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Washington man sentenced for role in multiyear debt consolidation scheme

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Wednesday, December 25, 2024

Washington man sentenced for role in multiyear debt consolidation scheme

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U.S. Attorney Natalie K. Wight | U.S. Department of Justice

A Vancouver, Washington man has been sentenced to federal prison for his involvement in a debt consolidation scheme that defrauded customers over several years. Javier Antonio Banuelas Urueta, aged 55, received a sentence of 21 months in federal prison followed by three years of supervised release. He is also required to pay $115,750 in restitution to the victims.

Court documents reveal that between April 2019 and April 2024, Banuelas and an accomplice orchestrated a plan through their company, ConsoliDebt Solutions, LLC (ConsoliDebt), where they collected money from clients under the guise of providing debt consolidation services. Despite advertising these services on radio stations in Oregon and Washington, Banuelas was not licensed to operate in this industry.

Victims who contacted ConsoliDebt were misled by Banuelas into believing their debts would be consolidated or reduced. He instructed them to deposit funds directly into the company's accounts or send payments via checks or money orders. To gain trust, falsified monthly statements were sent to clients showing supposed account details and settled debts. However, instead of fulfilling promises made to clients, Banuelas used the funds for personal expenses such as car leases and residential rent.

The fraudulent activities led to a seven-count indictment against Banuelas by a federal grand jury in Portland on April 4, 2024. On August 1, 2024, he pleaded guilty to charges of conspiring to commit mail and wire fraud.

The investigation was conducted by Homeland Security Investigations and prosecuted by Rachel K. Sowray, Special Assistant U.S. Attorney for the District of Oregon.

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