Birmingham Jeweler Swindles Client Out of $12 Million

BIRMINGHAM, MI – A Birmingham jewelry buyer, auctioneer, and appraiser admitted today to a brazen scheme to steal $12 million from a client, federal authorities announced. Joseph Gregory Dumouchelle, 58, pleaded guilty to one count of wire fraud before U.S. District Judge Mark A. Goldsmith, bringing a measure of accountability to a calculated betrayal of trust.

The con, as laid out in court, centered around a diamond dubbed the “Yellow Rose.” In late 2018, Dumouchelle pitched the stone to a client, identified only as T.R., as a lucrative investment. He claimed the diamond could be purchased for $12,000,000 and quickly flipped for a substantial profit. To appear legitimate, Dumouchelle directed T.R. to wire the funds to what he falsely represented as the seller’s account. It wasn’t. The account belonged to Dumouchelle himself.

Once the $12 million landed in his possession, Dumouchelle didn’t invest it. Instead, he drained the account, using the money to cover his personal and business debts. The scheme was a cold, calculated act of theft disguised as a sophisticated business transaction. U.S. Attorney Matthew Schneider minced no words: “White collar criminals may use sophisticated methods and apparently legitimate businesses, but their crimes amount to nothing more than stealing other people’s money.”

The feds aren’t stopping at this one victim. As part of the plea deal, Dumouchelle admits to having defrauded other individuals through similar schemes. Losses from those victims will be factored into his sentencing and restitution order. Steven M. D’Antuono, Special Agent in Charge of the FBI in Michigan, put it bluntly: “Dumouchelle used the victims’ hard-earned money to help him maintain a lifestyle he could no longer afford.”

This wasn’t a solo operation. The investigation was a joint effort between the FBI’s Detroit Metropolitan Identity Theft and Financial Crimes Task Force and the Birmingham Police Department. Chief Mark Clemence highlighted the importance of inter-agency cooperation, stating the case “is a great example of how local police agencies can work with the FBI…to solve complex criminal enterprises.”

Dumouchelle is set to be sentenced on January 13, 2021. Expect a lengthy prison term and a hefty restitution order. This case serves as a stark reminder that even those who present themselves as experts and operate within seemingly legitimate businesses are capable of profound dishonesty and devastating financial crimes. The investigation was conducted by the FBI’s Detroit Metropolitan Identity Theft and Financial Crimes Task Force and the Birmingham Police Department.