United States v. Petlechkov

FedEx provides shipping discounts to high-volume customers. To obtain such a discount, Petlechkov lied to FedEx and claimed he was a vendor for a high-volume shipper. He used those discounted rates to offer shipping services to third parties, pocketing the profit margin between what he charged the third parties and what he paid FedEx. He shipped nearly 30,000 packages before FedEx caught him. Convicted, in the Western District of Tennessee, of 20 counts of mail fraud, 18 U.S.C. 1341, Petlechkov was sentenced to 37 months in prison and ordered to pay approximately $800,000 in restitution. The Third Circuit affirmed as to some counts, rejecting a challenge to the sufficiency of the evidence and a claim that FedEx violated the Sarbanes-Oxley Act by extending him a discount. The court dismissed other counts without prejudice. Petlechkov did not waive or forfeit his venue objection; the government must prove proper venue for each count by a preponderance of the evidence. There was no evidence, direct or circumstantial, that any specific package implicated in these counts ever moved through the Western District of Tennessee. View "United States v. Petlechkov" on Justia Law