An indictment unsealed recently has charged Jason Edward Thomas Cardiff, a 48-year-old former CEO of a California-based business, with multiple counts of fraud and identity theft. Cardiff, previously residing in Upland, California, allegedly orchestrated unauthorized charges on thousands of consumer credit and debit card accounts.
Details of the Allegations
Cardiff, who owned and operated Redwood Scientific Technologies, is accused of directing his employees to use credit and debit card information from past customers to make unauthorized charges for products those customers never ordered. This fraudulent activity reportedly occurred between January and May 2018. The company, known for selling homeopathic thin film strip products, allegedly exploited customer trust in this scheme.
In addition, Cardiff is also accused of witness tampering, having allegedly ordered employees to destroy documents responsive to a Federal Trade Commission Civil Investigative Demand.
Legal Response and Implications
Principal Deputy Attorney General Brian M. Boynton emphasized the Justice Department’s dedication to investigating such unauthorized charges and holding perpetrators accountable. U.S. Attorney Martin Estrada echoed these sentiments, condemning the exploitation of consumer trust by predatory businesses.
Inspector in Charge Carroll Harris of the U.S. Postal Inspection Service (USPIS) Los Angeles Division highlighted the role of postal inspectors in uncovering the fraud, reaffirming their commitment to protecting consumers from such schemes.
Court Proceedings and Potential Sentences
Cardiff made his initial court appearance on November 27 before U.S. Magistrate Judge Brianna Fuller Mircheff. He faces a maximum penalty of 15 years for access device fraud, 20 years for witness tampering, and a mandatory minimum of two years for aggravated identity theft. The sentencing will be determined by a federal district court judge, considering the U.S. Sentencing Guidelines and other statutory factors. Cardiff has pleaded not guilty, with his trial scheduled for January 23, 2024.
The case is being investigated by USPIS and prosecuted by Trial Attorneys Manu Sebastian and Brianna Gardner of the Civil Division’s Consumer Protection Branch, along with Assistant U.S. Attorney Valerie Makarewicz.
This case highlights the ongoing efforts of the Justice Department and other federal agencies to combat financial fraud and protect consumer rights. The indictment serves as a reminder of the legal repercussions that can arise from exploiting consumer trust and engaging in fraudulent business practices.
Image:Justice.gov
This article, "Former California Business CEO Charged with Fraud and Identity Theft" was first published on Small Business Trends
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Small Business Editor, Khareem Sudlow
