The U.S. Attorney’s Office for the Western District of New York announced that Jason Knobloch, 56, of Lancaster, was arrested and charged by criminal complaint with bank fraud for an alleged scheme that defrauded roughly 32 victims of more than $1 million.
According to the complaint, beginning in February 2021 Knobloch and others advertised and purported to sell forklifts and similar equipment through businesses they controlled, including KJJK Equipment Sales d/b/a Kelly Lift Equipment and Clover Lift Equipment d/b/a Lifts 4 Less. Victims located equipment online, negotiated prices with employees of the companies, and were given payment instructions. After paying, many customers never received the ordered equipment; on a few occasions they received items of lesser value or equipment with different serial numbers and much higher hours than advertised.
The release says some customers received partial or full refunds, but typically only after threatening legal action. Investigators say the conduct affected about 32 victims and produced losses exceeding $1 million. The complaint also alleges later attempts to deposit checks using customers’ bank account information without their knowledge, including several large attempted deposits tied to one business, Plumb Level and Square, for a $59,900 payment that was never fulfilled.
Financial institutions named in the release include Bank of America, Citizens Bank and Good Neighbors Federal Credit Union. Knobloch was ordered released to home confinement after a detention hearing before U.S. Magistrate Judge Michael J. Roemer.
The case is being prosecuted by Assistant U.S. Attorney Douglas A. C. Penrose and is the result of an investigation by Homeland Security Investigations and the Internal Revenue Service, Criminal Investigation Division. The announcement was made by U.S. Attorney Michael DiGiacomo.
This is an allegation in an active criminal complaint; a defendant is presumed innocent unless proven guilty in court.
