HUNTINGTON, WV (LOOTPRESS) – A Florida woman has pleaded guilty to identity theft and money laundering in connection with a $9.1 million fraud scheme that used West Virginia nail technician licenses to help unqualified applicants obtain professional licenses in multiple states.
Hang Kim Thi Ngo, 42, of Windermere, Florida, entered her guilty plea Monday, October 26, in federal court in Huntington.
According to the U.S. Attorney’s Office for the Southern District of West Virginia, Ngo operated the fraudulent licensing scheme from October 2020 through September 2025, collecting more than $9.1 million in illegal proceeds.
Federal prosecutors said West Virginia played a central role in the operation because of the state’s strict nail technician licensing requirements.
West Virginia requires applicants to have a high school diploma or GED, a diploma from an accredited beauty school, and a medical evaluation certificate issued by a licensed physician.
Because of those requirements, obtaining a West Virginia license can make it easier for individuals to secure licenses in other states through reciprocity agreements.
Prosecutors said Ngo took advantage of that process by obtaining fraudulent documents for unqualified applicants and submitting applications to licensing agencies.
Ngo charged applicants different amounts depending on the documents they needed, including $3,500 for a complete package of documents required to obtain a West Virginia license.
Rather than working directly with applicants, Ngo typically dealt with middlemen, often nail salon employers, who paid her for the fraudulent licenses.
According to prosecutors, those employers commonly required applicants to work in their salons to repay the money.
Ngo obtained falsified beauty school diplomas and transcripts from legitimate Florida beauty schools willing to provide fraudulent records for a fee.
She then used those records to obtain Florida nail technician licenses before applying for West Virginia licenses through reciprocity.
Co-conspirators also supplied fraudulent medical evaluation certificates, while Ngo’s accountant, who was a notary public, provided false notarizations for licensing applications.
As part of her guilty plea, Ngo admitted to a specific transaction involving a nail salon owner in Ceredo, West Virginia.
According to court documents, the salon owner contacted Ngo to obtain a West Virginia nail technician license for an applicant.
Ngo used the applicant’s Social Security number and driver’s license information to obtain fraudulent documents and had her accountant falsely notarize the paperwork.
On October 12, 2022, Ngo mailed the completed application from Florida to the West Virginia Board of Barbers and Cosmetologists.
After receiving the license in the mail, Ngo sent it to the Ceredo client following payment.
Federal prosecutors said Ngo collected a total of $9,110,920.84 through the scheme, which was her only source of income because she had no legitimate employment.
Investigators determined that Ngo used the proceeds to purchase several properties, including a $3.2 million commercial building in Winchester, Virginia, with a $640,000 cash down payment.
She also purchased a $1.95 million home in Windermere, Florida, and two additional homes in Orlando valued at $695,000 and $636,000.
Ngo also admitted to laundering $20,000 from the scheme by writing a check to her husband from CEJ Trading LLC, a consulting company she established as a front for the fraudulent operation.
The check was deposited into their shared savings account in October 2022. Prosecutors said the transaction had no legitimate business purpose.
Ngo is scheduled to be sentenced February 22, 2027.
She faces a maximum of 35 years in federal prison, up to three years of supervised release, and a fine of up to $750,000.
As part of her guilty plea, Ngo must also forfeit $9,110,920.84 in assets.
U.S. Attorney Moore Capito announced the guilty plea and credited the Internal Revenue Service Criminal Investigation, Homeland Security Investigations, and the West Virginia Commission on Special Investigations for their work on the case.
U.S. District Judge Robert C. Chambers presided over the hearing. Assistant U.S. Attorney Jonathan T. Storage is prosecuting the case.
