Sullivan County Woman Arrested For Multimillion-Dollar Money Laundering And Bank Fraud Scheme

Damian Williams, the United States Attorney for the Southern District of New York, and Patrick J. Freaney, the Special Agent in Charge of the New York Field Office of the United States Secret Service (“USSS”), announced today the unsealing of an Indictment charging TETIANA BERRIORS with conspiring to commit money laundering and bank fraud in connection with laundering the proceeds of a series of business email compromise (“BEC”) scams that sought to deceive victims into sending nearly $10 million to bank accounts that she and others opened using fake and stolen identities.  The defendant was arrested and will be presented tomorrow before U.S. Magistrate Judge Sarah Netburn in the Southern District of New York.  The case is assigned to U.S. District Judge Mary Kay Vyskocil.

U.S. Attorney Damian Williams said: “Tetiana Berriors exploited the United States financial system to launder millions of dollars of fraud proceeds.  In doing so, she helped victimize over 15 different individuals, businesses, government entities, and public institutions.  In furtherance of her illegal money laundering enterprise, she lied repeatedly to banks and stole the identities of at least three other innocent victims.  Thanks to the efforts of this Office and its law enforcement partners, the defendant will be prosecuted to the full extent of the law.”

USSS Special Agent in Charge Patrick J. Freaney said: “Despite the defendant’s alleged efforts to conceal the wide range of criminal activity targeting individuals, businesses, and government alike, such attempts against discovery were no match for this investigation’s expert professional team.  Today, I am privileged to recognize the invaluable partnerships that fuel the New York law enforcement community’s essential work to fight fraud, and the Secret Service’s New York Field Office especially thanks the Financial Crimes Task Force of the New York City Police Department for their critical assistance in this case.”

As alleged in the Indictment:[1]

From at least in or about December 2020 through at least in or about October 2022, TETIANA BERRIORS laundered funds on behalf of individuals engaged in a series of frauds, primarily BECs, that targeted individuals, public institutions, government entities, and businesses located across the United States.  The victims included, among others, a public research university in Pennsylvania, a housing developer in Texas, and a county-level government in California.

To launder those funds, BERRIORS created over a dozen fraudulent bank accounts, used those accounts to receive funds from victims of the frauds, and rapidly depleted those accounts through cash withdrawals, wire transfers, and cashier’s checks.  Typically, the wire transfers and cashier’s checks were made payable to shell companies that BERRIORS or her co-conspirators controlled.  In total, BERRIORS opened at least 13 fraudulent bank accounts in the name of at least five shell companies using four different female aliases.  Three of those aliases were identities stolen from real individuals.

As a result of the frauds, more than 15 victims were directed to transfer nearly $10 million to bank accounts under the control of BERRIORS and her co-conspirators.  Out of those nearly $10 million, BERRIORS and her co-conspirators successfully stole over $3.5 million in victim funds.

*                *                *

BERRIORS, 49, of Smallwood, New York, was charged with one count of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison, and one count of conspiracy to commit bank fraud, which carries a maximum sentence of 30 years in prison.  BERRIORS was also charged with one count of aggravated identity theft, which carries a mandatory two-year consecutive sentence.

The statutory minimum and maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge.

Mr. Williams praised the outstanding investigative work of the USSS.  Mr. Williams also recognized the assistance of the New York City Police Department.

This case is being handled by the Office’s General Crimes Unit.  Assistant U.S. Attorney Matthew J. King is in charge of the prosecution.

The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.