Nigerian Man Arrested in Multi-State Business Email Compromise and Money Laundering Scheme

Edikan Adiakpan, a 33-year-old Houston man, has been taken into custody for his alleged role in a large-scale business email compromise (BEC) and money laundering scheme that targeted companies in at least eight states. U.S. Attorney Nicholas J. Ganjei made the announcement.

Adiakpan is expected to make his initial appearance at 2 p.m. before U.S. Magistrate Judge Peter Bray.

A federal grand jury in Houston returned a three-count indictment on June 11, charging Adiakpan with conspiracy to commit wire fraud, money laundering conspiracy, and illegal money transmission. The indictment alleges that in 2021, Adiakpan and co-conspirators executed a BEC scheme that impacted various businesses, including a California research group dedicated to developing treatments for U.S. veterans.

According to the charges, victims received “spoofed” emails designed to appear as if they were from known suppliers and creditors. They were allegedly tricked into directing payments to bank accounts controlled by the fraudsters instead of the legitimate suppliers.

The indictment further alleges that the conspirators laundered the illicit funds by rapidly transferring money between multiple bank accounts under their control. The funds were then allegedly converted into cashier’s checks, which Adiakpan purportedly cashed, keeping a percentage as a fee.

Another Nigerian citizen, Ayobami Omoniyi, 26, was previously charged with conspiracy to commit wire fraud as part of the same scheme and is currently awaiting sentencing before U.S District Judge Andrew S. Hanen.

If convicted, Adiakpan faces a maximum of 20 years in federal prison for the conspiracy and money laundering conspiracy charges, and up to five years for the illegal money transmitting charge. Each conviction also carries a possible maximum fine of $250,000.

The investigation was conducted by FBI – Houston and its Bryan Resident Agency, along with IRS Criminal Investigation. Assistant U.S. Attorneys Belinda Beek and Christine Lu are prosecuting the case.