Armenian crime syndicate targets US taxpayer funds: $30 million stolen Investigative report by Fox News

For the second consecutive week, the Department of Homeland Security (DHS) conducted a high-profile early-morning raid in Los Angeles, targeting transnational organised crime groups. This latest operation resulted in the arrest of fourteen individuals tied to an Armenian fraud ring accused of stealing $30 million in COVID relief and Small Business Administration loans intended to support honest American taxpayers.

U.S. Attorney for California’s Central District, Bill Essayli, issued a stark warning: “If you are taking money from the government that doesn’t belong to you, your door could be the next one that we’re hitting.”

Fox News had exclusive access to the DHS-led multi-agency sting, which involved collaboration with the IRS and the Small Business Administration, per Caliber.Az.

Among the fourteen arrested, thirteen are Armenian-born but have since become naturalised U.S. citizens. At least one of the suspects faces potential deportation.

The operation unfolded dramatically as officers announced their presence over a loudspeaker attached to an armoured vehicle: “This is the police. We have a warrant. Come out with your hands up!” The special unit cut through a gated driveway chain before ordering one suspect to surrender during the dawn raid.

The suspect, known as William McGrayan, is Armenian-born and is described in court documents as the mastermind behind the scheme. McGrayan complied with officers, slowly exiting his home with his hands raised. According to a criminal complaint, an informant described McGrayan as “unhinged,” citing his claims of gang affiliations in Armenia and threats made to others with a gun and baseball bat.

Investigators allege McGrayan orchestrated the group’s efforts to fraudulently obtain $47 million in federal funds, successfully diverting around $30 million. The suspects reportedly used fabricated documents — including fake bank statements and tax papers — to establish multiple shell companies and submit fraudulent loan applications.

John Pasciucco, Acting Special Agent in Charge for Homeland Security Investigations (HSI) in Los Angeles, condemned the scheme, stating, “That’s $47 million in taxpayer funds that was meant to go to good use, and these transnational criminal organizations are exploiting the American people’s goodwill and using it for their personal gain.”

Following the arrests, the suspects were transported to a discreet processing centre for booking. Authorities seized approximately $20,000 in cash, two money-counting machines, paper currency straps valued at $2,000 and $10,000 denominations, multiple cell phones and laptops, as well as two loaded semi-automatic 9mm handguns and boxes of ammunition.

The suspects now face charges including conspiracy, wire fraud, bank fraud, and money laundering. Officials revealed that some of the stolen funds were used to purchase homes and luxury items, while other sums were wired back to Armenia, complicating efforts to trace the money.