U.S. Army Money Thief: Gambling Con Artist Jailed for $2M Swindle
A notorious local gambling operator from Corpus Christi, Texas, named Nathan Nichols, has been handed a 27-month prison sentence for stealing over $2 million worth of sensitive military equipment belonging to the US Army.
At the age of 46, Nichols owned and operated two popular bars in his hometown, known as Lady Luck and Theoβs Bar. Authorities suspect that these bars hosted illegal gambling machines referred to as the 8-liners. These machines, with their eight pay lines, are technically legal in Texas when they provide non-cash merchandise as rewards. However, it is claimed that Nichols' customers used cash for bets, and received cash winnings, making the machines illegal.
Meanwhile, the US Army was probing the theft of top-tier gear from Fort Hood, approximately 200 miles away from Corpus Christi. On June 17, 2021, they discovered that locks were broken on 17 shipping containers at the base, with 137 items unaccounted for. One of the stolen items, a thermal scope, surfaced for sale on eBay at $4,500, leading the investigators straight to the seller - none other than Nichols himself. Further investigation revealed that Nichols had more items for sale, matching the serial numbers of the stolen equipment.
Hidden Stockpile
As authorities raided Nichol's residence, in addition to the anticipated gambling machines, they uncovered a trove of laser range finders, thermal scopes, night-vision scopes, laser aiming devices, and more than 100 pairs of night-vision goggles.
According to the trial reports, these stolen items were taken from the base by two army veterans, Jessica Elaintrell Smith and Brandon Dominic Brown.
Smith confessed to one count of conspiring to defraud the US government in April 2022 and was sentenced to 18 months in prison, followed by two years of post-release supervision. Smith was also ordered to pay the US Army roughly $1.3 million in restitution.
Brown also pleaded guilty, receiving three years probation and a $1.3 million fine. Despite his culpability being less as he only participated in one shipping container raid, compared to Smith's involvement in two.
Nichols' Confession
Nichols confessed to operating an illegal gambling business and conspiring to steal government property in March 2022. As part of his plea deal, Nichols agreed to forfeit a total of $2,185,218.73 and will be moved to a US Bureau of Prisons facility in the near future.