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Authorities seek to dismiss criminal fraud cases in Va. spurred by Amazon

After a judge rejected civil claims that the company was the victim of a kickback scheme in real estate deals, prosecutors are dropping a parallel probe

Updated January 11, 2024 at 6:26 p.m. EST|Published January 11, 2024 at 3:46 p.m. EST
A data center for Amazon Web Services in Ashburn, Va. (Jim Lo Scalzo/EPA-EFE/Shutterstock)
6 min

Federal prosecutors in Virginia are seeking to vacate the guilty pleas of two men accused of defrauding Amazon in multimillion-dollar real estate deals, a move that comes after the tech giant’s lawsuit over the purported fraud was mostly thrown out by a judge last year.

The criminal and civil cases stemmed from Amazon’s leasing and acquisitions of several facilities in Northern Virginia that house its data centers. In a 2020 lawsuit — which initially played out while an FBI investigation was underway — Amazon alleged that several defendants in the civil case, including former Amazon employees and a Colorado real estate firm called Northstar Commercial Partners, had fraudulently profited from the deals through a kickback scheme.