Brooklyn Man Pleads Guilty To Scaming Lowe’s Out Of Millions Of Dollars And Failing To File Tax Returns
BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Kenneth Cassidy, 51, of Brooklyn, NY, pleaded guilty to conspiracy to commit wire fraud and willful failure to file an income tax return before Senior U.S. District Judge William M. Skretny. The charges carry a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that between June 12, 2012, and December 20, 2016, the defendant opened approximately 173 fraudulent Lowe's Accounts Receivable (LAR) accounts throughout the United States using counterfeit checks. Once an account was opened, Cassidy made fraudulent purchases of goods at Lowe’s until the funds were depleted or Lowe’s closed the account. Of the 173 accounts, four were opened at stores in the Western District of New York and purchases were made at stores throughout the Buffalo and Rochester areas. In total, the defendant and others used the fraudulent accounts to make approximately $2,652,391.17 in purchases from Lowe’s.
Additionally, for the tax years 2012 to 2015, Cassidy received gross income in excess of $10,000 from criminal activity, but willfully failed to file federal income tax returns for those years.
The plea is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of James Robnett, Special Agent in Charge, New York Field Office; the New York State Police, Special Investigations Unit, under the direction of Major George Nohai; the U.S. Marshals Service, under the direction of Marshal Charles Salina; and Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
Sentencing is scheduled for April 18, 2018, at 9:00 a.m. before Judge Skretny.