NYPD veteran busted in prostitution ring dreamed of opening a brothel of his own

NYPD Sgt. Louis Failla’s plans for retirement included spending some time around the house – of ill repute.

The two-decade police veteran was caught on a wiretap chatting about getting into the sex-for-sale business once he gave up his shield, a source told the Daily News.

Failla, 49, was one of seven cops busted for assisting retired Vice Squad Detective Ludwig Paz and his wife Arelis Peralta in their lucrative illegal prostitution and gambling operation.

The sergeant — charged with four counts of illegal misconduct — scoured NYPD databases while on duty to help Paz stay out of law enforcement’s crosshairs.

Failla “used his abilities as a cop to complete (computer) searches and divulge information to Paz in order to help him avoid apprehension,” said Assistant District Attorney Bradley Chain.

Authorities charged Paz, 51, of Queens, relied on the cops to cover his back while running an illegal operation that garnered more than $2 million a year.

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NEW YORK, NY - DECEMBER 27: Maritza Ramos, wife of the victim, holds the colors as she is joined by her sons Justin, left, and Jaden, right, during the funeral of slain New York Police Department (NYPD) officer Rafael Ramos at the Christ Tabernacle Church on December 27, 2014 in the Glenwood section of the Queens borough of New York City. Ramos was shot, along with Police Officer Wenjian Liu while sitting in their patrol car in an ambush attack in Brooklyn on December 20. Thousands of fellow officers, family, friends and Vice President Joseph Biden arrived at the church for the funeral. (Photo by Kevin Hagen/Getty Images)
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The two-day takedown of dozens of suspects in the gambling and sex-trade businesses nabbed everyone from kingpin Paz and his spouse to employees who answered phones and cleaned up the eight brothels under the one-time detective’s command, prosecutors said.

Paz’s two stepdaughters were also snared in the probe that included dozens of wiretaps and months of surveillance work. Officer Giovanny Rojas-Acosta, a 12-year NYPD veteran and Marine who served in Iraq, used his position to shut down competing houses of ill repute, according to court documents.

Peralta, 43, who collapsed during her Thursday appearance in Queens Criminal Court, spent the night on Rikers Island once held on $200,000 bond or $75,000 cash bail.

Wearing a tan Department of Correction jumpsuit, her long blonde hair in a ponytail, Peralta chased away a Daily News reporter seeking a jailhouse interview Friday morning.

“I’m good,” she said in Spanish, shaking her head in frustration. “I’m good.”

With Thomas Tracy

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