Assistant U.S. Attorneys Stephanie Lamarque and Wei Xiang,
who are handling the case, stated that between February 2016 and October 2016,
the defendant worked with co-defendants Sergiy Bezrukov and Dustin Walker at
companies with various names such as “Corporate Restructure,” and “Salamanca
Payroll Services.” Farnham was a manager for Corporate Restructure, Inc., which
operated out of office space in Salamanca, NY, and Buffalo NY.
Farnham, Bezrukov and Walker, along with others, used a
number of fraudulent companies to mail solicitations to small business owners
(victims) which fraudulently informed the victims that one or more of the
fraudulent companies could assist the Victims with restructuring debts they had
with other lenders.
From the summer of 2016 until October 27, 2016, the
defendant: opened multiple bank accounts at a number of banks, including
Citizens Bank, Bank of America, Northwest Savings Bank and First Niagara Bank;
made daily deposits into the bank accounts opened at the aforementioned banks;
made daily withdrawals from the bank accounts at the aforementioned banks;
opened post office boxes which were used to receive Victims mail and to use as
the return addresses on solicitation letters; and took calls from victims who
were upset and had questions about their “loan restructure.”
When talking with victims over the telephone, Farnham used
aliases and provided the victims with information that was not true or accurate
about the status of the purported loan restructure. Farnham continued to
deposit victims’ monies into the account of shell companies that never provided
any services, and withdrew the deposited money from those accounts. Charges are
pending against Sergiy Bezrukov with trial set to begin on December 17, 2018,
before Judge Vilardo. The fact that a defendant has been charged with a crime
is merely an accusation and the defendant is presumed innocent until and unless
proven guilty. Dustin Walker was previously convicted and is awaiting
sentencing.
The plea is the result of an investigation by the United
States Postal Inspection Service, under the direction of Inspector-in-Charge
Joseph W. Cronin of the Boston Division; the Internal Revenue Service, Criminal
Investigations Division, under the direction of James D. Robnett, Special
Agent-in-Charge, New York Field Office; and Special Agents of Immigration and
Customs Enforcement, Homeland Security Investigations, under the direction of
Special Agent-in-Charge Kevin Kelly.
Sentencing is scheduled for March 19, 2019, before Judge
Vilardo.
