https://www.ctvnews.ca/montreal/article/montreal-man-pleads-guilty-to-money-laundering-conspiracy-in-new-york-state/

A Montreal man has pleaded guilty to money laundering conspiracy following a fraud investigation in New York state.

Houssam El-Atat, 44, entered the guilty plea on Dec. 22 in front of U.S. District Judge Lawrence J. Vilardo after he was extradited from Spain.

The U.S. Department of Justice said the fraud stems from a purchase of a boat in March 2021. The victim exchanged emails with a marine sales company one month before to inquire about the purchase and then received wiring instructions for the payment.

The victim wired the full amount of $295,373.75 to the company through a Bank of America account. However, the victim later learned that the vendor had not received the payment and the wiring instructions were fraudulent. After reviewing the email exchanges, the victim realized his email account had been compromised, according to a statement from the U.S. Attorney’s Office for the Western District of New York.

The FBI investigated the wire transfer and discovered that the bank account where the funds were deposited was owned by an individual named A.Z, who didn’t know that the money he received from the victim were the result of fraudulent activity.

“A.Z. stated to the FBI that he received the funds from an individual who claimed that he owed A.Z.’s recently deceased father $100,000 and was resolving the debt. Then, at the request of the individual, A.Z. sent $180,200.00 of the funds to an account at La Caisse Centrale Desjardins Bank in Canada,” the statement reads.

“Bank records indicate that the funds were then rapidly disbursed to a number of apparent shell companies before being distributed to El-Atat.”

El-Atat is set to be sentenced on April 29, 2026. Money laundering conspiracy carries a maximum penalty of 20 years in prison and a $500,000 fine.

The Department of Justice said the FBI received assistance from the Sûreté du Québec in its investigation.