Boris Shulman, Debt Settlement Scheme, New York 2014
New York, NY - Former sales representative Boris Shulman, 27, of Brooklyn, New York, pleaded guilty in Manhattan federal court to his role in a multimillion-dollar scheme that targeted debt-ridden consumers.
According to the United States Attorney for the Southern District of New York, Preet Bharara, Shulman was a sales representative of Mission Settlement Agency ('Mission'), a company that offered debt settlement services to financially disadvantaged individuals.
From 2009 through May 2013, Mission, along with Shulman and three other Mission employees, systematically exploited and defrauded over 1,200 financially disadvantaged individuals across the country who were struggling to pay their credit card debts.
Shulman and Mission's sales representatives tricked people into paying Mission for purported debt settlement services by lying to prospective customers about the agency's ability to help settle their debts, the fees that Mission charged, and its purported affiliation with the federal government.
Mission received over $6.6 million in fees, with Shulman taking fees totaling nearly $2.2 million and never paying a penny to the customers' creditors.
Shulman pleaded guilty to one count of conspiracy to commit mail and wire fraud, one count of mail fraud, and one count of wire fraud, and faces a maximum sentence of 60 years in prison.
He is scheduled to be sentenced by Judge Paul G. Gardephe on May 30, 2014.
As part of his guilty plea, Shulman agreed to forfeit $2,196,522 to the United States.
Key Facts
- State: New York
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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