The founder and
CEO of Big-T Autos, Tochukwu Abel Edeh, has been arrested in the United States
of America and charged over alleged money laundering.
The 31-year-old was arrested on September 2, 2021 and indicted in federal court in Boston on Thursday, September 30.
He allegedly
operated an unlicensed money transmitting business to launder the proceeds of
online investment fraud schemes, according to the US Department of Justice.
The defendant
allegedly conspired with others, in or around 2015, to launder and transmit
proceeds of Ponzi-style investment fraud schemes based in Nigeria.
A statement by
the U.S. Attorney's Office, District of Massachusetts, reads:
"A
Nigerian national was indicted today in federal court in Boston in connection
with allegedly operating an unlicensed money transmitting business to launder
the proceeds of online investment fraud schemes.
"Tochukwu
Abel Edeh, 31, a Nigerian national previously residing in Jacksonville, Fla.,
was indicted on one count of money laundering conspiracy and one count of
conspiracy to conduct an unlicensed money transmitting business. Edeh was
previously charged by criminal complaint and has been in custody since his arrest
on Sept. 2, 2021.
"According
to the indictment, Edeh managed used car dealerships and currency transfer
services in Texas, Florida and Nigeria. This included a trading company as well
as a cryptocurrency and e-commerce firm, both of which were based in Nigeria,
through which Edeh exchanged Bitcoin and other cryptocurrencies for profit.
"The indictment alleges that in or around 2015, Edeh conspired with others to launder and transmit proceeds of Ponzi-style investment fraud schemes based in Nigeria. Specifically, the schemes purported to offer trading and Bitcoin investing services when, in fact, investor funds were allegedly stolen and later victims’ investments were used to pay purported returns to earlier investors.
Edeh allegedly laundered the fraud proceeds using a network of
co-conspirators in the United States and using his personal and business
accounts in the United States and Nigeria. Edeh, along with his alleged
co-conspirators, did not hold money transmitting licenses in their respective
states of residents, nor were they registered as money transmitters as required
by federal law.
"The
charge of money laundering conspiracy provides for a sentence of 20 years in
prison, three years of supervised release and a fine of $500,000 or twice the
value of the laundered funds, whichever is greater. The charge of conspiracy to
conduct an unlicensed money transmitting business provides for a sentence of
five years in prison, three years of supervised release and a fine of $250,000
or twice the gain or loss, whichever is greater. Sentences are imposed by a
federal district court judge based on the U.S. Sentencing Guidelines and other
statutory factors.
"Acting
United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special
Agent in Charge of the Federal Bureau of Investigation, Boston Division; Joleen
D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal
Investigations in Boston; and Jennifer De La O, Director of Field Operations of
U.S. Customs and Border Protection, Boston Field Office made the announcement
today. Valuable assistance was provided by the Division of Enforcement at the
Commodity Futures Trading Commission. Assistant U.S. Attorney Kriss Basil of
Mendell’s Securities, Financial & Cyber Fraud Unit is prosecuting the case.
"The
details contained in the indictment are allegations. The defendant is presumed
innocent unless and until proven guilty beyond a reasonable doubt in a court of
law."
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