Kiting Scheme Drained Thousands From CUs

Register now

SAN ANTONIO – Eight suspects were arrested and charged with a sophisticated kiting scheme that skimmed thousands of dollars from Security Service FCU, Firstmark CU and USAA Federal Savings Bank.

Police say two of the suspects recruited others to set up accounts at USAA Federal Savings Bank and then steal money from it and the two credit unions using a series of fraudulent deposits, checks and money orders.

The suspects allegedly stole at least $15,000 from USAA, $13,000 from Security Service and $3,000 from Firstmark.

The group's members would write checks to each other and deposit them into each others' accounts, but they'd ultimately bounce, according to court records.


For reprint and licensing requests for this article, click here.