Key Highlights
- Iris Rabaya Au, 37, of Irvine, was sentenced to 18 months in federal prison and ordered to pay $1,484,343 in restitution after pleading guilty to filing a false tax return; prosecutors say she funneled over $2.6 million in unreported income into her personal accounts between 2020 and 2023.
- Au acted as the financial architect for her former boyfriend, Adam Iza, creating shell companies, moving approximately $16 million into cryptocurrency, and directing roughly $1 million in cash payments to Los Angeles County sheriff’s deputies who provided private security and misused law enforcement tools on Iza’s behalf.
- Adam Iza has already been sentenced to 15 years in federal prison in Connecticut for orchestrating a violent kidnapping plot tied to a bitcoin robbery, and faces a separate sentencing in California on October 5 for conspiracy, wire fraud, and tax evasion related to a Meta advertising credit-line scheme.
Irvine Woman Sentenced for Tax Fraud in Scheme Linked to Crypto Figure Adam Iza
Federal prosecutors have secured an 18-month prison sentence for Iris Rabaya Au, a 37-year-old Irvine resident who admitted to concealing more than $2.6 million in income from the Internal Revenue Service. The sentencing, announced by the Justice Department on September 21, caps a case that illuminates the financial machinery behind Adam Iza, a self-styled cryptocurrency entrepreneur known by the nickname “Godfather,” and reveals a network of shell companies, luxury asset purchases, and alleged corruption involving Los Angeles County sheriff’s deputies.
Financial Infrastructure for a Fugitive Fortune
According to Au’s plea agreement and a government sentencing memorandum, she established the banking and corporate framework that allowed Iza to move, spend, and hide millions of dollars in fraud proceeds. Between 2020 and 2023, more than $2.6 million flowed from company accounts into Au’s personal bank accounts, income she failed to report on her federal tax returns. U.S. District Judge Percy Anderson ordered her to pay $1,484,343 in restitution and to forfeit a portfolio of high-value assets that included luxury and high-performance vehicles, designer handbags, and three “Godfather” sculptures—a reference to Iza’s moniker.
Prosecutors characterized Au’s role as essential to the operation. In their sentencing memorandum, they wrote:
“[Au] set up the financial infrastructure that enabled Adam Iza to move, spend, and conceal millions of dollars in fraud proceeds while she personally benefited from the wealth.”
Shell Companies, Sheriff’s Deputies, and $16 Million in Cryptocurrency
The plea agreement details how Au, at Iza’s direction, created shell corporations and opened bank accounts in their names. Those accounts were used to pay approximately $1 million—largely in cash—to Los Angeles County sheriff’s deputies. The deputies provided private security for Iza, but prosecutors say the arrangement went far beyond protection. Deputies allegedly accessed confidential law enforcement databases and obtained court-authorized search warrants targeting individuals involved in Iza’s financial or personal disputes.
The same financial pipeline funded a lavish lifestyle: luxury real estate, vehicles, jewelry, clothing, and nearly $10 million in recreational spending for the couple. Perhaps most significantly, Au used the shell-company accounts to acquire approximately $16 million in cryptocurrency for Iza, giving him digital assets he could hold, exchange, or transfer at will. The Justice Department emphasized that the $16 million in crypto purchases was distinct from the $2.6 million Au diverted to her own accounts and omitted from her tax filings.
Deputy Convicted in Parallel Corruption Case
The investigation has already produced a conviction inside the sheriff’s department. Former deputy David Anthony Rodriguez was sentenced to one year in prison after admitting he submitted a false warrant application to obtain a man’s cell-phone location data for a private client—further evidence, prosecutors say, of how police powers were weaponized on Iza’s behalf. Iza’s arrest in September 2024 brought the broader scheme into public view.
Iza Faces Two Federal Sentencings Across Coast
Adam Iza’s legal jeopardy spans two federal courts. In January 2025, he pleaded guilty in Los Angeles federal court to conspiracy against rights, wire fraud, and tax evasion stemming from a scheme to fraudulently obtain access to Meta advertising accounts and their associated credit lines, then sell that access to third parties. His sentencing in that case is scheduled for October 5.
Before that date arrives, Iza has already received a 15-year sentence in Connecticut. On September 9, a federal judge there imposed the term for his role in an August 2024 plot to kidnap the parents of an individual linked to a large bitcoin theft. Authorities say Iza helped plan and fund the operation, which began with a violent carjacking and ended with the parents’ abduction. The Connecticut sentence will run before any additional time imposed in California.
Why This Matters
The case illustrates how cryptocurrency wealth—real or fabricated—can be laundered through traditional banking channels, shell entities, and complicit professionals, including law enforcement officers. It also highlights the IRS’s focus on unreported income from digital-asset transactions and the willingness of federal prosecutors to pursue both the principals and the facilitators of fraud. For the Los Angeles County Sheriff’s Department, the convictions of deputies who abused warrant authority and database access represent a significant internal accountability moment. As Iza awaits his California sentencing, the scope of his admitted schemes—spanning advertising fraud, tax evasion, and a violent kidnapping conspiracy—underscores the convergence of cyber-enabled financial crime and physical-world violence.
Frequently Asked Questions
What specific charges did Iris Rabaya Au plead guilty to?
Au pleaded guilty in March 2025 to one count of filing a false federal tax return, admitting she failed to report more than $2.6 million in income that flowed into her personal accounts between 2020 and 2023.
How were Los Angeles County sheriff’s deputies involved in the scheme?
Prosecutors say Au directed roughly $1 million in cash payments to deputies who provided private security for Adam Iza. Beyond security, those deputies allegedly accessed confidential law enforcement information and obtained court-authorized search warrants targeting people involved in Iza’s disputes. Former deputy David Anthony Rodriguez was separately sentenced to one year in prison for using a false warrant application to obtain cell-phone location data for a private client.
What is Adam Iza’s current sentencing status?
Iza has already been sentenced to 15 years in federal prison in Connecticut for his role in a kidnapping plot connected to a bitcoin robbery. He separately pleaded guilty in Los Angeles federal court to conspiracy against rights, wire fraud, and tax evasion related to a Meta advertising credit-line fraud; his sentencing in that case is scheduled for October 5, 2025.
