A Florida fuel supplier has been convicted in a multi-million dollar scheme aimed at defrauding the Department of War.
A news release from the Department of Justice on Friday said a federal jury convicted Jason Butler, 37, of Jupiter, Florida, on 34 felony counts related to a massive scheme to defraud the U.S. military of more than $4.5 million.
The verdict, delivered in West Palm Beach, marks the end of a multi-year investigation into a sophisticated operation that targeted critical fuel supplies for the U.S. Navy and Coast Guard.
Following the jury’s decision, the U.S. District Judge Donald Middlebrooks immediately ordered Butler into federal custody at the request of the government. Butler’s felony charges included wire fraud, money laundering, and forgery.
Attorney General Pam Bondi scorned Butler following the verdict and said the scheme that took resources from American troops was to “line his own pockets.”
“This defendant brazenly defrauded the U.S. Military out of millions of dollars and put critical fuel resources at risk, all to fund his cushy and fictitious lifestyle,” Bondi said. “He deprived the United States Armed Forces of the resources they need to help keep our country safe.”
Butler, the owner of Independent Marine Oil Services LLC, exploited the Swipe Ships’ Bunkers Easy Acquisition Card program, a vital logistical system that allows U.S. vessels to purchase fuel at international ports.
The fraudulent activity took place from August 2022 to January 2024. During this time, Butler received millions of dollars in payments for fuel expenses that he had never actually incurred.
Prosecutors noted that even after Navy officials began to scrutinize his activities, Butler attempted to conceal his identity by using a fake name and feigning employment with a fictitious fuel division of a separate company.
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The DOJ said in the release that Butler used the fruits of his crimes to fund a lavish lifestyle, purchasing multi-million dollar properties in Florida and Colorado.
Sentencing for Butler is scheduled for April 8. He faces significant prison time, including a maximum of 20 years for each count of wire fraud and up to 10 years for each count of forgery and money laundering.