Rabbi Shmuley Boteach's Family Linked To Illegal Arms Dealing, Money Laundering, Conspiracy, Fraud and Assault

In court documents translated from Hebrew, Shlomo stated he was moving the money to Israel so that Judith Boteach couldn't access it during the palimony dispute. But the State of Israel alleged that the money was wired in small batches so that it could be slipped past authorities.

Arms Merchants of South Central
Did the rich and intrigue-filled Botach family get a pass from Henry Waxman?
Penn Bullock • LA Weekly

The Botach family of Los Angeles is among the more unusual of the very rich. Yoav Botach is a wealthy landlord. He founded, and his son now owns, an arms dealership in an unsettling locale for one: South Central. And his grandson was convicted of conspiracy for peddling to the U.S. Army decomposing ammunition — so old that it was traced to the factories of Mao Tse-tung — as part of a $300 million contract to arm the Afghan government.

But what is also startling in the weird saga of this prominent L.A. family is the silence of Congressman Henry Waxman of Beverly Hills, who led a congressional investigation into the ammo fraud and vowed to get to the bottom of it.

As Waxman said, his inquiry in 2008 aimed to answer a fundamental question: How did Botach's inexperienced 21-year-old grandson Efraim Diveroli "get a sensitive, $300 million contract to supply ammunition to Afghan forces?"

Two years later, Waxman refuses to speak about it with L.A. Weekly. But with an ugly palimony suit simmering in L.A. between family patriarch Botach and his common-law wife, Judith Boteach, she's now talking. And she points to a contract that may link the South Central arms firm run by Botach's son, Bar-Kochba Botach, to the grandson's disgraced firm, AEY Inc., in Miami Beach.

Yoav and Bar-Kochba Botach refused to comment on Boteach's allegations when contacted by the Weekly. (Boteach explains to the Weekly that she spells her last name differently because Botach changed his name for simplicity.)

According to Boteach, Diveroli, her step-grandson, who is awaiting sentencing from Judge Joan A. Lenard in U.S. District Court in Miami after hawking the Mao-era material, spent summers as a teen doing odd jobs at Botach Tactical, the firm in South Central. She says a 2004 federal contract granted to Botach Tactical implies another connection: On the contract, the Botach firm lists its address as young Diveroli's AEY address — in Miami Beach.

Botach Tactical sells arms to U.S. police and military forces, as its Web site advertises. Last year, among other revenue, it took in just less than $6 million in federal defense contracts, according to USASpending.gov.

A profile of the company discovered by blogger Lindsay Beyerstein and cited on Fedvendor.com — a Web site for companies interested in contracting with the government — lists Botach Tactical's physical address as 3423 West 43rd Place in South Central L.A. But the profile identified its mailing address as 925 41st Street, Suite 306, Miami Beach — again, the mailing address for Diveroli's fraud-mired AEY Inc.

Waxman's silence on Diveroli's fleecing of the Army comes as the palimony case between Boteach and Botach plays out, from Los Angeles to Israel.

In March 2006, the State of Israel accused Botach's brother and business partner in L.A., Shlomo Botach, of "using professional money launderers" to transfer $860,000 from the U.S. through Swiss and Uruguayan banks to an account in Israel, code-named "Ezra 26." The court case covered transfers totaling $331,000.

In court documents translated from Hebrew for the Weekly, Shlomo stated he was moving the money to Israel so that Judith Boteach couldn't access it during the palimony dispute.

But the State of Israel alleged that the money was wired in small batches so that it could be slipped past authorities.

Though the documents show that Shlomo claimed he was acting on Botach's behalf, Botach is not accused of any wrongdoing.

Nevertheless, the documents shed light on how the broader business is conducted: "Yoav is the one that handles the financial end of the partnership," Shlomo states in the documents, insisting he would "not question the head of the family [Yoav] with regards to the financial decisions he makes."

It may be that L.A. politicians worry about their relationships with wealthy arms merchants and landowners. In 2006, the L.A. Daily News reported that Botach co-owns the South Central arms firm — and 144 commercial properties across L.A.

"Some are restaurants, garages, buildings where they manufacture clothes," Boteach says. "A lot of them are small businesses, and some are apartment buildings."

She says that Botach lives in Waxman's 30th Congressional District, and that her estranged husband wields influence with politicians. "[Yoav] supports a lot of the City Council members and the governor. There were special lunches, dinners and fund-raisers."

The connections could be seen last year, when Mayor Antonio Villaraigosa and City Council President Eric Garcetti attended the Beverly Hills launch of the star-studded charity Turn Friday Night Into Family Night, founded by Rabbi Shmuley Boteach, the former spiritual adviser to Michael Jackson.

Shmuley is Botach's son, Judith Boteach's stepson, and Diveroli's uncle. A video of Villaraigosa touting Turn Friday Night Into Family Night is featured on its Web site.

Judith Boteach tells the Weekly that life with Botach was a "total nightmare," even as he hosted world leaders, including former Israeli Prime Minister Ariel Sharon.

After Botach's 2002 split from Boteach, a former Hollywood makeup artist, she claimed she was unaware they had never been legally married. Botach's lawyers insisted Boteach knew they were not married.

In August 2009, L.A. Superior Court Judge Warren Ettinger upheld her claims of assault, battery, emotional distress and unpaid work, and awarded her $250,000 plus legal costs, but rejected her palimony claim.

Her attorney, Robert W. Hirsh, declared to the Daily News in 2006: "We would not be surprised if [Botach's] net worth is $700 million." Yet Botach is appealing to force her to cover his legal bills. Hirsh calls the appeal frivolous and says, "We are now taking steps to enforce the judgment."

Not everyone is buying brother Shlomo Botach's explanation for why he was moving money to Israel. In 2006, Jaffa District Court Judge Kobi Vardi in Tel Aviv called his stated reason — that he was keeping it out of Boteach's hands — an "unacceptable fabrication."

Vardi said Shlomo Botach was part of a "sophisticated and well-lubricated organization" that intended to launder money.

Shlomo argued, "They didn't intend to hire shady characters for the purpose of transferring funds to Israel ... as it is 'clean,' legitimate money derived from their business in the USA." But in May 2006, the Israeli judge ordered that half of the cash be confiscated.

The Botach family soon took another blow: Diveroli emerged as the owner of an arms firm, AEY Inc., in Miami Beach, which appeared on a U.S. Department of State watch list for contract fraud and violation of the Arms Export Control Act.

Despite this, the tiny firm was awarded the $300 million U.S. Army defense contract that made it the main supplier of ammo to the Afghan government.

The Waxman-led congressional investigation later found that AEY had previously been caught selling the military "junk." The fact that young Diveroli subsequently won a key Army contract involving Afghanistan was "a case study in a dysfunctional [federal] contracting process," investigators found.

According to The New York Times, Diveroli purchased some ammo in Albania. It was marked for destruction by NATO, manufactured by Mao Tse-tung and found in moldy crates marked "Made in China," U.S. inspectors found. He and three employees were indicted on numerous counts of fraud and conspiracy.

Incredibly, while awaiting trial, Diveroli completed two more U.S. defense contracts for about $10 million, according to Glenn Furbish, a federal official.

Diveroli was found guilty in August 2009 of one count of conspiracy. Diveroli referred questions to his lawyer, who did not respond to the Weekly's e-mailed inquiry.

Bar-Kochba Botach, the current owner of Botach Tactical, complained to The New York Times that Diveroli, after working for him as a teenager, "just left me and took my customer base."

The Weekly asked him about documents in which Botach Tactical's address matches that of Diveroli's firm in Miami. "No comment," he says.

Boteach sums up Waxman's failure to figure out how her step-grandson defrauded a sophisticated power like the federal government: "He was a kid. He was a kid!" she says.

Comments

[seymour]

sad another frummie involved with fraud.

FM you need to find new news this is becoming so common like a cold.
A real story would be frum owner pays his workers on time and pays overtime to his gentile workers.

of course he will, be shunned by the community then

[Shmarya]

FM you need to find new news this is becoming so common like a cold.
A real story would be frum owner pays his workers on time and pays overtime to his gentile workers.

I wish!

[Mr. Apikoros]

I never could stand Shmuley Boteach. He's nothing more than a pompous publicity-seeker, as evidenced by his self-proclaimed title, "America's Rabbi." Heck, he isn't even Michael Jackson's rabbi, not that the Gloved One needs one in his present abode.

Schmuley is no more "America's Rabbi" than the Atlanta Braves are "America's Team." The real "America's Team" plays its home games about 800 miles to the north-northeast, and I'm not referring to the Mets.

Nonetheless, the relationship between Botach and Boteach appears tenuous at best. Nothing here, folks, please move on.

[A. Nuran]

MA, "America's Team" is the Green Bay Packers. They're owned by their hometown, not by one of a select club of the unimaginably rich. In fact, that's exactly why the NFL made a club rule that no more municipalities could own franchises.

[I have a crush on Schmuley]

I knew Schmuley was too good to be true

[Radical Feminist]

Schmuley is no more "America's Rabbi" than the Atlanta Braves are "America's Team." The real "America's Team" plays its home games about 800 miles to the north-northeast, and I'm not referring to the Mets.

Not anymore they don't they moved to Los Angeles remember he he he

[jj]

What does all this have to do with Shmuley?

[Torah Tom]

There really is nothing on this blog that would surprise a careful reader of "Mein Kampf" or "Table Talks" by the same author. It's all there -- and here -- crooked Jewish arms merchants; Jewish sexual deviants operating under cloak of cloak; tax cheats; Wall Street cheats; sacred texts that purport to teach them that goyim are subhuman (or at least sub-Jewish); assertions that Jews are unwilling to do real work, especially if they are really Jewish and "learning" all the time. And apparently it is all true! All that remains up for discussion is the relative frequency of these traits versus say, among White gentile people.

[Isa]

""""++++

FM you need to find new news this is becoming so common like a cold.
A real story would be frum owner pays his workers on time and pays overtime to his gentile workers.

I wish!

Posted by: Shmarya | August 06, 2010 at 02:28 PM """""+++++

ISA TO THE RESCUE!!!!!!!!!!!!!!!!!!!!!!!

There was this fellow in my Orthodox shul of old, Herbert Joshua [1904-2000] had a business producing food toppings and developed non-dairy ice cream. I was invited over to his house for Shabbos along with some other people a couple of times in the mid 1970s. He emigrated from Germany in 1937.

Fast Forward to 2003, I am unemployed but in a Technical College to get yet another technical degree. I have a lab partner in this class. His father worked for Herbert Joshua at Food Producers till it was sold to Beatrice Foods in the late 1970s. All the workers LOVED the guy, why? Because he gave with pay (!) ALL the Jewish holidays off providing the holidays occurred Monday thru Friday. Herbert Joshua did not work on Yom Tov and NEITHER did his workers. Herbert Joshua wore a kippa at work too.

So what sort of influence do you think Herbert Joshua had on his workers? Do you think for one moment that any of them would fall prey to anti-Semitic ravings? Certainly his workers would even stick up for their boss on occasion.

What if the opposite was true? Treated his workers as ‘sub-humans’ cheated them out of pay, force them to work extra without overtime, forced them to work on THEIR holidays (Xmas, Easter) etc, etc and etc. What sort of influence would such an evil boss have?

[Mr. Apikoros]

Fuck Green Bay. Go Bears!

[Menachem Mendel lll]

Wait...The Rebbeh has not be formally charged or convicted of a crime and is therefore presumed innocent until proven guilty (as with the case of Rubashkin) EVEN within the goosipy, busy body yenteh and lashon Hara frummie velt.

However, just to be safe let us err on the side of caution. I would therefore like to quote Yosseleh before the Romans put on the tseylem since if these allegations are true he will need all the help he can get and not just from a uber briliant criminal lawyer & The Abhishter.

"Father forgive them, for they know not what they do."

Shabbbesss is only minutes away!

[chaim1]

pleased that this week you all kept shabbos.
Shmarya i think you should put the candle lighting time on your blog on friday.

[David]

Hello chaim1,

1) People post to this blog from all around the world and the time stamps are set for East Coast USA, not the local time when someone posted so they are not necessarily posting on Shabbos.

2) I would have no objection to Shmarya posting Shabbos times for different locations around the world but this would not be practical and it might be better to provide a link somewhere.

3) Your concern about whether people have kept Shabbos or not is indicative of the problems that Shmarya posts about. For the Charedim the ultimate crime they can commit might be to break some aspect of Shabbos or to (quote WSC) eat a strawberry or wear a blue shirt but it would go without notice that a charedi individual might commit serious sexual or financial crimes.

[Menachem Mendel lll]

I am violating Shabos to remind you that it officically ends @ 8:50 PM + 31 seconds for a quicky Haav-do-leh.

[Mr. Apikoros]

Oooh, Chaim1, you posted on Shabbot. (It's 4.46 PM Central Time, which is 5:56 PM Eastern Time). I'm telling Moschiach.

[Miami girl]

I don't see why you assume that this guy is frum Shmuely Boteach is a Baal Tshuva. This man left his mother an agunah for many years. You may not like everything Rabbi Boteach does, but you can't blame him for what his estranged family does.

[moshe]

met hm when he was working with uri geller. than, as now he was and probably remains a ...

[effie]

Posted by: chaim1: pleased that this week you all kept shabbos.

I didn't. But I also did not act like an enabler for criminals like some people here who do keep shabbos.

[effie]

Isa: You've mentioned that story many times and I always find it fascinating. My college roommate was in marketing and she had to write some kind of long paper on a company. She gave it to me to read and I am pretty sure it was the same one. Did they also make ice cream toppings?

[Abracadabra]

A real story would be frum owner pays his workers on time and pays overtime to his gentile workers.

I work for a guy like this. Most of his employees are non-Jews. He is a real mentch when it comes to how he deals with non-Jews. He always pays on time. He pays them above-the-standard salaries. He gives generous bonuses for the Christmas holiday. He is generous with sick days and personal days off. He always goes the extra mile to avoid a dispute with anyone, but especially with a non-Jew. And he is not wealthy, his business struggles. But he believes in doing the right thing by others.

Of course he is Modern Orthodox and not Chareidi...

[Shmarya]

Did they also make ice cream toppings?

Yes.

And, BTW, Herbert Joshua was Modern Orthodox, not haredi.

[chaim1]

yes the ultimate crime in gods eyes is to desecrate the shabbos.
And all you bragging here how clever you are that you break the shabbos are doing the ultimate crime.
Its always the same lot or should i say rabble.
Why you lot must come on an orthodox blog i know not. dont unorthodox ones exist?
or is this the only one that approves having a protestant shiksa about whom youre all jealous or proud of?
well it does surprise me what she can find in a jew what she cant find in her own. unless......
there may be some point in it. you lot are just not worthy to have jewish children
so at least you dont slurry them with your chillul shabbos and treifos.
its the end of the line (lineage) for you and a good thing too.

[Shmarya]

yes the ultimate crime in gods eyes is to desecrate the shabbos.

Shoteh! Fool! Idiot!

The ultimate crimes in God's eyes are idol worship and murder.

What an ignorant, pompous, presumptuous buffoon you are.

[chaim1]

thanks for the accolades!
theyre increasing all the time.
the ulitimate crime is one which one gets stoned for.
for murder one doesnt get such a terrible punishment apparently in gods eyes its not as bad as chillul shabbos,.
Dont ask me i dont know but thats how it is.
now you can call god all the names you have called me

[chaim1]

Dont ask me WHY I dont know but thats how it is.

[Mr. Apikoros]

Let he who has not sinned cast the first stone, Chiam1.

Now go take your dose of Abilify like a good boychikel.

[chaim1]

well that certainly isnt you!

[A. Nuran]

Shmarya, you forgot incest.

[Reader]

To: MM3
A hint to help your writing look more authentic:
it's Yoshkeh, not Yosseleh.
And the frum are not in the habit of quoting from the New Testament even before Shabbbesss!

[Reader]

Or should I say ESPECIALLY before Shabbbesss!

[chaim1]

http://morethodoxy.org/2010/08/03/chilul-hashem-vs-kiddush-hashem-the-clinton-mezvinsky-wedding-rabbi-asher-lopatin/#comments

I would advise everyone on here to look at the comments there.

[Mr. Apikoros]

"Now go take your dose of Abilify like a good boychikel..."

-- Mr. A.

"Well that certainly isn't you..."

-- Chaim1

You're absolutely right, Chaim1. I don't take nor need anti-psychotic medication.

[Shmarya]

the ulitimate crime is one which one gets stoned for.
for murder one doesnt get such a terrible punishment apparently in gods eyes its not as bad as chillul shabbos,.

If a man holds a gun to your head and orders you to break Shabbos, can you do it?

Yes, you can, and yes, you should break Shabbos.

If a man holds a gun to your head and orders you to worship an idol, can you do it? What he orders you to kill an innocent person? Can you do it?

Process little shoteh, process.

[Menachem Mendel lll]

@ Reader

I admit in open court that my spelling is atrosious. I make no excuses fo it and I am guilty as charged!

WRT my yiddish spelling, I try to shpell the words as I pronounce them in it's raw mamaeh looshen poylisheh ehkcent plus throw in my horrific spelling that you are now so familiar with it looks like a retard freak wrote it which me is.

This is why I end many a post with Moschiach!

[chaim1]

well you shmarya as usual dont read what i say. i said the punishment is worse.
the reason for shabbos is because you should keep more shabbosos.
the reason for the gun is because if a person has to be killed anyway whose blood is redder.
god is now only a little shote well progress from you.

[danny]

Another Chilul Hashem involving Department of Defense contracting with shady arms dealers for ammo (or body armour) in Afghanistan.

[Shmarya]

well you shmarya as usual dont read what i say. i said the punishment is worse.
the reason for shabbos is because you should keep more shabbosos.
the reason for the gun is because if a person has to be killed anyway whose blood is redder.
god is now only a little shote well progress from you.

You really are quite dense.

No one (but little shotah Chaim) says Shabbos is the most important mitzvah.

Not worshiping idols and not doing intentional irreversible harm – like murder – are without question more important.

Not worshiping idols is the fundamental lo ta'ase mitzvah of the Torah. The fundamental positive mitvah is to acknowledge God's oneness.

That little shoteh Chaim doesn't know this calls into question whether little shoteh Chaim knows anything at all.

[chaim1]

Not worshiping idols and not doing intentional irreversible harm – like murder – are without question more important.

please reply to what i write if youre able or not at all 'shtika khoidooh'

name the punishments for each.

worshipping idols
killing someone
mechalel shabbos.
arayos let us say anothers wife.

[Shmarya]

You are an absolute shoteh and a disgrace to any cheder, misivta and yeshiva you studied in.

You wonder why rabbis don't hold like you?

Here's the answer, Chaim: It is because you are a complete idiot.

[chaim1]

Thanks again
i suppose its your blog, that gives you the right to even call god names.

no rabbis dont hold like me that you're right. see my other posts.
and the disgrace is theirs.

you have to realise that its not only your posters here who keep nothing its the so called ultra orthodox ones. who sanction chillul shabbos and give a hechsher on their treifa chickens. although i think they stop at protestant shiksas. but seem to sanction almost everything else. your blog is full of it, child molesting etc.
they are much worse than your posters here and i have no respect for any of them.

[WoolSilkCotton]

Chaim1, please check the calendar.

The year is 2010, or 5770 if you go by that. We are no longer in the Dark Ages. People nowadays- outside of uberorthodox ghettos- think for themselves, make decisions, and are no longer afraid of the boogeyman.
All of your psycho rantings about 'which sin is worse' are idiotic baloney that nobody on the planet gives a crap about anymore.

If you want to keep Shabbos, with all the latest chumras and the strictest of the strictest prohibitions, you are welcome to do so.

If you insult others because you think their lack of Shabbos observance is somehow a reason to ridicule or badmouth them, you are simply an ass.

[chaim1]

no i am simply being jewish

[harold]

A real story would be frum owner pays his workers on time and pays overtime to his gentile workers.

I wish!

What racist talk! To state that ALL frum employers do not pay their workers on time. Yech!