SAN JUAN, Puerto Rico (AP) — Federal officials in Puerto Rico say a man has been indicted in a $98 million fraud scheme after taking advantage of a law designed to attract wealthy investors to the U.S. territory.
U.S. Attorney Rosa Emilia Rodríguez said Thursday that Gopalkrishna Pai faces charges including money laundering and wire fraud as part of an alleged scheme that ran from May 2014 to October 2018.
She said Pai created a limited liability company to sell personal care products online including skin creams. Rodríguez said Pai also created 116 liability companies using personal data obtained from the Internal Revenue Service. She said credit card and other payments were processed and then paid to these companies.
An attorney for Pai could not be immediately reached. The investigation is ongoing.