Title: Korean National Sentenced to Prison for Bank Fraud and Money Laundering in Guam

## Hagatña, Guam – Sentencing of Sung Peel Hwang

Sung Peel Hwang, a Korean national and naturalized U.S. citizen, was sentenced to serve 41 months in prison by the District Court of Guam for his involvement in a multi-year bank fraud and money laundering scheme.

## Conviction and Penalties

The defendant was convicted of:

- Bank Fraud under 18 U.S.C. § 1344(1)
- Money Laundering under 18 U.S.C. § 1957

In addition to the prison term, the court:

- Ordered Hwang to undergo five years of supervised release
- Required him to pay $615,271.51 in restitution
- Demanded a mandatory $200 special assessment fee

## The Fraudulent Scheme

Between September 2015 and December 2018, Hwang executed the following scheme to defraud his employer, Korean Air Lines (KAL), and the Guam International Airport Authority (GIAA):

1. As an administrator at the KAL Guam office, Hwang:
   - Handled reporting passenger numbers
   - Paid the corresponding Passenger Facility Charges (PFC) to GIAA
   - Procured office supplies
   - Acted as co-signatory on the business account of KAL Guam at the Bank of Guam

2. To commit the fraud, Hwang:
   - Underreported the PFC owed to GIAA and kept the difference for personal gain
   - Deposited over $3.5 million in KAL funds into his private bank account
   - Took over $600,000 for personal use

## The Impact and Response

- U.S. Attorney for the Districts of Guam and the Northern Mariana Islands, Shawn N. Anderson:
  > "Hwang's actions were a severe betrayal of trust..."

- IRS Criminal Investigation (CI) Special Agent in Charge, Adam Jobes:
  > "The sentence handed down today demonstrates that financial crimes committed against the community will not be tolerated..."

- FBI Special Agent in Charge Steven Merrill:
  > "Financial crimes impact the entire community and can cause lasting damage..."

## The Investigation

The investigation was carried out by:

- IRS Criminal Investigation
- FBI Guam Resident Agency

Assistant United States Attorney Benjamin K. Petersburg prosecuted this case.

## About IRS Criminal Investigation

IRS Criminal Investigation (CI):

- Investigates financial crimes, ranging from tax fraud and identity theft to money laundering and public corruption
- Operates 20 domestic field offices and 12 international attaché posts
- Has a conviction rate above 90 percent