US bombshell vs. Turkey
In a move likely to rock US-Turkish relations, a wealthy pal of President Recep Tayyip Erdogan has pleaded guilty and agreed to testify for Manhattan federal prosecutors against leading Turkish officials.
The feds confirmed Tuesday that Turkish-Iranian gold trader Reza Zarrab took the plea on Oct. 26 and will take the stand in the trial of Mehmet Atilla, the executive of a Turkish government-owned bank who, with other officials, is accused of trading gold for oil, thereby violating sanctions against Iran.
One Turkish official recently called Zarrab a “hos- tage” of the United States — sparking speculation that he might testify about corruption in the highest ranks of the Turkish government.
Manhattan federal prosecutor David Denton said Zarrab will testify that lies told by Atilla “blew a billion-dollar hole in the US economic sanctions against Iran.”
Denton said Zarrab had pleaded guilty to violating US laws and would “tell the inside story and expose the truth behind all those elaborate lies” told by Atilla.
Atilla’s lawyer, Victor Rocco, argued in his opening statement Tuesday that his client was a victim of Zarrab — a businessman so corrupt, he even bribed his New York prison guards in exchange for liquor and women.
“He never saw a bribe he didn’t like,” Rocco said.
Turkish prosecutors recently launched an investigation into former Manhattan US Attorney Preet Bharara, who busted Zarrab, and his successor, Acting US Attorney Joon Kim, amid rumors that Zarrab had flipped.
“Reza Zarrab had every right to fight the charges at trial,” Bharara said on Twitter. “He assembled a ‘dream team’ of lawyers to assist him.
“[But] he has pleaded guilty because he is, in fact, guilty of the charges brought.”