On Thursday, October 26, 2017, it was announced that an Old Bridge, New Jersey man had been arrested for allegedly using phony payments and false identity theft claims to deceive credit card companies and banks into giving him credit and funds. 55-year-old Sandy John Masselli has been charged with two counts of bank fraud and two counts of wire fraud. He was arrested by FBI agents at his residence on Thursday morning.
Between June 2014 and July 2017, Masselli allegedly engaged in three separate, but related, schemes to fraudulently acquire credit and funds from several credit card companies and two brokerage firms. Masselli opened accounts with credit card companies and made purchases until he had nearly reached his limit or exceeded the credit limit. Then, the defendant sent payments from bank accounts with insufficient funds to cover the purchases.
Before the credit card companies were able to reject the fraudulent payments, they temporarily credited Masselli’s accounts, thus providing him with additional credit and allowing him to make more purchases. Masselli supposedly failed to pay these balances causing the credit card companies to sustain substantial losses.
In another scheme, the defendant opened credit accounts with two companies and made thousands of dollars in purchases. Then, he falsely claimed that the accounts have been opened fraudulently and used without his authorization. The companies closed the accounts and sustained losses.
In yet another scheme, Masselli supposedly tried to deposit more than $600,000 in checks from a closed account into a new brokerage account. The transfers were ultimately unsuccessful, because the checks were returned as unpaid. Masselli will face a maximum penalty of 30 years in prison on the bank fraud counts and 20 years in prison on the wire fraud counts.
At this point in time, Sandy John Masselli is innocent until proven guilty beyond a reasonable doubt in a court of law.