by Corona, California — A Southern California customs broker who prosecutors say defrauded clients out of more than $5 million and evaded millions in federal taxes has been sentenced to federal prison, marking the end of a long-running financial scheme that spanned more than a decade.
Federal officials announced that Frank Seung Noah, 64, of Corona, was sentenced on December 18 to 51 months in federal prison and ordered to pay $7,579,141 in restitution following his guilty plea to wire fraud and tax evasion charges.
Long-running scheme tied to import brokerage business
Noah owned and operated Comis International Inc., a Cerritos-based logistics and supply-chain company that provided customs import brokerage services to businesses shipping goods into the United States.
As a licensed customs broker, Noah was responsible for ensuring that clients’ import duties and related fees were accurately calculated, paid, and reported to U.S. Customs and Border Protection (CBP). Prosecutors say he instead used his position to carry out a prolonged fraud scheme.
Major client defrauded through falsified documents
From 2007 to 2019, Comis International served as the customs import broker for Daiso, a Japan-based discount retailer with stores across the United States.
According to court documents, Noah submitted false customs duty forms and invoices to Daiso in order to obtain reimbursement for import fees. The documents he provided to Daiso did not match the official forms submitted to CBP.
Using this method, prosecutors said Daiso overpaid nearly $3.4 million in customs duties that Noah unlawfully collected.
Noah was indicted in 2022 for defrauding Daiso, but authorities say the criminal activity did not stop there.
Fraud continued even after indictment
After being charged, Noah allegedly continued to scam two additional client companies, this time using a different method.
Prosecutors said he collected money from the companies to cover their customs duties but never paid the fees to CBP. When CBP later notified the companies that their import taxes remained unpaid, they contacted Noah for clarification.
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In response, Noah allegedly sent the companies fabricated bank statements designed to make it appear that the duties had been paid.
Through this second scheme, prosecutors said Noah fraudulently obtained more than $2 million from additional clients.
Tax evasion added millions in losses to IRS
In addition to client fraud, investigators found that Noah evaded federal taxes for years, resulting in a loss to the Internal Revenue Service of approximately $2.4 million, with penalties and interest continuing to grow.
Court filings state that Noah acknowledged owing more than $1 million in federal taxes as early as 2014, but then actively took steps to avoid paying the debt.
Those actions allegedly included:
- Purchasing two homes in a former girlfriend’s name
- Using check-cashing businesses to avoid IRS bank levies
- Lying to IRS collection agents
- Spending large sums on country club memberships, travel, and golf-related purchases
Prosecutors said these actions showed a deliberate effort to conceal assets while continuing a high-end lifestyle.
Guilty plea and sentencing details
On February 7, Noah pleaded guilty to:
- One count of tax evasion
- Two counts of wire fraud
At sentencing on December 18, a federal judge imposed:
- 51 months in federal prison
- $7,579,141 in restitution to victims and the government
The restitution amount reflects losses suffered by Noah’s clients and unpaid tax obligations.
Multi-agency investigation
The case was investigated by IRS Criminal Investigation and Homeland Security Investigations, with assistance from U.S. Customs and Border Protection.
Federal prosecutors said the investigation highlights how customs fraud can undermine both businesses and government revenue, particularly when trusted intermediaries abuse their roles.
The case was prosecuted by Assistant U.S. Attorneys Nandor F.R. Kiss and Robert J. Keenan of the Orange County Office.
Warning to businesses and brokers
Federal officials stressed that customs brokers hold positions of significant trust and responsibility, especially when handling international trade transactions involving large sums of money.
Authorities say businesses should regularly audit import documentation and verify that duties and taxes are being properly paid to government agencies.
The sentencing sends a clear message that financial fraud and tax evasion tied to international trade will be aggressively prosecuted, even when schemes span many years.
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