Two individuals from New York have been handed prison sentences for engaging in a dark web-based scheme of identity theft and retail fraud, while residing in Raleigh, as announced by the United States Department of Justice. Twenty-five-year-old Kavon Kerrick Robinson received a 42-month prison term, and Christopher Anthony Hilaire, 27, will spend 16 months behind bars. Each has been ordered to pay restitution amounting to $32,736.74.
In July 2024, Robinson admitted guilt to conspiracy to commit wire fraud and aggravated identity theft, while Hilaire pleaded guilty to the conspiracy to commit wire fraud. According to the U.S. Department of Justice, the duo leveraged stolen credit card information to make unauthorized purchases from various major retailers and subsequently participated in return fraud to acquire cash refunds. This kind of scheme, known as "double-dipping," is hugely detrimental to retailers and consumers alike, driving up prices and compromising personal financial data.
U.S. Attorney Michael F. Easley, Jr., addressing the issue, stated on U.S. Department of Justice, "Retail return frauds, including double-dipping schemes like this one, cost retailers billions of dollars in losses every year. These schemes drive prices higher for the rest of us and harm everyday consumers whose credit card information is stolen to facilitate the scheme." His partnership with the North Carolina Retail Merchants Association aims to raise awareness and put an end to such fraudulent activities.
Furthermore, North Carolina Retail Merchants Association's president and general counsel, Andy Ellen, described the gravity of organized retail crime, highlighting its connections to other illicit activities such as drug abuse and human trafficking. "Organized retail crime is not only a crime against property, but a crime against people, often tied to other serious crimes such as opioids, identity theft, and human trafficking," Ellen said on the U.S. Department of Justice. He stressed the importance of stringent prosecution for the sake of the economy and community safety. The fraudulent activities that took place between April and November 2022 were investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Brad DeVoe.
The court revealed that during the conspiracy, Robinson made online purchases using the ill-gotten credit card details for items like Google Nest thermostats from retailers like Lowe’s Home Improvement, which he then resold, sometimes venturing to New York to offload the stolen goods. Hilaire assisted in the scheme and also instructed others on how to perpetuate these types of frauds. The announcement was made after the sentencing by U.S. District Judge James C. Dever III.
