December 18, 2017 — Randy Cushman, a fourth generation fisherman in Maine, knows what the crimes of Carlos Rafael cost him.
Cushman fishes out of the bucolic village of Port Clyde, population 307, the sort of place many New Englanders might still associate with the region’s storied, struggling fishing industry. Last season, he had to pay $49,000 for fishing quota, most of it for American plaice, a species of groundfish commonly known as dabs. Cushman’s own allowance on the fish ran out after only four days on the water, forcing him to bargain with other fishermen for more.
Up the coast, Rafael had been catching dabs in the Gulf of Maine too. But in an elaborate criminal scheme, the New Bedford fishing tycoon, owner of about 40 vessels, was directing his captains to report dabs as other kinds of fish, often haddock, which is subject to much higher limits. Breaking the rules let Rafael evade the kind of payments that Cushman made. It also depressed prices by flooding the market with black-market fish. Worst of all, the scheme also meant fishing regulators were getting inaccurate information about how many fish Rafael’s empire was scooping out of the Atlantic, bad data that fishermen suspect distorted how scientists analyzed ocean trends, and Cushman believes skewed the way regulators set the amount each fishermen can catch before having to start paying.
“He definitely hurt my business,” Cushman said. Bottom line: “I should have ended up with more allocation on dabs,” he said.
Rafael, whose downfall came after he boasted of his scheme to undercover IRS agents posing as Russian mobsters, is now serving a 46-month sentence in federal prison. The made-for-TV story, complete with an illicit cash buyer in New York, bank accounts in Portugal, allegations of corrupt sheriff deputies, and broad hints that other players on the waterfront must have been in the know, has transfixed New England’s close-knit fishery. Rafael’s arrest has thrust arcane fisheries policies into the spotlight, touched off a political battle between Massachusetts and Maine about the future of his businesses, and raised questions about how fishing regulators can provide justice for his victims and prevent a scheme like his from infecting the fishery again. The feds have already seized some of his permits and four of his boats, but more punishments are widely expected. A spokeswoman for the National Oceanic and Atmospheric Administration, Jennifer Goebel, said the regulatory agency was considering further sanctions against Rafael but that “it’s longstanding NOAA policy not to discuss pending enforcement matters.”