BY KARL VILACOBA
Staff Writer
FREEHOLD – On the eve of NCAA basketball’s Final Four, a former New Jersey Assembly member joined dozens of state residents charged for their involvement with an Internet-based gambling ring that thrived on pro and college sports wagers.
Former Assemblyman Raul Garcia, 43, a Union City resident and its former mayor, became the 51st defendant charged in what was dubbed Operation Thunderbird when he surrendered to authorities Friday. Garcia made an initial appearance before Superior Court Judge Paul Chaiet that afternoon on four charges related to his alleged role promoting gambling and collecting bets. Now a lobbyist in Trenton, Garcia represented District 33 in Hudson County from 1993 to 2002.
More than 300 federal, state and local law enforcement officials descended on some 70 sites across New Jersey March 28 to execute search warrants, freeze assets, seize evidence and arrest those suspected of working with the enterprise. All told, authorities estimate that while monitoring wagering activity between August 2005 and February of this year, over $500 million in bets were placed and over $35 million was lost to the operation.
At a March 28 press conference in Freehold, Monmouth County Prosecutor Luis Valentin detailed the workings of the operation, which was based out of a “wireroom” in Costa Rica. Bettors were able to place wagers by logging on to Web sites with a user name and password or by calling toll-free phone numbers. Valentin declined to specify what the names of the Web sites used were, or whether they were still online.
Although the operation’s Internet presence was maintained overseas, dozens of employees in New Jersey known as managers, agents, controllers and runners were used to take bets and make collections, sometimes using the threat of force, Valentin said. No individual bettors have been charged in the sting, he said.
“Illegal gambling is a quality-of-life crime that may seem harmless, but is often perpetrated by organized and sometimes violent, criminal enterprises,” State Police Lt. Col. Gayle Cameron said in a press release. “This racketeering operation had no government oversight and paid no taxes. It took from society without returning anything.”
Valentin declined to say whether he believes La Cosa Nostra or any other specific organized crime outfit is involved with the operation.
Three men alleged to have been the principals in the operation were charged with financial facilitation of criminal activity, a first-degree crime that carries a maximum of 20 years in jail and $200,000 in fines. The Prosecutor’s Office identified the three partners as Joseph Pasquale, 50, of Brick, Richard Crossan, 48, of Hillsborough, and Ralph Santoro, 52, of Bridgewater.
Over $2 million in cash, 32 firearms and 14 vehicles were seized in the raids, as well as another $300,000 from frozen banks accounts. All of the searches took place without incident.
Pasquale felt the brunt of the sting harder than any other suspect, since $1.5 million of the total $2 million in cash seized in the sting reportedly came from his home alone. In addition, authorities seized his 28-foot Thunderbird yacht (the inspiration for the name Operation Thunderbird) named Risky Business, and placed a forfeiture order on his bayfront home. His wife, Carol, 56, was also charged in the investigation.
According to a press release, 47 people were arrested on March 28 and arrest warrants were filed against 12 others. The defendants were charged with conspiracy to commit financial facilitation of criminal activity, a second-degree crime that carries a maximum 10-year sentence and $150,000 fine; racketeering, a second-degree crime that carries 10 years and $150,000 in fines; conspiracy, a second-degree crime that carries 10 years and $150,000 in fines; and promoting gambling, a third-degree crime that carries five years and $35,000 in fines.
Bail was set at $100,000 for each of the defendants except Crossan, Santoro and Joseph Pasquale, whose bail was set at $1 million.
Valentin said that although his office had struck a “powerful blow” at the heart of the gambling enterprise, the investigation was ongoing and there were more arrests to come.
“We’re not done by any stretch,” he said.
Valentin asked that anyone with information regarding the case contact Lt. James Scully at the Monmouth County Prosecutor’s Office at (732) 577-8700 or Detective Sgt. 1st Class Walter Kavanaugh of the State Police at (732) 431-3610.