Trucking company owner indicted in $2M credit card scam
A small-business trucker has been charged with laundering money from fake credit cards to a Turkish bank account. The post Trucking company owner indicted in $2M credit card scam appeared first on FreightWaves.
A San Diego-area owner-operator was arraigned on Tuesday in an 18-count indictment charging him with bank fraud, money laundering and aggravated identity theft.
Hasan Korkmaz, who owns San Diego Logistics Group Inc. based in Santee, California, carried out a credit card “bust-out” scam in which seemingly legitimate credit card accounts are established and then are “busted out” by maxing out the credit line with no intention of paying the balance, according to the U.S. attorney’s office representing the Southern District of California.
Prosecutors allege that Korkmaz obtained names, dates of birth, Social Security numbers and other personal information linked to real people and used the information to apply for numerous credit card accounts.
After opening the fraudulent accounts, he allegedly used the cards to charge various businesses, including his own trucking company, with some charges as high as $18,500 for a single transaction.
“To perpetuate the scheme, Korkmaz also made fraudulent payments, with checks drawn on accounts with insufficient funds or drawn on non-existent accounts, to the credit card accounts, thereby temporarily restoring the available credit limits,” according to the attorney’s office.
“Korkmaz would then incur additional charges on the credit card accounts at or near the maximum credit limits for the accounts.”
Korkmaz is also alleged to have laundered the bank fraud proceeds, including by transferring them to a Turkish bank account he controlled, causing two banks to lose $2.1 million.
According to Federal Motor Carrier Safety Administration registration data, San Diego Logistics Group specializes in hauling refrigerated meat and fresh produce with three tractors and five drivers. It is listed as having an “inactive” USDOT number.
If convicted, Korkmaz faces maximum sentences of 30 years in prison and a $1 million fine for bank fraud, 20 years and $500,000 for money laundering, and a mandatory minimum sentence of two years in prison for aggravated identity theft.
Related articles:
- South Florida trucking company owner gets long prison term for Ponzi scheme
- California freight forwarder charged with smuggling billions in goods
- California trucking company owner pleads guilty to PPP fraud
Click for more FreightWaves articles by John Gallagher.
The post Trucking company owner indicted in $2M credit card scam appeared first on FreightWaves.
