Incident for Shelton Smith 2019-06-01

First Name Shelton
Other Name Layne
Last Name Smith
Alias
DOB Unknown
Age 50
Gender male
Location US
Location
Information According to records filed in the case, in 2016 and 2017, SMITH served as the project manager on the renovation of two U.S. Coast Guard cutters called the “Bertholf” and the “Waesche.” The renovations took place at Vigor’s Seattle facility. SMITH was responsible for selecting vendors and approving payments to them for equipment and services related to the renovations. Smith admitted in a plea agreement that, in this role, he fabricated invoices from a fictitious company called “Marine Service Solutions” (MSS). The fraudulent invoices caused Vigor to pay out approximately $1.5 million for work that was never done and equipment that was never provided. SMITH used the fraud proceeds for his own purposes, including to finance his gambling activities. SMITH’s scheme to defraud was an elaborate charade. SMITH persuaded a legitimate Vigor vendor to serve as a “pass-through” entity that received invoices from MSS, marked up the cost of the services, and passed on the fraudulent expenses to Vigor. The local vendor was not aware that Marine Service Solutions was not a real company. SMITH also misled a long-time acquaintance in Mississippi into setting up a bank account for MSS, cashing the checks, and funneling most of the proceeds to SMITH. In emails, SMITH posed as the Mississippi man, making it appear as if the Mississippi man was the owner of MSS.
Pending Outcome No
Damages Costs Unknown
Date Of Crime Unknown
Authorities FBI
Authorities Statement view
Judges Robert S. Lasnik
Plea Yes
Plea Date 2019-09-29
Plea Info guilty
Sentenced Yes
Sentenced Date 2019-12-19
Sentenced Information
Sentenced Jail Yes
Sentenced Months 51
Restitution Yes
Restitution Amount 1483802

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