Sophisticated Scheme
The U.S. government has seized $5.25 million from six JPMorgan Chase bank accounts, alleging that the funds were stolen in a sophisticated fraud scheme.
Union Targeted
According to the Justice Department, the funds were stolen from a Massachusetts workers union that was tricked into wiring millions of dollars to scammers. The union received an email in January 2022 that appeared to come from its investment manager, requesting a transfer of $6.4 million.
Money Laundering
After the union transferred the funds, prosecutors say the scammers moved some of the money to crypto exchanges and wired $5.25 million to JPMorgan Chase accounts. They also sent $61,612 to a Texas Bank and Trust account, which has also been seized.
Money Mules
The Justice Department alleges that the scammers used “money mules” to move the funds quickly between accounts and conceal their origin.
Forfeiture Sought
Prosecutors are now seeking a permanent forfeiture of all funds seized in the U.S. bank accounts.
Impact of BEC Fraud
“BEC fraud schemes present a serious threat to businesses and individuals nationwide,” said a Justice Department official. “We hope today’s action helps restore some level of stability and justice for those impacted by fraud.”
