Eric Adams

Brooklyn bar owner to file lawsuit, claims he was victim of City Hall-linked shakedown

NBC Universal, Inc.

A bar owner alleging that he was the victim of a shakedown by a City Hall staffer and brother of the former NYPD commissioner is planning to file a lawsuit, as his attorneys claim their client was a victim of a city-linked extortion scheme. Did other bars face similar pressure? NBC New York’s Jonathan Dienst reports.

As New York City Mayor Eric Adams was about to hold a lengthy press conference at City Hall, a potential witness in one of the sprawling investigations swirling around the administration was wrapping up his own news briefing just steps away, alleging he had been the victim of a corrupt “shakedown.”

The owner of a Brooklyn juice bar and nightspot, Shamel Kelly, held his own news conference Tuesday saying he had been the victim of a corrupt scheme involving a mayoral aide and the police department.

Flanked by his attorneys, Kelly said he faced aggressive policing over noise complaints. Seeking help to deal with all of them, Kelly claimed he was connected by City Hall staffer Ray Martin to the owner of a nightlife security business, who told him he could make the complaints go away for a price.

Kelly said he later learned the security consulting company was run by James Caban, the twin brother of former NYPD Commissioner Eddie Caban, who resigned in September.

“I felt like I was being extorted,” Kelly told reporters.

His attorneys alleged it amounted to a shakedown.

"He is cooperating in this federal investigation to find out how wide, how long, how many people are involved," said attorney Bernarda Villalona.

Kelly provided a video showing dozens of officers just outside the door of his Coney Island business for one of the alleged noise complaints, which Kelly’s attorneys said had been provided to federal prosecutors. There had been dozens of noise complaints to 311 about loud music, but the state liquor authority said it had no record of any wrongdoing.

Kelly also showed to NBC New York text messages with Martin and the police commissioner's brother. He said James Caban asked $2,500 to start — and possible rolling payments moving forward. Kelly claims after he declined to pay, enforcement problems grew and he closed his business in February.

"I started to lose a lot of funds due to the excessive harassment. No one wanted to really come to my establishment like that anymore," said Kelly.

"If there's a noise complaint, then you do your job appropriately. What you don’t do is come in, search, go through cabinets, harass," said attorney Harry Daniels.

Sources said there will likely be further turnover on the mayor's team, with Tim Pearson's resignation not enough for Adams to dodge potentially being removed from his position — a situation Gov. Kathy Hochul would like to avoid, according to sources. On Tuesday, the mayor took steps to fill vacancies and insisted he committed no crimes. NBC New York's Melissa Russo reports.

Federal investigators and the city's Department of Investigation have been looking into the allegations.

The phones of Eddie and James Caban were seized by federal agents. A lawyer for James Caban, Sean Hecker, has said his client “unequivocally denies any wrongdoing" and that his liaison work was perfectly legal, adding that when the "investigation is complete, it will be clear that these claims are unfounded and lack merit." Eddie Caban has also denied any wrongdoing.

Martin was fired for alleged wrongdoing after NBC New York first raised Kelly's claims in September. He did not immediately respond to requests for comment.

The NYPD declined to comment, citing the ongoing federal criminal investigations into city hall and the police department.

Adams said he was unaware of the allegations, which were first reported weeks ago, but that “no one should treat a business owner unfairly in any way.”

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