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Deer Park resident sentenced for running unlicensed financial scheme involving $2.3 million check

2025-11-12 · Press release

Mentions 1960

Summary: A 66-year-old man has been ordered to federal prison for operating an illegal money transmitting business

Editor's Note:
This matter occurred on date indicated, but not published at that time due to government shutdown. Press release posted and made available following the return to normal operations.   

HOUSTON – A 66-year-old man has been ordered to federal prison for operating an illegal money transmitting business, announced U.S. Attorney Nicholas J. Ganjei.

Bobby Charles Lee Sr. pleaded guilty June 30.

U.S. District Court Judge Kenneth Hoyt has now ordered Lee to serve 33 months in federal prison to be immediately followed by three years of supervised release. Judge Hoyt imposed strict supervised release conditions, including limits on company and bank account ownership and restrictions on Lee’s access to technology. Lee must also pay restitution to two victims in specific amounts to be determined.

At the hearing, the court heard that Lee continued to move illicit funds while on bond. Prior to imposing the sentence, Judge Hoyt noted Lee’s conduct was among the “most outrageous” he had seen in 37 years on the bench. He told Lee “at your age, you still have not come home to right” and questioned why Lee had not bothered to tell his family about his criminal case.

From 2020 through 2024, Lee operated an unlicensed money-transmitting business that moved funds through multiple personal and business accounts without the required state license or federal registration.

Lee allowed others to deposit and transfer funds into accounts he controlled and accepted negotiable instruments others had mailed to him. Authorities flagged several transactions as suspicious or fraudulent, prompting banks to close multiple accounts linked to the scheme.  

In March 2024, Lee deposited a counterfeit $2.3 million U.S. Treasury check and used the proceeds to enrich himself and his spouse, including purchasing a Cadillac vehicle. Authorities later seized the vehicle and recovered approximately $2.1 million that remained from the fraudulent funds.

Lee was permitted to remain on bond and voluntarily surrender to a Federal Bureau of Prisons facility to be determined in the near future.

IRS Criminal Investigation and Treasury Inspector General for Tax Administration conducted the investigation with assistance from the FBI and Deer Park Police Department. Assistant U.S. Attorneys Stephanie Bauman and Kimberly Ann Leo prosecuted the case with assistance from Kristine Rollinson of the Asset Recovery Section.

district_office
Southern District of Texas
usa_name
Nicholas J. Ganjei
event_type
sentencing
judge_name
Kenneth Hoyt
judge_title
U.S. District Court Judge
case_number
max_penalty_text
sentence_summary
33 months in federal prison to be immediately followed by three years of supervised release
money_amounts
$2.3 million, $2.1 million
crypto_assets
statutes_json
[null]
timeline_json
{"plea_date": "2025-06-30"}
press_release_url
https://www.justice.gov/usao-sdtx/pr/deer-park-resident-sentenced-running-unlicensed-financial-scheme-involving-23-million
extras_json
participant_id name role title organization location age nationality status
3828 Nicholas J. Ganjei prosecutor U.S. Attorney U.S. Attorney's Office Houston
3829 Bobby Charles Lee Sr. defendant Deer Park 66 sentenced
3830 Kenneth Hoyt judge U.S. District Court Judge U.S. District Court Houston
3831 Stephanie Bauman prosecutor Assistant U.S. Attorney U.S. Attorney's Office Houston
3832 Kimberly Ann Leo prosecutor Assistant U.S. Attorney U.S. Attorney's Office Houston
3833 Kristine Rollinson prosecutor Asset Recovery Section
agency_id agency_name abbreviation role office_location agents_mentioned contribution
2392 Internal Revenue Service Criminal Investigation IRS-CI investigation Conducted the investigation
2393 Treasury Inspector General for Tax Administration TIGTA investigation Conducted the investigation
2394 Federal Bureau of Investigation FBI investigation Assisted in the investigation
2395 Deer Park Police Department investigation Assisted in the investigation
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
2132 Operating an illegal money transmitting business Bobby Charles Lee Sr. pleaded guilty 0 enrichment
fin_id action_type amount currency description asset_type defendant status
1755 restitution null null restitution to two victims in specific amounts to be determined null Bobby Charles Lee Sr. ordered
1756 seizure $2.1 million USD recovered approximately $2.1 million that remained from the fraudulent funds cash Bobby Charles Lee Sr. completed
1757 seizure null null Cadillac vehicle vehicle Bobby Charles Lee Sr. completed
victim_id victim_type description number_affected loss_amount geographic_scope vulnerability_factors impact_description
1047 individual two victims 2 must pay restitution
quote_id quote_text speaker_name speaker_title speaker_organization quote_type context significance
3230 at your age, you still have not come home to right Kenneth Hoyt U.S. District Court Judge U.S. District Court statement During the sentencing hearing Highlights the judge's disapproval of Lee's actions and his lack of remorse
3231 Lee’s conduct was among the “most outrageous” he had seen in 37 years on the bench. Kenneth Hoyt U.S. District Court Judge U.S. District Court statement During the sentencing hearing Emphasizes the severity of Lee's actions and the judge's experience in handling similar cases
theme_id theme_name description significance related_statutes geographic_scope temporal_aspects stakeholders
2835 Unlicensed Money Transmitting Business Operating an unlicensed money-transmitting business that moved funds through multiple personal and business accounts without the required state license or federal registration. The core illegal activity that led to the defendant's conviction and sentencing. 18 U.S.C. § 1960 Local 2020-2024 Defendant, Victims, Law enforcement, Financial institutions
2836 Fraudulent Transactions Depositing a counterfeit $2.3 million U.S. Treasury check and using the proceeds for personal gain. A significant fraudulent act that exacerbated the defendant's criminal behavior. 18 U.S.C. § 1343, 18 U.S.C. § 1344 Local March 2024 Defendant, Spouse, Law enforcement, Financial institutions
2837 Supervised Release Conditions Imposition of strict supervised release conditions, including limits on company and bank account ownership and restrictions on access to technology. Ensures the defendant's compliance with the law post-incarceration. 18 U.S.C. § 3583 Local Post-sentencing Defendant, Probation officers, Law enforcement
2838 Restitution Defendant ordered to pay restitution to two victims in specific amounts to be determined. Compensation for the victims of the defendant's illegal activities. 18 U.S.C. § 3663A Local Post-sentencing Defendant, Victims, Court
2839 Law Enforcement Cooperation Investigation conducted by IRS Criminal Investigation, Treasury Inspector General for Tax Administration, FBI, and Deer Park Police Department. Collaborative effort among multiple law enforcement agencies to investigate and prosecute the case. null Local 2020-2024 IRS Criminal Investigation, Treasury Inspector General for Tax Administration, FBI, Deer Park Police Department

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