New York based jeweler Jacob Arabov, well known in the hip hop community as Jacob The Jeweler, will reportedly plead guilty to lying to federal agents as part of a plea deal in a Detroit court today (October 31).

Jacob was indicted in Detroit last year for helping the Black Mafia Family (BMF), an Atlanta based gang, launder over $270 million in drug money.

Last week, the U.S. Attorney's Office filed 'a so-called criminal information' against Jacob charging him with 'falsifying federal records and making false statements to agents'.

Jacob's spokesman, Gerald McKelvey, revealed to The Associated Press Wednesday that the celebrity jeweler will plead guilty to two counts of making false statements to investigators, and in exchange prosecutors will drop the money laundering charges in the case.

Jacob will also forfeit $2 million to the government. The jeweler is expected to face 37 to 52 months behind bars.

Benjamin Brafman, Jacob’s lawyer, revealed last week that his client would plead guilty for the false statements saying "[Jacob] was an honest citizen who used bad judgment in an attempt to conceal dealings with a small group of individuals".

"I realize I have made a terrible mistake and I am ready to accept the consequences of my actions," Jacob said in a statement released last week. "My desire is to do whatever I can to atone for my wrongdoings and move ahead with the great business I have built and the wonderful family that I love."

The Black Mafia Family was formed by Demetrius “Big Meech” Flenory and his brother Terry “Southwest T" Flenory”, who both hail from Detroit.

The gang was infamous in the Atlanta area for their lavish lifestyle and was well known in the hip-hop community for their alignment with rappers like Young Jeezy and Fabolous. The Flenorys were indicted and arrested on drug trafficking charges in 2005.

Earlier this month, Black Mafia Family affiliate and rapper Blue DaVinci was indicted for participating in the distribution of multiple kilos of cocaine nationwide’

Bleu Davinci was the only artist on BMF’s record label, BMF Entertainment, and took over the label’s reigns after Big Meech was sent to jail. Feds believe that the record label was a front for BMF’s cocaine trafficking.