Related Federal Cases
- Michael Esposito, Wire Fraud, New Jersey 2013 · Pennsylvania
- Michael Conway, Wire Fraud, New Jersey 2016 · Pennsylvania
- Gomidas Garabed Hartounian, Wire Fraud and Tax Evasion, New Jersey 2014 · Florida
- Ricardo Reid, Mail and Wire Fraud Conspiracy, New Jersey 2024 · Virginia
- Ahmed El Soury, Conspiracy to Violate Anti-Kickback Statute, Federal Travel Act, Wire Fraud, New Jersey 2012 · Pennsylvania
North Caldwell Man Charged with Defrauding Investor out of Hundreds of Thousands of Dollars
A North Caldwell, New Jersey, man was arrested this morning by FBI agents for fraudulently using funds that he solicited for bulk medical supply and consumer goods transactions, U.S. Attorney Paul Fishman announced.
Michael Esposito, 45, is charged by complaint with one count of wire fraud. He appeared this afternoon before U.S. Magistrate Judge Mark Falk in Newark federal court and was released on bail.
According to the complaint, Esposito was the president of three companies that purported to be in the business of purchasing consumer products in bulk from manufacturers for resale to wholesalers and retailers.
In August 2013, Esposito told an individual referred to in the complaint as ‘Victim 1,’ that Esposito had a customer that backed out of the purchase of medical supplies. Victim 1 was able to locate a buyer to whom Victim 1 could sell the goods for profit. However, after Victim 1 wired Esposito funds for the medical supplies, Esposito allegedly used the funds for unrelated expenses, including payments to apparent victim investors from prior transactions, restaurant bills, and salary for himself and others.
Altogether, Victim 1 had more than $1 million wired to Esposito for the medical supplies and consumer goods transactions. During this time, Esposito caused approximately $517,000 to be sent by wire transfer to Victim 1, falsely representing that these funds were the return of principal and profits from successful deals.
The charge of wire fraud is punishable by a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense.
The charge and allegations contained in the complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.
Key Facts
- State: New Jersey
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News