Leader of $600M Catalytic Converter Theft Ring Pleads Guilty After Buying $38M in Stolen Parts From Sacramento Network

Was connected to Tou Vang who has already been sentenced to 12 years in prison

Leader of $600M Catalytic Converter Theft Ring Pleads Guilty After Buying $38M in Stolen Parts From Sacramento Network
Photo by engin akyurt / Unsplash

The leader of a nationwide catalytic converter theft network pleaded guilty Friday to federal charges tied to a sprawling criminal operation that purchased more than $38 million in stolen vehicle parts from the Sacramento region, federal prosecutors said.

Navin Khanna, 42, of Holmdel, New Jersey, admitted in federal court to conspiracy to transport stolen property across state lines, conspiracy to commit promotional money laundering and interstate transportation of stolen property, according to the U.S. Attorney’s Office for the Eastern District of California.

Prosecutors say Khanna and a network of family members and associates operated a business known as DG Auto that purchased stolen catalytic converters from across the United States between October 2019 and March 2024. Authorities estimate the operation purchased more than $600 million worth of catalytic converters during that period.

Federal investigators said the group obtained large quantities of stolen converters from suppliers nationwide, including a Sacramento-area operation run by Tou Vang and his family through a business known as Vang Auto.

According to court documents, Khanna purchased more than $38 million worth of catalytic converters stolen from the Sacramento region from the Vang operation.

Authorities said shipments from Sacramento often arrived on pallets weighing more than 1,000 pounds and containing large numbers of identical high-value catalytic converters. Some shipments consisted entirely of converters taken from popular vehicles such as the Toyota Prius, a model frequently targeted by thieves because of the valuable metals inside the emissions devices.

Catalytic converter theft has surged nationwide in recent years due to the high value of precious metals contained in the devices, including platinum, palladium and rhodium. The parts can be removed quickly from vehicles and sold on the black market with few identifying markings, making them difficult for law enforcement to trace.

Federal prosecutors said some stolen converters from California vehicles could sell for more than $1,200 each on the black market.

The scale of Khanna’s operation illustrated the organized nature of catalytic converter theft rings that have plagued communities across the country, including many cities in California where thefts surged during the early 2020s.

Authorities said Khanna’s business processed converters acquired from thieves and intermediaries and then sold the valuable metals extracted from the devices.

Investigators say the Sacramento-area supplier, Tou Vang, previously was sentenced to 12 years in prison for transporting thousands of stolen catalytic converters across state lines, laundering money and related crimes connected to the operation.

The case involved a multi-agency investigation led by the FBI and IRS Criminal Investigation. Local law enforcement agencies assisting in the probe included the Sacramento County Sheriff’s Office, Sacramento Police Department, Davis Police Department, Auburn Police Department, Livermore Police Department and the San Bernardino County Sheriff’s Department.

Khanna’s sentencing date has not yet been announced. He will be sentenced by U.S. District Judge Dena Coggins in federal court in Sacramento.

Federal prosecutors said the investigation dismantled a nationwide network responsible for purchasing and trafficking massive quantities of stolen catalytic converters across state lines.