Former aide to Eric Adams pleads guilty to soliciting straw donations for mayor’s campaign

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By JAKE OFFENHARTZ

NEW YORK (AP) — A former aide to New York City Mayor Eric Adams pleaded guilty Tuesday to soliciting straw donations in a case tied to separate corruption charges against Adams that the Trump administration ultimately decided to drop.

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Mohamed Bahi, who served as City Hall’s chief liaison to the Muslim community, admitted in federal court that he helped solicit the illegal donations for Adams’ mayoral campaign from employees of a Brooklyn construction company at a December 2020 fundraiser.

“I understood that the Adams campaign would then seek matching funds for those donations,” Bahi told a judge, adding that he knew the employees would be reimbursed and “that it was wrong.”

Bahi, 41, was originally charged in October with witness tampering and destroying evidence as part of a sweeping federal investigation into Adams, culminating in the indictment of the mayor on charges of accepting bribes and campaign contributions from foreign interests in a separate fundraising scheme.

At the time, prosecutors said it was “likely” that others would be charged as part of “several related investigations.”

Then, in February, the Justice Department ordered federal prosecutors to drop the charges against Adams, arguing the case was interfering with the mayor’s ability to assist in President Donald Trump’s crackdown on illegal immigration.

The remarkable intervention prompted protests and resignations from several top prosecutors, including the interim U.S. attorney in Manhattan, who accused Adams of striking a quid pro quo with Trump.

Adams has adamantly denied any wrongdoing and pledged to continue his re-election campaign on an independent ballot line.

But even as the mayor no longer faces legal consequences, it has remained an open question how prosecutors will handle the web of investigations into his inner circle and campaign apparatus.

They have not provided any information about the status of other cases, including investigations that resulted in federal agents seizing phones last fall from the city’s police commissioner, multiple deputy mayors and other close advisers to Adams.

The owner of a separate construction company, Erden Arkan, pleaded guilty in January to funneling illegal campaign contributions to Adams. He is scheduled for sentencing later this week.

Bahi will be sentenced on Nov. 17 on a charge of conspiracy to commit wire fraud. He faces a maximum prison sentence of five years.

Bahi and his lawyer declined to comment as he left the courtroom Tuesday.

A spokesperson for the U.S. attorney in Manhattan did not respond to an emailed inquiry.

A spokesperson for Adams also did not return messages seeking comment.

Crypto mogul Do Kwon, known as ‘the cryptocurrency king,’ pleads guilty to fraud charges

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By LARRY NEUMEISTER

NEW YORK (AP) — South Korean cryptocurrency mogul Do Kwon pleaded guilty on Tuesday to two fraud charges arising from the $40 billion collapse of a cryptocurrency ecosystem that had promised investors their money was safe.

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Kwon, 33, dubbed by some as “the cryptocurrency king,” entered the plea in Manhattan federal court.

According to a plea agreement signed by Kwon and prosecutors, the government said it will not seek a prison term of more than 12 years as long as Kwon complies with the deal’s terms, even though federal sentencing guidelines would have recommended a prison term of about 25 years. Sentencing is set for Dec. 11.

Authorities said investors worldwide lost money in the Singapore crypto firm Terraform Labs’ $40 billion cryptocurrency crash. Kwon co-founded the company in 2018.

The May 2022 collapse came after the company claimed that TerraUSD was a reliable “stablecoin.”

TerraUSD was designed as a “stablecoin,” a currency that is pegged to stable assets such as the dollar to prevent drastic fluctuations in prices. However, around $40 billion in market value was erased for the holders of TerraUSD and its floating sister currency, Luna, after the stablecoin plunged far below its $1 peg.

Kwon was extradited to the United States on Dec. 31 from Montenegro after his March 23, 2023, arrest while traveling on a false passport in Europe.

As part of his plea to one count of conspiring to commit commodities fraud, securities fraud and wire fraud and a second count of wire fraud, Kwon also agreed to forfeit over $19 million, an amount that authorities said reflected ill-gotten proceeds. He’ll also lose his interest in Terraform and its cryptocurrencies.

His lawyer, Sean Hecker, said the plea meant that Kwon had accepted responsibility for making false and misleading statements to investors.

In a statement, the lawyer said his client “takes responsibility for misleading the Terra community.”

In a news release, U.S. Attorney Jay Clayton said Kwon “used the technological promise and investment euphoria around cryptocurrency to commit one of the largest frauds in history.”

He said investors around the world suffered billions of dollars in losses.

Mexico expels 26 cartel figures wanted by US authorities in deal with Trump administration

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By ALANNA DURKIN RICHER and MARÍA VERZA

WASHINGTON (AP) — Mexico has expelled 26 high-ranking cartel figures to the United States in the latest major deal with the Trump administration as American authorities ratchet up pressure on criminal networks sending drugs across the border, a person familiar with the matter told The Associated Press on Tuesday.

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The cartel leaders and other prominent figures were being flown from Mexico to the U.S. on Tuesday, the person said. They spoke on the condition of anonymity because they were not authorized to discuss the operation that was still ongoing.

Those being handed over to U.S. custody include Abigael González Valencia, a leader of “Los Cuinis,” a group closely aligned with notorious cartel Jalisco New Generation or CJNG. Another person, Roberto Salazar, is accused of participating in the 2008 killing of a Los Angeles County sheriff’s deputy, the person said.

Mexico’s Attorney General’s Office and Security ministry confirmed the transfers, which were carried out after a promise from the U.S. Justice Department that prosecutors would not seek the death penalty in any of the cases.

It’s the second time in months Mexico has expelled cartel figures accused of narcotics smuggling, murder and other crimes amid mounting pressure from the Trump administration to curb the flow of drugs across the border. In February, Mexico handed over to American authorities 29 cartel figures, including drug lord Rafael Caro Quintero, who was behind the killing of a U.S. DEA agent in 1985.

Those transfers came days before 25% tariffs on Mexican imports were to take effect. Late last month, President Donald Trump spoke with Mexico President Claudia Sheinbaum and agreed to put off threatened 30% tariffs for another 90 days to allow for negotiations.

Sheinbaum has shown a willingness to cooperate more on security than her predecessor, specifically being more aggressive in pursuit of Mexico’s cartels. But she has drawn a clear line when it comes to Mexico’s sovereignty, rejecting suggestions by Trump and others of intervention by the U.S. military.

The Trump administration made dismantling dangerous drug cartels a key priority, designating CJNG and seven other Latin American organized crime groups foreign terrorist organizations.

Abigael González Valencia is the brother-in-law of CJNG leader Nemesio Rubén “El Mencho” Oseguera Cervantes, a top target of the the U.S. government. He was arrested in February 2015 in Puerto Vallarta, Jalisco and had been fighting extradition to the United States since then.

Alongside his two brothers, he led “Los Cuinis,” which financed the the founding and growth of the CJNG, one of the most powerful and dangerous cartels in Mexico. CJNG traffics hundreds of tons of cocaine, methamphetamine, and fentanyl into the United States and other countries and is known for extreme violence, murders, torture, and corruption.

One of his brothers, José González Valencia, was sentenced in Washington’s federal court in June to 30 years in a U.S. prison after pleading guilty to international cocaine trafficking. Jose González Valencia was arrested in 2017 under the first Trump administration at a beach resort in Brazil while vacationing with his family under a fake name.

Verza reported from Mexico City

Opinion: Radical Municipalism Offers New York a Path Forward

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“Instead of a society organized around enabling corporate profits and giving the market an outsized power over our lives, a government grounded in the theory of radical municipalism addresses the core material needs of its citizens and gives them a voice.”

New York City Hall. The next mayor’s term will start Jan. 1, 2026. (Benjamin Kanter/Mayoral Photo Office)

The recent electoral victory of Zohran Mamdani in the Democratic primary for New York City mayor reflects a growing desire among New Yorkers for transformative change in core areas of everyday life: housing, transportation, and food. His campaign centered affordability and inspired a wave of civic participation—mobilizing new voters, reactivating disengaged ones, and reaching what some have described as “in-between voters.”

While political analysts dissect the dynamics of Mamdani’s campaign, this article highlights an underlying strategy that has long guided social movements: radical municipalism. This approach emphasizes local governance as a site of meaningful political change—an idea gaining traction since the 2008 financial crisis and amplified during COVID-19, when communities turned to mutual aid networks to meet basic needs amid government inaction. The mass protests following George Floyd’s murder further underscored the deep structural inequalities that remain unaddressed at the state and federal levels.

Ongoing neoliberal economic policies, which enable greater corporate power over our daily lives and diminish the government’s role in regulating the market, have only intensified the economic precarity faced by working-class and middle-class families. The wealth gap has grown dramatically in recent decades, exacerbating inequality and disillusionment. 

In this context, radical municipalism—a grassroots political movement grounded in neighborhoods as the principal political unit—has reemerged as a powerful strategy for change. It enables communities, given their proximity to local governance, to mobilize for changes in law and policy. It has become a political strategy for social movements advancing childcare, the Green New Deal, labor rights, and racial justice.

Importantly, this strategy is not new. As far back as 1936, Daniel Hoan, the socialist mayor of Milwaukee, observed that “no unit of government deals more intimately and frequently with the daily life of the average citizen than the local municipality.” Later, theorist Murray Bookchin argued that radical municipalism could dismantle socioeconomic hierarchies and replace them with egalitarian, participatory structures rooted in collective responsibility. 

In other words, instead of a society organized around enabling corporate profits and giving the market an outsized power over our lives, a government grounded in the theory of radical municipalism addresses the core material needs of its citizens and gives them a voice in our little “d” democracy.

Historically, radical municipalism has gained salience in response to national crises—post-Depression, post-civil rights era, and post-2008 economic collapse. The election of Donald Trump further accelerated the embrace of local strategies. In New York, Mamdani’s campaign was propelled by organizing groups like the Democratic Socialist of America, immigrant justice groups such as DRUM and CAAAV, faith-based organizations, and a new generation of politically active Black voters.

Already, Mamdani faces attacks—legal, political, and personal. His opponent, Eric Adams, now running as an independent, has questioned the feasibility of Mamdani’s proposals, many of which will require state support. Because cities are creatures of state law, opponents argue that Mamdani’s agenda may be stymied.

But many of his proposals are not novel; they build on existing city initiatives—like rent freezes, free public buses, and expanded childcare—that have already proven both popular and feasible.  Moreover, because cities across the U.S. have been experimenting with municipal approaches, the legal appetite for greater local control, referred to as home-rule, has been shifting.  Democratic governors like Kathy Hochul would be hard pressed to override or create obstacles for popular proposals among the electorate.  

Over the past two decades, New York City has seen considerable policy innovation through municipal action. I have worked as a lawyer advocating for racial and economic justice throughout this time, including as the general counsel for litigation for the Office of the New York City Public Advocate. More recently, as a law professor, I have studied social movements transnationally, focused on the hyper-local level, investigating what has worked and what are lessons we can learn from past efforts.

I’ve witnessed participatory budgeting, paid sick leave legislation, app-based driver protections, and the adoption of “just cause” laws. In 2022, New Yorkers voted to establish the NYC Commission on Racial Equity, a charter amendment mandating racial equity across city governance. During COVID, state-level advocates secured $2.1 billion for the Excluded Worker Fund, offering support to jobless New Yorkers otherwise left out of federal relief. I’ve seen firsthand how local politics—when energized by grassroots movements—can yield transformative results.

These victories demonstrate that where political will exists, progressive change is possible—especially at the municipal level, and with an activated electorate.

Given this real potential, Mamdani’s critics have resorted to well-worn tactics: red-baiting, conflating democratic socialism with communism, and invoking racist, Islamophobic tropes to undermine his legitimacy. They question whether a Muslim man of color can represent New Yorkers—a tactic historically used to bar people of color from office. False narratives also claim he lacks support among Black voters, despite data showing he performed well in communities where outreach occurred, including my neighborhood in Harlem. 

These fear tactics date back to the founding of our country, which is why our electoral system is based on a representative form of democracy where leaders are elected to speak for the people, rather than direct democracy, where every voice has a say. However, at the municipal level, we have the opportunity to build a political and electoral culture that trust its citizens. Constitutionally, our federalist form of government has reserved powers to states, which is why we have state constitutions. States like New York have also enabled local autonomy through a home rule provision in their constitutions and City Charters.

These attacks obscure what has already been achieved—and what remains possible—through local governance. Mamdani has not ideologically branded his campaign as “municipalist,” but his strategy aligns with its principles: building relationships, fostering trust, and centering community.

We can draw two key lessons from past municipalist movements:

Community-based political education: There is widespread misunderstanding of democratic socialism and Mamdani’s policy proposals. Grassroots education is essential to clarify how such policies—like rent stabilization, Social Security, and unemployment insurance—are part of a tradition that views the state as responsible for ensuring the welfare of its people. These principles trace back to Martin Luther King Jr.’s Freedom Budget, co-authored with labor leader A. Philip Randolph, which called for an end to poverty through guaranteed employment and income. As this article seeks to do, we need to share with the voters concrete examples and proposals from the past, point out where there have been successes, and draw lessons from those wins.

Sustaining the movement through popular assemblies: Mamdani’s campaign engaged over 50,000 volunteers and secured the most votes in a New York primary in history. This momentum should not dissipate after the election. Past campaigns—like those of Barack Obama and Bernie Sanders—struggled to maintain grassroots energy, often redirecting volunteers into institutional or electoral channels. Instead, Mamdani’s campaign can take a page from radical municipalism by creating neighborhood popular assemblies—grassroots forums where community members deliberate and decide on issues affecting them.  The civic momentum that has been generated from the campaign needs to be channeled to local formations.

New York City already has an infrastructure to support this radical municipalism model. The NYC Civic Engagement Commission (CEC), created through a voter-approved ballot initiative, is tasked with supporting participatory budgeting, developing civic engagement programs, and aiding community boards. It offers a ready framework for democratic experimentation and public participation. Community boards, which I have previously served on, can be reoriented to serve as a vehicle for neighborhood-based civic activism within the model of radical municipalism.

At a time when national politics feels gridlocked, cities like New York are sites of bold experimentation. The blueprint for success already exists—built through years of community-led municipal activism. But to realize the full promise of this political moment, we must continue organizing, educating, and building institutions that keep communities engaged beyond the ballot box.

Chaumtoli Huq is a professor of law at CUNY School of Law. Her scholarship focuses on transnationalism and social movements. She has over two decades of experience advocating for low-income New Yorkers and advancing racial and economic justice.

The post Opinion: Radical Municipalism Offers New York a Path Forward appeared first on City Limits.