A US court has handed down a sentence of 25 months in jail a man who posed as a wealthy businessman to wrongfully obtain a letter of credit (L/C) worth US$11.88 million and sought to negotiate it.

An affadavit submitted by FBI special agent Gerald Richards outlines what he perceived to be the facts of his investigations into the allegedly fraudulent activities of the defendant, Percy Tamayo. It is quoted below.

"[The] Defendant Percy 0. Tamayo purports to be a principal of various companies, including G.V. Global Group Limited, a company with a post office box in Teaneck, New Jersey; Frontier Development Group, Denver, Colorado; and US Nation Financial Group, also in Teaneck, New Jersey.

In or around late 2000, a company called GIA International, Ltd., in Grants Pass, Oregon, which is in the business of purchasing and leasing aircraft, entered into an arrangement with an Indian carrier to acquire, fit, and lease back to the Indian carrier several passenger jets. Part of that arrangement required the Indian carrier to provide GIA International with a standby letter of credit, against which GIA International could borrow funds necessary to acquire the aircraft and make them suitable for the carrier.

I [Richards] reviewed the letter of credit, which is in the amount of $11.88 million and had been issued by the Indian Overseas Bank in New Delhi, India through its correspondent American Express Bank, Limited, in New York, on or about November 21, 2000, in favour of GIA International.

In around March 2001, representatives of GIA International were contacted by defendant Percy 0. Tamayo. I have interviewed Fernando Gomez-Mazuera, Senior Vice President GIA International. Mr. Gomez-Mazuera advised me [Richards] of the following, in substance and in part:

a. Tamayo represented to GIA International that he had vast financial and other interests and could provide the necessary financing for the aircraft acquisition;

b. in order to facilitate the effort, GIA International asked American Express Bank in March 2001 to transfer in its entirety the letter of credit to US Nation Financial Group, Inc., which was done; and

c. Tamayo travelled with Mr. Gomez-Mazuera to Peru, among other places, to impress the latter with his contacts and alleged interests there.

After a period of conversations and travel, defendant Percy 0. Tamayo failed to provide GIA International with the needed financing. Russell Meek, President of GIA International, has stated in substance and in part that Mr. Gomez-Mazuera presented to Tamayo in Lima, Peru a letter dated March 29, 2001 from company counsel, terminating any relationship with Tamayo on the grounds of fraud and non-performance, among others, and demanding that TAMAYO return the letter of credit. The March 29th letter, which I [Richards] reviewed, was signed by Tamayo on that date, indicating his receipt of the demand. But Tamayo failed to return the letter of credit.

Mr. Meek, GIA's president, has also advised in substance and in part that the defendant Percy 0. Tamayo has made efforts to use the letter of credit to obtain a loan from a Peruvian bank and to purchase a Peruvian television station.

On May 21, 2001, defendant Percy 0. Tamayo appeared at the offices of Bergen Capital, Inc., Hasbrouck Heights, New Jersey, by appointment for the purpose of opening an account. In anticipation of that account opening, Tamayo several days earlier provided personal information to Bergen Capital.

Ignacio Aliaga of Bergen Capital has stated in substance and in part that his firm sought to verify the personal information, as follows: Tamayo claimed to hold a Ph.D. from Harvard, but there was no record of such a degree being awarded him, and the defendant claimed to own a hotel in Peru, which was denied by a representative of the hotel when contacted.

[The] defendant Percy 0. Tamayo had informed Mr. Aliaga that, following the deposit of the letter of credit at Bergen Capital, Tamayo wanted the firm to wire transfer the funds to a bank in Peru.

On May 21, 2001, defendant Percy 0. Tamayo presented the letter of credit to Bergen Capital for deposit into an account opened for that purpose. He also stated that he had imminent plans to travel to Peru. He was then placed under arrest before any funds could be sent at his direction outside the United States."

The court in Newark, New Jersey, which could have given Tamayo up to 27 months in prison, waived any fine and credited him with time served since his 21 May arrest. He claimed US and Peruvian citizenship, and was denied bail as a flight risk. He pleaded guilty to a single count of wire fraud in September.

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