Transnational Fraud Network Exposed: Six Members Indicted for Stealing Millions from American Consumers’ Bank Accounts
A federal grand jury in Los Angeles has returned an indictment charging six defendants, including Ohio resident Henry LoConti, 63, for their participation in a years-long scheme to steal millions of dollars from American consumers’ bank accounts.
According to court documents, LoConti, of Chardon, Ohio, along with John Flynn, 43, of Canada; Shoaib Ahmad, 64, of Canada; Timothy Munoz, 57, of Wilmington, California; Eric Crespin, 61, of Canada; and Lezli St. Hill, 53, of Canada, were members and associates of a racketeering enterprise that unlawfully debited money from the bank accounts of unknowing U.S. consumer-victims.
The indictment alleges that the enterprise obtained identifying and banking information for victims, and created shell entities that claimed to offer products or services, such as cloud storage. They then executed unauthorized debits against victims’ bank accounts, which they falsely represented to banks were authorized by the victims.
Some of the unauthorized debits resulted in returned transactions, which generated high return rates. To both conceal and continue conducting unauthorized debits, the enterprise’s shell entities also generated “micro debits” against other bank accounts controlled and funded by or for the enterprise. The micro debits artificially lowered shell entities’ return rates to levels that conspirators believed would reduce bank scrutiny and lessen potential negative impact on the enterprise’s banking relations.
The six defendants are charged with racketeering conspiracy and wire fraud. If convicted, each defendant faces a maximum penalty of 20 years in prison for racketeering conspiracy and 30 years in prison for each count of wire fraud. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The U.S. Attorney for the Central District of California, Martin Estrada, urged everyone to regularly check their accounts for any unauthorized activity – no matter how small. Prevention is key.
Henry LoConti, Racketeering Conspiracy, Ohio 2024. The indictment is just the latest development in a complex case that has seen 19 conspirators charged in the Central District of California, with three other defendants convicted and/or sentenced in the District of Nevada, Southern District of California, and District of Maryland.
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Key Facts
- State: Ohio
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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