Woman Pleads Guilty to $150 Million Postal Service Fraud Scheme

Woman Pleads Guilty to 0 Million Postal Service Fraud Scheme

A San Gabriel Valley woman, Lijuan “Angela” Chen, has pleaded guilty to defrauding the United States Postal Service (USPS) out of more than $150 million in a counterfeit postage scheme. Chen, 51, admitted to one count of conspiracy to defraud the U.S. and one count of using counterfeit postage. Her co-defendant, Chuanhua “Hugh” Hu, remains a fugitive hiding in China and faces multiple charges related to the fraud.

Chen, a resident of Walnut, has been in federal custody since her arrest in May 2023. The duo allegedly mailed over 34 million packages with counterfeit postage labels between January 2020 and May 2023. Chen and Hu owned and operated a package shipping company based in City of Industry, which provided shipping services for China-based logistics businesses.

Hu, aware of the federal investigation in November 2019, fled to China, where he continued creating counterfeit postage to evade detection. Authorities suspect he used a computer program to fabricate shipping labels. Chen, on the other hand, managed the warehouses in the San Gabriel Valley used for their shipping business.

The fraudulent scheme involved receiving packages from China-based companies and applying counterfeit postage to ship them through the USPS. Red flags were raised due to the reuse of “intelligent barcode data” already applied to other packages, which are used to verify pre-paid labels. Several packages shipped by Chen and Hu contained counterfeit Priority Mail postage.

As part of her plea agreement, Chen will forfeit funds in her bank accounts, insurance policies, and real estate located in Chino, Chino Hills, Diamond Bar, South El Monte, Walnut, and West Covina. She is scheduled to be sentenced in August and could face up to five years in prison for each count.

CrimeDoor
Author: CrimeDoor

4 Responses

  1. This is absolutely appalling! How could someone stoop so low as to defraud the United States Postal Service out of such a massive amount of money? It’s not only a blatant disregard for the law but also a betrayal of the trust placed in them by the public. This kind of greed and deceit is truly despicable. The fact that Lijuan “Angela” Chen pleaded guilty only further highlights the extent of her wrongdoing. It’s disheartening to see individuals taking advantage of systems that

  2. It is truly disheartening to hear about cases like this where individuals exploit systems for personal gain. To prevent such fraudulent activities in the future, I believe implementing a blockchain-based tracking system could be a viable solution.

    By integrating blockchain technology into the USPS operations, each postage transaction could be recorded and verified on an immutable ledger. This would provide transparency and accountability, making it extremely difficult for individuals like Lijuan “Angela” Chen to manipulate the system.

    Additionally, incorporating smart contracts within the blockchain

  3. Wow, this is a shocking case of fraud! It’s unfortunate to see individuals taking advantage of systems like the USPS for personal gain. Reading about this incident has made me reflect on the importance of honesty and integrity in my own life.

    One of my personal goals is to always act with integrity in all aspects of my life, whether it’s in my professional career or personal relationships. I believe that being honest and trustworthy is not only morally right but also essential for building strong connections and a positive reputation.

  4. Wow, this story is shocking! It’s unfortunate to hear about cases of fraud like this. In light of this incident, I would highly recommend using a reliable and secure postage service for all your mailing needs. One such service that I have personally used and can vouch for is Stamps.com. They offer convenient online postage printing, tracking, and delivery confirmation. With their user-friendly interface and reliable service, you can have peace of mind knowing that your packages are being handled securely. It’s always

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