In a federal crackdown on customs fraud, Mohamed Daoud Ghacham, a Paramount-based clothing wholesaler, has been sentenced to four years behind bars. The 40-year-old executive from Bell, who ran the operation under the "Platini" brand, orchestrated a scheme to dodge duties by misdeclaring the value of imported garments from China. According to a statement released by the Department of Justice, Ghacham also faces a restitution bill of a hefty $6.39 million.
Sentenced today by U.S. District Judge Maame Ewusi-Mensah Frimpong, Ghacham’s scheme involved the creation of fraudulent invoices which significantly understated the value of the clothing shipments. This deceptive practice enabled the company to pay less in tariffs than it rightfully owed. In December of last year, Ghacham pleaded guilty to one count of conspiracy to pass false and fraudulent papers through a customhouse.
The fraudulent operations of Ghacham Inc., spanned nearly a decade from July 2011 to February 2021, during which the company undervalued imports by over $32 million. This resulted, according to court documents, in an avoidance of roughly $6.39 million in customs duties. While directing Chinese suppliers to draft two invoices – a truthful one for the books and a doctored one for customs – Ghacham's tactics carved out illegal profits at the expense of the U.S. Treasury.
Adding to the company's legal woes, Ghacham Inc. pleaded guilty in December 2022 to additional charges, including engaging in dealings with a known narcotics trafficker designated under the Foreign Narcotics Kingpin Designation Act. While Mohamed Ghacham avoided charges connected to the Kingpin Act violation, his company was not as fortunate, being fined $4 million and placed on a five-year probation, as reported by the Department of Justice.
This case emerged as part of an extensive crackdown by the Organized Crime Drug Enforcement Task Forces (OCDETF), aiming to dismantle the major criminal organizations threatening the United States. Various agencies collaborated in the investigation and prosecution, including Homeland Security Investigations, Customs and Border Protection, the Department of Commerce Office of Export Enforcement, the Treasury Department's Office of Foreign Assets Control, and IRS Criminal Investigation, as stated by Assistant U.S. Attorney Alexander B. Schwab.
