The U.S. Department of Justice recently cracked down on an international criminal ring that targeted expensive electronics such as iPhones, and a Wall Street Journal report detailed the operations of this sophisticated criminal ring. Thirteen members of an international network used automated scripts to steal data from FedEx's tracking system and bribed corrupt AT&T employees to steal FedEx iPhone shipments off people's porches.
The employees accepted bribes to share confidential customer information from the company's order tracking system, capturing images of customer names, addresses and tracking numbers.
Some members of the criminal network obtain and sell delivery information, while others, known as "runners," buy the information and steal iPhone packages from doorsteps minutes after they arrive.
Three of the criminals have a base in the Bronx, New York, where they receive a steady stream of stolen devices, and another criminal has a base in Brooklyn, where they receive bulk shipments of stolen devices from across the United States. The thefts occurred in multiple states and the stolen equipment was shipped overseas for sale.
On one occasion, two people involved went to a FedEx store to mail a package, claiming it contained baby clothes. FedEx security inspected the package, discovered the stolen iPhone, and confiscated it. When the package was empty, one of the men complained to FedEx customer service that his iPhone had been stolen.
FedEx and AT&T worked with law enforcement officials to locate all of the criminals involved. FedEx said in a statement that it has been actively working with law enforcement "to address the rise of porch bandits," while AT&T said it regularly updates procedures and employee training to thwart criminal tactics.
All those involved in the criminal scheme have been charged, with some facing up to 20 years in prison.