Money launderers jailed for role in ‘rare earth’ metal scam worth £1million

|News, Fraud and economic crime

Three money launderers who pocketed a share of a £1million ‘rare earth’ metal scam have been jailed.‎

The Commodities Link gave customers the opportunity to invest in baskets of valuable elements - known as ‘rare earths’ - when in reality the metal they were selling was almost worthless.

A group of South East-based tricksters charged between seven and two hundred times the actual value of the metal, and asked their victims to pay some of their investments into accounts owned by Ike Obiamiwe, 56 and Daniel Jordan, 36 and Tarun Jain, 50.

Obiamiwe insisted that he was a consultant who gave advice to businesses and told investigators the money in his bank account had come from a trading company in Dubai.

However the CPS was able to prove the £87,000 in his account was part of the proceeds of the fraud.

Jain tried to deny his involvement by insisting the money had been put into an old business account, but the CPS were able to prove his role in this money laundering operation.

Alongside some purchases on iTunes, further investigation found that Jordan had syphoned £80,000 through his accounts.

On Friday 27 September, at Kingston Crown Court, Jordan, Obiamiwe and Jain were sentenced to a collective 5 years in prison for three counts of money laundering.

Libby Clark of the CPS, said: “These men tried to hide what they were doing through lies or multiple bank accounts, covering the fact they were actually laundering money that had been gained through an elaborate fraud.”

Notes to editors

  • Libby Clark is a Senior Crown Prosecutor in the South East
  • On 28 November 2018 Ike Obiamiwe (DOB: 14/08/1962) was convicted of three counts of converting criminal property and on Friday 27 September 2019 was sentenced to two years and six months in prison.
  • On 29 November 2019 Daniel Jordan (DOB: 26/05/1983) was convicted of two counts of converting criminal property and on Friday 27 September was given a 12-month suspended sentence.
  • On 15 August 2019 Tarun Jain (DOB: 18/11/1968) was convicted of three counts of converting criminal property and on Friday 27 September was sentenced to two years and four months years in prison.
  • On 29 November 2018, Mark Whitehead (DOB: 29/12/1958), Darren Flood (DOB: 21/10/1978), Jonathan Docker (DOB: 12/02/1986), Paul Muldoon (DOB: 12/05/1984), Gennaro Fiorentino (DOB: 23/02/1980), Vikki King (DOB: 12/06/1979) were found guilty of conspiracy to commit fraud by false representation.
  • On 6 September 2018 Stephen Todd (DOB: 29/11/1981) pleaded guilty to conspiracy to commit fraud by false representation.

Proceeds of crime

  • Fiorentino has been issued with a £130,614.80 confiscation order and has three months to pay this or he will face an additional two years in prison.
  • Flood has been issued with a £190,000 confiscation order and has until 4 January 2020 to pay this or he will face an extra two years in prison.
  • Whitehead has been issued with a £50,000 confiscation order and has three months to pay this or he will face an extra year in prison.
  • Muldoon has been issued with a nominal £10 confiscation order

Further reading