Queens Scammers Charged With Running $3M Credit Card Scheme

QUEENS, NY — Prosecutors have charged 11 people, including seven Queens residents, with using fake identities to ring up $3 million in charges in a years-long credit card "bust out" scheme.

The group stands accused of using fake identities to sign up for credit cards that they then used to pay for real estate-related expenses, including mortgages on three Queens homes, from 2013 to 2017, prosecutors said.

They combined names, dates of birth and Social Security numbers to create the fake identities, according to the charges.

They also used shell companies to record hundreds of thousands of dollars in sham transactions on the credit cards, then received payments from financial institutions.

Three of the Queens residents face additional face money laundering charges for concealing the proceeds of the scheme, according to prosecutors.

"While this alleged scheme may seem like a victimless crime, fraud hurts the entire
financial system, including banks and credit card companies, with the costs passed down to
consumers," NYS Department of Financial Services superintendent Linda Lacewell said in a statement.

If convicted, the defendants could face up to 10 years in prison for access device fraud and up to 20 years for money laundering conspiracy, prosecutors said.