Powder Springs Man Charged For Defrauding University Of $2M: Feds

POWDER SPRINGS, GA — A West Cobb man is facing federal charges related to a fraudulent email and money laundering scheme targeting a Pennsylvania university, allegedly defrauding it out of more than $2 million, according to the U.S. Department of Justice.

A federal grand jury indicted Denis Onderi Makori, 34, of Powder Springs, on Tuesday for these charges, which stem from a business email compromise (BEC) scheme. The BEC scheme led the undisclosed university to send payments totaling more than $2 million via Automated Clearing House (ACH) to who university officials thought was a medical supply company based in Alpharetta, according to Kurt Erskine, Northern District of Georgia's acting U.S. attorney.

However, the bank account was controlled by Makori rather than the unnamed company.

“Business email compromise schemes pose a severe risk of financial loss to public and private institutions alike,” Erskine said. “In this case, Makori allegedly helped orchestrate a scheme that caused a university to transfer unknowingly over $2 million to bank accounts he controlled.”

The initial case claims Makori and others sent fraudulent emails to the university pretending to represent the medical supply company. The emails allegedly included ACH payment instructions telling the university to transfer payments to an account belonging to the medical supply company, but it was Makori's account, Erskine said in a news release.

The university then transferred more than $2 million to the bank account allegedly controlled by Makori, the release said. Makori then allegedly moved and laundered the funds between and among bank accounts associated with his logistics company, bank accounts in Kenya, personal bank accounts and for other people associated with him.

“BEC schemes like this alleged one are a big reason why the Georgia Cyber Fraud Task Force, comprised of federal, state and local agencies, was launched in February,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “It takes a combination of education and our priority to investigate and prosecute these cases to make it a deterrent to those who contemplate committing these crimes.”

The Georgia Secretary of State's website shows Makori as the registered agent for A.V.A. Logistics, a transportation logistics company in Powder Springs.

"Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial," the release said.

The case is being investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Ryan M. Christian is prosecuting the case.