close
Friday, February 2, 2024

Kenyan citizen faces decades in U.S. jail for investment scam

He is scheduled to be sentenced on May 16, 2024, and faces a maximum penalty of 20 years in prison for each of the conspiracy and wire fraud counts.

• February 2, 2024
U.S. PRISON; KENYAN FLAG
U.S. Prison [Credit: peoples Gazette] Kenyan Flag[Credit: The Flag Shop]

Paul Maucha, 58, a Kenyan national, was found guilty today of perpetrating an advance fee and investment scheme that defrauded numerous victims.

The jury verdict, in U.S. District Court for the District of Columbia, was announced by U.S. Attorney Matthew M. Graves, Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, and FBI Special Agent in Charge Keri Farley of the FBI Atlanta Field Office.

According to court documents and evidence presented at trial, Maucha, along with a co-conspirator, engaged in a scheme through a shell company Maucha controlled, American Eagle Services Group Inc. (AESG), to make numerous misrepresentations to victims about AESG, its assets, and its access to money and capital.

In particular, Maucha—through AESG—promised victims who were seeking loans that AESG would provide them with these loans, so long as victims first provided AESG with an advanced fee while misrepresenting the purpose of that fee. AESG also told victims falsely that these advance fees could be refunded if AESG did not fund the loan. 

As proven at trial, however, Maucha and his co-conspirator knew that AESG did not have the capital to make these loans at the time the lending agreements were executed, and refunds to victims could not be assured because Maucha and his co-conspirator were splitting the fees between themselves and spending them, such that there was no money left to be refunded.

The jury convicted Maucha of one count of conspiracy to commit wire fraud, two counts of wire fraud, and one count of engaging in monetary transactions in criminally derived property. 

He is scheduled to be sentenced on May 16, 2024, and faces a maximum penalty of 20 years in prison for each of the conspiracy and wire fraud counts and 10 years in prison for each count of engaging in monetary transactions in criminally derived property. 

A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Matthew M. Graves for the District of Columbia, and Special Agent in Charge Keri Farley of the FBI Atlanta Field Office made the announcement.

The FBI investigated the case, with substantial assistance from Homeland Security Investigations.

Trial Attorneys Tian Huang and Tamara Livshiz of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Christine M. Macey for the District of Columbia are prosecuting the case. 

Assistant Chief William E. Johnston of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Joshua S. Rothstein for the District of Columbia previously provided valuable assistance in the investigation.

We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.

More from Peoples Gazette

Katsina State

Politics

Katsina youths pledge to deliver over 2 million votes to Atiku

“Katsina State is Atiku’s political base because it is his second home.”

Oyo State governor, Seyi Makinde (Photo Credit: Twitter)

States

Governor Makinde suspends Oyo traditional ruler

Mr Makinde approved the suspension “in exercise of the powers conferred on him.”

Femi Gbajabiamila

States

121,111 voters to determine Gbajabiamila’s replacement in Lagos by-election: INEC

“We have 140,377 registered voters in the affected constituency while those who have collected their Permanent Voter Cards (PVCs) are 121,111.”

Education

AGILE: Bauchi government initiates 42 new school projects

The commissioner said the projects would ensure a conducive and inclusive learning environment for students in all the schools.

States

Police arraign motorcyclist for power bank theft

The defendant, whose address was not given, is facing a two-count charge. He, however, pleaded not guilty to the charge.

Volcanic eruption in Philippine

World

Iceland authorities warn of probable volcanic eruption

It said on Friday that the volcanic eruption could happen in the next two weeks or even in a matter of days.

NationWide

NSA bans use of camouflage by NSCDC, immigration, fire service 

The NSA stressed that the need to enforce the ban followed the rise in the use of camouflage outfits to launch deadly attacks on communities.