Ultimately he was deported from the USA rather than facing the charges. Returning to the United Kingdom, he settled in Plymouth in south-east England. In the town he became associated with a gang of criminals and earned money working as a driver for them. Unbeknownst to Fulton his associates were actually undercover police officers and as he opened up to them about his leading role in paramilitarism they secretly taped his confessions. After this surveillance operation, Fulton was arrested in 2002 and charged with 64 offences relating to terrorist activity. Following his arrest he was detained in HMP Maghaberry on a wing with just two other prisoners. One of these, his brother Mark, died in June 2002 whilst Fulton was being held. In a controversial move Jim Fulton was freed on bail soon after the death of his brother.