Efraim Diveroli Net Worth (2024)
Lifestyle | Bio | Facts [UPDATED]

Early life: Efraim Diveroli was born in Miami Beach, Florida, United States, on December 20, 1985, to his parents, Ateret and Michael Diveroli. He is from an Orthodox Jewish family that is adhering strictly to all its traditional Jewish laws. Now, he is known to be that American former arms dealer. 

Efraim’s Company AEY Inc.

At such a young age, he decided to stand up for his desire to establish his own business specializing in arms ammunition trading and U.S. government defense contracts. He persuaded his dad to offer him a shell company, AEY, Inc., established after his and his siblings’ initials that his father had created as a small printing business and hadn’t even used in years.

Diveroli had a preference for arms dealing and swiftly rose through the ranks of the sector. But, because of his young age and evident talent, he was dubbed an “arms wunderkind” by the news press.

However…

Diveroli suffered from substance abuse, and the media called him a “stoner arms dealer.” But, moving on, the world was involved in an armaments race during the Cold War. Throughout Eastern Europe, millions of weapons were stored in preparation for a battle with the West.

Arms dealers began transferring these massive volumes of weaponry after the Cold War ended and the immediate threat of bloodshed faded. Non-state entities (such as militias or terrorist groups) and legitimate government-sanctioned buyers could obtain guns via illegal foreign government sales due to subsequent purchases.

Truth is…

“To supply the militias it was forming in Iraq and Afghanistan, and the Pentagon wants access to this emerging aftermarket.” The problem was that it couldn’t go into such a dark underbelly by itself. So it needs proxies — companies like AEY — to do its dirty work.

Pentagon Contract

Diveroli later worked as a teenager in a one-room flat in Miami Beach, Florida, United States, throughout this period of major arms dealing. He attempted to get into the sector from the comfort of his home, equipped only with a laptop.

It gets better…

He started looking for bids on a government website where contracts are advertised. He proceeded by negotiating on modest contracts with the financial assistance of Ralph Merrill, whom he met while working for his uncle.

Diveroli became a millionaire at the age of eighteen by outperforming large firms such as Northrop Grumman, Lockheed Martin, and BAE Systems. In addition, Diveroli possessed “a zest for risk and all-devouring ambition” at a very young age.

The best part is…

Diveroli’s company, AEY, Inc., was granted a $298 million contract by the Pentagon to provide armaments and munitions to the allied forces in Afghanistan after consistently increasing the number of his agreements and creating a successful track record.

Efraim Diveroli eventually found himself working with dubious weapons traders, dishonest diplomats, and fortunate troops, structuring deals with foreign defense ministers, attending meetings at embassies, and getting orders from high-ranking Army officials to appease US government contracts.

The worst part is…

The United States government suspended AEY Inc. on March 27, 2008, for violating the conditions of its agreement; the business was suspected of providing ammunition made in China to the Afghan National Army and police in breach of a pre-existing arms embargo.

According to US Army documents, the business received more than $200 million in deals in 2007 to supply ammunition, rifles, and other weaponry. The US Army initiated a study of its contracting processes due to the contract’s public exposure. 

That said…

The ammo was deemed “unserviceable” by the House Committee on Oversight and Government Reform in the United States. AEY had previously failed to produce on a number of contracts, including delivering potentially dangerous helmets to Iraq and failing to deliver 10,000 Beretta guns.

Separate lawsuits were then brought by Diveroli’s former partner, David Packouz, and Ralph Merrill, the group’s former principal financier, demanding compensation of millions of dollars. They claim they were obligated in conjunction with the weapons contract the US government.

Real-Life Inspired Movie: War Dogs

Did you know…

Todd Phillips’ comedy/drama film ”War Dogs,” featuring Jonah Hill as Diveroli and Miles Teller as his associate, David Packouz, is inspired by Canadian writer Guy Lawson for the famous magazine Rolling Stone.

As a result…

Diveroli filed a legal complaint against Warner Bros. Entertainment Inc., filmmaker Todd Phillips, producer Bradley Cooper, and many others in 2016 to prevent the film from being released. 

According to Diveroli’s suit versus Warner Bros., the foundation for the movie was derived from his self-published novel “Once A Gun Runner,” which imprisoned real estate scammer Matthew Cox claims to have authored while in jail alongside Diveroli.

Now…

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