A former Los Angeles County sheriff’s deputy, who exploited his position to aid a dubious cryptocurrency operator in threatening competitors, has been sentenced to over five years in federal prison, federal prosecutors revealed.
Michael David Coberg, aged 44, received a 63-month prison sentence after he confessed to participating in an extortion plan and conspiring to infringe on a victim’s civil rights. This misconduct was in collaboration with a self-proclaimed crypto mogul dubbed the “Godfather,” as stated by the US Attorney’s Office for the Central District of California.
Coberg, formerly a deputy and helicopter pilot with the LASD, abused his law enforcement position to support Adam Iza, a 25-year-old cryptocurrency entrepreneur involved in fraudulent marketing and crypto schemes, according to federal authorities.
Iza, who prosecutors claim masterminded a network of intimidation and deception, has been in federal custody since September 2024 after admitting to charges associated with the scheme. He is currently awaiting sentencing.
Court papers reveal that Coberg wielded his badge to aid Iza in targeting and terrorizing individuals perceived as adversaries by the crypto mogul.
In a particularly audacious incident in 2021, Coberg orchestrated a fake drug arrest in Paramount to harass and intimidate one of Iza’s competitors, prosecutors detailed. He reportedly enlisted the help of two other corrupt LASD deputies to execute the plan.
“Coberg swore an oath to uphold the Constitution and laws of the United States,” prosecutors argued in a sentencing memorandum. “Instead, [he] betrayed that oath and those he swore to protect, abusing the awesome power of his badge. And he did so for an all-too-common reason: greed.”
The disgraced deputy admitted he conspired to extort the victim and deprive them of their civil rights while secretly working with Iza’s operation.
A federal judge also ordered Coberg to pay $127,000 in restitution to the victims of the scheme.
Coberg pleaded guilty in September 2025 and was sentenced this week in federal court. Authorities said the case highlights the dangers of law-enforcement officers abusing their power.
