With the help of Royal Credit Union, Wisconsin police investigators busted a financial fraud scheme that involved about 20 people communicating through a social media site to carry out the conspiracy.

Robert Teuteberg, a financial crimes investigator at the Chippewa Falls Police Department, said Monday two men bought accounts from about 20 members of Royal CU and used those accounts to deposit fake checks from other banks and then made withdrawals totaling $20,000 over six weeks.

Royal CU immediately notified police after detecting suspicious account activity, which led to the arrest of the two men and pending charges against 20 credit union members, Teuteberg said.

Issac Lasiewicz of Chippewa Falls, Wis., and Nathan Johnson of Eau Claire, Wis., were arrested and charged with multiple fraud charges.

Police said the men, and nearly 20 RCU members, conspired to defraud the $1.4 billion Royal CU in Eau Claire, Wis., by communicating through a Facebook site.

“These people [members] didn't really care about their account,” Teuteberg said. “They saw it as a quick way to make money without realizing they were committing a felony by doing so. We're looking at possible prison time for everyone involved.”

According to police, Lasiewicz and Johnson would offer account holders a flat fee of $300 or $400 or give them $100 in cash for every time they used their accounts to make a fake deposit.

Teuteberg said many of the suspects involved in this fraud scheme used the money to buy and use crystal meth and heroin.

“Basically, it was like a month and a half [drug] party from motel to motel room,” he said.

Randy Beck, EVP of corporate risk management at RCU, said this scheme was a malicious attempt to defraud financial institutions in the area through theft, forgery, and deceit.

“We are providing information pertaining to the investigation as this case makes its way through the legal system,” Beck said. “RCU takes the safety and security of our members' accounts seriously and will continue to work with authorities to detect and prevent fraud against financial institutions.”

Instant Insights /

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