Fang Enhua, 38, and Lu Jianfei, 30, both from China, along with Zhen Shu Jun, 36, of Staten Island, New York, were members of a Chinese money laundering organization (CMLO) that laundered more than $92 million in illicit drug proceeds, primarily through Mexico.
Fang acted as an organizer within the organization, directing a team of couriers to collect cash proceeds—often exceeding $10,000—from individuals across the United States, according to court documents. The money was then deposited into bank accounts held by shell companies controlled by the organization. She communicated with the organization’s U.S.-based drug traffickers and foreign-based operatives via encrypted messaging applications.
In her plea agreement, Fang admitted to laundering more than $90 million in illicit funds over a period of less than two years. Additionally, she acknowledged that she knew the money was tied to drug trafficking.
Lu used real and fake identities to collect drug trafficking proceeds in the United States and deposit the money into the shell companies’ bank accounts, according to prosecutors.
“Lu also served as a manager for the CMLO: he coordinated bulk cash pickups and deposits while Fang was in China and procured fake driver’s licenses for the CMLO’s couriers,” the attorney’s office wrote.
As part of his plea deal, Lu admitted to knowingly laundering between $25 million and $65 million in illicit funds.
Zhen took orders from Fang and Lu and picked up nearly $25 million in illicit bulk cash using her real identity and fake ones, according to prosecutors. Zhen admitted in her plea agreement that she was aware that her actions were connected to drug trafficking.
Fang and Zhen each pleaded guilty to “one count of money laundering conspiracy, one count of money laundering to conceal the nature, location, source, ownership, and control of the illicit proceeds, and one count of monetary transaction involving criminally derived property greater than $10,000,” according to the attorney’s office.
“Lu pleaded guilty to one count of money laundering conspiracy, two counts of money laundering to conceal the nature, location, source, ownership, and control of the illicit proceeds, and two counts of monetary transaction involving criminally derived property greater than $10,000,” it added.
Each of the defendants faces a maximum sentence of 20 years in prison for each count of conspiracy and money laundering, and up to 10 years in prison for each of the monetary transaction counts, the attorney’s office said.
Lu’s lawyer declined to comment when contacted by The Epoch Times.
The Epoch Times also contacted the lawyers of Fang and Zhen, but they did not reply by publication time.
“Using the Chinese underground banking system, cartels deliver dollars to CMLO assets in the United States in an elaborate laundering scheme that circumvents Chinese capital controls and U.S. law enforcement,” Ledford wrote at the time.
“In short, CMLOs use WeChat to sell dollars to Chinese customers in exchange for yuan, which they transfer into pesos for the cartels in Mexico. It reaps multibillions for the cartels.”
