A San Diego-area owner-operator was arraigned on Tuesday in an 18-count indictment charging him with bank fraud, money laundering and aggravated identity theft.
Hasan Korkmaz, who owns San Diego Logistics Group Inc. based in Santee, California, carried out a credit card “bust-out” scam in which seemingly legitimate credit card accounts are established and then are “busted out” by maxing out the credit line with no intention of paying the balance, according to the U.S. attorney’s office representing the Southern District of California.
Prosecutors allege that Korkmaz obtained names, dates of birth, Social Security numbers and other personal information linked to real people and used the information to apply for numerous credit card accounts.
After opening the fraudulent accounts, he allegedly used the cards to charge various businesses, including his own trucking company, with some charges as high as $18,500 for a single transaction.
“To perpetuate the scheme, Korkmaz also made fraudulent payments, with checks drawn on accounts with insufficient funds or drawn on non-existent accounts, to the credit card accounts, thereby temporarily restoring the available credit limits,” according to the attorney’s office.
“Korkmaz would then incur additional charges on the credit card accounts at or near the maximum credit limits for the accounts.”
Korkmaz is also alleged to have laundered the bank fraud proceeds, including by transferring them to a Turkish bank account he controlled, causing two banks to lose $2.1 million.
According to Federal Motor Carrier Safety Administration registration data, San Diego Logistics Group specializes in hauling refrigerated meat and fresh produce with three tractors and five drivers. It is listed as having an “inactive” USDOT number.
If convicted, Korkmaz faces maximum sentences of 30 years in prison and a $1 million fine for bank fraud, 20 years and $500,000 for money laundering, and a mandatory minimum sentence of two years in prison for aggravated identity theft.
Related articles:
Brokerage Compliance Symposium
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
F3 Awards Dinner
The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
F3: Future of Freight Festival
Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now