The Manhattan district attorney and the New York City Police Department announced on Wednesday that 35 people were arrested and indicted on charges of allegedly dealing PCP and other drugs in East Harlem, and the group is accused of using an eight-year-old boy as a lookout.

Two brothers, 41-year-old Lamont Moultrie and 39-year-old Bernard Moultrie, seen above, are charged with leading the ring out of two city projects, the Milbrank-Frawley Houses at 117th Street and Madison Avenue and King Towers projects on East 112th Street.

The ring made $1 million a year on sales of cocaine, PCP and heroin, according to authorities.

The 35 defendants are charged with 275 counts of conspiracy, criminal sale and criminal possession of a controlled substance.

Authorities found $39,000 in cash and 2.5 gallons of PCP in Hawaiian Punch bottles during a Wednesday morning raid in Lamont Moultrie's apartment.

Both Moultrie brothers were on parole for murder when they were arrested, and Police Commissioner Ray Kelly said while the Moultries ran their drug empire they made time to touch base with their respective parole officers every day.

Melvin Tarleton, 45, and Aaron Williams, 33, helped the Moultrie brothers by arranging deals and transporting drugs, according to prosecutors.

The bust followed a 15-month investigation made in direct response to community complaints made to the NYPD.

"Even as this neighborhood improved over the years, drug sales over the last 15 months began to attract addicts from other boroughs, Long Island and New Jersey and as far away as Vermont. In other words, they made Milbrank-Froley Houses a drug destination," said Kelly.

"We had housewives, people going back with large amounts to their neigbhoods in other states we had all dif types of people," said NYPD Inspector Lori Pollock. "It was pretty structured, I will say that. There were posts, you knew where you had to be, you knew what your hours were going to be."

Investigators say one of the buyers was a Bronx woman who purchased PCP and then accidentally burned herself to death while smoking the drug on Sunday.

Residents in East Harlem told NY1 that the neighborhood would be safer if more people alerted police about crime in the area.

"People got to stop being in fear. We live in a community of fear," said one local. "Everybody comes out of their apartments, 'Oh, it ain't my business, I come and go.' If you live here, it's your business, because when your baby gets shot, or you get shot, you're going to be complaining."

The boy used as a lookout is said to be a victim and is now in the custody of child welfare officials.