Federal law enforcement has uncovered a wave of organized fraud and theft operations tied to foreign nationals, primarily Chinese and South American migrants, responsible for millions of dollars in losses across the United States. Recent convictions, investigations, and high-tech heists underscore growing threats to American retailers, financial institutions, and citizens.
Four Chinese nationals—Kar Kee “Steven” Cheung, Qian Guo, Chongming “Ming” Wang, and Jiaozhu “Yanny” Yan—were sentenced for a widespread identity theft operation that defrauded major U.S. retailers of more than $1.2 million. The group stole personal information from hundreds of Americans to forge IDs and open fraudulent credit accounts. Retail chains targeted included Nordstrom, Macy’s, Sephora, Dillard’s, Saks Fifth Avenue, and others.
Sentences ranged from 12 to 42 months in federal prison. Two additional conspirators, Sizhen “Rachel” Liu and Hyun Woo “Scott” Jung, were also convicted. Liu received a 50-month sentence, while Jung awaits sentencing.
In a related case, Chinese national Donghui Liao was sentenced to 33 months for a gift card scam in Florida. Authorities found him in possession of thousands of unauthorized access devices used to drain money loaded onto gift cards.
Homeland Security officials warned these schemes endanger retailers and consumers alike. “Our proactive approach aims to raise awareness and disrupt fraud that could cost hundreds of millions, if not billions,” said Assistant Special Agent David Pezzutti.
Meanwhile, the U.S. Secret Service is investigating a growing threat known as “jackpotting,” a scheme where criminals manipulate ATMs using malicious software to force machines to dispense all cash inside. Credit unions and banks are increasing their security protocols, but officials say the sophisticated tactics pose a serious risk.
Beyond retail and financial fraud, theft rings tied to South American migrants have targeted the homes of professional athletes. A Chilean gang has been charged with burglarizing the residences of NFL stars Joe Burrow, Patrick Mahomes, and Travis Kelce. In Denver, authorities say a “South American theft gang” was behind a $12 million jewelry heist.
These cases highlight a rising trend of transnational organized crime exploiting U.S. legal and security vulnerabilities. Law enforcement agencies are expanding joint operations and urging vigilance to prevent further damage to American businesses and families.
