Bruce Jin, a 60-year-old resident of Los Angeles, has pleaded guilty to charges related to wire fraud and money laundering amounting to approximately $59 million. The United States Attorney’s Office for the Middle District of Pennsylvania made the announcement following Jin's plea before Judge Jennifer P. Wilson. Alongside Jin, Brian R. Cleland and Carlos A. Grijalva were also charged in August 2023 with similar offenses.
Acting United States Attorney John C. Gurganus stated that the indictment accuses Cleland, Jin, and Grijalva of conspiring with others to obtain public funds through fraudulent means. These funds included state unemployment compensation benefits and stimulus payments under the guise of legitimate business operations involving COVID-19 protective equipment.
The scheme allegedly involved setting up numerous bank accounts across the U.S., using stolen personal information from identity theft victims, including some residing in Pennsylvania. Fraudulent claims were generated by conspirators believed to be based in China, leading to millions being paid out by states such as Pennsylvania, Virginia, and Florida.
The proceeds from these fraudulent activities were transferred into companies controlled by Cleland, Jin, and Grijalva through ACH processing methods. Over $45 million was reportedly funneled this way into businesses like Ample International and Jin Commerce operated by Jin.
Jin is accused of wiring over $35 million internationally to a Chinese company identified as COMPANY 2 in the indictment after receiving funds either directly or through associates Cleland and Grijalva.
Mandy Riedel from COVID-19 Fraud Enforcement emphasized the Department of Justice's commitment "to identifying and punishing those who defrauded pandemic-era benefits programs." Syreeta Scott from the U.S. Department of Labor noted that their efforts would continue "to protect the integrity of the UI system."
Wayne A. Jacobs from FBI Philadelphia commented on how "the millions of dollars fraudulently obtained...were meant to support struggling Americans."
The investigation was conducted by both the FBI and U.S. Department of Labor's Office of Inspector General with Assistant U.S. Attorney Ravi Romel Sharma prosecuting.
The maximum penalty for wire fraud or conspiracy includes up to 20 years imprisonment along with supervised release and fines.
Cleland and Grijalva have been released pending trial set for May 2025 while maintaining their not-guilty pleas.