Covid Fraudsters Spend Thousands on Luxury Items
Covid fraudsters spent thousands on cars – During the pandemic, fraudsters involved in a personal protective equipment (PPE) scam spent significant sums on luxury cars, watches, and home upgrades. Jogesh Bhandari, 59, and Craig Morris, 43, were recently convicted at Leicester Crown Court for orchestrating a fraud scheme that exploited shortages in PPE supplies. Meenakashi Bhandari, 48, also faced charges related to concealing and transferring illicit funds. The National Crime Agency (NCA) stated that the trio used the proceeds to finance a lavish lifestyle, including high-end vehicles and renovations.
Convicted at Leicester Crown Court
The group was found guilty of two counts of conspiracy to defraud through deceptive practices, as well as transferring criminal property. Their sentencing is scheduled for 21 August. The NCA highlighted that Jogesh and his wife, both residents of Loughborough, Leicestershire, utilized the stolen money to purchase Rolexes, jewelry, and holiday packages. Additionally, Jogesh allocated £126,000 for a new Porsche and funds for a kitchen overhaul, according to the agency.
Escrow Account and Fraudulent Deals
The NCA disclosed that Jogesh operated a company in 2020 to facilitate nitrile glove transactions, while Morris assisted in multiple scams over two years. To deceive suppliers, Jogesh fabricated documents such as bank statements showing up to $125m and letters of attestation. In one instance, he sent a picture of a Rolls-Royce to Morris, remarking,
“But if I want one of these then we need to keep going.”
Morris, from Lytham St Annes, Lancashire, anticipated regular £5,000 payments until a rift emerged in late 2021.
The fraud began in November 2020 when Jogesh secured a deal for 12 million boxes of gloves, with payments funneled into an escrow account. However, the NCA noted that the funds were swiftly withdrawn by Jogesh and Labruzzo, a U.S. assistant attorney general linked to the scheme. A month later, an additional $2.7m was deposited, with nearly $500,000 extracted to settle their debts. By early 2021, Jogesh had pocketed over $3.18m for nitrile gloves destined for U.S. hospitals that were never shipped. In their final transaction, he transferred $1.35m directly to his business account, then sent £200,000 to Morris before acquiring his Porsche.
Quotes from National Crime Agency
“All of this activity occurred during the pandemic’s peak, when PPE demand soared. Bhandari and his co-conspirators exploited these vulnerabilities, diverting essential supplies and enriching themselves through extravagant purchases.” — Paul Boniface, operations manager at the NCA
Labruzzo, alongside another individual, was previously convicted in the U.S. for his role in the fraudulent escrow service. The NCA emphasized that such schemes not only harm legitimate businesses but also deprive healthcare and frontline organizations of critical resources, with consequences extending far beyond immediate financial losses.
