Trio guilty of transport fraud, costing Tracker Marine almost $1 million.
James Keith Ivey and his wife, Melinda Kay Ivey, owned J&M Trucking, Inc., a Missouri-based trucking company. In 2013, the pair were found guilty of multiple charges including fraud, money laundering, wire fraud, and making false statements to federal agents. These convictions came about after it was discovered that the husband and wife team had been stealing from Missouri-based boat manufacturer Tracker Marine Tracker Marine, LLC.
The pair operated a scam that started in 2006 when J&M was hauling boats and trailers to Tracker Marine’s dealers throughout North America. When Paul Ray Hunting was promoted to the position of Transportation Manager within Tracker Marine, the pair teamed up with Hunting, and began their fraudulent operation. J&M began submitting invoices that showed 158 more miles than had, in fact, been driven on the haulage trips. Initially, the per-mile reimbursement rate was $1.90. That meant that for every load carried, J&M was invoicing Tracker Marine for $300 more than it should have been. The extra money was split evenly between James Ivey, Melinda Ivey, and Hunting.
James Ivey was sentenced to five years and six months in federal prison, while Melinda Ivey was sentenced to two years and six months behind bars. The couple were also ordered to pay Tracker Marine $797,325 in restitution. Co-conspirator Paul Hunting was sentenced to one year in prison and ordered to pay $294,496 in restitution.
Financial Loss for Tracker Marine
Financial fraud, James Ivey, Melinda Ivey, Paul Hunting