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United States Attorney's Office News Release


February 1, 2007 - United States Attorney Patrick L. Meehan today announced the unsealing of a 40-count Indictment* against Mikhail Gokhman, Edvard Khakhan, and Yan Hershman, charging that the defendants conspired to purchase high-mileage used motor vehicles, alter the mileage on the vehicles’ titles, roll back the odometers on the vehicles, and sell the vehicles at a false low-mileage to dealers and consumers. Gokhman and Hershman were arrested yesterday. Khakhan is believed to be in Canada.

“This is a reminder to consumers to beware,” said Meehan. “There are things that buyers can do to protect themselves like checking for loose screws and scratches around the dashboard and test driving the car to make sure the odometer doesn’t stick. Unfortunately, this case demonstrates that we’re not always buying what is advertised.”

All three defendants were charged with conspiracy, and multiple counts of securities fraud, wire fraud, and giving false odometer statements. Yan Hershman is also charged with using a social security number obtained with false information.



AGE [Date of Birth]

Mikhail Gokhman

Richboro, PA


Edvard Khakhan

Toronto, Ontario, Canada

30 years of age

Yan Hershman

Philadelphia, PA

35 years of age

If convicted, defendants Mikhail Gokhman and Edvard Khakhan face maximum possible sentences of 347 years in prison, a $9,000,000 fine (or twice the gross gain or loss), a $3,600 mandatory special assessment, and a five-year period of supervised release. Yan Hershman faces a maximum possible sentence of 367 years in prison, a $10,000,000 fine, a $4,000 mandatory special assessment, and a five-year period of supervised release.

The case was investigated by the National Highway Traffic Safety Administration Office of Odometer Fraud Investigations and the Pennsylvania State Police. It is being handled by Senior Litigation Counsel Linda I. Marks and Trial Attorney Mary Murphy, of the U.S. Department of Justice Office of Consumer Litigation.

Suite 1250, 615 Chestnut Street
Philadelphia, PA 19106

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*An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.

Benjamin Franklin Photo by B. Krist for the Greater Philadelphia Tourism Marketing Corporation