Information for Victims in Large Cases
In accordance with the Justice Department’s recent efforts to disrupt business email compromise (BEC) schemes that are designed to intercept and hijack wire transfers from businesses and individuals, including many senior citizens, the Department has previously announced Operation Keyboard Warrior, an effort coordinated by United States and international law enforcement to disrupt online frauds perpetrated from Africa. To date, eight individuals have been arrested for their roles in a widespread, Africa-based cyber conspiracy that allegedly defrauded U.S. companies and citizens of approximately $15 million since at least 2012.
An indictment against eleven individuals was returned by a grand jury in the U.S. District Court for the Western District of Tennessee on Aug. 23, 2017, and charges the defendants with conspiracy to commit wire fraud, wire fraud, conspiracy to commit money laundering, conspiracy to commit computer fraud, and aggravated identity fraud.
The indictment charges Detloff Marketing and Asset Management Inc., realtor Jeffery J. Detloff, and accountant Lori K. Detloff, with conspiring to defraud companies, including financial institutions, in connection with foreclosed properties in the Minneapolis area and elsewhere from in or about September 2007 and continuing through in or about June 2015. In addition to the conspiracy charge, the indictment alleges four counts of wire fraud and four counts of mail fraud.
On August 14, 2018, a federal grand jury returned a thirty-four count indictment charging Pavel Babichenko, Gennady Babitchenko, Piotr Babichenko, Timofey Babichenko, Kristina Babichenko, Natalya Babichenko, David Bibikov, Anna Iyerusalimets, Mikhail Iyerusalimets, and Artur Pupko, with conspiracy to commit wire fraud, mail fraud, conspiracy to traffic in counterfeit trademarked goods, and money laundering conspiracy in connection with their online sale of counterfeit cellphones and accessories.
According to the indictment, the defendants operated a multi-million dollar scheme wherein they sold counterfeit cellphones and cellphone accessories on Amazon.com and eBay.com that the defendants misrepresented as new and genuine Apple and Samsung products. The indictment further alleges that these counterfeit cellphones and cellphone accessories were obtained in bulk from manufacturers in Hong Kong, repackaged in Idaho, and then individually resold to consumers online as genuine and new. The conspirators also allegedly laundered millions of dollars in proceeds from the fraudulent scheme.
If convicted, the defendants face up to 20 years’ imprisonment and a $250,000 fine on the money laundering, wire fraud, and mail fraud counts. They face up to 10 years’ imprisonment and a $5,000,000 fine on the counterfeit trademark goods trafficking counts.
This case is the result of a coordinated investigation by the Federal Bureau of Investigation, Department of Homeland Security, Internal Revenue Service, and United States Postal Inspection Service.
U.S. v. Fedir Oleksiyovych Hladyr, U.S. v. Dmytro Valerievich Fedorov, U.S. v. Andrii Kolpakov, U.S. v. Denys Iarmak
Members of a prolific hacking group widely known as FIN7 (also referred to as the Carbanak Group and the Navigator Group, among other names) engaged in a highly sophisticated malware campaign targeting more than 100 U.S. companies, predominantly in the restaurant, gaming, and hospitality industries. FIN7 hacked into thousands of computer systems and stole millions of customer credit and debit card numbers as well as proprietary and non-public information, which the group used or sold for profit. In the United States alone, FIN7 successfully breached the computer networks of companies in 49 states and the District of Columbia, stealing over 15 million customer card records from over 6,500 individual point-of-sale terminals at more than 3,600 separate business locations. Companies that have publicly disclosed hacks attributable to FIN7 include such familiar chains as Chipotle Mexican Grill, Chili’s, Arby’s, and Jason’s Deli.
On February 15, 2018, Consuegra-Rojas was charged in the Western District of Wisconsin with multiple crimes related to access device fraud and possession of counterfeit access devices. Consuegra-Rojas and another individual were arrested in Mauston, Wis., on September 12, 2016, after attempting to use a counterfeit credit card at a Festival Foods store. A search of Consuegra-Rojas’s vehicle revealed counterfeit credit cards, false identification documents, 280 gift cards, multiple cellular telephones, two computers, three flash drives, six skimmers, and a credit card reader/writer. The subsequent investigation revealed that the three flash drives and two computers contained a total of 1,679 stolen credit card numbers. The stolen credit card numbers were used to buy gift cards and other merchandise at a variety of retailers throughout Minnesota between September 6 and September 12, 2016, including Home Depot, Walmart, and Sam’s Club.
The defendants obtained funds to which they were not entitled by using checks stolen from the mail and stolen ID cards as well as bank cards obtained through theft and vehicle break-ins, to forge and falsely alter the stolen checks to deposit them in the accounts associated with the stolen identities and then make cash withdrawls.
Infraud Organization was created in October 2010 to promote and grow interest as the premier destination for purchasing retail items with counterfeit or stolen credit card information. Under the slogan, “In Fraud We Trust,” the organization directed traffic and potential purchasers to the automated vending sites of its members, which served as online conduits to traffic in stolen means of identification, stolen financial and banking information, malware, and other illicit goods. It also provided an escrow service to facilitate illicit digital currency transactions among its members and employed screening protocols that purported to ensure only high quality vendors of stolen cards, personally identifiable information, and other contraband were permitted to advertise to members.
On December 11, 2017, defendants stole parcels from a home in Scottsdale. Subsequently, agents found the following: stolen mail, fraudulent IDs, counterfeit currency, equipment to produce fake IDs and counterfeit currency, and cell phones at one of the defendant’s houses.
On May 11, 2017, Arias-Perez was charged in the Western District of Wisconsin with installing credit card skimmers at two gas stations in Madison on August 12, 2016. On April 27, 2017. a search warrant was executed at Arias-Perez’s residence in Miami, Florida. During the search, agents located various electronic devices and equipment used for stealing credit card information. Based on a forensic analysis of the electronic equipment recovered from Arias-Perez’s residence and the recovered skimmers in the case, investigators have determined that Arias-Perez is responsible for the theft of approximately 57,000 credit card numbers.
Zaappaaz, Inc. was charged with engaging in a conspiracy to suppress and eliminate competition by fixing and maintaining prices of customized promotional products, including wristbands and lanyards, sold in the United States and elsewhere, from at least as early as October 2014 and continuing until at least June 2016.
Azim Makanojiya was charged with engaging in a conspiracy to suppress and eliminate competition by fixing and maintaining prices of customized promotional products, including wristbands and lanyards, sold in the United States and elsewhere, from at least as early as October 2014 and continuing until at least June 2016.
Christopher Angeles was charged with engaging in a conspiracy to suppress and eliminate competition by fixing and maintaining prices of customized promotional products, including wristbands, sold in the United States and elsewhere from at least as early as June 2014 and continuing until at least June 2016.