Washington. The US Department of Justice has initiated denaturalization proceedings against Indian-origin businessman Debashis Ghosh, 62, after accusing him of concealing criminal conduct while applying for American citizenship. The case is linked to an alleged $2.5 million investment fraud involving an aircraft maintenance and repair project in the United States.
Investment Funds Allegedly Moved Without Approval
According to US authorities, Ghosh became a naturalized American citizen in 2012. Investigators later alleged that he had been involved in fraudulent financial activity before and after obtaining citizenship.
FCRF Academy Launches Premier Anti-Money Laundering Certification Program
The case relates to a project for an aircraft maintenance, repair and overhaul facility at a former US Air Force base in Plattsburgh. Ghosh and his associate, Keith Eric Jergensen, served as co-CEOs of Chicago-based Verdant Capital Group, which had been hired by Laurentian Aerospace Corporation to raise funds for the project.
Investors contributed approximately $2.5 million in seed funding. Under the agreement, the money was supposed to remain secured in a designated bank account and could not be transferred without authorization. Authorities allege that Ghosh and his associate began moving the funds out of the account within days of receiving them.
Investors Allegedly Misled for Years
Investigators alleged that by March 2011, the entire amount had been withdrawn. Prosecutors claimed the money was used for company expenses, employee payments, contractor costs and other unrelated expenditures.
Despite this, investors were reportedly assured for several years that their money remained safe. US court documents also alleged that fake documents were created to make it appear that the funds were still secured in the bank account.
The victims reportedly included retired military officials, former government executives and senior professionals from the financial and aviation sectors.
Citizenship Application Under Scrutiny
According to the Justice Department, Ghosh was asked during his citizenship process whether he had ever committed a crime for which he had not been arrested. Authorities alleged that he repeatedly answered “no” during the application and interviews.
In 2016, Ghosh and his associate were indicted in a wire fraud conspiracy case. In 2017, a US court found Ghosh guilty. Authorities now argue that he concealed material facts and made false statements to obtain US citizenship.
Under the US Immigration and Nationality Act, citizenship obtained through concealment of material facts or wilful misrepresentation can be revoked. Denaturalization proceedings have reportedly been initiated against Ghosh along with 11 other individuals.
