Two Natives Of Pakistan Plead Guilty To Fraud
TOPEKA, KAN. – Two natives of Pakistan have pleaded guilty to conspiring to defraud Topeka banks of more than $400,000, U.S. Attorney Barry Grissom said today. In their pleas, they have agreed to pay restitution, to give up their American citizenships and to be deported.
Maqsood Baloch, 31, Topeka, Kan., and Junaid Iqbal, 30, Topeka, pleaded guilty to one count of conspiracy to commit bank fraud, wire fraud and Social Security fraud. From 2004 to 2011, they operated a check kiting scheme. Doing business under various names they conspired to defraud multiple banks and businesses by depositing and using insufficient funds checks, and by making electronic payments using false account numbers and accounts with insufficient funds.
Baloch represented himself as director or incorporator of businesses including Gulzar, Alam Traders, American Eagles, KS Express, Ali and Tobacco Town. Iqbal represented himself as director or incorporator of businesses including Jimn, Inc., Rossi, Inc., Topeka Salon and Smokers Paradise Topeka. As part of the fraud scheme they created accounts at banks including Bank of America, U.S. Bank, CNB, Core First and MBNA. Business that were victims of the fraud include Sam’s Club of Topeka, Sam’s Club of Lenexa, and Sam’s Club of Overland Park.
Sentencing is set for Feb. 13. Baloch has agreed to time served, restitution of $325,556 and deportation. Iqbal has agreed to time served, restitution of $40,090 and deportation.
Grissom commended the Topeka Police Department, the U.S. Secret Service, the Department of Homeland Security, Immigration, Customs Enforcement and Assistant U.S. Attorney Tanya Treadway for their work on the case.