A Dracut resident has been sentenced in a Boston federal court for his involvement in a fraudulent scheme involving the online sale of cosmetics. Nick Ashtar-Zadeh, 23, received a six-month prison sentence followed by two years of supervised release. He was also ordered to pay $181,806 in restitution and forfeiture of $111,156. Ashtar-Zadeh was charged alongside his brother, Nika Ashtar-Zadeh, in September 2024 and pleaded guilty to one count of wire fraud in October 2024.
The fraudulent activities took place between 2019 and 2021. The brothers operated Amazon and eBay stores selling products from a Texas-based cosmetics company. They offered these products at prices equal to or below the company's list prices. Without customer consent, they enrolled buyers into the company's 30-day trial program by entering their information on the company's website. This led to shipments being made without proper authorization.
The initial payment for these orders was fulfilled with a charge of $19.95; however, subsequent charges were declined after customers retained the products beyond the trial period. The brothers profited from the difference between what buyers paid them and this initial payment amount.
Nika Ashtar-Zadeh pleaded guilty in November 2024 and is scheduled for sentencing on May 21, 2025.
The announcement was made by United States Attorney Leah B. Foley and Jodi Cohen, Special Agent in Charge of the FBI's Boston Division. Assistant U.S. Attorney David M. Holcomb is prosecuting the case.