“We allege that, with the help of insiders at cellphone stores, this ring stole hundreds of thousands from Manhattanites by accessing their accounts through SIM-swapping,” said District Attorney Bragg. “Again and again, we see New Yorkers’ funds drained after their phones are taken over through similar schemes. I urge New Yorkers to remain vigilant and consistently monitor bank accounts for fraud. If you receive a notice that a new SIM card or device is being activated on your phone line without your request, immediately contact your provider at a number you know to be the company’s official phone number.”

“The domains seized by my office were used to host sophisticated, structured online marketplaces that exclusively trafficked in stolen information,” said D.A. Bragg. “My office’s Cyber Crime Bureau is actively investigating as part of its ongoing efforts to protect New Yorkers from computer- and cyber-enabled crimes.”

“Each of these accounts, from a public-school PTA’s operating funds to a home health aide’s life savings, was drained within days,” said District Attorney Bragg. “We allege this operation stole credit and debit cards from the mail, and then activated them by taking over the victims’ phone numbers, before withdrawing cash, wiring funds, or going on shopping sprees. Fast-acting scams like these are on the rise, and we urge consumers to be vigilant when monitoring their accounts.”

“Today, cases across the Office from the Trial Division to the Special Victims Division require a high level of cyber expertise,” said District Attorney Bragg. “Our ability to conduct blockchain analysis, perform forensic analysis on mobile devices, and much more is unique for a local prosecutor’s office, and critical to many of our investigations and prosecutions. With this evolution of the Cyber Crime Bureau, the Manhattan D.A.’s Office continues to lead the way in the investigation and prosecution of complex computer and cyber-enabled crimes.”

“This complaint alleges a cutting-edge approach to a crime as old as time,” said District Attorney Bragg. “By manipulating customers with false promises and pocketing a fee, Michael Lauchlan allegedly engaged in a scheme that defrauded dozens of people and stole from at least three New Yorkers. This investigation is ongoing. If you believe you may have been scammed by Coin Dispute Network, please call us at 212-335-9600.”