Two men charged with running drug supply operation out of Manhattan smoke shop

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Two men charged with running drug supply operation out of Manhattan smoke shop

Jay Clayton, U.S. Attorney for the Southern District of New York | Department of Justice

Two men were arrested in Manhattan for allegedly conspiring to facilitate narcotics trafficking from a smoke shop in the Inwood neighborhood, according to federal authorities. The U.S. Attorney for the Southern District of New York, Jay Clayton, and Frank A. Tarentino, Special Agent in Charge of the DEA’s New York Division, announced that Mujahad Ali and Quirino Garcia Diaz have been charged with conspiracy to distribute narcotics.

Garcia Diaz was apprehended at the Inwood smoke shop where both defendants are accused of selling drug paraphernalia and cutting agents—substances used to increase the volume of narcotics—to traffickers. The investigation led law enforcement to several large-scale narcotics mills and other drug operations across Manhattan, the Bronx, and New Jersey. Authorities seized significant quantities of fentanyl, cocaine, methamphetamine, firearms, and ammunition during these operations.

“Businesses, small or large, that engage in drug trafficking will be brought to justice,” said U.S. Attorney Jay Clayton. “As alleged, this Inwood smoke shop helped traffickers pump lethal narcotics into our city. New Yorkers want this stopped and we hear them.”

DEA Special Agent in Charge Frank A. Tarentino stated: “Once again, we see the reckless lengths individuals are willing to go as they conspire, distribute, and profit from the sale of fentanyl, a drug that is singlehandedly destroying our communities and devastating families. The alleged use of a smoke shop to conceal their narcotics trafficking, which in turn led to the discovery of six drug mills, underscores their willingness to sacrifice the safety of our neighborhoods for personal gain. Illicit narcotic mills have no place in our communities, and the DEA will continue to do everything we can to eliminate these operations and hold those responsible accountable for their actions.”

According to court documents unsealed Tuesday morning:

Between August 2024 and October 2025, Ali (a U.S.-Yemeni citizen) and Garcia Diaz (a Mexican citizen), along with others involved in the operation, allegedly sold cutting agents and paraphernalia from their Inwood store directly to traffickers who would use them for packaging or increasing quantities of drugs such as cocaine or heroin. Undercover officers purchased these substances after making it clear they would be used with illegal drugs; on one occasion Ali recommended a specific cutting agent called “fish scale” because it would make cocaine “shine the most.”

Over roughly 14 months under investigation by law enforcement agencies—including surveillance on customers—authorities traced buyers back to at least six separate locations operating as narcotics mills or storage sites for illegal drugs. This resulted in at least eight arrests involving owners or operators of these facilities as well as seizures including bulk amounts of fentanyl (at multiple sites), heroin (in the Bronx), methamphetamine (in both New Jersey and Bronx), loaded firearms found alongside drugs at some locations.

Following yesterday’s arrests police searched both the smoke shop itself and an adjacent storage unit used by Ali and Garcia Diaz. Inside were rooms stocked with various types of cutting agents plus equipment commonly associated with mixing or packaging illicit substances: kilogram presses designed for compressing powder into bricks; sifters; grinders; scales; hundreds of thousands of glassine envelopes; vials; plastic bags—all items frequently seen in street-level distribution networks.

Both defendants face charges carrying a maximum penalty up to life imprisonment if convicted—a sentence determined ultimately by a judge rather than prosecutors.

U.S. Attorney Clayton commended investigators from DEA’s New York Field Division for their work on this case being prosecuted by Assistant U.S. Attorney Connie L. Dang from his office’s Narcotics Unit.

The allegations remain accusations only until proven otherwise through due process.