Honduran National Gets 27 Months for Bank Fraud Scheme

HAMMOND, INDIANA – Luis Banegas Rodriguez, 25, of Honduras, is headed to federal prison after being sentenced to 27 months for his role in a sophisticated, multi-state bank fraud conspiracy. U.S. District Court Judge Philip P. Simon handed down the sentence following Rodriguez’s guilty plea to conspiracy to commit bank fraud in two separate cases, Acting United States Attorney M. Scott Proctor for the Northern District of Indiana announced today.

The scheme involved the cashing of fraudulent paychecks using fake identification. On January 11, 2023, Rodriguez and his crew hit three branches of the same bank in the Northern District of Indiana, successfully converting 169 bogus paychecks into $233,569 in cash. These checks were carefully crafted to *look* legitimate, appearing to originate from a dairy farm operation within the district. But the illusion didn’t last.

Barely six months later, on June 23, 2023, Rodriguez and his co-conspirators expanded their operation to the Eastern District of Oklahoma. This time, they targeted five bank branches *and* three check cashing businesses, making off with $299,474 via 178 more fraudulent paychecks. These were designed to mimic those issued by a building materials supply company in Oklahoma. The total haul from both schemes? A hefty $533,043. Rodriguez will be required to pay every penny back in restitution.

“Banegas Rodriguez participated in a far-reaching conspiracy that caused major financial harm to community banks and small businesses across the United States,” said Proctor, underlining the scope of the damage. “Due to the unwavering efforts and collaboration between federal, state, and local law enforcement, Banegas Rodriguez was brought to justice for his role in this scheme.” The sentence, Proctor added, should serve as a warning: “there are real consequences for engaging in fraud, particularly in northwest Indiana.”

Homeland Security Investigations (HSI) Special Agent in Charge Matthew J. Scarpino echoed that sentiment, stating, “The illicit actions of co-conspirators to commit bank fraud as they travel throughout the United States will not be tolerated.” Scarpino emphasized HSI’s commitment to partnering with other agencies to “disrupt these types of offenders and hold them accountable for their crimes.”

The investigation was a coordinated effort involving HSI, the FBI, the Secret Service, and the Indiana State Police. Valuable assistance was also provided by the Benton County (Indiana) Sheriff’s Department, the Benton County (Indiana) Prosecutor’s Office, the Poteau (Oklahoma) Police Department, and the Houston (Texas) Police Department. Assistant U.S. Attorneys Steven J. Lupa (Northern District of Indiana) and Kara Traster & Jordan Howanitz (Eastern District of Oklahoma) handled the prosecution. Rodriguez will also serve one year of supervised release following his 27-month prison term.

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