Previously Deported Nicaraguan National Receives 15-Year Sentence for $29 Million Bank Impersonation Scheme

MIAMI - A previously deported Nicaraguan national was sentenced to 15 years in federal prison for his role in a cyber-enabled international bank impersonation scheme that resulted in more than $29 million in losses to victims across the United States.

U.S. District Judge Beth Bloom sentenced Ernesto Ortega Padgett, 41, after he pleaded guilty to conspiracy to commit wire fraud and conspiracy to transport stolen property.

"Ortega built a sophisticated international fraud scheme on deception, stolen trust, and technology, draining more than $29 million from victims across the country," said U.S. Attorney Jason A. Reding Quiñones for the Southern District of Florida. "He impersonated banks, exploited fear and urgency, and used an international laundering network and cryptocurrency to move and conceal the proceeds. Today's 15-year sentence sends a clear message: if you steal from Americans through fraud and hide behind borders, technology, or shell accounts, we will find you, extradite you, and hold you accountable. And you will not keep the proceeds of your crimes."

"Ortega believed his sophistication, his use of technology, and the distance between him and his victims would allow him to operate without consequence," said Acting Special Agent in Charge Michael Townsend of the U.S. Secret Service (USSS), Miami Field Office. "He was wrong. As criminals evolve their methods, the U.S. Secret Service is evolving faster, working alongside our law enforcement and international partners to strengthen our intelligence and investigative capabilities to identify, track, and apprehend those who exploit innocent people. This case shows that no level of deception or complexity will shield criminals from accountability. The Secret Service will continue to protect hardworking Americans and go to great lengths to bring those responsible to justice. I want to commend our agents, our partners, and our prosecutors for their exceptional work in bringing this case to a successful conclusion."

Beginning in 2020, Ortega and his co-conspirators posed as bank representatives and used a combination of technology and social engineering to trick victims into disclosing sensitive financial information. Ortega then used that information to access victims' accounts and initiate unauthorized wire transfers.

To conceal and move the stolen funds, Ortega relied on an international network of money launderers who withdrew proceeds in cash and transferred funds to accounts under his control, often converting them into cryptocurrency. The scheme also involved threats and coercion to force certain individuals to participate in laundering activities.

Ortega used the proceeds to finance a lavish lifestyle, including renting luxury apartments in Madrid and beach homes in Marbella, Spain, spending up to $30,000 per month, and purchasing high-end watches, jewelry, electronics, and designer goods.

The scheme spanned multiple countries and continents and resulted in losses exceeding $29 million. Several co-conspirators have already been sentenced for their roles.

Ortega had been charged in Spain for related criminal conduct and had pending charges in Panama. After his arrest in Spain, Ortega violated the conditions of his release and remained a fugitive for nearly a year. In December 2023, law enforcement learned he planned to travel to Paris, France. Authorities apprehended Ortega at Charles de Gaulle International Airport, and he was later extradited to the U.S. on June 13, 2024.

U.S. Attorney Reding Quiñones; Special Agent in Charge Jason Scalzo of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG) Electronic Crimes Unit; and Acting Special Agent in Charge Michael Townsend of the U.S. Secret Service (USSS), Miami Field Office, made the announcement.

The FDIC-OIG Electronic Crimes Unit and the USSS Miami Field Office investigated the case. The Justice Department's Office of International Affairs provided significant assistance in securing Ortega's arrest and extradition. Law enforcement partners in Spain and France, as well as the USSS offices in Madrid and Paris and the FBI Legal Attaché Office in Panama City, provided valuable assistance.

Assistant U.S. Attorney Robert Moore prosecuted the case. Assistant U.S. Attorney Gabrielle Raemy Charest-Turken is handling asset forfeiture.

Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.govLinks to other government and non-government sites will typically appear with the "external link" icon to indicate that you are leaving the Department of Justice website when you click the link. or at http://pacer.flsd.uscourts.govLinks to other government and non-government sites will typically appear with the "external link" icon to indicate that you are leaving the Department of Justice website when you click the link., under case number 23-cr-20049.

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