UPDATE: Five alleged international fugitives, wanted by German authorities, have been arrested in Southern California as part of a significant fraud scheme. The arrests occurred today, October 25, 2023, in locations including Woodland Hills, Los Angeles, Agoura Hills, and Irvine, according to the U.S. Department of Justice.
The suspects—Medhat Mourid, Andrew Garroni, Guy Mizrachi, Ardeshir Akhavan, and Tunde Benak—were apprehended by the U.S. Marshals Service and made their initial court appearances in federal court in downtown Los Angeles. Authorities confirmed they will seek to extradite the defendants to Germany, where they face serious charges.
The alleged scheme involved creating recurring fraudulent charges from fictitious merchants, deliberately keeping monthly charges under approximately $57 to evade detection. Prosecutors revealed that these charges were linked to fake companies operating through deceptive websites, accessible only via specific URLs. The scheme is believed to have orchestrated a “shadow financial system” in Germany, impacting countless victims.
Officials stated that the defendants colluded with German payment service processors, including former employees and executives, to facilitate these transactions. The complex network of fraudsters has raised alarm bells among international authorities, indicating a well-organized operation that could have far-reaching implications.
As investigations continue, the impact of this fraudulent scheme on victims and the financial system remains significant. The swift actions of law enforcement underscore the seriousness with which both U.S. and German authorities are treating this case.
What happens next? Authorities are expected to push for a quick extradition process, and the court proceedings will likely unfold rapidly. Stay tuned for updates as this story develops, and the full extent of the fraud scheme becomes clearer.
