Federal Theft Charges

Federal Theft Charges

Federal agents arrested you for theft of government property, theft from interstate shipment, theft from banks, or other theft offenses that trigger federal jurisdiction. Most theft is prosecuted under state law, but federal jurisdiction applies when you steal from the federal government, steal property in interstate commerce, steal from banks or federally-insured institutions, or commit theft on federal property like military bases, federal buildings, or Indian reservations. Federal theft of government property under 18 U.S.C. § 641 carries ten years maximum if the property exceeds $1,000, one year if less than $1,000. Theft from interstate shipment under § 659 carries ten years. Bank theft under § 2113 carries up to ten years, thirty years if you used force or intimidation. Theft on federal property falls under § 661 carrying same penalties as § 641.

Thanks for visiting Spodek Law Group – a second-generation law firm managed by Todd Spodek, who has defended federal theft cases for many, many years. We’ve represented defendants charged with stealing government equipment, accused of cargo theft from interstate shipments, charged with theft from military installations. Federal theft jurisdiction requires either that the property belonged to the federal government or that the theft affected federal interests through interstate commerce or occurred on federal property. Understanding what triggers federal rather than state prosecution determines what charges you face and what penalties apply.

Theft of Government Property

Theft of government property under 18 U.S.C. § 641 criminalizes stealing, embezzling, or converting property belonging to the United States. This includes physical property like equipment, vehicles, supplies, or computers, and intangible property like confidential information, government databases, or intellectual property. Federal employees who steal government property, contractors who divert government supplies, or anyone who knowingly receives or possesses stolen government property can be charged. The statute covers theft, embezzlement (misappropriation by those with lawful access), and knowing receipt or possession of stolen government property.

Value determinations affect penalties and sentencing – property worth more than $1,000 carries ten-year maximum and higher guideline ranges. Less than $1,000 triggers one-year maximum and lower guidelines. Prosecutors calculate value as the cost to replace property or its fair market value. Theft from federal programs like Medicare, federal grants, or disaster relief programs violates § 641 when defendants steal from the government rather than defraud private victims. Government contractors who bill for work not performed or supplies not delivered can be charged with theft in addition to fraud charges.

Theft from Interstate Shipment

Theft from interstate shipment under 18 U.S.C. § 659 criminalizes stealing goods moving in interstate commerce – cargo theft from trucks, trains, ships, or aircraft crossing state lines. This includes hijacking cargo, stealing from warehouses holding interstate shipments, or taking goods from common carriers transporting property between states. Ten-year maximum penalty applies regardless of value. The statute targets organized cargo theft rings, truck hijackings, and warehouse thefts affecting interstate commerce.

Interstate nexus is easily established – shipments don’t need to actively be in transit, they just need to be moving in or have recently completed interstate transportation. Goods stolen from warehouses or distribution centers after arriving from out of state qualify. Prosecutors must prove goods were in interstate commerce when stolen and that defendant knew the goods were part of interstate shipment. But the knowledge requirement is minimal – stealing from commercial carriers or distribution facilities provides circumstantial evidence of knowledge.

Bank Theft and Robbery

Bank theft under 18 U.S.C. § 2113(b) criminalizes taking money or property from federally-insured banks, credit unions, or financial institutions. Ten-year maximum for theft without force. Bank robbery under § 2113(a) criminalizes taking by force, violence, or intimidation – twenty-year maximum, life if anyone is kidnapped, life if anyone is killed. Even simple theft from bank accounts, ATM fraud, or insider theft by bank employees triggers federal jurisdiction. The federal government prosecutes bank crimes because federal deposit insurance protects depositors.

Property doesn’t need to belong to the bank itself – stealing from customer accounts, safe deposit boxes, or ATMs qualifies. Using force or intimidation transforms theft into robbery with dramatically higher penalties. Defendants charged with both bank robbery and armed bank robbery (§ 2113(d), which adds 25 years for using dangerous weapons) face potential life sentences. Getaway drivers and accomplices who never enter the bank are liable as principals for bank robbery, not just as accessories.

Theft on Federal Property

Theft on federal property under 18 U.S.C. § 661 applies to theft occurring on military bases, in federal buildings, national parks, or other property under federal jurisdiction. Even stealing property that doesn’t belong to the federal government triggers federal charges if the theft occurred on federal land. Military personnel who steal from barracks, civilians who shoplift from stores on military bases, or people who steal from vehicles in federal parking garages all face federal theft charges. Penalties match § 641: ten years for property exceeding $1,000.

Indian reservations are federal property for criminal jurisdiction purposes, so thefts on reservations are prosecuted federally unless tribes have exercised jurisdiction. National parks, federal office buildings, post offices, and military installations all qualify as federal property triggering federal theft jurisdiction. The location of the theft, not the identity of the victim, determines federal jurisdiction under § 661.

Defenses to Federal Theft Charges

Lack of federal jurisdiction – the property didn’t belong to the federal government, wasn’t on federal property, and wasn’t in interstate commerce, so state courts should prosecute. Claim of right – you believed you had ownership or right to possess the property, negating intent to steal. Lack of knowledge that property was stolen – you received or possessed property without knowing it was stolen from the government or interstate shipment. Authorization – you had permission to take or use the property, your actions were within the scope of your authority.

Insufficient evidence – prosecutors can’t prove you took the property, someone else had access and opportunity, or circumstantial evidence doesn’t reliably establish your guilt. Valuation disputes reduce charges where prosecutors claim property exceeds $1,000 but evidence shows lower value, reducing maximum penalties and guideline ranges. Fourth Amendment violations suppressing evidence from unlawful searches or seizures. Entrapment defenses apply where government agents induced theft you weren’t predisposed to commit.

Sentencing for Federal Theft

Federal theft sentencing follows guidelines based on loss amount – the value of property stolen. Small thefts under $6,500 produce minimal guideline ranges. Thefts exceeding $1.5 million trigger ranges of 5-8 years before criminal history. More than minimal planning adds two levels – applies to virtually all theft cases except spontaneous opportunistic theft. Abuse of position of trust adds two levels for government employees or contractors who exploit their positions to commit theft. Sophisticated means adds two levels for complex schemes or use of technology to facilitate theft.

Restitution is mandatory for victim losses. Asset forfeiture targets stolen property and proceeds from selling stolen property. Courts impose restitution tied to supervised release conditions, making failure to pay grounds for revocation. Multiple theft counts can be grouped for sentencing purposes if they’re part of the same course of conduct, but separate thefts from different victims or different occasions are sentenced separately. Criminal history from prior theft convictions increases sentencing ranges significantly.

Todd Spodek has defended federal theft cases throughout his career. Call 212-300-5196.