Two brothers from Maryland have been sentenced to federal prison for their involvement in an odometer rollback scheme that defrauded used car buyers. Chief Judge George L. Russell, III, sentenced Kamal Khalid, 44, of Pasadena, Maryland, to 36 months in prison and three years of supervised release. His younger brother and co-conspirator, Fnu Shahrukh, 31, of Severna Park, Maryland, was previously sentenced to 18 months in prison. Both were ordered to pay approximately $1.2 million in restitution.
The sentencing was announced by Kelly O. Hayes, U.S. Attorney for the District of Maryland, along with Jonathan Morrison from the National Highway Traffic Safety Administration (NHTSA).
“Khalid and his brother preyed on unsuspecting people simply looking to buy a reliable used car. But instead, these victims were deceived into purchasing vehicles that were well past their prime, so now the perpetrators must face the consequence of their criminal actions,” Hayes said. “We, along with our law-enforcement partners, are committed to protecting consumers from those who target others to deceive them out of their hard-earned money.”
“Odometer fraud is a serious crime that that not only costs consumers billions of dollars every year, but also makes our roads more dangerous. In this case, the co-conspirators lowered the average vehicle’s mileage by 124,000, resulting in consumers grossly overpaying for used vehicles near or past their expected lifespans,” NHTSA Administrator Jonathan Morrison said. “Buyers were purchasing vehicles without knowing that critical components like brakes, belts, and fluids were long past their service dates. Used car buyers deserve to know the true history of their vehicles before purchase, and we encourage everyone to learn how to identify odometer fraud and protect themselves before signing on the dotted line.”
Court documents show that between 2016 and 2019 both brothers purchased high-mileage vehicles at auto auctions and then altered odometers to display lower mileage readings. They obtained titles reflecting these false readings and sold the cars through auctions or directly to consumers at inflated prices.
Shahrukh pleaded guilty on April 7, 2025; Khalid pleaded guilty on May 28 to conspiracy charges as well as securities fraud.
Authorities estimate that on average each vehicle’s mileage was reduced by about 124,000 miles before being sold under false pretenses.
The U.S. Attorney’s Office commended NHTSA for its investigation as well as support from the Maryland Department of Transportation Motor Vehicle Administration.
Individuals with information about odometer tampering are encouraged to contact NHTSA’s Vehicle Safety Hotline at 888-327-4236 or visit NHTSA’s website for more details about odometer fraud prevention.
Further information about consumer protection enforcement can be found at www.justice.gov/civil/consumer-protection-branch while resources related to reporting fraud in Maryland are available at justice.gov/usao-md and justice.gov/usao-md/community-outreach.
