Four Indian-Americans Among 5 Arrested For Illegal Procession Of Over $600 Million

The Indian-Americans allegedly operated a number of diamond, gold, and jewellery companies in New York City’s Diamond District, prosecutors said.

Representative Image: All four Indian Americans have been arrested

Source : Getty

Five people, including four Indian Americans, were arrested on Thursday on the charges of illegal procession of more than $600 million through unlicensed money-transmitting businesses. US Attorney Philip R Sellinger, while talking to the media, said the four Indian Americans who were arrested were identified as Raj Vaidya (26 years old), Rakesh Vaidya (51 years old), Shrey Vaidya (23 years old), and Neel Patel (26 years old) -- all residents of Edison, New Jersey -- news agency PTI reported.

The fifth person who was arrested was Youssef Janfar, (57 years old) from Great Neck, New York, reported PTI.

As per the court documents, Raj Vaidya, Rakesh Vaidya, Shrey Vaidya, and Neel Patel allegedly operated a number of diamond, gold, and jewellery companies in New York City’s Diamond District since 2019. Federal prosecutors said Janfar also operated companies in the Diamond District, including the Rodeo of New York.

The prosecutors said that the accused used these as well as other entities as fronts for illegal financial transactions for customers that were worth hundreds of millions of dollars. The cash was converted to checks or wire transfers in exchange for substantial fees, according to the prosecutors, reported PTI.

According to PTI, there have also been instances when the accused have moved millions of dollars in cash in a single day. The court papers stated that not a single one of the companies was registered as money transmitting business with New York, New Jersey or the Financial Crimes Enforcement Network (FinCEN).

The punishment for the charge of operating, aiding and abetting the operation of an illegal money transmitting business is a maximum of up to five years in prison and a fine of $250,000 or twice the gross amount of any pecuniary gain that any persons derived from the offence or of any pecuniary loss sustained by any victims of the offence, whichever is greatest, reported news agency PTI.