Newton Ofioritse Jemide, a Nigerian man, has been extradited to the U.S. from France on charges related to a scam that stole over $8 million in federal disaster assistance meant for victims of hurricanes and wildfires. He was indicted in 2019 for wire fraud and money laundering conspiracies in a scheme to steal assistance from victims of Hurricanes Harvey, Irma, Maria, and California wildfires by using stolen identities to apply for pre-paid Green Dot debit cards.
Disaster relief fraud is a significant issue in the country, as FEMA and other relief agencies warn people to be cautious of scams, especially after disaster declarations are made. Jemide and other conspirators used stolen identities to claim Social Security benefits, IRS tax refunds, and FEMA assistance totaling $8 million, according to the Justice Department.
If convicted, Jemide could face up to 20 years in prison for money laundering conspiracy and 30 years for wire fraud conspiracy. The group behind the scheme cashed out on the claims using bank accounts, ATM withdrawals, and money orders. The Justice Department is investigating hundreds of individuals for similar disaster fraud cases and advised Louisianans to be vigilant against scammers posing as government officials to steal personal information and apply for fraudulent assistance.
The National Center for Disaster Fraud has received over 220,000 fraud complaints since its creation in 2005 after Hurricane Katrina. Scammers have taken advantage of various government relief programs, with over $200 billion stolen from the government. The Justice Department, along with eight other federal agencies, accept disaster-related complaints and warn the public to report any suspicious activity to prevent further fraud.
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