Three Tennesseans, including Brian and Stephanie Baker, along with Jerry W. Hutchins, pled guilty to a wire fraud and money laundering scheme that defrauded a Murfreesboro auto auction out of over $2 million.
They created fake vehicle transactions between 2017 and 2018, using false sales to siphon funds. Stephanie Baker, a former general manager at the auction, approved fraudulent checks to dealerships owned by her husband and Hutchins.
They face up to 20 years in prison and possible forfeitures exceeding $4 million for laundering. The sentencing is set for September 2025.
“I commend the effort of the prosecutors from our office who are holding these thieves accountable for their crimes,” said Robert E. McGuire, Acting United States Attorney for the Middle District of Tennessee. “We will continue to tirelessly seek justice for those affected by economic crimes here in our community.”
Money laundering in Tennessee involves the process of disguising the origins of illicitly obtained funds to make them appear legitimate. The state’s legal framework to combat this crime is outlined in Title 39, Chapter 14, Part 9 of the Tennessee Code, which defines money laundering offenses and prescribes corresponding penalties.
Under Tennessee law, money laundering encompasses financial transactions intended to conceal or promote illegal activities. Specifically, Tennessee Code § 39-14-903 outlines the criminal penalties associated with such offenses.
Convictions can result in severe consequences, including substantial fines and lengthy imprisonment. The severity of the penalty typically depends on factors such as the amount of money laundered, the duration of the activity, and the individual’s role in the operation.
