New Jersey man admits involvement in $600 million catalytic converter theft operation.
Seized catalytic converters are shown in a 2022 photo provided by the Department of Homeland Security.
Courtesy: Department of Homeland Security
A New Jersey man pleaded guilty in Oklahoma federal court to leading a massive theft ring that stole catalytic converters from vehicles and sold them for more than $600 million in total to a refinery that extracted precious metals contained in the devices.
The defendant, Navin Khanna, is the latest person to plead guilty in connection with the ring, which was exposed after police in Tulsa, Oklahoma, discovered nearly 130 catalytic converters in the bed of a truck they stopped in May 2021, following an off-duty officer’s report of suspicious activity regarding the vehicle. This stop occurred during a nationwide increase in catalytic converter thefts, which are part of automobile exhaust systems and contain precious metals including platinum, palladium, and rhodium.
The Justice Department stated that Khanna, 41, admitted to being the owner and operator of D.G. Auto Parts in New Jersey. From May 2020 through October 2022, “he conspired with others to purchase and transport large quantities of stolen catalytic converters from Oklahoma, Texas, and other states to New Jersey.”
In a plea agreement filed in U.S. District Court in Tulsa, Khanna stated, “After purchasing these catalytic converters, I resold most of them to a metal refinery that would then extract the powdered precious metals.” The refinery has played a significant role in converter recycling in America since 2016.
Khanna pleaded guilty to one count of conspiracy to receive, possess, and dispose of stolen goods in interstate commerce and five counts of money laundering stemming from his involvement in the stolen goods scheme. The Holmdel, New Jersey, resident faces a maximum possible sentence of between 14 years and 17½ years in prison.
An attorney for Khanna did not immediately respond to a request for comment.
Luis Benitez installs one of four new catalytic converters onto a Chevrolet Silverado at Johnny Franklin’s Muffler on July 11, 2022, in San Rafael, California.
Justin Sullivan | Getty Images
As part of his plea agreement, Khanna agreed to surrender almost $4 million in cash and 11 luxury vehicles, including “a Lamborghini, two Mercedes AMGs, two Ferraris, a McLaren, a Porsche, a Ford F650 Truck, and a BMW M3,” as stated by the Justice Department.
Authorities also seized “real estate properties, high-end jewelry, gold bars, and over 200 pallets of catalytic converters … during the execution of search warrants at Khanna’s properties,” according to the DOJ.
“Khanna’s theft ring took advantage of hard-working citizens in the Northern District of Oklahoma by stealing catalytic converters, rendering the vehicles unusable,” Clint Johnson, U.S. attorney for the Northern District of Oklahoma, said in a statement. “I would like to thank the Tulsa Police Department and our law enforcement partners for their tireless efforts in bringing this senseless crime to justice,” Johnson added.
Thirteen other individuals have pleaded guilty to roles in the converter theft scheme and are awaiting sentencing, the Justice Department reported.
