation paperwork for the SER, LLC job site located at 1434 Collins Avenue,
Miami Beach, Florida. STERN wrote two checks to the City of Miami Beach: one check for the
amount of Five Thousand Five Hundred Eighty-One Dollars and Twenty-Five Cents ($5,581.25)
(fee for mitigation), the second check for the amount of Three Hundred Eighty-Five Dollars
($385.00) (the base fee for review) for a total of Five Thousand Nine Hundred Sixty-Six Dollars
and Twenty-Five Cents ($5,966.25) in payments to the City of Miami Beach. Both checks were
to cover Concurrency Mitigation for the additional forty seats at the SER, LLC job site located at
1434 Collins Avenue, Miami Beach, Florida. The DEFENDANT then handed STERN a
magazine and stated, "Just leave it in there." This meant to STERN that he should place the
Four Thousand Dollar ($4,000.00) cash pay-off inside the magazine. The DEFENDANT then
left the office for a few minutes. At that time, according to STERN, he placed the Four
Thousand Dollar ($4000.00) cash pay-off inside the magazine. Upon the return of the
DEFENDANT, STERN stated, "I put that in" while handing the magazine to the DEFENDANT.
The DEFENDANT then placed the magazine inside the top drawer of his desk. Prior to leaving
the office. STERN and the DEFENDANT confirmed the pay-off amount given as Four Thousand
Dollars ($4.000.00) for Concurrency Mitigation. Following the undercover operation, your
Affiants searched STERN and his vehicle; and determined that there was no cash on STERN'S
/J Page6of9
Jud e's Initials ~~~~~~-.-- ~~
9 Affiant's Initials ~ -~
person or in his vehicle. During the later debriefing of STERN by your Affiants, STERN advised
that the Four Thousand Dollar ($4,000.00) cash pay-off to the DEFENDANT for the approval of
the plans and the Concurrency Mitigation was completed inside the DEFENDANT'S office.
RACKETEERING INCIDENT #2: 6th STREET AND COLLINS AVENUE
CRIME: UNLAWFUL COMPENSATION, 2"d DEGREE FELONY
On August 10'h, 2007 your Affiants along with other members of the FDLE set up
surveillance at the City of Miami Beach City Hall located at 1700 Convention Center Drive,
Miami Beach, Florida. Under the direction of your Affiants, STERN had a meeting with the
DEFENDANT in his office. STERN was issued a monitoring device, which captured both audio
and visual recordings of the meeting. STERN and the DEFENDANT began to discuss the
previous pay-off of Four Thousand Dollars ($4,000.00) for the SER, LLC job site located at 1434
Collins Avenue, Units 1 & 2, Miami Beach, Florida. STERN indicated that he was upset
because the plans still had not been approved by the DEFENDANT after the pay-off back on
May 3`d, 2007. The DEFENDANT apologized for not approving the plans back in May 2007 and
proceeded to make the necessary retroactive corrections in the computer system, while STERN
waited in the DEFENDANT'S office. STERN and the DEFENDANT then agreed everything was
fine at that point, and that all affairs were squared away. STERN and the DEFENDANT then
began to talk about a possible upcoming job site located at 6'h Street and Collins Avenue, Miami
Beach, Florida. STERN told the DEFENDANT that he would need the DEFENDANT'S approval
for this job site, and the DEFENDANT agreed, stating, "This job will cost more than Four
Thousand Dollars ($4,000.00) that was spent on the last job site." At the later debriefing.
STERN advised your Affiants that what he understood from the DEFENDANT was that it was
going to cost in excess of a Four Thousand Dollar ($4,000.00) pay-off for the Concurrency
Page 7 of 9
Judges Initials /~~~~. Affiant s Initials
--LL-!
Mitigation approval for the new job site located at 6th Street and Collins Avenue. It was
STERN'S understanding of this conversation, as well as the understanding of your Affiants after
reviewing the tape of the meeting, that the DEFENDANT was so-iciting a further unlawful
payment in connection with this job site.
It is submitted by your Affiants that the DEFENDANT, HENRY JOHNSON, in utilizing his
position with the Planning Department of the City of Miami Beach, constituted an "Enterprise"
within the meaning of Florida Statute 895.02(3), formed for the purpose of committing the
offense of Unlawful Compensation, in violation of Florida Statute 838.016(1), and that the
aforementioned Racketeering Offenses constitute a "Pattern of Racketeering Activity" pursuant
to Florida Statute 895.02(4).
Based upon the foregoing, it is the belief of your Affiants that probable cause exists that
the DEFENDANT, HENRY JOHNSON has committed the crimes of Racketeering (RICO), one
count, in violation of Sec. 895.03; and Unlawful Compensation, two counts, in violation of Sec.
838.016(1).
WHEREFORE, your affiants pray that a warrant will be issued commanding all and
singular, Gerald Bailey. Commissioner, Florida Department of Law Enforcement or any of his
duly authorized Special Agents; all Sheriffs and Police Chiefs of the State of Florida or any of
their duly authorized deputies or officers to arrest HENRY JOHNSON and bring him before the
Page 8 of 9
Judge's Initials -/ ~~- Affiant's Initials ~~ ~;
Court so that he may be dealt with according to law.
FURTHER AFFIANTS SAYETH NOT
Special Agent Gaylon White
Florida Department of Law Enforcement
Detective Rosa Redruello
Miami Beach Police Department
Detective kareem Azim
Miami Beach Police Department
STATE OF FLORIDA
COUNTY OF MIAMI-DADE
The fore oing instrumen
2008 by
to me and wh did take a oath.
s
JU
me this ~~ day of March,
~i~.~ ~2i%y7, who identified himself
~UIT COUR~4F 1`h(E E~VENTH
JUDICIAL IRCUIT OF FLORIDA
/~ Page 9 of 9 ~ s ~~
Judge`s Initials v ~- Affiant's Initials
IN THE CIRCUIT COURT OF THE ELEVENTH JUDICIAL CIRCUIT IN AND FOR
MIAMI-DADS COUNTY, FLORIDA
STATE OF FLORIDA
vs.
Mohammad R Partovi
DOB: 07/08/1957
AFFIDAVIT IN SUPPORT OF ARREST WARRANT
BEFORE ME, Circuit Judge of the
Eleventh Judicial Circuit in and for Miami-Dade County, Florida, personally appeared
Special Agent Gaylon White of the Florida Department of Law Enforcement (FDLE) who,
being first sworn, deposes and says: Your Affiant is a sworn law enforcement officer of
the State of Florida, and as such is empowered to conduct investigations of and make
arrests for violations of the criminal laws of the State of Florida, Special Agent Gaylon
White has been a law enforcement officer for nineteen years and is currently assigned to
the Public Integrity Squad at FDLE Miami Regional Office. Additionally, personally
appeared Detective Rasa Redruello of the Miami Beach Police Department (MBPD),
Strategic Investigations Unit of the Criminal Investigations Division. Detective Rosa
Redruello has been employed by the Miami Beach Police Department for eighteen years
and is currently assigned to the Public Integrity Squad at FDLE Miami Regional Office,
-------- and-is-e-mpowered--to-conduct investigafions--of;-arid-make-arr-esf-for--violations-of--the ----.. ------.--.
criminal laws of the State of Florida. Additionally, personally appeared Detective
Alkareem Azim of the Miami Beach Police Department; Strategic Investigations Unit of
the Criminal Investigations Division. Detective Alkareem Azim has been employed by
the Miami Beach Police Department for eleven years and is currently assigned to the
~~L `_ Page 1 of 18
Judge's Initials Affiant's Initials ~~
Public Integrity Squad at FDLE Miami Regional Office, and is empowered to conduct
investigations of, and make arrest for violations of the criminal laws of the State of
Florida.
Your Affiants, Detectives Rosa Redruello .and Alkareem Azim participated in an
investigation into public corruption within the Building Department of the City of Miami
Beach back in May 9, 2006. This initial investigation revealed the following:
Thomas E. Ratner (hereinafter "RATNER") was employed at the Ci#y of Miami
Beach's Building Department, as Chief Electrical Inspector, assigned to the supervision
of electrical inspectors and the performance of electrical inspections throughout the City
of Miami Beach. According to the City of Miami Beach website, the position of Chief
Electrical Inspector includes the following
...administrative, supervisory, and technical work enforcing
compliance with applicable national, state, and local laws,
codes, ordinances, and regulations in the City's Building
Department through reviewing construction plans and
specifications of new and existing electrical
installations...office and field duties, supervising the
enforcement program assuring that legally established
requirements for plans, workmanship, and materials are
met with regard to electrical work throughout the City.
RATNER was arrested on September 13, 2006, and was charged with one (1)
count of Unlawful Compensation -.Florida State Statute 838,016(1), a second degree
felony, and three (3) counts of Official Misconduct -Florida State Statute 838.022, a
third degree felony. On or about October 15, 2007, RATNER entered into a plea
agreement in which he agreed to plead guilty to the charges and to cooperate and
provide information to Law Enforcement regarding his knowledge about unlawful activity
~,~~~ , Page 2 of 18 ~~~
Judge's Initials ~ Affiant's Initials `~
by public officials in the City of Miami Beach. RATNER was sentenced to 366 days in
State Prison and was sent to prison on November 16, 2007.
Following RATNER'S arrest, a proactive investigation of other public officials in
the City of Miami Beach began, with your Affiants taking statements under subpoena of
various individuals having knowledge about the activity of City officials within the
Building and Planning Departments of the City of Miami Beach. As a result of
statements taken of Michael Stern (hereinafter "STERN"), a lifetime resident of the City
of Miami Beach, and a developer and contractor since 2000 in the City of Miami Beach,
additional corrupt City officials were identified- STERN, who admitted making payments
to other corrupt City officials, agreed to act in an undercover investigative capacity to
gather further evidence against those con'upt city officials, under the direction and
supervision of FDLE and MBPD investigators, and the State Attorney's Office.
The investigation identified Mohammad R. Partovi (hereinafter "DEFENDANT"),
date of birth of July 08, 1957, employed as Chief Structura! Plans Examiner at the City of
Miami Beach Building Department, assigned to the supervision of structural and building
plans reviews and the performance of structural and building inspections throughout the
City of Miami Beach. The following is the job description for the job of Chief Structural
Plans Examiner, according to the City of Miami Beach website:
Highly responsible, advanced technical, supervisory, and
administrative work in enforcing compliance with applicable
rational, state, and focal laws, codes, ordinances, and
regulations in the City's Building Department. Work
involves approving or disapproving construction plans and
specifications prior to issuing building permits. Performs
detailed structural and building plan reviews including
loads analysis, computation of structural capacities,
evaluation of handicap requirements, layout, material,
Page 3 of 18
Judge's Initials Affiant's Initials ~~
construction methods, general design and specifications.
Reviews roofing permits, analyzing and reviewing the
engineering, and evaluating the required documentation.
Reviews construction plans for elevators and issues
permits. Approves or rejects plans, blueprints,
specifications, and materials lists based on compliance
with applicable building regulations and good building and
construction practices and issues licenses accordingly.
Recommends methods, materials, equipment, and
alterations to assist in compliance with accepted
standards. Requests vacation and/or demolition of any
building or structure declared unsafe. Interprets and
explains regulations and standards and disseminates
technical advice to interested parties including
subordinates, other sections and agencies, and the public.
Conducts or assigns mechanical, building, and emergency
technical field inspections as needed. Investigates and
resolves complaints. Work includes field and office duties."
Through RATNER and STERN your Affiants learned that in the City of Miami
Beach Building Department, specifically, in the area of plans processing, the amount of
time spent on plan approvals is of vital concern to contractors and developers, and
delays in the processing of plans for approval can be costly. Respective plans often go
through a "back door" process with the assistance of City officials to avoid the usual
thirty to sixty days necessary for plans to be approved by the officials assigned to the
various trades such as Accessibility, Building, Electrical, Elevator, Engineering,
Mechanical, Permitting, Plumbing, and Structural.
According to RATNER, in the middle of 2005 while he was employed as Chief
Electrical InspeGtor.et the .City of Miami.Beach B.ui.lding_D.epartment,_he was responsible
for implementing new procedures for the installations of generators in businesses and
private residents throughout the City of Miami Beach. RA I NE~Z at that time was also
engaged in a private business under the name of "Ratner and Ratner', soliciting the sale
of generators of "Generac Power Systems Incorporated" throughout the City of Miami
Beach. During this time period, he was approached by the DEFENDANT who stated
~! -~~ Page 4 of 18
Judge's Initials Affiant's Initials ~~ ~~Q~
that he, the DEFENDANT, wanted akick-back of Fifty Dollars ($50.00) for every
generator installed throughout the City of Miami Beach. The DEFENDANT, as Chief
Structural Plans Examiner for the City of Miami Beach, would ordinarily be involved with
the approval of a portion of the installation of these generators, specifically, the concrete
slab that the generators would have to be mounted on. For the Fifty Dollar ($50.00)
kick-back, the DEFENDANT agreed that he would expedite approval of the installation of
the generators. RATNER informed your Affiants that this scheme never came to fruition
because RATNER was arrested before any pay-offs took place.
STERN has had extensive business dealings with the City of Miami Beach
Building Department as a developer and contractor in the City, and possesses a good
knowledge of the inner workings of the Building Department. STERN told your Affiants
that he had given money, mostly in cash, to the DEFENDANT in order to receive
expedited service on a number of occasions when STERN had gone to~ see the
DEFENDANT at his office in regard to his various plans and job sites throughout the City
of Miami Beach. STERN stated that the DEFENDANT, in his capacity as Chief
Structural Plans Examiner, would often help him speed up approvals of his plans.
STERN advised your Affiants that during 2000, the DEFENDANT was giving
STERN a difficult time in regard to approving structural and building inspections at a job
site located. at 600 Collins. Avenue, .Miami Beach, Florida. STERN said. he felt that the
DEFENDANT was intentionally creating unnecessary obstacles for his project. On one
occasion, the DEFENDANT pulled STERN aside and suggested, "We could come up
with an agreement." STERN said that initially he was unsure of what the DEFENDANT
meant by this, but that he eventually understood that this meant that the DEFENDANT
wanted compensation, i.e., money, for his cooperation in expediting approvals for
Page 5 of 18 ~ /~L-L= ~~~
Judge's Initials Affiant's Initials ``
inspections and not forcing, STERN to jump through hoops by creating unnecessary
paperwork. Several years later, around 2003, STERN discussed with the DEFENDANT
the idea of his paying the DEFENDANT whenever he needed plans approved on a
particular project. STERN said that he and the DEFENDANT reached an understanding
that, in exchange for cash payments, the DEFENDANT would arrange for the needed
approvals on his projects to be accomplished in an expedited manner. STERN said he
felt that paying the DEFENDANT helped avoid his having to deal with delays caused by
the DEFENDANT'S creating unnecessary obstacles to the approval of his projects.
STERN told your Affiants that he paid the DEFENDANT cash for this expedited process
on multiple occasions since 2003.
STERN described to your Affiants a typical procedure when he made such
payments to the DEFENDANT. STERN would go to the DEFENDANT'S office when he
needed to get plans approved for a particular job. STERN would hand the plans to the
DEFENDANT. The DEFENDANT would review the plans and make hand signals by
showing several fingers to STERN. The hand signals meant to STERN that he would
have to pay the DEFENDANT cash in hundreds of dollars equal to the number of fingers
he showed. STERN would then go to the men's bathroom on the second floor of City
Hall and go inside the bathroom stall. Once inside the bathroom stall, STERN would
take the cash and place it inside a roll of toilet paper. STERN would go back to the
DEFENDANT and_adyise_. him. .that the money was ..inside.. the. bathroom .stall. The .
DEFENDANT would then go inside the bathroom stall and obtain the money. After the
money was received by the DEFENDANT, the DEFENDANT would approve the plans in
the computer system for STERN'S project.
~~~ Page 6 of 18 ~/~i ~~
Judge's Initials Affiant's Initials
STERN advised your Affiants that during 2004, in reference to the Coral House
job site located at 900 Collins Avenue, Miami Beach, Florida, STERN paid the
DEFENDANT approximately Twenty Thousand Dollars ($20,000.00) in cash in
installments of approximately Five Thousand Dollars ($5,000.00) for expediting the
approvals of plans for that job site. These cash payments were sometimes given to the
DEFENDANT by placing the money in the bathroom stall as described above.
RACKETEERING INCIDENT #1: ROLEX WATCH
CRIME: UNLAWFUL COMPENSATION, Z"d DEGREE FELONY
STERN advised your Affiants that just prior to April 2005 the DEFENDANT had
suggested to him that the DEFENDANT wanted STERN to give him a Rolex watch as
pay-off for the DEFENDANT'S help in expediting STERN'S plans approval process on
various projects, including a project known as the Coral Rock House. On April 1, 2005
STERN purchased a Rolex watch for Five Thousand Four Hundred Seventy Dollars
($5,470.00) from Mayors Jewelers located at 1000 Lincoln Road, Miami Beach, Florida.
This Rolex watch was given to the DEFENDANT by STERN for past and anticipated
future assistance in reviewing and approving plans for the various job sites handled by
STERN in the City of Miami Beach. STERN supplied your Affiants with a copy of the
receipt from Mayors Jewelers for the purchase of the Rolex watch for the aforesaid sum.
STERN advised your Affiants that at a later point in time, prior to his cooperation in the
pending, investigation,.the _DEFENOANT had asked STERN for acopy- of the receipt-for
the watch given to him by STERN because the watch needed repair and the
DEFENDANT needed to show proof of purchase to the jeweler. STERN said that he
gave a copy of the receipt to the DEFENDANT.
Page 7 of 18
Judge's Initials ~ Affiant's Initials ,~~
On May 1, 2007, at approximately 10:30 a.m., your Affsants, along with other
members of the FDLE, set up surveillance at the City of Miami Beach City Hall located at
1700 Convention Center Drive, Miami Beach, Florida. STERN, under the direction of
your Affiants, wore a monitoring device which captured both audio and visual recordings
of the meeting between. STERN and the DEFENDANT.
During the recorded conversation, STERN asked the DEFENDANT, in reference
to the Rolex Watch previously given by him to the DEFENDANT, whether the
DEFENDANT had gotten the watch fixed by a particular employee of Mayors Jewelers.
STERN stated, "Did Ray take care of you?" The DEFENDANT replied, "No, I had to
pay. Honest to God, I bring the receipt. When they fixed the watch I paid like $600. My
son went there for them to adjust the band they say he has to pay $25.00 and he'll have
them adjust the band."
RACKETEERING INCIDENT #2: CARRIAGE HOUSE, 5401 COLLINS AVENUE, #407
CRIME: UNLAWFUL COMPENSATION, 2"d DEGREE FELONY
On May 22"d, 2007, at approximately 10:45 a.m., your Affiants along with other
members of FDLE set up surveillance at the City of Miami Beach City Hall located at
1700 Convention Center Drive, Miami Beach, Florida. Your Affiant Special Agent
Gaylon Wbite, after searching STERN, gave STERN .Pave .Hundred _DoUars ($500_.00). in
investigative funds. STERN, under the direction of your Affiants, wore a monitoring
device which captured both audio and visual recordings of the meeting between STERN
and the DEFENDANT. The purpose of this meeting was for STERN to meet with the
DEFENDANT to discuss and also present to him for approval the plans for the Carriage
House job site located at 5401 Collins Avenue, Unit #407, Miami Beach, Florida. After
~~- Page 8 of 18 ~ ~~`/~ ~ ~~
Judge's {nitials Affiant's Initials ~C/ /`~(,/
STERN arrived at the Building Department in City Hall, he met with the DEFENDANT.
They exchanged greetings and the DEFENDANT stated, "I don't trust my office so much,
so be careful." Once inside the DEFENDANT'S office they discussed the plans for the
Carriage House job site located at 5401 Collins Avenue, Unit #407, Miami Beach,
Florida. They also discussed a new "plans processing system" that was being
implemented within the Building Department. The DEFENDANT advised STERN that
the DEFENDANT was not allowed to review any plans without the applicants first
obtaining a log number, which had not been done by STERN at that point. STERN then
reminded the DEFENDANT that they needed to meet the following day at another job
site, the Coral House, located at 900 Collins Avenue, Miami Beach, Florida. The
DEFENDANT then reviewed the computer and stated the following: "Things 1 don't do for
you." STERN replied, "You know about tomorrow, correct?" The DEFENDANT
answered, "No." STERN stated, "What do you mean no, for tomorrow at 900." Then the
DEFENDANT, in a very low tone of voice, stated, "Bring today's deal tomorrow."
STERN held up the plan and replied, "Bring this over there to the place, this?" At that
time, STERN was shown the plans paperwork by the DEFENDANT. Then the
DEFENDANT quietly stated, "No, no the money." STERN replied, "OK, so what do you
want me to do?" The DEFENDANT stated, "Nothing, I'm going to approve it." At the
same time, the DEFENDANT handed back the signed approved permit to STERN.
STERN then referred to the expected payment of Five Hundred Dollars ($500.00) by
asking, "Are. you. gong to meet_me in the. bathroom?" .The DEFENDANT repled,_"N.Q I
will put it in the compu#er. You don't need me anymore. I signed it. I'm just going to put
it in the computer; so, that if anyone questions it, i'ii say that i did the waik through.
Bring some money tomorrow." STERN replied, "I will bring some money tomorrow."
The DEFENDANT stated, "Bring it tomorrow.'' STERN replied, "The job site.° At the
debriefing following this meeting, STERN advised your Affiants that understood that the
Page 9 of 18
Judge's Initials Affiant's Initials~~~~.,- ~~,y'~'
DEFENDANT was changing the pay-off location from the bathroom to a meeting
planned for the following day at the Coral House job site located at 900 Collins Avenue,
Miami Beach, Florida. STERN returned the Five Hundred Dollars ($500.00) in
investigative funds to your Affiant Special Agent Gaylon White.
On May 23`d, 2007, at approximately 4:00 p.m., your Affiants along with other
members of FDLE set up surveillance in the vicinity of the Coral House job site located
at 900 Collins Avenue, Miami Beach, Florida. Your Affiant Special Agent Gaylon White,
after searching STERN and STERN'S vehicle, gave STERN Five Hundred Dollars
($500.00) in investigative funds. STERN, under the direction of your Affiants, wore a
monitoring device which captured both audio and visual recordings of the meeting
between STERN and the DEFENDANT. The purpose of this meeting was for STERN to
obtain information associated with the reconstruction of the Coral House job site located
at 900 Collins Avenue, Miami Beach, Florida, as well as to complete the promised
payment regarding the approval of the plans for the Carriage House project, as
discussed on the previous day. At approximately 4:18 p.m., STERN met with the
DEFENDANT and they proceeded to walk inside of the Coral House. They proceeded
to discuss the demolition of the Coral House. The DEFENDANT immediately asked
STERN for the money owed to him from the previous day. STERN told him to wait and
continued to discuss the demolition of the Coral House and what would be approved by
the City. The-.DEF.EN.DANT told...STERN not to worry about what..would. be_.approved,
because "Everything is approvable." The DEFENDANT stated, "Did you bring, from
yesterday? You know yesterday, you were going to see me in the bathroom. Did you
bring your stuff?" STERN replied, "Yes, yes, don't worry about it E got your, I got it." The
DEFENDANT stated, "1 worry about it." The DEFENDANT then expressed his concern
about his boss, Thomas Velazquez, finding out that the DEFENDANT was giving ideas
~~v [ _ Page 10 of 18 ~~~
Judge's Initials Affiant's Initials
to STERN about what to do at the Coral House job site. The DEFENDANT stated,
"Don't tell him that I'm giving you ideas," because Tom specifically said not to do that.
"Everything is approvable. You don't need to worry about what is approvable." They
proceeded to discuss the necessary work that needed to be done in order for the
building to be ultimately approved. The DEFENDANT explained different things that
STERN would have to use in making the necessary changes. The DEFENDANT
explained to STERN that the DEFENDANT would be reviewing the drawings and that
the DEFENDANT would be giving STERN hints as to the needed changes. Again, the
DEFENDANT advised STERN not to worry about the Coral House. After the
conversation was over, STERN suggested that they go outside of the building.
According to STERN, he then told the DEFENDANT to wait and handed the
DEFENDANT the Five Hundred Dollar ($500.00) pay-off that was discussed on the
previous day. STERN stated, "Wait, wait a minute, you didn't tell me how much it was
anyway." The DEFENDANT replied, "How much was what?" STERN said, "That,
yesterday." The DEFENDANT said, "No, I didn't." STERN replied, "OK." ~ The
DEFENDANT stated, "You know." STERN replied, "The only reason I'm saying that,
because it could be less than what you told me.° The DEFENDANT stated, "You know
exactly." They proceeded to exit the building and continued their conversations on the
building's demolition. The DEFENDANT was observed by Special Agent Kenneth
Moore to enter a E500 Mercedes silver in color bearing license plate G20-PCR and
proceed North on Washington Avenue, towards 17th Street, Miami. Beach, Florida.. Your
Affiants researched the Florida Vehicle Registrations-Vehicle Ownership History and
found That license piste G20-PCR, during the period of January 05, 2005 to Juiy 08,
2007, was assigned to a 2005 Mercedes, silver in color, bearing vehicle identification
number WDBUF70J65A732473, with the DEFENDANT the registered owner as of
January 05, 2005. During the debriefing of STERN by your Affiants following the
Page 11 of 18
Judge's Initials Affiant's lnitials~ ~~~~~(/_~~~(.~
meeting, STERN advised that the Five Hundred Dollar ($500.00) pay-off for the signed
structural plans was completed inside the Coral House. STERN and STERN'S vehicle
were searched by your Affiant Special Agent Gaylon White following the meeting, and
STERN did not have the funds in his possession or in his vehicle.
RACKETEERING INCIDENT #3: 7241 WAYNE AVENUE
CRIME: UNLAWFUL COMPENSATION, 2"d DEGREE FELONY
On July 23~d, 2007, at approximately 10:34 a.m., under the direction of your
Affiants, STERN placed a controlled telephone call to the DEFENDANT, which was
recorded by your Affiants. STERN made the controlled call from his cellular telephone
number (305) 525-5535 to the DEFENDANT'S cellular telephone number (754) 244-
8181. The purpose of this controlled call was for STERN to discuss with the
DEFENDANT the structural plans review in reference to the location at 7241 Wayne
Avenue, Miami Beach, Florida and to set up a meeting between STERN and the
DEFENDANT at the same location. During the conversation, the DEFENDANT told
STERN that he (the DEFENDANT) could not check the location on official business time,
but that he could check the location during his lunch time. STERN asked when the
DEFENDANT would be available. The DEFENDANT stated that he would be available
either Tuesday or Wednesday during lunch time.
On July 25, 2007, at approximately 9:00 a.m., your Affiants, along with other
members of FDLE set up surveillance at the City of Miami Beach City Hali located at
1700 Convention Center Drive, Miami Beach, Florida. STERN and STERN'S vehicle
were searched by your Affiants. Special Agent Claudia Mulvey gave STERN jFive
Hundred Dollars ($500.00) in investigative funds. STERN, under the direction of your
~~n / Page 12 of 18 ~ ~~~ r~~
Judge's Initials J//~/( Affiant's Initials (~/~
Affiants, wore a monitoring device which captured both audio and visual recordings of
the meeting between STERN and the DEFENDANT. The purpose of this meeting was
for STERN to meet with the DEFENDANT to discuss and also provide him with the pans
for the Fairway Village job site located at 1045 - 19~' Street, Miami Beach, Florida for
approval, and to review photographs and provide structural advice on 7241 Wayne
Avenue, Miami Beach, Florida. At approximately 9:15 a.m., STERN met with the
DEFENDANT in his office. The DEFENDANT advised STERN that he would not be
available until after 10:00 a.m., because the DEFENDANT had prior commitments. The
DEFENDANT told STERN to get a "ticket number" from the front desk clerks and to
return to his office after 10:00 a.m. At approximately 10:17 a.m., STERN returned to the
DEFENDANT'S office and together they went over the plans. During the conversation,
the DEFENDANT told STERN that "Good things come to those who wait." The
DEFENDANT whispered to STERN and explained that management could be watching
him, so everything between them needed to look professional. The DEFENDANT
started to place STERN'S information in reference to the plans into the computer
system. The DEFENDANT stated, "I want to make sure the approval is in the computer
system." When everything was completed in the computer system, the DEFENDANT
told STERN that he was finished and told STERN to have a nice day. STERN exited the
ofi'ice and left City Hall. A debriefing of STERN by your Affiants revealed that the
DEFENDANT did sign the plans and expedited the process for STERN, but never
di~cussed_the....exchange of the.Five Hundred. Dollar ($5.00.OD). pay-off for the services.
STERN advised that the DEFENDANT was very nervous during the entire meeting and
stated that the DEFENDANT felt his office was being watched. STERN returned the
Five Hundred Dollars ($500.00} in investigative funds to Special Agent Claudia Mulvey.
Page 13 of 18
Judge's Initials Affiant's Initials ~~~~ ~;~~~
On August 8, 2007, at approximately 9:00 a.m., your Affiants along with other
members of FDLE set up surveillance at a STERN job site known as "Fairway Village",
located at 1944 Michigan Avenue, Miami Beach, Florida. STERN and STERN'S vehicle
were searched by your Affiants and all funds found were taken from STERN. Special
Agent Claudia Mulvey gave STERN Five Hundred Dollars ($500.00) in investigative
funds. STERN, under the direction of your Affiants, wore a monitoring device which
captured both audio and visual recordings of the meeting between STERN and the
DEFENDANT. The purpose of this meeting was for STERN to meet with the
DEFENDANT for the payoff of Five Hundred Dollars ($500.00). for the approval of the
plans of the Fairway Village job site, which had been approved at the July 25th, 2007
meeting between the DEFENDANT and STERN at City Hall. At approximately 12:05
p.m., your Affiants observed the DEFENDANT arrive at the location in his personal car,
a 2005 silver Mercedes bearing Florida tag #H184JE and proceed to park. Once the
DEFENDANT parked the vehicle, STERN approached the vehicle on the passenger's
side. STERN proceeded to take out the Five Hundred Dollar ($500.00) pay-off and
show it to the DEFENDANT, while at the .same time counting out the money. At that
time, the DEFENDANT stated, "! don't want anyone to see anything. Put the money
underneath the floor mat." The DEFENDANT repeated himself. STERN told the
DEFENDANT that nobody was going to see anything. STERN stated, "We are even.
That is what I owed you." The DEFENDANT agreed by nodding his head and stated,
'Right." Your Affiants reviewed the video of this meeting, which showed STERN placing
the money towards the floor of the vehicle. The DEFENDANT also placed a piece of
paper aver t he area where the money was located. Your Affiants researched the Florida
Vehicle Registrations-Vehicle Ownership History and found that license plate H184JE,
during the period of May 29, 2007 to July 08, 2008, was assigned to a 2005 Mercedes,
silver in color, bearing vehicle identification number WDBUF70J65A732473. The
Page 14 of 18
Judges Initials Affiant's Initials ~~~ ~~~
registered owner of the vehicle as of January 05, 2005 was the DEFENDANT. The
surveillance units followed the DEFENDANT to the City of North Miami Building and
Zoning Department located at 12400 N. E. 8th Avenue, North Miami, Florida where the
DEFENDANT was observed to exit his vehicle and enter the building. Shortly thereafter,
the DEFENDANT exited the building and was followed by the surveillance team back to
the Miami Beach City Hall located at 1700 Convention Center Drive, Miami Beach,
Florida. Surveillance was terminated once the DEFENDANT entered City Hall.
Following the undercover operation, STERN and his vehicle were searched and no
funds found. In a later debriefing, STERN informed your Affiants that STERN had
placed the pay-off cash on the floor of the DEFENDANT'S vehicle.
RACKETEERING INCIDENT #4: CORAL HOUSE, 900 COLUNS AVENUE
CRIME: UNLAWFUL COMPENSATION, 2nd DEGREE FELONY
During the week of October 22, 2007, STERN contacted your Affiants and reported
that he had run into the DEFENDANT at City Hall. At that time, the DEFENDANT had
pulled STERN aside and requested an additional Five Thousand Dollars ($5,000.00)
from STERN to expedite the structural plans for the Coral House job site located at 900
Collins Avenue, Miami Beach, Florida. According to STERN, the DEFENDANT stated
that he wanted Twenty-Five Hundred Dollars ($2,500.00) up-front and another Twenty-
Five Hundred Dollars ($2,500.00) once the structural plans had been expedited. On
November 1, 2007, at approximately 11:00 a.m., your Affiants, .along with other
_ ..... _
members of FDLE, set up surveillance at the City of Miami Beach City Hall located at
1700 Convention Center Drive, 1rliarni Beach, Florida. After STERN and STERN'S
vehicle were searched, your Affiant Gaylon White gave STERN Fifteen Hundred Dollars
($1,500.00) in investigative funds. STERN, at the direction of your Affiants, wore a
monitoring device which captured both audio and visual recordings of the meeting
Page 15 of 18
Judge's Initials Affiant's Initials ~~~~~/c~vv
between STERN and the DEFENDANT. The purpose of this meeting, as discussed by
your Affiants with STERN, was for STERN to meet with the DEFENDANT to discuss the
DEFENDANT'S previous request for Five Thousand Dollars ($5,000.00) as a pay-off for
expediting the plans for the Coral House, and to request the DEFENDANT to reduce the
initial payment from Twenty-Five Hundred Dollars ($2,500.00) to Fifteen Hundred Dollars
($1,500.00). At approximately 11:35 a.m., STERN met with the DEFENDANT in the
Administrative section of the Building Department. They discussed the fact that STERN
had a November 7, 2007 deadline for the plans review of on the Coral House job.
STERN reminded the DEFENDANT that the DEFENDANT had said it would be done by
the previous Friday, October 26, 2007. The DEFENDANT told STERN that he said a lot
of things. The DEFENDANT stated that he got the plans on Tuesday, October 30, 2007,
after 4:00 p.m. The DEFENDANT told STERN that the plans were "incomplete". The
DEFENDANT said, "It's missing" and then slapped the counter with an open hand,
exposing all five (5) fingers. The DEFENDANT then said, "give me five (5)." They gave
each other a "high five" and then the DEFENDANT stated, "Missing." STERN then
asked the DEFENDANT if the plans would be signed by Friday, November 2, 2007. The
DEFENDANT stated, "It depends on you." The DEFENDANT then admired STERN'S
new watch and asked- what happened to the old one. STERN told the DEFENDANT that
he still had it. The DEFENDANT asked STERN how much the watch cost and STERN
replied, "Thirty Five Thousand Dollars ($35,000.00)." STERN again reminded the
DEFENDANT of his promise to have the plans approved by Friday, November 2, 2007.
The DEFENDANT stated, "That deal is off the table. That was last week. I told you to
bring it last Thursday." STERN replied, "Ycu told me you're going tc approve it by
tomorrow." The DEFENDANT stated, "There's other things !told you, but you don't
remember, you have a convenience (sic) memory. Do you remember? I told you three
(3) things -bring it by Thursday and you get it Friday." STERN reminded the
Page 16 of 18
Judge's Initials Affiant's Initials ~~~L'~?"
DEFENDANT that he was going to Pose one (1) million dollars on November 7, 2007 and
that the DEFENDANT was playing a game with him and it was not fair. STERN again
advised the DEFENDANT that he needed the plans approved. The DEFENDANT
smiled. STERN told the DEFENDANT that he had some of it, but not all of it. STERN
stated, "1'll give you some today and some tomorrow." The DEFENDANT shushed
STERN. STERN again stated, "I'll give you some now." The DEFENDANT shushed him
again. The DEFENDANT then advised STERN that he would see him the next day and
walked away. Shortly thereafter, STERN called the DEFENDANT at his office number
from the telephone in the lobby area. STERN said, "How far along are you in the
review? You'll be finished by 4:00 p.m. today? Call me when I need to come over."
STERN then called your Affiant Detective Redruello and advised that he was not altowed
into the DEFENDANT'S office, and that he expected to receive a telephone call from the
DEFENDANT later that day. STERN was advised by your Affiant Detective Redruello to
leave City Hall. At a later debriefing, STERN advised your Affiants that he believed the
pay-off did not take place because the DEFENDANT was adamant about wanting to be
paid Five Thousand Dollars ($5,000.00) prior to the approval of the plans for the Coral
House and was dissatisfied with the offer of an initial payment of Fifteen Hundred Dollars
($1500). STERN stated that when the DEFENDANT exposed the five (5) fingers to
STERN, the DEFENDANT was letting him know that the DEFENDANT wanted Five
Thousand Dolalrs ($5,000.00). Your Affiants reviewed the video and were able to see
the open, _hand exposing a)I ,five.. (5) fingers. STERN returned.. the Fifteen .Hundred
Dollars ($1,500.00) in investigative funds to your Affiant Special Agent Gaylon White.
ft is submitted by your Affiants that there existed an Enterprise within the meaning
of Florida Statute 895.02(3), to wit: the DEFENDANT, MOHAMMAD R. PARTOVI,
utilizing his position as Chief Structural Plans Examiner for the City of Miami Beach, who
Page 17 of 18
Judge's Initials Affiant's Initials /~~%~~/ ~"'
engaged in a Pattern of Racketeering Activity within the meaning of Florida Statute
895.02(4}, for the purpose of committing the offense of Unlawful Compensation, Florida
Statute 838.016, a second degree felony.
Based upon the foregoing, it is the belief of your Affiants that probable cause
exists that the DEFENDANT, MOHAMMAD R. PARTOVI, unlawfully, knowingly and
intentionally committed violations of Florida Statutes, including Racketeering, in violation
of Sec. 895.03, one count and Unlawful Compensation, four counts, in violation of Sec.
838.016.
WHEREFORE, your Affiants pray that a warrant will be issued commanding all
and singular, Gerald Bailey, Commissioner, Florida Department of Law Enforcement or
any of his duly authorized Special Agents; all Sheriffs and Police Chiefs of the State of
Florida or any of their duly authorized deputies or officers to arrest MOHAMMAD ~R.
PARTOVI and bring him before the Court so that he may be dealt with ac/cording to law.
G~.,~
Special Agent Gaylon White
Florida Department of Law Enforce t
Detective Rosa Redruello
Miami Beach Police Department
Detective A areem Azim
Miami Beach Police Department
_..--.- --STA-T-E-OF..-F-L-ORIDA-.._--- ----- ._. _ ------ ------- - ------- __. -----
COUNTY OF MIAMI-DADE •'1
The foregoing i
March, 2008 by ~,~
identified himself to mE
and who did
me this / "/ day of
Judge's Initials,~~
JUDGE~F TI'tt= G~If~CUIT COURT OF TUY-IE ~[.EV H
JUDICIAL CIRCUIT OF FL IDA
Page 18 of 18 /~~,v
Affiant's Initials
IN THE CIRCUIT COURT OF THE ELEVENTH JUDICIAL CIRCUIT IN AND FOR
MIAMI-DADE COUNTY, FLORIDA
STATE OF FLORIDA
vs.
Andres Villarreal
DOB: 01/06/1959
AFFIDAVIT IN SUPPORT OF ARREST WARRANT
BEFORE ME, Circuit Judge of the
Eleventh Judicial Circuit in and for Miami-Dade County, Florida, personally appeared
Special Agent Gaylon White of the Florida Department of Law Enforcement (FDLE) who,
being first sworn, deposes and says: Your Affiant is a sworn law enforcement officer of
the State of Florida, and as such is empowered to conduct investigations of and make
arrests for violations of the criminal laws of the State of Florida, Special Agent Gaylon
White has been a law enforcement officer for nineteen years and is currently assigned to
the Public Integrity Squad at FDLE Miami Regional Office. Additionally, personally
appeared Detective Rosa Redruello of the Miami Beach Police Department, Strategic
Investigations Unit of the Criminal Investigations Division. Detective Rosa Redruello has
been employed by the Miami Beach Police Department (MBPD) for eighteen years and
is currently assigned to the Public Integrity Squad at FDLE Miami Regional Office, and is
empowered to conduct investigations of, and make arrest for violations of the criminal
i?;~,s of the State of F!er.da. Additiona!!y, personally appeared Detective Alkareem Azim
of the Miami Beach Police Department, Strategic Investigations Unit of the Criminal
Investigations Division. Detective Alkareem Azim has been employed by the Miami
Beach Police Department for eleven years and is currently assigned to the Public
~,~~ Page 1 of 23 ~ ~/
Judges Initials ~~'Q=-~--- Affiant's Initials ~~'"(r~-- ,~"~"
Integrity Squad at FDLE Miami Regional Office, and is empowered to conduct
investigations of, and make arrest for violations of the criminal laws of the State of
Florida.
Your Affiants, Detectives Rosa Redruelto & Alkareem Azim began an investigation
into public corruption within the Building Department of the City of Miami Beach during
May 2006. This initial investigation revealed the following:
Thomas E. Ratner (hereinafter "RATNER"), date of birth of January 07, 1956,
was employed at the City of Miami Beach's Building Department, as Chief Electrical
Inspector, assigned to the supervision of electrical inspectors and the performance of
electrical inspections throughout the City of Miami Beach. The following is the job
description for the job of Chief Electrical Inspector contained on the City of Miami Beach
website:
Highly responsible, administrative, supervisory, and
technical work enforcing compliance with applicable
national, state, and local taws, codes, ordinances, and
regulations in the City's Building Department through
reviewing construction plans and specifications of new and
existing electrical installations. Work includes office and
field duties, supervising the enforcement program assuring
that legally established requirements for plans,
workmanship, and materials are met with regard to
electrical work throughout the City.
RATNER was arrested on September 13, 2006, and was charged with one (1)
count of :.~r;laVVful Compensation - Florda State Statute ~3~.C1G(1), a second degree
felony. and three (3} counts of Official Misconduct -Florida State Statute 838.022. a
third degree felony. On or about October 15, 2007, RATNER entered into a plea
agreement with the State in which he agreed to cooperate and provide information to
Page 2 of 23 )~
Judges Initials ~~- Affiant's Initials ~~~~!c~_~,L!/"-
Law Enforcement regarding his knowledge of unlawful conduct by public officials in the
City of Miami Beach. Pursuant to the plea agreement, RATNER was sentenced to 366
days in State Prison and was sent to prison on November 16, 2007.
While the RATNER case was pending, your Affiants Detectives Redruello and
Azim, together with the State Attorney's Office, continued the investigation into
corruption in the City of Miami Beach, taking sworn statements under subpoena of
various individuals with knowledge about unlawful activity of City officials within the
Building and Planning Departments. As a result of sworn statements taken under
subpoena from Michael Stern (hereineafter "STERN") a lifetime resident of Miami Beach,
and a developer and contractor in the City since 2000, additional City officials involved in
corrupt activity were identified. STERN agreed to act in an undercover capacity to
gather further evidence against those corrupt City officials, under the direction and
supervision of FDLE and MBPD investigators, and the State Attorney's Office.
One of the suspects identified during this portion of the investigation was Andres
Villarreal (hereinafter referred to as the "DEFENDANT"), date of birth of January 06,
1959, emp-oyed at the City of Miami Beach Building Department, as a Chief Building
Code Compliance Officer, assigned to the supervision of building inspectors and the
performance of building inspections throughout the City of Miami Beach, as the Chief
Building Code Compliance Officer. The following is the job description for the job of
Chief Building Code Compliance Officer contained on the City of Miami Beach website:
Responsible. advanced technical, supervisory. and
administrative work in enforcing compliance with applicable
national, State, and Inr..al laws; codes; nrdinanr..es, and
regulations in the City's Building Department. Work
involves management, coordination. preparation;
investigation and issuance of all Notices of Violations and
'' Page 3 of 23
Judge's Initials ~~{v l Affiant's Initials
Citations issued by the City of Miami Beach Building
Department, and prosecution of the cases before the City's
Special Master, Construction Trades Qualifying Board,
Miami-Dade County Board of Rules and Appeals, Miami-
Dade-County Unsafe Structures Board and the State
Attorney's Office. Maintains all Notices of Violations, Stop-
Work-Orders, Citations, unsafe Structures Board and
unlicensed contractors cases. May order portions of a
building or structure to be exposed for inspection. May
order construction work stopped and/or buildings vacated if
occupancy or use is contrary to accepted regulations.
Interprets and explains regulations and standards and
disseminates technical advice to interested parties
including subordinates, other sections and agencies, and
the public. Instructs, trains, and evaluates subordinates in
enforcement activities. Consults with subordinate
inspectors regarding decisions made on violation cases.
Work includes field and office duties.
Through both RATNER and STERN, your Affiants learned that in the City of Miami
Beach's Building Department, specifically in the area of building inspections and the
processing of building plans, the amount of time spent on obtaining approvals from
building inspectors and others connected to the approval process is of vital concern to
contractors and developers, and that delays in the approval process can be costly. With
the assistance of corrupt City officials, plans often go through a "backdoor" process to
avoid the usual thirty to sixty days needed for plans to be approved by City officials
assigned to various areas such as Accessibility, Building, Electrical, Elevator,
Engineering, Mechanical, Permitting, Plumbing, and Structural.
RATNER told your Affiants about an incident that occurred during 2002, white he
was employed as Chief Electrical Inspector for the City of Miami Beach Building
Deportment At that time: RAT^.lER `vVOrJ rcce~viilg irafiiing frCm tiiG DEFEI`vDANT
regarding the processing of permits and plans review. At one point, the DEFENDANT
stated to RATNER, "Here is a couple of hundreds of dollars from Michael Stern.° as he
handed cash to RATNER.
Page 4 of 23
Judge's Initials ~~~ Affiant s Initials ~~i~.~,,
STERN, in his capacities as developer and contractor in the City of Miami Beach,
has had extensive business dealings with the City of Miami Beach Building Department,
and possesses substantial knowledge of the inner workings of the Building Department.
STERN told your Affiants that he had given money, mostly in cash, to the DEFENDANT
in order to receive expedited service from the DEFENDANT regarding his various plans
and job sites throughout the City of Miami Beach. STERN stated that the DEFENDANT
would often help him speed up the approvals of all of his plans. STERN said he
considered the payments made to the DEFENDANT as part of the cost of doing
business with the City of Miami Beach Building Department.
STERN advised your Affiants that beginning around 2003, he had written a
number of checks which he himself cashed, and that thousands of dollars in cash from
those checks was given to the DEFENDANT for expedited service regarding various
STERN projects. STERN also advised that he had made thousands of dollars in checks
payable to two companies that he believed to be owned by the DEFENDANT, Triton
Investment Group and ARV Management, which were part of a pattern of gifts and loans
which the DEFENDANT received from STERN in connection with STERN'S ongoing
projects in the City of Miami Beach.
It has been determined by your Affiants through investigation that the
DEFENDANT was in a position through his public employment as Chief Building Code
vom pliaiiCc ~ffiCer iii file City of iJliafiii rjeaC~i i0 itiekC dCCiSfonS regardiig V"arfou~
projects in which STERN had a substantial financial interest: that the DEFENDANT and
STERN had developed a close working relationship that included cash payments by
~^ Page 5 of 23 ^
Judge's Initials Affiant's Initials ~~~~~~
STERN to the DEFENDANT while the DEFENDANT made decisions regarding
STERN'S projects.
RACKETEERING INCIDENT #1: CORAL ROCK HOUSE, 900 COLLINS AVENUE
CRIME: UNLAWFUL COMPENSATION, F.S. 838.016, 2"d Degree Felony
STERN advised your Affiants that during 2003 and 2004 he made a number of
payments to the DEFENDANT based upon an understanding between him and the
DEFENDANT that the DEFENDANT would assist STERN in obtaining the necessary
approvals from the City of Miami Beach for the demolition of the Coral Rock House,
located at 900 Collins Avenue, Miami Beach, Florida. The Coral Rock House is a
historically significant property in Miami Beach owned by STERN, which was the subject
of controversy regarding its possible demolition. According to STERN, the DEFENDANT
asked STERN to pay him Fifty Thousand Dollars ($50,000.00) for this assistance, which
the DEFENDANT told STERN would be shared with another corrupt official in the City of
Miami Beach. STERN said he agreed to pay that sum to the DEFENDANT. According
to STERN, he did make significant payments to the DEFENDANT for that purpose, but
did not pay the entire $50,000.00. STERN said he was unsure of the exact amount paid
to the DEFENDANT for the Coral Rock House. but said it was probably between Twenty
Thousand Dollars ($20,000.00) and Thirty Thousand Dollars ($30.000.00}. STERN said
that some of the payments were made to the DEFENDANT through a corporation
named Triton Investment Group LLC. Your Affiants were provided by STERN with a
number cf CheCkS dra'vJn Gii his persOnai aCGuiirit. anu fliaue {payable to "TtltUtl" UI
"Triton Group` or Triton Investment Group". totaling Thirty Thousand Dollars ($30,000}
between January 25; 2003 and January 24, 2004. STERN stated to your Affiants that
some of these checks were used to pay the DEFENDANT for his assistance on the
` Page 6 of 23 ~
Judge's Initials ~ Affiant s Initials
~~~~
Coral Rock House. Further investigation by your Affiants revealed evidence connecting
the DEFENDANT to the aforesaid checks and to the cashing of said checks (See below
"RACKETEERING INCIDENTS #6, #7, #8, #9, #10, #11"). STERN'S testimony
regarding the DEFENDANT'S use of a company named "Triton" to conduct his financial
transactions was independently corroborated by RATNER, who said he was aware of
the DEFENDANT'S use of said company name in conducting financial transactions.
According to STERN, the payments for the demolition were never completed,
and the house was not demolished. The demolition did not go forward because STERN
entered into negotiations with the City whereby the Coral Rock House was substantially
preserved in consideration of certain benefits promised by the City to STERN in a
settlement agreement between STERN and the City of Miami Beach.
RACKETEERING INCIDENT #2: $50,000 "LOAN" FOR WAREHOUSE
CRIME:UNLAWFUL COMPENSATION, F.S.838.016, 2"d Degree Felony
STERN advised your Affiants that during the period between approximately 2003
through 2005, he made additional payments in cash and in checks to the DEFENDANT
totaling Fifty Thousand Dollars ($50,000.00) to enable the DEFENDANT to purchase a
warehouse. STERN said the some of the funds were paid to the DEFENDANT through
checks he wrote to "Triton Investment Group' (See below "RACKETEERING
INCIDENTS #6, #7. #8, #9, #10, #11}. According to STERN. the DEFENDANT
requested the funds, telling STERN at the time that he needed a loan for the purchase of
a warehouse. STERN informed your Affiants that he delivered funds in approximately
that amount to the DEFENDANT. but that no repayment terms were discussed: no
p~ . Page 7 of 23
Judge`s Initials ',/ f~ Affiant's Initials
promissory note or written loan agreement was ever executed; and no collateral was
provided by DEFENDANT for the "loan" transaction. STERN also informed your Affiants
that the DEFENDANT had suggested to him at the time of the payment that he (STERN)
would be a partner in the warehouse venture and that he would receive a return on his
investment from anticipated rental payments which would come from future tenants at
the warehouse. STERN said that he believed that a warehouse had been purchased by
the DEFENDANT, although STERN had never seen the warehouse or any documents
proving that a warehouse existed. STERN stated that he has never received any
payments from rental income, nor has the DEFENDANT made any payments to him in
regard to the "loan". STERN stated that he originally believed that he might receive
income from the investment; had occasionally reminded the DEFENDANT of the
outstanding "loan"; and had discussed with the DEFENDANT the possibility of the
DEFENDANT'S signing a promissory note for the "loan". No promissory note or other
documentation for the "loan" was ever executed, according to STERN.
STERN acknowledged that the "loan' to the DEFENDANT was made by him
pursuant to the ongoing relationship he had established with the DEFENDANT.. and with
the expectation that his assistance to the DEFENDANT in providing this "loan" would be
helpful in STERN'S continuing to receive expedited service from the DEFENDANT in the
handling of STERN'S various plans and projects in the City of Miami Beach. STERN
said that he considered the "loan", as well as the other payments made to the
DEFENDANT, as the cost of doing business in the City of Miami Beach.
RATNER told your Affiants that the DEFENDANT had informed him that STERN
had given the DEFENDANT a loan for a warehouse and that the warehouse was located
in south Miami-Dade County in the vicinity of U.S #1 and 173rd Street, Miami. Florida.
Page 8 of 23 l
Judge's Initials ~L1~ Affiant s Initials ~~~L= ~~'" -
Your Affiants checked the area and public records and found that the DEFENDANT is
connected with a warehouse at 17304 Walker Avenue, Unit #104, Miami, Florida,
described in Miami-Dade County records as Unit 104, of Walker Avenue Commercial
Center, a Condominium, according to the Declaration of Condominium. The records
show that a Warranty Deed was recorded on January 12, 2004, between West Perrine
Community Development Corporation, Inc., a Florida not-for-profit corporation, as
"Grantor", and ARV Management Group, Inc., a Nevada Corporation, as "Grantee". On
August 20, 2004, ARV Management Group, Inc., a Nevada Corporation, and Andres
Villarreal, individually, as "Borrowers", executed and filed a second mortgage on 17304
Walker Avenue, Unit 104, Miami, Florida, with Metropolitan Mortgage of Miami, a Florida
Corporation, as "Lender", for the sum of Twenty-Eight Thousand Dollars ($28,000.00).
This document was signed by Andres Villarreal, as President of ARV Management
Group, Inc., and Andres Villarreal, individually. Miami-Dade County property records list
a Florida mailing address for ARV Management, Inc., in care of Orlando Group LLC,
7340 SW 131 Street, Miami, Florida, which is the same address as the DEFENDANT'S
residence, according to records of the State of Florida Department of Highway Safety
and Motor Vehicles. A review of records maintained by the Florida Department of State,
Division of Corporations, revealed that Orlando Group LLC's Manager and Registered
Agent is Christine M. Villarreal, also with the same address, 7340 SW 131 Street, Miami,
Florida. Christine M. Villarreal is believed by your Affiants to be the daughter of the
DEFENDANT.
rufiher evidence regarding she D~F~PJ~A~JT U receip~ of maney ~,~,,. ~ ,.,.
far purchase of a warehouse was developed during undercover conversations recorded
between STERN and the DEFENDANT (See below 'UNDERCOVER CONTACTS
~~~-~- Page 9 of 23 eP=~/
Judge's Initials Affiant's Initials ~+' C~
BETWEEN STERN AND DEFENDANT RE: RACKETEERING INCIDENTS #2, #3, #4,
#5")
RACKETEERING INCIDENTS #3 and #4: $30,000.00 FOR DEFENDANT'S
"DIVORCE"
CRIMES: UNLAWFUL COMPENSATION, F.S. 838.016, 2"d Degree Felony
MONEY LAUNDERING, F.S. 896.101 (5)(b), 2"d Degree Felony
STERN advised your Affiants that sometime during 2003 or 2004, he was asked
by the DEFENDANT to provide him with the sum of Thirty Thousand Dollars
($30,000.00) that the DEFENDANT said he needed for his "divorce". STERN said that
he believed that he had paid the money by means of a check drawn on one of his
business or personal accounts, and that he believed it was made payable either directly
to the DEFENDANT or to another person or entity on behalf of the DEFENDANT.
According to STERN the funds were provided to the DEFENDANT as a "loan", but, as
with the warehouse "loan", there were no loan documents, and none of the "loan" was
ever repaid. STERN acknowledged that the payment was made to the DEFENDANT
pursuant to his ongoing relationship with the DEFENDANT and with the expectation that
his assistance to the DEFENDANT would be helpful to him in continuing to receive
expedited service from the DEFENDANT in connection with STERN'S various plans and
projects in the City of Miami Beach. STERN stated that he believed that the
DEFENDANT had gotten divorced, but that he had no personal knowledge of the divorce
other that what was told to him by the DEFENDANT. Your Affiants checked Miami-Dade
County marriage records, which did not reveal that the DEFENDANT is divorced.
An investigative subpoena issued to City National Bank of Florida, Miami Beach,
Florida. for records on account #2003330081, a personal account held in the names of
STERN and his wife, revealed that Check No. 0819. dated September 30, 2003, and
Page 10 of 23 E
Judge's Initials Affiant's Initials '-~ r'" -
signed by STERN was made payable to Triton Investment Group in the sum of Thirty
Thousand Dollars ($30,000.00), and deposited into an account in the name of Triton
Investment Group. Further corroboration regarding the DEFENDANT'S receipt of funds
for the purpose of obtaining a "divorce" was developed during undercover conversations
recorded between STERN and the DEFENDANT (See below "UNDERCOVER
CONTACTS BETWEEN STERN AND DEFENDANT RE: RACKETEERING INCIDENTS
RACKETEERING INCIDENT #5: PURCHASE OF MOTOR VEHICLE
CRIMES: UNLAWFUL COMPENSATION, F.S.838.016, 2"d Degree Felony
STERN advised your Affiants that during the period of 2004-2005, he was approached
by the DEFENDANT and was told that the DEFENDANT needed a motor vehicle for his
son. STERN understood by that request that the DEFENDANT was implying that he
wanted STERN to supply him with a free vehicle. In May 2004 at a City of Miami Beach
auction, several vehicles were purchased by STERN. The title to one of the purchased
vehicles, a 1997 Crown Victoria, white in color, bearing VIN#2FALP71 W5VX212878,
was transferred from STERN to the DEFENDANT. STERN recalled that he had
purchased the vehicle for approximately Three Thousand Dollars ($3,000.00).
According to STERN, the DEFENDANT received this vehicle from STERN without
providing any consideration in return.
A check of public records was performed by your Affiants on the above-
mentioned vehicle given to the DEFENDANT by STERN. Your Affiants determined that
a vehicle with VIN #2FALP71W5VX212878; was auctioned off in May 2004 by the City
Page 11 of 23
Judges Initials ~- Affiant's Initials ~~~~f
of Miami Beach Fleet Management. The vehicle was purchased by STERN on May 24,
2004 for Twenty-Five Hundred Dollars ($2,500.00). After the purchase, the vehicle was
transferred to the DEFENDANT by STERN. The title itself indicates the sum of
$2,300.00 as the sale price to the DEFENDANT, although, according to STERN, no
payment was ever given to him by the DEFENDANT for the vehicle. The date of the
transfer from STERN to the DEFENDANT occurred on May 5, 2005. Title records show
that the vehicle was then transferred from the DEFENDANT to Rebecca May Salazar
A/K/A Rebecca May Amador on June 14, 2006. Rebecca May Salazar is an employee in
the City of Miami Beach Building Department as an Administrative Aide II, who was also
believed by STERN to be the DEFENDANT'S girlfriend. The title records show that the
vehicle was then transferred from Rebecca May Salazar to Andrew A. Robles (son of
Rebecca Amador and former employee and tenant of STERN) on October 2, 2006. The
vehicle was finally transferred from Andrew A. Robles to Freeway Towing Service on
January 5, 2007 for destruction.
Further corroboration regarding STERN'S purchase of a vehicle for the
DEFENDANT was developed during undercover conversations recorded between
STERN and the DEFENDANT (See below "UNDERCOVER CONTACTS BETWEEN
STERN AND DEFENDANT RE: RACKETEERING INCIDENTS #2, #3 ,#4,#5).
UNDERCOVER CONTACTS BETWEEN STERN AND DEFENDANT RE:
RACKETEER{NG INCIDENTS #2, #3, #4, #5
On April 20, 2007. at approximately 4:20 p.m., under the direction of your Affiants,
STERN placed a controlled telephone call to the DEFENDANT. STERN made the
controlled call from his cellular telephone number (305) 525-5535 to the DEFENDANT'S
Page 12 of 23
Judge's Initials Affiant's Initials
cellular telephone number (786) 306-8632, in the presence of your Affiant, Detective
Redruello, who monitored STERN'S end of the call and who could hear most of
DEFENDANT'S conversation during the call. The cal- was recorded by your Affiants.
The purpose of this controlled call was to set up a meeting between STERN and the
DEFENDANT for a building inspection at the Beach Place Hotel job site located at 8601
Harding Avenue, Miami Beach, Florida. During the conversation, it was arranged that
the DEFENDANT would meet with STERN at the job site. Conversation ensued about
the fact that Leonel Medrano, Building Inspector for the City of Miami Beach Building
Department, had originally been scheduled to make the inspection, but that now the
DEFENDANT would be doing the inspection. The DEFENDANT told STERN that he
would be performing the inspection within the next hour.
On April 20, 2007, at approximately 5:20 p.m., your Affiants along with other
members of the FDLE set up surveillance at the Beach Place Hotel job site located at
8601 Harding Avenue, Miami Beach, Florida. STERN, under the direction of your
Affiants, wore a monitoring device which recorded the conversation of the meeting
between STERN and the DEFENDANT. This meeting was also videotaped by your
Affiants. The purpose of this meeting was to discuss the past and future dealings
between STERN and the DEFENDANT. At approximately 5:55 p.m., the DEFENDANT
arrived at the location and met with STERN. They proceeded to walk around the
building while the DEFENDANT inspected the property. They discussed the work that
had been previously done at the job site (without the necessary permit at the time) and
the fact that the CEFEP~DANT was ordered by Leone! ~4edrar,o to issue STE°N a
citation for $250.00. STERN complained to the DEFENDANT about the citation. The
DEFENDANT stated, "Stop bellyaching over $250.00. You did this roof here without any
inspections." The DEFENDANT inquired whether STERN had heard anything from the
Page 13 of 23 ~~
Judges Initials ~~ Affiant's Initials ~v~~!v"~
police. [Note: STERN later advised your Affiants that when the DEFENDANT asked
about the police he was inquiring about possible fallout from RATNER'S arrest) STERN
indicated that he had not heard from police. STERN then raised the subject of the
$50,000 cash "loan" that he had provided to the DEFENDANT to purchase the
warehouse by again suggesting, as STERN said he had done on prior occasions, that
the DEFENDANT sign a promissory note regarding the $50,000.00. STERN said,
"...well, I told you before that, you know, I mean, in the beginning since that whole thing
started, no, that's why I told you, listen, and I want it done... I'm sick and tired. I have
spoken to that before, I want that promissory note..." STERN said, (referring to the
checks provided to the DEFENDANT for the payoffs on the Coral Rock House): "I have
checks written to you or checks made payable to the `Tri Star' Company." The
DEFENDANT explained to STERN that he did not want to deal with a promissory note,
since it would look like a loan. Instead, the DEFENDANT suggested that STERN
prepare an invoice to show that the DEFENDANT sold jewelry, such as a ring and/or
watch to justify the $50,000.00 in cash that STERN had given to the DEFENDANT. The
DEFENDANT stated, "Remember, you and I discussed, you know, about you know, that
I sold you certain, you know, some jewelry and stuff, you know, a ring and, you know,
and a watch or something and, you know, and you so-d it off to somebody else. And if I
sell you something, you know, that has nothing -- that has no bearing with anything,
right? Better than a loan. A loan, you got a problem." [Note: STERN has informed your
Affiants that the DEFENDANT has never sold him any jewelry or anything else in
connection with the funds transferred to the DEFENDANT by STERN) STERN asked,
"`J`dhy is a Ican a problem?„ The DEFENDANT replied, "Because u !oan -- they're going
to say. well, have you paid him back... No, I haven't. Say, okay. then, you know what's
this, a loan or a gift. you know. you understand?'' The DEFENDANT continued, saying,
`Here's what I'm going to do, I'm going to borrow money against the warehouse and I'll
Page 14 of 23
Judges Initials ~~ Affiant's Initials
pay you, that's it and then you don't have to worry, you know. You gave me fifty, I'll go
borrow fifty and I'll give it to you, Mike, that's it, don't worry about it." STERN then
reminded the DEFENDANT about the additional Thirty Thousand Dollars ($30,000.00)
he had given to the DEFENDANT after the DEFENDANT had told STERN that he
needed the money for his "divorce". STERN stated, "What about the other Thirty
Thousand Dollars ($30,000.00), okay, that I gave you for, when you were getting
divorced, okay. I don't care about the money." The DEFENDANT replied, "Okay. Well
tell me -tell me how much." STERN asked, "How do you cover that?" The
DEFENDANT replied, "Listen to me, listen to me, tell me how much I owe you, all right.
And I'tl pay you back." STERN said, "I have checks going to you," to which the
DEFENDANT replied, "All right", and then suggested that STERN pretend that he
(STERN) sold the DEFENDANT something and make up an invoice to back up the sale.
The DEFENDANT suggested that STERN speak with his attorney in order to prepare
invoices for the purchase of jewelry to justify the money that STERN had given to the
DEFENDANT. The DEFENDANT explained that he had a problem with the promissory
note, since it would look like a gift and/or a loan that the DEFENDANT never paid back.
STERN told the DEFENDANT that he would discuss the matter of making invoices with
his attorney and get back to the DEFENDANT. The DEFENDANT asked STERN to
bring a set of plans to his office for the Howard Johnson job site located at 41 s, Street
and Alton Road. Then, in an apparent reference to the $50,000.00 that STERN had
given to the DEFENDANT for the warehouse, the DEFENDANT stated, "It would look a
lot strange" that it was three years later and the money had not been returned to
STERP~. The DEFENDANT stated, "All right. Listen to what you're telling ...e, listen to
the legality, you're telling me that I've got. I borrowed Fifty Thousand Dollars
($50.000.00) three years ago and I haven't paid you a cent back, you understand what
I'm saying? That's going to look worse. Hold on a minute. That looks worse than
Page 15 of 23 ~ ,f'l
Judge's Initials ~ Affiant's Initials
saying, okay, here's some invoices, yeah, what was this money for? Well, there was a
watch, you know, he, you know, he gave -sold me a watch, he sold me a couple of
rings, some jewelry that he wanted to get rid of because he was in the middle of, you
know, getting a separation from his wife and I bought it from him, you know, that's more
- I would say that is probably, you know, more understanding than there is maybe you
loaning me money that I'm supposed to pay you back and t still haven't paid you back a
cent." STERN stated, "Listen, I'll do whatever you want, I just don't want trouble. I don't
want any problem." Later, STERN again brought up the additional $30,000.00 given to
the DEFENDANT, saying, "...how do you cover the other check, the other 30,000 that
gave, you know, when you were getting divorced or whatever...) just don't see how you
overcome that." The DEFENDANT then told STERN to find out exactly how much
money the DEFENDANT owed to STERN and he would pay it back. During the
conversation, STERN also inquired about the status of the vehicle previously given to
the DEFENDANT by STERN. The DEFENDANT stated that he had given the vehicle to
Rebecca Amador (The DEFENDANT'S aide in the City of Miami Beach's Building
Department and also his girlfriend) and she had passed it on to her son, Andrew A.
Robles.
On June 5, 2007, at approximately 11:24 a.m., under the direction of your Affiants,
STERN placed a controlled telephone call to the DEFENDANT. STERN made the
controlled call from his cellular telephone number (305) 525-5535 to the DEFENDANT'S
cellular telephone number (786) 306-8632. The call was recorded by your Affiants. The
DUI pCSC of this COntrOlled tClepilGne Cali 'vJaS tv discuss the lnVCICeS and/Cr prQmiccCry
note previously discussed in the meeting which occurred on April 20, 2007. During the
conversation. STERN told the DEFENDANT that he had spoken to his attorney and they
needed to proceed with getting the paperwork and/or the promissory note done. The
"• ~ Page 16 of 23
Judge's Initials ~ Affiant's Initials 1~/~!~!S
DEFENDANT stated, "Let's get together on it and let me know because, I'm not signing
a promissory note." STERN asked the DEFENDANT how he would like to handle it.
The DEFENDANT stated, "I told you already, you know, let me know how much it is and
I guess I have to take it out." STERN stated that it would be in both of their interests to
get this done.
On June 21, 2007, under the supervision and direction of your Affiants, STERN
made several unsuccessful attempts to contact the DEFENDANT by telephone. It was
the opinion of your Affiants at that time that the DEFENDANT was intentionally avoiding
contact with STERN. No further attempts were made to contact the DEFENDANT.
RACKETEERING INCIDENTS #6, #7, #8, #9, #10, #11: CHECKS TOTALING
$30,000.00 MADE PAYABLE TO "TRITON" AND GIVEN TO DEFENDANT
CRIME: MONEY LAUNDERING, F.S. 896.101(5)(a), 3d Degree Felony (6Cts.)
STERN advised your Affiants that during the period between October 22, 2003
and July 30, 2004.. he wrote a number of checks totaling Thirty Thousand Dollars
($30,000.00), which were made payable, per the DEFENDANT'S request, to Triton
Investment Group LLC and which were presented to the DEFENDANT. STERN said the
checks were written in connection with an understanding between him and the
DEFENDANT that STERN would receive favorable and expedited service from the
DEFENDANT in connection with his various projects throughout the City of Miami
Beach. In particular these checks included payments toward the Fifty Thousand Dollars
($50,GOG.00) promised by 5 T EFtN to the DEFENDANT for the City approvals necessary
for the demolition of the Coral Rock House.. as well as payments toward the agreed Fifty
Thousand Dollar ($50,000.00) "loan" for the DEFENDANT'S purchase of a warehouse,
each of which has been detailed above.
Page 17 of 23
Judge's Initials ~~ Aftiant's Initials
Your Affiants retrieved corporate records for Triton Investment Group LLC, which
revealed that it is an entity licensed to do business in the State of Florida, and that an
individual named Marty E. Snipes is listed as Registered Agent and Manager. STERN'S
information that the DEFENDANT used Triton as a conduit for his financial dealings was
independently corroborated by RATNER, who informed your Affiants that he had been
told by the DEFENDANT that the DEFENDANT utilized a company named "Triton" for
financial transactions. STERN provided your Affiants with copies of six checks drawn on
Account No. 2003330081, a personal account held by STERN at the City National Bank.
An examination of the checks revealed that the name of "Marty Snipes" is written on the
"Memo" section on all of the checks except one, Check No. 669, which contains nothing
in the Memo section. According to STERN, he does not know a Marty Snipes; the
name of Marty Snipes was provided to him by the DEFENDANT; and STERN himself
wrote the name of "Marty Snipes" on the checks. The checks provided by STERN are
as follows:
Date Check
Number Amount
10/22/2003 _ _
#858
$10,000.00
05/07/2004
#642 _
$4.000.00
05/13/2004 #669 $5,000.00
07/30/2004___ __
#1068 _ ___ ___ $3,000.00
07/30/2004 #1069 $4,000.00
07/30/2004 #1070 $4,000.00
~~ Total i $30,000.00
Further analysis of the checks by your Affiants revealed the following:
1) Check #858 made payable to "Triton Investment Group'' for Ten
Thousand Dollars ($10.000.00) on 10/22/2003, was posted on
Page 18 of 23
Judges Initials r - Affiant's Initials ~ ~~~
10/27/2003 for deposit only at Nevada First Bank. Nevada First Bank has
since merged with the Bank of Nevada by which it is known today.
2) Check #642 made payable to "Triton Investment Group" for Four
Thousand Dollars ($4,000.00) on 5/07/2004, posted on 5/11/2004 for
deposit only at Beach Bank, located in Miami Beach, Florida. The check
also contains the name "Andy Villarreal" printed by an unknown individual
on the bottom of the back of the check.
3) Check #669 made payable to "Triton Group" for Five
Thousand Dollars ($5,000.00) on 5/13/2004, and posted on 5/14/2004 for
deposit only at Beach Bank. The check also contains the name "Andy
Villarreal" printed by an unknown individual on the bottom of the back of
the check.
4) Check #1068 made payable to "Triton" for Three Thousand Dollars
($3,000.00) on 7/30/2004, and posted on 8/3/2004 for deposit only at
Beach Bank. The check also contains the name "Andy Villarreal" printed
by an unknown individual on the bottom of the back of the check.
5) Check #1069 made payable to "Triton" for Four Thousand Dollars
($4,000.00) on 7/30/2004, and posted on 8/9/2004 for deposit only at
Beach Bank. The check also contains the name "Andy Villarreal" printed
by an unknown individual on the bottom of the back of the check.
6) Check #1070 made payable to "Triton" for Four Thousand Dollars
($4,000.00) on 7/30/2004, posted on 8/3/2004 for deposit only at Beach
Bank. The check also contains the name "Andy Villarreal" printed by an
unknown individual on the bottom of the back of the check.
Your Affiants interviewed RATNER and his wife, Jodie Ratner (hereinafter "MRS.
RATNER"), who had information concerning the DEFENDANT'S use of a check cashing
store named "La Bamba", located at 7378 SW 42nd Street, Miami, Florida. Both
told your Affiants that the DEFENDANT had taken them on one occasion to
introduce them to one of the managers there who would cash checks for MRS.
RATNER without any problem. According to MRS. RATNER, there was a
separate rnnm at f a Rarj,b~ (:heck ('aching !~!f?ere transaCtlons in`inlyinn large
sums of money were conducted behind closed doors. Both RATNER and MRS.
RATNER told your Affiants that the DEFENDANT had discussed with them the
_ 4,
~' ~ Page 19 of 23
Judge's Initials ~ / Affiant's Initials ~~/~/~_~
fact that he had formed corporations in Nevada and had utilized them for
financial transactions. It is the belief of your Affiants, based on this information,
that the DEFENDANT used La Bamba Check Cashing to launder the checks
made payable to Triton Investment by STERN.
Based upon the foregoing, your Affiants have probable cause to believe that the
checks were presented to the DEFENDANT for the purpose of committing the offense of
Unlawful Compensation, a "Specified Unlawful Activity" pursuant to F.S.
895.02(1)(x)(37); that the checks were made payable to "Triton" or "Triton Group" or
"Triton Investment Group" with the intent "to promote the carryng on of specified unlawful
activity" and/or in order to "conceal or disguise the nature, the location, the source, the
ownership, or the control of the proceeds of specified unlawful activity"; and, therefore,
that there is probable cause to believe that the DEFENDANT has committed the offense
of Money Laundering, in violation of F.S. 896.101(3)(x) and F.S. 896.101 (5)(a), a 3rd
Degree Felony.
RACKETEERING INCIDENT #12: $2000 FOR RACING TEAM FUNDRAISER
CRIME: UNLAWFUL COMPENSATION, F.S.838.016, 2"d Degree Felony
In the course of the investigation, your Affiants took a sworn statement under
subpoena of George Phillips (hereinafter "PHILLIPS") a developer and contractor in the
City of Miami Beach since 2004. PHILLIPS advised your Affiants that he met the
DEFEI'JGANT ire 2004 when Their sons were irivoived iii a wrestling match at Palriiettu
High Schoof. PHILLIPS told the DEFENDANT that he had purchased some property
and that he would be ready to start building in the City of Miami Beach at the job site
located at 620-630 85"' Street, Miami Beach. Florida. The DEFENDANT advised
Page 20 of 23
Judge's Initials I/ Affiant's Initials /'-~-/"
PHILLIPS that they would need to "get together", because the DEFENDANT could be
very helpful to PHILLIP over in Miami Beach and the DEFENDANT would make sure
that things "went smoothly" at his job site. According to PHILLIPS, at the time he did not
know what the DEFENDANT meant, and did not know it involved anything unethical or
criminal. PHILLIPS felt that it would not hurt to meet with the DEFENDANT, and so they
arranged to meet for lunch. When they met for lunch, the DEFENDANT suggested that
there were some subcontractors that PHILLIPS should use at his job site. The
DEFENDANT told PHILLIPS that these subcontractors had good reputations on the
beach, that they already had great relationships with the Building Department in the City
of Miami Beach, and wouldn't get held up on inspections and "those sorts of things".
The DEFENDANT handed PHILLIPS a prepared list of subcontractors. According to
PHILLIPS, he hired several subcontractors from the DEFENDANT'S list for the job site
located at 620-630 85'h Street, Miami Beach, Florida. During the meeting, they also
discussed the fact that the DEFENDANT'S son, in addition to being a wrestler, was also
into racing cars. PHILLIPS recalled that the DEFENDANT suggested that PHILLIPS
make a contribution to the DEFENDANT'S son's racing team in the amount of Twenty-
Five Hundred Dollars ($2,500.00). PHILLIPS could not recall the exact language used
by the DEFENDANT, but said that he left the lunch "knowing that I had to make a
contribution to his son's racing team." According to PHILLIPS, he believed that prior to
June 2004, the time that he started the project located at 620-630 85"' Street. Miami
Beach, Florida, he gave the DEFENDANT a check for the racing team fundraiser.
PHILLIPS told your Affiants that he would attempt to locate the check and later provided
your Affiants with a copy of Check No 1 U54 drawn on I ransatlantic Hank, Account
#067011825 in the name of GPA Construction Group: made payable to "Skip Barber
Racing" in the sum of Two Thousand Dollars ($2000.00}. A check of the Internet
revealed that "Skip Barber Racing School LLC" maintains a number of locations in the
~ Page 21 of 23
Judge's Initials Affiant's Initials
State of Florida, including one in Miami-Dade County. Further, the website of the school
indicates that an "Andre Villarreal" of Miami, Florida, has participated in a number of the
racing school's events. According to PHILLIPS, he had other dealings with the
DEFENDANT who was helpful to him in getting necessary approvals from the City. At
one time, according to PHILLIPS, he made cash payments on other occasions either
directly to the DEFENDANT or to others on behalf of the DEFENDANT.
CONCLUSION
It is submitted by your Affiants that there existed an Enterprise within the meaning
of Florida Statute 895.02(3), to wit: the DEFENDANT, ANDRES VILLARREAL, utilizing
his position as Chief Building Code Compliance Officer for the City of Miami Beach, who
engaged in a Pattern of Racketeering Activity within the meaning of Florida Statute
895.02(4), for the purpose of committing the offenses of Unlawful Compensation, Florida
Statute 838.016, a second degree felony, and Money Laundering, Florida Statute
896.101(5)(b), a second degree felony.
Based upon the foregoing, it is the belief of your Affiants that probable cause
exists that the DEFENDANT, ANDRES VILLARREAL unlawfully, intentionally and
knowingly committed violations of Florida Statutes, including Racketeering, in violation of
F.S. 895.03, one (1) count, Unlawful Compensation, in violation of F.S. 838.016, five (5)
counts, and Money Laundering, in violation of F.S. 896.101(5)(b), one (1) count, and
ivloney Laundering in violation of F.S. 890. 101(5}(a}, six (0} counts.
WHEREFORE: your affiants pray that a warrant wi-I be issued commanding all
and singular; Gerald Bailey, Commissioner; Florida Department of Law Enforcement or
~ Page 22 of 23 ,~ ~~ J~
Judge's Initials ~~ Affiant's Initials /~1w
any of his duly authorized Special Agents; all Sheriffs and Police Chiefs of the State of
Florida or any of their duly authorized deputies or officers to arrest ANDRES
VILLARREAL and bring him before the Court so that he may be dealt with according to
law.
~~ -
S ecial Agent Gaylon White
Florida Department of Law Enforcement
Detective Rosa Redruello
Miami Beach Police Department
Detective Alkar Azim
Miami Beach Police Department
STATE OF FLORIDA
COUNTY OF MIAMI-DADE
The foregoing inst ument was
March, 2008 by
identified himself tom and who did
an
JUDGE O,F TH
this / v/ day of
.,..o,.,~~, i,.,~ .who
~ICIT COURT OF ~F~ E~VE~dTM
JUDICIAL CIRC T OF FLORIDA
~ ~ Page 23 of 23 ~'~~ f~~ j,~\ `~
Judge's Initials ~~- AffianYs Initials ~J " I~~