Singapore Resident Pleads Guilty In Manhattan Federal Court To Soliciting Millions Of Dollars In Pre-IPO Stock Scheme
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and Angel M. Melendez, Special Agent in Charge of the New York Field Office of the Department of Homeland Security, Homeland Security Investigations (“HSI”), announced today that RANDY WANG was arrested this morning on wire fraud charges stemming from his scheme to defraud his former employer, a company based in Manhattan that manages a global airline alliance whose members consisted of approximately 13 international airlines and their affiliates (the “Company”), by incurring more than $2.2 million in unauthorized charges on the Company’s credit card account, and then making changes to the Company’s accounting system to evade detection. WANG was arrested this morning in Long Island City, New York, and was presented today before United States Magistrate Judge Katharine H. Parker.
Acting U.S. Attorney Joon H. Kim said: “As alleged, Randy Wang took advantage of his position at a major New York-based company to charge millions of dollars’ worth of non-business-related purchases on the company’s credit card. Wang allegedly purchased hundreds of electronic devices, including cell phones, computers, and tablets, and then falsified paperwork to hide the transactions. Wang allegedly tried to take his employer for a ride, but instead he may be facing a trip to prison.”
HSI Special Agent in Charge Angel M. Melendez said: “Using his position as business manager, Wang allegedly developed a scheme to defraud his employer of millions of dollars by means of unauthorized credit card purchases and altered accounting records. Twenty-five years ago, HSI New York formed the El Dorado Task Force specifically to target all levels of financial crime, including wire fraud like today’s arrest. With more than 30 local, state, and federal law enforcement partners under one roof, El Dorado continues to be a leader in financial fraud investigations, working together to bring these perpetrators to justice.”
According to the Complaint unsealed today in Manhattan federal court:
During the relevant time period, WANG was employed as a business manager for the Company, and for approximately the last two months of the scheme, WANG also served as the Company’s interim chief financial officer. From January 2016 through October 2017, WANG incurred more than $2.2 million of unauthorized charges on the Company’s credit card account by making hundreds of purchases at both online and brick-and-mortar retailers. WANG’s purchases, which were entirely unrelated to his official duties and were not for the benefit of the Company, included approximately 443 laptop computers, 241 mobile electronic devices, 24 tablet computers, and numerous other electronics. In order to evade detection of his criminal conduct, WANG made changes to the Company’s accounting records to disguise the nature of the credit card charges.
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WANG, 33, of Long Island City, New York, is charged with one count of wire fraud, which carries a maximum sentence of 20 years in prison and a maximum fine of $250,000, or twice the gross gain or loss from the offense. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant would be determined by the court.
Mr. Kim praised the work of HSI and the El Dorado Task Force.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Christine I. Magdo is in charge of the prosecution.
The allegations contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
 As the introductory phrase signifies, the entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitute only allegations, and every fact described therein should be treated as an allegation.