Seven Charged in NJ/NY Treasury Check Scheme
Federal prosecutors say seven people from New Jersey and New York took part in an extensive scheme to collect millions of dollars by fraudulently obtaining refund checks issued by the U.S. Treasury.
U.S. Attorney for New Jersey Paul Fishman said the seven suspects, including two postal workers, are due in court Wednesday afternoon to face charges of conspiring to steal government funds.
The conspirators allegedly directed the checks to addresses along a mail route they controlled. Once the checks were retrieved, they were passed along to others and deposited into bank accounts controlled by the conspirators.
The proceeds were then withdrawn from the bank and used for various personal expenses, including gambling in Atlantic City casinos and buying cars.
Each defendant faces up to 10 years in prison if convicted.
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