A Brooklyn businessman, Erden Arkan, who is the Turkish-born owner of KSK Construction Group in Williamsburg, admitted on Friday to being involved in a scheme to funnel illegal campaign contributions to Eric Adams’ 2021 mayoral campaign. This admission marks the first guilty plea connected to the federal bribery case against Mayor Adams. Arkan confessed to one count of conspiracy to commit wire fraud in Manhattan federal court. He acknowledged that he knowingly violated the law by participating in a “straw donor” scheme, whereby he coordinated the reimbursement of employees of his construction firm for their campaign donations, as requested by a Turkish diplomatic official who is allegedly central to the case against Adams.
Arkan, speaking in English and listening to a Turkish translation through headphones at the hearing, stated, “When I wrote the checks, I knew that the Eric Adams campaign would use the checks to apply for public matching funds.” Straw donor schemes are prohibited as they are employed to circumvent campaign contribution limits or conceal the true source of funding for a candidate. When questioned by Judge Dale Ho if he was aware that his actions were illegal, Arkan, dressed in a gray suit, softly replied in the affirmative.
The federal charge Arkan faces carries a potential sentence of up to five years in prison and a $250,000 fine. However, as part of the plea deal, prosecutors recommended a maximum of six months in jail, if at all, and a fine of up to $9,500. Arkan reached this plea agreement with the authorities last month. The indictment against Mayor Adams alleges that Arkan and the Turkish official were solicited for donations by Adams at a dinner in April 2021. The diplomat reportedly orchestrated complimentary or substantially discounted luxury travel for Adams, the former Brooklyn borough president, in exchange for political favors, such as expediting the opening of the Turkish Consulate.
Mayor Adams has consistently refuted any allegations of misconduct since the indictment was unveiled in September. It remains uncertain if Arkan, who agreed to the plea deal recently, will provide testimony against Adams. Prosecutors have requested the judge to schedule Arkan’s sentencing following the conclusion of the mayor’s trial, which is slated for April. Arkan was released on $100,000 bail and is expected to return for sentencing on August 11, agreeing to pay $18,000 in restitution. His attorney, Jonathan Rosen, refrained from commenting as he exited the courtroom.
In response to the deal, Adams’s defense team expressed confidence, asserting that the government has not disclosed any evidence linked to Arkan through discovery that would implicate the mayor. The plea agreement comes shortly after federal prosecutors hinted at impending additional charges, informing the judge that they had uncovered “further criminal conduct” by Adams and his associates. KSK Construction Group’s Williamsburg location was among the sites raided by federal authorities in November 2023 when the Southern District of New York’s investigation was initially made public.