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Breaking News: Will Trump Pardon Sam Bankman-Fried? Polymarket Odds Surge as Traders React to CZ’s Release
Crypto

Crypto Case Cracks Open Police Conspiracy In LA—Details

Christian Encila
by Christian Encila
3 months ago
·
Posted in News, Uncategorized
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

A federal prosecutor in California has charged two Los Angeles County Sheriff’s Department deputies with conspiring to violate people’s civil rights. One of the deputies has already pleaded guilty. Their actions are tied to a crypto entrepreneur known as “The Godfather,” who ran a trading platform called Zort.

Related Reading: Gone Without A Trace: Darknet Bitcoin Platform Vanishes In Suspected Scam

Rodriguez Ran A Warrant Scheme: Court Documents

Rodriguez, 43, admitted that he teamed up with 24‑year‑old Adam Iza to push illegal business. He used his badge to secure a court‑authorized search warrant in July 2022 by telling a judge it was needed for a robbery probe.

That turn of events let him act outside the law. Based on reports, Rodriguez also helped another private security client—unrelated to Iza—with shady favors.

Deputy Rodriguez faces up to 10 years behind bars. He said he took cash and crypto payments. The US Attorney’s Office noted he used his office to carry out work that had no place in law enforcement.

One Los Angeles County sheriff’s deputy charged, another deputy pleads guilty to conspiring to violate civil rights while providing off-duty security for clients https://t.co/qIK0bzZOm6

— US Attorney L.A. (@USAO_LosAngeles) July 14, 2025

Saavedra’s Tracking And Harassment

The same filings show Rodriguez worked alongside Deputy Eric Chase Saavedra. Saavedra used GPS data obtained by Rodriguez to follow a victim. He then threatened and intimidated that person.

Saavedra is free on a $50,000 bond and is set to face a hearing on November 10. He remains under active investigation by the DOJ.

BTCUSD trading at $116,134 on the 24-hour chart: TradingView

Armed Intimidation At Bel Air Mansion

A second deputy, Christopher Michael Cadman, 33, also pleaded guilty. He pulled over a car in Paramount, staged a fake traffic stop, and held a victim at gunpoint outside Iza’s Bel Air home.

The pair forced him to send $25,000 to Iza. Cadman then filed false tax returns in 2022 claiming only $40,500 in income. In fact, he owed $11,000 for the 2021 tax year.

Image: Digital Watch Observatory

Those moves carried large risks. Cadman faces years in prison for armed robbery and tax fraud. His plea deal requires him to cooperate with prosecutors on related cases.

Related Reading: Metaplanet Just Bought 800 Bitcoin—And It’s Not Done Yet

Crypto Payments And Tax Evasion

Prosecutors say Iza’s firm sent roughly $154,900 in payments to at least one officer. Court filings accuse Iza of posing as an FBI agent to seize digital assets by force. Victims include an unnamed man and his girlfriend.

Investigators also allege Iza used shell companies to hide about $1.7 million from the IRS between 2020 and 2022. Iza agreed to a deal with the DOJ in January. He faces charges for tax evasion, conspiracy against rights, and wire fraud.

A hearing is set for December 15. His ex‑girlfriend, Iris Ramaya Au, was charged in March with hiding his income. She could go to prison for three years over her part in what prosecutors call a $2.6 million criminal operation that funded more than $10 million in luxury trips.

Featured image from Getty Images, chart from TradingView

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
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Christian Encila

Christian Encila

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Christian, a journalist and editor with leadership roles in Philippine and Canadian media, is fueled by his love for writing and cryptocurrency. Off-screen, he's a cook and cinephile who's constantly intrigued by the size of the universe.

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