Five convicted in $1M fraud targeting Florida retirees

TALLAHASSEE, Fla. — Five individuals have been convicted in a $1.1 million fraud scheme that targeted the 401(k) retirement accounts of elderly retired Florida school district employees, according to the U.S. Attorney’s Office for the Northern District of Florida.

Michelle Spaven, acting U.S. Attorney for the Northern District of Florida, announced that three defendants pleaded guilty, while two were convicted by a federal jury earlier this month following a six-day trial. The convicted individuals include Ronald Vargas, 38, of Osteen, Sarina Levy, 34, of Pembroke Pines, Lambert Aguebor, 33, of Miramar, Floyd Bostic, 42, of Tallahassee, and Grace Aguebor, 36, of Miramar.

According to prosecutors, Mr Vargas worked for the company handling the victims’ retirement funds and conspired with others to submit fraudulent withdrawal requests between January and March 2022. Investigators said the fraudulent forms directed victims’ 401(k) funds into accounts controlled by members of the conspiracy, with at least 25 accounts compromised and $1.1 million stolen.

Mr Bostic was also found guilty of engaging in money laundering with the stolen funds.

Sentencing hearings for all five defendants are scheduled for April 28 at the U.S. Courthouse in Tallahassee. Each defendant faces up to 20 years in prison for conspiracy to commit wire fraud, with some also facing a mandatory minimum two-year consecutive sentence for aggravated identity theft.

The case was investigated by the Tallahassee Police Department and the FBI and prosecuted by Assistant U.S. Attorney Justin M. Keen.

Federal authorities encourage victims of elder fraud to report financial crimes to the National Elder Fraud Hotline at 1-833-372-8311 for assistance and resources.