Tampa Man Sentenced to More than Three Years for Credit Card Fraud
Tampa, Florida - U.S. Attorney Robert E. O'Neill announces that U.S. District Judge Steven D. Merryday today sentenced Robert Hadley (38, Tampa) to three years and one month in federal prison for conspiracy to commit credit card fraud. The court also ordered Hadley to forfeit $397,726.75, which are the proceeds traceable to the offense.
Hadley pled guilty on October 11, 2011.
According to court documents, in 2007, Hadley co-owned a telemarketing company in the Middle District of Florida that sold timeshares. In that capacity, he had access to customer files that contained his clients' names, addresses, and credit card numbers, among other things. From at least January 2007, and continuing through at least October 2007, Hadley took copies of hundreds of customer files from his telemarketing company and provided them to his co-conspirator, Daniel Simon, in order to make fraudulent charges to the credit card numbers.
Hadley and Simon agreed to hire processors to make unauthorized charges on the credit card numbers taken by Hadley. Simon recruited and instructed processors to establish PayPal accounts and corresponding bank accounts, and to charge the misappropriated credit card numbers in amounts between $800 and $900 each. The owners of the credit card numbers did not know about or authorize these charges, nor did they receive any goods or services in exchange for the charges to their credit card accounts. Simon further instructed the processors to keep 12.5% of the proceeds of the fraudulent credit card activity and to withdraw the remaining 87.5% in cash, in which Simon and Hadley equally shared.
Between January and October 2007, at least four processors working for Simon and Hadley established PayPal accounts and corresponding bank accounts. The processors made $397,726.75 worth of charges to the credit card numbers obtained by Hadley.
Also in October 2007, Hadley obtained 193 credit card numbers and other identifying information from his telemarketing company. He provided these credit card numbers to Simon who, in turn, provided them to a processor named Jonathan Dotolo, to facilitate $898 in fraudulent charges to each of the cards. These credit card numbers were intercepted by law enforcement before they could be charged. The intended loss, however, was $173,314.
Daniel Simon was sentenced to incarceration for twelve months and one day as a result of his guilty plea to conspiracy to commit credit card fraud. Jonathan Dotolo was sentenced to two years' probation following his guilty to being in possession of more than 15 unauthorized credit cards.
This case was investigated by the United States Secret Service. It was prosecuted by Assistant United States Attorney Mandy Riedel.