THE INFAMOUS 'JACOB THE JEWELER' TO SERVE 2.5 YEARS IN FED PRISON FOR HIS INVOLVEMENT IN THE 'BLACK MAFIA FAMILY RING.'

Jacob Arabov, better known to bling-loving celebrities as "Jacob the Jeweler," has pleaded guilty to falsifying records and giving false statements to investigators looking into a multi-state drug ring. Terms of the plea deal, entered Wednesday in New York, calls for Arabov to serve up to 46 months in prison and pay a $2 million penalty, U.S. Attorney Stephen J. Murphy said in a news release. In exchange for the guilty plea, prosecutors agreed to dismiss the money laundering charges, according to Arabov's attorney, Benjamin Brafman. "I realize I have made a terrible mistake and I accept the consequences of my actions," Arabov said in a news release issued through Brafman.

As previously reported, Arabov, 42, was arrested in June 2006 after authorities accused him and others of conspiring to launder about $270 million in drug profits for the Detroit-based "Black Mafia Family" ring, which had been active since the early 1990s. The seven-year investigation resulted in the indictments of Arabov and 41 other people. Twenty-eight have pleaded guilty, eight are scheduled for trial Nov. 19 and the whereabouts of six others are unknown.

Federal authorities have said about 1,100 pounds of cocaine and $19 million in cash and other assets were seized beginning in 2000.

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