Four Individuals Arrested for Investment Fraud Scheme Targeting Hawaii Residents

Four individuals arrested for an investment fraud scheme targeting Hawaii residents. Charges include wire fraud and false promises. Collaboration between law enforcement authorities key in combating fraud. Trial date set for May 8, 2023. Contact Elliot Enoki for more information.

In a recent development, four individuals have been arrested for an investment fraud scheme that specifically targeted residents of Hawaii. The defendants, namely Haitem Taylor Abid Dhaene, Latifa Zanki Dhaene, Tim Dhaene, and Sofyane Abid Dhaene, were apprehended in Waikiki by the Federal Bureau of Investigation (FBI) agents. The charges against them stem from allegations of wire fraud, where the four defendants allegedly engaged in a fraudulent investment scheme that procured over $300,000 from multiple individuals in Hawaii. The indictment states that the defendants, through false promises of high return investment contracts, managed to convince victims to invest their money. This case highlights the collaborative efforts of federal and state law enforcement authorities in combating fraud and protecting the community.

Arrest and Indictment of Four Individuals

Arraignment in federal court

On March 6, 2023, four individuals, namely Haitem Taylor Abid Dhaene, Latifa Zanki Dhaene, Tim Dhaene, and Sofyane Abid Dhaene, were arraigned in federal court. This arraignment follows an indictment that was returned by a federal grand jury on February 23, 2023. The arraignment took place before U.S. District Judge Leslie E. Kobayashi.

Arrest by FBI agents

The four defendants were arrested over the weekend in Waikiki by agents of the Federal Bureau of Investigation (FBI). The arrest was carried out as a part of the investigation into the investment fraud scheme.

Plea of not guilty

During their arraignment, all four defendants pled not guilty to the charges contained in the indictment. This plea of not guilty indicates their denial of any involvement in the investment fraud scheme.

Trial date set

Following the arraignment, the trial date for the four defendants was set for May 8, 2023. The trial will take place before U.S. District Judge Leslie E. Kobayashi.

Release and detention hearings

Sofyane Dhaene, one of the defendants, was ordered to be released on conditions. However, the three other defendants are scheduled for detention hearings on March 7 and 8. These hearings will determine whether they should be detained or granted release pending trial.

Details of the Investment Fraud Scheme

Charges of wire fraud

The four individuals are charged with wire fraud in relation to their alleged involvement in an investment fraud scheme. Wire fraud is a serious offense that involves the use of electronic communications to carry out fraudulent activities.

Obtained over $300,000

According to the indictment, the four defendants obtained more than $300,000 through their fraudulent investment scheme. This significant amount of money highlights the seriousness of their alleged criminal activities.

False promises and fraudulent investment scheme

The indictment alleges that the defendants engaged in a fraudulent investment scheme by making false promises to prospective investors. They claimed that the money would be invested in high return investment contracts guaranteed by a mainland wealth management firm and its partner. However, the indictment reveals that these promises were false and misleading.

Solicitation of multiple persons in Hawaii

The alleged investment fraud scheme targeted multiple individuals in Hawaii. The defendants solicited these individuals, persuading them to invest their money based on false promises and fraudulent claims.

False claims of partnership and investment contracts

To further deceive their victims, the defendants falsely represented that they had formed a private equity investment group. They provided investment contracts that promised a high yearly return of 315%. These contracts even bore the name and forged signature of a mainland wealth advisor. However, these claims were found to be entirely false by the investigation.

Collaboration between Law Enforcement Authorities

Joint investigation by FBI and SIPD

The investigation into the investment fraud scheme was conducted jointly by the FBI and the Special Investigation and Prosecution Division (SIPD) of the Hawaii Department of the Attorney General. This collaboration between federal and state law enforcement authorities demonstrates the importance of working together to combat complex financial crimes.

Collaboration with Special Investigation and Prosecution Division

The partnership between the FBI and the Special Investigation and Prosecution Division (SIPD) was instrumental in uncovering the investment fraud scheme and building a strong case against the four defendants. The combined efforts and expertise of these law enforcement agencies helped to ensure a thorough investigation.

Partnership with state law enforcement authorities

Collaborating with state law enforcement authorities, such as the Special Investigation and Prosecution Division (SIPD), strengthens the ability to protect the community from various forms of fraud. The partnership between federal and state agencies allows for a coordinated approach in combating white-collar crimes and ensuring justice for the victims.

Statements from Officials

U.S. Attorney’s commitment to investigating frauds in Hawaii

U.S. Attorney Clare E. Connors expressed her office’s commitment to diligently investigate and prosecute a wide range of frauds that occur in Hawaii. The indictment and arrest of the four individuals involved in the investment fraud scheme reflect this commitment and serve as a warning to those who attempt to defraud the community.

Importance of collaboration with SIPD

U.S. Attorney Clare E. Connors emphasized the importance of collaboration with the Special Investigation and Prosecution Division (SIPD) in successfully addressing financial crimes. This collaboration enhances the ability of law enforcement to protect the community and bring justice to those who commit fraud.

Attorney General’s comments on combating white-collar crime

Anne Lopez, the Attorney General of the State of Hawaii, highlighted the significance of the collaboration between federal and state law enforcement agencies in combating white-collar crime. She praised the partnership between SIPD, the United States Attorney’s Office, the FBI, and other law enforcement partners, which will ensure justice for Hawaii residents.

FBI’s determination to bring justice

Steven Merrill, the Special Agent in Charge, stated that the alleged investment fraud scheme demonstrated an unconscionable display of greed and manipulation. He emphasized the FBI’s dedication to bringing those who perpetrate such scams to justice. The commitment of law enforcement agencies is vital in protecting the community from financial fraud and holding perpetrators accountable.

Charges and Potential Penalties

Three counts of wire fraud for each defendant

Each defendant in the investment fraud scheme is charged with three counts of wire fraud. The multiple counts suggest the extent and severity of their alleged criminal conduct.

Maximum penalty of 30 years in prison

Wire fraud is a serious offense that carries significant penalties. If found guilty, each defendant could face a maximum prison sentence of 30 years for each count of wire fraud. The severity of the penalties reflects the gravity of the fraudulent activities they are accused of committing.

Fine of up to $1 million

In addition to imprisonment, those found guilty of wire fraud can also face substantial fines. The defendants in this case could be subject to fines of up to $1 million, further underscoring the severity of the charges they are facing.

Presumption of innocence until proven guilty

It is important to note that despite the charges against them, each defendant is considered innocent until proven guilty beyond a reasonable doubt in a court of law. The principle of the presumption of innocence ensures that individuals are not unjustly punished before the conclusion of a fair trial.

Investigation and Prosecution Details

Investigation conducted by FBI and SIPD

The investigation into the investment fraud scheme was conducted jointly by the FBI and the Special Investigation and Prosecution Division (SIPD) of the Hawaii Department of the Attorney General. The collaboration between these agencies allowed for the efficient gathering of evidence and the preparation of a strong case against the defendants.

Prosecution by Assistant U.S. Attorney and Deputy Attorney General

The prosecution of the investment fraud scheme case involves Assistant U.S. Attorney Craig Nolan and Deputy Attorney General Lauren M. Nakamura. Their expertise and dedication to justice ensure that the case is handled effectively and fairly.

Partnership between FBI and SIPD

The partnership between the FBI and the Special Investigation and Prosecution Division (SIPD) was crucial in both the investigation and prosecution of the investment fraud scheme. This collaboration demonstrates the effectiveness of federal and state law enforcement agencies working together to combat financial crimes.

Contact Information

For more information or inquiries, please contact Elliot Enoki at Elliot.Enoki@usdoj.gov. Elliot Enoki can provide further details and answer any questions regarding the investment fraud scheme case.

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