FRESNO, Calif. — The United States has entered a consent decree with Dale Lake of Hanford to resolve a lawsuit brought by the United States pursuant to the Anti-Fraud Injunction Statute, U.S. Attorney Phillip A. Talbert announced today.
The lawsuit, filed in the U.S. District Court for the Eastern District of California, alleged that Lake was a “money mule” who was facilitating a mail and wire fraud scheme that primarily victimized senior citizens. According to the complaint, Lake received funds or gift cards obtained via fraud, then transmitted those funds to accomplices in Jamaica. Other participants in the fraud scheme contacted potential victims; falsely claimed that those victims had won a lottery, sweepstakes, or prize; and induced victims to transmit money to Lake, supposedly in order to receive the falsely promised winnings.
The consent decree announced today, approved by U.S. District Judge Jennifer L. Thurston, permanently prohibits Lake from assisting, facilitating, or participating in any prize promotion fraud or any money transmitting business. The decree also authorizes the U.S. Postal Inspection Service (USPIS) to monitor Lake’s incoming mail for the purpose of ensuring compliance with the decree.
“Money mules facilitate fraud against vulnerable populations,” said U.S. Attorney Talbert. “The U.S. Attorney’s Office will hold accountable anyone who engages in schemes to defraud the public. Our office is committed to educating the public about how fraudsters use money mules to receive and transfer money to third parties.”
“Postal Inspectors will continue to use all the tools of law enforcement, including civil remedies, to protect the public from fraud schemes employing money mules,” said Inspector in Charge Stephen M. Sherwood of the USPIS San Francisco Division.
This case is the product of an investigation by the U.S. Attorney’s Office and the USPIS. It is part of a larger effort by the Justice Department, USPIS, FBI, and other federal law enforcement agencies to identify, disrupt, and prosecute networks of individuals who transmit funds from fraud victims to international fraudsters. Such fraudsters rely on money mules to facilitate a range of fraud schemes, including those that predominantly impact older Americans, such as lottery fraud, romance scams, and grandparent scams, as well as those that target businesses or government pandemic funds. Assistant U.S. Attorney Robert A. Fuentes handled this case for the United States.
