In a significant blow to financial crime networks, Malachi Mullings, a 31-year-old from Sandy Springs, Georgia, has been sentenced to 10 years in federal prison for laundering more than $4.5 million derived from a series of fraud schemes, including business email compromise (BEC) and romance scams.
According to federal prosecutors, Mullings operated through a shell company, The Mullings Group LLC, which he used to open 20 bank accounts between 2019 and July 2021. These accounts served as the primary channels to process and disguise illicit funds sourced from fraudulent schemes targeting businesses, health care programs, and vulnerable individuals—particularly the elderly.
One case involved the diversion of $310,000 in Medicaid funds, which were intended as reimbursement to a hospital. In another, proceeds from a $260,000 romance scam were used to purchase a Ferrari. Prosecutors also revealed that Mullings spent fraudulently obtained money on luxury vehicles, jewelry, and other high-end items.
Mullings pleaded guilty in January 2023 to one count of conspiracy to commit money laundering, along with seven counts of related money laundering offenses.
His sentencing marks a continued effort by U.S. authorities to crack down on sophisticated financial fraud schemes exploiting both institutions and individuals across the country.