Michael Esposito, Wire Fraud, New Jersey 2024

Newark, N.J. – In a disturbing case of financial deceit, 45-year-old Michael Esposito of North Caldwell, N.J., has been charged with one count of wire fraud, according to a complaint filed by U.S. Attorney Paul Fishman.

Esposito allegedly used funds he solicited for bulk medical supply and consumer goods transactions for his own benefit, including payments to apparent victim investors from prior transactions, restaurant bills, and salary for himself and others.

According to the complaint, Esposito defrauded an individual referred to as "Victim 1" out of more than $1 million. Victim 1 had been able to locate a buyer for medical supplies but after wiring Esposito funds, Esposito used the money for unrelated expenses.

Esposito also sent Victim 1 numerous fraudulent communications that the delivery of the medical supplies was imminent, but he never delivered the supplies. During this time, he sent Victim 1 emails detailing a series of investment opportunities in which he would purchase consumer goods in bulk at substantial discounts.

Altogether, Victim 1 had more than $1 million wired to Esposito for the medical supplies and consumer goods transactions. 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.

Esposito appeared before U.S. Magistrate Judge Mark Falk in Newark federal court and was released on bail. 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 government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Economic Crimes Unit in Newark. Defense counsel is Brooke M. Barnett Esq. of Newark.

U.S. Attorney Fishman credited special agents with the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, with the investigation leading to the charges. The charge and allegations contained in the complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.

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