The second week of testimony in the federal trial of former Mayor Jasiel Correia switched focus to the allegations of extortion and bribery in Correia’s issuance of non-opposition letters to owners of recreational marijuana retailers.
David Brayton was the first to take the stand. Brayton received an immunity agreement to testify in the case after initially lying to federal authorities in November of 2018.
Brayton was an investor in Xiphias Wellness, a proposed recreational marijuana business looking to locate in Fall River. He was friendly Correia associate Antonio Costa and in 2016 sought his advice into finding a location for his business. After failed attempts to find a location on North Main Street, the Industrial Park and Shove Street, Brayton settled on using the former Ukrainian Club on Globe Street.
In July 2016 Brayton played a round of golf with Costa and Hildegar Camara — another Correia associate — where a discussion took place on how to obtain the non-opposition letter from Correia. Soon after, Brayton was asked to meet Camara at Dunkin Donuts near the Ukrainian Club. At the meeting, Camara hinted about the bribe but Brayton was interested in dealing with Costa.
At a subsequent meeting with Costa, Brayton was asked about giving a donation, or a bribe, in exchange for the non-opposition letter. The cost was $250,000. Brayton proposed to give $100,000 right away and another $150,000 when the business began making a profit. Brayton testified Costa had spoken to Correia who approved of the terms.
When Brayton gave Costa a check for $100,000 Costa asked that the payment be made in cash. Brayton argued he was unable to secure that amount of in cash.
On this same date the check was received in July of 2016, Xiphias Wellness received a letter of non-opposition. At a later meeting, Brayton agreed to give Costa 2% of the sales proceeds from the marijuana business.
Correia and Costa would later contact Brayton about opening a marijuana facility in Swansea, with the understanding there would be another $250,000 bribe. This never materialized.
Brayton never paid the additional $150,000 or paid Costa 2% of the proceeds as the business did not make a cash profit. Brayton eventually gave up his shares in Xiphias Wellness due to his involvement in this case.
Defense attorney Kevin Reddington used his cross-examination to paint Costa as the mastermind behind the bribe; pointing out the bribe was set up by him and the check was made out to him.
Costa was next to testify.
Assistant U.S. Attorney Zach Hafer began by going over Costa’s immunity agreement to testify in exchange for a lower sentence on guilty pleas to two extortion counts of Brayton and marijuana vendor Brian Bairos. Costa also admitted to illegally trafficking marijuana.
Costa said he paid Correia a total of $50,000 to invest in Correia’s SnoOwl app company. $10,000 was paid via check and $40,000 in the form of cash. Costa did not receive any return on his investment.
Costa confirmed Brayton’s story of the $250,000 bribe for the non-opposition letter. Costa testified he deposited Brayton’s $100,000 check into his personal account, then gave Correia $80,000 in cash and kept $20,000 for himself. Costa also confirmed the story that he and Correia approached Brayton about locating a second marijuana business in Swansea in exchange for a similar bribe.
Costa noted his role as “being the middleman” in the marijuana payment scheme.
On another matter in the case, Costa testified Hildegar Camara told him that Correia could help him with a water issue at his property at 379 Kilburn Street in exchange for “something nice”. Costa offered to give Correia a Rolex watch valued at approximately $7,500.
Costa also testified he rented space on South Main street to Correia to use for his election headquarters. In 2017 Costa met with Correia and chief of staff and campaign manager Genoveva Andrade. Andrade presented Costa with a check from a campaign account for $3,900 to cover rent. Andrade handed over the check and then asked for the money back in cash. Costa said he complied with the request because “I owned property in the city … I had to do it.”
Costa next described his encounter with marijuana vendor Brian Bairos. Hafer included a series of text messages between Costa and Bairos discussing payment for the non-opposition letter.
Costa said Bairos approached him after hearing how he helped Brayton secure his non-opposition letter. Costa testified Correia agreed to get $250,000 from Bairos for the letter of non-opposition. Bairos did not agree to pay the entire amount, rather proposing the payment of $50,000 then get “multiple pounds” of pot that Costa can sell for cash.
In July of 2018, Bairos gave Costa an envelope with $50,000 cash for the initial payment. Costa contacted Camara to forward the $50,000. He agreed to leave the money inside a shed at Camara’s home.
Soon Camara returned to Costa with the envelope of cash. He refused to accept the payment calling the cash “fed money”. In 2018 Costa and Camara had been notified there was a federal investigation underway into Correia’s SnoOwl app company.
Costa said he kept the money as reimbursement for the loss of his investment in SnoOwl. He admitted to “playing both sides”.
Text messages also revealed Bairos had given Costa $67,550 in cash and marijuana for the letter on non-opposition.
Following Correia’s first arrest in October of 2018, Costa said he got $10,000 from Bairos in March 2019. He said he kept the money as Bairos had already received his non-opposition letter.
Reddington used his cross-examination to point out Costa’s legal difficulties and as being more than just a middleman for Correia.
The final witness of the day was Ed Silva, the jeweler who provided Costa with the Rolex given to Correia in exchange for the city performing water-related work at Costa’s property on Kilburn Street.
Silva was also granted immunity to testify while agreeing to make restitution on any outstanding tax liability.
Silva testified he had known Costa since they were kids and were also neighbors and played golf together. Silva also knows Hildegar Camara by being neighbors and sharing time on the golf course.
Silva also knows Correia’s fiance Jenny Fernandes. Fernandes worked for him at two jewelry retailers from 2016 to 2019.
Silva said Correia would frequent the store and during one occasion with Camara became enamored with a pair of Rolex watches. Camara agreed to purchase the watches, which were priced at a combined $16,500. One was for Correia, the other for Camara. Camara paid Silca $12,000 cash for the two watches.
Silva recounted how he gave Costa a Rolex in lieu of rent for his store at one of the buildings Costa owns. That Rolex was subsequently given to Correia in exchange for the water main work.
The trial will resume tomorrow morning at 9:30am.
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