Chinese national pleads guilty to $597,000 money laundering conspiracy that took life savings from victims in California and Nevada

FRESNO, Calif. - Binghui Liu, 33, a citizen of China formerly residing in San Jose, pending an asylum application, pleaded guilty today to one count of conspiracy to commit money laundering, U.S. Attorney Eric Grant announced.

According to court documents, between February 2024 and April 2025, Liu and other co-conspirators engaged in a scheme to launder proceeds from a government-impersonation fraud scheme. In this type of scam, individuals posing as a federal law enforcement officers or employees contacted victims and falsely claimed that criminal charges had been filed against them and that their bank accounts would be frozen. The scammers, operating both inside and outside the United States, including in India, instructed victims to withdraw their savings in cash and surrender the money "for safekeeping." Victims were told that a federal official would arrive to collect the cash. The scammers used fake names, code words, and directed the victims to take pictures of themselves and the cash packaged for pickup.

In one case, an elderly victim was contacted by someone posing as a U.S. Marshal, who falsely claimed there was an arrest warrant and that the victim's bank accounts were at risk of being frozen. The scammer instructed the victim to "protect" their funds by turning the money over to supposed Federal Reserve employees. They coached the victim on how to withdraw the cash, what to tell the bank, and how to package the money for pickup. Liu and other co-conspirators then arrived, impersonating federal officials, to collect the cash. In total, the victim lost more than $700,000.

Liu served as a money launderer for other co-conspirators participating in the fraud scheme. Between March and April 2025, Liu took approximately $597,100 from 24 victims throughout California and Nevada. He used code words, fake names, and victims were told he was either a federal employee or law enforcement officer. On April 9, 2025, agents set up a sting operation. Liu arrived at the victim's house and took what he believed was $20,000, but was in fake money. At no point was Liu a federal law enforcement officer or federal employee.

If you have information related to this case or believe you may be a victim, please submit a report at tips.fbi.gov or call 1-800-CALL-FBI (1-800-225-5324) or your local FBI office.

The Federal Bureau of Investigation conducted the investigation. Assistant U.S. Attorneys Cody S. Chapple and Arelis M. Clemente are prosecuting the case.

Liu is scheduled to be sentenced by U.S. District Judge Kirk E. Sherriff on Jan. 4, 2027. Liu faces a maximum statutory penalty of 20 years in prison and a $500,000 fine or twice the value of the property involved in the transaction, whichever is greater. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the federal Sentencing Guidelines, which take into account a number of variables.