Salt Lake City

Utah Gun Shop Owner Gets Prison For Skimming $600K From Ukraine Aid

AI Assisted Icon
Published on February 05, 2026
Utah Gun Shop Owner Gets Prison For Skimming $600K From Ukraine AidSource: Google Street View

A Utah man who turned a gun-and-ammo hustle into a fake Ukraine aid pipeline is headed to federal prison. John Earl Donaldson, 32, of Saratoga Springs, was sentenced Wednesday to two years behind bars after prosecutors said he pocketed nearly $600,000 that was supposed to buy body armor and other life‑saving gear for Ukraine. The court also ordered him to pay $591,932.73 in restitution and to serve three years of supervised release after his prison term.

Donaldson pleaded guilty on May 19, 2025, to conspiracy to commit wire fraud and conspiracy to launder money, according to KSL.

Prosecutors' Account of the Scheme

Federal prosecutors say Donaldson owned and operated Urban Armz LLC from December 2021 through January 2023, marketing it as a serious player in the firearms supply world, despite being anything but. In a press release, the U.S. Attorney’s Office, District of Utah, said Donaldson falsely claimed an established relationship with a major ammunition supplier and then backed up that story with cooked paperwork.

Court documents say he altered bank statements, inflated company revenues, and took customer payments for large inventory orders that never materialized. Working with a coconspirator, he allegedly ran up a loss of $591,932.73 to four victims, according to the U.S. Attorney’s Office.

Equipment Meant for Ukraine Never Arrived

The numbers behind those losses tell the story. A Detroit‑based company wired $300,000 for body armor. A Ukrainian‑American nonprofit paid about $217,099 for night‑vision goggles, thermal optics, and other equipment. Prosecutors say Donaldson never delivered any of it, as reported by KUTV.

Victims told investigators they were scrambling to outfit first responders and humanitarian partners in Ukraine in the chaotic months after Russia’s 2022 invasion. Instead, prosecutors say, the money was diverted to personal spending.

Investigators also found that the Urban Armz website claimed an office in St. George and listed high‑profile clients that did not actually exist, according to the U.S. Attorney’s Office. On paper, it looked like a well‑connected tactical supplier. In reality, it was a short‑lived shell that never delivered the life‑saving gear it advertised.

Sentence and Reaction

Donaldson’s sentence of two years in prison, three years of supervised release, and an order to repay $591,932.73 was handed down Wednesday, according to KUTV. The U.S. Attorney’s Office handled the prosecution.

Salt Lake City FBI Special Agent in Charge Robert Bohls did not mince words about the conduct behind the sentence. He called the actions "more than just financial fraud; they were a heartless exploitation of a global crisis," KUTV reported.

Legal Notes

Donaldson pleaded guilty on May 19, 2025, to conspiracy to commit wire fraud and conspiracy to launder money, per KSL. The case was investigated by the FBI Salt Lake City Field Office and prosecuted by the U.S. Attorney’s Office for the District of Utah.

His co‑defendant and wife, Carlie Elizabeth Winters, also pleaded guilty in the case last year, according to KSL. The sentence closes the federal criminal case against Donaldson, while civil efforts to recover funds and questions from donors and nonprofit partners may continue.