New York Business Owner Charged in $1M Fraud Scheme

A New York business owner named Jason Knobloch has been charged with bank fraud for his role in a scheme that reportedly stole over $1 million from 32 victims. According to the U.S. Attorney Office for the Western District of New York, the operation ran from February 2021 and involved the fake sale of heavy equipment like forklifts.

Prosecutors claim that customers purchased equipment through Knobloch’s companies, but the items were rarely delivered. When machines did arrive, they often had mismatched serial numbers and significantly higher usage than advertised. The businesses allegedly ignored follow up inquiries from customers after receiving payments, though they sometimes issued refunds only after being threatened with legal action.

Beyond the fake sales, investigators allege that Knobloch used the stolen bank information of his customers to attempt unauthorized withdrawals. These incidents reportedly targeted accounts at several major financial institutions, including Bank of America and Citizens Bank. Knobloch now faces a potential 30 year prison sentence and a $1 million fine if convicted.