After banking tens of millions of {dollars} and amassing an enormous automobile assortment, one Michigan man’s unlawful rip-off has caught up with him. Cleveland.com studies that Najeeb Khan has been sentenced to eight years in jail for stealing $180 million in a test fraud scheme.
Khan’s scheme began along with his possession and operation of a payroll processing firm known as Interlogic Outsourcing Inc. This wasn’t a small time operation; the Justice Department says at one level the corporate had 6,000 purchasers. Beginning in 2014 nonetheless, Khan received grasping:
Khan operated a check-kiting scheme utilizing his firm’s enterprise financial institution accounts to fraudulently acquire funds from varied monetary establishments, together with KeyBank. Khan used these funds to help the expansion of his payroll processing enterprise and fund his life-style, which included the acquisition of cars, plane, and trip properties.
As a part of his scheme, Khan wrote checks and made wire transfers between a number of accounts underneath his management at varied banks. This kind of fraud is often often called check-kiting, and it includes the perpetrator regularly writing checks backwards and forwards between accounts she or he controls to fraudulently inflate account balances, thus deceiving banks into honoring checks written with inadequate funds.
Khan wrote checks from IOI accounts at Lake City Bank for deposit into IOI accounts at KeyBank after which wrote checks from IOI accounts at Berkshire Bank for deposit into IOI accounts at Lake City Bank. To cowl the test funds issued from Berkshire Bank, Khan wired funds from IOI accounts at KeyBank to IOI accounts at Berkshire Bank.
It paid off to the tune of $150 million, with the Justice Department saying numerous companies had been defrauded. These tens of millions helped to fund Khan’s lavish life-style that included properties in a number of states, planes, yachts and a huge automobile assortment.
We’re speaking a couple of automobile assortment that wouldn’t look misplaced as its personal museum. After the Feds seized every part, the 280 automobile assortment went up on the market at RM Sotheby’s in 2020. Khan had every part from a 2016 Ford F-350 to John Deer farm gear, classic bikes like a 1959 Giulietta Super Sport, a Delorean, a Jensen Intercepter, Shelby Series 1, a Jaguar XJ220, and so forth. Honestly, the person had style. It was a rattling positive automobile assortment which you can nonetheless take a look at right here though each single one offered.
Khan, for his crimes, received’t ever see any of these automobiles once more. He was sentenced to eight years in federal jail. Speaking to the courtroom, Khan admits that he was “blinded by greed” and says he’s sorry for what he did. “I’m humbled with deep regret and remorse to all the victims whose lives were negatively impacted by my actions and greed.”
Source: jalopnik.com