LOS ANGELES (KABC) — Federal authorities are searching for a music executive who allegedly leveraged his connections with a South Los Angeles street gang to run a vast “mafia-like organization.”
Eugene Henley Jr., 58, also known as “Big U,” has been charged with conspiracy to violate the Racketeer Influenced and Corrupt Organizations (RICO) Act.
The Department of Justice said he ran “a criminal enterprise” that committed a series of racketeering crimes, including extortion, human trafficking, fraud, and the 2021 murder of an aspiring rap musician.
Two other alleged members of the organization – Sylvester Robinson, 59, aka “Vey,” of Northridge, and Mark Martin, 50, aka “Bear Claw,” of the Beverlywood area – were arrested Wednesday on the same criminal complaint in which Henley is charged.
Robinson and Martin are expected to make their initial appearances Wednesday afternoon.
Henley is considered a fugitive.
“The allegations in the complaint unsealed today reveal a criminal enterprise that engaged in murder, extortion, human trafficking, and fraud – all led by a supposed anti-gang activist and purported music entrepreneur who was nothing more than a violent street criminal,” said Acting United States Attorney Joseph McNally. “Eliminating gangs and organized crime is the Department of Justice’s top priority. Today’s charges and arrests target the leadership of this criminal outfit and will make the neighborhoods of Los Angeles safer. I am grateful for the work of our prosecutors and law enforcement partners.”
The DOJ said 10 Rollin’ 60s members and associates who were arrested Wednesday are also facing federal charges, including drug trafficking, racketeering conspiracy, and firearms offenses.
Four of them were already in custody, the DOJ said.
Meanwhile, authorities are looking for five other defendants – three of whom are expected to be in custody soon. Two defendants, including Henley, are considered fugitives.
Henley allegedly ran “mafia-like organization” in Los Angeles
According to the DOJ, since 2010, Henley’s “Big U Enterprise” group operated as a “mafia-like organization” that used his association with the Rollin’ 60s and other street gangs to intimidate businesses and individuals in L.A.
Henley is widely regarded as a leader within the Rollin’ 60s and rose to prominence in street gangs during the 1980s, the DOJ said.
“While the Big U Enterprise at times partnered with the Rollin’s 60s and other criminal elements for mutual benefit, the Big U Enterprise is a distinct and independent criminal enterprise engaged in criminal activity including murder, extortion, robbery, trafficking and exploiting sex workers, fraud, and illegal gambling,” said the DOJ a press release.
Alleged murder of up-and-coming rapper in 2021
The DOJ said in January 2021, Henley allegedly murdered a man – identified in court documents as “R.W.” – an aspiring musician signed to Uneek Music, which is Henley and Martin’s music label.
Shortly before the rapper’s death, Henley and Uneek Music paid for R.W. to travel to Las Vegas to record music at a Grammy Award-winning music producer’s studio, the DOJ said.
However, authorities said R.W. did not record at the agreed-upon rate and instead recorded a defamatory song about Henley, causing Henley and Robinson to travel to Las Vegas to confront him.
Henley allegedly drove the rapper to North Las Vegas, shot him in the head, and dragged the victim’s body off Interstate 15 into the desert and left it in a ditch.
Henley returned to L.A. with Robinson and ordered studio workers to leave while his associate removed security surveillance footage from the studio, according to the DOJ.
Henley allegedly later ordered witnesses to not speak with law enforcement about the rapper’s murder.
Alleged COVID fraud
The DOJ also said Henley allegedly submitted a fraudulent application for a pandemic relief loan in which he claimed that Uneek Music was operating at a $200,000 profit in 2019 despite operating at a $5,000 loss that year.
His group also allegedly defrauded donors to nonprofit entities under the control of the Big U Enterprise, including Henley’s charity, Developing Options, which would help young people stay away from gang violence and drugs.
The DOJ also claims Henley embezzled large donations that celebrities and companies made to the nonprofit, which Henley would put in his personal bank account.
According to the complaint, Developing Options is primarily funded through the City of Los Angeles’s Mayor’s Office through the Gang Reduction Youth Development (GRYD) Foundation, portions of which receive federal funding, but also receives donations from prominent sources, including NBA players.
“The RICO charges against Mr. Henley and his associates reflect a pattern of crimes that runs the gambit from extortion to tax evasion, all under the umbrella of a well-organized criminal organization led by Mr. Henley,” said Special Agent in Charge Tyler Hatcher, IRS Criminal Investigation, Los Angeles Field Office. “Additionally, Mr. Henley allegedly duped the County of Los Angeles by running a charitable organization that promoted anti-gang solutions while continuing criminal activity that was directly contrary to his charity. IRS-CI is proud to partner with fellow law enforcement organizations to investigate these criminal organizations to protect our communities from further harm.”
If convicted, Henley would face life in prison. If convicted, Robinson and Martin would face a maximum sentence of 20 years in federal prison.
City News Service, Inc. contributed to this report.
