Two men from California have been sentenced to prison for their roles in a money laundering conspiracy linked to internet-based fraud and fraudulent loans, according to an announcement by U.S. Attorney Alina Habba.
Eric Bullard, age 62, from Los Angeles, received a sentence of 37 months, while Anthony Hannah, age 61, from Moreno Valley, received 33 months. Both had previously admitted guilt to charges of conspiracy to commit money laundering before U.S. District Judge Madeline Cox Arleo. Beyond prison sentences, both men received three years of supervised release and were ordered to pay restitution totaling $705,400 to victims.
Court documents reveal that in June 2020, a fraudster impersonated a New Jersey law firm, advising a Bergen County resident on a real estate transaction. This scam, known as a business email compromise, involves hacking or spoofing legitimate emails to trick individuals into sending money to fraud-controlled accounts. As a result, the victim wired about $560,000 to an account managed by Bullard, who subsequently withdrew cash and transferred approximately $230,000 to an account under Hannah’s control.
The duo also laundered funds from the U.S. Small Business Administration's Economic Injury Disaster Loan program, meant to aid small businesses during the COVID-19 pandemic. In July 2020, Bullard received approximately $143,100 intended for a pharmacy in Colorado, while Hannah received about $145,400 meant for a pharmacy in Idaho, transferring $51,395 to Bullard.
Judge Arleo also ordered forfeiture of $611,395 from Bullard and $375,400 from Hannah as proceeds of their conspiracy.
The FBI Woodland Park Office played a key role in the investigation, as noted by U.S. Attorney Habba, with participation from Acting Special Agent in Charge Terence G. Reilly.
Assistant U.S. Attorney Farhana C. Melo of the Economic Crimes Unit in Newark represented the government. This case is part of the District of New Jersey COVID-19 Fraud Enforcement Strike Force's efforts, including four other such forces nationwide, to combat large-scale pandemic-related fraud.
Individuals with knowledge of COVID-19-related fraud can report to the Department of Justice’s National Center for Disaster Fraud. Information is necessary to identify and prosecute those exploiting relief efforts.