Two individuals, including a man from Miller Place, have been arrested and charged with wire fraud for allegedly defrauding a Canadian company seeking to purchase personal protective equipment (PPE) at the beginning of the COVID-19 pandemic. Jonathan Cannon was arrested at his Miller Place home, while Julie Dotton was arrested in Buffalo.
They are accused of stealing over $8 million by promising surgical masks that were never delivered.
The U.S. Attorney’s Office for the Eastern District of New York announced the charges, highlighting the defendants’ alleged scheme to profit from the urgent need for PPE during the pandemic. According to court filings, Cannon and Dotton misrepresented their ability to obtain PPE to a Canadian company that was an official provider of PPE to two Canadian provinces. Dotton, using a nominal entity she controlled, entered into a contract with the company to sell approximately 12 million face masks for $8.2 million.
Instead of fulfilling their promise, Cannon and Dotton orchestrated a complex deception. They directed the company to wire the $8.2 million to a purported third-party escrow agent’s bank account. However, rather than using the funds for the intended purpose, they manipulated the escrow agent to transfer the money to a bank account controlled by Cannon. Subsequently, Cannon disbursed the funds to various third parties for their own benefit, leaving the company without the promised PPE.
As the company demanded delivery or a refund, Cannon and Dotton evaded responsibility by offering excuses for several months, prolonging the deception and exacerbating the company’s losses.
The charge against Cannon and Dotton is an allegation, and they are presumed innocent unless proven guilty in a court of law.
Photo by Engin Akyurt.
