After an investigation led by Homeland Security Investigations Newark with state and local partners, 25 people and four companies were charged for their alleged roles in a multimillion-dollar scheme that used stolen credit card information to fraudulently purchase tens of thousands of gallons of diesel fuel and then resell it to trucking companies and other fuel providers.
As alleged, the enterprise operated in New Jersey, Pennsylvania, New York, Connecticut, and Massachusetts, using credit card “skimmers” that stole financial information from credit and debit cards to create “cloned” cards that were used to make fraudulent fuel purchases.
Various vehicles — some having been modified with auxiliary tanks to illegally transport fraudulently purchased diesel fuel — were loaded up with the stolen fuel and delivered it to customers, earning the enterprise illicit profits of $3.4 million during the time period of the investigation.
“These defendants allegedly developed a sophisticated system for stealing credit card information from unsuspecting victims and then used that information to make new, fraudulent cards, which they used to buy diesel fuel,” said New Jersey Attorney General Platkin. “That fuel was then allegedly sold to trucking companies and other fuel providers. Working with our local law enforcement partners, we will always be on the lookout for financial frauds and protect the public from these schemes.”
HSI Newark and the Office of the Attorney General partnered with the New Jersey Division of Criminal Justice, the Camden County prosecutor’s office and the Gloucester Township Police Department in the investigation into the criminal organisation, resulting in the charges.
According to the investigation, in October 2023, DCJ detectives received information from the Camden County prosecutor’s office and Gloucester Township Police Department about an alleged diesel fuel theft enterprise operating throughout New Jersey.
The suspects allegedly placed skimming devices on various gas pumps when the gas stations were closed. A skimming device is a card reader that is surreptitiously placed in a location where individuals will insert their credit or debit cards and records the user’s information.
The investigation revealed that the enterprise possessed “master” keys that unlocked gas pumps, permitting them to install the skimmers inside. Some skimmers recovered included stolen information from victims who had used the affected gas pumps. Those devices and other electronic devices recovered during the investigation showed that the enterprise allegedly stole credit card information from thousands of victims from New Jersey and surrounding states.
The stolen financial information was allegedly used to create “cloned” cards that were used to purchase diesel fuel from other gas stations.
Approximately 500 cloned cards were recovered from enterprise members during arrests by law enforcement. After purchasing the fuel, they would then deliver the fuel to trucking companies in exchange for payment. No member of the enterprise is registered with the state to sell diesel fuel.
