Between January 2010 and February 2012, Vinh "Jimmy" Kha and Felix Kha (Los Angeles businessmen), bought rhino horns valued at as much as 2.5 million USD from suppliers across the United States so they could export them overseas. Both made payments to Vietnamese customs officials to ensure clearance of horns sent to that country and traveled often to Viet Nam, and China, where they had a bank account and made frequent deposits to from their American bank accounts.
Jimmy Kha is a male Vietnamese, approximately 49 years old at the time of his arrest, and father of Felix Kha. Jimmy Kha is also a United States citizen who lived in Garden Grove, California. According to California Secretary of State business records, Vinh Chuong Kha (Jimmy Kha) is listed as the agent for service of process for Win Lee Corporation, doing business as Win Lee Porcelain - which according to its business card is in the import business. His son, Felix Kha, was the boyfriend of Mai Nguyen.
Felix Kha and Jimmy Kha received packages at Win Lee Corporation, which were sent by suppliers of rhinoceros horns located in other states. Additional packages were sent to Joline's Nails which was owned by Mai Nguyen. Surveillance on at least three occasions revealed that packages delivered to Joline's Nails, are transported by Mai Nguyen to the home of the Kha family. Evidence obtained in the investigation indicates that Jimmy Kha and Felix Kha had been involved in purchasing rhinoceros horns from various sources since at least 2008, often dealing with Wade Steffen and his relatives.
On 7 February 2012, Wade Steffen traveled to California. He had sent four packages containing a total of seven rhinoceros horns to Joline's Nails in January 2012. These packages were opened pursuant to federal search warrants authorized in the Central District of California. The relevant authorities found approximately 300,000 USD in 100 USD bills, concealed in various places.
Based on information retrieved during the investigation of this case, the Court established that the defendants had conspired to violate the law of the United States, in violation of 18 U.S.C. § 371, including:
Viet Nam
ChinePart of "Operation Crash" - a nationwide criminal investigation led by the U.S. Fish and Wildlife Service that is addressing all aspects of U.S. involvement in the black market rhino horn trade. The first phase of this probe, which has focused on the unlawful purchase and outbound smuggling of rhino horn from the United States, has resulted in 17 arrests and nine convictions to date.
Charges filed against the defendants include conspiracy, smuggling, money laundering, tax evasion, bribery, and making false documents as well as violations of the Endangered Species Act and Lacey Act (a law that protects wildlife and plants from illegal trafficking). It involved more than 140 law enforcement officers executing search warrants in 13 States.
United Sates District Court, Central District of California.
Jimmy Kha and Felix Kha pleaded guilty to five counts, in September 2012:
conspiracy,
smuggling,
wildlife trafficking in violation of the Lacey Act,
money laundering,
tax evasion.
Sentence for Jimmy Kha. Additional five years of supervised release.
Sentence for Felix Kha. Additional three years of supervised release.
Criminal fees for Jimmy and Felix Kha.
Tax penalty and assessment fees for Jimmy and Felix Kha.
Jimmy Kha was charged with smuggling, wildlife trafficking in violation of the Lacey Act, money laundering and tax evasion.
The Court thus established that he and the other defendants have conspired to violate the law of the United States, in violation of 18 U.S.C. § 371, including:
a. Illegal wildlife trade, in violation of the Lacey Act, 16 U.S.C. §§ 3372(a) (2) (A) and 3373(d) (1) (B); and
b. Illegal wildlife trade, in violation of the Endangered Species Act, 16 U.S.C. §§ 1538(a) (1) (E), 1540(b) (to knowingly deliver, receive, carry, transport, or ship in interstate or foreign commerce, by any means whatsoever and in the course of a commercial activity, any endangered species), and 16 U.S.C. §§ 1538(a) (1) (F), 1540(b) (to offer to sell, or sell, and endangered species in interstate commerce).
Felix Kha faced the same charges as Jimmy Kha and was sentenced on the same counts as Jimmy Kha.
Mai Nguyen faces the same charges as Jimmy Kha.
Trial began on 8 October 2013.
Wade Steffen faced the same charges as Jimmy Kha. He was scheduled to be sentenced on 21 October 2013.
United States District Court, Central District of California
Jimmy Kha’s company, Win Lee Corporation, was also charged with smuggling and wildlife violations and was sentenced to pay USD 100,000 in criminal fines. All fine money will go to the Lacey Act Reward Account in support of wildlife law enforcement efforts.