Indictment Filed as to Herode Chancy (1) count(s) 1, 2, 3, 4, 5, Michael Albarella — USA v. Chancy et al. (Dkt. 23, S.D.N.Y.)

Record facts

U.S. District Court for the Southern District of New York · No. 1:20-cr-00378-LJL · Doc. 23 · 2020-07-23 · Docket on CourtListener

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UNITED STATES DISTRICT COURT 
SOUTHERN DISTRICT OF NEW YORK 
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X 
UNITED STATES OF AMERICA 
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V. 
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HERODE CHANCY , 
MICHAEL ALBARELLA, and 
ADEDAYO I LORI , 
Defendants . 
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INDICTMENT 
20 Cr . 
OCIDM 
COUNT ONE 
(Conspiracy to Commit Mail and Wire Fraud) 
The Grand Jury charges : 
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1 . 
From at least in or about March 2019 through in 
or about March 2020 , in the Southern District of New York and 
elsewhere , HERODE CHANCY and ADEDAYO ILORI , the defendants , and 
others known and unknown , willfully and knowingly , did combine , 
conspire , confederate , and agree together and with each other to 
commit wire fraud , in violation of Title 18 , United States Code , 
Section 1343 , and mail fraud , in violation of Title 18 , United 
States Code , Section 1341 . 
2 . 
It was a part and object of the conspiracy that 
HERODE CHANCY and ADEDAYO ILORI , the defendants , and others 
known and unknown , willfully and knowingly , having devised and 
intending to devise a scheme and artifice to defraud and for 
obtaining money and property by means of false and fraudulent 
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pretenses , representations , and promises , would and did transmit 
and cause to be transmitted by means of wire , radio , and 
television communication in interstate and foreign commerce , 
writings , signs , signals , pictures and sounds for the purpose of 
executing such scheme and artifice , in violation of Title 18 , 
United States Code Section 1343 , to wit , CHANCY and ILORI agreed 
together and with others to engage in a scheme in which they 
would and did submit fraudulent business loan applications with 
the intent not to repay the loans (the "Loan Scheme" ) , and in 
connection therewith and in furtherance thereof , would and did 
transmit and cause to be transmitted interstate electronic mail , 
in order to execute the Loan Scheme and obtain proceeds 
therefrom . 
3 . 
It was further a part and object of the 
conspiracy that HERODE CHANCY and ADEDAYO ILORI , the defendants , 
and others known and unknown , willfully and knowingly , having 
devised and intending to devise a scheme and art ifice to defraud 
and for obtaining money and property by means of false and 
fraudulent pretenses , representations , and promises , for the 
purpose of executing such scheme and artifice and attempting so 
t o do , would and did place in a post office and authorized 
depository for mail matter , a matter and thing to be sent and 
delivered by the Postal Service , and deposit and cause to be 
deposited a matter and thing to be sent and delivered by private 
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and commercial interstate carrier , and take and receive 
therefrom, a matter and thing , and knowingly cause to be 
delivered by mail and such carrier according to the direction 
thereon , and at the place at which it was directed to be 
delivered by the person to whom it was addressed , such matter 
and thing , in violation of Title 18 , United States Code , Section 
1341 , to wit CHANCY and ILORI agreed together and with others to 
engage in the Loan Scheme , and in connection therewith and in 
furtherance thereof , would and did transmit and cause to be 
transmitted , by means of the mails and private and commercial 
interstate carriers , documents related to the Loan Scheme , in 
order to execute the Loan Scheme and obtain proceeds therefrom . 
(Title 18 , United States Code , Section 1349.) 
COUNT TWO 
(Wire Fraud) 
The Grand Jury further charges : 
4 . 
From at least in or about March 2019 through in 
or about March 2020 , in the Southern District of New York and 
elsewhere , HERODE CHANCY and ADEDAYO ILORI , the defendants , 
willfully and knowingly , having devised and intending to devise 
a scheme and artifice to defraud , and for obtaining money and 
property by means of false and fraudulent pretenses , 
representations , and promises , transmitted and caused t o be 
transmitted by means of wire , radio , and television 
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communication in interstate and foreign commerce , writings , 
signs , signals , pictures , and sounds for the purpose of 
executing such scheme and artifice , to wit , CHANCY and ILORI 
engaged in the Loan Scheme , and in connection therewith and in 
furtherance thereof , transmitted and caused to be transmitted 
interstate electronic mail , in order to execute the Loan Scheme 
and obtain proceeds therefrom . 
(Title 18 , United States Code , Sections 1343 and 2 . ) 
COUNT THREE 
(Mail Fraud) 
The Grand Jury further charges : 
5. 
From at least in or about March 2019 through in 
or about March 2020 , in the Southern District of New York and 
elsewhere , HERODE CHANCY and ADEDAYO ILORI , the defendants , 
willfully and knowingly , having devised and intending to devise 
a scheme and artifice to defraud , and for obtaining money and 
property by means of false and fraudulent pretenses , 
representations , and promises , for the purpose of executing such 
scheme and artifice and attempting so to do , placed in a post 
office and authorized depository for mail matter , a matter and 
thing to be sent and delivered by the Postal Service , and 
deposited and caused to be deposited a matter and thing to be 
sent and delivered by a private and commercial interstate 
carrier , and took and received therefrom, a matter and thing , 
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and knowingly caused to be delivered by mail and such carrier 
according to the direction thereon , and at the place at which it 
was directed to be delivered by the person to whom it was 
addressed , a matter and thing , to wit , CHANCY and ILORI engaged 
in the Loan Scheme , and in connection therewith and in 
furtherance thereof , transmitted and caused to be transmitted , 
by means of the mails and private and commercial interstate 
carriers , documents related to the Loan Scheme , in order to 
execute the Loan Scheme and obtain proceeds therefrom . 
(Title 18 , United States Code , Sections 1341 and 2 . ) 
COUNT FOUR 
(Aggravated Identity Theft) 
The Grand Jury further charges : 
6 . 
From at least in or about December 2019 through 
in or about March 2020 , in the Southern District of New York and 
elsewhere , HERODE CHANCY and ADEDAYO ILORI , the defendants , 
knowingly transferred , possessed , and used , without lawful 
authority , a means of identification of another person , during 
and in relation to a felony violation enumerated in Title 18 , 
United States Code , Section 1028A(c) , to wit , in connection with 
the conspiracy , wire fraud , and mail fraud offenses alleged in 
Counts One through Three of this Indictment , respectively , 
CHANCY and ILORI used and aided and abetted the use of the 
names , dates of birth , and social security numbers of other 
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persons when submitting , and causing the submission of , 
fraudulent loan applications made in furtherance of the Loan 
Scheme . 
(Title 18 , United States Code , Sections 1028A(a) (1) , 
1028A(c ) (5) , and 2 . ) 
Count Five 
(Conspiracy to Commit Money Laundering) 
The Grand Jury further charges : 
7 . 
From at least in or about February 2020 through 
in or about March 2020 , in the Southern District of New York and 
elsewhere , HERODE CHANCY , MICHAEL ALBARELLA, and ADEDAYO ILORI , 
the defendants , and others known and unknown , willfully and 
knowingly did combine , conspire , confederate , and agree together 
and with each other to commit money laundering , in violation of 
Title 18 , United States Code , Section 1956(a) (3) (B) . 
8 . 
It was a part and an object of the conspiracy 
that HERODE CHANCY , MICHAEL ALBARELLA, and ADEDAYO ILORI , the 
defendants , and others known and unknown , with the intent to 
conceal and disguise the nature , location , source , ownership , 
and control of property believed to be the proceeds of specified 
unlawful activity , would and did conduct and attempt to conduct 
a financial transaction involving property represented to be the 
proceeds of specified unlawful activity , to wit , CHANCY , 
ALBARELLA, and ILORI agreed to launder , through a bank account 
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opened using a stolen identity , the purported proceeds of 
fraudulent business loans obtained in violation of Title 18 , 
United States Code , Sections 1343 and 1341 , as charged in Counts 
Two and Three of this Indictment , respectively , in violation of 
Title 18 , United States Code , Section 1956(a) (3) (B) . 
(Title 18 , United States Code , Section 1956(h) . ) 
COUNT SIX 
(Bank Bribery -
Solicitation and Acceptance) 
The Grand Jury further charges : 
9 . 
In or about February 2 02 0 , in the Southern 
District of New York and elsewhere , MICHAEL ALBARELLA, the 
defendant , being an officer , director , employee , and agent of a 
financial institution , knowingly and corruptly solicited and 
demanded for the benefit of a person , and corruptly accepted and 
agreed to accept , things of value exceeding $1 , 000 from a 
person , intending to be influenced and rewarded in connection 
with a business and transaction of such institution , to wit , 
ALBARELLA, while acting as a manager of a financial institution 
located in New York , New York ("Bank-1" ) , and insured by the 
Federal Deposit Insurance Corporation , solicited and accepted a 
bribe payment in connection with the opening of a bank account 
at Bank-1 using a stolen identity in furtherance of laundering 
the proceeds of the Loan Scheme . 
(Title 18 , United States Code , Sections 215 (a) (2) and 2 . ) 
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FORFEITURE ALLEGATIONS 
10 . 
As a result of committing the offenses alleged in 
Counts One through Three of this Indictment , HERODE CHANCY and 
ADEDAYO ILORI , the defendants , shall forfeit to the United 
States , pursuant to Title 18 , United States Code , Section 
981 (a) (1) (C) and Title 28 , United States Code , Section 2461 (c) , 
any and all property , real and personal , that constitutes or is 
derived from proceeds traceable to the commission of said 
offenses , including but not limited to a sum of money in United 
States currency representing the amount of proceeds traceable to 
the commission of said offenses . 
11 . 
As a result of committing the offense alleged in 
Count Five of this Indictment , HERODE CHANCY , MICHAEL ALBARELLA, 
and ADEDAYO ILORI , the defendants , shall forfeit to the United 
States , pursuant to Title 18 , United States Code , Section 
982(a) (1) , any and all property , real and personal , that 
constitutes or is derived from proceeds traceable to the 
commission of ,said offense , including but not limited to a sum 
o f money in United States currenc y r epre senting the amount o f 
proceeds traceable to the commission of said offense . 
12 . 
As a result of committing the offense alleged in 
Count SIX of this Indictment , MICHAEL ALBARELLA, the defendant , 
shall forfeit to the United States , pursuant to Title 18 , United 
States Code , Section 982 (a ) (2 ) (A) , any and all property , real 
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and personal , that constitutes or is derived from proceeds 
traceable to the commission of said offense , including but not 
limited to a sum of money in United States currency representing 
the amount of proceeds traceable to the commission of said 
offense . 
Substitute Asset Provision 
13 . 
If any of the above - described forfeitab l e 
property , as a result of any act or omission of the defendants : 
a . 
cannot be located upon the exercise of due 
diligence ; 
b . 
has been transferred or sold to , or 
deposited with , a third person ; 
c . 
has been placed beyond the jurisdiction of 
the Court ; 
d . 
has been substantially diminished in value ; 
or 
e . 
has been commingled with other property 
which cannot be subdivided without difficulty ; 
it is the intent of the United States , pursuant to Title 21 , 
United States Code , Section 
853(p) and Title 28 , United States 
Code , Section 2461(c) , to seek forfeiture of any other property 
o f the defendants up to the value of the above forfeitable 
property . 
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(Title 18 , United States Code , Sections 981 , 982 ; 
Title 21 , United States Code , Section 853 ; and 
Title 28 , United States Code , Section 2461 . ) 
Attorney 
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.. 
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Form No . USA- 33s-274 (Ed . 9- 25 - 58) 
UNITED STATES DISTRICT COURT 
SOUTHERN DISTRICT OF NEW YORK 
UNITED STATES OF AMERICA 
v. 
HERODE CHANCY, 
MICHAEL ALBARELLA, and 
ADEDAYO !LORI, 
Defendants . 
INDICTMENT 
20 Cr . 
(18 U. S . C. §§ 215 , 1028A, 1341 , 1343 , 
1349 , 1956 , and 2 . ) 
AUDREY STRAUSS 
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