Salt Lake City — A federal grand jury has indicted multiple Utahans involved in an online scheme to sell dietary supplements, CBD, and dietary supplements.
On Wednesday, the Utah District Attorney’s Office announced that eight Utah residents and one Washington resident face 18 criminal charges.
- One count of conspiracy to commit wire fraud,
- 1 count of conspiracy to commit bank fraud;
- 1 count of conspiracy to commit money laundering;
- 6 cases of wire fraud,
- 5 counts of aggravated identity theft
- Two counts of money laundering, aiding and abetting.
According to the indictment, the nine defendants indicted are:
- April Glen Boden, 36, from Salt Lake County.
- Chad Austin Borden, 43, from Salt Lake County.
- Mackaio Lyman Crisler, 39 years old.
- Phillip Ganuscia, 52, from Salt Lake County and Puerto Rico
- Dustin Garr of Washington County, 44.
- Barbara Joe Jackson, 69, Utah County,
- Brent Goldburn Knudson, 42, from Utah County.
- Richard Scott Nemrow, 42, from Utah County
- Robert McKinley, 45, from Spokane, Washington.
According to the indictment, each defendant was involved in a fraud and money laundering conspiracy to obtain credit and debit card processing of more than $100 million between approximately January 2016 and approximately April 2022.
“The scheme involved selling nutraceuticals, CBD, and nutraceutical products to consumers through a number of websites and call centers operating in Utah,” the indictment states. says.
Each product was falsely advertised to offer health benefits such as weight loss and treatment for seizures, cancer, and erectile dysfunction. , and the product return or refund feature was also misunderstood.
“Consumers were unknowingly enrolled in monthly subscriptions without consent as a result of misleading fraud. Consumers were charged more than the advertised price of the product. Received and charged for more product than was promised Consumer failed to receive refund or return of product Consumer was sold other product when attempting to obtain refund ’” the indictment said.
Straw Owners, LLCs, and Accounts
Defendants are accused of using hundreds of fake LLCs operated by “straw owners” that defendants controlled.
According to the indictment, the holders of the straws were people recruited and paid by the defendants to open LCCs, checking accounts and merchant processing accounts.
The straw owners used their personal information to open these accounts and were paid approximately $250 to $350 per month to keep the accounts open, but were not involved in running the business. .
According to the indictment, the main LCCs used in the alleged scheme are:
- Envision Wellbeing, LLC (also known as My Wellness Rebound),
- Infinite Nutrasupp, LCC (also known as Infinite Improvement),
- Envision Wellbeing, LLC (also known as Pure Transformation Today)
- Divine Health, LLC (also known as Increased Wellness)
- Target Fulfillment LLC
- Energy LLC
- Control Marketing LLC
- Continental Orient LLC
According to the indictment, defendants allegedly used a call center registered with Elite Business Resources LLC named Total Client Connect.
Defendants allegedly used these LCCs to receive more than $100 million in illicit proceeds from Straw LLC. ”
Defendants also transferred more than $64 million to foreign offshore accounts.
A grand jury indictment resulted in the seizure of a number of bank accounts and purchases made with that money.