DOJ: Illegal Aliens Sentenced For Scheme To Make And Cash Fraudulent Payroll Checks

• The defendants used fake IDs to cash 178 fraudulent paychecks at multiple businesses and bank branches.
• Restitution of $299,474.00 was ordered and sentences ranged from 22 to 33 months in prison.

Two foreign nationals unlawfully present in Oklahoma, Bairon Nayn Cabrera-Martinez and Carlos Eduardo Nuila-Ramos, were sentenced for conspiracy to commit bank fraud and unlawful reentry after cashing fraudulent payroll checks. Their sentences, 33 and 22 months respectively, will be served concurrently, and both must pay $299,474.00 in restitution.

Investigators found that Cabrera-Martinez, Nuila-Ramos, Banegas-Contreras, and others used fake identification cards to cash 178 fraudulent paychecks at three check-cashing businesses and five bank branches. The checks were made to appear as if issued by a building materials supply company in Oklahoma.

• $299,474.00 total fraudulent paychecks cashed
• 178 fraudulent paychecks cashed
• 33 months longest prison sentence

• Review transactions involving building materials supply companies in the Eastern District of Oklahoma for similar payroll check fraud typologies.
• Scrutinize check-cashing activity at three check-cashing businesses and five local bank branches for patterns matching fake ID usage.
• Update internal controls to detect multiple fraudulent paychecks cashed by individuals with fake identification cards, referencing the DOJ case details.

This case highlights the risks of payroll check fraud involving fake identification and multiple financial institutions. Compliance officers must be vigilant for similar schemes, especially those targeting check-cashing businesses and local banks. The restitution amount and number of fraudulent checks underscore the potential financial impact. Enhanced controls and monitoring for fake IDs and unusual payroll check activity are essential to prevent and detect such fraud, as illustrated by the DOJ investigation and prosecution.