The U.S. Department of Justice announced on March 16 that former Los Angeles County Sheriff’s Department (LASD) Deputy Sheriff and helicopter pilot Michael David Coberg was sentenced to 63 months in federal prison and ordered to pay $127,000 in restitution for assisting a jailed cryptocurrency scammer in extortion and false arrest operations.
Former Officer Colludes with “Crypto Godfather,” Earning at Least $20,000 Monthly
According to a press release from the U.S. Central District of California Federal Prosecutor’s Office, 44-year-old Coberg, residing in Eastvale, admitted in September 2025 to conspiracy to commit extortion and conspiracy to violate civil rights. Prosecutors stated that at the time, Coberg was still employed by LASD but secretly worked for 25-year-old Adam Iza, who is now in federal custody. Iza claims to be a cryptocurrency entrepreneur but is involved in fraudulent marketing and crypto scams. He has been detained by federal authorities since September 2024, pleaded guilty to related federal charges, and is awaiting sentencing in the coming months. Coberg’s cooperation with Iza was not just security work but involved acting as a “business partner and advisor,” with Iza paying Coberg at least $20,000 per month.
The prosecution’s sentencing memo noted that Coberg, who had sworn to uphold the U.S. Constitution and laws, abused the authority symbolized by his badge for personal gain.
Extortion Case: Victim Forced to Transfer $127,000
The Department of Justice further disclosed that in October 2021, Coberg accompanied other security personnel to escort a victim who was targeted due to financial disputes involving his business partner and Iza. After bringing the victim to Iza’s residence, Iza placed a handgun on the table and also had an assault rifle nearby.
Coberg identified himself as an active law enforcement officer and monitored and questioned the victim. During this time, Iza forced the victim to transfer $127,000 into an account under his control and recorded the process on video. Afterwards, Iza’s security personnel took the victim’s passport and returned him to a hotel.
The DOJ further revealed that the next day, Coberg continued to interrogate the victim, asking about the financial disputes and the whereabouts of his business partner. Later, Coberg took Iza and the victim to a shooting range inside the residence, where they were left alone. Iza then threatened the victim with a gun, demanding his business partner transfer money, which the l