A New Jersey real estate investor who built a social media following through property seminars faces federal charges for allegedly defrauding investors of millions in a Ponzi-like scheme while laundering drug money and bribing a local official.
Cesar Pina, who operates under the moniker “Flipping NJ,” was indicted Thursday on charges including wire fraud, money laundering conspiracy and bribery concerning programs receiving federal funds, according to the U.S. Attorney’s Office. The Franklin Lakes resident faces up to 20 years in prison on each fraud and money laundering count.
Federal prosecutors allege Pina partnered with a celebrity disc jockey to conduct real estate seminars nationwide, building his social media presence to attract investors. While not named in the indictment, reports have pinned Power 105.1’s DJ Envy as Cesar’s business partner.
Starting in 2017, Pina allegedly solicited funds from individual investors for purchasing, remodeling and selling residential properties in New Jersey and other states. Pina promised returns of 30 percent or higher within four to five months, according to the indictment.
Instead of using investor funds as promised, prosecutors allege he commingled and misappropriated the money, using investor funds to pay earlier investors in a Ponzi-like scheme. He also allegedly spent investor money on unauthorized business and personal expenses.
The scheme defrauded dozens of investors out of millions of dollars, according to federal authorities.
Beyond the investment fraud, Pina allegedly laundered money for individuals engaged in criminal activities, including drug trafficking. He was also caught up in a law enforcement sting operation, according to prosecutors, laundering money he believed came from drug proceeds.
The indictment also charges Pina with bribing a Paterson official in connection with real estate projects. Prosecutors say he provided cash and other bribes to secure official assistance with a project that had pending applications before the Paterson Zoning Board of Adjustment.
The case has expanded beyond Cesar Pina. His wife, Jennifer Pina, was separately indicted recently for allegedly destroying her cellphone as FBI agents arrived to execute a search warrant last March. Prosecutors say she attempted to obstruct the investigation by asking a friend to confront a witness and request they stop cooperating with federal investigators.
Jennifer had previously been charged with similar complaints and appeared before a federal judge in November. The evidence destruction charge carries a maximum penalty of 20 years in prison.