“Double Broker” Faces 20 Years in Jail For Scamming Truckers Out of $1 Million
Baltimore, MD – A Maryland man admitted in federal court last week that he engaged in a “double brokering” scheme to defraud trucking companies and logistical brokers out of more than $1 million.
On Thursday, September 26, William Francis Hickey III, age 43, of Elkton, MD, pleaded guilty to federal charges of conspiracy to commit wire fraud and wire fraud.
According to his indictment, Hickey was the managing member of Hickey Consulting LLC and president of Latino Consulting LLC, both headquartered in Baltimore.
Hickey maintained bank accounts in the names of both companies, which he used to deposit checks fraudulently obtained by his co-conspirators.
Specifically, from May 2016 through January 31, 2019, Hickey conspired with others, including a co-conspirator in Pakistan, to devise and execute a scheme to defraud trucking companies and logistical brokers hired by shippers to arrange for trucking companies to transport their loads, documents say.
Hickey admitted that he and his co-conspirators obtained truck industry checks from brokers by posing as legitimate trucking companies.
He then would enter into agreements with brokers to transport loads.
Hickey re-brokered, or “double brokered,” the same loads to real trucking companies.
He then sought payment from the brokers for transportation services that he did not provide, according to his plea agreement.
After the legitimate trucking companies picked up the loads, Hickey or his co-conspirators would request an express code from the broker for the fuel advance payment.
Hickey or his co-conspirators would then use the express code to populate and subsequently cash or deposit a truck industry check.
In some cases, the conspirators also requested a second express code from the original broker after the load was delivered, to deposit a second truck industry check.
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According to Hickey’s plea agreement, he did not pay the trucking companies that actually transported the goods.
According to court records, Hickey deposited over 1,000 truck industry checks worth $1,171,314.11 into his business bank accounts, knowing that they were obtained as part of the fraud scheme.
As part of his deception, Hickey admitted he and his co-conspirators used fraudulent documents such as proof of insurance, W-9, and Department of Transportation licensing forms, as well as fake email addresses and phone numbers.
Hickey faces a maximum sentence of 20 years in federal prison for the conspiracy and for the wire fraud.
He is scheduled to be sentenced on December 20, 2019.
Photo courtesy Hickey Consuling LLC/Facebook