Glen Cove Doctor Guilty in $3.8M Covid Scam

by Chris O'Neill

A Glen Cove doctor, Konstantino Zarkadas, age 48, pleaded guilty on Nov. 12th to fraud related to the receipt of more than $3.7 million in COVID-19 related disaster relief loans.

Zarkadas successfully applied for 11 loans made available through the Paycheck Protection (PPP) and the Economic Injury Disaster Loan (EIDLP) programs that were enacted by Congress in March 2020 as part of the Coronavirus Aid, Relief, and Economic Security Act, or "CARES" Act. Both types of loans could be forgiven if used properly.

These programs were meant to help businesses struggling with the effects of Covid-related lockdowns.

Prosecutors allege that Zarkados fraudulently channeled these federal funds to corporate entities he controlled and then laundered the monies via various bank accounts. Zarkados withdrew tens of thousands of dollars worth of loan proceeds to lease luxury autos and to buy Rolex and Cartier watches. He also used close to 200K as a down payment on a 1.75 million dollar yacht and $1 million to pay prior legal judgments against him.

He tried to hide the payment for the yacht by addressing the check to a family member with the note “repayment for payroll.”

Ronald Russo, Esq., Zardakis' attorney, said his client "took full responsibility" when confronted by the feds.

Zarkadas has been a medical doctor since the early 2000s and has a private practice in Manhattan. His lawyer Russo said that Zarkados “cared for the poorest of the poor in northern Manhattan during the pandemic.”