Filipino BPO executives arrested in US for allegedly defrauding elderly authors of P2.57 billion
A business process outsourcing company in Cebu's two executives were arrested with their California-based associate for allegedly defrauding elderly authors of $44 million (P2.57 billion) in the United States. They allegedly convinced the victims that publishers and filmmakers wanted to turn their books into blockbusters, but only if they paid some fees first.
On its website, the US Attorney's Office for the Southern District of California said Michael Cris Traya Sordilla, 32, and Bryan Navales Tarosa, 34, of Innocentrix Philippines were arrested in San Diego, California on Dec. 9, 2024.
Sordilla is the company founder, president, and chief executive officer, while Tarosa is the vice president of operations.
According to the Innocentrix website, Sordilla is the chairman of the Hiyas ng Pilipinas beauty pageant. He established the MSC Group of Companies, which includes MSordilla Builders, MCS Studio, and Serene Oasis Resort in Oslob, Cebu.
Sordilla and Tarosa's co-accused was Gemma Traya Austin, 58, the organizer and registered agent for PageTurner, a company that claimed to be a book publishing business. Austin was arrested on Dec. 12, 2024.
The indictment alleges that between September 2017 and December 2024, the defendants used PageTurner to operate a book publishing scam in which the conspirators working for Innocentrix Philippines contacted individual authors through unsolicited calls and emails.
They allegedly falsely represented that PageTurner worked with literary agents, major motion picture studios, and popular video streaming services. They also falsely claimed that the company acted as a liaison between individuals who sought to publish their books or have their books turned into motion pictures or television series.
Scammers falsely told victims that their works had been selected for acquisition by publishers or movie studios. Victims were convinced to send PageTurner payments for various services, including pre-payment of taxes and transaction fees, before their work could be published or optioned to studios.
Over 800 victims were identified, and they collectively lost over $44 million.
“What started with the promise of a Hollywood dream turned into a devastating nightmare for victims,” lawyer Tara McGrath said in a statement posted on the US Attorney's office website.
Sordilla, Tarosa, and Austin were charged with conspiracy to commit mail and wire fraud and money laundering conspiracy.
The U.S. Federal Bureau of Investigation (FBI) also seized the PageTurner website.
Conspiracy to commit mail carried a maximum penalty of 20 years in prison and a $250,000 (P14.6 million) fine.
Conspiracy to launder monetary instruments carries a maximum penalty of 20 years in prison and $500,000 (P29.2 million) or twice the amount laundered.
The FBI and the United States Postal Inspection Service are investigating the incident. They urged potential victims to reach out.
“Authors should stay vigilant, do their research, and think twice before giving money to anyone promising a blockbuster deal," McGrath also said. If you or anyone you know has been targeted in a similar scheme, please report it to the FBI immediately.”
