Suspected ‘money mule’ sentenced in federal court
A Kalispell woman who pleaded guilty in federal court in September to charges stemming from an alleged overseas money laundering scheme received a more than four year prison sentence Tuesday.
Along with a 57-month stint behind bars, 58-year-old Theresa Anne Chabot was ordered to pay a little more than $2 million in restitution. She also forfeited a 2021 Chevrolet Tahoe, officials said in a press release.
Federal prosecutors accused Chabot of funneling money collected from various wire fraud schemes overseas through her business, Avalanche Creek, LLC. In exchange, she received a roughly 10 percent cut, according to court documents.
Officials said that Chabot’s operation ran from around May 2017 until February 2021.
“Chabot exploited and harmed numerous trusting victims and now rightfully faces the consequences of her criminal conduct,” said U.S. Attorney Jesse Laslovich in a statement. “As this case shows, our office will continue to aggressively investigate and prosecute those who criminally exploit others.”
Authorities estimate the fraud loss at about $5.4 million. According to court documents, the money came from schemes that targeted the elderly and lovelorn as well as those looking to invest in natural resources, among others. Investigators with the Secret Service allegedly warned Chabot she was acting as a “money mule” in 2019.
“Money mules support criminal enterprises by adding a layer between those criminals and their victims, making it more difficult to trace and recover the funds,” said Acting Special Agent in Charge Cheyvorea Gibson of the Salt Lake City FBI in a statement. “Acting as a money mule, whether you know it or not, is illegal.”
While running the operation, Chabot allegedly opened more than 50 bank accounts to deposit the funds before transferring them out of the country. Chabot continued to open new accounts even as bank officials closed down others over concerns about fraud and misuse, officials said.
Chabot was initially indicted on 30 charges, including 17 counts of money laundering, 11 counts of money laundering spending, conspiracy to commit money laundering and unlicensed money transmitting business. She pleaded guilty to the final charge Sept. 7 and saw the remaining 29 charges dismissed in return.
After U.S. District Judge Dana Christensen handed down the sentence Feb. 21, Chabot was ordered into custody. She must serve three years of supervised release following her stint behind bars, Laslovich said.
Authorities with the FBI and IRS investigated the case. Officials with the federal agencies celebrated the sentence.
“Money mules like Chabot are the lifeblood of these fraudsters, enriching themselves and harming countless victims in the process,” said Andy Tsui, special agent in charge, IRS Criminal Investigation, Denver Field Office, in a statement. “Today’s sentencing is a victory for all taxpayers and an example of the commitment we share with the FBI and other law enforcement partners to cut off the flow of money to criminals who think they are beyond our reach.”
News Editor Derrick Perkins can be reached at 758-4430 or dperkins@dailyinterlake.com.