A Massachusetts man has been slammed with a 70-month prison sentence for orchestrating a sophisticated fraud scheme that scammed rideshare and delivery companies across the nation, as reported yesterday. Thiago De Souza Prado, age 39, of Revere, has also been hit with a three-year supervised release and a hefty $50,000 fine after a federal jury found him guilty of multiple counts of wire fraud and aggravated identity theft.
As part of a fraud ring that kicked off in 2019, Thiago De Souza Prado exploited stolen identities to create accounts with rideshare companies, bypassing crucial safety checks. According to a U.S. Department of Justice announcement, Prado managed to successfully dodge the criminal background screenings, sex offender registry checks, and driving record verifications that are mandatory by most rideshare services and the Massachusetts Department of Public Utilities, having bought social security numbers off the darknet.
"What Thiago De Souza Prado and this crew did is truly egregious," Jodi Cohen, Special Agent in Charge of the FBI Boston Division, said in a statement. "They stole the identities of unsuspecting consumers, violated customers’ privacy, and potentially compromised public safety by putting unqualified drivers behind the wheel." Cohen also expressed gratitude towards Uber’s security team for uncovering the fraud and coordinating closely with the FBI.
Post-creation of the fraudulent accounts, Prado reportedly didn't just use them for his personal gain but also rented them out to individuals ineligible to work as drivers due to a lack of social security numbers, often because they were in the U.S. illegally, the evidence at trial showed. They also invented an application referred to as "the drone" to generate fake rides, tricking companies into paying for services never rendered or inflating ride distances for higher payments. Prado funneled the illicit earnings into bank accounts opened in the victims' names, who were oblivious to their identities being hijacked.
United States Attorney Zachary Cunha of the District of Rhode Island, along with Jodi Cohen, led the announcement of the sentence. The prosecution saw assistance from various agencies, including the Social Security Administration, the Massachusetts Department of Public Utilities, and the Massachusetts Registry of Motor Vehicles, with Assistant U.S. Attorneys David Holcomb and Kriss Basil handling the case.
The Department of Justice had assigned Mr. Cunha to preside over the matter following the U.S. Attorney for the District of Massachusetts's recusal. The sentencing marks a significant crackdown on fraud against rideshare and delivery services, which are increasingly becoming an essential part of urban living.
