Five charged in $1 million U.S. Treasury check scheme

HOUSTON – A 33-count indictment has now been unsealed charging five Houston-area residents for their alleged roles in a scheme to obtain proceeds from a counterfeit $1,052,615.97 U.S. Treasury tax refund check.

Torik M. Blade, 39, Missouri City; Kendra L. Folkes, 37, Katy; Rickelle D. Taylor, 38, Spring; Raven N. Morris, 34, Houston; and Stephen G. James, 42, Houston, have now made their initial appearances before U.S. Magistrate Judge Yvonne Ho.

A federal grand jury returned the indictment July 22, charging all five with various counts of passing a counterfeit Treasury check, bank fraud, conspiracy, and money laundering.

According to the indictment, Blade allowed an unidentified individual to deposit the counterfeit Treasury tax refund into his business account. Blade and the others allegedly sought to obtain the proceeds by cashing cashier’s checks purchased with the fraudulently obtained funds, transferring money between financial institutions, and making cash withdrawals.

If convicted, Blade faces up to 20 years in federal prison as well as a possible $250,000 maximum fine for passing the counterfeit check and another 30 years and a $1 million fine on each bank fraud count. He could also be ordered to serve up to 20 years in federal prison and $500,000 in fines on the conspiracy and money laundering counts. Folkes, Taylor, Morris, and James face similar maximum penalties if convicted. 

Treasury Inspector General for Tax Administration, IRS Criminal Investigation and Secret Service conducted the investigation. Assistant U.S. Attorney John R. Lewis is prosecuting the case.

An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.