A Nigerian national who orchestrated a sophisticated, nationwide scheme targeting Home Equity Lines of Credit (HELOCs) has been sentenced to 20 years in federal prison.
Oluwaseun Adekoya, 40, also known by the alias LaBanco, of Cliffside Park, New Jersey, was sentenced after a three-week jury trial found him guilty of bank fraud conspiracy, money laundering conspiracy, and nine counts of aggravated identity theft.
Operating from his luxury New Jersey apartment, prosecutors described Adekoya as a “perpetual thief” who created a massive criminal network that stole from hard-working
Americans for over two decades.
The fraud centred on obtaining publicly available information about individuals’ HELOCs at localised credit unions across the United States. To avoid detection by law enforcement, Adekoya frequently shifted the focus of his operations to different regions of the country.
Adekoya utilised encrypted messaging platforms, such as Telegram, to obtain crucial Personal Identifying Information (PII), including Social Security numbers, account numbers, and mother’s maiden names, for customers with substantial equity in their HELOCs.
He then supplied this sensitive information to a vast web of managers he recruited nationally. These managers, in turn, provided lower-level operatives with fake driver’s licenses, enabling them to impersonate the HELOC customers and carry out fraudulent withdrawal transactions.
To protect himself, Adekoya used a collection of “burner” phones and encrypted applications.
He laundered his substantial share of the profits through bank accounts held in other individuals’ names and reinvested some of the stolen funds to perpetuate the scheme, purchasing air/bus travel, rental cars, and fake IDs for his co-conspirators.
During the sentencing, U.S. District Judge Mae A. D’Agostino characterised Adekoya as a “flagrant serial offender,” noting that he had orchestrated increasingly sophisticated felony identity-theft and fraud offences since beginning his criminal career in 2008 at the age of 22. Adekoya had previously obtained lawful permanent resident status in the U.S. in 2004.
The investigation began in May 2022 when Broadview Federal Credit Union (formerly CAP COM Federal Credit Union and SEFCU), based in Albany, identified a series of suspicious impersonation transactions and referred the case to the FBI-Albany.
Investigators identified Adekoya as the mastermind.
His prosecution led to superseding indictments against 13 additional co-conspirators, all of whom pleaded guilty to their roles in the offences before the trial.
Adekoya was arrested on an initial indictment on December 12, 2023. Evidence presented at trial showed that as the FBI attempted to execute a federal search warrant on his luxury apartment that day, Adekoya attempted to wipe the primary phone used to coordinate the conspiracy.
Despite the attempt to destroy evidence, the FBI seized numerous “burner” phones, as well as luxury assets purchased with the proceeds of the crime, including Rolex watches, a $51,000 Tiffany engagement ring, designer handbags and shoes, and approximately $26,000 in a money laundering bank account. These items have since been forfeited to the government.
In addition to the 20-year prison sentence, Adekoya has been ordered to serve five years of supervised release and pay restitution exceeding $2.2 million to his victims. He is also subject to removal from the United States upon completion of his term of imprisonment.
By: Rainbowradioonline.com/Ghana
