Michele Beckwith Acting U.S. Attorney | U.S. Attorney for the Eastern District of California
A federal grand jury has indicted Binghui Liu, a 32-year-old Chinese national previously residing in San Jose, on a charge of conspiracy to launder money, according to Acting U.S. Attorney Michele Beckwith. Liu is accused of participating in a scheme between February 2024 and April 2025, aimed at laundering funds derived from a scam impersonating federal officers and employees.
Court documents reveal that scammers involved in the conspiracy posed as federal law enforcement personnel when engaging with victims. The scammers reportedly provided false information regarding the victim’s bank accounts, warning of bogus charges and threats of account freezes. Victims were instructed to withdraw cash savings for a fake law enforcement pick-up, believing the funds would be kept safe. The perpetrators employed fake identities, code words, and requested victims to photograph themselves alongside the cash for verification.
Liu’s alleged role as a money handler in the operation involved collecting cash from victims across California and Nevada. Under the guise of a federal employee or law enforcement officer, Liu purportedly misled victims into surrendering their money.
One incident involved an elderly victim who was deceived by someone pretending to be a U.S. Marshal, alerting the victim of a fabricated arrest warrant and potential bank account freeze. Under guidance from the scammers, the victim withdrew funds for handover to supposed federal employees. The FBI conducted a sting on April 9, 2025, at the elderly victim’s residence, where Liu collected what he thought was $20,000 in cash. Instead, the money was fake, and Liu was apprehended thereafter. The elderly victim reportedly lost over $780,000 to the scheme.
The FBI is leading the investigation, with Assistant U.S. Attorneys Cody S. Chapple and Arelis M. Clemente handling prosecution. Authorities urge those with information about the case or potential victims to report via tips.fbi.gov or contact local FBI offices.
If proven guilty, Liu could face up to 20 years in prison and a fine of $500,000 or twice the value of the implicated property, whichever is larger. Sentencing will consider various factors, but Liu remains presumed innocent until proven guilty beyond a reasonable doubt.
