Feds Bust Columbian Drug Cartel’s Scheme to Launder “Millions” Through US Banks

Richard Marley
May 25, 2022
2 minutes read
1075

A Columbian drug cartel’s scheme was busted by the federal prosecutors who moved millions through US banks while gaining more than 7,000 pounds of cocaine as well.

According to an international investigation, a scheme to launder millions deployed by the Columbian cartel cash was busted by the federal prosecutors in the Hub who also obtained more than 7,000 pounds of cocaine through the multi-agency.

At the press conference held on May 24 announcing the indictment of 19 people connected to the scheme, the U.S. Attorney Rachael S. Rollins commented “During the course of the investigation, this money laundering organization allegedly laundered over $6 million through the United States banking system.”

“As part of its investigation, law enforcement also seized $1 million from corporate bank accounts in other investigative activity. In addition, nearly 3,000 kilograms of seized cocaine valued at over $90 million has been traced back to the money laundering organization.”

19 individuals were charged out of which 3 were caught in Florida and 2 in Jamaica. The rest of them were arrested in Columbia and Florida in the last month while one person still remains in Jamaica added Rollins.

Rollins stated that drug traffickers used a third party at the Columbian Black Market Peso Exchange (BMPE) to illegally conduct its business. The peso broker agreed to give them the profits in the drug sales in the US. To avoid getting caught, funds were deposited into US accounts held by “front companies or individuals”.

A special agent in charge of the U.S. Drug Enforcement Administration New England Field Division, Brian D. Boyle claimed: “The money laundering scheme detailed today allowed drug traffickers to peddle their poison in Massachusetts and throughout the United States.”

“By attacking the financial structure, we have a greater impact on neutralizing their ability to spread their poison. The greed and corruption, along with the outstanding investigative work of these agencies, ultimately led to today’s announcement.”, Boyle further said.

Suggested Read: Global Drug, Money Laundering Hub Busted in Las Vegas

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Now that the pandemic’s effects are diminishing, 97 million new job roles are to be expected by the next year, which will expedite fraudulent practices in the talent acquisition sector. Companies should be on their guard and implement a joint action plan to counter rising recruitment scams to secure their onboarding process.

How do Online Recruiting Scams Work?

The scammers fraudulently use an established company’s name, logo and even the details of real employees working in human resource departments to post jobs on recruiting websites or other social media platforms.

Keeping their credentials almost identical to the official company’s details, they send emails to job-seekers or post fake jobs. As soon as interested candidates apply, they conduct interviews to get sensitive information about candidates through telephonic or on-site interviews.

Through fake interviews and telephonic/email conversations, criminals ask for sensitive personal information, particularly social security, ID number and bank account details that job seekers often provide, paving the way for identity fraud.

In some cases, the scammers even seek money from the candidates in the name of background checks or certifications which directly cost them financial losses. In the US alone, users lost $86 million due to fake job opportunities posted on the internet.

Spotting the Signs of Recruitment Fraud

Recruitment fraud is the most unfortunate part of modern job hunting, where criminals prey upon candidates’ eagerness to find work for their living by creating scam job opportunities.

Here are a few signs that can help job seekers spot fraudulent elements during the recruitment process:

Legitimate hiring managers and employers never ask applicants to make any financial transaction in their personal or company account. Always say No to any person who is asking you to send money for any recruitment purpose.

Although the majority of companies ask the candidates to provide their personal information, this step usually comes when the recruitment process is near to complete. Any person asking for sensitive information like bank account details, social security number, date of birth or identity details could be a scammer who must be turned down.

The majority of companies recruit their employees using their official email accounts; rather than contacting the person through common numbers or email addresses. Any job letter/offer from any such account could be a fake one.

Legitimate recruiters always follow a comprehensive plan to get all the relevant information about the candidate. Any person offering you a job without following a standard hiring process raises suspicions.
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2. Hampton Gang Member Convicted for Pandemic Employment Fraud

Law enforcement authorities in the US have arrested a criminal for his involvement in a pandemic-related employment fraud. The Police have also stated that the criminal has a whole gang behind him, and they are trying to bring them under the law as well.

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FBI has instructed the common people to only apply for jobs through the official channels of companies and not pay attention to any emails, phone calls or messages received through unofficial accounts.

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2. UK Government – Raising Awareness of Employment Scams

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In their detailed guidance, the government has also guided job seekers to verify any email, phone call or message through certain checks, including verifying all details from the company’s websites.

It has also been instructed to the people not to proceed with any job application asking for money or any other personal details from you and not even open any spam link attached to the email.

How Shufti Pro can Help

With transforming technologies, the overall market is growing to produce more job opportunities for interested candidates. As per the surveys, this number is expected to grow in the coming years, increasing recruitment fraud risks.

Through talent acquisition scams, criminals not only defraud job seekers but also damage the reputation of established companies. So it is in their higher interest to find and implement a credible solution that efficiently mitigates the risks of stolen identity or credentials.

Shufti Pro’s identity verification services present an ideal option to counter this problem through its advanced identification features, including document authentication, facial recognition and address verification.

Want to learn more about identity verification services for eliminating recruitment fraud?

Connect with a KYC Expert

Feds Bust Columbian Drug Cartel’s Scheme to Launder “Millions” Through US Banks

How Much Have Australians Lost to Scams?

How do Online Recruiting Scams Work?

Spotting the Signs of Recruitment Fraud

High Profile Criminal Cases of Recruitment Fraud

1. Europol Arrested a Gang Involved in €20 Million Employment Fraud

2. Hampton Gang Member Convicted for Pandemic Employment Fraud

Talent Acquisition Fraud and the Role of Law Enforcement Authorities

1. FBI Issued Instructions to Avoid Employment Scam

2. UK Government – Raising Awareness of Employment Scams

How Shufti Pro can Help

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