A Canadian man, Nemr Hallak, has been sentenced to 30 months in federal prison for his involvement in a widespread telemarketing fraud that targeted small businesses with fictitious "Yellow Pages" directory services. According to a press release from the U.S. Attorney's Office for the Northern District of California, Hallak was part of a scheme that falsely bilked victims into paying for nonexistent services.
Hallak, 43, from Quebec, Canada, was indicted in 2016 and extradited to the United States after being re-arrested in Greece. Yesterday, he began to serve his sentence immediately upon the conclusion of a court hearing before Senior U.S. District Judge Edward M. Chen. United States Attorney Ismail J. Ramsey remarked, "Regardless of where they are operating, fraudsters who cheat and deceive U.S. businesses will be investigated and brought to justice," as stated by the U.S. Attorney's Office.
Notably, the fraudulent activities resulted in significant financial loss, with Hallak and his co-conspirators amassing more than $5 million from thousands of victims. As part of his sentencing, Hallak was ordered to pay restitution of $5,381,702.86. Special Agent in Charge Linda Nguyen of IRS Criminal Investigation's (IRS-CI) Oakland Field Office highlighted the global diligence of IRS-CI, saying, "What Hallak and his co-conspirators did not account for is the global reach of IRS-CI international operations and our partnerships with international law enforcement," as detailed in the U.S. Attorney's Office report.
Meanwhile, an article by Hoodline shed light on Hallak's initial court appearance in San Francisco and the multifaceted telemarketing scam, which also targeted churches. Charged with conspiracy to commit mail and wire fraud, Hallak could have faced up to 20 years if convicted of all charges. The investigation led by the U.S. Postal Inspection Service and IRS-CI resulted in Hallak's extradition and subsequent trial on U.S. soil.
