2022-12-01 DOJ SDNY press_release 117 KB 4,378 chars

Russian Citizen Sentenced To 46 Months For Laundering Proceeds Of Internet Frauds

Caption: United States v. a Second Corporation, et al.

summary

Russian citizen Taras Ilyich Bevz was sentenced to 46 months in prison for laundering over $1.04 million in proceeds from internet fraud schemes—including hacking and fake vehicle sales—that victimized at least 42 U.S. individuals and businesses after entering the country on a tourist visa and establishing shell corporations to move funds internationally.

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Taras Ilyich Bevz, a Russian citizen, pleaded guilty to money laundering for orchestrating a scheme that laundered over $1,044,924 in proceeds from hacking attacks and fraudulent online vehicle sales targeting at least 42 U.S. victims. He entered the U.S. on a B2 tourist visa in November 2019 and immediately formed shell corporations, opened nine bank accounts, and transferred funds to Turkey or withdrew cash, despite account closures. Bevz was sentenced to 46 months in prison, ordered to pay $1,044,924 in restitution, and forfeit the same amount, with prosecution led by the Southern District of New York and investigation by Homeland Security Investigations.

narrative

Russian citizen Taras Ilyich Bevz was sentenced to 46 months in prison for laundering over $1,044,924 in proceeds from multiple internet fraud schemes that victimized at least 42 U.S. individuals and businesses, including teachers, small business owners, and families. He entered the United States on a B2 tourist visa in November 2019 and immediately established two New York-based shell corporations to facilitate money laundering, opening bank accounts at nine different institutions between December 2019 and March 2021. Bevz laundered funds from two primary schemes: a hacking operation that compromised corporate bank accounts and a vehicle fraud scheme where victims paid for cars, RVs, motorcycles, and boats that were never delivered—such as a family that lost $26,500 on an RV meant to transport an ailing parent. He transferred illicit proceeds internationally, primarily to Turkey, withdrew cash, and continued operations even after one bank shut down his account, while also supervising at least one accomplice in similar activities. Bevz pleaded guilty to one count of money laundering under Count Two of the indictment and was ordered to pay $1,044,924 in restitution and forfeit the same amount. The case was prosecuted by the U.S. Attorney’s Office for the Southern District of New York’s Money Laundering and Transnational Criminal Enterprises Unit, with investigative support from Homeland Security Investigations. His criminal conduct, conducted under the guise of a tourist visa, exemplified a deliberate and sustained effort to exploit the U.S. financial system for transnational fraud.

Enriched metadata

Scheme: cyber-fraud (90%)
Court: Southern District of New York
Outcome: pleaded · 2019-11-12
Restitution: $1,044,924
Victims: 40

Classified cyber-fraud(confidence 90%). No EDGAR filing fingerprint (criminal/DOJ-side scheme). detection rule →

Extracted insights

Dollar amounts 3

$1.04M $1,044,924 $1M–$10M
$1.04M $1,044,924 $1M–$10M
$27K $26,500 $10K–$100K

Entities 3

company a second corporation
person damian williams
person taras ilyich bevz

Triples 21

Damian Williams Announced TARAS ILYICH BEVZ was sentenced to 46 months in prison for laundering over a million dollars of proceeds of various internet frauds targeting dozens of U.S. citizens and companies
TARAS ILYICH BEVZ Was sentenced To 46 months in prison
TARAS ILYICH BEVZ Laundered Over a million dollars of proceeds of various internet frauds
TARAS ILYICH BEVZ Entered The United States from Russia on a B2 tourist visa
TARAS ILYICH BEVZ Registered A corporation in New York that would be used to launder proceeds
TARAS ILYICH BEVZ Registered A second corporation
TARAS ILYICH BEVZ Opened Bank accounts for one or both of these companies at nine different banks, including in Manhattan bank branches
TARAS ILYICH BEVZ Laundered The proceeds of at least two internet fraud schemes operated by co-conspirators
TARAS ILYICH BEVZ Supervised At least one other individual who similarly opened bank accounts and transacted with proceeds from the vehicle fraud scheme
TARAS ILYICH BEVZ Persisted In this scheme even after at least one bank prevented him from transferring money and shut down his account
TARAS ILYICH BEVZ Was ordered To pay $1,044,924 in restitution and forfeit $1,044,924
The hacking scheme Compromised Multiple companies’ bank accounts and sent proceeds to BEVZ’s accounts, among others
The fraud scheme Targeted Victims through internet ads for the sale of cars, RVs, motorcycles, and boats
The victims Were directed To send money to BEVZ’s accounts, among others
The victims’ money Was withdrawn By BEVZ as cash or transferred to Turkey, among other destinations
The purported cars, motorcycles, and boats Were never delivered To the victims
At least 42 victims Lost money As part of BEVZ and his co-conspirators’ schemes
The victims Include Vulnerable victims whose business and personal savings accounts were drained as a result of the fraud
The victims Include Couples who have had to delay retirement
The victims Represent A cross-section of society, including first generation Americans, teachers, and small business owners
The victims Include A family who spent $26,500 to purchase an RV to transport an ailing parent cross-country over the holidays that was never delivered

View original DOJ press releasejustice.gov

Extracted body text (4,378c)

Press Release Russian Citizen Sentenced To 46 Months For Laundering Proceeds Of Internet Frauds Thursday, December 1, 2022 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 TARAS ILYICH BEVZ, a citizen of Russia, was sentenced to 46 months in prison for laundering over a million dollars of proceeds of various internet frauds targeting dozens of U.S. citizens and companies. BEVZ was sentenced today by U.S. District Judge Naomi Reice Buchwald. U.S. Attorney Damian Williams said: “Bevz, a Russian citizen, traveled to the United States on a tourist visa to engage in a crime spree that left over 40 people and entities with over a million dollars in losses. From the day he set foot on American soil, he ran companies and bank accounts that laundered proceeds of various sophisticated internet fraud schemes. Bevz’s illegal journey to America to commit crimes comes to an end with a significant prison sentence.” According to Count Two of the Indictment, to which BEVZ pled guilty, and other statements and submissions made in Court: On or about November 12, 2019, BEVZ entered the United States from Russia on a B2 tourist visa, which prohibited him from working in the United States. He immediately set to work preparing for the corrupt scheme to launder proceeds of various internet frauds. On the day of his arrival, BEVZ registered a corporation in New York that would be used to launder proceeds and subsequently registered a second corporation. From December 2019 to March 2021, BEVZ opened bank accounts for one or both of these companies at nine different banks, including in Manhattan bank branches. From November 2019 through at least April 2021, BEVZ laundered the proceeds of at least two internet fraud schemes operated by co-conspirators: a hacking scheme and a vehicle fraud scheme. The hacking scheme compromised multiple companies’ bank accounts and sent proceeds to BEVZ’s accounts, among others. The fraud scheme targeted victims through internet ads for the sale of cars, RVs, motorcycles, and boats. The victims were directed to send money to BEVZ’s accounts, among others; their money was then withdrawn by BEVZ as cash or transferred to Turkey, among other destinations. The purported cars, motorcycles, and boats were never delivered to the victims. BEVZ supervised at least one other individual who similarly opened bank accounts and transacted with proceeds from the vehicle fraud scheme. BEVZ persisted in this scheme even after at least one bank prevented him from transferring money and shut down his account. At least 42 victims lost money as part of BEVZ and his co-conspirators’ schemes. They include vulnerable victims whose business and personal savings accounts were drained as a result of the fraud and couples who have had to delay retirement. The victims represent a cross-section of society, including first generation Americans, teachers, and small business owners. They include a family who spent $26,500 to purchase an RV to transport an ailing parent cross-country over the holidays that was never delivered. * * * In addition to his prison term, BEVZ, 33, was ordered pay $1,044,924 in restitution and forfeit $1,044,924. Mr. Williams praised the outstanding investigative work of the Department of Homeland Security, Homeland Security Investigations. The criminal case is being prosecuted by the Office’s Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorney Vladislav Vainberg is in charge of the prosecution. Contact Nicholas Biase (212) 637-2600 Updated December 1, 2022 Topic Financial Fraud Component USAO - New York, Southern Press Release Number: 22-370

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