A Bakersfield man, Ifeanyi Emmanuel Ugwu, 49, has pleaded guilty to operating an unlicensed money transmitting business involving over $5 million, the U.S. Attorney’s Office announced.
Court records show that from December 2020 to August 2023, Ugwu ran Franklin Finance Inc., serving as its owner and CEO.
Through the company, he allegedly controlled 20 bank accounts across nine different financial institutions.
Ugwu collected approximately $5 million from more than 100 individuals in the United States and transferred the funds to recipients in China, Nigeria, and other countries.
However, the business did not hold the legally required licenses for money transmission.
Investigators said that some of the funds Ugwu handled came from victims of cybercrime and fraud. Roughly $580,000 in fraud proceeds were processed through his accounts.
Authorities allege Ugwu concealed the illegal activity by misrepresenting the nature of his business to clients, banks, and financial institutions.
The investigation was conducted jointly by the IRS Criminal Investigation unit and Homeland Security Investigations, with Assistant U.S. Attorney Cody S. Chapple prosecuting the case.
Ugwu is due to be sentenced by U.S. District Judge Jennifer L. Thurston on July 27, 2026. He faces up to five years in prison and a $250,000 fine.
