Fake School Invoices and a $12M Bank Scam Charged in Camden

CAMDEN, N.J. — A Turnersville man has been charged with bank fraud and mail fraud in schemes that prosecutors say diverted $2.8 million in bank funds, targeted $9.25 million more held by the State of Texas, and mailed fake invoices to schools across the country, U.S. Attorney Robert Frazer announced.

Read the U.S. Attorney's Office for the District of New Jersey release: https://www.justice.gov/usao-nj/pr/turnersville-man-charged-defrauding-bank-and-school-districts

Robert Armstrong, 56, of Turnersville, New Jersey, was charged by criminal complaint, according to the release.

Armstrong made an initial appearance on November 4, 2026, in Camden federal court before U.S. Magistrate Judge Elizabeth A. Pascal, officials reported.

He is detained, according to the release.

A Hedge Fund Check, A Fake Company, And $2.8 Million Diverted

According to documents filed in the case and statements made in court, Armstrong devised and executed schemes to fraudulently obtain funds from a bank, the State of Texas, and school districts around the country.

In the bank scheme, Armstrong allegedly pretended to be an agent of a financial institution that had previously invested in a hedge fund, according to the release.

The hedge fund owed millions of dollars in disbursements to the institution, and some of those funds went unclaimed and were held in trust by the bank acting as trustee, officials reported.

Armstrong sent false and fraudulent documents to the bank claiming he was empowered to collect funds on behalf of the institution, according to the release.

Based on those documents, the bank sent Armstrong a check, payable to the institution, for approximately $2,806,524.46, which he deposited into a bank account he controlled, officials reported.

Texas Escheatment Funds, A Stolen Persona, And $9.25 Million Attempted

Unclaimed funds that later accumulated were transferred, through the passage of time, to the State of Texas as state escheatment funds, held in trust for the institution, according to the release.

Armstrong then submitted false and fraudulent documents to the State of Texas, including online forms and paper documents sent through the U.S. Postal Service, claiming to be an authorized agent of the institution, officials reported.

He also created a fake company and opened a bank account for it, and used, without authority, the persona of an individual who had previously served as the institution's president and chief financial officer, according to the release.

Based on those documents, Armstrong attempted to steal an additional $9,251,641.71 of the institution's unclaimed funds, officials reported.

Tens Of Thousands Of Invoices, 43 Schools, And Federal Charges

Separate from the bank scheme, Armstrong allegedly set up a fake school supply company and employed a mass mailing company to send tens of thousands of false invoices to schools, according to the release.

The invoices billed schools for workbooks or other educational goods that Armstrong did not provide, officials reported.

At least 43 schools have paid the invoices so far, losing at least $11,309, according to the release.

Robert Armstrong — bank fraud, one count: carries a maximum penalty of 30 years in prison and a fine of up to $1,000,000, according to the release.

Robert Armstrong — mail fraud, one count: carries a maximum penalty of 20 years in prison and a fine of $250,000 or twice the gross loss or gain from the offense, according to the release.

The charges and allegations in the complaint are merely accusations, and Armstrong is presumed innocent unless and until proven guilty, officials reported.

U.S. Attorney Frazer credited inspectors of the U.S. Postal Inspection Service, under the direction of Postal Inspector in Charge Christopher Nielson of the Philadelphia Division, and special agents of the Federal Deposit Insurance Corporation Office of Inspector General, under the direction of Special Agent in Charge Brian Tucker, with the investigation, according to the release. He also thanked the Washington Township Police Department, under Chief Patrick Gurcsik, for its assistance.

The government is represented by Attorney in Charge Jason Richardson and Deputy Attorney in Charge Sara Aliabadi of the U.S. Attorney's Office in Camden, officials reported.

Anyone who believes they received a fraudulent school supply invoice, or who has information about this case, can contact the U.S. Postal Inspection Service or the U.S. Attorney's Office for the District of New Jersey.

Sources

U.S. Attorney's Office for the District of New Jersey, "Turnersville Man Charged with Defrauding a Bank and School Districts," November 10, 2026: https://www.justice.gov/usao-nj/pr/turnersville-man-charged-defrauding-bank-and-school-districts