Daily Court Reporter - News Grand jury indicts 8 in online romance money laundering scam
Grand jury indicts 8 in online romance money laundering scam
Eight Central Ohio defendants charged on Valentine’s Day have now been indicted by a grand jury for conspiring to launder and for laundering the proceeds of online romance scams.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, Cincinnati Field Office, Tommy D. Coke, Inspector in Charge, U.S. Postal Inspection Service, Pittsburgh Division, and Steve Francis, Special Agent in Charge, Homeland Security Investigations (HSI) announced the indictment, which was unsealed yesterday.
Those charged include: Kwabena M. Bonsu, Kwasi A. Oppong, Kwame Ansah, John Y. Amoah, Samuel Antwi, King Faisal Hamidu, Nkosiyoxoxo Msuthu and Cynthia Appiagyei.
According to the indictment, individuals committing fraud created several profiles on online dating sites. They then contacted men and women throughout the United States with whom they cultivated a sense of affection, and often, romance.
After establishing relationships, perpetrators of the romance scams allegedly requested money, typically for investment or need-based reasons, and provided account information and directions for where money should be sent. In part, these accounts were controlled by the defendants. Typical wire amounts ranged from $10,000 to more than $100,000 per wire.
The funds were not used for the purposes claimed by the perpetrators of the romance scams. Instead, the defendants conducted transactions designed to conceal, such as withdrawing cash, transferring funds to other accounts and purchasing assets and sending the assets overseas.
“According to the indictment, the defendants laundered the funds from a scheme to seduce victims throughout the United States using dating websites like Match.com and then defrauding them of millions of dollars,” U.S. Attorney Glassman said.
It is alleged that the individuals commonly used some the fraud proceeds to purchase salvaged vehicles sold online. The cars were commonly exported to Ghana.
Fictitious reasons for investment requests included gold, diamond, oil and gas pipeline opportunities in Africa. Websites used involve Match.com, ChristianMingle.com, BabyBoomerPeopleMeet.com, PlentyofFish.com, OurTime.com, EHarmony.com and Facebook. At least 26 victims have been identified thus far.
In one example, a victim believed she was in a serious relationship with a person named “Frank Wilberg” whom she met on Match.com. She believed they planned to marry and paid $3,000 to reserve a wedding site, and had purchased a wedding gown and shoes.
“Wilberg” told the victim he owned a consulting firm that tested gold for purity and needed money to buy gold and gold contracts. He said he expected to profit $6 million and would repay her with the profits. The victim wired money to accounts controlled by Amoah, Bonsu, Msuthu, and Appiagyei, and did not receive any money back.
In furtherance of the scheme, the co-conspirators allegedly created several companies, some of which were shell companies, to help attempt to hide the true nature of their proceeds.
“The defendants attempted to launder millions of dollars in proceeds earned from an online romance scam through a series of financial transactions intended to conceal their illegal activities,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
U.S. Attorney Glassman commended the investigation of this case by the IRS Criminal Investigation, U.S. Postal Inspection Service and HSI, as well as Assistant United States Attorney Peter K. Glenn-Applegate, who is prosecuting the case.
An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
About the United States Attorney's Office for the Southern District of Ohio
Our mission is to protect and serve the citizens of the Southern District of Ohio through the ethical, vigorous and impartial enforcement of the laws of the United States, and in so doing to defend the national security, improve the safety and quality of life in our communities, protect the public funds and financial assets of the United States, maintain a courteous and professional working environment, and, with skill and integrity, seek to do justice in every matter
Our district covers the bottom half of the state of Ohio.
Our district contains three staffed offices in Columbus, Cincinnati, and Dayton. The Columbus office is the headquarters of our District and is the largest, followed by Cincinnati then Dayton.
Date Published: March 26, 2018