Dwek Sentenced to 4 Years in Prison on State Fraud Charges
State and six-year federal prison sentence to run concurrently.
Solomon Dwek was sentenced in Monmouth County Superior Court Friday to four years in prison for committing corporate official misconduct, one day after he received a six-year prison term in federal court.
Dwek, 40, formerly of Ocean Township, fraudulently obtained $13 million in commercial real estate loans from a New Jersey-based financial institution, Monmouth County Prosecutor Christopher Gramiccioni said in a release.
Dwek was sentenced to six years in prison in Newark federal district court Thursday on charges of bank fraud and money laundering. His federal and state imprisonment times will run concurrently, according to his plea bargain.
Dwek was facing nine to 11 years under his plea deal for his crimes, but his cooperation with federal investigators over the last few years helped him receive a reduced sentence.
Dwek's time as an informant led to the arrest of 46 people, including local government officials and rabbis, such as Rabbi Eliahu Ben Haim of Long Branch and Joseph Kohen, a former mortgage broker from Deal.
In October, 2005, Dwek fraudulently obtained $13 million in loans from a New Jersey-based bank to purchase prime real estate in lower Manhattan. He falsely represented to the bank that once purchased, the property could be resold or flipped at a substantial profit.
Once he received the loan proceeds, Dwek deposited them on Oct. 11, 2005, into an account held by SEM Realty Associates, L.L.C.; a company he controlled and served as its principal corporate officer.
Dwek then used the loan proceeds to make payments to several business entities and individuals to whom he owed substantial real estate-related debts completely unrelated to his Manhattan real estate purchase. These actions led to his corporate official misconduct charges.