Former NYPD colleague of Mayor Eric Adams at center of alleged straw donor scheme

NEW YORK — An acquaintance of New York City Mayor Eric Adams is at the center of an alleged straw-donor scheme, announced by the Manhattan District Attorney Alvin Bragg Friday, that funneled tens of thousands of dollars in illicit contributions to the Democratic mayor’s campaign.

Dwayne Montgomery is a retired deputy inspector with the NYPD, where he overlapped with Adams before the mayor retired to pursue a political career.

According to an indictment unveiled by Bragg Friday, Montgomery was among six people charged with an elaborate scheme to circumvent campaign finance laws and ply the campaign with cash in the hopes of currying favor for future business deals with the city, once Adams was elected.

The indictment does not implicate Adams or the campaign.

In a statement, a campaign spokesperson acknowledged that Montgomery and Adams know each other from their time at the NYPD, but stressed that many people in the public safety realm were supporters of the campaign.

“Montgomery was a colleague of the mayor in the police department whom he knew socially and worked on criminal justice issues with,” said Evan Thies, a spokesman for the 2021 campaign.

“Dozens of former police officers and criminal justice advocates hosted events for the mayor over the course of the campaign,” he added.

The defendants pleaded not guilty in Manhattan Criminal Court Friday morning.

In 2020 and 2021, when Adams was running for mayor in a crowded Democratic primary, a group of six defendants allegedly plotted to circumvent campaign finance laws to deliver excessive contributions to the Adams campaign.

City statutes limit the amount of money any one person can donate to a candidate. However, the rules also match certain donations with taxpayer dollars, providing a substantial 8-to-1 boost.

In this case, when some of the defendants maxed out their contributions, the DA alleged they orchestrated a system to reimburse family members, coworkers and even random senior citizens for their donations to the Adams campaign, which amounted to tens of thousands of dollars. The effort appeared to be very organized. The defendants threw two fundraisers, at least one of which Adams appeared to be aware of, according to court documents, and used a spreadsheet to track the straw donors and the total lump of cash headed into the campaign's coffers.

On July 9 2021, two of the defendants Dwayne Montgomery and Shamsuddin Riza — whom Bragg says are related — had a telephone conversation July 9, 2021 during which Montgomery stated, "[The Candidate] said he doesn't want to do anything if he doesn't get 25 Gs,” according to court papers. They were apparently referring to a conversation with Adams about a fundraising event.

Riza owns United Construction Brothers Services. Montgomery, is a former NYPD inspector and "director of integrity" for the municipal workers union Teamsters Local 237, according to the Associated Press. They held two August 2021 fundraisers for Adams, according to court papers. One was a virtual event and the second was at a Sunnyside, Queens restaurant.

Evan Thies, a spokesperson for Adams’ 2021 mayoral campaign said “There is no indication that the campaign or the mayor is involved in this case or under investigation.”

“The campaign always held itself to the highest standards and we would never tolerate these actions. The campaign will of course work with the DA’s office, the Campaign Finance Board, and any relevant authorities.”

Bragg spokesperson Danielle Filson said, “The campaign is not charged. The office cannot comment on the status of investigations.”

Attorneys for Montgomery and Riza did not immediately respond to messages.

The ultimate idea behind the alleged scheme, according to Bragg, was to use the illicitly-obtained haul to seek favorable treatment from City Hall once Adams was elected.

“We allege a deliberate scheme to game the system in a blatant attempt to gain power. The indictment charges the defendants with subverting campaign finance laws by improperly structuring campaign contributions,” Bragg said in a statement. “The New York City Campaign Finance Board program is meant to support our democracy and amplify the voices of New York City voters. When the integrity of that program is corrupted, all New Yorkers suffer.”

The indictment quotes a July 2021 phone conversation between Riza and Montgomery where they allegedly plotted how to circumvent contribution limits.

“Well, if they've already done $250 in their names then yes. They're done. It has to be in someone else's name in their household who did not contribute,” Montgomery said, according to court papers.

“Like with me. I got me, my brother, and my son, my wife, and my mother-in-law,” he continued. “If I contribute $250 in my name, say I was a City resident, alright? I get Chanita to write a $250 check. I get, uh, Brandon to write a $250. I get Miss Jackson. So now, you know, so on, now I got four people to write a $250 check. I'm donating $1000 but it's coming in $250 intervals by other members and we get matching funds."

That same month Riza forwarded an email to Montgomery about a construction project called Vital Brooklyn, according to the indictment.

In the email Riza allegedly wrote, “FYI ! This is the one I want , Safety , Drywall , and Security one project but we all can eat ! Please show to him before Event it will start when he's in office."

Also in July 2021, Riza told a relative in a phone call that he would contribute to the Adams campaign on his behalf, the indictment says.

"I'll put the money up for you. I'll fill that motherfucker up, write 470 Lenox Avenue on that bitch, and submit the $250. And your sister will be the one that will be filling out that God damn postal money order,” Riza allegedly said.

Riza was aware that he was committing a crime, according to court papers. In an Aug. 6, 2021 phone call Riza spoke to an individual named Ronald Peek, who allegedly advised him on how to cover his tracks.

“You gotta be careful cause you gotta make sure you do it through workers they trust, that's not gonna talk, because remember a guy went to jail for that,” Peek said, according to the indictment.

Peek’s attorney did not immediately return messages seeking comment.

Also in August 2021, Riza and an accountant for his construction firm named Millicent Redick allegedly discussed “recruiting senior citizens in the Esplanade Gardens area of New York County to serve as straw donors for contributions to the Campaign,” the indictment says.

Redick’s lawyer, Alex Grosshtern said in an interview that his client thought she was involved in legitimate business with Riza and denies the allegations in the complaint.

Finally in late August 2021, Riza and another construction principal, Yahya Mushtaq who runs the Queens-based site safety management company Ecosafety Consultants, Inc. discussed how to use the firm’s employees in the scheme, the indictment says.

Riza allegedly instructed Mushtaq in a phone call, "Alright, even though, even though it says on the flier if you do business with the City, the maximum you can donate is $400 . . . what you want to do, alright, because we're sponsoring the event, we're going to do just like the white boys . . . You could use a straw man.”

Riza continued, “The principals are the ones that do business with the City. Whoever's on the LLC or the incorporation, those are the people that do business with the City. Anybody else is an employee, the employees don't fall under that criteria,” according to court papers.

Mushtaq's attorney, Scott Grauman, denied the allegations in the indictment and said he would "vigorously defend them."