A Chinese national, Donghui Liao, has pleaded guilty to possession of 15 or more unauthorized access devices, specifically gift cards. This announcement was made by United States Attorney Roger B. Handberg. Liao, aged 32 and from China, faces a potential maximum sentence of 10 years in federal prison. The sentencing date is yet to be determined.
The plea agreement outlines an organized fraud scheme targeting a large-scale retail store. Individuals involved in the scheme stole gift cards, obtained account information from them, resealed the cards in their original packaging, and returned them to different store locations for unsuspecting customers to purchase. Once purchased and loaded with funds by customers, the fraudsters accessed these funds without the customers' knowledge.
On October 17, 2023, an officer from the Ocala Police Department observed Liao placing numerous gift cards on a retailer's display after retrieving them from his black shoulder bag. He was also seen taking gift cards off shelves and concealing them inside his bag before leaving the store. Seventy-one of these cards showed signs of alteration and forgery. A search of Liao’s vehicle uncovered an additional 6,032 stolen gift cards with a combined potential value of $1.886 million if activated by customers.
Store surveillance linked Liao to similar fraudulent activities at various stores across Ohio, Georgia, North Carolina, and Florida.
The case was investigated by the Ocala Police Department alongside Homeland Security Investigations and is being prosecuted by Assistant United States Attorney Sarah Janette Swartzberg.