EVERETT, Wash. -- An Everett man was accused of stealing thousands and manufacturing fake driver's licenses and checks in a sophisticated forgery lab.

Everett police arrested 34-year-old Craig “Smokey” Allan Galey Monday on charges that Galey was the head of a major identity theft ring that involved at least 22 people.

Federal authorities and police said the man worked with accomplices to steal at least $70,000 by taking information from mailboxes and the Internet to find victims' bank account information, court documents said. Court papers said the man used specialized software to manufacture bogus checks that others cashed for a cut of the money.

Investigators said in an 8 by 10 foot shed, Galey had all the tools he needed to make fake drivers’ licenses and print fraudulent checks. They said some of the items seized were the highest-quality counterfeit documents they had ever seen.

"This guy was good at what he was doing," said Detective Joni Lang of the Everett Police Department.

Police started investigating Galey after they found out a bad payroll check was cashed at the Iron Horse Casino last August.

Police investigated and first searched Galey's apartment in November and found 15 counterfeit Washington driver’s licenses, many of which had Galey's photo on them, and fraudulent checks, Everett police said.

Officers also seized equipment including computers, printers, software and a silk screen of the Washington state seal.

VIDEO BACKSTORY: Evidence Collected In Elaborate Forgery Scheme

Several months later, police returned to find Galey hiding out in a shed a mobile home park in Lynnwood.

"He had everything. He didn't need to leave that shed, he could do everything," said Everett police Detective Jamie French.

Detectives have named 204 victims and expect to find hundreds more once all the evidence is processed.

David Preston is one of those victims. He said he doesn't know how the ID thieves stole his family's identity and for months, made purchases, or tried to open credit card accounts with his name.

"You feel really violated at first, it's like how did they get this stuff?" Preston said.

On Monday, Galey was booked into the Snohomish County Jail for investigation of six counts of second-degree identity theft, six counts of the manufacturer and sale of forged licenses, and six other felony charges.

Galey was charged Tuesday with one count of federal bank fraud and was later transferred to a federal detention center to await a Sept. 1 federal court date. If convicted as charged, he could get up to 30 years in prison.

Eighteen of Galey's alleged associates were arrested on various charges over the last several months.

The Secret Service assisted local police with part of the year-long investigation.