| White
Collar Criminal Linked to Black Eye Jones
Got 66 Months & Denied Surrender Delay
By Matthew
Russell Lee, Patreon Maxwell
Book
SDNY EXCLUSIVE,
March 16 - In the U.S.
District Court for the
Southern District of New York
on November 10, a remand or
release to home confinement
proceeding was held by Judge
Loretta A. Preska on a white
collar criminal Derek Jones
after allegations and photos
of domestic abuse to submitted
under seal.
Inner City Press was in the
courtroom and files this
exclusive.
Derek
Jones, a lawyer, was charged
in 2021 with a $4.5 million
fraud using BlueRidge Realty
and venture capital Realize
Holdings. He pled
guilty - then purported
to withdraw his plea. That was
denied, and his sentencing set
for December 13.
While Jones asked to appear
remotely from California for a
November 10 hearing before
Judge Preska, he was ordered
to be present. Inner City
Press went, as did two U.S.
Marshals.
The
Assistant US Attorney had
submitted two 302s, dated
October 18 and October 25,
under seal. But during the
proceeding Judge Preska asked,
What am I to do with these
photos?
Reference was made to photos
of physical abuse, torn
clothes, and to another former
Jones girlfriend who contacted
the government about threats,
as well as to a letter seeming
obtained by coercion.
Jones'
lawyer said this was an
ambush, that his client should
remain at liberty to prepare
for sentencing; he even
offered that Jones would see
no women at all until
sentencing.
The name
of the photographed victim was
given, but Inner City Press is
voluntarily not publishing it
here. The transcript was
ordered sealed. Judge Preska
ordered Jones to home
confinement, other than
activities involving his
children (whom Jones himself
said are ages eight, 10, 12
and 14).
On November 11,
Veterans Day, the US
Attorney's Office filed this:
" Re: United States v. Derek
Jones, S1 21 Cr. 59 (LAP) Dear
Judge Preska: On behalf
of the parties, the Government
respectfully requests that the
Court so-order this letter
reflecting modifications to
the defendant’s conditions of
release. As the Court stated
at yesterday’s conference, the
defendant is now subject to
the following additional
conditions: The
defendant shall remain on home
confinement at all times
except as required to
participate in activities with
his children as permitted
under his and his ex-wife’s
custody arrangement, or to
travel to or from Court
appearances. The
defendant shall not
communicate or have any
contact with the two
ex-girlfriends..." Full
filing on
Patreon here.
On January 17, the sentencing occurred.
Inner City Press went to cover it. Live
tweeted thread here
OK - now at sentencing of white collar
criminal Derek Jones When Derek Jones walked
into the courtroom, he stuck out his hand to a
man in front row, but it was rejected. He
turned and grandly offered greeting to Inner
City Press. Apparently there will be victims
speaking.
More than an hour after the sentencing
proceeding began, after a lot of arguments by
Derek Jones' counsel trying to minimize the
loss amount, now the ruling has begun. Judge:
Mr. Jones engaged in a massive fraud. He did
not own the properties he claimed.
Judge: Derek did not rent the office he
claimed, or have the employees he claimed. His
business was pervaded by fraud. Mr. Jones,
would you like to speak? Derek Jones: Yes. I
understand how I got here. I have misled
investors. I have fallen short of my
standards
Derek Jones: I want to minimize my time away
from my children. I would like to make amends.
As my precociously wise 10 year old says, If
I'm in a cage, I'm of no value to anyone. I
look to the wisdom of the court to fashion a
practical outcome.
Derek Jones, 2 and a half hours into his
sentencing: This is not the time and place to
quibble about the losses. I'd like to talk
about the origins of Blue Ridge. I had worked
in a law firm and was approached by a
client... I ran 1200 apartments
Judge: I am aware of your position that these
were legitimate deals. Derek Jones: I'm
two thirds of the way through. I live humbly,
I live modestly, I feel like I've had my teeth
kicked in. I thank you for your
understanding. AUSA: 7 years of brazen lies.
It's 5:10 pm; finally the man in the
front row, who refused to shake Derek Jones'
hand, gets up to speak: I was introduced to
him by a friend of his ex-wife. He claimed he
had a $110 million real estate fund and that
he already had $100 million. But it didn't add
up
Victim: I am depressed after three hours
of listening to this, about amounts absconded
with. But it's about the abuse of trust. Derek
is smooth, he's slick, he's charismatic. I was
told they had a golf course that sold by $7
million - I was told by Derek Jones
Victim: There was always a story. And today he
comes & moves to shake my hand. He didn't
say, I'm sorry Richard. He could have written
to me. I took time off to come listen to all
this prevarication. Nothing! In 12 step
programs, you have to admit and apologize
Victim: He's using his kids to try to stay out
of jail. If he does, there'll be another
flim-flam. I'm stunned at this whole thing.
Judge: There is a need to protect the
public from this defendant. I sentence you to
66 months.
And on February 27:
"ORDER OF RESTITUTION as to Derek
Jones. It is hereby ORDERED that
Amount of Restitution. DEREK JONES,
the defendant, shall pay restitution
in the total amount of $5,462,733.15
to the victims of the offense charged
in Count One. The names, addresses,
and specific amount owed to the
victims are set forth in the Schedule
of Victims attached hereto as Exhibit
A. Upon advice of a change of address,
the Clerk of the Court is authorized
to send payments to the new address
without further order of this Court.
Consistent with 18 U.S.C. งง
3771(a)(8) & 3664(d)(4) and
Federal Rule of Criminal Procedure
49.1, to protect the privacy interests
of victims, the Schedule of Victims
attached hereto shall be filed under
seal, except that copies may be
retained and used or disclosed by the
Government, the Clerk's Office, and
the Probation Department, as need be
to effect and enforce this Order,
without further order of this Court.
(Signed by Judge Loretta A. Preska on
2/24/2023)(jw)
On March 15,
Jones' lawyer filed with Judge Preska a
request by newly appointed appellate counsel
seeking a surrender delay from March 18 to
April 30. The US quickly opposed it, saying
Jones should be ordered to surrender to
Lompoc Satellite Camp on March 17 before 2
pm. They inform Judge Preska that the case
in which Jones wants to represent himself is
an eviction from a rental residence he
doesn't need to retain.
On March 16,
Judge Preska denied Jones' request:
"ENDORSED LETTER as to Derek Jones addressed
to Judge Loretta A. Preska, from Daniel S.
Nooter dated 3/15/2023 re: Daniel S. Nooter
writes to request adjournment of surrender
date. ENDORSEMENT: Mr. Jones' request to
adjourn his surrender date is denied.
(Signed by Judge Loretta A. Preska on
3/16/2023)."
Watch this
site.
The case is US v.
Derek Jones, 21-cr-59 (Preska)
***
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