A Canadian-Lebanese man accused of masterminding a multi-million-dollar telemarketing scam faced a U.S. judge this week following his extradition from Greece. Nemr Hallak, allegedly involved in a fraud scheme deceiving scores of churches and small businesses, appeared in a Northern District of California courtroom.
Arrested on foreign soil, Hallak was hit with a seven-count superseding indictment dating back to April 21, 2016. According to the U.S. Attorney's Office, between January 2010 and August 2014, he and his cronies bamboozled unsuspecting victims by peddling non-existent "business directory" services. The prosecution claims that shell companies were established to give the scam a veneer of credibility, using the recognizable "Yellow Pages" moniker.
The indictment details how victims, including non-profits and mom-and-pop shops, were conned into coughing up between $400 and $1800 for phantom services. Hallak's group allegedly pocketed at least $10.8 million through their deceptive practices, hitting victims with threats of legal action and bogus charges when their initial misrepresentations failed to secure payments.
Making his first federal court appearance in San Francisco on December 11, defendant Hallak was detained pending a detention hearing set for December 21. Charged with conspiracy to commit mail and wire fraud, among other charges, Hallak could face a maximum sentence of 20 years in prison and hefty fines if convicted of the crimes leveled against him.
The case is fronted by Assistant U.S. Attorney Robert S. Leach with the assistance of Megan Pagaduan, arising from an investigation by the U.S. Postal Inspection Service and IRS-CI. The Justice Department acknowledged the Greek authorities for their cooperation, which was instrumental in securing Hallak's extradition to the United States.
While an indictment signifies allegations of criminal conduct, it must be noted that all defendants, including Hallak, are presumed innocent until proven guilty in a court of law. The court will consider the U.S. Sentencing Guidelines and relevant statutes during sentencing if Hallak is convicted of the charges against him.
