Three local women have been arrested in connection to an international online fraud scheme by the Federal Bureau of Investigation.

Marilyn Sterk of Otley, Jennifer Sterk of Pella, and Teresa Sterk Vanbaale – Guyton of Knoxville were arrested on a warrant by the FBI Friday and charged with one count of Conspiracy to Commit Wire Fraud and Mail Fraud and one count of conspiracy to commit money laundering. The charges occurred across state lines, and some of the activity happened in Tennessee and Iowa, according to federal records.

According to a Federal Grand Jury Indictment, the Sterks were involved in a scheme with Ankur “Andy” Khemani of India and Gaurav Bhasin of Maryland. Beginning in 2014, the group, along with other co-conspirators not identified by the Grand Jury, embarked in a scheme through which they sought to steal as much money as possible by selling worthless and unnecessary computer programs and services to victims across the United States. The group would use pop-up advertisements, falsely informing individuals that there was a serious problem with their computer, and that it would result in “dire” consequences if not addressed immediately.

The advertisement would provide a toll-free number that a victim would call to get assistance with the issue, which then would guide the user to a fake technician to allow for remote access, where fake tests were run on the system. Using fear as motivation, the representative over the phone would sell phony technical support services and unnecessary software costing between $300 to $1,500. The group would direct victims to send payment by check, U.S. Mail, or FedEx to bank accounts connected to co-conspirators in India.

The Sterks were given the task of setting up fake technical support companies, several of which were registered in Iowa. The group used their own home and post office box addresses for the fake businesses. The Sterks are accused of pulling 5 to 10 percent of each transaction as their own commission, and then wired the funds to the main scheme leaders, identified as Khemani and Bhasin. The group would have to frequently set up new bank accounts for the fake companies, as many of the victim’s checks were dishonored as the financial institutions recognized a pattern of large deposits followed by offshore wire transfers typically used in scams.

Marilyn, Jennifer, and Teresa are out on bond and are scheduled to appear in the Eastern District of Tennessee Court in Knoxville, Tennessee, on Monday, March 9th.

Attorney’s response: https://www.kniakrls.com/2020/03/03/attorney-for-women-accused-in-federal-fraud-case-responds/