NJ Man Pleads Guilty in $600 Million Catalytic Converter Theft Ring

A New Jersey man who ran an auto parts business has pleaded guilty to leading a $600 million catalytic converter theft ring that spanned multiple states.

On Tuesday in federal court in Oklahoma, 41-year-old Navin Khanna of Holmdel pleaded guilty to one count of conspiracy to receive, possess, and dispose of stolen goods in interstate commerce and five counts of money laundering.

Criminal Enterprise Operated Out of NJ

Federal authorities say Khanna admitted to being the owner and operator of New Jersey-based D.G. Auto Parts, a criminal enterprise that bought and sold parts across the country.

From May through October 2022, he conspired with others to purchase and transport large numbers of stolen catalytic converters from Oklahoma, Texas, and other states to New Jersey.

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Massive Profits From Precious Metals

Khanna admitted to receiving more than $600 million by reselling those stolen catalytic converters to a metal refinery that extracted the precious metals.

Multi-state Investigation Uncovered the Scheme

The scheme began to unfold in 2020 when police in Tulsa, OK, started investigating catalytic converter thefts. Their work soon uncovered a national criminal enterprise and search warrants were executed in Oklahoma, Texas, California, New Jersey, and New York.

More than 20 people across the country have been charged for their alleged role in this conspiracy. Khanna's 13 co-defendants in the Northern District of Oklahoma have pleaded guilty for their roles in the scheme and are awaiting sentencing.

Millions in Cash, Cars, and Property Seized

As part of his plea agreement, Khanna agreed to forfeit $4 million in cash, 11 luxury vehicles, real estate, high-end jewelry, gold bars, and over 200 pallets of catalytic converters that were seized by law enforcement during the execution of search warrants at his properties.

Khanna's co-defendants have agreed to forfeit more than $3.2 million, including more than $250,000 from multiple bank accounts; two lots of land located in Oklahoma, cars, and stolen catalytic converters seized during the investigation.

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Acting Assistant Attorney General Matthew R. Galeotti of the Justice Department's Criminal Division said in a press release,

The defendant made $600 million and financed his ostentatious lifestyle by buying and selling stolen goods. Today’s guilty plea demonstrates our commitment to taking the profit out of crime. Sophisticated criminal schemes may afford you luxury cars and homes in the short term but will cost you a federal felony conviction in the long term.

The U.S. Attorney's Office for the Northern District of Oklahoma has agreed that Khanna's sentencing will be transferred to the Eastern District of California where he awaits further prosecution for related crimes.

Khanna now faces up to 17 years in prison.