Ringleader Of $11M Elder Fraud Scheme Laundered Funds to China: DOJ

LOS ANGELES, CA — A San Gabriel Valley woman pleaded guilty on Tuesday to leading a money laundering ring of at least 15 people who collectively moved more than $11 million stolen from elderly victims across the country.

Cynthia Song, 43, of Arcadia pleaded guilty in federal court in Los Angeles to one felony count of conspiracy to commit money laundering, a felony carrying a prison sentence of up to 20 years, according to the U.S. Attorney's Office.

Song laundered millions stolen from mostly elderly victims by receiving fraudulently obtained funds and quickly transferring them to overseas accounts, primarily in China, she admitted in her plea agreement.

She recruited at least 15 others — mainly people of Chinese descent in the LA area — and instructed them to form business entities and open multiple business bank accounts to disguise the money laundering, according to court documents obtained by Patch.

The ring laundered at least $11.6 million from over 180 victims through accounts they controlled. They skimmed between 5% to 10% of the funds for themselves before the money was transferred to China, according to prosecutors.

She faces up to 20 years in prison and is due back in court for sentencing Sept. 16.