Fraud and Prevention

Final $5 Million Fraud Scheme Conspirator Sentenced

By James Comtois
August 12, 2009

The seventh and final conspirator in a scheme to steal more than $5 million through a fraud scheme involving identity theft and mortgage fraud has been sentenced. U.S. District Judge Leonie M. Brinkema sentenced Arshad Hussain of Dumfries, Va., to 24 months in prison after previously escaping to Pakistan and ultimately returning to the U.S. to face charges in this case.

The scheme, led by Abdul Hameed, involved the use of at least 35 false identities to obtain approximately 200 credit card accounts 60 bank accounts. According to Dana J. Boente, U.S. attorney for the Eastern District of Virginia, from May 2005 to May 2007, Hameed and others used the false identities, representing individuals or businesses, to purchase properties, make other large purchases, conduct balance transfers and obtain substantial cash advances.

The conspirators were all born in Pakistan and transferred hundreds of thousands of dollars from the scheme to accounts in Pakistan.

To give the appearance that the false identities were employed, the conspirators established multiple false businesses by fabricating employment and salary documents for the false identities. The phony documents were then provided to credit card companies, leasing offices, mortgage companies and financial institutions for the purpose of obtaining credit in the names of the false identities.

Hameed and his co-conspirators also rented apartments and purchased properties using false identities. These locations were then used to receive mail from the lenders that was addressed to the false identities and false businesses. They also used these locations to receive shipments of goods purchased using credit cards in the names of the false identities.

Hameed was sentenced in July 2008 to 212 months in prison as the ringleader of the fraud scheme. Other conspirators include Bilal Saleem, who was sentenced to 78 months in prison in December 2007; Naim Aslam Mann, who was sentenced to 45 months in prison in December 2007; Basir Chand, who was sentenced to 78 months in prison in November 2007; Jawad Ahmad, who was sentenced to 36 months in prison in February 2008; and Ozair Idris, who was sentenced to 30 months in prison in February 2008.

All the members of the conspiracy were ordered to pay forfeiture of $5 million and to repay more than $3 million in restitution to the victims. In recognizing the defendants' assistance in investigating and prosecuting this case, the court later reduced some sentences.