A Brooklyn businessman admitted Friday to funneling illegal campaign funds to Eric Adams' 2021 campaign, in the first guilty plea related to the federal bribery case against the mayor.
Erden Alkan, the Turkish-born owner of Williamsburg's KSK Construction Group, was charged in Manhattan federal court with one count of conspiracy to commit wire fraud and knowingly violated the law by helping coordinate a “straw donation” scheme. He told the judge that he did so.
“When we cut the check, we knew that the Eric Adams campaign would use that check to apply for public matching funds,” Alkan said in English while listening to the Turkish translation of the hearing on headphones.
Mr. Arkan repaid campaign contributions to employees of his construction company at the request of a Turkish diplomat who is believed to be at the center of the case against Mr. Adams.
Straw donation schemes are illegal because they are used to circumvent campaign finance restrictions or hide the actual funding of candidates.
“When you did these things, did you know what you were doing was illegal?” Judge Dale Ho asked.
“Yes,” Mr. Arcand, wearing a gray suit, answered quietly.
The federal charges carry a potential penalty of up to five years in prison and a $250,000 fine, but prosecutors told the judge that as part of the plea deal, Arkan could face up to six months in prison. month only and recommended a $9,500 fine. court documents show.
According to the indictment against the mayor, federal authorities allege that Adams personally solicited donations from Alkan and Turkish officials at a dinner in April 2021.
The diplomat allegedly arranged free or heavily discounted luxury travel for Adams, then the mayor of Brooklyn, in exchange for political favors such as expediting the opening of a Turkish consulate.
Adams has repeatedly denied wrongdoing since the charges were dropped in September.
It is unclear whether Mr. Arkan, who agreed to a plea deal last month, will testify against Mr. Adams.
Prosecutors asked the judge to schedule Alkan's sentencing after the mayor's trial, scheduled for April.
Arkan was released on $100,000 bail and ordered to return home for sentencing on August 11. He agreed to pay $18,000 in restitution.
His attorney, Jonathan Rosen, declined to comment on his court appearance.
Adams' attorneys were undaunted by the agreement, saying the government had not introduced evidence related to Arcan to incriminate the mayor.
The deal comes days after federal authorities told a judge they had unearthed “additional criminal activity” by Mr. Adams and his associates, suggesting more charges could be forthcoming.
KSK Construction in Williamsburg was one of the locations federal authorities raided in November 2023, when news of the Southern District of New York investigation first began to become public.
