Executive Summary
- Pratikbhai Patel was sentenced to three years and five months in federal prison for money laundering conspiracy and operating an unlicensed money transmitting business.
- Patel acted as a “runner” in an overseas call center scheme, receiving wired funds from victims impersonated by law enforcement, and later operated an unlicensed money transmitting business through shell companies.
- The sentence includes over $650,000 in restitution and forfeiture, underscoring law enforcement’s commitment to combating financial exploitation and sophisticated fraud schemes.
Laws and Precedent
- Pratikbhai Patel was sentenced in federal court for a money laundering conspiracy, which involves conducting financial transactions with illicit proceeds, and for operating an unlicensed money transmitting business, a federal offense under 18 U.S.C. § 1960. The sentence, handed down by a U.S. District Judge, included federal prison time, restitution, and forfeiture obligations, underscoring the legal framework for prosecuting individuals who facilitate illegal financial schemes and operate financial services without proper authorization.
A Tampa man, Pratikbhai Patel, 32, has been sentenced to three years and five months in federal prison for his involvement in a money laundering conspiracy and operating an unlicensed money transmitting business. U.S. District Judge Thomas P. Barber handed down the sentence, which also includes more than $650,000 in restitution and forfeiture obligations, following Patel’s earlier guilty pleas in two separate cases.
Details of the Conspiracy
According to court documents, Patel acted as a “runner” for an overseas call center scheme between July and October 2018. In this scheme, conspirators impersonated law enforcement officers, threatening victims with arrest or lawsuits unless immediate payments were made.
Patel received wired funds from these victims into his business account. He would then quickly withdraw the money before the victims could dispute the transfers, subsequently turning over the illicit proceeds to another conspirator.
Unlicensed Money Transmitting Business
In a second case, from approximately September 2020 to February 2023, Patel operated an unlicensed money transmitting business. He utilized business accounts under the names “Tampa Smoke Shop LLC” and “Mamba Distro LLC” to conduct same-day cash deposits.
These funds were then transferred to various entities with no apparent legitimate business purpose. Patel completed 235 such wire transfers to 115 unique counterparties, charging a fee between 1% and 1.5% of the wired amounts, despite never being licensed by the State of Florida to operate such a business.
Law Enforcement’s Response
Special Agent in Charge Ron Loecker of the IRS Criminal Investigation Tampa Field Office emphasized the severity of the crimes. “The defendant preyed on vulnerable victims to satisfy his greed,” Loecker stated, underscoring the commitment of law enforcement to combat financial exploitation.
Loecker added that this prosecution serves as a warning to those involved in financial crimes, highlighting the ongoing collaboration between IRS-CI and its partners to investigate complex fraud and money laundering schemes.
Investigation and Prosecution
The case was investigated by the Internal Revenue Service – Criminal Investigation and the U.S. Treasury Inspector General for Tax Administration. Assistant United States Attorneys Suzanne Huyler and Dan Baeza prosecuted the case.
This investigation was part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation, which targets high-level criminal organizations involved in drug trafficking and money laundering.
Pratikbhai Patel’s sentencing underscores the Department of Justice’s commitment to dismantling sophisticated financial fraud schemes that exploit vulnerable individuals and undermine the integrity of the financial system. The case highlights the significant penalties awaiting those who engage in illicit money laundering and unlicensed money transmitting activities.
