Brockport Man Admits To $400K Treasury Check Scam

ROCHESTER, N.Y. – Steven Ray, 49, of Brockport, New York, has confessed to a brazen scheme involving stolen U.S. Treasury checks, totaling over $400,000. Ray pleaded guilty today to one count of mail fraud and one count of forging treasury checks before U.S. Magistrate Judge Marian W. Payson. The mail fraud charge carries a maximum penalty of 20 years in prison, a fine of up to $250,000, or both. Forging treasury checks could add another 10 years, another $250,000 fine.

According to Assistant U.S. Attorney Craig R. Gestring, Ray systematically cashed more than 120 forged checks pilfered from across the country, including the New York City area. He had the stolen checks mailed to his Brockport home via the United States Postal Service. Postal Service records revealed a suspicious pattern: between March 2013 and August 2013, at least 20 Express Mail packages originating from Lithonia, Georgia, were delivered to Ray’s residence. Ray claimed these were for his adult daughter, needing a signature during the day, a claim contradicted by postal records showing no signature requirement for those deliveries.

Federal agents uncovered a network of at least 13 bank accounts under various names, all controlled by Ray. He used these accounts to deposit the stolen checks, victimizing individuals receiving Social Security payments, tax refunds, and other vital Treasury funds. One particularly egregious example involved a $33,000 check intended as a retirement disbursement for a woman in California. Ray initially told investigators it was a down payment for local property, then fabricated a story about being friends with the check’s owner and a different property purchase. The victim, however, vehemently denied any connection to Ray, stating she never received, endorsed, or authorized anyone to deposit her check.

The scope of Ray’s fraud is staggering. He illegally obtained over $405,000. While investigators managed to recover nearly $100,000 of the stolen funds and return it to the rightful owners, the damage is done. The scheme preyed on vulnerable citizens relying on these funds for their livelihood. This wasn’t some sophisticated operation; it was a calculated effort to exploit a system and steal from those who needed it most.

The investigation, a joint effort by Inspectors from the United States Postal Inspection Service, under the direction of Shelly Binkowski, Inspector In Charge of the Boston Division, and Special Agents of the Internal Revenue Service, Criminal Investigation Division, under the Direction of Special Agent in Charge of the New York Field Office, Shantelle P. Kitchen, brought Ray’s scheme to light. The evidence paints a clear picture of a man deliberately defrauding the system for personal gain.

Ray is scheduled to be sentenced on May 26, 2015, at 10:00 a.m. before U.S. District Court Judge David G. Larimer. Expect a hefty sentence; the feds don’t take kindly to stealing from the Treasury. Contact Barbara Burns at (716) 843-5817 for further information.