Rap scene fraud case wraps in federal court

SPRINGFIELD — Was he a young man duped by an experienced grifter, or a knowing cog in an expensive fraud scheme that cost thousands in losses to businesses around the country.

Steven Hayes Jr., of Illinois, is standing trial in U.S. District Court on charges of wire fraud conspiracy, aggravated identity fraud, and aiding and abetting. The trial is taking place in Springfield because one of the businesses affected is in Western Massachusetts.

Jurors began their deliberations around 1 p.m. Monday. They failed to return a verdict by late afternoon.

Prosecutors said Hayes Jr. helped procure stolen credit card information to pay for private and commercial flights and limousines. He and his alleged co-conspirators bought the information on the dark web.

In 2017, Hayes Jr. was briefly part of a clique of young rap artists, their managers and other associates.

The case gained a high profile in the music world because one of the defendants was Herbert Wright III, or "G Herbo," an established and well-known rap artist.

Hayes Jr. was promoting a budding talent, rapper Calvin "Calboy" Woods, from Chicago.

Hayes became tied up with a music promoter named Antonio "T-Glo" Strong, finding himself in the middle of a plot that led to several federal convictions for fraud and related crimes.

Defense lawyer Dana Goldblatt argued to jurors that Hayes Jr. was merely a patsy, unaware of the criminal nature of the arrangements.

"The defendant was disgusted by the credit card fraud," Goldblatt told the jury, often noting that her client was just 25 and inexperienced when he became involved with the entourage.

Assistant U.S. Attorney Steven H. Breslow argued to jurors that Hayes played a knowing and enthusiastic role in the scheme that afforded them a lavish lifestyle.

"A $27,000 private flight and $950 puppies," which traveled to their destination in the back of a limousine, Breslow said. "Just imagine that — two puppies in the back of a limo."

The government presented evidence of text exchanges between Hayes Jr. and Strong related to the various charges.

"You need to save me real quick," Strong wrote in a text to Hayes Jr., after a limo driver questioned the credit card information Strong provided, asking him to see the credit card in person.

Hayes Jr. sent him the information he needed in less than a minute, according to prosecutors.

"I just finessed him not to see the card," Strong texted, asking Hayes Jr. to call the driver and pretend to be the cardholder.

"It's a white guy. So you gotta sound white," Strong wrote.

In one case, according to prosecutors, both men griped that their dark websites were down.

"I was loaded on pay cc," Hayes Jr. said, referring to illicit websites that market stolen credit card information.

His defense attorney countered that her client had no footprint on the dark web.

Most of the actual cardholders noticed the mysterious charges and called the credit card companies to dispute them. Those companies reversed the charges and unsuspecting business owners were left holding the bag.

The owner of a high-end pet shop called authorities, sobbing after discovering she had been swindled. Strong signaled his intent to sell the two terrier pups.

"You gotta be careful where you put those mutts before you sell 'em," Strong wrote in a text.

A private jet charter company became suspicious when Strong and company booked a flight that cost $27,000. The owner contacted the U.S. Secret Service, and agents set up a sting to greet the group at a Chicago airport.

Breslow said when they realized what they were facing, Strong, Hayes Jr. and another man fled. Goldblatt disputed this, telling jurors that only Strong fled.

Wright received probation last year under a plea deal. Strong is serving out a three-year sentence at a federal prison in Pennsylvania.

Goldblatt also argued her client was a victim of guilt-by-association, as they were all Black men who shared a certain slang.

Jurors will resume deliberations Tuesday morning.

Conspiracy to commit wire fraud carries a maximum sentence of 20 years.

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