Tomás Niembro Concha, 64, a Spanish and Venezuelan national, the former chief executive officer of Nodus International Bank (Nodus Bank), a Puerto Rican international bank, was sentenced to 112 months in prison and three years of supervised release. Niembro led a scheme to fraudulently obtain at least $24.9 million from Nodus Bank and conspired to evade U.S. sanctions against Venezuela. Niembro was ordered to forfeit over $16.9 million, which represents the value of the proceeds he derived from the wire fraud conspiracy.
Key details of the case
“The defendant abused his position with Nodus Bank to commit fraud for his own enrichment and to willfully evade sanctions on a designated individual,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “When individuals who are supposed to serve as gatekeepers to our financial system choose to abuse that trust and instead use their access to facilitate crimes, the Criminal Division will hold them accountable.
Our national security and the integrity of our financial system demand nothing less.”. “The defendant’s scheme didn’t stop at fraud. It extended into conspiring to evade U.S. sanctions designed to protect our national security,” said Acting Special Agent in Charge Charles Miller of IRS Criminal Investigation (IRS-CI) Florida Field Office.
Meanwhile, “This case demonstrates how collaboration between the IRS-CI, the Treasury Executive Office for Asset Forfeiture (TEOAF). The Office of the Commissioner of Financial Institutions of Puerto Rico (OCIF) ensures that complex financial crimes and sanctions-evasion schemes are uncovered and prosecuted.”. On March 19, Niembro pleaded guilty to a two-count information charging conspiracy to commit wire fraud and conspiracy to violate the International Emergency Economic Powers Act (IEEPA). .
Enforcement actions and official statements
According to court filings, Niembro conspired with others to siphon money from Nodus Bank, ultimately leading to the bank’s failure in 2023. Niembro and his co-conspirators concealed from other Nodus Bank board members, executives and the bank’s regulator, OCIF, that certain investments and loans were for the benefit of Niembro and Board Chairman Juan Ramirez, in violation of Puerto Rican law. From 2017 to 2023, Niembro, Ramirez.
As a result, others caused Nodus Bank to invest $11 million in a Miami-based lender so those funds could be loaned to Niembro and Ramirez for their own benefit. Niembro and his co-conspirators knew that these transactions were illegal and concealed their conduct through the sham investments. Between January 2018 and September 2021, Niembro and Ramirez also fraudulently induced Nodus Bank’s board and comptroller to agree to buy at least 47 promissory notes totaling approximately $25.3 million from Nodus Finance, a Miami-based company that Niembro and Ramirez jointly owned, so they could use the proceeds of the transactions for themselves. For complete details, refer to the official DOJ press release.
Consequently, in early March 2023, OCIF notified the bank it would be placed into liquidation. Niembro and Ramirez fraudulently caused Nodus Bank to accept a loan portfolio from Nodus Finance to pay down the debt from the 47 promissory notes. . Between 2021 and 2023, Niembro conspired with others to conduct prohibited financial transactions with an individual designated as a Specially Designated National (SDN) by the U.S.
Department of the Treasury’s Office of Foreign Assets Control (OFAC) for providing material support to Venezuela’s state-owned oil company, Petróleos de Venezuela, S.A. (PDVSA). To satisfy an outstanding loan of approximately $2.5 million that the SDN’s company had with Nodus Bank prior to the imposition of sanctions, Niembro and the SDN devised a scheme to cause Nodus Bank to foreclose on the SDN’s home in Southampton, New York . For which they obtained OFAC authorization — but separately reached a “private” agreement to induce Nodus Bank to sell the property back to the SDN for $4 million through a front company — a transaction that was strictly prohibited by U.S. sanctions and not otherwise licensed by OFAC. For related coverage, see EU plans sanctions on North Korean camp linked to transfer of Ukrainian children.
Specifically, iRS-CI investigated the case with support from OCIF and TEOAF. Trial Attorneys Javier Urbina and Samir Paul of the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section (MNF) and Assistant U.S. Attorney Felipe Plechac-Diaz for the Southern District of Florida are prosecuting the case.
This prosecution is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations. Human smuggling and trafficking rings operating in the United States and abroad. For related coverage, see EU countries remain split over trade measures targeting Israeli settlements.
At the same time, through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating. Prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children.
In particular, the HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. HSTF Miami comprises agents and officers from IRS Criminal Investigation with the prosecution being led by Bank Integrity Unit of MNF and by the U.S. Attorney’s Office for the Southern District of Florida.
Furthermore, mNF’s mission is to take the profit out of crime, eliminate drug cartels, and protect the U.S. financial system. MNF pursues criminal prosecutions and criminal and civil asset recovery actions involving: financial facilitators who launder profits for criminals. Financial institutions and their officers and employees whose actions threaten the U.S. financial system and financial institutions; international money launderers who support transnational organized crime; and the top command and control of international drug trafficking organizations.