Charges Brought Against Dozens in $15M Marijuana, Gambling Ring

NEW YORK, NY — The state brought an avalanche of charges Tuesday against an extensive criminal enterprise allegedly dealing hundreds of pounds of marijuana in the city. But the ring's dealings didn't stop there, as the nearly two dozen people were charged with a list of crimes including the sale of oxycodone, tax fraud and running a gambling ring.

But the main part of the organization centered on marijuana growth and distribution.

According to prosecutors, the defendants grew marijuana in California and transported it to New York where it was distributed to buyers and sellers generating proceeds of $350,000 per month. The prosecution estimates the defendants made $15 million over the 21-month period from February 2014 to November 2015 in which they were charged.

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"Whether the alleged offer was marijuana, pills, or a return on bets placed through an unlawful gambling operation, the defendants developed a comprehensive system of monetizing illicit activities and trade," District Attorney Cyrus R. Vance said. "In this case, the alleged schemes generated millions of dollars in illegal revenue for the defendants, virtually none of which was reported, and likely all of which went straight into the defendants' pockets."

John Kelly, 52, and Richard Sinde, 51, are singled out as the ringleaders by prosecutors. They were allegedly responsible for coordinating the shipments of marijuana from California to New York.

Destiny Saetern, 32, and Michael Giammarinaro, 43, have been charged with growing the marijuana and mailing it, via the postal service, in 5- to 15-pound boxes. They also are accused of loading hundreds of pounds of marijuana in vans to transport across the country.

Fourteen of the 22 defendants are from New York City, mostly from Brooklyn, including Stephen Gallo, 64, who faces 10 different charges — and 25 different counts — as the primary distributor of the marijuana once it made its way to New York.

The ring also allegedly profited from selling oxycodone. Christopher Alvino, 72, of Brooklyn, provided hundreds of the prescription pills to Gallo for distribution. In two instances pills were sold to undercover NYPD cops.

Gallo was also involved in an illegal gambling ring, according to prosecutors. Gallo made money off Carl Muraco, 52, of Brooklyn, who prosecutors say maintained a gambling website which made $1 million in profits.

Six people had tax fraud charges brought against them for failing to report earnings from the illegal schemes.

Vance said the state will try to reclaim the illegal proceeds and had filed civil charges.

You can read the full list of 46 charges brought against 22 defendants on the District Attorney's website.

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