Malik Yousaf, 55, of South Setauket, New York, was sentenced to 48 months in federal prison today for running a sprawling wire fraud, alien harboring, and identity theft scheme across multiple 7-Eleven franchise locations in Long Island and Virginia. The sentence, handed down in Central Islip, marks the end of a years-long operation that exploited dozens of undocumented workers and siphoned millions in illicit gains.
Yousaf, who served as chief manager of five 7-Eleven stores during the conspiracy, admitted in a guilty plea on September 22, 2014, to hiring illegal aliens, equipping them with over 20 stolen U.S. identities, and housing them in properties owned by coconspirators. He systematically stole substantial portions of his workers’ wages while generating more than $182 million in revenue from the stores under his control.
U.S. Attorney Robert L. Capers, Eastern District of New York, announced the sentencing and credited a multi-agency takedown involving Immigration and Customs Enforcement’s Homeland Security Investigations, the New York State Police, Suffolk County Police, the U.S. Department of Labor, and the Social Security Administration’s Office of Inspector General. “This was not just wage theft—it was human exploitation wrapped in financial fraud,” Capers stated.
In addition to prison time, the court ordered the forfeiture of Yousaf’s interests in eight 7-Eleven stores in New York and ten in Virginia, along with a Long Island residence valued at over $150,000. He was also hit with a $2.5 million restitution order to repay the back wages stolen from his victims.
The case was prosecuted by the Eastern District’s Business and Securities Fraud Section, led by Assistant U.S. Attorney Matthew Amatruda. AUSA Brian Morris and Elliot M. Schachner handled the asset forfeiture in the Civil Division. The charges were brought under the umbrella of the President’s Financial Fraud Enforcement Task Force, a massive interagency coalition formed to combat white-collar crime.
Since its launch, the task force has prosecuted over 18,000 financial fraud cases. Yousaf’s case, docketed as E.D.N.Y. 14-CR-351(SJF), underscores the federal crackdown on corporate exploitation and identity theft. Workers with concerns can contact the New York State Department of Labor at 1-877-466-9757.
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Key Facts
- State: New York
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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