SAN FRANCISCO, Calif. (KRON) — A federal court has sentenced 57-year-old Joseph Albert Corey to nine years in prison on two separate fraud schemes causing more than $3.5 million in losses.
Corey, a Los Angeles native, was initially charged in 2019 with depositing fraudulent checks into accounts opened under the false name “Dennis Dupont.”
According to court documents, while posing as Dennis Dupont, Corey opened bank accounts for two fake companies, “Medical Practice Management” and “Medtronic Inc.”
The government’s sentencing memo describes Corey funded those accounts by depositing unauthorized checks drawn on a bank account owned by a legitimate company.
Additionally, Corey wrote checks on the victim company’s account totaling more than $370,000.
When he successfully deposited a check, Corey allegedly laundered the proceeds by using the stolen money to purchase gold coins from a precious metals company.
Court documents reveal Corey picked up the gold coin shipments from rented mailboxes in the Bay Area.
In November 2019 — Corey entered a guilty plea to a federal charge of mail fraud but fled before his February 2020 sentencing hearing.
While a fugitive, Corey allegedly continued to commit a second fraud scheme from March 2019 and continued through October 2020 — involving a conspiracy to defraud financial lenders.
Corey admitted in his current plea agreement that as part of the scheme he took on the identities of multiple medical doctors.
He would impersonate a doctor to obtain a loan apparently to purchase an expensive medical device from a legitimate supply company.
Once the loan was authorized, Corey directed the lender to deposit the loaned purchase funds into a specific bank account.
“Unbeknownst to the lender, Corey earlier had opened that account in the name of, or in a name similar to, the medical device supply company,” said a press release from the United States District Court for the Northern District of California.
Court documents show that when the lender deposited the funds into the account, Corey appropriated the money.
He then took on another set of false identities and used the funds to purchase gold from various metals dealers in an effort to obscure the trail of the stolen loan money.
In January 2021 Corey was detained by Mexican authorities and deported from Mexico to the United States.
According to a government filing, when Corey was arrested in Mexico he possessed scores of false identifications, including one identifying him as a “special agent” of the CIA.
Corey admitted in his plea agreement that he defrauded more than 10 victims in this second scheme and caused losses of at least $3.5 million.
In addition to the 108-month prison sentence, United States District Judge Edward M. Chen ordered Corey to pay restitution.
The sentence also included a three-year period of supervision following Corey’s release from prison.