A Tucson man has been sentenced to nearly eight years in federal prison for bank fraud, identity theft and conspiracy to commit bank fraud.
Adam C. Sheafe, 44, was sentenced by U.S. District Court Judge Raner C. Collins to 94 months in prison.
Prosecutors said Sheafe used stolen credit card numbers to process hundreds of transactions through separate merchant accounts at Bank of America and BBVA Compass Bank. Sheafe conducted the fraudulent transactions in short time frames and without the knowledge of the cardholders.
Prosecutors said the banks reported losses of more than $500,000 from the scheme.
According to the 2016 indictment, Sheafe and his wife created two companies — Creative Management Group LLC and Express Granite LLC — to open business accounts at the two banks.
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In May 2014, Sheafe and his wife processed credit-card charges from about 250 victims obtained through a Florida telemarketing business. Prosecutors said the Sheafes’ companies conducted no business that would support the charges.
Funds from the fraudulent charges were deposited into the merchant account set up by Sheafe and his wife, according to the indictment. By June 2014, more than $520,000 obtained through fraudulent credit-card transactions had been deposited into the account. The indictment stated Compass Bank sustained a loss of about $600,000 from the transactions.
Similar transactions were also conducted through the Sheafes’ merchant account with Bank of America, resulting in a bank loss of about $75,000, according to the indictment.
Charges against Sheafe’s wife were dismissed in May by the court, records show.
In January 2013, Sheafe was arrested in connection with a domestic-violence incident in Oro Valley.
Sheafe was arrested on suspicion of domestic violence aggravated assault and kidnapping charges and booked into the Pima County jail, according to Arizona Daily Star archives.
Oro Valley police said officers were called to a home near North La Cañada Drive and West Lambert Lane for a domestic violence incident.
A woman told police Sheafe held her against her will and choked her, a department news release said. Officers were unable to locate Sheafe at the time of the call and a warrant was issued for his arrest. He later turned himself in to police. The status of this case was not available Friday.
In 2015, Sheafe was sentenced to two to five years in an unrelated case to state prison in Nevada for burglary, identity theft and possession of stolen property, online records show.
