Newton Ofioritse Jemide, a France-based Nigerian, has been sentenced to three years and five months in prison by a U.S. District Court over his role in an $8 million disaster fraud scheme.
Jemide, 47, who was extradited from France, was sentenced on Tuesday by Judge Deborah K. Chasanow.
His conviction followed his involvement in a conspiracy to fraudulently obtain U.S. federal grants meant for disaster victims.
Jemide had been found guilty of using stolen identities to fraudulently access federal relief funds designated for vulnerable U.S. citizens affected by wildfires between 2016 and 2017.
According to the U.S. Department of Justice (DoJ), Newton Ofioritse Jemide and other conspirators stole personal identities of U.S. citizens and used them to open Green Dot debit card accounts. These accounts were then used to claim federal emergency benefits.
“Co-conspirators living in Nigeria then registered the cards with Green Dot using stolen personal information from identity theft victims around the United States,” the DoJ stated.
The department added that Jemide and his accomplices directed U.S.-based associates to purchase hundreds of Green Dot debit cards. Once the fraudulent benefits were deposited, they were informed and instructed on how to cash out the funds in exchange for a commission.
“Jemide and select co-conspirators informed other co-conspirators when the fraudulent funds became available on the debit cards and gave them information to cash out the funds from the cards in exchange for a commission,” the statement added.
To hide their tracks, the group used various tactics including making purchases and withdrawals through multiple store and bank locations, and processing money orders in the names of third parties and shell companies.
An update from the U.S. DoJ published on its website Wednesday revealed:
“FEMA dispersed $500 per claim on the Green Dot debit cards that the co-conspirators purchased for a total of at least $8 million.”
After Jemide’s guilty plea, the court sentenced him to 41 months in federal prison, followed by three years of supervised release. He was also ordered to pay $520,431 in restitution and forfeit $311,036 to the U.S. government.
“U.S. District Judge Deborah K. Chasanow sentenced Newton Ofioritse Jemide, 47, a Nigerian national extradited from France, to 41 months in federal prison for his role in a scheme to fraudulently obtain federal benefits.
Jemide will also serve three years of supervised release, and pay $520,431.83 of restitution, and a forfeiture money judgment was entered against him in the amount of $311,036.64,” the statement concluded.
