Indictment: Lawrence Man’s Simple Fraud Scheme Racked Up $143,000 In Credit Card Rewards

TOPEKA, KAN. – A Lawrence man has been charged with devising a simple – and illegal – scheme that allowed him to collect more than $143,000 in credit card rewards, U.S. Attorney Barry Grissom said today.

Jawad Obaid, 31, Lawrence, Kan., was indicted Wednesday on ten counts of wire fraud. The indictment alleges he obtained credit cards with Capital One, Chase and U.S. Bank and accessed their rewards program Web sites for the purpose of making Internet purchases from businesses selling goods and services on the sites. In that manner, he generated tens of thousands of reward points from the credit card companies. He cancelled the purchases within 24 hours and used the reward points from the cancelled purchases to redeem cash awards in the form of checks and direct deposits to his accounts.

If convicted, he faces a maximum penalty 30 years in federal prison and a fine up to $250,000 on each count. Homeland Security Investigations investigated. Assistant U.S. Attorney Scott Rask is prosecuting.

OTHER FEDERAL GRAND JURY INDICTMENTS

John Michael Devosha, 25, who is in federal custody, was charged in a superseding indictment with two counts of carjacking, one count of unlawful possession of a firearm and two counts of using a firearm during a carjacking. The crimes are alleged to have occurred Oct. 22 in Kansas City, Kan., and Oct. 25, 2013, on the Prairie Band Potawatomi Reservation.

If convicted, he faces a maximum penalty of 15 years in federal prison and a fine up to $250,000 on each carjacking count, a maximum penalty of 10 years and a fine up to $250,000 on the possession charge, and a penalty of not less than five years on each of the other two counts. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Special Assistant U.S. Attorney Erin Tomasic is prosecuting.

Tegan C. Gulley, 35, Wichita, Kan., is charged with one count of unlawful possession of a firearm following a felony conviction. The crime is alleged to have occurred May 7, 2015, in Sedgwick County, Kan.

If convicted, he faces a maximum penalty of ten years in federal prison and a fine up to $250,000. The Wichita Police Department investigated. Assistant U.S. Attorney Matt Treaster is prosecuting.

Domingo Uriarte, Jr., 38, Kansas City, Kan., is charged with one count of possession with intent to distribute methamphetamine. The crime is alleged to have occurred April 28, 2015, in Kansas City, Kan.

If convicted, he faces a penalty of not less than 10 years and a fine up to $10 million. The Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Trent Krug is prosecuting.

Ivan Joseph Soto, 27, Topeka, Kan., and Mauricio Aguilera, 24, San Bernadino, Calif, are charged with one count of conspiracy to possess with intent to distribute methamphetamine and one count of possession with intent to distribute methamphetamine. The crimes are alleged to have occurred April 20, 2015, in Topeka, Kan.

If convicted, they face a penalty of not less than 10 years and a fine up to $10 million on each count. The Drug Enforcement Administration investigated. Assistant U.S. Attorney Greg Hough is prosecuting.

Jerome Birdsong, 33, Kansas City, Kan., is charged with one count of conspiracy to possess with intent to distribute methamphetamine, one count of maintaining a residence at 2942 N. 47th Terrance in Kansas City, Kan., in furtherance of drug trafficking, and one count of unlawful possession of ammunition following a felony conviction. The crimes are alleged to have occurred in 2013 in Kansas City, Kan.

If convicted, he faces a penalty of not less than 10 years in federal prison and a fine up to $10 million on the conspiracy charge, a maximum penalty of 20 years and a fine up to $500,000 on the charge of maintaining a residence for drug trafficking and a maximum penalty of 10 years and a fine up to $250,000 on the ammunition charge. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Special Assistant U.S. Attorney Erin Tomasic is prosecuting.

In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.