A large-scale business email compromise scheme has been dismantled by federal prosecutors, resulting in convictions against 25 defendants. The scam, which spanned 47 states and 19 countries, defrauded over 1,000 victims out of $215 million.
The scheme used hacked email accounts to gain access to sensitive information, which was then used to tailor payment requests that appeared legitimate. Victims were tricked into wiring large sums of money to shell companies or bank accounts controlled by the conspirators.
Prosecutors described the laundering network as layered, with methods including fraudulently created bank accounts, cash transfer systems, shell companies, and cashier's checks. Nearly $1.2 million in assets were seized, including cryptocurrency, cash, and luxury watches.