A Bothell resident was part of a five-man scam group that was indicted on Aug. 28 in the Western District of Washington in connection with a nationwide fraud scheme taking funds from elderly victims.
Hsin Chien, 31, of Bothell is one of the defendants charged with conspiracy to commit money laundering, 10 counts of money laundering by concealment, and 10 counts of money laundering by spending, according to a United States Department of Justice (DOJ) press release. Chien was released pending trial.
Two of the other defendants are from Bellevue and two are from Seattle. Three of the men are being detained pending hearings and a trial and one man is being sought by law enforcement.
According to the DOJ, the indictment alleges the men were part of a conspiracy to launder the fraud proceeds, whereby the defendants sent the fraudulently obtained funds to bank accounts in China and Hong Kong. Homeland Security Investigations is investigating the case and a trial is scheduled for Nov. 9.
“These scam groups operate like a business — some people convince the victims they must send money to ‘protect’ their money or repair their computer. Other schemers willingly take that money and launder it through bank accounts to the benefit of the entire conspiracy,” said First U.S. Attorney Neil Floyd. “These five are the men who allegedly laundered those victim funds through some 21 different shell companies and 44 bank accounts. Charging them disrupts the network and, is the first step in uncovering the rest of the conspiracy.”
In all, the defendants collectively received and laundered more than $7.4 million in fraud proceeds from at least 77 victims. If convicted, the defendants could spend up to 10-20 years in prison and pay fines between $250,000 and $500,000 or more.
The DOJ notes that the charges contained in the indictment are only allegations. “A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law,” the DOJ added.
