LAS VEGAS – A Lancaster, California, man was sentenced today by Chief United States District Judge Andrew P. Gordon to 57 months in prison followed by three years of supervised release for depositing over $1.2 million in forged money orders into bank accounts then withdrawing cash from the accounts.
According to court documents, from July 31, 2013 to February 13, 2019, Sterlyn Lee Smith Jr., 49, and dozens of others executed a scheme to deposit altered money orders into bank accounts in other people’s names and then withdrawing the funds before the banks discovered the money orders were forged. As part of the scheme, Smith and others purchased money orders at United States Post Offices in California and Nevada. Then, they fraudulently altered the money orders to high dollar amount money orders. Smith and others then deposited the fraudulent money orders into bank accounts at two banks in Nevada and California and made cash withdrawals from the accounts.
Over the course of this six-year bank fraud scheme, Smith and others deposited and attempted to deposit more than 1,200 forged money orders totaling more than $1.2 million dollars.
Smith pleaded guilty to two counts of bank fraud, one count for each of the banks Smith victimized. In addition to imprisonment, Smith was ordered to pay $432,482.63 in restitution.
Acting United States Attorney Sue Fahami for the District of Nevada and Inspector in Charge Glen Henderson of the United States Postal Inspections Service (USPIS), Phoenix Division made the announcement.
The case was investigated by the USPIS. Assistant United States Attorneys Kimberly Frayn and Justin Washburne prosecuted the case.
