LOS ANGELES
A Los Angeles County Sheriff’s Department deputy and helicopter pilot pleaded guilty to federal conspiracy charges for working with a corrupt cryptocurrency promoter to extort rivals and stage a false drug arrest in 2021, officials announced this week.
Michael David Coberg, 44, of Eastvale, admitted to conspiracy to commit extortion and conspiracy against rights.
Coberg partnered with self-styled crypto “Godfather” Adam Iza, 25, who ran fraudulent investment schemes and has been in federal custody since 2024. Iza paid Coberg up to $20,000 a month as a partner and advisor.
Extortion Plot
In October 2021, Coberg helped Iza detain a victim, identified as “L.A.,” during a financial dispute. Iza displayed firearms while Coberg identified himself as a deputy, and the victim was forced to transfer $127,000. The next day, Iza again threatened the victim at gunpoint until a business partner wired additional funds.
Staged Arrest
Weeks earlier, Coberg helped orchestrate the sham drug arrest of another rival, “R.C.”, who had previously been extorted for $25,000. Coberg and others lured R.C. to Los Angeles, obtained drugs, and set up a traffic stop by corrupt LASD deputy Christopher Michael Cadman.
Drugs planted in R.C.’s car and backpack led to his arrest, which Iza filmed and later used to taunt the victim.
Coberg faces up to 20 years in prison for extortion conspiracy and 10 years for conspiracy against rights when sentenced on February 17, 2026.
The FBI and IRS Criminal Investigation are investigating this matter. The Los Angeles County Sheriff’s Department has assisted.