Tucson Airman and his Spouse Indicted for Defrauding the Department of War of Millions

TUCSON, Ariz. –A federal grand jury has returned an indictment, charging a Tucson couple with a years long scheme to defraud the U.S. Department of War of millions of dollars, while using the illicit proceeds to curate and maintain a luxurious lifestyle, announced U.S. Attorney Timothy Courchaine.

On Feb. 11, 2026, a federal grand jury in Tucson returned a 12-count indictment against U.S. Air Force Staff Sgt. Richard Stefon Ramroop, 35, and his spouse, Manuel George Madrid, 32, both of Tucson, for Conspiracy to Commit Theft of Government Property, Conspiracy to Commit Wire Fraud, Wire Fraud, and Money Laundering. 

“The defendants allegedly stole millions in taxpayer dollars from the U.S. Department of War to bankroll a lavish lifestyle, diverting critical resources away from their intended purpose,” said U.S. Attorney Timothy Courchaine. “Every dollar taken through fraud is a dollar denied to the mission it was meant to support. The U.S. Attorney’s Office and our federal and local law enforcement partners will hold accountable any individual who profits illegally at the expense of the American people.”

“Military servicemembers hold a unique position in our society, where they are entrusted with large amounts of taxpayer dollars to ensure the defense of our nation,” said IRS-CI Phoenix Field Office Acting Special Agent in Charge Jarom Gregory. “When a servicemember abuses their position for personal gain, it erodes trust in the tax system and harms the very citizens they have sworn an oath to protect. IRS Criminal Investigation will continue to investigate allegations of theft of taxpayer funds and government property, ensuring the integrity of our nation’s tax system.”

“This indictment reflects the outcome of a coordinated effort between AFOSI and our federal counterparts,” said Special Agent Richard Kautz, AFOSI Detachment 217 Commander. “Fraud of this level is not just a financial crime, it undermines public trust, diverts resources, and threatens the integrity of our force. Every dollar lost to fraud is a dollar taken away from the security of our nation.”

The indictment alleges that from January 2022 through on or about December 2025, Staff Sgt. Ramroop utilized his position in the pharmacy at Davis-Monthan Air Force Base to defraud the U.S. government by purchasing thousands of medical devices using taxpayer funds, and thereafter, stealing and reselling those devices with Madrid for their own personal gain.

According to court records from 2022 through 2025, bank accounts controlled by Ramroop and Madrid received over $11 million in fraud proceeds through wire transfers, Automated Clearing House (ACH) deposits, and other credits from companies engaged in the resale of medical test strips and devices. Meanwhile, the orders of these diverted medical devices cost the U.S. Department of War over $3 million.

The indictment also alleges that Ramroop and Madrid used the fraud proceeds to purchase luxury vehicles and real estate. Further, these purchases were allegedly made directly from the personal bank accounts of Ramroop and Madrid, the same bank accounts that had received fraud proceeds from the medical device sales.

For example, the proceeds were allegedly used to purchase, among other items, a million-dollar home in Tucson in February 2024, a new 2024 Porsche Cayenne Sport Utility Vehicle for $141,443.34 and a new BMW i7 Sport Utility Vehicle for $195,397.59.

According to the indictment, the vehicles, and others, were seized by law enforcement during the execution of a search warrant on Jan. 15, 2026.   

A conviction for Conspiracy to Commit Theft of Government Property carries a maximum penalty of up to 5 years imprisonment. Each conviction for Conspiracy to Commit Wire Fraud and Wire Fraud carries a maximum penalty of up to 20 years imprisonment. Each conviction for Money Laundering carries a maximum penalty of up to 10 years imprisonment.

U.S. Attorney Courchaine commended the investigatory efforts of IRS–Criminal Investigations (IRS-CI), the Air Force Office of Special Investigations (AFOSI) and members of the Homeland Security Task Force (HSTF) to include Homeland Security Investigations (HSI), the FBI, the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the U.S. Marshals Service (USMS), the Counter Narcotics Alliance (CAN), and the Marana, Mesa, and Tucson Police Departments.

The U.S. Attorney’s Office for the District of Arizona, Tucson, is handling the prosecution.

An indictment is a formal accusation of criminal conduct. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.