Florida Man Sentenced To Three Years In Prison For Participating In Fraud And Money Laundering Scheme Targeting Hedge Fund
Mustapha Raji, a 53-year-old Florida man, was sentenced to three years in prison for participating in a $1
Mustapha Raji, a 53-year-old Florida man, was sentenced to three years in prison for participating in a $1.7 million business email compromise and money laundering scheme targeting a Manhattan hedge fund. Raji was convicted of conspiracy to commit wire fraud, wire fraud, receipt of stolen property, and conspiracy to commit money laundering. He received a $50,000 cut for his participation in the scheme and was ordered to pay restitution and forfeit $711,557.54. Raji was also involved in other business email compromise schemes, including one that targeted a hospital system in Missouri, resulting in over $250,000 in losses.
Mustapha Raji, a 53-year-old Florida man, was sentenced to three years in prison for participating in a $1.7 million business email compromise and money laundering scheme targeting a Manhattan hedge fund. Raji was convicted of conspiracy to commit wire fraud, wire fraud, receipt of stolen property, and conspiracy to commit money laundering. He received a $50,000 cut for his participation in the scheme and was ordered to pay restitution and forfeit $711,557.54. Raji was also involved in other business email compromise schemes, including one that targeted a hospital system in Missouri, resulting in over $250,000 in losses. Mustapha Raji, a 53-year-old Florida man, was sentenced to three years in prison for his role in a $1.7 million business email compromise and money laundering scheme targeting a Manhattan hedge fund, along with other victims including a public university, a hospital system, and a Missouri hospital. Raji was convicted on charges of conspiracy to commit wire fraud, wire fraud, receipt of stolen property, and conspiracy to commit money laundering after a jury trial, having orchestrated fraudulent transfers by hacking corporate email accounts and laundering proceeds through shell companies he controlled. He personally received $50,000 from the hedge fund scam and was linked to over $250,000 in fraud from the Missouri hospital. In addition to his prison term, Raji was ordered to pay $711,557.54 in restitution and forfeit the same amount, and will serve three years of supervised release. The case was prosecuted by the Southern District of New York’s Complex Frauds and Cybercrime Unit, with investigative support from the FBI. Mustapha Raji, a 53-year-old Florida man, was sentenced to three years in prison for his role in a $1.7 million business email compromise and money laundering scheme targeting a Manhattan hedge fund, among other victims. He was convicted on charges including conspiracy to commit wire fraud, wire fraud, receipt of stolen property, and money laundering after a jury trial, having orchestrated fraudulent transfers by compromising corporate email accounts and laundering funds through shell companies he controlled. Raji facilitated the diversion of over $2.3 million across multiple victims—including a public university, a Missouri hospital system, and the hedge fund—while personally pocketing $50,000. In addition to his prison term, he was ordered to pay $711,557.54 in restitution and forfeit the same amount, along with three years of supervised release. The case was prosecuted by the Southern District of New York’s Complex Frauds and Cybercrime Unit, with investigative support from the FBI.
Extracted insights
- $2.30M $2.3 million $1M–$10M
- $2.00M $2 million $1M–$10M
- $1.70M $1.7 million $1M–$10M
- $712K $711,557 $100K–$1M
- $250K $250,000 $100K–$1M
- $100K $100,000 $100K–$1M
- $50K $50,000 $10K–$100K
- scheme_term $1.7 million business email compromise and money laundering scheme
- person damian williams
- company hedge fund
- person judge jesse m. furman
- person mustapha raji
- Mustapha Raji sentenced to three years in prison
- Mustapha Raji participated in $1.7 million business email compromise and money laundering scheme
- Mustapha Raji convicted of conspiracy to commit wire fraud, wire fraud, receipt of stolen property, and conspiracy to commit money laundering
- Judge Jesse M. Furman sentenced Mustapha Raji
- Damian Williams announced sentencing of Mustapha Raji
- Mustapha Raji received over $100,000 in two transfers in April 2017
- Public University in Oregon sent nearly $2 million to account controlled by Raji's co-conspirator
- Mustapha Raji involved in compromise of business email account of hedge fund founder in New York in July 2018
- Hedge Fund lost $1.7 million wire transfer diverted fraudulently
- Mustapha Raji took $50,000 cut for participation in scheme
- Hospital System in Missouri lost over $250,000 in business email compromise scheme in May 2018
- Mustapha Raji ordered to pay restitution of $711,557.54
- Mustapha Raji ordered to forfeit $711,557.54
- Mustapha Raji sentenced to three years of supervised release
- Mustapha Raji age 53
- Mustapha Raji resides in Hollywood, Florida
Press Release Florida Man Sentenced To Three Years In Prison For Participating In Fraud And Money Laundering Scheme Targeting Hedge Fund Tuesday, September 19, 2023 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Damian Williams, the United States Attorney for the Southern District of New York, announced that MUSTAPHA RAJI was sentenced today by U.S. District Judge Jesse M. Furman to three years in prison for his participation in a $1.7 million business email compromise and money laundering scheme that targeted a Manhattan hedge fund. RAJI was previously convicted after a one-week jury trial of conspiracy to commit wire fraud, wire fraud, receipt of stolen property, and conspiracy to commit money laundering. U.S. Attorney Damian Williams said: “Today’s sentencing of Mustapha Raji should send a clear message that email scams targeting businesses in this District will not be tolerated. Together with our law enforcement partners, we will continue to zealously prosecute online scammers abroad, and the U.S.-based money launderers they work with, to protect American businesses.” As reflected in the Indictment, public filings, and the evidence presented at trial: RAJI participated in an international fraud ring that conducted phishing and other email fraud campaigns. In April 2017, a company RAJI controlled received over $100,000 in two transfers from another corporate entity, which had itself just received nearly $2 million in stolen money from a public university in Oregon. The university had been conned into sending the payment to an account controlled by one of RAJI’s co-conspirators instead of the bank account of the legitimate vendor it intended to pay. In July 2018, RAJI was involved in the compromise of the business email account of a hedge fund founder in New York. That compromise resulted in the fraudulent diversion of a $1.7 million wire transfer from the hedge fund to a corporate bank account used to facilitate the scheme. RAJI was a registered officer of the company that received the stolen funds, he fabricated documents to cover up the fraudulent transfer of funds from the hedge fund, and he directed a co-conspirator to launder the stolen funds to other co-conspirators domestically and overseas. RAJI took a $50,000 cut for his participation in the scheme. Similarly, in May 2018, a hospital system in Missouri fell victim to a business email compromise scheme. As part of that scheme, unauthorized emails were sent from the email account for the hospital’s chief financial officer that purported to direct payments to be issued for false invoices issued by RAJI’s company, causing over $250,000 to be sent directly by the victim to a bank account RAJI controlled. In September 2018, RAJI learned that a co-conspirator with whom he had worked closely in the scheme had been arrested. Nonetheless, when a cooperating witness approached RAJI in 2019 about a new fraud — a supposed insider job to steal $2.3 million — RAJI agreed to participate and sent the cooperating witness wire instructions for an account to receive the stolen money. * * * In addition to his prison term, RAJI, 53, of Hollywood, Florida, was sentenced to three years of supervised release and was ordered to pay restitution in the amount of $711,557.54 and forfeit the same amount. Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation. This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Catherine Ghosh, Jilan Kamal, Dina McLeod, and Robert B. Sobelman are in charge of the prosecution. Contact Nicholas Biase (212) 637-2600 Updated September 19, 2023 Topic Financial Fraud Component USAO - New York, Southern Press Release Number: 23-328
Press Release Florida Man Sentenced To Three Years In Prison For Participating In Fraud And Money Laundering Scheme Targeting Hedge Fund Tuesday, September 19, 2023 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Damian Williams, the United States Attorney for the Southern District of New York, announced that MUSTAPHA RAJI was sentenced today by U.S. District Judge Jesse M. Furman to three years in prison for his participation in a $1.7 million business email compromise and money laundering scheme that targeted a Manhattan hedge fund. RAJI was previously convicted after a one-week jury trial of conspiracy to commit wire fraud, wire fraud, receipt of stolen property, and conspiracy to commit money laundering. U.S. Attorney Damian Williams said: “Today’s sentencing of Mustapha Raji should send a clear message that email scams targeting businesses in this District will not be tolerated. Together with our law enforcement partners, we will continue to zealously prosecute online scammers abroad, and the U.S.-based money launderers they work with, to protect American businesses.” As reflected in the Indictment, public filings, and the evidence presented at trial: RAJI participated in an international fraud ring that conducted phishing and other email fraud campaigns. In April 2017, a company RAJI controlled received over $100,000 in two transfers from another corporate entity, which had itself just received nearly $2 million in stolen money from a public university in Oregon. The university had been conned into sending the payment to an account controlled by one of RAJI’s co-conspirators instead of the bank account of the legitimate vendor it intended to pay. In July 2018, RAJI was involved in the compromise of the business email account of a hedge fund founder in New York. That compromise resulted in the fraudulent diversion of a $1.7 million wire transfer from the hedge fund to a corporate bank account used to facilitate the scheme. RAJI was a registered officer of the company that received the stolen funds, he fabricated documents to cover up the fraudulent transfer of funds from the hedge fund, and he directed a co-conspirator to launder the stolen funds to other co-conspirators domestically and overseas. RAJI took a $50,000 cut for his participation in the scheme. Similarly, in May 2018, a hospital system in Missouri fell victim to a business email compromise scheme. As part of that scheme, unauthorized emails were sent from the email account for the hospital’s chief financial officer that purported to direct payments to be issued for false invoices issued by RAJI’s company, causing over $250,000 to be sent directly by the victim to a bank account RAJI controlled. In September 2018, RAJI learned that a co-conspirator with whom he had worked closely in the scheme had been arrested. Nonetheless, when a cooperating witness approached RAJI in 2019 about a new fraud — a supposed insider job to steal $2.3 million — RAJI agreed to participate and sent the cooperating witness wire instructions for an account to receive the stolen money. * * * In addition to his prison term, RAJI, 53, of Hollywood, Florida, was sentenced to three years of supervised release and was ordered to pay restitution in the amount of $711,557.54 and forfeit the same amount. Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation. This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Catherine Ghosh, Jilan Kamal, Dina McLeod, and Robert B. Sobelman are in charge of the prosecution. Contact Nicholas Biase (212) 637-2600 Updated September 19, 2023 Topic Financial Fraud Component USAO - New York, Southern Press Release Number: 23-328