Ada William Obayuwana indictment news broke this week after federal prosecutors charged the aspiring Los Angeles-area rapper in a sweeping stolen Treasury check scheme. The 31-year-old, known by his stage names “ColdheartedAC” and “AC,” now faces serious federal charges tied to more than $8.1 million in stolen checks.
Prosecutors say the scheme ran across Southern California for nearly two years. Federal officials announced the charges on August 28, 2026, following his arrest days earlier.
Who Is Ada William Obayuwana
Obayuwana lives in Quartz Hill, a community in Los Angeles County. He built a modest online presence under his rap alias “ColdheartedAC,” pursuing a music career alongside whatever else prosecutors say he was doing.
Federal investigators now allege that career included a much darker side business. His case has drawn attention across Southern California news outlets and hip-hop media alike.
Details of the Federal Indictment
A federal grand jury returned a 25-count indictment against Obayuwana and two co-defendants. The other two defendants are Albert Tai Vu, 28, of Westminster, and Cassandra Marie Murillo, 31, of San Diego.
All three face nine counts of bank fraud. Prosecutors say the trio possessed more than 50 stolen U.S. Treasury checks and hundreds of other stolen checks belonging to individuals and businesses.
The combined value of the stolen instruments tops $8.1 million. Investigators say the defendants cashed or attempted to cash these checks at banks and credit unions throughout Los Angeles, Orange, and San Diego counties.
Obayuwana faces additional charges beyond the shared bank fraud counts:
- Three counts of delivering stolen Treasury checks
- One count of aggravated identity theft
- Nine counts of bank fraud (shared with co-defendants)
Vu faces five counts of delivering stolen Treasury checks, four counts of money laundering, and two counts of aggravated identity theft. Murillo faces one count involving a stolen Treasury check.
Timeline of the Alleged Scheme
According to the indictment, the scheme began in April 2022 and continued through December 2023. During that window, prosecutors say the defendants obtained and possessed stolen checks worth more than $8.1 million.
The stolen Treasury checks reportedly covered tax refunds, veterans’ benefits, and Social Security Administration payments. Prosecutors allege the group forged endorsements or altered names and addresses on the stolen instruments to cash them.
The Ada William Obayuwana indictment describes a December 2023 traffic stop in Oceanside as a key moment in the case. Authorities say they found Obayuwana with more than 100 stolen or fraudulent checks in his vehicle at that time.
Those checks alone carried a value exceeding $6.1 million. Investigators say 48 of them were stolen U.S. Treasury checks worth roughly $2,555,417.
Financial Details Prosecutors Cite
Separately, prosecutors allege Obayuwana attempted to cash at least three Treasury tax refund checks between April 2022 and December 2023. Those three checks carried a combined value of $382,109.
He successfully cashed one of them, according to the indictment, later withdrawing approximately $229,109 from the proceeds. Investigators say the defendants opened bank accounts specifically to receive these fraudulently obtained funds.
Some accounts reportedly used business documents that mimicked the names and identifiers of actual victims. Vu allegedly used proceeds from the scheme in April 2023 to secure two separate $250,000 cashier’s checks.
One of those checks reportedly helped finance a Range Rover purchase. The other was made payable directly to Murillo, according to court documents cited by prosecutors.
Arrests and Court Appearances
Obayuwana was arrested on Wednesday, August 26, 2026, and made his initial appearance in Los Angeles federal court the same day. He remained in federal custody following his detention hearing.
Vu was arrested the following day, Thursday, August 27, 2026, and made his own initial appearance in U.S. District Court in Los Angeles. Murillo was expected to surrender to federal authorities on Monday, August 31, 2026, also in Los Angeles.
The Justice Department confirmed all three defendants are presumed innocent unless proven guilty in court. An indictment remains only an allegation at this stage of the legal process.
Potential Penalties If Convicted
Federal bank fraud charges carry serious consequences under U.S. sentencing guidelines. Each bank fraud count carries a statutory maximum of 30 years in federal prison.
The stolen Treasury check and money laundering counts each carry a maximum sentence of 10 years in federal prison. Aggravated identity theft carries a mandatory, consecutive two-year federal prison sentence per count.
That means any conviction on the identity theft charges alone would add prison time on top of whatever sentence results from the other counts. Given the number of charges Obayuwana faces, his potential exposure is substantial if the case proceeds to conviction.
Who Is Investigating the Case
Multiple federal agencies contributed to the investigation behind the Ada William Obayuwana indictment. The Treasury Inspector General for Tax Administration led significant portions of the probe.
The Internal Revenue Service Criminal Investigation division also participated. The United States Postal Inspection Service rounded out the investigative team, reflecting the scheme’s ties to mail theft and government benefit fraud.
Assistant United States Attorney Diane Roldán of the Major Crimes Section is prosecuting the case for the government. The case falls under the jurisdiction of the Central District of California.
Why This Case Matters
Stolen Treasury check schemes hit some of the most vulnerable recipients of government payments. Victims in this case reportedly included people expecting tax refunds, veterans’ benefits, and Social Security payments.
Federal officials continue to prioritize these cases because of the direct harm to individuals relying on those funds. Cases involving impersonation and forged endorsements often take months to unwind fully as investigators trace where the money went.
What Comes Next
The case remains in its early stages following the indictment’s unsealing. Murillo’s surrender, expected August 31, 2026, will bring all three defendants formally into the federal court system.
Pretrial proceedings typically follow initial appearances, including arraignments and further detention hearings. Court watchers in Los Angeles expect additional filings in the weeks ahead as both sides prepare for what could become a lengthy federal prosecution.
What do you think happens next in this case? Share your thoughts and check back for updates as this story develops.