Trafficking in Stolen Products

A Lexington, Kentucky man was convicted in federal court on 16 counts related to the trafficking of stolen products.^[1] Adnan Shalash and his nephew, Ibrahim, were arrested in March after a six-month sting operation in which federal agents posed as sellers of stolen baby formula and mouthwash.^[2] The “stolen” goods were donated by private companies.^[3] The Shalashes were indicted on April 7 on charges of conspiracy and receiving, possessing, and transporting stolen property.^[4] Ibrahim agreed to plead guilty to one felony count if he testified against his uncle.^[5] Ibrahim’s testimony may not have been helpful however; the court acquitted Adnan on the three counts on which Ibrahim testified: two counts of money laundering, and one count of receiving stolen property.^[6] Conspiracy and trafficking in stolen goods are both federal crimes.

Conspiracy
Conspiracy has been previously discussed here, in conjunction with Alexander Yakovlev.

Trafficking in Stolen Goods
Trafficking in stolen goods is criminalized by 18 U.S.C. § 2314. Under section 2314, it is a crime for a person to transport in interstate commerce any goods, knowing that those goods have been stolen, converted, or taken by fraud.

The punishment for a violation of section 2314 is a fine, imprisonment for up to 10 years, or both.

Receiving Stolen Goods
The receipt of stolen goods is criminalized by 18 U.S.C. § 2315. Under section 2315, it is a crime for a person to receive goods that have been transported in interstate commerce, knowing that the goods were stolen, converted, or taken by fraud.

The punishment for a violation of section 2315 is a fine, imprisonment for up to 10 years, or both.

It should be noted that the goods don’t actually need to have been stolen. All that is required is that the defendant believed that they were.^[7]

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[1] Beth Musgrave, Shalash Found Guilty of Dealing in Stolen Goods, Lexington Herald-Ledger, Aug. 18, 2005, available here.
[2] Id.
[3] Office of the U.S. Attorney, Press Release, Apr. 7, 2005, available here
[4] Id.
[5] Musgrave, supra note 1.
[6] Id.
[7] 18 U.S.C. § 21 states that wherever an element of an offense is that the defendant know that certain property is stolen, that element can be established by proof that the defendant believed that the property was stolen. See also, United States v. Shalash, 2004 U.S. App. LEXIS 16729, **27-**28 (6th Cir. 2004) (in similar case involving Adnan Shalash’s relatives, court stated that 18 U.S.C. § 21 “allows law enforcement officials to conduct sting operations by representing goods as stolen and proving the defendants believed the representation.”)