BY SUNDAY SAMUEL—–Nigerian national, Ifeanyi Emmanuel Ugwu, 49, has admitted guilt to operating an unlicensed money transfer business through which more than $5 million in illicitly sourced funds was processed, U.S. Attorney Eric Grant has disclosed.
Court records show that between December 2020 and August 2023, Ugwu owned, managed, and served as the chief executive officer of Franklin Finance Inc.
Ugwu who lives in Bakersfield through the company,established and controlled 20 bank accounts across nine banks and other financial institutions, through which he received about $5 million from over 100 individuals within the United States.
He subsequently moved the funds to recipients in China, Nigeria, and other locations.
Authorities stated that at no time did the company possess the necessary licenses required to legally operate as a money-transmitting business.
Investigators further revealed that several of the individuals who transferred money to Ugwu were victims of fraud and cyber-related crimes. Out of the total amount handled, approximately $580,000 was identified as proceeds from fraudulent schemes involving these victims.
According to court documents, Ugwu was able to continue operating the unlicensed business by making false representations to customers, banks, and financial institutions in an effort to hide his illegal activities.
Several U.S.-based individuals who sent money through the operation were also confirmed to have been victims of online fraud and other cybercrimes.
The case was investigated by the IRS Criminal Investigation unit and Homeland Security Investigations, while Assistant U.S. Attorney Cody S. Chapple is handling the prosecution.
Ugwu is scheduled to be sentenced by U.S. District Judge Jennifer L. Thurston on July 27, 2026.
He faces a maximum sentence of five years imprisonment and a $250,000 fine.
However, the final sentence will be decided at the discretion of the court after considering relevant statutory provisions and the Federal Sentencing Guidelines, which take into account several factors.
