A Nigerian man based in Pennsylvania, United States, Adepoju Babatunde Salako, has been sentenced to 18 months imprisonment after pleading guilty to wire fraud connected to a 2022 Alaska Permanent Fund Dividend (PFD) fraud scheme.
According to the United States Department of Justice, Salako, 33, admitted to orchestrating a scheme that involved stealing the identities of Alaska residents and using their personal information to submit fraudulent applications for dividend payments.
Investigators disclosed that between January and February 2022, Salako illegally accessed the myAlaska online accounts of several victims. He reportedly created fake email addresses, altered banking and contact details, and attempted to redirect the state-issued payments into accounts under his control.
Authorities said seven fraudulent applications were linked to the suspect during the investigation.
The Alaska Permanent Fund Dividend program distributes annual payments to eligible Alaska residents using revenue generated from the state’s oil wealth. Prosecutors stated that the fraudulent applications could have led to losses of nearly $23,000 if the scheme had not been detected early.
Federal investigators revealed that Salako used a Virtual Private Network (VPN) to hide his actual location and make it appear as though the online applications originated from Alaska. However, one of the applications was traced to an IP address in Philadelphia, Pennsylvania, which investigators connected to his personal email account.
The fraud attempt was uncovered before any funds were successfully paid out to the suspect.
U.S. Attorney Michael J. Heyman said the government would continue to crack down on identity theft and financial fraud targeting public benefit systems.
This sentence demonstrates our commitment to protecting Alaska residents and ensuring that those who engage in identity theft and fraud are held accountable, Heyman stated.
The Federal Bureau of Investigation (FBI) Anchorage Field Office and the Alaska Department of Revenue Criminal Investigations Unit jointly handled the investigation.
Court documents also revealed that Salako’s 18-month prison sentence will run concurrently with another federal sentence previously handed to him in Colorado. In that separate case, he was sentenced to six and a half years imprisonment for crimes involving COVID-19 relief fraud and international money laundering activities.
Authorities said the Colorado case involved millions of dollars in fraudulent transactions and restitution claims.
The latest conviction adds to the growing number of international cybercrime and wire fraud cases being prosecuted by U.S. authorities in recent years.
