USPS OIG News Release – July 1, 2020
LOS ANGELES – A former employee of the United States Postal Service was sentenced today to 100 months in federal prison for accepting bribes from business customers in exchange for falsely approving unpaid or underpaid bulk mail shipments, causing more than $11.7 million in total losses to his employer.
Juan Enrique Caudillo, 60, of Lakewood, was sentenced by United States District Judge R. Gary Klausner. Judge Klausner also ordered Caudillo, who has been in federal custody since December 2018, to pay $11,745,608 in restitution to the U.S. Postal Service. Caudillo pleaded guilty in March 2019 to one count of conspiracy to commit mail fraud.
Caudillo, who retired from the U.S. Postal Service last year, also agreed to surrender his pension as restitution, as well as the full balance – approximately $140,000 – of his Thrift Savings Plan, a 401(k)- type account available to federal employees.
“The public must have confidence that Postal Service employees will conduct their work in an honest manner,” said Special Agent in Charge Brian Washington, U.S. Postal Service Office of Inspector General. “When employees commit serious offenses, such as taking bribes to overlook large amounts of potential Postal Service revenue, they will be aggressively investigated and prosecuted.”
“Today’s sentencing is a victory for law enforcement in the ongoing battle against people who commit crimes through our nation’s mail system,” said Patricia Armstrong, Inspector in Charge of the Los Angeles Division of the U.S. Postal Inspection Service. “Corrupt employees, like Juan Caudillo, are especially troubling because their actions undermine trust in great public institutions.”
These matters were investigated jointly by the U.S. Postal Service Office of Inspector General and the U.S. Postal Inspection Service.
This case was prosecuted by Assistant United States Attorney Andrew G. Brown of the Major Frauds Section.
Source: USPS Office of Inspector General