A federal judge sentenced Joseph Gandy, man from Vestavia Hills, Alabama, to three years and nine months in prison this week. Gandy was convicted of laundering money by pawning a 3-carat diamond that he falsely reported as being stolen in a robbery, according to the FBI’s press release.
Gandy must also forfeit to the government nearly all the diamonds and jewelry the FBI recovered from him, which includes a rare Blue Diamond worth at least $620,000.
The Blue Diamond was among about $1.5 million worth of diamonds and jewelry Gandy falsely reported stolen in 2004. In 2013, Gandy sent a friend to pawn some of those diamonds he had reported stolen.