CONCORD, N.H. — A man from Lebanon is now facing a sentence of 18 months in prison in connection with bank fraud.
Sean Crockett, 41, used other people's identities to open merchant accounts and process fraudulent credit card payments, according to a news release from the U.S. Attorney's Office, District of New Hampshire.
Crockett was sentenced to 18 years and three years of supervised release. He must also pay $145,289.01 in restitution after an announcement was made by U.S. Attorney Jane E. Young on Tuesday.
"To execute the scheme, Crockett used altered bank and incorporation records, false tax documents, and other persons’ identities to apply for and open merchant bank accounts for companies Crockett controlled," the release stated.
While Crockett reportedly paid some people to use their identities, others reportedly did not give him permission to do so.
By using stolen credit card information, he was able to process fraudulent transactions resulting in "hundreds of thousands of dollars" in chargebacks to merchant accounts, according to the release.
"Normally, when chargebacks occur the funds are withdrawn from the merchant account. In this case, however, because Crockett had already withdrawn the funds, the bank was forced to pay the chargebacks. Because of this, the bank routinely closed Crockett’s merchant accounts," the release stated.
Crockett would then open new merchant accounts to continue, according to the release.
The investigation was led by the Federal Bureau of Investigation and the Internal Revenue Service.
