Ronald Charles Reed, Wells Fargo Data Heist, CA 2024

LOS ANGELES — Ronald Charles Reed, 70, of Inglewood, the ringleader of a sprawling bank fraud scheme that exploited insider access to Wells Fargo customer data, was sentenced today to 89 months in federal prison. The heist, fueled by stolen personal information handed over by corrupt bank employees, resulted in the theft of $580,332 from 75 customer accounts across multiple states.

U.S. District Judge Fernando M. Olguin handed down the sentence after Reed pleaded guilty in March 2016 to charges of bank fraud and aggravated identity theft. In addition to prison time, Reed was ordered to pay full restitution of $580,332 to Wells Fargo Bank. Known on the streets as ‘Disco Ronnie,’ Reed orchestrated a criminal network involving former bank workers and street-level ‘runners’ who used fake IDs to impersonate victims and drain accounts.

Between 2013 and 2014, Reed recruited four Wells Fargo employees to illegally access the bank’s internal systems, purchasing customer data including Social Security numbers, dates of birth, account numbers, and driver’s license details. That information was funneled to runners who walked into branches across Southern California, Nevada, and Minnesota, cashed stolen checks, and made large withdrawals under false pretenses — all while the real account holders remained unaware.

Reed also attempted to expand his operation to U.S. Bank in 2014, unknowingly purchasing data from undercover accounts set up by a law enforcement informant. Over a 13-month period, the scheme bled $580,332 from Wells Fargo customers and an additional $12,000 from the undercover U.S. Bank accounts before investigators moved in.

‘This defendant has a lengthy criminal history, much of which involved fraudulent schemes and identity theft, including a counterfeit credit card case in this district that led to a sentence of nearly five years in federal prison,’ said U.S. Attorney Eileen M. Decker. ‘He stole identities and funds from innocent people, creating unnecessary havoc in their lives. This sentence sends a message.’

The four former Wells Fargo employees involved have all pleaded guilty and await sentencing. The runners remain unidentified, and the FBI continues its investigation. Authorities urge anyone with information to contact FBI Special Agent Watkins at (310) 477-6565. ‘Fraud ringleaders should be deterred by the strong hand of justice,’ said Rob Savage, SAC of the U.S. Secret Service, Los Angeles. ‘We will not tolerate the exploitation of our financial systems.’