2 ACCUSED OF MASSIVE ID FRAUD PAIR STOLE MILLIONS, D.A. SAYS.

Byline: Rick Orlov Staff Writer

In one of the largest identity-theft cases in Los Angeles County history, two Nigerian nationals who had been living in the San Fernando Valley were charged Tuesday in a 22-count indictment involving more than $4 million in losses.

The indictment centers on 16 victims and a half-dozen financial institutions, but officials said more than 140,000 people may have been victims in the scam.

``This is a crime that is becoming all too common, and we need to see federal legislation if we are going to stop it,'' District Attorney Steve Cooley said in announcing the indictment at a downtown news conference with county and federal prosecutors and investigators.

Named in the indictment is Olatunji Oluwatosin, 42, of North Hollywood, charged with identity theft, grand theft, credit-card access fraud and conspiracy.

The charges replace a six-count complaint filed in July against Oluwatosin, who in February was sentenced to 16 months in prison after pleading no contest to one count of identity theft.

In the new indictment, a relative is accused of being an accomplice. Kabiru Olatunde Ipaye, 43, of Encino is charged with receiving stolen property, computer-access fraud and possessing a forged driver's license.

Cooley and prosecutors said the two are accused of using victims' identities to raid bank and credit card accounts, as well as to defraud the Georgia-based ChoicePoint, which collects consumer data and provides identity-verification services for firms.

Cooley and his prosecutors said that beginning in 2002, Oluwatosin created a sham business, using mail drops and a cell phone, to become a ChoicePoint customer, then submitted phony claims for payment to gain ChoicePoint data.

Cooley said none of the money believed to have been taken through the scam has been recovered.

Oluwatosin's attorney, J.T. Fox, said he had not reviewed the indictment nor met with his client over the new charges.

``The allegations in this are substantial, but we haven't seen any evidence yet and can't say what we will do next,'' Fox said.

The next court appearance for the two men will be Sept. 7, officials said.

Deputy District Attorney Jonathan Fairtlough said officials believe the men were part of a larger ring seeking to steal people's identities and assets.

Cooley said ChoicePoint investigators alerted local officials to the operation, and there was a sting in which Oluwatosin was first arrested. A follow-up investigation led to the additional charges.

The district attorney estimated ChoicePoint has spent $2 million to notify its customers of problems. Losses to the Bank of America, Citibank, Bank One, Household Bank and Discover total another $2 million, he estimated.

Fairtlough said it appeared victims were randomly selected, with their bank and credit card accounts accessed. In one case, officials said, $34,000 was withdrawn from a victim's account.

``The problem is we all want instant verification and instant access, and the banks have worked to accommodate us,'' Cooley said.

Federal legislation is being developed to strengthen penalties for identity theft, but officials said the best protection for consumers is to closely monitor their accounts for unauthorized withdrawals.

Rick Orlov, [phone]

rick.orlov(at)dailynews.com