A CT man laundered ‘criminal proceeds’. He has to pay back $161,000

A Connecticut man was sentenced to two years in prison this week for laundering criminal proceeds of a scheme to defraud the Social Security Administration, according to federal authorities.

Trovoy Dixon, 31, of Bridgeport, also was sentenced today by U.S. District Judge Vernon D. Oliver in Hartford to three years of supervised release, according to federal authorities. Oliver also ordered Dixon to pay $161,000 in restitution.

Authorities, citing court documents and statements made in court, said unidentified fraudsters engaged in a scheme to defraud the Social Security Administration in 2012 using stolen identities, and “would contact the SSA posing as legitimate Social Security recipients, often presenting the SSA with confidential personal information,” such as Social Security numbers and dates of birth, to validate their “purported identities.”

“They would then instruct the SSA to change the legitimate SSA recipients’ existing bank account deposit information so that monthly SSA payments would be deposited into bank accounts controlled by scheme participants,” federal authorities said in a statement.

Then, in approximately August 2021, “Dixon was contacted by phone by a scheme participant using a Jamaican based telephone number and was asked if he wished to make money through moving money, federal authorities said.  “Dixon agreed, and was instructed to open bank accounts that he would control.  After monies generated from the scheme were deposited into Dixon’s online bank accounts, he would withdraw cash from the accounts and use commercial money transfer services to wire a portion of the cash to designated bank accounts in either Jamaica or Mexico.”

Authorities said Dixon learned the money was “illegally obtained, but ultimately kept close to half of the monies for his personal use.”

From August 2021 to July 2023, more than $360,000 was deposited into bank accounts Dixon controlled, federal authorities said. “When accounts were closed due to suspicious fraudulent withdrawal activity, Dixon opened additional accounts to continue his illegal activity.”

Dixon pleaded guilty to one count of money laundering in March. He is free on a $50,000 bond and required to report to prison on July 29.

The investigation was by the Social Security Administration Office of Inspector General.