RALEIGH, N.C.—Four men have been indicted on federal charges of bank fraud and conspiracy in connection with a scheme that exploited a security gap at State Employees Credit Union, based in Raleigh, N.C., and netted nearly $500,000, the U.S. attorney’s office reported.
A grand jury in late August charged Calvin Daminice Stewart, Quavedrian Da’mon Gibson, Keyondrea Deionta Purvis, and Michael Raekwon Ryner. Prosecutors allege that between April and September 2022, the men recruited friends and relatives to provide SECU cards and PINs, then made deposits and withdrawals timed to take advantage of the credit union’s overnight reconciliation process, The News & Observer reported.
According to the indictment, the scheme took advantage of periods when the $57-billion SECU’s systems had not yet reconciled account balances, allowing the defendants to carry out fraudulent deposits and withdrawals that artificially inflated available funds. They allegedly promised participating account holders a share of the illicit withdrawals, which totaled $473,849.95,” The News & Observer said.
“Protecting the integrity of banks and credit unions that serve North Carolina’s public is a top priority,” U.S. Attorney Ellis Boyle said in a release. “We will continue to work closely with our law enforcement partners to investigate allegations of fraud and safeguard the trust and money placed in these institutions.”