7/10/2009

in

Jacob the Jeweler loses $2 million in his laundering profits from BMF.

Wiley Taylor

Jacob Arabov, mostly known in the hip-hop world as "Jacob the Jeweler," has forfeited $2 million in illegal proceeds, as a part to his plea agreement for his conviction for laundering the drug profits of a nationwide drug conspiracy network known as the Black Mafia Family.  
  
Arabov is currently sentenced to 2½ years in prison for lying to federal authorities about the ownership of $5 million worth in jewelry seized from Terry Flenory, the co-head of the notorious Detroit drug trafficking organization, Black Mafia Family, that operated throughout the country from 1990-2005.  
  
The Black Mafia Family was founded by Demetrius "Meech" and Terry "Southwest P" Flenory, both brothers, in the early '90s.  
  
The BMF vast and powerful criminal empire drew extensive police attention when the group began publicly promoting themselves in hip-hop circles throughout Alanta, including Young Jeezy's circle, by throwing lavish parties, creating DVDs, and builded a prominent billboard in the city.  
  
In 2005, authorities brought the dismantlement of the powerful organization through drug raids and turning key members into informants. As a result, the Flenory brothers were sentenced last year to 30 years in prison.  
  
Of the $2 million seized from Arabov laundered money, $1.6 million was distributed to seven law enforcement agencies in and around Detroit and, according to law, drug forfeiture money appropriated by authorities can only be disbursed and used by law enforcement agencies.  
  
The Detroit Groose Ile Township, Birmingham, and Livonia police departments received $267,200. The River Rouge Police Department received $198,800 and the Waterford Police Department retained $67,200. The rest, totaling $400,000, was kept by the federal government.