Toyyibat Qasim
A 43-year-old Nigerian, Akinade Adedeji Raheem, has been extradited from the Republic of Benin to the United States to face federal charges over an alleged $100m tax fraud scheme involving stolen identities and fraudulent tax refund claims.
Raheem was arraigned on Monday before a federal court in the Northern District of Georgia over allegations that he conspired with others to defraud the United States Internal Revenue Service (IRS) through more than 300 fraudulent tax returns filed between 2018 and 2023.
The charges include conspiracy to commit wire and mail fraud, conspiracy to commit money laundering, access device fraud and aggravated identity theft.
According to a statement issued on Tuesday by the United States Attorney’s Office for the Northern District of Georgia, Raheem allegedly worked with Abayomi Quadri Eletu, who resides in the United Kingdom and Nigeria, and other unidentified co-conspirators to obtain more than $100m in tax refunds using stolen personal information.
The alleged scheme reportedly targeted American taxpayers and tax professionals, whose identities were used to submit fraudulent tax returns and claim refunds from the US government.
Prosecutors alleged that the suspects obtained sensitive personal information, including names, addresses and Social Security numbers, by creating online accounts with the IRS and requesting confidential taxpayer records.
The information was allegedly used to file fraudulent returns, with the resulting refunds directed to prepaid debit cards sent to addresses controlled by members of the alleged conspiracy.
US Attorney Theodore S. Hertzberg described the alleged operation as extensive, saying the suspects reportedly used stolen identities to obtain funds and subsequently channel the proceeds into various purchases.
“Raheem and his co-conspirators allegedly obtained hundreds of stolen identities, filed fraudulent tax returns using that information, and laundered the proceeds through prepaid debit cards and purchases of used cars that were shipped to Nigeria and other locations,” Hertzberg said.
He said Raheem’s extradition demonstrated the reach of international law enforcement cooperation in investigating alleged financial crimes.
“The scope of the alleged fraud is staggering,” Hertzberg said, adding that the prosecution team had worked with law enforcement partners across different countries to secure Raheem’s return to the United States.
How alleged $100m fraud was carried out
Court allegations indicate that the suspects devised a system to collect and move the proceeds of the fraudulent tax refunds while attempting to conceal the transactions.
After the refunds were allegedly paid into prepaid debit cards, Raheem and Eletu reportedly used some of the proceeds to purchase money orders in amounts designed to remain below applicable reporting thresholds.
Prosecutors further alleged that the money orders were used to acquire used vehicles through online auction platforms, with some of the cars subsequently shipped to Nigeria and other destinations.
The alleged proceeds were also reportedly spent on designer clothing and other items.
Christopher J. Altemus Jr., special agent in charge of the IRS Criminal Investigation Texas Field Office, said the alleged operation affected hundreds of taxpayers and deprived the US Treasury of funds.
“Raheem is an alleged co-conspirator in a nationwide identity theft scheme that victimised hundreds of taxpayers. The fraud also stole from the U.S. Treasury, impacting programmes serving us all,” Altemus said.
He added that investigators were working to identify financial crimes, trace illicit proceeds and bring suspects before the courts.
