Jacob The Jeweler Arrested On Money Laundering Charges
June 17, 06
New York’s King of Bling, celebrity jeweler Jacob Arabov, has been arrested on federal money laundering charges. Officers from the Drug Enforcement Administration Task Force arrested the jeweler Thursday morning at his 57th St. store in mid-town Manhattan.
Arabov appeared briefly in court before being released on $100,000 bail, which he paid immediately. Arabov also agreed to turn himself in to authorities in Detroit on July 12.
The jeweler was arrested for allegedly laundering profits for a Detroit-based drug gang called the Black Mafia Family. Arabov was among 16 individuals named in a 13-count indictment. Prosecutors are accusing Arabov, 41, of laundering some $270 million drug money for the gang by turning the cash into jewelry without reporting transactions. The indictment charges Arabov on just one count - "conspiracy to launder monetary instruments."
“It was . . . part of the unlawful conspiracy that Jacob Arabov facilitated the purchase of jewelry utilizing the drug profits,” the indictment noted. Authorities believe the gang has sold more than 476 kg of cocaine since the 1990s.
"We are confident that once the government is advised of all the facts surrounding these issues that all of the charges against Mr. Arabov will be completely dismissed," responded an Arabov spokesman, Paul Wilmont confirming the arrest.
Arabov became known as the ‘King of Bling’ - (bling-bling, a term coined by New Orleans rappers Cash Money Millionaires in the late 1990s). The Uzbek immigrant soon became synonymous with oversized diamond watches and could often been seen with MTV favorites bedecked in his diamond creations. Some even chose their music to shout out their affinity with Arabov, with the jeweler’s name incorporated into the lyrics of songs. Emmy-winning Kanye West even referred to him in his 2005 hit Diamonds from Sierra Leone. “These ain’t conflict diamonds, is they Jacob? Don’t lie to me man.”
Arabov’s celebrity clientele is by no means limited to the hip-hop community with customers including Sir Elton John, Madonna, Brittney Spears and British soccer wonder-boy David Beckham.