The Department of Homeland Security carried out a surprise raid in Los Angeles for the second consecutive week, targeting criminal networks. This time, the operation resulted in the arrest of fourteen individuals involved in an Armenian fraud ring. The group is accused of embezzling $30 million in funds intended for COVID relief and small businesses, which were meant to support American taxpayers.
U.S. Attorney Bill Essayli of California’s Central District warned, “If you are unlawfully taking government funds, be prepared for us to come knocking on your door.”
According to investigators, McGrayan is believed to be the mastermind behind the scheme, attempting to steal $47 million but managing to siphon around $30 million from federal funds. The suspects allegedly used counterfeit documents, such as falsified bank records and tax papers, to establish fake companies through which they applied for government aid.
“That’s $47 million in taxpayer funds that was meant to go to good use, and these transnational criminal organizations are exploiting the American people’s good will and using it for their personal gain,” said John Pasciucco, Acting Special Agent in Charge for HSI Los Angeles. Â
This week’s Department of Homeland Security raid netted 14 suspects in an Armenian fraud ring. (iStock)
After the fourteen suspects were arrested, they were brought to an unmarked, specially designated processing center to be booked. Law enforcement seized approximately $20,000 in cash, two money-counting machines, paper cash bands or currency straps in denominations of $2,000 and $10,000, multiple cell phones, multiple laptops, two loaded semi-automatic 9mm handguns, and boxes of 9mm ammunition.
The suspects are charged with a range of crimes from conspiracy, wire and bank fraud to money laundering.
Authorities say some of the money was spent on houses and luxury goods, other amounts were sent to Armenia, making it harder for the U.S. to trace.
