Romanian Man Admits Involvement in Fake Online Auction Schemes

A Romanian national admitted his role in an international cyber criminal operation which involved setting up fake auctions on several websites with the purpose of defrauding people.

Adrian Ghighina, 33, of Bucharest, Romania, pleaded guilty in Illinois Northern District Court to one count of wire fraud and one of conspiracy for which he faces a maximum penalty of 20 years in prison and a fine of up to $250,000.

Ghighina acted as a money mule for Romanian scammers who set up fake auctions for cars and motorcycles on eBay, Craiglist and AutoTrader.com.

Victims were directed via email or telephone to wire money to accounts created by Ghighina using false identities.

The Romanian moved to the United States legally in 2004 and started operating as money mule since at least September 2005. In order to avoid being caught he moved from city to city.

He was indicted by a grand jury in Illinois on seven counts of wire fraud in April 2008 and authorities caught up with him in October 2009 in Miami.

He was separately indicted in May 2010 in Washington on charges of conspiracy, bank fraud and money laundering, for which he faces an additional 20 years in jail and a $250,000 fine. His sentencing is scheduled for May 9, 2010.

Ghighina was previously sentenced to 27 months in prison for wire and visa fraud in the Southern District of Florida.

According to The Register, the scheme netted fraudsters $2.7 million, of which the money mule kept between 20 to 40 percent as commission.

It seems that Romanian cyber criminals have an affinity for online auction fraud. In April 2009, Romanian authorities arrested 20 people suspected of being members of a gang specializing in fake eBay auctions.

Then, in April 2010, as a result of a joint US-Romania investigation, local police executed 100 raids and detained over 70 people in relation to the same type of fraud.