Source: Office of United States Attorneys
ALEXANDRIA, Va. – An Atlanta man was arrested today on charges of wire fraud after allegedly taking payment for travel services he never provided.
According to a criminal complaint, in June 2023, representatives from George Mason University’s (GMU) men’s basketball team began discussions with a company, identified in court records as Company A, about organizing an international trip for the team the following summer. Company A’s owner contacted Maurice Eugene Smith, 44, about making the travel arrangements for the basketball team to travel to the Bahamas in August 2024 through Smith’s company, Eugene Toriko LLC. On Sept. 25, 2023, Smith allegedly provided an estimated cost for the trip, which included transportation, hotel accommodations, activities, and some meals for 30 people at a cost of $149,542.40.
In early 2024, the owner of Company A presented a detailed draft itinerary and cost estimate to GMU for a five-day trip to Nassau, Bahamas, based in part on information that Smith had provided to Company A. On Feb. 26, Smith allegedly emailed another draft invoice for the trip that totaled $164,336, which included pricing for all transportation, lodging, a private catamaran tour, some meals, and fees associated with basketball games. The owner of Company A frequently relayed information that Smith allegedly provided to him about the trip’s cost and itinerary to GMU. At one point, Smith allegedly lowered the proposed cost of the trip to $159,756.
On April 3, representatives from GMU, the George Mason University Foundation (GMUF, which is GMU’s fundraising arm), and Company A digitally signed a contract related to the planned trip. On April 17, GMUF wired a $55,914.60 deposit to Company A’s bank account.
On April 19, Smith allegedly emailed Company A an invoice that detailed the services Eugene Toriko LLC was to provide on behalf of Company A for GMU and GMUF, and the cost for those services. On April 24, Company A wired $40,800 to Eugene Toriko LLC’s bank account.
On May 20, a representative from GMU requested an invoice for the next deposit that was due on May 27. In turn, Company A requested invoice information from Smith. Using the information that Smith allegedly provided, Company A sent an invoice to GMU for $103,841. On May 23, GMUF wired the balance of $103,841 to Company A’s bank account. Company A paid Eugene Toriko LLC $57,736.07 on May 29 and the remaining balance of $11,220 on June 10.
Family members, friends, and supporters of the GMU men’s basketball student-athletes also paid Company A and Eugene Toriko LLC to accompany the team on their trip to the Bahamas.
As alleged in the complaint, Smith reserved 30 seats for “[GMU] MENS BASKETBALL” on roundtrip flights between Ronald Reagan National Airport and Nassau International Airport for which he was to pay a $3,000 deposit no later than May 24 with the balance due by July 9. Smith also allegedly reserved a block of rooms for the GMU men’s basketball team at the Grand Hyatt Baha Mar in the Bahamas. Although Eugene Toriko LLC received $109,756.07 from Company A, Smith allegedly spent no money to hold those reservations, and no payments were made to any catamaran companies or to any Bahamian companies.
Despite Smith never paying for the airline tickets or hotel rooms, he allegedly continued to exchange numerous emails and text messages with the owner of Company A as if he had, including communications about flights, frequent flier numbers, room assignments, resort fees, and other logistics for the trip up until three days before the basketball team was scheduled to depart for the Bahamas in August.
GMUF has not been reimbursed for any payments made to Company A and Eugene Toriko LLC. Although Smith allegedly represented that his professional liability insurance would cover the loss, he allowed his professional liability insurance to lapse and was not insured at the time.
Smith is charged with wire fraud. If convicted, Smith faces up to 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and David E. Geist, Acting Special Agent in Charge of the FBI Washington Field Office’s Criminal and Cyber Division, made the announcement.
Assistant U.S. Attorney Katherine E. Rumbaugh is prosecuting 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. 1:24-mj-485.