DES MOINES, Iowa – Two New York men who are Chinese Nationals have pleaded guilty to racketeering conspiracy and money laundering.
As alleged in the Indictment, 19 Defendants were charged with charges involving the theft of used cooking oil, which can be refined into biodiesel fuel and re-sold. Defendants drove trucks to restaurants and stole and attempted to steal used cooking oil from oil collection tanks located at restaurants throughout Iowa, Tennessee, Minnesota, Indiana, Ohio, Alabama, Illinois, Nebraska, Missouri, and Kentucky. Defendants then collected the stolen used cooking oil to warehouses throughout the United States including:
- Nevada and Ankeny, Iowa;
- Lewisburg, Tennessee;
- Dora, Alabama; and
- Tipp City, Ohio;
- Decatur, Illinois
Defendants subsequently sold the stolen used cooking oil, which was transported across state lines, and proceeds were laundered.
On September 9, 2026, Tianzhu Chen, 33, of Flushing, New York, and a Chinese National, pleaded guilty to Racketeering Conspiracy and Money Laundering and Yong Chen, 33, of Brooklyn, New York and a Chinese National, pleaded guilty to Racketeering Conspiracy. Sentencing is set for January 29, 2027. Each offense carries a maximum sentence of 20 years in prison. A federal district court judge will determine any sentence after considering the United States sentencing guidelines and other statutory factors.
Trial for the remainder of the defendants is scheduled to begin on April 12, 2027.
United States Attorney David C. Waterman of the Southern District of Iowa made the announcement. The Central Iowa Gang Task Force of the FBI Des Moines Resident Agency of the Omaha Field Office is investigating this case, with assistance from the: Polk County Sheriff’s Office; Story County Sheriff’s Office; Des Moines Police Department; West Des Moines Police Department; Iowa Department of Public Safety; Iowa Department of Transportation; Tennessee Bureau of Investigations; Gahanna, Ohio Police Department; Cullman, Alabama Police Department; Springfield, Illinois, Police Department; 18th Judicial District Drug Task Force in Tennessee; FBI Dayton Resident Agency of the Cincinnati Field Office; FBI Lexington Resident Agency of the Springfield Field Office; FBI Oklahoma City Field Office; FBI New York City Field Office; FBI Birmingham Field Office; FBI Amarillo Resident Agency of the Dallas Field Office; FBI Language Services; and the Environmental Protection Agency.
