TD Bank Insider Masterminds $3,433,989 Fraud Scheme, Stealing Customer Information To Drain Accounts: DOJ

A former employee of TD Bank may spend decades behind bars after carrying out a bank fraud scheme that led to millions of dollars in losses.

In a statement, the US Justice Department says that between January 2021 and May 2021,  Cheungkin Lam, also known as Kelvin Lam, took advantage of his position at the bank by accepting bribes in exchange for identifying accounts with large balances and stealing confidential customer information. His co-conspirators then used the information to defraud customer accounts, which led to financial losses.

Between May 2022 and August 2022, Lam also bribed an employee at another financial institution to falsify records for a bank account that his co-conspirators used in various fraud schemes.

In total, Lam received at least $155,000 in bribes and facilitated $3,433,989.07 of fraud.

Special Agent in Charge Jenifer L. Piovesan of the IRS Criminal Investigation (IRS-CI) Newark Field Office says that Lam’s conduct represents a grave breach of trust placed in financial professionals. 

“By exploiting his access to sensitive customer information, Lam facilitated a significant fraud and compromised the integrity of the financial system and the security of innocent victims. IRS-CI remains firmly committed to working with our law enforcement partners to identify and hold accountable those who abuse positions of trust for personal gain.”

The 28-year-old from Queens, New York faces up to 30 years in prison after pleading guilty to conspiring to commit wire fraud affecting a financial institution and making false bank entries or reports. His sentencing is set on October 15th.

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