SPRINGFIELD, Va. — Police have arrested two men in connection to a larger fraud ring involving altered Target gift cards.
On Dec. 20, officers assigned to the Springfield Town Center were made aware of two men who were allegedly altering gift cards in the Target store at the shopping center by Target's Asset Protection. The same men are said to have done the same thing earlier in the day at another Target store in Manassas.
Officers saw both men stocking the shelves with gift cards and detained them. Police say the men were found in possession of altered Target gift cards.
"The gift cards that these men were putting on the shelves looked just like Target gift cards, in fact, some of them may have been empty authentic gift cards at some point," Fairfax County Police Sargant Jacob Pearce told WUSA9. "They were superimposing the fraudulent card number or barcode number of the legitimate sticker that would route that money to the bad guy's account," he added.
Police say numerous altered Target gift cards were found during a search of the suspect's car as well as evidence of a larger fraud ring in the region. In total, officers recovered around 1,000 altered gift cards.
Pearce says some of the tampered gift cards were destined for other stores in Northern Virginia and there is evidence that the men also operated in other states.
Rongjie He, 32, of California, was charged with 10 felony counts of obtaining money by false pretense, credit card theft, and two counts of conspiracy to commit larceny. He was taken to the Fairfax County Adult Detention Center and has since been released on bond.
Kaihua Chen, 27, of California, was charged with four felony counts of obtaining money by false pretense, nine counts of credit card theft, and two counts of conspiracy to commit larceny. He was taken to the Fairfax County Adult Detention Center and is currently being held on no bond.
Cyber security experts say card draining can happen in multiple ways. Most commonly scammers attach barcodes from a card they already have to an unsold gift card. When the buyer loads money on the gift card it goes to the scammer's account.
Fraudsters can also steal the details of a legitimate gift card, once it's loaded, they drain the card.
Police are asking anyone with information on this fraud ring to call the Franconia District Station at 703-922-0889. Tips can also be submitted anonymously through Crime Solvers by calling 1-866-411-TIPS (8477).
Target gave WUSA9 the following statement on Wednesday:
“We are aware of the prevalence of gift card tampering and take this issue very seriously. Like other retail crimes, gift card tampering is an industry-wide issue that victimizes and inconveniences guests. Through Target’s cyber fraud and abuse team, we are actively addressing the problem, including educating our store team members about common scams and how to stop them. In addition, our approach to combatting this issue includes working in close partnership with card issuers, industry partners, and law enforcement agencies, as well as retail trade associations.”
Gift Card Tips
The police department suggests following the below tips whenever purchasing a gift card from a retail store:
- Inspect the Packaging: Check the gift card packaging for any signs of tampering or resealing. Look for broken seals, loose corners, or any other indications that the packaging has been altered.
- Check the Activation Sticker: Many gift cards have an activation sticker or label on the back. Make sure the activation sticker is intact and has not been peeled off or replaced. Altered cards may have a different activation sticker or a sticker that looks suspicious.
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