U.S. District Court Judge Eric C. Schulte has sentenced three men from South Dakota for their involvement in a counterfeit currency operation, according to United States Attorney Alison J. Ramsdell. The sentences were handed down on January 13, 2025.
Sonny Chao, 36, of Oacoma, South Dakota, received a sentence of seven and a half years in federal prison followed by three years of supervised release. He was also ordered to pay a $200 special assessment to the Federal Crime Victims Fund.
Anthony Martinez, 24, from Chamberlain, South Dakota, was sentenced to one month in federal prison and two years of supervised release. He is required to pay a $200 special assessment as well.
Gino Martinez, 21, also from Chamberlain, was given two years of probation and must pay a $100 special assessment.
All three defendants have been ordered to collectively pay $7,500 in restitution to the victims involved in this case.
The men were indicted by a federal grand jury in June 2024. Chao pleaded guilty on October 16, 2024, to charges including Possession of Electronic Image for Counterfeiting Obligations or Securities and Prohibited Person in Possession of a Firearm. Anthony Martinez admitted guilt on October 17, 2024, for two counts of Passing Counterfeit U.S. Currency. Gino Martinez pleaded guilty on October 15, 2024, to one count of Passing Counterfeit U.S. Currency.
Chao used electronic images on his computer to create counterfeit $100 Federal Reserve Notes that were circulated at businesses throughout central South Dakota between November 28, 2023 and March 17, 2024. He altered genuine $1 notes by removing the ink and printing the image of $100 notes onto them. Anthony and Gino Martinez assisted Chao by distributing the fake currency at various locations.
During a search warrant executed at Chao’s residence, law enforcement found two firearms despite Chao being prohibited from possessing them due to prior felony convictions.
The investigation was conducted by several agencies including the U.S. Secret Service with support from other federal and local law enforcement entities such as the Bureau of Alcohol, Tobacco, Firearms and Explosives; FBI; South Dakota Highway Patrol; among others. Assistant U.S. Attorney Wayne Venhuizen prosecuted the case.
Both Chao and Anthony Martinez have been remanded into custody by the U.S. Marshals Service following their sentencing.