YPSILANTI, MI — Mubasher Riaz, a resident of Ypsilanti, Michigan, pleaded guilty to conspiracy to commit wire fraud after participating in a multi-year online refund scheme, federal prosecutors announced.
Riaz, along with his brother Muzzammil Riaz, admitted to purchasing electronics and other goods online—including cellphones, tablets, clothes, and electronic doorbells—and submitting fraudulent refund claims. Instead of returning the original items, the brothers shipped counterfeit products matching the weight of the genuine goods.
The scheme, which ran from July 2017 until November 2023, resulted in an estimated $400,000 loss to online vendors.
Authorities say the Riaz brothers used fake identities, private networks, and multiple devices to carry out the scam. Mubasher Riaz would then sell the authentic returned items for profit.
The FBI uncovered the fraud during an investigation of Mubasher Riaz on unrelated charges involving sexual exploitation of children. A search warrant led to the seizure of over 40 cellphones and 30 tablets with various fake identity labels.
Officials believe there may be additional victims of the scam and urge anyone affected to contact the FBI.
