Five Indicted in $7.4 Million Elder Scam Money Laundering Network Using 21 Shell Companies
Five men have been indicted in the Western District of Washington over an alleged nationwide scheme that laundered more than US$7.4 million in fraud proceeds from at least 77 victims, largely through shell companies and bank accounts created in Washington State.
The U.S. Attorney’s Office for the Western District of Washington announced the indictment on August 28, 2026. Prosecutors allege the defendants were part of a broader fraud network that used tech-support scams and impersonation of government or financial-institution officials to persuade victims, including elderly people, to send cashier’s checks, money orders and other monetary instruments.
21 shell companies and 44 bank accounts
According to the indictment, between October 2024 and March 2026 the defendants registered 21 shell companies in Washington and used fake identities to open approximately 44 bank accounts connected to those entities. Commercial mailboxes were also rented in the names of the shell companies so fraud victims could be instructed to send funds there.
Prosecutors allege the defendants deposited the fraud proceeds into the 44 accounts and then rapidly moved the money through wire transfers to accounts held in the names of business entities in Hong Kong and mainland China. The five defendants collectively received and laundered more than US$7.4 million from at least 77 victims. Homeland Security Investigations separately estimated that approximately US$11 million may have been lost by vulnerable seniors connected to the broader activity under investigation.
The defendants are Hung Chieh Kuo, 27, of Bellevue; Tung Wei Yeh, 31, of Bellevue; Hsin Chien, 31, of Bothell; You Wei Liew, 26, of Seattle; and Chengpeng Zhang, 40, of Seattle. Four had appeared in court by the time of the announcement, while Liew was being sought by law enforcement. Three defendants remained detained, subject to their respective hearing or trial status.
Money laundering charges
The indictment charges the defendants with conspiracy to commit money laundering, ten counts of concealment money laundering and ten counts of spending criminally derived property. Conspiracy and concealment money laundering carry maximum penalties of up to 20 years’ imprisonment, while money laundering by spending carries a maximum of up to 10 years.
Trial is scheduled for November 9, 2026. The case is being investigated by Homeland Security Investigations and prosecuted by the U.S. Attorney’s Office for the Western District of Washington.
The charges are allegations. All defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
