A federal grand jury in Miami has indicted Jasen Butler, the owner of Independent Marine Oil Services LLC, on multiple charges including wire fraud, money laundering, and forgery. The indictment alleges that Butler orchestrated a scheme to defraud the U.S. Department of Defense and other federal agencies by submitting altered and fake invoices through the SEA Card Program, which allows U.S. vessels to purchase fuel at international ports.

Between August 2022 and January 2024, Butler reportedly submitted numerous falsified documents to U.S. Navy ships, including the USS Patriot, demanding payments for expenses that he had not incurred. The fraudulent activities took place while these ships were attempting to procure fuel in various international locations such as Saudi Arabia, Singapore, and Croatia.

To conceal his identity, Butler allegedly used a false name and pretended to be employed by a fictitious fuel division of another company. The indictment claims that he used the proceeds from the fraud to enrich himself, purchasing multiple properties in Florida and Colorado.

Assistant Attorney General Abigail A. Slater emphasized the commitment of the Antitrust Division and its Procurement Collusion Strike Force to pursue those who defraud the military and taxpayers. U.S. Attorney Hayden P. O’Byrne reiterated the importance of prosecuting individuals who seek to profit at the expense of military readiness.

Investigators from the Coast Guard Investigative Service, Defense Criminal Investigative Service, and Naval Criminal Investigative Service are involved in the case. If convicted, Butler faces severe penalties, including up to 20 years in prison for each count of wire fraud.