‘Fraud Academy’: 2 Lee County residents sentenced, along with 6 other Alabamians, in major fraud case
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- Eight Alabamians, including two Lee County residents, sentenced in major mail theft and check fraud conspiracy coordinated through 'Fraud Academy' group chat.
- Scheme involved stolen checks altered and deposited into fraudulent accounts from 2022-2024, causing over $1.5 million in intended losses.
Acting United States Attorney Kevin Davidson has announced the final sentencing in a major fraud case involving eight defendants tied to a wide-ranging conspiracy of mail theft, check fraud, and financial crimes.
The conspiracy, which spanned from 2022 to 2024, involved the organized theft and alteration of checks stolen through the U.S. mail, which were then deposited into fraudulent bank accounts. Investigators revealed that the scheme was partially coordinated through a group chat titled “Fraud Academy.”
Hudson’s sentencing marks the final chapter in this specific indictment, with the remaining seven co-conspirators already sentenced:
Brandon Michael Gage, 27, from Montgomery, was sentenced to 135 months in prison. He was also identified as a manager within the conspiracy, with an intended loss amount exceeding $550,000. Gage was fined $25,000 and ordered to pay $65,000 in restitution.
Joey Payne, 26, from Opelika, has received a sentence of 108 months in prison. Payne was a manager in the scheme with an intended loss amount over $550,000. He was fined $15,000 and ordered to pay $101,556.97 in restitution.
Reuben Kristian Brown, 26, from Montgomery, was sentenced to 87 months in prison. He acted as a manager in the conspiracy and had an intended loss amount of more than $1.5 million. Brown was fined $15,000 and ordered to pay $17,500 in restitution.
Keenan Rashaad Watson, 26, from Montgomery, was sentenced to 60 months in prison. A manager in the conspiracy, Watson was associated with an intended loss of over $550,000. He was fined $15,000.
Kerry O’Shay Hawthorne, 26, from Montgomery received a sentence of 40 months in prison and was ordered to pay $49,008.95 in restitution.
Ethan Alexander Brown, 23, former bank teller from Montgomery, was sentenced to 34 months in prison. He was directly involved in depositing 61 altered checks worth more than $2 million. He was ordered to pay $973,692.05 in restitution to his employer.
Destinie Janan James, 23, Auburn – 22 months in prison; \$25,000 fine; \$89,000 restitution.
Hunter Hudson, Jr., 25, also known as “Hunnid K,”, from Montgomery, was sentenced to 92 months in prison. Hudson was identified as a manager within the conspiracy and based on his conduct, caused an intended loss amount of more than $1.5 million. He was ordered to pay $987,883.50 in restitution and to forfeit $91,020.41.
Although these sentences conclude this particular indictment, officials stress that the broader investigation remains ongoing.
“This case demonstrates the serious consequences for those who exploit public institutions and financial systems for personal gain,” said Acting U.S. Attorney Davidson. “Thanks to the dedication of our law enforcement partners, we were able to dismantle a complex criminal network and hold each participant accountable.”
Tammy Hull, Inspector General for the U.S. Postal Service, emphasized the collaborative effort behind the investigation. “Our special agents, working with our federal and local law enforcement partners, will continue to aggressively investigate these criminal activities.”
Federal Bureau of Investigation Acting Special Agent in Charge Timothy J. O’Malley echoed the sentiment. “Any attempt to exploit our postal or banking systems is a serious violation of the public’s trust. These actions will not be tolerated.”
Shameka Jackson, Acting Inspector-in-Charge of the U.S. Postal Inspection Service’s Houston Division, added, “The sentencing in this case should serve notice to criminals that the U.S. Postal Inspection Service is dedicated to defending the nation’s mail system from unlawful activity.”
Additional support came from numerous local and state agencies in Alabama, Georgia, and Florida, including Auburn Police Department, Opelika Police Department, Lee County Sheriff’s Office, Harris County (GA) Sheriff’s Office, and Meriwether County (GA) Sheriff’s Office.
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