Caribbean National Weekly

University of Miami student charged in multi-million-dollar fraud scheme

By Joanne Clark··1 min read
University of Miami student charged in multi-million-dollar fraud scheme

A 21-year-old University of Miami student is facing serious charges brought forth by the U.S. Department of Justice for his alleged involvement in a multi-million-dollar fraud scheme.

He is Matthew Frederic Bergwall who hails from Coral Gables.

The allegations: Hacking and deceit

Bergwall was charged with conspiracy to commit computer and mail fraud, as well as substantive mail fraud.

It is further reported that he allegedly hacked a multi-national shipping, receiving, and supply chain management company.

According to a release from U.S. Attorney Roger B. Handberg, Bergwall, and his co-conspirators used these accounts to enter fraudulent tracking information for merchandise transported by the company on behalf of retailers located across the country.

A complex web of deception

This cunning ploy allowed the group to pursue full refunds from unsuspecting victim-retailers while still maintaining possession of the merchandise- which included electronics, jewelry, designer clothing, and accessories.

The staggering losses: High-end goods vanish

The scope of the fraud scheme is staggering, as it reportedly resulted in a $3.5 million loss in product and sales revenue for the affected retailers. 

If convicted on all counts, Bergwall could face up to 45 years in federal prison.

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