BEVERLY HILLS—The results of the criminal trial against storekeepers of U.S. Private Vaults Incorporated were announced on Thursday, March 3, which is allowing for a plea bargain with no prison time served.
Store owners, Mark Paul and Michael Poliak, entered a plea deal with the U.S. Attorney’s office in Los Angeles. Paul and Poliak admitted to conspiring with customers for the purpose of laundering drugs, money, jewels, and precious stones.
The twosome acknowledged that they enlisted drug dealers and other criminals as customers and then used the revenue to run the business. The company reportedly also sold cocaine and instructed their partners on how to structure or layer the cash transactions to avoid suspicion and comply with currency regulations.
The U.S. The Attorney’s Office in Los Angeles has agreed not to file criminal charges against Paul and Poliak. This decision countered the new policy of the Department of Justice demanding prosecutors hold individuals found guilty of corporate crimes accountable.
Assistant U.S. Attorney Andrew Brown led the investigation labeling 800 customers doing business with U.S. Private Vaults Inc. as criminals. None of them will be charged.
U.S. Private Vaults Incorporated, located on 3182 Olympic Boulevard in Beverly Hills closed its doors in March 2021 after federal agents executed a search warrant taking custody of all of the safe-deposit boxes. Agents confiscated weapons, drugs, precious metals including gold, jewelry, and $86 million in cash.
The U.S, Attorney’s Office and the FBI are seeking to keep the contents of the seized 386 safe deposit boxes. The judge who approved the search and seizure of the boxes insisted that each box not be searched, but rather identify the owners of each box.
Michael Poliak and his daughter, Gabrielle Poliak reportedly contested the court’s decision to confiscate the contents of the boxes as they had $1.5 million of funds seized from their own safety deposit box. The Poliak’s chose to forfeit the funds without confirming, denying allegations that it was indeed drug money or disclosing where the money came from.
There is a sign on the door of the now closed business for customers who would like to retrieve their items to contact the FBI.
