Oludayo Adeagbo, a 45-year-old Nigerian-British man, has received a seven-year prison sentence in the U.S. for his involvement in a multimillion-dollar business email compromise (BEC) scheme.
A statement from the U.S. Department of Justice reveals that court documents indicate Adeagbo conspired to engage in multiple cyber-enabled BEC schemes, attempting to steal over $3 million from various entities in Texas, including local governments, construction firms, and a college in the Houston area.
Additionally, Adeagbo and his accomplices are accused of defrauding a university in North Carolina of more than $1.9 million.
He reportedly arrived in the U.S. in August 2022 after being extradited from the United Kingdom to face criminal charges filed in Charlotte and Houston.
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The Justice Department announced that Adeagbo pleaded guilty to one count each of wire fraud and conspiracy to commit wire fraud on August 8.
This plea came after the case was transferred from the U.S. District Court for the Southern District of Texas to the U.S. District Court for the Western District of North Carolina.
“Oludayo Adeagbo and his co-conspirators executed transnational cyber-enabled fraud schemes targeting schools, government entities, and businesses across the United States, resulting in millions of dollars in losses,” stated Nicole Argentieri, head of the Justice Department’s Criminal Division.
“Adeagbo’s extradition, plea, and sentencing highlight our commitment to collaborating with law enforcement to pursue cybercriminals who prey on American victims, regardless of where they are located.
“We are particularly grateful to the United Kingdom for its assistance in this case.”
Alamdar S. Hamdani, attorney for the Southern District of Texas, remarked that Adeagbo “operated a sophisticated 21st-century cyber-criminal enterprise, using fake email accounts and anonymous internet addresses to exploit innocent victims—a crime as old as time.
“BEC scams have become an epidemic, causing significant financial losses for individuals and businesses, eroding trust in digital communications, and threatening overall economic stability,” Hamdani added.
“This is why prosecutors and agents in two jurisdictions worked tirelessly to identify Adeagbo and reach across the Atlantic to ensure he faced justice.”
BEC schemes
BEC schemes, also known as cyber-enabled financial fraud, are complex scams that typically target individuals, employees, or companies engaged in financial transactions, particularly those that frequently make wire transfers.
These scams come in various forms, but they generally involve criminals gaining unauthorized access to genuine email accounts or setting up email accounts that closely mimic those of individuals or employees linked to the targeted businesses.
The scammers then utilize the compromised or fake email accounts to send fraudulent wiring instructions to the targeted businesses or individuals, deceiving the victims into transferring funds to bank accounts controlled by the perpetrators.
Typically, the money is swiftly moved to other accounts within the United States or overseas.
Source: Vanguard
