Former California Business Owner Charged with Access Device Fraud, Aggravated Identity Theft and Witness Tampering

 

An indictment was unsealed on Monday alleging that the chief executive officer of a California business caused unauthorized charges to be placed on thousands of consumer credit and debit card accounts. 

Jason Edward Thomas Cardiff, 48, formerly of Upland, California, is charged with access device fraud, aggravated identity theft and two counts of witness tampering. The indictment alleges that Cardiff owned and operated Redwood Scientific Technologies, which sold various homeopathic thin film strip products to consumers. Between January 2018 and May 2018, Cardiff directed his employees to use the credit and debit card information associated with previous customers to charge for additional products that those customers had not ordered. The indictment further alleges that Cardiff ordered employees to destroy documents that were responsive to a Federal Trade Commission Civil Investigative Demand.

“These charges reflect the department’s commitment to investigate unauthorized charges imposed on consumer accounts and hold criminals accountable for their wrongdoing,” said Principal Deputy Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Justice Department will use all of the tools at its disposal to prosecute such schemes.”

“This indictment alleges a blatant ripoff that simply charged customers for products they never ordered,” said U.S. Attorney Martin Estrada for the Central District of California. “We will remain vigilant to protect consumers from predatory businesses that exploit the trust placed in them by consumers.”

“The outstanding work by postal inspectors in this investigation uncovered a fraud scheme, where American consumers never received the products for which they were billed,” said Inspector in Charge Carroll Harris of the U.S. Postal Inspection Service (USPIS) Los Angeles Division. “The U.S. Postal Inspection Service is committed to protecting American consumers from falling victim to these types of fraud schemes.”

Cardiff made his initial court appearance on Nov. 27 before U.S. Magistrate Judge Brianna Fuller Mircheff of the U.S. District Court for the Central District of California. If convicted, Cardiff faces a maximum penalty of 15 years in prison for access device fraud, 20 years in prison for witness tampering and a mandatory minimum of two years in prison for aggravated identity theft. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. At his arraignment on Monday, Cardiff entered a not guilty plea and a trial was scheduled for Jan. 23, 2024.

USPIS is investigating the case.

Trial Attorneys Manu Sebastian and Brianna Gardner of the Civil Division’s Consumer Protection Branch, along with Assistant U.S. Attorney Valerie Makarewicz for the Central District of California, are prosecuting the case.

Additional information about the Consumer Protection Branch and its enforcement efforts can be found at www.justice.gov/civil/consumer-protection-branch.

An indictment is merely an allegation. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.