Indian National Admits Defrauding Telephone Providers and Insurance Companies of $9 Million in Merchandise

Sandeep Bengera, 36, of Newark, pleads guilty to orchestrating a multi-million dollar fraud scheme involving stolen or fake identities to claim and resell replacement cellular devices.

Sandeep Bengera, an Indian national residing in Newark, has confessed to his participation in a complex conspiracy to defraud telephone providers and insurance companies of over $9 million in merchandise. This announcement was made by U.S. Attorney Philip R. Sellinger.

Bengera pleaded guilty before U.S. District Judge Madeline Cox Arleo in Newark federal court to a two-count indictment. The charges include conspiracy to commit mail fraud and conspiracy to commit interstate transfer of stolen property.

Details of the Scheme

From June 2013 to June 2019, Bengera and his co-conspirators executed a scheme to deceive cellular telephone providers and insurance companies by submitting fraudulent claims for lost, stolen, or damaged devices. They utilized the U.S. mail system and other third-party carriers to facilitate this fraud.

Using stolen and fake identities, the conspirators filed false claims to obtain replacement devices. These devices were shipped to a network of mailboxes and storage units across the United States, including New Jersey. The replacement devices were then resold to third parties outside the country. Bengera admitted that the total value of these devices exceeded $9 million.

Legal Consequences

The charge of conspiracy to commit mail fraud carries a maximum penalty of 20 years in prison and a $250,000 fine, or twice the gain or loss from the offense. The charge of conspiracy to commit interstate transfer of stolen goods has a maximum penalty of five years in prison and a $250,000 fine, or twice the gain or loss from the offense. Bengera's sentencing is scheduled for October 10, 2024.

Investigation and Prosecution

The successful investigation leading to Bengera's guilty plea involved multiple law enforcement agencies:

• FBI, under Special Agent in Charge James E. Dennehy in Newark and Assistant Director in Charge James Smith in New York.
• U.S. Postal Inspection Service in Newark, led by Inspector in Charge Christopher A. Nielsen, Philadelphia Division.
• Homeland Security Investigations Newark, under Acting Special Agent in Charge William S. Walker.
• Customs and Border Protection, New York Field Office, under Director of Field Operations Francis J. Russo.
• U.S. Department of State’s Diplomatic Security Service, New York Field Office, led by Acting Special Agent in Charge Kelly Bishop.

The government’s case is being prosecuted by Assistant U.S. Attorney Rachelle M. Navarro of the U.S. Attorney’s Office’s Criminal Division in Newark.