Damian Williams, the USA Lawyer for the Southern District of New York, and Michael J. Driscoll, Assistant Director in Cost of the New York Area Workplace of the Federal Bureau of Investigation (“FBI”), introduced right this moment the arrest of KEVIN CHIU, a former enterprise relationship supervisor at a monetary establishment headquartered in Manhattan, for a years-long financial institution fraud and embezzlement scheme to steal over $2 million from his former purchasers’ accounts. CHIU was arrested this morning in Brooklyn and shall be offered right this moment earlier than U.S. Justice of the Peace Decide James L. Cott.
U.S. Lawyer Damian Williams stated: “As alleged, for years, Chiu abused his place as a enterprise relationship supervisor at a monetary establishment to steal tens of millions from his purchasers, together with aged purchasers. Immediately’s arrest is one more instance of this Workplace’s dedication to holding accountable those that commit monetary frauds, particularly those that are in positions of belief inside monetary establishments.”
FBI Assistant Director Michael J. Driscoll stated: “The criticism right this moment alleges that Chiu exploited his entry to facilitate a years-long scheme to embezzle greater than two million {dollars} from his purchasers. Monetary crimes like this in the end undermine the general public’s confidence within the monetary system. Immediately’s arrest ought to function reminder to anybody prepared to make the most of their employment to steal funds – the FBI will guarantee you’re held accountable within the prison justice system.”
As alleged within the Grievance:[1]
From at the least on or about October 28, 2020, by on or about June 29, 2022, CHIU engaged in a scheme to steal from his purchasers’ accounts through the use of fraudulent transaction kinds to switch funds out of their accounts. He requested at the least one aged consumer to signal clean transaction kinds when she was assembly with CHIU in individual and offered that consumer with faux account statements so she wouldn’t know the true steadiness of her account, which CHIU had largely drained.
As well as, CHIU transferred stolen funds from some consumer accounts to others from which he already had stolen to hide the fraud. In complete, CHIU stole over $2 million from his former purchasers, a number of of whom have been aged particular person purchasers.
CHIU used the cash he stole to buy securities and commerce available in the market. He additionally used the funds for private bills.
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CHIU, 32, of Brooklyn, New York, is charged with one depend of financial institution fraud, which carries a most sentence of 30 years in jail; one depend of embezzlement by a financial institution worker, which carries a most sentence of 30 years in jail; one depend of cash laundering, which carries a most sentence of 20 years in jail; and one depend of aggravated id theft, which carries a compulsory sentence of two years in jail.
The utmost potential sentences are prescribed by Congress and are offered right here for informational functions solely, as any sentencing of the defendant shall be decided by the decide.
Mr. Williams praised the excellent investigative work of the FBI.
The prosecution of this case is being dealt with by the Workplace’s Common Crimes Unit. Assistant U.S. Lawyer Lisa Daniels is accountable for the prosecution.
The costs contained within the Grievance are merely accusations, and the defendant is presumed harmless except and till confirmed responsible.
[1] Because the introductory phrase signifies, the whole thing of the textual content of the Grievance, and the outline of the Grievance set forth herein, represent solely allegations, and each truth described ought to be handled as an allegation.
