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US congressman Michael Grimm of New York was taken into custody Monday and charged with fraud, perjury and obstruction of justice, the FBI said.
Grimm, a former FBI agent himself and a second-term Republican from Staten Island, was expected to be arraigned later Monday in federal court.
"As a former FBI agent, Representative Grimm should understand the motto: fidelity, bravery, and integrity. Yet he broke our credo at nearly every turn. In this twenty-count indictment, Representative Grimm lived by a new motto: fraud, perjury, and obstruction," Venizelos said.
"We demand the best from our political leaders. Yet today, we again find ourselves expecting and rightfully wanting more. And as citizens of this great nation we rightfully demand it," the FBI agent said.
The charges were related to business deals regarding a restaurant Grimm owned before he was elected to Congress.
US media reports the charges will include mail fraud and wire fraud.
Grimm, 44, also has been under investigation for about two years for alleged campaign finance violations.
He got into hot water earlier this year after being caught on video tape threatening to throw a reporter off the Capitol balcony,
His lawyer last week said his client asserts his innocence, and that US authorities were conducting a "politically-driven vendetta" against Grimm.