Investigations

On May 21, 2021, the U.S. District Court for the District of Rhode Island issued an amended sentencing judgement for Michael Chaves, owner of CAT Transportation Inc. The court ordered Chaves to pay $424,598 in restitution to victims and $207,270 to the Internal Revenue Service (IRS) related to a tax evasion count. On March 10, 2021, Chaves was sentenced to 30 months’ incarceration, 3 years’ supervised release, and a $1,000 special assessment. Chaves used the identification of another individual, without that person’s knowledge, to falsify FMCSA registration documents to hide an affiliation with a company under a Federal out-of-service order. Chaves also generated false documents to show compliance with FMCSA rules and regulations.

 

DOT-OIG conducted this investigation with the IRS–Criminal Investigation Division, with FMCSA’s assistance.