Binghui Liu, a 33-year-old Chinese national formerly residing in San Jose, California, has pleaded guilty to one count of conspiracy to commit money laundering. Liu collected approximately $597,100 from 24 victims across California and Nevada by impersonating a federal law enforcement officer or government employee. This guilty plea was announced by U.S. Attorney Eric Grant in Fresno, California.
Court documents reveal that between February 2024 and April 2025, Liu acted as a money launderer for a wider network of co-conspirators running a government-impersonation fraud scheme. Scammers, operating from both within the United States and overseas, including India, contacted victims and falsely claimed that criminal charges had been filed against them and that their bank accounts were at risk of being frozen.
Victims were told to withdraw their savings in cash and hand the money over "for safekeeping," with assurances that a federal official would arrive to collect it. Code words, fabricated names, and instructions on how to package the cash were all part of the deception. In one case detailed in court documents, an elderly victim received a call from someone claiming to be a U.S. Marshal, who alleged there was an arrest warrant and that the victim's bank accounts were in jeopardy.
The caller coached the victim on how to withdraw the funds, what to say at the bank, and how to prepare the money for collection. Liu and other co-conspirators then arrived in person, posing as federal officials, and collected the cash. That single victim lost more than $700,000. Liu's role in the scheme came to an end on April 9, 2025, when FBI agents set up a sting operation.
Liu arrived at what he believed was a genuine victim's home and collected what he thought was $20,000 in cash. The money was fake, and he was taken into custody at that point. At no stage was Liu a federal law enforcement officer or a federal government employee. The FBI conducted the investigation, with Assistant U.S. Attorneys Cody S. Chapple and Arelis M. Clemente prosecuting the case.
Liu is scheduled to be sentenced before U.S. District Judge Kirk E. Sherriff on January 4, 2027. He faces a maximum statutory penalty of 20 years in prison and a fine of $500,000 or twice the value of the property involved in the transactions, whichever is greater. The actual sentence will be determined at the court's discretion.
The case highlights the efforts of U.S. authorities to combat impersonation scams and protect citizens from financial harm. The Department of Justice continues to work to bring those responsible for such crimes to justice. Liu's guilty plea is a significant step in this process, and his sentencing will serve as a deterrent to others who may be considering similar schemes.
Key points
- Liu faces a maximum penalty of 20 years in prison and a fine of $500,000.
- The scheme involved scammers impersonating federal officials to collect cash from victims.
- Liu's sentencing is scheduled for January 4, 2027.
