EBAY eBay Inc

By Aruna Viswanatha 

Six soldiers stationed at the U.S. Army's Fort Campbell have been charged with stealing more than $1 million in military equipment that was later shipped around the world to bidders on eBay, according to an indictment unsealed on Thursday.

The soldiers stole equipment that isn't otherwise available for general sale, including sniper telescopes, machine gun parts and grenade launcher sights from the Army installation along the Kentucky-Tennessee border, the indictment alleged.

The soldiers sold the equipment to two civilians in the area, prosecutors said, with the civilians holding the goods in a warehouse and storage unit in Clarksville, Tenn. The civilians then sold weapons components, body armor, and communications equipment via online marketplace eBay to customers in Russia, China and other countries, the indictment said.

The cases are being tried in federal district court. The indictment charges each defendant with conspiring to steal or receive U.S. Army property and to sell or convey U.S. Army property without authority. The defendants each face up to five years in prison and a fine of up to $250,000, if convicted.

The military defendants listed on the indictment are Michael Barlow, Jonathan Wolford, Kyle Heade, Alexander Hollibaugh, Dustin Nelson and Aaron Warner.

The two civilians allegedly involved -- John Roberts and Cory Wilson, both of Clarksville -- face those and additional charges for multiple counts of wire fraud and violating the Arms Export Control Act. Mr. Wilson faces a further charge of money laundering.

Five of the defendants are in custody, and the others are expected to surrender shortly, a spokesman for the U.S. attorney's office said.

A spokesman at Fort Campbell declined to comment, and neither the defendants or their attorneys could be reached.

Meanwhile, eBay said it cooperated with the authorities on the case. "eBay worked collaboratively with law enforcement agencies, providing them with the information necessary to support their case," the company said. "eBay has clear policies on what can and can't be listed across various categories, and we have dedicated teams that proactively and reactively remove listings that are not permitted to be sold on our marketplace."

David Rivera, U.S. attorney for the Middle District of Tennessee, said: "The actions of the soldiers charged today should in no way stain the honor of the brave men and women who proudly serve in our country's armed forces."

Write to Aruna Viswanatha at Aruna.Viswanatha@wsj.com

(END) Dow Jones Newswires

October 06, 2016 19:14 ET (23:14 GMT)

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