Three Chinese nationals who obtained U.S. student visas have been sentenced to between two and seven years in federal prison for their roles in a fraud scheme that stole more than $10 million from elderly Americans across 19 states.
Federal prosecutors announced the sentences on Oct. 30, identifying Yankun Jiang, 26, and Hanlin Yang, 26, both of State College, Pennsylvania, and Lei Bao, 24, of New York. More than 50 people were victimized.
The scheme began with fake computer security warnings and ended with couriers posing as federal agents arriving at victims’ homes to collect large sums of cash supposedly for safekeeping.
Federal court records obtained by The Epoch Times also confirm that a fourth defendant, Kuo Zhang, pleaded guilty in September to conspiracy to commit wire fraud. He has not yet been sentenced.
All four were among eight Chinese nationals charged in the case. Prosecutors said all eight had obtained student visas to attend U.S. colleges.
How the Scam Worked
According to an April 2025 federal indictment, the conspirators used fake Microsoft security alerts warning victims that their computers had been hacked.
Victims who called the telephone numbers displayed in the alerts were falsely told that their bank accounts were insecure and that they needed to withdraw their money.
The conspirators instructed victims to mislead bank tellers about large withdrawals, sometimes claiming the money was needed for home remodeling.
Victims were then told that federal agents or marshals would arrive at their homes to collect the cash for protection. The impostors used code words given to victims in advance to appear legitimate.
The indictment says couriers coordinated pickups through Telegram, a messaging application, exchanging victims’ addresses and reporting how much cash they collected.
Some were instructed to park away from victims’ homes and approach on foot to make their vehicles harder to identify.
Stolen Cash Moved Across the Country
Chief U.S. District Judge Matthew Brann sentenced Jiang to seven years in prison on Oct. 22 and ordered him to pay more than $1.26 million in restitution.
According to prosecutors, Jiang began as a courier collecting cash from victims before becoming a key supervisor. He collected and packaged money from other couriers and coordinated deliveries to conspiracy members in Los Angeles.
Bao received a 30-month prison sentence on Oct. 20 and was ordered to pay $377,591 in restitution. She collected cash from victims and, on at least five occasions, transported suitcases filled with stolen money from Philadelphia to Los Angeles.
Yang was sentenced to two years in prison on Oct. 23 and ordered to pay $400,800 in restitution. He collected cash from the homes of at least six victims.
The second superseding indictment describes a wider operation in which some participants allegedly recruited and supervised couriers while others collected and transported the stolen money.
According to the indictment, stolen cash was gathered at Jiang’s residence in State College and Bao’s residence in New York before being moved to other conspiracy members.
Prosecutors alleged that Jiang, Bao, and Zhang traveled to California, where money obtained from victims was delivered to other participants, including Chenhao Chen, Xiaoqing Tu, and Dongjie Lu.
The indictment identifies Chen and Lu, along with Bao, as participants who recruited and supervised other members of the alleged conspiracy.
Fourth Defendant Pleads Guilty
Zhang pleaded guilty on Sept. 25 to conspiracy to commit wire fraud, according to federal court records.
His plea agreement recommends a sentencing calculation based on losses exceeding $250,000 but below $550,000 and an offense involving at least 10 victims.
The court is not bound by those recommendations.
Zhang faces a maximum sentence of 20 years in prison. His plea agreement also states that he will not oppose deportation proceedings arising from his conviction.
Four other defendants—Chen, Tu, Lu, and Jiacheng Zhang—continue to face conspiracy charges, according to the Nov. 2 federal court docket.
Prosecutors accused Chen and Lu of recruiting and supervising couriers, while Tu was identified among those who allegedly received stolen cash transported to California.
Jiacheng Zhang was accused of acting as a courier, collecting money from victims while posing as a federal agent.
The Epoch Times contacted the U.S. Attorney’s Office seeking information about where the stolen money went after reaching California, whether additional participants had been charged, and how much had been recovered or returned to victims. The office did not respond by publication time.
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