Georgia Man Sentenced to Prison for Operating an Unlicensed Money Transmitting Business
2016-01-26 · Press release
Summary: A Columbus, Georgia resident was sentenced to serve 21 months in prison, followed by three years of supervised release and ordered to forfeit $1,357,476.18 for operating an unlicensed money transmitting business, Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division and Acting U.S. Attorney G.F. “Pete” Peterman III for the Middle District of Georgia announced today.
A Columbus, Georgia resident was sentenced to serve 21 months in prison, followed by three years of supervised release and ordered to forfeit $1,357,476.18 for operating an unlicensed money transmitting business, Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division and Acting U.S. Attorney G.F. “Pete” Peterman III for the Middle District of Georgia announced today.
According to court documents, between February 2013 and March 2014, Sawan Shah aka Sunny, owned, operated and managed several money transmitting companies in the Columbus area. Shah offered check cashing services to the public, including cashing of checks that exceeded $1,000. Shah knew that he and his companies were required to be registered with Financial Crimes Enforcement Network (FinCEN) and with the State of Georgia. Neither Shah nor any of the businesses he controlled were registered with FinCEN or the State of Georgia as a money transmitting business or as a check cashier.
As part of his plea, the defendant admitted that several individuals approached him about cashing tax refund checks that were issued in the names of other individuals. Shah agreed to do so and did not require proof of identification for the individuals listed on the checks. Shah charged fees of between 10 and 30 percent of the value of the check, due to his knowledge that the checks were involved in tax fraud. In 2013 and 2014, Shah cashed approximately 567 federal tax refund checks that totaled $1,357,476.18. Shah admitted in plea documents that those checks were the result of fraudulent claims for income tax refunds submitted in the names of stolen identities.
Acting Assistant Attorney General Ciraolo and Acting U.S. Attorney Peterman III commended special agents of Internal Revenue Service (IRS)-Criminal Investigation and the U.S. Secret Service, who investigated the case and Trial Attorney Michael C. Boteler of the Tax Division and Assistant U.S. Attorney Crawford L. Seals of the Middle District of Georgia, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
- district_office
- Middle District of Georgia
- usa_name
- G.F. Peterman III
- event_type
- sentencing
- judge_name
- judge_title
- case_number
- max_penalty_text
- sentence_summary
- 21 months in prison, followed by three years of supervised release and ordered to forfeit $1,357,476.18
- money_amounts
- $1,357,476.18
- crypto_assets
- statutes_json
- timeline_json
- press_release_url
- https://www.justice.gov/archives/opa/pr/georgia-man-sentenced-prison-operating-unlicensed-money-transmitting-business
- extras_json
| participant_id | name | role | title | organization | location | age | nationality | status |
|---|---|---|---|---|---|---|---|---|
| 2615 | Caroline D. Ciraolo | Assistant Attorney General | Acting Assistant Attorney General | Justice Department’s Tax Division | ||||
| 2616 | G.F. “Pete” Peterman III | U.S. Attorney | Acting U.S. Attorney | U.S. Attorney's Office for the Middle District of Georgia | Georgia | |||
| 2617 | Sawan Shah | defendant | Columbus, Georgia | sentenced | ||||
| 2618 | Michael C. Boteler | prosecutor | Trial Attorney | Tax Division | ||||
| 2619 | Crawford L. Seals | prosecutor | Assistant U.S. Attorney | U.S. Attorney's Office for the Middle District of Georgia | Georgia |
| agency_id | agency_name | abbreviation | role | office_location | agents_mentioned | contribution |
|---|---|---|---|---|---|---|
| 1674 | Justice Department’s Tax Division | Tax Division | prosecution | Prosecuted the case with trial attorney Michael C. Boteler | ||
| 1675 | U.S. Attorney’s Office for the Middle District of Georgia | prosecution | Middle District of Georgia | Prosecuted the case with assistant U.S. attorney Crawford L. Seals | ||
| 1676 | Internal Revenue Service Criminal Investigation | IRS-CI | investigation | Investigated the case | ||
| 1677 | U.S. Secret Service | USSS | investigation | Investigated the case |
| charge_id | charge_description | statute | severity | max_penalty | fine_amount | defendant | status | participant_id | cl_docket_id | count_num | is_1960 | verified_1960 | source | updated_at |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1375 | Operating an Unlicensed Money Transmitting Business | Sawan Shah | sentenced | 1 | enrichment | 2026-09-16T19:46:00+00:00 | ||||||||
| 3429 | operating an unlicensed money transmitting business, Acting Assistant Attorney General Caroline D | 1 | press | 2026-09-16T19:46:00+00:00 | ||||||||||
| 3430 | unlicensed money transmitting business, Acting Assistant Attorney General Caro | 1 | press | 2026-09-16T19:46:00+00:00 |
| fin_id | action_type | amount | currency | description | asset_type | defendant | status |
|---|---|---|---|---|---|---|---|
| 1331 | forfeiture | $1,357,476.18 | USD | Forfeiture of funds obtained through unlicensed money transmitting business | cash | Sawan Shah aka Sunny | ordered |
| victim_id | victim_type | description | number_affected | loss_amount | geographic_scope | vulnerability_factors | impact_description |
|---|---|---|---|---|---|---|---|
| 413 | individual | individuals whose identities were stolen to submit fraudulent tax refund claims | $1,357,476.18 | Unauthorized federal tax refund checks were cashed using stolen identities, resulting in financial loss |
| quote_id | quote_text | speaker_name | speaker_title | speaker_organization | quote_type | context | significance |
|---|---|---|---|---|---|---|---|
| 2879 | Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division and Acting U.S. Attorney G.F. “Pete” Peterman III for the Middle District of Georgia announced today. | null | null | null | statement | Announcement of the sentencing | Introduces the case and the individuals involved in the announcement. |
| 2880 | Shah offered check cashing services to the public, including cashing of checks that exceeded $1,000. | null | null | null | statement | Description of Shah's illegal activities | Details the nature of the illegal business operations. |
| 2881 | Shah knew that he and his companies were required to be registered with Financial Crimes Enforcement Network (FinCEN) and with the State of Georgia. | null | null | null | statement | Awareness of legal requirements | Shows Shah's knowledge of the legal requirements he was violating. |
| 2882 | Shah agreed to do so and did not require proof of identification for the individuals listed on the checks. | null | null | null | statement | Description of Shah's illegal check-cashing practices | Highlights the illegal and fraudulent nature of Shah's operations. |
| 2883 | Shah charged fees of between 10 and 30 percent of the value of the check, due to his knowledge that the checks were involved in tax fraud. | null | null | null | statement | Description of Shah's illegal check-cashing practices | Shows Shah's awareness and involvement in tax fraud. |
| 2884 | Shah admitted in plea documents that those checks were the result of fraudulent claims for income tax refunds submitted in the names of stolen identities. | null | null | null | statement | Admission of guilt | Confirms Shah's involvement in identity theft and tax fraud. |
| 2885 | Acting Assistant Attorney General Ciraolo and Acting U.S. Attorney Peterman III commended special agents of Internal Revenue Service (IRS)-Criminal Investigation and the U.S. Secret Service, who investigated the case and Trial Attorney Michael C. Boteler of the Tax Division and Assistant U.S. Attorney Crawford L. Seals of the Middle District of Georgia, who prosecuted the case. | null | null | null | statement | Acknowledgment of investigative and prosecutorial efforts | Recognizes the key individuals and agencies involved in the case. |
| theme_id | theme_name | description | significance | related_statutes | geographic_scope | temporal_aspects | stakeholders |
|---|---|---|---|---|---|---|---|
| 1893 | Unlicensed Money Transmitting Business | Operating money transmitting businesses without proper registration with FinCEN and the State of Georgia. | Violates federal and state licensing requirements, enabling illegal financial activities. | 18 U.S.C. § 1960 | Local (Columbus, Georgia) | 2013-2014 | Sawan Shah, FinCEN, Georgia State authorities, Law enforcement |
| 1894 | Tax Fraud | Cashing fraudulent tax refund checks obtained through stolen identities. | Undermines tax system integrity and victimizes identity theft victims. | 26 U.S.C. § 7206, 18 U.S.C. § 287 | National | 2013-2014 | IRS, U.S. Secret Service, Taxpayers, Victims of identity theft |
| 1895 | Identity Theft | Using stolen identities to obtain fraudulent tax refund checks. | Enables financial crimes and harms victims' credit and legal standing. | 18 U.S.C. § 1028 | National | 2013-2014 | Victims of identity theft, Law enforcement agencies |
| 1896 | Law Enforcement Coordination | Collaboration between IRS-Criminal Investigation and U.S. Secret Service. | Demonstrates multi-agency cooperation in combating financial crimes. | National | 2013-2014 | IRS, U.S. Secret Service, DOJ Tax Division, U.S. Attorney's Office | |
| 1897 | Asset Forfeiture | Ordered forfeiture of $1,357,476.18 linked to illegal activities. | Disrupts criminal proceeds and serves as financial deterrent. | 18 U.S.C. § 981 | National | Post-conviction | DOJ, Courts, Victims |
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