The Payee Has Been Edited
The Justice Department says Cory L. Sims Jr., Dondre O. Daniels, Christian M. Hill and Makhia L. Duncan were charged in an alleged multistate bank-fraud and money-laundering scheme. Prosecutors say the defendants unlawfully obtained checks that a multinational corporation had issued to pay vendors.
The checks were allegedly altered by removing the names of the intended recipients and substituting other payees. It is the financial equivalent of changing the shipping label after the package has already left the warehouse.
Corporate Check, Personal Detour
According to the indictment, the altered checks were deposited into accounts not authorized to receive the payments, with the proceeds then moved through a laundering scheme. Four people, eight counts and one corporate payment system apparently turned into a group project nobody approved.
The charges are allegations. The defendants are presumed innocent unless proven guilty beyond a reasonable doubt.
The Bottom Line
Businesses spend fortunes on payment controls, only to discover that a check can become a different check if someone has access to a printer, a bank account and an enthusiasm for creative bookkeeping.
Source
U.S. Department of Justice: Four charged in multistate bank-fraud and money-laundering scheme