Man pleads guilty to conspiracy charge

On Behalf of | Feb 15, 2020 | White Collar Crimes |

A 31-year-old man pled guilty to a charge of conspiracy to commit wire fraud in a New York court. The man was an associate of MyPayrollHR’s CEO, and the scheme involved stealing roughly $13 million from two different companies over a period of six years.

The man helped obtain loans for MyPayrollHR

Authorities say that the individual helped obtain loans for the company using false invoices. Those invoices came from a company called ValueWise Corp., which was owned by MyPayrollHR’s CEO. The individual who pled guilty to the conspiracy charge was an employee for Optum, which had a business relationship with ValueWise.

The scheme was part of a bigger con

The MyPayrollHR CEO said that he used a variety of companies to act as nothing more than a way to move money. Authorities believe that he was the mastermind of a $70 million scheme that eventually led to the downfall of his company. At one point, $36 million that was meant to be disbursed to clients from MyPayrollHR was instead routed to the CEO’s bank account. Authorities say that his actions caused workers throughout the country to either miss out on paychecks or receive less than what they were owed.

Authorities believe other parties were involved

According to the man who eventually pled guilty, there were others known and unknown who were involved in the scheme. This has led to speculation that additional parties could face charges in the future. However, the assistant United States attorney from the Northern District of New York wouldn’t say whether or not this was true.

A person who is charged with white-collar crimes may face jail time and other penalties. If you’re facing such accusations, it may be wise to hire an attorney to help with the case. Legal counsel could dispute evidence or take other steps to defend your rights.

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