By: Richard L. Smith
Eight defendants have admitted participating in an elaborate bank fraud conspiracy that federal prosecutors said involved more than 100 stolen government and commercial checks totaling over $11 million.
According to U.S. Attorney Robert Frazer, the defendants pleaded guilty before U.S. District Judge Michael A. Shipp in Trenton federal court to conspiracy to commit bank fraud.
Federal prosecutors said the scheme operated from March 2023 through June 2025 and involved depositing stolen checks, including U.S. Treasury checks, at banks throughout New Jersey and Pennsylvania.
Authorities said members of the conspiracy impersonated businesses and individuals whose names appeared as payees on the stolen checks.
In some instances, the defendants obtained business documents using the identities of legitimate payees and used those records to establish fraudulent bank accounts.
Once the accounts and documents were in place, prosecutors said the stolen checks were deposited and the proceeds divided among members of the conspiracy.
Federal authorities said the group deposited or attempted to deposit more than 100 Treasury and commercial checks with a combined value exceeding $11 million.
Many of the Treasury checks were Employee Retention Credit refunds issued through a federal program created during the COVID-19 pandemic to encourage businesses to retain employees.
Those who pleaded guilty were Britany Brown, 39, and Patricia Kearse, 47, both of Philadelphia; Clarence Semmon, 42, and Joseph Graves-Carmichael, 43, both of Trenton; Andrew Hooper, 38, of New Brunswick; Thomas Lee, 56, of Beverly; Shabazz Rouzard, 34, of Ewing; and John Gerard Ebert, 42, of Hamilton.
The defendants entered their guilty pleas between July 21 and August 4. Their sentencing hearings are scheduled throughout December 2026.
The bank fraud conspiracy charge carries a maximum potential penalty of 30 years in federal prison and a fine of up to $1 million or potentially higher based on financial gains or losses associated with the offense.