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NJ-Based Jeweler Faces Charges in International Trade Fraud and Unlicensed Money Operations
Multimillion-Dollar Scheme Involving Duty Evasion and Illicit Financial Transactions Uncovered
NEWARK, NJ – Monishkumar Kirankumar Doshi Shah, a dual resident of Mumbai, India, and Jersey City, New Jersey, has been formally charged with leading a complex international trade fraud and operating an unlicensed money transmitting business. Shah, who managed jewelry businesses in New York City's Diamond District, is accused of devising a scheme to bypass customs duties on jewelry imports worth millions of dollars into the United States, alongside illicitly handling vast sums of money through unregistered channels.
Shah's legal proceedings began on February 26, 2024, when he appeared before U.S. Magistrate Judge André M. Espinosa in Newark federal court. Following his arrest, Shah was released on a $100,000 bond, subject to home detention and location monitoring, highlighting the seriousness of the allegations against him.
From January 2015 to September 2023, Shah allegedly orchestrated the evasion of import duties on jewelry from Turkey and India by rerouting shipments through South Korea. In this elaborate scheme, Shah and his accomplices manipulated shipping labels and documentation to falsely represent the jewelry's country of origin, thus sidestepping the approximately 5.5 percent duty that would have applied to direct shipments to the U.S. This operation not only involved the illegal importation of jewelry but also encompassed creating counterfeit invoices and packing lists to conceal the true nature of the transactions.
Additionally, between July 2020 and November 2021, Shah utilized various purported jewelry companies in New York City to execute illegal financial transactions, converting cash into checks or wire transfers for customers, and moving significant amounts of money without proper registration or oversight. These activities not only underscore the breadth of Shah's alleged criminal enterprise but also highlight the sophisticated methods employed to launder proceeds and evade financial regulations.
Facing a maximum of 20 years in prison for the wire fraud conspiracy charge and up to five years for operating an unlicensed money-transmitting business, Shah's case is a stark reminder of the legal consequences of engaging in trade fraud and financial crimes. Each count also carries a potential maximum fine, further emphasizing the gravity of the charges.
The investigation, led by a coalition of federal and local agencies, underscores the commitment of U.S. law enforcement to combat international trade fraud and unlicensed financial operations. U.S. Attorney Philip R. Sellinger's office, spearheading the prosecution, has been instrumental in bringing these charges to light, demonstrating the intricate collaboration required to address such complex criminal endeavors.
While Shah is presumed innocent until proven guilty, this case serves as a critical example of the ongoing efforts to maintain the integrity of international trade and financial systems. The prosecution, led by Assistant U.S. Attorneys Marko Pesce and Olta Bejleri, along with the Department of Justice Trade Fraud Task Force, remains dedicated to ensuring that justice is served in this multifaceted case.
