A resident of California has been handed a prison sentence of nearly five years for orchestrating an extensive money order forgery operation that spanned across California and Nevada. The scheme, involving over $1.2 million in fraudulent transactions, involved multiple individuals who deposited altered money orders into bank accounts under false identities before withdrawing the funds. According to court documents from the United States Attorney’s Office for the District of Nevada, 49-year-old Sterlyn Lee Smith Jr. was one of the key players in this criminal activity. His actions led to significant financial losses for two banks in both states.

The fraud began in July 2013 and continued until February 2019. During this period, Smith and his accomplices purchased legitimate money orders from post offices in California and Nevada. They then manipulated these documents to reflect much higher values than originally issued. Once altered, the fraudulent money orders were deposited into various bank accounts, often using stolen or fake identities. Over six years, more than 1,200 forged money orders totaling over $1.2 million were processed through this illegal network.

Court records indicate that Smith pleaded guilty to two counts of bank fraud, each count corresponding to a different bank affected by the scheme. In addition to serving time behind bars, he has also been ordered to make restitution payments totaling $432,482.63. Upon completion of his prison term, Smith will be subject to three years of supervised release as part of his sentencing agreement.

This case highlights the severity of financial crimes and the lengths to which law enforcement agencies will go to bring perpetrators to justice. The successful prosecution of Smith sends a strong message about the consequences of engaging in such deceptive practices. It also underscores the importance of vigilance within financial institutions to prevent similar schemes from occurring in the future.