BREAKING: Nigerian Man Arrested in U.S. Over Massive Fraud Scheme Targeting Veterans’ Health Organization(PHOTO)

A 33-year-old Nigerian national, Edikan Adiakpan, has been arrested in the United States for allegedly masterminding a multimillion-dollar business email compromise (BEC) and money laundering scheme that targeted organizations across eight states, including a California-based medical research group dedicated to treating U.S. military veterans.

According to a press release from the U.S. Department of Justice (DOJ) on Thursday, Adiakpan is accused of defrauding institutions by impersonating legitimate vendors through spoofed emails and rerouting payments to fraudulent bank accounts.

The U.S. Attorney for the Eastern District of Texas, Nicholas J. Ganjei, announced the arrest and stated that Adiakpan is scheduled to make his initial court appearance before Magistrate Judge Peter Bray in Houston.

A federal grand jury returned a three-count indictment on June 11, charging Adiakpan with conspiracy to commit wire fraud, conspiracy to commit money laundering, and operating an unlicensed money transmission business.

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The DOJ revealed that the fraud, which occurred in 2021, involved the rapid movement of stolen funds through multiple bank accounts controlled by the conspirators. The money was then allegedly converted into cashier’s checks, which Adiakpan is said to have cashed, taking a cut as his fee.

Another Nigerian national, 26-year-old Ayobami Omoniyi, had previously been indicted in connection with the same scheme and is currently awaiting sentencing before U.S. District Judge Andrew S. Hanen.

“If convicted, Adiakpan faces up to 20 years in federal prison for the conspiracy and money laundering charges, and up to five years for the money transmitting offense,” the DOJ stated. Each count also carries a possible fine of up to $250,000.

The investigation was conducted by the FBI’s Houston Field Office, its Bryan Resident Agency, and the IRS Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorneys Belinda Beek and Christine Lu.