Pair busted by feds in sprawling Manhattan prostitution operation



A Colorado lady and an Israeli man ended up arrested by federal authorities for allegedly operating a sprawling, large-stop prostitution ring that operated in Manhattan, authorities mentioned Tuesday.

The suspects, Tracy Reynolds and Izhak Cohen, allegedly laundered far more than $10 million by way of thousands of financial institution accounts and money establishments in the US and overseas, according to federal prosecutors from the Southern District of New York.

Reynolds and Cohen allegedly set up their prostitution company, called “VIP Escorts,” in 2012 and arranged for prostitutes to meet clients in Manhattan and other spots across the country, prosecutors claimed in a statement.

Immediately after the prostitutes charged the consumers thousands of bucks for sexual intercourse function, they deposited their earnings into thousands of unique lender accounts managed by Reynolds, authorities stated.

Much more than $10 million in overall was handed through accounts owned by Reynolds in the prostitution operation, in accordance to prosecutors.

Reynolds then allegedly passed far more than $1 million to Cohen in Israel in smaller amounts to disguise the transactions.

Reynolds was arrested in Florida Tuesday early morning at Tampa Worldwide Airport though boarding a flight to Mexico. Cohen was taken into custody by Israeli authorities, and federal authorities are seeking his extradition to the United States.

They have been just about every hit with money laundering and a conspiracy demand and deal with a highest of 60 a long time in jail if convicted.