Four men convicted of federal financial crimes involving money laundering, structuring, wire fraud and bank fraud | USAO-WDKY
Louisville, Kentucky – On May 24, 2022, a former resident of Louisville, Kentucky was convicted and sentenced for conspiracy to commit money laundering by assisting in the illegal purchase of automobiles with criminal proceeds. On May 26, 2022, a Prospect, Kentucky resident was convicted and sentenced of a financial crime involving the use of a nominee to purchase automobiles in order to conceal the source of funds used. The convictions follow the financial crime convictions of two additional men, one earlier this year and the other last year.
“I commend the IRS, ATF and LMPD for their investigative work in these matters,” said U.S. Attorney Michael A. Bennett. “As the convictions demonstrate, this office and our law enforcement partners will leave no stone unturned when it comes to conducting investigations involving financial crimes.”
“When criminals go to great lengths to conceal the source of their income, IRS CI will follow the money to uncover the true source of the funds,” said Bryant Jackson, Special Agent in Charge, IRS, Criminal Investigation. “We will continue to work with our law enforcement partners and the U.S. Attorney’s Office to bring those who commit financial crimes to justice.”
According to court documents, between 2016 and 2017, Stephen Mudd, Jr.40, formerly of Louisville, while working as a car salesman, helped falsify employment and bank account information to facilitate the purchase of automobiles with proceeds of crime – the products providing either a cash down payment, the means of monthly payment on a car loan with a financial institution. Mud knew that lenders would not provide financing without proof of a legitimate source of income. In addition, Mud had reason to know that the transactions involved the proceeds of crime. By helping others spend the proceeds of crime, Mud helped conceal the criminal source of the money and avoided reporting requirements that would otherwise apply to large cash transactions. On May 24, 2022, a United States District Judge sentenced Mud three years probation and fined $4,000. Mud was also ordered to forfeit $6,188.
Additionally, on May 26, 2022, Dominique Harrison38, of Prospect, Kentucky, was convicted and sentenced by a United States District Judge to three months in prison and two years of supervised release with the condition that he serve months of house arrest. Harrisson had previously pleaded guilty to violating United States Code Title 31, Section 5324, which governs mandatory reporting of large cash transactions. Harrisson used third parties to conduct cash transactions related to the purchase of an automobile in order to evade cash reporting requirements. Harrisson was also ordered to forfeit $25,000 in cash.
Previously, two other men had also been convicted of financial crimes. Brice39, of Louisville, Kentucky, was convicted on August 23, 2021 of structuring cash transactions in violation of Title 31, United States Code, 5324. Brice received 30 months probation and a $1,000 criminal fine. Brice was also ordered to forfeit $2,650 in cash. O’Farrell Washington38, of Austin, Texas, was convicted on February 2, 2022 of conspiracy to commit wire fraud and bank fraud. Washington was sentenced to time served followed by three years of supervised release and was ordered to lose $3,000.
The Internal Revenue Service’s Criminal Investigations Division, along with the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Louisville Metro Police Department investigated the case.
Assistant U.S. Attorneys Erin McKenzie and Amy Sullivan prosecuted the cases.
This effort is part of a Organized Crime and Drug Enforcement Task Force (OECDTF). The OECDTF identifies, disrupts, and dismantles the highest level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OECDTF program is available at www.justice.gov/OECDTF.