NASHVILLE, Tenn. – Charles Burnett, 34, of Nashville, is headed to federal prison after being sentenced today for orchestrating two separate and brazen fraud schemes. U.S. Attorney Don Cochran for the Middle District of Tennessee announced the 54-month sentence handed down in U.S. District Court, followed by five years of supervised release. Burnett’s greed didn’t stop at one crime; he launched a new scheme even while awaiting sentencing for the first.
The initial indictment, filed in September 2018, charged Burnett with conspiracy to steal government funds and aggravated identity theft. Investigators uncovered a scheme spanning from June 2014 to May 2017, where Burnett directed a network of accomplices to open bank accounts and shell companies – all designed to launder stolen federal income tax refund checks. He even incorporated CB Entertainment and Marketing, LLC, a business created solely to funnel the ill-gotten gains. The total stolen: $636,366.68, though the crew only managed to successfully cash $271,712.04 before being caught.
Burnett pleaded guilty to the tax refund scheme in November 2018, but that didn’t deter him. In March 2019, while free pending sentencing, he began a new con – defrauding local banks. The MO was simple, yet effective: open accounts, deposit money, spend it, then falsely claim fraud to trigger reimbursement. This wasn’t a one-off; Burnett systematically repeated the process, bleeding banks dry. He was arrested in February of this year and charged with bank fraud, pleading guilty in April and remaining in custody until today’s sentencing.
The court didn’t just hand down a prison sentence. Burnett was ordered to pay $271,712.04 in restitution for the stolen tax refund checks and to forfeit $252,346.44. Additionally, he must pay $21,086.46 in restitution and forfeit the same amount for the bank fraud. It’s a steep price for a double-dip into criminal activity, and a clear message that such schemes won’t be tolerated.
The investigation was a collaborative effort between the Treasury Inspector General for Tax Administration (TIGTA), the United States Secret Service, and the FBI. Assistant U.S. Attorney Robert S. Levine led the prosecution, building a solid case that ultimately landed Burnett behind bars. Sources inside the investigation say Burnett’s brazenness – starting a new fraud while awaiting sentencing for the first – significantly impacted the judge’s decision.
Burnett’s case serves as a stark reminder that even seemingly complex financial crimes will be pursued by federal authorities. The combined investigation and prosecution demonstrate a commitment to holding individuals accountable for exploiting the financial system and stealing from both the government and private institutions. The Grimy Times will continue to follow this case and report on any further developments.
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Key Facts
- State: Tennessee
- Agency: DOJ USAO
- Category: White Collar Crime
- Source: Official Source ↗
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