The man pleads guilty to charges related to a $130,000 check-kiting scheme

WILMINGTON, NC (WECT) – A man will spend more than five years in prison on charges involving theft of more than $100,000.

Yuhanna Muhammad McCallum was sentenced to a minimum of five years and seven months and a maximum of seven years and nine months.

McCallum pleaded guilty to identifying theft and obtaining more than $100,000 in property by false pretenses.

According to court documents, McCallum was the ringleader of a check-flying scheme in late 2021 that cost two local credit unions more than $130,000 in just six months.

“McCallum got more than a dozen other people to assist in the scheme by instructing them to open accounts at Excite Credit Union and Corning Credit Union so he could deposit thousands of dollars in bad checks,” according to a press release.

Officials said the fraud gained notoriety this year when TikTok users showed their audiences how to participate in a similar scheme, portraying it as a glitch.

McCallum allegedly spent the money on luxury items such as designer shoes, clothing, jewelry and travel. Detective M. Aké of the Wilmington Police Department was able to identify him on the ATM video, despite McCallum wearing a mask. Detective Ake also found text messages on McCallum’s phone detailing the entire scheme and attempting to implicate several people, including a minor.

“People often downplay financial crimes, but these scams are not victimless,” said Janelle Cline, a prosecutor with the North Carolina Conference of District Attorneys who represented the state in the case. “Crimes like this affect the way our local banks do business, their bottom lines and charitable work and can have a negative impact on the 99% of bank customers who do everything right.”

McCallum was convicted at the highest possible level of a financial crime in North Carolina, a class C felony. He was also convicted of identity theft in an unrelated scheme and was ordered to pay restitution in that case. He had previously been convicted of a similar charge in New York.

“This plea gets a scammer off the streets and away from his victims,” said District Attorney Rebecca Donaldson. “It also sends a message to other scammers looking to enter our community that we will prosecute these crimes to the fullest extent of the law and protect our community members and businesses from bad actors.”