US Sentences Nigerian Darknet Fraud Leader to Five Years in Prison for $6M Scheme

  news.bitcoin.com 21 September 2024 04:35, UTC

A Nigerian national has been sentenced to five years in federal prison for his role in a massive darknet fraud scheme that intended to cause over $6 million in losses, according to the U.S. Department of Justice (DOJ). Using various online aliases, Kaura led a global network selling stolen payment card data, using cryptocurrencies like bitcoin for transactions. His operation spanned multiple countries and even managed their own illicit marketplace, Skynet, where cybercriminals traded stolen information.

Darknet Fraud Leader Sentenced to Five Years

A Nigerian national was sentenced in a federal court in Kansas City, Missouri, for selling stolen financial information to global buyers on the darknet. According to the U.S. Department of Justice (DOJ):

Simon Kaura was sentenced by U.S. District Judge Greg Kays to five years in federal prison without parole. At sentencing, the court found that Kaura’s crimes resulted in an intended loss of $6,338,500.

Kaura and his associates orchestrated a scheme to sell stolen data from victims worldwide through darknet marketplaces. Kaura, who pleaded guilty in May 2024, admitted to leading a global network that specialized in the sale of stolen payment card data. The operation utilized various darknet markets, where transactions were made using cryptocurrencies like bitcoin.

The DOJ noted:

Each market required users to transact in digital currencies, such as bitcoin. These sites enabled users to distribute illegal contraband to buyers throughout the world to perpetrate fraud.

Kaura’s network also launched and managed their own market, Skynet, where cybercriminals could sell illicit goods and exchange information. Kaura used several online aliases such as “apples” and “cartman” while conducting the illicit activities.

Co-conspirators involved in the operation, including Taylor Ross Staats, were also prosecuted. Staats was sentenced to 18 months in prison for his role in verifying and organizing the stolen card data for sale. Kaura’s group facilitated illegal transactions from victims in the U.S., U.K., Canada, and Australia between 2016 and 2019. The U.S. Department of Justice is seeking forfeiture of $4.5 million in criminal proceeds resulting from the fraud. The case was investigated by the FBI and prosecuted by the U.S. Attorney’s Office.

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