DOJ: Maryland Man Facing Federal Indictment in Connection with Gift-Card Scam

• The indictment charges Sharieff Tate Pierre with 21 counts each of wire fraud and aggravated identity theft.
• Pierre allegedly used stolen credit cards and personal information to buy gift cards and vehicles.

A Maryland man, Sharieff Tate Pierre, was indicted on 21 counts of wire fraud and 21 counts of aggravated identity theft for using stolen credit cards to purchase gift cards, resulting in $53,300.49 in losses to 21 victims. The investigation began in July 2021 after a financial institution reported that cardholders did not receive their credit cards in the mail, followed by unauthorized charges.

According to the indictment, Pierre used victims' names and dates of birth to obtain credit cards and lines of credit, which he used to buy gift cards and register vehicles without the victims' knowledge. He then converted the gift cards to cash using Western Union, and faces up to 20 years in prison for each wire fraud count and up to two years for each aggravated identity theft count if convicted.

• $53,300.49 total losses from the scheme
• 21 individuals victimized
• 21 counts of wire fraud charged

• Review internal controls for issuing and mailing credit cards to prevent interception as described in the DOJ indictment.
• Monitor for unauthorized use of personally identifiable information to open lines of credit, as seen in the Pierre case.
• Enhance transaction monitoring for gift card purchases and Western Union transfers linked to new or recently issued credit cards.

This case highlights the risks of identity theft and credit card interception, which can lead to significant financial losses and regulatory scrutiny for financial institutions. Compliance officers must ensure robust controls around card issuance, monitor for suspicious gift card and wire transfer activity, and respond promptly to customer reports of missing cards. The DOJ indictment underscores the importance of cross-agency cooperation and the need for financial institutions to report and investigate fraud quickly to mitigate losses and protect customers.