Two California men were charged in a case involving hacking point-of-sale (POS) computers at various Subway restaurants in a newly unsealed indictment on Friday in Boston.
The two suspects are Shahin Abdollahi, aka “Sean Holdt,” and Jeffrey Thomas Wilkinson, both of San Bernardino County, California, east of Los Angeles.
Prosecutors have accused them of hacking at least 13 such POS computers, installing a remote desktop application onto those computers which then they used to falsely load Subway gift cards totaling “at least $40,000.” They are alleged to have then sold those gift cards on eBay and Craigslist.
In September 2012, two Romanians admitted to participating in a similar international scheme involving hacked Subway POS computers, racking up more than $10 million in losses.
Abdollahi and Wilkinson are each charged with “one count of conspiracy to commit computer intrusion and wire fraud, and one count of wire fraud.”
According to the indictment, Subway franchise owners typically buy POS systems from third-party vendors. Abdollahi operated one such company, called “POS Doctor,” and was based in Southern California. He is further accused of selling a POS system with LogMeIn, a remote desktop application, to a Subway franchise in Franklin, Massachusetts, southwest of Boston, as well as others in Wyoming and California.
The indictment also states that Abdollahi “owned and operated one or more Subway restaurant franchises in Southern California, where he gained experience with Subway POS systems and Subway gift cards.”
The case was announced by representatives from the United States Secret Service, and an acting assistant attorney general. Interestingly, one of the prosecutors also includes US Attorney Carmen M. Ortiz for the District of Massachusetts. Ortiz has come under fire in recent weeks for her prosecution of the case against hacktivist Aaron Swartz, which ultimately may have contributed to his tragic suicide.
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