Source: Office of United States Attorneys
NORFOLK, Va. – A Virginia Beach man was sentenced yesterday to seven years in prison for his role in a fraudulent scheme to defraud Navy Federal Credit Union and for passing counterfeit currency at Wal-Mart stores.
According to court documents, between April and July 2018, Malcolm McKinney, 32, engaged in an identity theft scheme to defraud the Navy Federal Credit Union (NFCU). McKinney provided stolen identities to a co-conspirator who would use the identities to create accounts at NFCU and apply for wholly fictitious auto loans. Once the loans were approved, other conspirators would collect the loan check, cash it, and distribute the money to members of the conspiracy. In this manner, the conspiracy caused over $300,000 in loss to NFCU.
After pleading guilty to his role in the NFCU conspiracy, and while released on bond awaiting sentencing, McKinney embarked on a counterfeit currency spree in the spring of 2023. McKinney passed approximately $25,000 in counterfeit U.S. currency to at least 10 different Wal-Mart stores located in Virginia, North Carolina, and South Carolina. McKinney used counterfeit fifty- and twenty-dollar bills to purchase items such as video game consoles, kitchen mixers, sewing machines, and breast pumps. McKinney was identified by Wal-Mart security camera footage and arrested in the Western District of Virginia.
Four co-conspirators from this case previously pleaded guilty and received sentences ranging from 45 to 81 months in prison.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Derek W. Gordon, Special Agent in Charge of Homeland Security Investigations (HSI) Washington, D.C., made the announcement after sentencing by U.S. District Judge Arenda Wright Allen.
Assistant U.S. Attorney Joseph L. Kosky prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:20-cr-78.