Former LA deputy Scott Simpkins gets 18 months for lying in Adam Iza extortion case

A federal judge sentenced former Los Angeles County Sheriff’s Department deputy Scott Allen Simpkins to 18 months in prison and fined him $10,000 for lying to FBI agents about witnessing cryptocurrency businessman Adam Iza threaten a victim with live ammunition during a 2021 extortion incident at Iza’s Bel Air home. U.S. District Judge Percy Anderson handed down the sentence Monday after Simpkins pleaded guilty March 17 to one count of obstruction of justice.

Former Deputy Sentenced for Obstruction

According to the U.S. Attorney’s Office for the Central District of California, U.S. District Judge Percy Anderson sentenced Simpkins to 18 months in prison and imposed a $10,000 fine after the former deputy pleaded guilty to one count of obstruction of justice on March 17.

Federal prosecutors said Simpkins resigned from the Los Angeles County Sheriff’s Department’s Special Enforcement Bureau after admitting to the felony offense.

In a statement announcing the sentence, the U.S. Attorney’s Office said Simpkins falsely denied witnessing Adam Iza threaten a victim with live ammunition during an incident at Iza’s Bel Air residence in 2021.

The crypto extortion case has attracted national attention because it allegedly involved active and former law enforcement officers working private security while criminal conduct unfolded.

Crypto extortion case reveals alleged threats during Bel Air incident

Court records show Simpkins was working alongside fellow former LASD deputy Christopher Michael Cadman while both were employed by Saavedra & Associates, a private security company owned by former LASD deputy Eric Chase Saavedra.

According to prosecutors, both deputies earned $1,400 for providing security services during the incident. After helping the company secure a longer-term contract with Iza, each reportedly received approximately 10% of the firm’s first month’s profits from the agreement.

Prosecutors alleged that during the confrontation, Adam Iza placed several live 9mm rounds on his desk, spun one of the bullets, and demanded that the victim transfer $25,000 while making threats. Simpkins and Cadman allegedly escorted the victim from the property following the encounter.

The crypto extortion case underscores the Justice Department’s continued focus on cryptocurrency-related crimes involving intimidation, fraud, and abuse of authority.

Adam Iza still faces sentencing

Although Simpkins has now been sentenced, Adam Iza remains in federal custody awaiting sentencing on separate criminal convictions.

According to the U.S. Attorney’s Office, Iza pleaded guilty in January 2025 to conspiracy against rights, wire fraud, and tax evasion. He has remained detained since September 2024 and has yet to receive his sentence.

The crypto extortion case expanded further after the U.S. Department of Justice announced another guilty plea involving Iza in Connecticut.

Federal prosecutors said Iza pleaded guilty to conspiracy to interfere with commerce by robbery, a federal offense carrying a maximum prison sentence of 20 years.

“The defendant admitted his role in a violent conspiracy designed to obtain cryptocurrency through intimidation and force,” the U.S. Department of Justice said in announcing the Connecticut plea.

Case linked to alleged Bitcoin kidnapping plot

The Connecticut prosecution centers on an alleged kidnapping conspiracy targeting the parents of Veer Chetal, who was accused of participating in the theft of approximately 4,100 Bitcoin.

According to federal prosecutors, Adam Iza and his brother, Saif Faiq, orchestrated the operation in an attempt to extort cryptocurrency from the family.

The Department of Justice said Faiq pleaded guilty on June 9 after admitting he recruited six men from Florida, coordinated surveillance, and organized travel before the attack in Danbury, Connecticut.

Prosecutors alleged the group staged a traffic collision before forcing Sushil and Radhika Chetal from their vehicle, assaulting them, and briefly holding them captive.

The six alleged attackers have also pleaded guilty to federal kidnapping and carjacking charges, according to DOJ records.

The crypto extortion case demonstrates how cryptocurrency-related disputes have increasingly escalated into violent criminal activity that extends beyond cybercrime.

The case highlights federal crackdown

Federal investigators continue pursuing multiple prosecutions connected to the broader crypto extortion case, reflecting the Justice Department’s aggressive stance against cryptocurrency-enabled criminal enterprises.

Veer Chetal separately pleaded guilty in November 2025 to charges related to the theft of roughly 4,100 Bitcoin and is currently awaiting sentencing.

Legal experts say the growing number of convictions illustrates that federal authorities are willing to prosecute not only the individuals accused of orchestrating cryptocurrency-related crimes but also anyone who obstructs investigations.

Deputy Attorney General Todd Blanche has previously emphasized the department’s commitment to prosecuting violent crime tied to digital assets, stating that federal authorities will pursue individuals who use cryptocurrency to facilitate serious criminal offenses.

As sentencing proceedings continue for Adam Iza and other defendants, the crypto extortion case is expected to remain one of the most closely watched federal cryptocurrency prosecutions in the United States, highlighting both the opportunities and risks associated with the rapidly evolving digital asset industry.