On Monday, March 31, 2025, Brian Baker, a 53-year-old from Mount Juliet, Tennessee, admitted to charges of wire fraud and money laundering. This follows the guilty pleas of Stephanie Louise Baker, 54, from Mount Juliet, and Jerry W. Hutchins, 50, of Dowelltown, Tennessee, involved in the same scheme to defraud an automobile auction business in Murfreesboro, Tennessee.
"I commend the effort of the prosecutors from our office who are holding these thieves accountable for their crimes," said Robert E. McGuire, Acting United States Attorney for the Middle District of Tennessee. "We will continue to tirelessly seek justice for those affected by economic crimes here in our community."
Donald “Trey” Eakins from the IRS Criminal Investigation reiterated their commitment to pursuing those attempting to conceal the source of their finances. "IRS Criminal Investigation is committed to unraveling intricate financial transactions and money laundering schemes where individuals attempt to conceal the original source of their money," said the Special Agent in Charge of the Charlotte Field Office. "IRS Criminal Investigation, along with our law enforcement partners and the United States Attorney's Office, will vigorously pursue those individuals who willfully try to enrich themselves by fraudulent means.”
FBI's Nashville Field Office highlighted how the scheme employed fake transactions for illegal gains. "These defendants used fake transactions to operate a wire fraud and money laundering scheme to illegally enrich themselves," stated Special Agent in Charge Joseph E. Carrico. "The FBI remains vigilant in the fight against fraud and will bring those who cheat and steal to justice.”
The federal indictment was filed in October 2023. It charged Stephanie and Brian Baker, a married couple, and Hutchins with conspiracy to commit wire fraud and money laundering, as well as specific money laundering acts. The indictment stated that between February 2017 and November 2018, Stephanie Baker managed the Murfreesboro auction for Dealers Auto Auction Group. Brian Baker and Hutchins owned used car dealerships and engaged in business at the auction. The defendants devised a scheme making it appear their businesses sold vehicles at the auction, thereby fraudulently obtaining funds from Dealers Auto Auction Group, LLC. Subsequent fake transactions involving the same vehicles were created to mask the initial fraud. The acquired funds were then used by Brian Baker and Hutchins for personal purposes.
The fraudulent scheme resulted in a total defrauding of over $2 million from Dealers Auto Auction Group.
The defendants are to be sentenced on September 11, 2025. They face up to 20 years in prison for the wire fraud conspiracy, money laundering conspiracy, and concealment money laundering offenses, and up to 10 years for domestic transaction money laundering. Furthermore, a forfeiture allegation seeks to recover property derived from the crimes, including a monetary judgment of at least $2,041,170 from Stephanie Baker, $1,357,310 from Brian Baker, and $683,830 from Jerry Hutchins.
The IRS-Criminal Investigation and the FBI conducted the investigation, while Assistant U.S. Attorneys Chris Suedekum and Nani M. Gilkerson lead the prosecution.
