Federal authorities have launched a sweeping civil forfeiture case tied to an ongoing investigation of what they allege is a massive $126 million illegal staffing and money laundering scheme operating in and around Dayton. The complaint, filed earlier this month by the US Attorney’s Office for the Southern District of Ohio and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), alleges widespread abuse involving undocumented labor, money laundering, and fraudulent shell companies.
In July 2024, Homeland Security Investigations agents, in collaboration with the IRS Criminal Investigations division and other law enforcement agencies, executed federal search warrants at Fuyao Glass America (FGA) in Moraine, Ohio, as well as 27 other locations across the Dayton area. The legal action filed today draws on the evidence gathered during the coordinated raids.
According to the complaint, different individuals established approximately 40 companies—referred to as the “target entities”—to facilitate the harboring, transportation, and employment of illegal aliens at numerous Ohio factories. We have designated FGA as a critical location among these factories. These companies are suspected of hiring people who entered the country illegally, do not have legal status, or work without sufficient employment permission.
According to the civil action, many laborers were smuggled into the nation, primarily through Mexico, and then enticed to live in the Dayton region to work for one of the target organizations. The majority of the laborers are of Chinese or Hispanic origin. The complaint alleges that the target corporations kept the workers in boarding-style facilities known as “family-style hotels” once they arrived in Ohio. These laborers were then ferried to and from factory job sites via vehicles operated by the same group of enterprises.
“We will continue to investigate allegations of unfair labor practices,” said Jared Murphey, acting Special Agent in Charge of ICE HSI Detroit. “Collaboration across multiple law enforcement agencies helps to ensure accountability for both employers and the workforce.”
The 74-page civil suit further claims that the accused engaged in a sophisticated money laundering scheme to conceal the massive profits from these businesses. Within days of receiving direct payments from FGA, the suspects allegedly moved substantial quantities of money between their different limited liability companies (LLCs), concealing the origin and purpose of the monies. The United States government believes Fuyao Glass America paid the entities more than $126 million over time.
These monies were allegedly used to enrich the suspects individually and purchase a variety of high-value assets, including real estate, vehicles, and luxury goods. The civil forfeiture action explicitly targets seven bank accounts, 12 houses in the Dayton region, two residences outside Ohio, 15 automobiles, and various expensive items, including a Cartier watch.
While no criminal charges have been brought yet, police acknowledged that the criminal investigation is still ongoing. The names of the individuals and companies implicated have yet to be published by authorities.
This case is one of the most extensive unlawful staffing and laundering investigations ever conducted in the region, with law enforcement authorities collaborating to destroy what they characterize as a complicated network that exploits both vulnerable workers and the system.
