Smith County Man Guilty in Mail Fraud Conspiracy

TYLER — 42-year-old Muhammad Sarfraz Ashraf of Tyler pleaded guilty Thursday in Tyler federal court to an Information charging him with conspiracy to commit mail fraud. According to information presented in court, from Nov. 2010 to June 2011, Ashraf, who owned and operated an automobile repair and maintenance shop in Tyler, conspired with others to cause the Smith County Tax Assessor-Collector’s Office to mail false certificate of title application packages to the Texas Department of Motor Vehicles.

The conspiracy was devised in order to obtain fraudulent vehicle titles and unlawfully avoid payment of sales taxes. Specifically, Ashraf would omit the sales price on applications and indicate that the specific transfer was a gift. Ashraf also falsified dates so as to make it appear transactions occurred prior to a change in Texas law regarding when transfers were considered gifts for tax purposes. Ashraf faces up to 5 years in federal prison and restitution. A sentencing date has not been set.